Lesson 1.

3 : Need for smart grid

Part 2

SMART GRID TECHNOLOGIES_EEN 5031 & EEN 5311

Dr. Tarlochan Kaur

Professor, EED,
Punjab Engineering College (Deemed to be University),
Chandigarh - 160012
tarlochankaur@pec.edu.in
 After this presentation, the student will be able to understand why we need a
Smarter Grid.

Discussed in Part 1
Driver 1 : Need for Paradigm shift from Fossil Fuels to Renewable Sources of
Energy
Driver 2 : Integration of Renewable Energy in Grid

cont.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 Renewable Energy Origin of the Resource
Resource
Solar radiation High temperature photosphere of the Sun
Wind Air movement due to its uneven heating at different locations on
Earth
Biomass (and wastes of Photosynthesis (conversion of solar radiation into plant material in
photosynthetic origin) presence of water and CO2

Hydro Potential and kinetic energy in water

Wave Kinetic energy in waves due to interaction of wind with sea/ocean
water
Ocean Thermal Temperature gradient between top and bottom layers of ocean (due
to heating of top layer with solar energy)
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Tides (non homogeneity of )Gravitational forces of moon and the sun over
earths surface
Smar t Gr i d Technol ogi es EEN 5031/5311
 ➢ Electricity is a commodity
➢ Consumed at the instant of generation.
➢ Cannot be stored to a large extent.
➢ Therefore, power system operation is carried out in a planned way on day-
ahead basis, through estimation of electric generation availability and
electricity demand.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ DRIVER 3 : Aging infrastructure and High AT&C losses
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ India’s aging, decades-old electrical infrastructure is inefficient and is in
need of modernisation and upgradation.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ In recent years, the Government of India, together with state governments,
is aiming to electrify all parts of the country. But the customers’ demand
for 24×7 high-quality power is not yet a reality in many parts of the
country.
➢ The lack of adequate investment in upgradation and modernisation over
the years has resulted in sub-optimal levels of electricity supply, coupled
with high aggregate technical and commercial (AT&C) losses.
➢ This has resulted in a situation where even major cities still witness many
instances of power supply disruptions. This is in contrast with cities like
Hong Kong and Singapore that witness negligible power outages in the
whole year.
➢ In this scenario, customers are looking for “smart solutions” with digital
capabilities that can reduce losses, improve operational efficiency and
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assist in optimising long-term investments.

Smar t Gr i d Technol ogi es EEN 5031/5311
 ➢ Q
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ AT&C loss is combination of energy loss (Technical loss + Theft + inefficiency
in billing)& commercial loss (Default in payment + inefficiency in collection).
➢ National Avg. is approx. 22%
➢ Highest in Arunachal Pradesh (approx. 58%)
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ Driver 4 : New Load Types

➢ How do you create a smart and stable distribution network that is able to
effectively understand the changing consumer load patterns and new load
types.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ New demand is being created by the emerging trends in the market,
including growth of data centers, renewable energy sources and sunrise
sectors such as eMobility charging infrastructure.
➢ The network operators must contend with these technological disruptions
in the grid planning and operations. Accordingly, the need for “smart grids”
that assist network operators in managing the customer expectations for
reliable power supply with good quality of power, will gain increasing
acceptance.
➢ Smart grids use a range of digital technologies and IoT solutions that can
intelligently respond and adapt to changes in the grid. The data collected
can be harvested to create decisions and recommendations to the grid
operators to become more reliable, cost-efficient, flexible, and safe.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ India has seen a transition in the power generation scenario, from thermal
power stations to mega super critical power generation stations and now
hyperscale renewable power generation farms.
➢ This has lead to creation of vast power generation facilities which are often
at remote locations and the power has to be transmitted over long
distances to the consumers.
➢ At the same time, the revolution is ongoing in creating micro-level
generation in the form of rooftop solar units which is bringing power
generation right in the users premises, whether it is a manufacturing unit,
commercial setup of residential premises.
➢ Considering the vast geographical landscape, and the need to reach out to
the remotest location and the commitment towards climate change, India
needs to adopt smart grids which helps bridge the above gaps.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ An individual who consumes and produces electric power
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ Till 1991, the power sector was mainly under the government ownership
under various states and central government owned utilities.
➢ In mid 1990s, Orissa began a process of fundamental restructuring of the
state power sector.
➢ Under the World Bank (WB) loan, the state decided to adopt-what is known
as WB-Orissa model of reform. This consist of following three strategy.
(i) Un-bundling the integrated utility in three separate sectors of generation,
transmission and distribution.
(ii) Privatization of the generation and distribution companies
(iii) Establishment of independent regulatory commission to regulate these utilities.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 ➢ So, in August 2001, the central government has introduced a bill, which
was passed by the Government in 2003 after few changes.
➢ 'Electricity Bill 2001’ and It provides for increased competition in the power
sector by facilitating open access to transmission and distribution grid,
power trading, and also allowing setting up of captive power plants
without any restriction.
Freedom for generating companies to sell electricity to third party.
Various players (IPP) can come forward for producing electricity in the Indian Market.
In this act there is a provision of Regulatory Commission.
o The role of regulator would not confine only to tariff setter but would also be to see
whether generation is taking place from different producers in such a way that it is leading
to optimum utilization of different sources of energy.
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Smar t Gr i d Technol ogi es EEN 5031/5311

 GENERATION

Tie line TRANSMISSION Tie line

DISTRIBUTION

Fig : Traditional integrated power system

 Genco Genco Genco IPP

Tie lines Transco Tie lines

Disco Disco

Genco
Genco
Bulk consumers

Deregulated power system

 ➢ Privatization
Amendment of Electricity Act, 2003, in the form of draft Electricity Act (Amendment) Bill,
2020 pushing state-owned distribution utilities to adopt privatisation models.
State-owned distribution utilities are mostly loss-making as they sell electricity in India at a
price lower than the cost, which usually does not offset their AT&C losses. Ministry intended
to select utilities reporting more than 15% AT&C losses for privatisation.
➢ Transmission Open Access (TOA)
Electricity trading such as day-ahead and hour-ahead markets through Power Exchanges (PX)
Synchronized with TSO . Competitive and cost regulated.
➢ Re-structuring
Re-structuring of regulated power sector is to separate the functions of power generation,
transmission and distribution.
➢ De-regulation
It is changing the monopoly franchise rule or other regulations of regulated industry, that
affect how electric companies do business, and how customers may buy electric power and
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services so as to provides a fair competition among producers as well as more choice and
better service for consumers of electricity.
Smar t Gr i d Technol ogi es EEN 5031/5311
 ➢ RE and its integration, Re-Structuring and Deregulation, high AT&C Losses,
Aging infrastructure, Load profile, New load types like E-mobility,
Distributed generation, Prosumers, Environmental concerns are the major
challenges facing traditional electric grids.
➢ The interconnected and complex nature of the electricity grid makes it even
more challenging for making it more
Reliabile, flexible , Economic competitive,
efficient
Smart grid technologies offer ways not just to
meet these challenges but also to develop a
cleaner energy supply that is more energy
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efficient, more affordable and more sustainable.

Smar t Gr i d Technol ogi es EEN 5031/5311

EEN 5031 &
EEN 5311
SMART GRID TECHNOLOGIES