ENERGY NEWS MAY-2018 Petroleum Conservation Research Association Sanrakshan Bhawan 10, Bhikaji Cama Place, New Delhi 110066
INDEX S. NO. SUBJECT PAGE 1 1.1 TRANSPORT -E-Vehicles (EV) 1-15 2 2.1 2.2 3 3.1 ENVIRONMENT - Air, Water & Sound pollution - Health ENERGY CONSERVATION & EFFICIENCY -Oil & Gas 16-26 27 28-40 4 4.1 4.2 -RENEWABLES ENERGY Solar Bio mass 41-52 53-54 This Energy News contains excerpts of articles picked up from selected daily newspapers & magazines.
Time for a hard look before our e-bus leap Suffering from the worst air pollution in the world, Delhi recently told the Supreme Court that it would buy 1,000 electric buses with the funds collected from diesel trucks as an environment compensation charge. While maintaining that it was not against Delhi getting e-buses for its public transit fleet, the SC-appointed Environment Pollution (Prevention and Control) Authority (EPCA) last week raised concerns about the procurement, maintenance and infrastructure enhancements required to run these battery-powered vehicles. The Delhi government responded to EPCA s criticism saying it has not, in fact, completed the technical detailing of the project. But considering its poor record on public transport upgrades at 5,429 buses, Delhi s bus fleet it at an eight year-low the government will have to do extensive homework before it takes the leap. Electric buses come with multiple benefits for a city like Delhi. They have zero tailpipe emissions. They also offer quieter and smoother rides and reduce the fuel budget drastically. But a switchover takes a lot more than just buying and putting e-buses on the road. The biggest challenge is to keep them running. Last year, China s Shenzhen became the first city in the world to own a fully electric fleet of 16,359 buses. But it was not easy to shift from diesel to e-buses, pointed out a report by World Resource Institute China (WRI). Compared to diesel buses, e-buses cost two to four times upfront. They need the infrastructure to support consistent charging. Their batteries need to be replaced at least once during their lifetime, which can cost nearly half of a vehicle s price. Not surprisingly, it took the Shenzhen administration eight years to fix these backend issues. The WRI listed four strategies that Shenzhen implemented successfully. Maybe these are something for authorities in Delhi to consider. First, the national and local subsidies closed the cost gap between e-buses and diesel buses. Till 1
2016, an e-bus was getting more than half of the vehicle s price in government subsidy. Second, instead of buying buses on government subsidy, operators had the option to lease out buses from manufacturers, thus avoid long-term lock-in. Third, an efficient charging infrastructure was put in place. Because of their shorter driving range and recharging needs, Shenzhen needed to double the fleet size. But it optimised its operations by setting up an extensive charging system. According to WRI report, at present, there is one charging outlet for every three buses. All e-buses are charged fully overnight when electricity prices are low and recharged at terminals during off-peak travel hours. Fourth, Shenzhen overcame the concerns over battery maintenance with a lifetime manufacturer warranty for vehicles and batteries. Operational risks are distributed among bus operators, manufacturers, utility companies and other service providers. For example, it is the electric bus manufacturers and not the operators who must maintain batteries and scrap old diesel buses. With all its promises, the e-bus operation is not entirely green until it sources power from green energy. Despite China s largescale interventions in building solar and wind power infrastructure, most of the energy required for its e-buses comes from the grid that is essentially coal-based. One reason for that is the inadequate transmission facility to dispatch green energy to the charging points, says associate director of WRI-India s energy programme Deepak Krishnan, while adding that China will clean its grid faster than India, thanks to the former s large investments in renewable energy. As far as the e-bus infrastructure goes, Shenzhen has already made small interventions such as using solar power in its bus depots and even charging few buses. Delhi procures 80% of its power from thermal plants and gets as little as 1% from renewable sources. But, as Krishnan suggests, the government could learn from Delhi Metro, which through an open access agreement with a solar electricity plant 2
in Rewa, Madhya Pradesh, will soon source enough power to meet almost 80% of its daytime energy requirements. For a car-choked, asphyxiating Delhi, a green public fleet is a dream investment. But the project requires strong civic commitment to see it through. Having long squandered the advantage of switching to CNG in 2002, India s car capital cannot afford to waste another opportunity. And while we hope the government does its homework on e-buses right, it must not give up on resuscitating the humble CNG bus service yet. ***** 3
Driving the electric-vehicle revolution Over the past 12 months, the government has been steadfastly advocating a move to phase out petrol and diesel cars completely and transforming the country into an all-electric market by the year 2030. These ambitions have been formulated as action plans, as opposed to concrete policies. While the industry awaits further clarity on the government s position on electric vehicles (EVs) regarding availability of charging infrastructure, investment and incentive guidelines, and the role of state governments to support the launch of EVs, nearly all manufacturers that participated in the recent Delhi Auto Expo had at least one electric vehicle on display. The intended shift to EV would not only help to cut down on fuel bills, reduce emissions, and cut the escalating demand for road infrastructure, but would also change the face of the automotive industry and transform India into the leading electric vehicle market in the region and perhaps the world. The question remains, however, is India on the right track to becoming an EV hub? Challenges, and opportunities-with more than half of the automotive suppliers in India based on engine-and-transmission systems, the industry is likely to take a hit. Despite this, strong government support can help transform those companies. However, there are opportunities to counter these potential challenges. The corresponding consumer market would appear to already be in place, and growing, with 30 per cent of first-time car buyers in India under the age of 30. This is due, in part, not only to rising income levels and easy access to credit, but also to the higher aspirations of the younger generation. Similarly, diesel vehicles continue to fall out of favor with consumers increasingly experimenting with new body styles. 4
Furthermore, all eyes remain on India to excel in this space, not only due to the strong presence of many of the world s leading automotive brands, but also the government s clearly voiced support. With Malaysia announcing recently that it plans to lean on Indian expertise in developing its own auto industry, the latter continues to be a leading force in the region. Many leading companies are already gearing up for EVs. Maruti Suzuki and Hyundai announced their plans to introduce their first electric vehicles in India by 2020 and 2019, respectively. Suzuki had earlier also announced plans to set up a lithium ion-battery factory. Tata Motors recently delivered the first 250 Tigor vehicles to EESL in Phase 1. Mahindra & Mahindra is ramping up its EV division and is expected to launch electric variants of its popular SUVs the Scorpio and the XUV 500. However, the risk still falls on the industry in determining the market readiness of electric vehicles. Infrastructure is crucial-for any major disruption to a long-standing and well-established industry to be successful, a strong and coherent strategy must be implemented. One of the key focus areas will be on setting up electric vehicle charging infrastructure across the country. While the EV fleet and charging networks across the world have grown concurrently, it has led to the emergence of different charging standards in different regions. Furthermore, every car has a different charging system. In other words, at present, all models of different manufacturers cannot be charged at any station. Recently, the Committee on Standardization of Protocol for Electric Vehicles (EV) Charging Infrastructure released recommendations entailing specifications for Bharat EV Charger AC-001 and Bharat EV Charger DC-001. At present, there are very few charging stations in India, which makes long-distance travel almost impossible. Given that more than 80 per cent of car owners in India state that they have only one car for their household, this limitation has always been a big hurdle to 5
accepting EVs. However, government incentives such as offering subsidised electricity tariffs and promoting public awareness will also go a long way to developing the infrastructure. The recent government initiative to set up EV charging stations at parking lots of railway stations is likely to generate greater interest and acceptability. Platforms to develop battery cell technologies and pack, innovative software, and telematics whereby detailed data about the areas in a city that have the most number of EVs at any point in time and the strategic placement of charging points at coffee shops, restaurants, and malls will go some way in easing the potential hiccups faced by the prospect of charging EVs outside key hub spots. Increased energy Generation-India, as the world s third-largest energy consumer after the US and China, is working towards building a green economy and there are opportunities for energy and renewable energy firms to leverage on the eventual increased demand for electricity. Perhaps, now is a strategic time to address the increased energy needs hand-in-hand with discussions surrounding the EV sector. India s largest power generation utility, NTPC, is currently seeking a Pan-India license to set up charging stations. Similarly, establishing recycling programs for lithium batteries will help to ease the potential burdens experienced once EVs take hold. A shift to renewable energy would also make imminent sense for India. In order to increase the momentum of electrification development, it is crucial that an innovative and pragmatic approach is adopted to address energy supplies. Leveraging mobility services-with shared-mobility services bringing an additional disruption to the industry, and as the shift toward EVs gains nation-wide momentum, the potential for mobility services business is huge possibly as large as the core automotive business itself. In developed countries, mobility services are viewed as a hedge 6
against the trend of more young people moving to cities and abandoning car ownership. But given the deteriorating traffic conditions and rising pollution levels, the trend could manifest in India, as well. Getting ready via govt. Support - Notwithstanding short-term incentives such as cash subsidies, lowering road taxes and cutting GST for EVs, other measures such as tax rebates, would help to project a stronger long-term committed strategy. China has already shown the way on how to support growth in this sector. Besides offering EV owners the second most generous subsidies globally, China has also introduced a preferential vehicle licensing system, whereby EV buyers get their license plates free and with least delay. Moreover, China is focusing investments into EV charging stations. These measures have culminated in a boom for the industry with sales of electric vehicles and hybrid vehicles up 53 per cent in 2016. If India can look to replicate at least some of these measures, there is no reason why the EV industry would not also respond positively. India s automotive industry is undoubtedly headed for an inflection point, where some or all the above trends may converge. What s crucial along the way is to keep the industry and its customers at the core of all relevant smart mobility plans, to ensure that India stays on the right track to becoming an EV hub. ***** 7
Centre proposes charging points for EVs every 3 km The government proposes to set up charging stations for electric vehicles every three kilometres in cities with million-plus population and smart cities, and every 50 km on busy national highways. It is likely to offer fiscal incentives and facilitate land from municipal authorities for those interested in setting up the infrastructure, which is a key requirement for the proliferation of electric vehicles. It is expected that 30,000 slow charging and 15,000 fast-charging stations will be required to be put up in a phase-wise manner in the next 3-5 years. There should be at least two high-charge points and one fastcharging point at every three kilometres in cities. Similarly, there should be electric vehicle charging station every 50 km on highways, a senior government official said. Land for setting up the charging stations is likely to be identified in consultation with local authorities and electricity distribution utilities and given on long-term lease to companies willing to set up the facilities, another government official said, speaking on the condition of anonymity. Public sector undertakings in the energy sector such as NTPC, Power Grid Corp and Indian Oil Corp are likely to initiate the process to set up charging stations at several locations in identified cities. The government is considering to provide subsidies to the PSUs for the roll out programme, the official said. NTPC is already setting up such facilities in Maharashtra. Power Grid Corp last week said it signed an agreement with L&T Metro Rail (Hyderabad) Ltd for developing charging infrastructure at metro stations for e-cars and e-three 8
wheelers in Hyderabad. The company said it plans to build charging infrastructure at all metro rail corridors. Automakers including Mahindra & Mahindra and Tata Motors to cab-hailing companies Ola and Uber, state-run enterprises and startups are all interested in setting up charging infrastructure for electric vehicles. ***** 9
Govt. approves green license plates for e- vehicles To promote electric vehicles in India, the government has approved green license plates bearing numbers in white fonts for private e-vehicles and yellow for taxis, Union Minister Nitin Gadkari said on Wednesday. The government also plans to allow youth in the age bracket of 16-18 years to drive electric scooters, besides mandating taxi aggregators to have a certain percentage of e-vehicle fleet. The government has approved distinctive green license plates for electric vehicles to encourage people to use electric vehicles. Such vehicles will be fitted with green license plates bearing numbers in white fonts for private cars and yellow font for taxis, Gadkari said. A notification in this regard will be out in a week s time, said the Minister, who has been advocating electric mobility promotion. The purpose behind distinctive number plates is their easy identification for preferential treatment in parking, free entry in congested zones besides other proposed benefits like concessional toll, the road transport and highways minister told PTI. The measure is aimed at promoting e-vehicle s use and the government is considering exemption from permits for such vehicles. Exemption from permit will be a game changer as restricted permit regime is a major concern. E-rickshaw growth is attributable to the permit exemption and there is scope to extend the exemption to the e-buses, e-taxis, e-autos and e-bikes. E-auto and e-buses may have a big impact since getting a new permit is extremely difficult, the Minister said. 10
Boosting demand for e-scooters-besides, the government is contemplating permitting youth in the age group of 16-18 years to drive e-scooters, which are gearless and this will lead to a big demand for e-scooters, the Minister noted. Under the Motor Vehicles Act, 1988, those in the age group of 16-18 years are granted license for below 50 CC gearless scooters. Incidentally there is no scooter in this category made in the country. The government is also contemplating to ask taxi aggregators to have an incremental share of electric vehicles from 2020 onwards, which could be 1 per cent of the fleet every year, Gadkari said. Similarly, all public transport operators may also be mandated to provide 1 per cent incremental fleet from 2020 onwards, he added. Stressing that electric vehicles will bring down vehicular pollution, Gadkari said the government is tightening fuel efficiency norms. Besides, Ministry of Road Transport and Highways will request the Finance Ministry that the rate of depreciation on EVs may be allowed at 50 per cent as against the rate of 15 per cent for conventional vehicles. The proposals include bringing down the GST on batteries to 12 per cent at par with the GST on EVs. As per an estimate, India at present has 1 to 1.5 lakh electric vehicles and it is projected to grow to about 5 per cent of the total vehicles in the next five years, an official said. Of the about 24 million vehicles sold in India in 2017-18, electric vehicles accounted for barely about 1 per cent, the official added. India, currently, has four kinds of number plates white license plates with numbers on black font for private cars, yellow plates with fonts in black for commercial vehicles, black plates with yellow font letters for self-driven rental vehicles and blue plates with white font letters for Embassies and High Commissions. Army vehicles on the other hand follow a different registration system given by the defence ministry, while vehicles of the President and governors have red license plates with the national emblem. ***** 11
Oil price rise gives EVs a big boost The spike in oil prices following US move to impose sanctions on Iran has given new momentum to India s ambitious e-vehicles programme that aims to reduce oil imports, cut emissions and boost energy security. The government is already giving a big push to e-vehicles because of its commitments at global forums to control carbon emissions and India s high dependence on imports to fuel its economic growth. Officials said the government was on track to increase the use of battery powered vehicles, but analysts said it was time review policies on the sector. PWC s Partner Kameswara Rao said electrification of transport, whether public or personal, requires a fundamental rethink of policy. That s because of its many positive externalities such as energy security, clean air, and inflation control which don t get counted together. On the other hand, the infrastructure needed often gets underestimated. Without scale, the ecosystem will not develop, and so an aggressive government programme is key to achieving real benefits of electrification of transport, he said. The National Electric Mobility Mission Plan and Faster Adoption and Manufacturing of Electric Vehicles (FAME) aims to get 6-7 million electric vehicles on the roads by 2020. A study conducted by Niti Aayog shows that India would need nearly 1.6 billion metric tonnes of oil equivalent of petrol and diesel to fuel its passenger mobility sector from 2017-2030. At a conservative crude oil price estimate of $52/bbl (lower than today s prices), this oil import demand would cost nearly $670 billion or Rs 44 lakh crore over the period 2017-2030. Assuming India continues to 12
import 80 per cent of its oil, this could represent a total import bill of roughly $550 billion or Rs 36 lakh crore. In contrast, meeting India s EV ambitions through 100 per cent domestic manufacturing of batteries would require at least 3,500 GWh of batteries at a wholesale cost of $300 billion (Rs 20 lakh crore) from 2017-2030 less than half the cost of the avoided oil imports. Battery manufacturers could seize 25-40 per cent of the market s value by assembling battery packs in India and importing only battery cells. In this case, India s total value of imports for EVs would be between $180 $225 billion or Rs 12-15 lakh crore. India may still be consuming nearly Rs 17 lakh crore worth of petrol and diesel, this would still represent an import saving opportunity of Rs 4 lakh crore for India, it said. Tata Motors and Mahindra Electric last year bagged tenders for supply of 10,000 e-cars. A same size tender was floated by EESL in March 18. ***** 13
New truck: MHA plans to drive in electric vehicles 14 The union ministry of home affairs (MHA) is planning to switch to electric vehicles and replace diesel guzzling vehicles, including heavy trucks and buses, and encourage use of solar and wind energy instead of generators as power backups, senior government officials said. This comes as part of MHA s go-green 2022 roadmap which it seeks to achieve by reducing dependency on oil and gas that annually costs seven central armed police forces (CAPFs) around Rs 500 crore. Through these initiatives if implemented, the ministry officials believe they can cut down reliance on oil and gas sector by 10% by 2022. In a meeting chaired by MHA Joint Secretary (PM) Vivek Bhardwaj late April, representatives from CRPF, ITBP, BSF and other central armed protection forces (CAPFs)came together to prepare a blueprint for energy efficiency initiatives which is in sync with central government s push to look for alternative power consumption means. Power Minister R.K. Singh had recently reached out to Central government agencies for adoption of electric vehicles. The power ministry has offered to supply electric cars to central government departments, which can either lease or purchase them a move that can raise demand for such vehicles by about 5 lakhs, ET had reported on April 13. The government may also use electric buses for mass movement of security forces in Naxalite areas, as electric vehicles are mostly noiseless and can assure safe
movement of forces, said an industry executive who did not wish to be quoted. The MHA will have to amend approved list of vehicles to allow CAPFs to purchase electric vehicles, it was pointed out in the meeting. The ITBP, in consultation with all CAPFs, was asked to submit a proposal for inclusion of electric vehicles in the MHA approved list of vehicles. It was further argued that the cost of electric vehicle procurement is much higher than petrol and diesel cars. For acquisition of electric cars, there is a need to revise net dealer price (NDP) ceiling of Rs. 4.75 lakhs fixed by union ministry of finance for purchase of any car. A proposal for revision of NDP ceiling for purchase of electric cars, if required may be submitted by ITBP for taking up the matter with Ministry of Finance, the representatives decided. ***** 15
Govt. declares war on plastics Being the global host of this year's World Environment Day (June 5) with 'Beat Plastic Pollution' as its theme, the Centre has written to all states and Union Territories (UTs) to undertake a massive campaign against use of single-use plastics and enforce rules to ensure elimination of plastic carry bags of less than 50 microns in thickness. Though the Centre had banned polythene bags below 50 microns in thickness across the country in 2016, most states have so far failed to enforce it amid resistance from small businesses and vendors. Absence of alternatives has been cited by stakeholders as an obstacle even as environmentalists dismissed it as a lack of will on the part of civic bodies. Will India, being the host of this year's WED, be able to drive global efforts to beat plastic pollution? Environment secretary C K Mishra said, "India will use this occasion to spread the message of reducing plastic pollution and like to assume the role of global leader on this. We would like to appeal to every citizen to help us do that. Mishra told TOI that environment minister Harsh Vardhan wrote to all states and UTs and sensitised them towards India's efforts to tackle the menace of plastic pollution. Many states are learnt to have prepared action plans for this. Since focus of the WED will be on actions against single-use plastics, it is expected that many corporate houses will come out with their respective plans to completely ban such plastics which include bags, straws and water bottles among others. Asked about the reason behind non-enforcement of ban on plastic carry bags, associate director of environmental NGO Toxics Link Satish Sinha said, "States do not have the mechanism to do that. There is no significant alternative and it poses practical problems on the ground when people too are apathetic towards it. Advocating a phase-down approach for single-use plastics before going for its phase-out, Sinha said, It has to be stopped first at the manufacturers' 16
level. Besides, we have to improve recycling and find out ways to reduce use of toxic material in plastic. As many as 18 states and UTs including Delhi, Chandigarh, Sikkim, Himachal Pradesh, Uttarakhand, Chhattisgarh, Karnataka, Maharashtra, Goa and Andhra Pradesh have either completely or partially banned use of plastic carry bags. However, enforcement continues to be a problem. The latest missive from the environment ministry to states is in addition to its recent direction to make protected areas free from plastic. Though West Bengal and Odisha have already made their protected areas plastic free, Uttarakhand has started a drive to achieve this goal ahead of June 5. Sikkim is even considering banning plastic bottles. ***** 17
द ल ल म अब नह चल सक ग प र ट प पर स प स ब न ह ल थ क ल ए खतरन क बत त ह ए ब न कर ल य ह - स ट र पल य शन क ट र ब र ड (स प स ब ) न जश न क र न ख श क प रत क म न ज न व प ट प पर क ह ल थ क ल ए खतरन क बत त ह ए ब न कर ल य ह स प स ब क अन स र, अब प लट डय म वह प ट प पर च ए ज सक ग, लजनम लसर ड क गज क ट कड भर ह ग इस कर सभ स ट ट पल य शन क ट र ब र ड क लन श लभजव ए ज च क ह स प स ब क म त लबक, सम र ह म श र शर ब करन क मकस स प ट प पर क इस त म ह त ह इनम ब र और प ल स टस टक क छ ट चमक र ग लबर ग ट कड भर ह त ह इन ह जब च य ज त ह त झट क क स थ यह हव म लबखर ज त ह और प र शर क स थ उडत ह ए त वच और आ ख क क र न कस न पह च त ह कई ब र यह ख न क च ज म लम कर शर र क अ र भ च ज त ह स प स ब न ज च म प य लक इनम र र र सर रस, प ट लशयम क ल र ट और प ट लशयम परक ल र ट क इस त म ह रह ह स ब स ब क अन स र, क द र य पय डवरण म त र य क सहमलत क ब ह यह ब न ग य गय ह ***** 18
New biofuel policy to boost private investments in ethanol production The National Biofuel Policy 2018 approved by the Cabinet has the potential to bring in multi-crore private investment in second generation ethanol production. Second generation ethanol refers to alcohol generated from unconventional raw material such as agro waste. The policy will drive over 10,000-crore investment in this sector by the Oil Marketing Companies which together have plans for a dozen such ethanol plants. These are to support the ethanolblended fuel programme announced by the Centre. Private sector boost-atul Mulay, President, Bioenergy, Praj Industries, a leading domestic player in biofuels and second generation ethanol manufacture, said the policy gives a much needed fillip to the industry. The investment potential is multiple times that envisaged as of now and opens out this opportunity to the private sector. The plan to give a higher, differential pricing to second generation ethanol and viability gap funding for projects will drive private sector investments, he said. As an indication of the potential, he pointed out that the Centre hopes to bring in 20 per cent ethanolblended automobile fuel by 2020. At the targeted 5 per cent blending 19
now, about 50 plants of one crore litre a day, the standardised capacity, will be needed. This alone will involve investment of over 35,000 crores. In India, traditionally, ethanol is produced by distilleries linked to sugar mills. They use molasses generated as a by product of sugar production as a raw material. A major benefit of using agro waste for ethanol production is that it will address the problem of air pollution caused by burning of agriculture waste, he said. The dozen units planned by OMCs alone will use about 18-20 lakh tonnes of agro waste annually. Project Pipeline-At least half a dozen of second generation ethanol units are in various stages of implementation. Each of these units will have a capacity of about one lakh litres of ethanol daily and is expected to start production by end-2020. Praj Industries, which has developed technology in-house, is executing two projects, one at Odisha for BPCL and another at Panipat for IOC. These will use rice straw as a raw material. Discussions are on with HPCL, which went for a global tender for a unit to come up at Uttar Pradesh. In addition, two more plants are coming up elsewhere backed by BPCL and HPCL using technology available with the Department of Biotechnology, Government of India. A European company is associated with a plant Numaligarh in a 50-50 joint venture. ***** 20
14 of world's 15 most polluted cities in India Delhi is not the most polluted city in the world. But that's hardly any reason to cheer. The WHO global air pollution database released in Geneva early Wednesday morning reveals that India has 14 out of the 15 most polluted cities in the world in terms of PM 2.5 concentrations, with the worst being Kanpur. Despite public outcry over severe air 21
pollution, and both Centre and Delhi government taking up the issue, WHO's database of more than 4,000 cities in 100 countries shows that Delhi's pollution levels improved only marginally between 2010 and 2014 but started deteriorating again in 2015. In 2016, the latest year in WHO's database, Delhi was in sixth spot, having recorded its highest pollution levels in six years. The city's PM 2.5 annual average was 143 micrograms per cubic metre, more than three times the national safe standard, while the PM 10 average was 292 micrograms per cubic metre, more than 4.5 times the national standard. The Central Pollution Control Board (CPCB) had recently claimed that air pollution levels improved in 2017 as compared to 2016. The board, however, hasn't released the annual average PM 2.5 concentration for 2017 yet. Quick Edit: India tops the world in bad air quality A number of policies came into effect towards the end of 2016 - the graded response action plan (GRAP) in October, doubling of the environment compensation charge (ECC) on trucks in December 2015 and better coordination among NCR states on pollution control. The WHO report, however, doesn't reflect this because it considers annual PM 10 and PM 2.5 averages between 2010 and 2016. ***** 22
Bharat s air is not so swachh Much to the embarrassment of the Indian government, the latest edition of urban air quality database for over 4,300 cities from 108 counties released by the World Health Organization (WHO) showed that people living in urban India, particularly in cities and towns along the Indo-Gangetic plains, breathe the foulest possible air in the world. While the industrial city of Kanpur topped the list, the third and sixth positions were held by Varanasi, the city that Prime Minister Narendra Modi represents in Parliament, and the capital city of New Delhi. On the whole, 14 Indian cities have the dubious distinction of occupying the top slots among the world s 20 most polluted cities, followed by those from Mongolia and China. Other Indian cities that figured in the top 20 list are Faridabad, Gaya, Patna, Lucknow, Agra, Muzaffarpur, Srinagar, Gurgaon, Jaipur, Patiala and Jodhpur. The study was based on the level of suspended particulate matter having a size of 10 microns and 2.5 micron (one micron is one-millionth of a metre) found in the city s air. Even more deadly are PM2.5 as they can increase the likelihood of respiratory and cardiovascular diseases. Statistics that Speak-According to the WHO, around 7 million people die every year from exposure to fine particles in the polluted air that penetrate the lungs and cardiovascular system, causing diseases including stroke, heart diseases, lung cancer, chronic obstructive 23
pulmonary diseases and respiratory infections, particularly pneumonia. As per the WHO statistics, air pollution is a critical risk factor that accounts for 24 per cent all adult deaths from heart disease, 25 per cent from stroke, 43 per cent from chronic obstructive pulmonary disease and 29 per cent from lung cancer. As WHO Director-General Tedros Adhanom Ghebreyesus aptly put it, while air pollution threatens all those who live in a polluted city, the brunt of the burden is mostly borne by those who are the poorest and most marginalised. The WHO has been maintaining the urban air quality database since 1990. Till very recently, Chinese cities like Beijing used to top the list of cities with toxic air. But concerted government-level action over the last few years played a key role in improving air quality in many Chinese cities. Last year, for instance, the Chinese environment ministry implemented stringent anti-pollution measures in Beijing and 27 other cities, forcing heavy industry plants such as those making cement and steel to shut down, suspend or curtail production. As per the WHO air quality recommendations, the annual mean concentrations of PM2.5, which constitute sulphate, nitrates and black carbon, should be less than 10 parts per billion (ppb) in the ambient air. However, the values of PM2.5 for Indian cities in the list ranged from 173 ppb for Kanpur to 98 ppb for Jodhpur. The PM2.5 level in Delhi air, on the other hand, in 2016, was 143 ppb, which was 14 times over the safe limit. On the mend? -The Indian government did not contest the WHO rankings, but said the PM 2.5 values for Delhi in 2016 as per the Central Pollution Control Board s Continuous Ambient Air Quality Monitoring Stations (CAAQMS) was 134 ppb, not 143 ppb as the WHO listed. It also pointed out that there has been an improvement in Delhi air quality since then. Data for the year 2017 for PM 2.5 shows an improvement over 2016 and so far in 2018, it shows a further improvement, as compared to 2017, an official release from the 24
Ministry of Environment, Forest and Climate Change (MoEFCC) said on May 2, a day after the WHO put out the data. According to the MoEFCC, the PM2.5 average mean concentration for 2017 was 125 ppm. Anumita Roy Chowdhury, Executive Director Research and Advocacy, of the New Delhi-based voluntary organisation, Centre for Science and Environment, agrees that there has been some kind of stabilisation in the air pollution levels post-2016 and the number of days in which air pollution was perilously high has come down in the Capital. Nothing surprising to find these new Indian cities in the list as these are the cities where air quality monitoring was introduced in recent years, she says, adding that the situation is grim. She also points out that these cities are the new growth centres for India and this is an indication that there is need for more stringent monitoring and regulation when developmental projects are undertaken. She is quick to add that the WHO list is not a ranking system but a database of air pollution levels in different cities, and those on the top will change as more cities from other developing parts of the world are added to the database. It is a fact that the government, much after the prod and rebuke from the Supreme Court, came out with a Clean Air Programme for Delhi in February. Extending this further to other parts of the country, the Government last month unveiled a National Clean Air Programme (NCAP), with the aim of reducing air pollution in 100 cities. However, one grouse expressed by environmental activists is that while, earlier, there was talk of quantifying the emission cuts that is reducing the pollution by 35 per cent in the next three years and 50 per cent in five years such time lines are missing from the draft made public by the government last month. The overall objective of the 637-crore NCAP is preparing a comprehensive management plan for prevention, control and abatement of air pollution, besides augmenting the air quality monitoring network across the country. The NCAP, which will be finalised after 25
incorporating suggestions and comments from the public and experts till the 17th of this month, aims to cover all sources of pollution specific to each city and to have coordination between relevant Central ministries, State governments, local bodies and other stakeholders. Manual monitoring-under the NCAP, the government plans to increase manual monitoring stations from the existing 684 to 1,000 across the country and a three-fold increase in CAAQMS, whose number currently is 84.The government has also said that replacing BS-IV fuels with BS-VI fuels in cities like Delhi and schemes like Pradhan Mantri Ujjwala scheme in which rural women living below poverty line are given free LPG connections to make them shift to cleaner household energy use are some of the measures initiated by it to improve quality of air in the country. An earlier report by Greenpeace India said more than 80 per cent of cities where air quality is monitored are severely polluted and it impacts 47 million children across the country. Also, 580 million number of people in India don t even have a single air quality monitoring station in the districts they live in. As regards the WHO database, Greenpeace India expressed surprise as to why only 32 Indian cities were covered when CPCB and State pollution control boards monitor air quality for 300 cities in the country. The fact that 14 Indian cities rank the most polluted in the world clearly shows that India needs to do more towards solving the air pollution crisis, it said. The WHO report clearly underplays the situation by mixing up data from many years. In reality, the situation in India is much worse. It s imperative that the NCAP has clear targets for pollution reduction and interim milestones, says Sunil Dahiya, a senior campaigner with Greenpeace India. ***** 26
Bad air killed 7 million worldwide: WHO data Inhaling polluted air affects lungs, the most, shows data analysis released by World Health Organization (WHO) on Wednesday (India time) analysing particulate matter (PM) in the air across the globe. Of all the deaths linked to severe air pollution, 43% were associated with chronic obstructive pulmonary disease (COPD) a chronic inflammatory lung disease that causes obstructed airflow from the lungs, and 29% succumbed to lung cancer. WHO estimates close to 90% of people globally were exposed to severely polluted air, and about seven million died around the world in 2016 due to reasons attributed to air pollution. There is a 100% correlation and COPD is triggered by both outdoor and indoor air pollution. We had done a study in the hospital years ago that gave us enough evidence to prove it. The study observed our patients for about a year and found that emergency visits due to COPD had increased by 24% within 24 to 48 hours of rise in pollution levels, says Dr GC Khilnani, professor, department of pulmonary medicine, AIIMS.Lung cancer, which is one of the fast spreading cancers if not diagnosed early, is also one of conditions linked with inhaling severely polluted air over a long period. By the time people notice symptoms, the cancer has reached second or third stage, and becomes difficult to treat, said Dr Khilnani. Heart disease and stroke were other reasons for death that were linked to air pollution. It included both ambient (outdoor) and indoor pollution, with 25% dying of a heart disease and 24% suffering stroke. High air pollution levels definitely impacts functioning of the heart but we need further studies to establish the exact magnitude. It could be one of the precipitating factors, says Dr VK Bahl, head of cardiology department, AIIMS. ***** 27
Definition of petroleum may include Shale too The oil ministry plans to amend the Petroleum & Natural Gas Rules 1959 to include shale in the definition of petroleum, a change that would allow private companies to explore and produce the resource in the blocks they already operate. It has sought public comments in the next two weeks for the proposed amendment. The current definition excludes shale and therefore bars private companies from exploiting it from fields that are producing conventional oil and gas or coal-bed methane. The proposed amendment aims to broaden the scope of petroleum by dropping the line that refers to exclusion of shale. The amendment will help Essar Oil, Great Eastern Energy, Reliance IndustriesNSE 0.18 % Ltd, VedantaNSE 0.36 % and other private players wanting to exploit shale in their fields. The government s 2013 policy permits only state-run Oil and Natural GasNSE 0.28 % Corp and Oil India to explore shale. ONGC s experience in shale exploration hasn t been very encouraging so far though they have spent significant time and money on it. But private players like Essar and Great Eastern Energy have been sanguine about exploring shale in their coal-bed methane fields in eastern India. Both Essar and 28
Great Eastern have announced plans to invest $1 billion each for shale gas extraction once they receive license. The process to enable private players to exploit shale is part of the government s plan to turn India into a gas-based economy. A definition change will obviate the need to bring about a separate shale policy for private players. According to the current definition "Petroleum" means naturally occurring hydrocarbons in a free state, whether in the form of natural gas or in a liquid, viscous or solid form, but does not include helium occurring in association with petroleum or coal, or shale, or any substance which may be extracted from coal, shale or other rock by application of heat or by a chemical process. The proposal drops the last part from the definition that said petroleum does not include any substance which may be extracted from coal, shale or other rock by application of heat or by a chemical process. ***** 29
Indian fuel prices fourth highest among top 10 crude oil consuming nations At a time when petrol and diesel prices have hit record high, an analysis based on data compiled from various online sources reveals that petrol and diesel prices in India are not only the highest in this region but also fourth highest among the top 10 crude oil consuming nations in the world. India is, says the US Energy Information Administration, the third largest consumer of crude oil in the world at 4.14 million barrels a day (mbd), about four per cent of global consumption. The US (19.53 mbd) and China (12.02 mbd) are the top two. In this list of the top 10 consumers, India has one of the costliest prices $1.19 a litre for petrol and $1.05 a litre for diesel. The top three are Germany, South Korea and Japan, based on May 21 international product pricing data available with Global petrolprices.com. Based on the data, the world s largest oil producer, Saudi Arabia, has the cheapest price among the top 10 consumers $0.54 a litre for petrol and $0.13 a litre for diesel. Followed by Russia, the US, Brazil, Canada and China. The average global price of petrol last week stood at $1.18 a litre and $1.07 a litre for diesel. And, data with the Petroleum Planning and Analysis Cell, an official body here, shows this country had the highest price in the sub-continent, as on May 1. Pakistan s is Rs 50.67 a litre for petrol and Rs 57.06 a litre for diesel. Though all countries have access to the same global price for crude oil, retail prices in each depend on taxes. In India, the central government levies a fixed excise duty of Rs 19.48 a litre on petrol and Rs 15.33 a litre on diesel; state governments impose value added tax. India takes a 15-day average of international fuel prices to set its retail prices. Because of that, we are able to partly take care of sudden spikes in global crude prices, M K Surana, chairman and managing director of Hindustan Petroleum Corporation, told the media last 30
week. According to industry sources, every $1 increase in international crude oil prices demand an increase of at least 63p a litre in Indian rates. The price of petrol was Rs 78.12 a litre and diesel was Rs 69.06 a litre on Sunday in Delhi. In Mumbai, it touched an all-time high of Rs 85.93 a litre and Rs 73.53 a litre, respectively. The Indian basket of crude oil is a weighted average of Brent crude (sweet) and Dubai and Oman crude (sour); it touched $75.95 a barrel on Saturday. On Sunday, Brent crude came down to $76.44 a barrel, after the Opec cartel and Russia said they planned to boost oil output by a million barrels a day, to curb a rally that took the price above $80 a barrel. ***** 31
India seeks Japan's help to build LNG facilities India asked Japan on Tuesday to help build infrastructure needed to boost the usage of liquefied natural gas (LNG) in India and elsewhere in Asia, India s oil minister Dharmendra Pradhan said after a meeting with Japan s trade minister Hiroshige Seko. India wants to increase the share of gas, which is a cleaner fuel than oil, to 15 percent of its energy usage by 2030 from 6.2 percent currently. Explored opportunities for Japanese investments in India s gas infrastructure and SPR (strategic petroleum reserve) program, Pradhan tweeted after a meeting with Seko. The two ministers also discussed the possibility of developing joint energy projects in Africa, Pradhan said. Seko s visit to New Delhi has come at a time when India is preparing to create a network with other major oil consumers in Asia, such as China, South Korea and Japan, to negotiate better terms with sellers. The world s biggest LNG buyers, all in Asia, are increasingly clubbing together to secure more flexible supply contracts in a move that shifts power to importers from producers in an oversupplied market. The world s three biggest LNG buyers - China, Japan and South Korea - joined together last year in March to secure flexible supply contracts. India was not part of that group. However, in October the Indian cabinet approved a plan allowing New Delhi to work with Japan to make long-term LNG import deals more affordable for its consumers. ***** 32
NCR क 17 द ल म 1 अप र ल 2019 स दमल ग BS-VI फ य ल एक अप र ल 2020 क ड डल इन क थ तय क य ह ग BS-VI स - ब एस क मत ब ह भ रत स ट ज यह एक उत सजडन म नक ह य न इस तकन क क ग लडय और फ य कम प र षण कर ग BS-VI क ग लडय म ज य बड लर ल टर (लवश ष प रक र क र ज प लट डक ट लर ल टर) ग ह त ह भ रत सरक र न स 2000 स ब एस म नक क श र आत क थ जह तक श क 12 मह नगर शहर क ब त ह त वह ऐस करन एक अप र 2020 स पह स भव नह ह ग र र ब, ग डग व, मह द रगढ, र व ड, झझर, प व और म व त म एक अक ट बर 2019 स BS-VI फ य लम ग अ वर, भरतप र, म रठ, म जफ फरनगर, ग लजय ब, ग तमब द ध नगर, ब गपत, ह प ड, ब शहर और श म म 1 अप र 2019 स लम न ग ग BS-VI फ य प र षण पर ग म ग न क इर स अग स एक अप र स एनस आर क 23 म स 17 लज म BS-VI फ य लम न ग ग क द र सरक र न यह ज नक र स प र म क ट ड म ह क द र न बत य लक जह तक एनस आर क सव ह त र जव इज 23 लज म स 17 लज म BS-VI फ य लम ग इनम अ वर, भरतप र, म रठ, म जफ फरनगर, ग लजय ब, ग तमब द ध नगर, ब गपत, ह प ड, ब शहर और श म लज श लम ह वह र र ब, ग डग व, मह द रगढ, र व ड, झझर, प व और म व त म एक अक ट बर 2019 स BS-VI फ य लम ग स थ ह कह गय लक लभव न, र हतक, प न पत, स न पत, ज और करन म एक अप र 2020 स पह BS-VI स भव नह ह ग रत ब ह लक श भर क कई शहर म एक अप र 2020 तक BS-VI फ य उप ब ध कर न ह ***** 33
Oil companies see limited impact of sanctions, say high fuel prices to stabilise soon State-owned oil firms, having learnt their lessons during the previous sanctions against Iran three years ago, aren t too worried this time about losing oil supply or facing hurdles in paying for Iranian oil after the United States resurrected sanctions. US has backed out of the deal it, along with six other world powers, had stitched with Iran just three years ago to limit the Islamic Republic s nuclear programme. The UK, France, Russia, China, Germany and the European Union, the other signatories to the deal, are disinclined to follow the US in exiting the deal, which President Donald Trump has called one-sided. Following Trump s announcement on Iran sanctions, crude oil prices shot up to the highest levels in three years, crossing $77 a barrel in Wednesday s trade on fears sanctions could cut global supply. For India, which imports nearly 83% of the oil it consumes, such a surge could hurt currency, expand current account deficit and stoke broader inflation in the economy. But state refiners expect prices to stabilise soon. The paper trading is substantially higher than physical trading right now. And so prices may cool down at some point. If you look at fundamentals, a price below $70 looks more reasonable than the current range of $70-80 a barrel, said MK Surana, chairman of Hindustan Petroleum Corporation. Though it s early days, the sanctions are unlikely to hurt supply to Indian refineries as alternatives to Iranian oil can be easily found since there is enough global inventory, and unlike during the previous sanctions, the US is already an influential exporter of oil, Surana said. India imported about 471,000 barrels per day from Iran in 2017, and the volume was expected to rise in 2018. Iran is the third-biggest supplier to 34
India. Petroleum and natural gas ministry officials also said sanctions wouldn t hurt Indian refiners in crude purchase or paying for it but it might slow down state firms efforts to win the rights to develop Farzad field in Iran since sanctions may make project financing hard. The Farzad field was discovered by the Oil and Natural Gas Corporation but the award of its development rights has been delayed for years, first due to sanctions and then due to the differences on rate of return on investment between Indian and Iranian sides. The scene is still unfolding and we need more clarity to build a firm view. But we are likely to be better placed this time since other world powers are still sticking to the deal. Iran is better prepared, and so is India in dealing with sanctions, said R Ramachandran, director (refineries) at Bharat Petroleum. ***** 35
Ethanol blending programme to get policy boost as crude oil prices soar As crude oil prices soar, the new biofuels policy might prove a timely impetus to boost ethanol production and blending, ease financial woes and attract private investment is a sector dominated so far by state-run oil marketing companies (OMCs). It also comes when experimental projects planned for ethanol production are picking up pace and are at various stages of contracting and awarding. In 2016, the three state OMCs entered into 10 memoranda of understanding (MoU) for ethanol refinery projects and related initiatives. Some of these would have the three set up second generation (2G) ethanol units. Pune-based Praj Industries is one company which has partnered the OMCs for bio-energy solutions. Both the planned 2G ethanol plants for BPC (Bharat Petroleum) and IOC (Indian Oil) are on schedule and should be ready for commissioning by 2020. Awarding activity is underway for both, said Atul Mulay, its president for biofuels. BPC is setting up this plant in Odisha and IOC plans a similar one in Panipat, Haryana. In the MoU with Praj Industries, two ligno-cellulosic ethanol plants will be set up at Panipat and Dahej (Gujarat). We have awarded the licensor job to Praj for a plant at Panipat; the Dahej project is under review, a spokesperson for IOC said. Under the new National Policy on Biofuels, the central government has expanded the scope of raw material for ethanol production by allowing use of various agrowaste products. Molasses-based ethanol has other user industries and, hence, that source will be able to meet only partial requirements of our ethanol blending. Opening up agro waste as a source, helps meet the 10 per cent ethanol blending target, Mulay explained. Industry experts agree it is a step in the right direction. Avoiding burning of agro waste after harvests avoids pollution. In times of higher crude oil prices, renewable technology projects turn feasible. 36
If the government provides viability gap funding, the projects see the light of day. It is the need of the hour, said Deepak Mahurkar, partner at consultants PwC India. The policy allows for a viability gap funding scheme for 2G ethanol bio-refineries, of Rs 50 billion in six years, in addition to additional tax incentives. The challenges were on capital cost but with this policy for developing 2G ethanol, there is also talk of differential pricing and tax incentives to OMCs for blending, Mulay added. Mahurkar from PwC expects this to attract private sector investment. India has been finding it hard to meet the ethanol blending programme. The policy will help establish the technology, he said. There has, say industry officials, not been much of private investment till date in this segment. India is expected to need 10 billion litres of ethanol annually to meet the 20 per cent blending target in 2030 if petrol consumption continues to grow at the current pace. At present, the capacity stands at 1.55 billion litres a year. According to the policy statement, this year is likely to see supply of around 1.5 billion litres of ethanol, saving at least Rs 40 billion in foreign exchange. ***** 37
Why are crude oil prices going up? Brent, the international benchmark for oil prices, crossed $80 a barrel this week, touching the highest level since November 2014. The current price is almost three times the cost in early 2016 when it was $29 a barrel. The trend may continue in the coming weeks and months, according to most reporting on oil. Rising oil prices could cause significant inflation, dampen economic growth and alter geopolitics in multiple ways this year. The major trigger that sent crude prices north was U.S. President Donald Trump s decision to withdraw the country from the Iran nuclear deal on May 8. A second factor that is setting crude prices on fire is political and economic instability in Venezuela, another major petroleum exporting country. Further aggravating the situation, the Trump administration is threatening Venezuela with new sanctions that could come as early as next week. India imports significant quantities of oil from Venezuela and Iran. How will it affect us? The full impact of re-imposition of sanctions on Iran will take effect only in six months. The Trump administration has provided a six- 38
month wind-down period for energy-related sanctions against Iran. Sectors such as financial and banking, underwriting services, insurance, shipping and shipbuilding and port operation had got relief from the sanctions under the Iran nuclear deal in 2016, all of which influence oil trade. All these sanctions will kick in again. European countries, Russia and China, who are part of the Iran deal, have said they will not participate in American sanctions. It is unclear how far European companies could withstand American pressure and continue trade with Iran. French oil company Total has announced that it will halt a natural gas development project in Iran unless it receives a waiver from the U.S. government. China will continue to buy from Iran and so will India, even if in reduced quantities. Market analysts differ on how much of Iran s current export of around 2.2 million barrels per day would be off the global market in the coming days. Some say half of it will be unavailable as American sanctions take effect. In 2012, when sanctions were imposed last time, Iran s exports had fallen by half. The Trump administration appears to be in no mood to give any waiver to European companies, and the oil market is betting on America s ability and will to enforce the sanctions. What are other factors? Oil prices are also driven up by coordinated action by Russia and Saudi Arabia to keep supply on a tight leash. But the curbs on production by these countries had not anticipated the dramatic fall in production in Venezuela. The heightened instability in West Asia in the form of Saudi Arabia-Iran rivalry and the looming possibility of new military conflicts add to this. What happens next? Instability in oil prices could help America s strategic rivals Russia and China. Russia could benefit from higher prices in the international 39
market. China could get better deals in buying crude cheap from Iran as it could insulate the trade from secondary American sanctions. Higher oil prices could have mixed impact domestically in America. As the summer driving season is about to start, the daily increase in petrol prices and accompanying inflation could ruin Mr. Trump s political posturing. At the same time, higher global prices have accelerated domestic drilling and shale gas production in America, boosting Mr. Trump s politics. Plummeting prices had rendered shale gas extraction unviable in America, and it is coming back to life. Without directly addressing the gasoline prices, Mr. Trump posted on Twitter on Thursday: America is blessed with extraordinary energy abundance, including more than 250 years worth of beautiful clean coal. We have ended the war on coal, and will continue to work to promote American energy dominance! ***** 40
श म सबस बड़ स र ऊ प र क ट लग ग स र ऊज ड उत प न क म म म भ रत प र लवश व क स मन नज र प श करन ज रह ह श म लवश व क सबस बड स र ऊज ड प र ज क ट श र ह ग इसक अ व लनय म श र ह न व स र ऊज ड क 14 बड प र ज क ट म स प च भ रत म ग ग, लजसस 7.5 हज र म ग व ट लबज प ह ग इ स ट ट य ट र र एनज इक न लमक स ए र र इन लसय एन ल लसस क त ज ररप ट ड म म ग स र प र ज क ट क कर लनय भर क श क ब य र ज र लकय गय ह इसम सबस बड और सर सबस बड प र ज क ट भ रत बन रह ह लजनक वषड 2020 तक प र ह न क आस र ह अभ लनय क ल य श सबस बड स र प र ज क ट च न म ह, लजस जल द ह भ रत पछ डन ज रह ह वतडम न म लनय क सबस बड 14 स र ऊज ड प र ज क ट म स सबस बड च न क त ग र लर जट ड स र प र ज क ट ह, लजसस 1547 म ग व ट लबज प ह त ह सर न बर पर भ रत क क रन अल टर म ग स र प कड (आ ध र प र श) ह लजसस 1000 म ग व ट लबज प ह त ह इसक ब त न बड प र ज क ट च न क जबलक छठ न बर पर तलम न र स टथथत अ न क म थ स र प ल ट आत ह, लजसक क षमत 648 म ग व ट क ह ब क प र ज क ट अम ररक, ब र ज, लच, लक षण अफ र क और थ इ र म ह स ढ़ स त ह र म ग व र ट दब ल प ह ग - श म बनन व क प च प र ज क ट स कर ब स ढ हज र म ग व ट लबज प ह ग इनम सबस बड र जथथ न क भ स र इ र स टस टर य प कड ह, लजसक उत प न क षमत 2225 म ग व ट ह सर न बर पर कन डट क क प वगर स र प र ज क ट ह, ज 2000 म ग व ट लबज प कर ग स ल म ब ल ए ग ह ल त-ररप ट ड क अन स र, वषड 2020 क ब यह स टथथलत एक म ब ज एग, क लक भ रत म बन रह कई बड स र ऊज ड प र ज क ट श र ह ज ए ग ररप ट ड म 14 लनम डण ध न स र ऊज ड पररय जन ओ क भ र लक ग क गई ह इसम पह और सर न बर पर भ रत क प र ज क ट श लम ह वषड 2017 क एक ररप ट ड क अन स र, च न 130 ग ग व ट लबज उत प न क स थ लनय म श षड पर थ, जबलक भ रत 57.4 ग ग व ट लबज उत प न क स थ च थ थथ न पर थ लकन भ रत म 2022 तक 100 ग ग व ट उत प न पह च न क क ष य ह 61 ग ग व ट थ 2017 म भ रत क क थथ लपत क षमत 275 ग ग व ट स र ऊज ड उत प न क क ष य ह 2027 तक 15% म हर स घट रह ह स र ऊज ड स लम लबज क 31% क बढ तर ह ई ह भ रत म स र ऊज ड उत प न म ***** 41
Scaled down FY18 solar target met Data just released by the Union Ministry of New and Renewable Energy show that ground-mounted solar plants totaling 9,009.81 MW were set up in 2017-18 just about meeting the 9,000 MW target for the year. Yet, the cheering must be muted because the target itself was scaled down. An office memorandum of the Ministry dated April 6, 2016, mentions the target for 2017-18 as 15,000 MW. A concept note of the Ministry of December 2017, puts the target for the rooftop sub-segment at 5,000 MW for the year. Downscaling-The 5,000 MW target for rooftop was quietly scaled down to 1,000 MW in subsequent data releases of the Ministry. During the year, however, rooftop solar plants of only 353 MW came up. But that is still not the full story, because the Ministry counts only those rooftop projects that come to it for subsidy. Regardless, the target for ground-mounted solar plants ought to have, therefore, been 10,000 MW, and not 9,000 MW. The Ministry has not only scaled down the rooftop target of 5,000 MW to 1,000 MW, but also lowered the overall (ground-mounted plus rooftop) target to 10,000 MW. Hence, the illusion that the solar target for the year has been achieved. Going by the April 2016 memorandum, India should have ended 2017-18 with a solar capacity of 32,000 MW, in its run-up 42
towards the ultimate goal of 100,000 MW by March 2022. What has been achieved is 21,651 MW (20,587 MW of ground mounted and 1,063 MW of rooftop). A few industry insiders, who do not wish to be named, observed that while the government can revise targets based on ground realities, doing so without giving reasons did not seem right. 2018-19 scenario-so, what is in store for 2018-19? The original target was 16,000 MW for that year, which includes 6,000 MW of rooftop plants. This is likely to be met, given that solar projects of 14,230 MW were tendered out in 2017-18, most of which will come up this year. In addition, there will be new tenders. But the run-rate is still not good enough for the 100,000 MW target for 2022. Wind surprise-the wind industry ended 2017-18 with fresh capacity additions of 1,766.25 MW against the target of 4,000 MW. But the fact that the achievement in the first 11 months of the year was 597 MW shows the industry s resilience. ***** 43
Solar manufacturing schemes face hurdles over subsidy, WTO rules A subsidy scheme for promoting solar power equipment manufacturing is awaiting approval of the finance ministry while another one that offers assured power offtake to manufacturers is embroiled in World Trade Organisation (WTO) regulations. Officials said a Rs 160 billion capital subsidy was available to domestic and foreign players to set up end-to-end solar power equipment manufacturing in India. Under the M-SIPS scheme, the subsidy is to be disbursed after the setting up of the facility. The industry, however, has sought an upfront subsidy and interest subvention. The process of disbursal of the capital subsidy is complex and based on the reimbursement principle. To encourage effective participation, the capital subsidy should be disbursed upfront against a bank guarantee of the same amount, the Solar Power Developers Association has said in a representation to the ministry of new and renewable energy (MNRE). Ministry officials said they had received several representations from industry bodies and these were being studied. Every part of the supply chain has expressed its opinion. These are being evaluated. But sanction of the subsidy is in hands of the expenditure department of the finance ministry, an official said. The MNRE launched another scheme last year assuring power offtake to manufacturers setting up facilities via a bidding mechanism. The government has invited industry feedback on the policy. However, recently the WTO raised questions on the bidding process. The industry has another set of concerns about the scheme. A power developer said tariff-based bidding would hurt the sector as lower than market prices would not support large-scale manufacturing. Solar power tariffs have stabilised at rates that make it the cheapest source of energy in the country. Any further price fall will erode returns for the developer as well as the manufacturer. The government should look at awarding projects in feed-in 44
tariff mode, said a developer. The domestic solar manufacturing industry has yet again moved an application seeking safeguard duty on imports, alleging manufacturers in countries such as China, Taiwan and Malaysia have grabbed over 80 per cent of the Indian market. Indian solar panel makers have moved the Directorate General of Safeguards for a duty on imports. The DGS has suggested a preliminary duty of 70 per cent. If confirmed, this could raise the cost of solar power to nearly Rs 3 per unit. India will see 7,670 MW of solar power projects being tendered in the next two months through competitive bidding. Solar power tariffs have been falling constantly and touched a record low of Rs 2.44 per unit last year. It went up slightly in an auction held in Gujarat to the range of Rs 2.65-3.36 per unit. POWER POINTS 7,670 MW Solar power projects set to be tendered in the next 2 months through competitive bidding Rs 160 billion Capital subsidy is available to companies to set up end-to-end solar power equipment manufacturing in India The subsidy is to be disbursed after the setting up of the facility But the industry has sought an upfront subsidy Solar panel makers have also moved the Directorate General of Safeguards for a duty on imports The authority has suggested a 70% preliminary duty ***** 45
अक षय ऊ क लक ष य ह दसल करन म आठ स ल लग ग अक षय ऊज ड क उत प न क क ष य क ह लस करन म भ रत क कर ब आठ स क लव ब क स मन करन पड सकत ह एक त ज ररप ट ड म यह ब त कह गई ह ररप ट ड म ह लक यह कह गय ह लक अक षय ऊज ड क क ष त र म ह रह क यड स यह र जग र क अवसर बढ ग 2042 तक कर ब 45 ख नए र जग र स लजत ह न क अन म न ह क ल ईम ट प ल स र उ र शन द व र भ रत म अक षय ऊज ड क स टथथलत पर श व र क ज र ररप ट ड म यह ब त कह गई ह ज एनय और आईआईट क लवश षज न इस ररप ट ड क त य र लकय ह रअस, भ रत न 175 ग ग व ट अक षय ऊज ड प करन क क ष य रख ह इस पर त ज स क यड च रह ह लकन लवलभन न क रण स क ष य क ह लस करन म लव ब ह रह ह यह क ष य लनध डररत समय 2022 तक ह लस नह लकय ज सकत ह ***** 46
Empire of the sun Eight minutes and 20 seconds. That s how long it takes for sunlight to travel to Earth. And India has never been better prepared to receive it. As part of the world s largest renewable-energy expansion plan, India is banking on sunshine to meet an ambitious target. In four years, it expects to have 175 gigawatts (GW) of energy coming from renewable sources 100 GW of this to be solar power. In twelve years, the plan is for 40% of all India s power to come from renewable energy, up from 18% today. Meeting the 2022 deadline is expected to cost 125 billion ( 8.5 trillion), but if we make it, India will be the biggest solar energy generator after China and the US, a daring, expensive dream for a nation whose solar programme started much later. It s also a goal India can no longer put off. Electricity consumption has skyrocketed we now use twice as much energy as we did in 2000, and eight times as much as in the 1970s. The estimated fuel costs to power India are enormous, and it s devastating for the environment, says Divya Charen, a senior analyst specialising in power companies at credit-rating agency India Ratings and Research. More than half our power currently comes from burning coal and natural gas which pollute, and will eventually run out. BRIGHT SPARKS-When China started its solar journey a decade ago, the goals were size, speed and efficiency. Unlike the US and Germany, which encouraged rooftop panels to harness sunlight piecemeal, China introduced subsidies, began manufacturing photovoltaic cells on an industrial scale, and covered swathes of land and water in solar parks. China is now the world s largest solar power generator. Last year alone, it added 53 GW more than half of all new global solar capacity in that year. It s also home to the world s largest solar park, a 1.5 GW project in the Tengger Desert. The numbers might look different in the coming years. Falling subsidies suggest China s solar 47
growth will be slower in 2018. Of the world s 10 largest parks under construction, only 1 is in China. Five are in India, two of them (See box: Walking on sunshine) bigger than China s biggest. By 2022, India expects to have 38 solar parks selling power to state-owned companies to supply to end-users. Unlike hydroelectric dams, solar parks are easy to build; there are fewer problems with geological sensitivity, losing forest cover and displacing people, Charen says. SPACE BAR-India s biggest parks are being built in Karnataka, Telangana, Rajasthan, Gujarat sunny regions with vacant, arid land. But across the country, farms, hospitals, campuses, malls and offices are setting up their own solar power systems. Panels are getting less expensive, making the sun s energy more viable to use, says Rahul Jigjinni, director of Gruntech Projects, which sets up rooftop and ground-level solar power systems in India. Urban homes and residential societies, however, haven t been as enthusiastic. Institutional projects are easier, there are few decision makers, Jigjinni explains. It s harder to get 150 homeowners to agree to invest 60 to 80 lakh in an electrical system that takes 10 years to break even. Even if they were enthusiastic, space is an issue. In vertical cities such as Mumbai and Gurugram, there often isn t enough skyfacing space to install enough panels to generate power for all residents. Also, battery packs to store solar power are expensive and need regular replacing. CLOUD CONTROL-In the solar industry, size matters, but so does technique. Grandiose central government plans fumble at the state level. Often, power grids are unable to access, transmit or cope with intermittent supply from solar parks. Power distribution companies have not been guided on the mix of coal and power use for grids, Charen says. In regions where excess solar power is being generated, there aren t enough ways to store it. A series of Green Energy 48
Corridors, with high-voltage lines and renewable energy management centres, are being planned to fix this. Both are delayed. We need five times more transmission lines in 2018-19 than we installed in the previous year, to keep the power flowing. A major concern is India s scattered state policies for rooftop systems that are connected to the electricity grid. An office complex or mall may use much of its power in the day, while homes tend to use more electricity after sunset, when everyone s home but the sun isn t shining, says Jigjinni. Institutions with rooftop panels also harness solar power on holidays. Net-metering systems which offset units contributed to the grid against units drawn from it are a good way to promote rooftop solar use. Customers pay lower bills and recover their costs faster. But states have varied polices about it. Some limit the amount of energy you can send to the grid, some don t want to buy from rooftop systems at all, Jigjinni says. Charen believes it s going to be hard to meet the 2022 target. The total land required to power all of India by the sun isn t much an area two to three times the size of Goa, she says. Everyone agrees that solar energy is a good investment. But it s not clear whether we ll be able to raise those trillions for our growth ambitions. And there s too much left to do. ***** 49
Solar sector shining for employment generation, too The solar power sector created 164,400 jobs by the end of 2016-17, while solar heating gave jobs to 17,000 people. The wind industry has spawned 61,000 jobs. This is according to a recent report by the Abu Dhabi-headquartered International Renewable Energy Agency (IRENA). Solar accounted for most of the new jobs. New solar installations reached a record 9.6 GW in 2017, effectively doubling the total installed base of the technology in the country. Employment in solar PV increased by 36 per cent to reach 164,400 jobs, of which 92,400 were in on-grid applications, says IRENA s Renewable Energy and Jobs Annual Review 2018. Sectoral break-up-the agency estimates that the construction and installation segment of the value chain accounts for 46 per cent of these jobs, with O&M and manufacturing representing 35 per cent and 19 per cent, respectively. All the sub-segments of the renewable energy industry taken together, such as bio-fuels and small hydro but excluding large hydro projects, the Indian renewable energy industry employed an estimated 432,000 people by the end of 2016-17, the IRENA report said. As of March 31, 2017, India had installed solar power capacity of 12,288 MW. The country has added 9,010 MW since then. Likewise, India s wind power capacity stood at 31,177 MW and 50
end March 2017, and in the next one year the country added 1,766 MW. To put the job-creation levels in perspective, a 2015 report of the Delhi-based Centre for Energy, Environment and Water (CEEW) and the New York based Natural Resources Defense Council (NRDC), said that the Indian solar sector would generate more than a million jobs by 2022, if the country meets the 100 GW target by that year. Conservative estimates-the CEEW-NRDC report also said the wind industry would put on the table 183,500 jobs by 2022, if it met the government s target of 60 GW by that year. Wind capacity in India stood at 34,043 MW at the end of March this year. A draft study titled Economic rate of return for various renewable energy technologies that the Ministry of New and Renewable Energy brought out in January showed that the government s estimates are more conservative than those of CEEW-NRDC. It calculates that 691,857 highly, semi and unskilled manpower will be required by 2022 for solar, 124,200 for wind and 87,245 for small hydro. The government has come up with per-mw estimates of jobs required based on a Skill Gap Report for Solar, Wind and Small Hydro Sector by Skill Council for Green Jobs (SCGJ) published in 2016. IRENA s estimate of 164,000 solar jobs as of March 2017 corresponds to a solar installed capacity of 12,288 MW, which is 12 per cent of the targeted capacity. The employment generation numbers are then encouraging 23 per cent of the estimated requirement of jobs has been created for 12 per cent of the capacity. For wind, the estimate of 61,000 jobs means 49 per cent of the estimated requirement of manpower, for 52 per cent of the capacity target met. Global scenario-the IRENA report says that as at end December 2017, the world had created 10.3 million green jobs, 5.3 per cent higher than a year before. 43 per cent of these jobs were in China. Solar alone accounted for 3.4 million jobs, and 88 per cent of this is in Asia 51
(mostly, China). In 2017, the world added 94,000 MW of solar power capacity, compared with 73,000 MW in 2016. Wind employs 1.15 million by 2017, 0.6 per cent lower than a year ago. ***** 52
गन न क द लक और प आल स बन य दवक ई धन आईआईट ब एचय क क लमक इ ज लनयरर ग लवभ ग म गन न क लछ क और प आ स ज लवक ई धन बन य गय ह भलवष य म प ट र प थ क लकल लत क ध य न म रखकर अभ इसक ग णवत त बढ न पर श ध ज र ह लवभ ग क प रम ख प र. प क लमश र न बत य लक ज लवक ई धन उच ग णवत त व ऊज ड ह वषड 2015 स लवभ ग क प रय गश म ज लवक ई धन बन न पर श ध च रह थ र. न ह श र व स तव व लवद य लथडय न ई धन त य र लकय ह इसक ग णवत त क और स ध रन तथ म त र क बढ न क ल ए नय श ध च रह ह 1. क य ह दवक ई धन-प ट र प थड जम न क भ तर प र प त ह, जबलक ज लवक ई धन प ध स प र प त ह त ह इसल ए यह व य म र म ग र न ह उस ग स क बढ न म सह यक ह प ध पर आध ररत य ई धन आमत र पर क लष र स स प र प त लकय ज त ह ज व ई धन क म ख य प रक र ह इथ न और ज व-र ज इथ न क आमत र पर मक क और गन न स बन य ज त ह, जबलक ज व र ज क स य ब न और ज ट र र स त य र लकय ज त ह यह प र पररक ज व श म प र षण रलहत ई धन क अच लवकल प ह 2. व य प र षण नह - ज लवक ई धन स व य प र षण क खतर नह ह प र. प क लमश र न बत य लक ह इर र जन अपन पय डवरण य ग ण क क रण ज व ई धन क सशक त लवकल प ह यह एक उच घनत व व नव न ऊज ड क स र त ह ह इर र जन क हन ह त ह तब ज व ष प उत पन न ह त ह लजसस व य प र षण क स भ वन नह ह त 3. व ण बन त ह दवक ई धन-ज लवक लवलध स ह इर र जन क उत प न गन न क लछ क स लकय ज त ह इसम गन न क स थ प आ सड य ज त ह इस प रल य म ज व ण ओ क भ लमक महत वप णड ह त ह इस र स यलनक प रल य क ब स ल य ज तथ शकड र प र प त क ज त ह स ल य ज ए ज इम क लवघट न स ज लवक ई धन बन त ह 4. रद द क ग स बन य ग ई धन-आईआईट ब एचय क लमक इ ज लनयरर ग लवभ ग क प रय गश म अब रद द क गज और र क कचर क उपय ग कर भ ज लवक ई धन बन न क त य र च रह ह प रय गश म त य र ज लवक ई धन क सस त करन तथ प रच र म त र म उप ब धत क ल ए रद द क गज क उपय ग लकय ज रह ह 5. व ल य एड ड प र ड क ट-गन न क लछ क व प आ स कई व ल य एर र प र र क ट त य र लकय ज त ह इसस लनक न व एन ज इम क प रय ग ज स बन न व क पलनय भ करत ह इसक अ व प पर इ र स टर व वस त र उद य ग म एन ज इम प रय ग लकए ज त ह ***** 53
दवक कचर स बन ग स स ड़ ग दसर ट बस स वच त र लक ग म ग त र ब र न बर एक रह च क मध यप र श क शहर अब एक और क लतडम न अपन न म करन ज रह ह शहर स एकत र ह न व ज लवक कचर स म थ न ग स बन कर इसक इस त म लसट बस म ई धन क र प म लकय ज एग क पररवहन म इस तरह क व यवथथ ग करन व श क पह शहर बन ज एग शहर म डन व ऑट ररक श और क पररवहन क अन य व हन म ज लवक कचर स त य र म थ न ग स क ई धन क त र पर ट र य लकय ज रह ह स मव र स लसट बस म स एनज क थथ न पर म थ न क इस त म लकय ज एग श र म 20 बस स स च न श र लकय ज एग जल द ह स एनज स च न व 63 लसट बस म इस ग लकय ज एग ज लवक कचर स म थ न ग स बन न क ल ए शहर म एक हज र लक ग र म क षमत क प ल ट ग य गय ह इस प ल ट क स च न क लजम म मलह द र ए र मलह द र क पन क स प गय ह और प ल ट ग ए ज रह ह, लजसस र ज न त न हज र लक ग स क आप लतड ह सक ग स म ट ड लसट प र ज क ट क तहत शहर क सबस बड सब ज म र म 10 कर ड र पय क गत स बन व स ट ट ब य ग स प ल ट स 20 ट न ज लवक कचर (र और सब ज स लनक ) स र ज न एक हज र लक ग स त य र ह ग शहर म प रलतल न कर ब 600 ट न ग कचर क उत प न ह रह ह अब तक इस कचर क इस त म ख बन न क ल ए लकय ज त रह ह ब य म थ न प ल ट म बनन व ग स क क मत स एनज क म क ब प च र पय प रलत लक कम ह ग लर ह स एनज 58 र पय प रलत लक लम रह ह शहर म लर ह 63 बस स एनज स च त ह नगर लनगम क स हक र अश व रस न बत य लक एक प ल ट पर 20 ट न कचर स एक हज र लक म थ न ग स प रलतल न त य र ह ग प प स च न क ल ए प र षण लनय त रण ब र ड स सलट डलर क शन लम च क ह ***** 54