ENERGY DEPARTMENT
Government of Andhra Pradesh

SUTIRTHA BHATTACHARYA, IAS, Principal Secretary, Energy, Government of Andhra Pradesh

Q and A 

with 

Mr Sutirtha Bhattacharya
Principal Secretary, Energy

Investors will be interested in knowing how the Government is moving to ensure reliable and quality power in the state. Please elaborate on this...

· Power shortage is prevailing throughout the country. Andhra Pradesh is no exception to this, but as compared to national scenario, AP is in better place. The percentage shortage in energy is 4% against the national level shortage of 9.4%.

· There is no load relief and scheduled power cut to any sector in the State since 1st July, 2010.

· The Installed capacity of the State as on 31-12-2010 is 14781 MW.

· 10 Nos., 400 kV, 98 Nos., 220 kV, 290 Nos., 132 kV, 3837 Nos., 33 kV substations and 7.8 lakh DTRs are existing as on 31-12-2010.

· The present transmission availability in the State for the year 2009-10 is 99.89%.

· To bridge the gap between demand and supply and to ensure reliable and quality power supply huge capacity additions in Generation, Transmssion and Distribution sectors in future.

· It is proposed to add 16862 MW capacity by end of 12th Plan. It is proposed to add 6 Nos., 400 KV, 37 Nos., 220 KV, 125 Nos., 132 KV and 1311 Nos. 33 kV Substations and about 1 lakh DTRS each year during next 4 years with an investment of about Rs. 14000 crores in T&D sector to further improve the reliability of power.

To improve productivity in Energy, what are the state-of-the-arttechnologies that are being adopted?

· To address the growing concerns about environment and to ensure improved energy efficiency, AP Power sector is embarking latest state-of-the-art technologies.

· Generation Sector

• Super critical technology is being contemplated to enhance overall thermal power plant efficiency.

• IGCC technology is being experimented with to reduce carbon emissions.

· Transmission Sector

• Thermo vision cameras are used to detect hot spots on live conductors to corrective action in order to avoid interaction.

• Hot line techniques are being used to rectify faults on live conductors avoiding power interruptions.

• Monopoles to reduce the right of way problems to certain extent especially in urban areas.

• Gas Insulated sub-stations (GIS) to reduce space requireqment and maintenance cost.

• Under Ground Cables are being laid in areas where erection of over head lines is difficult.

• INVAR is a conductor is being used which will carry more current with the same weight and diameter with the advent of recent innovations in metallurgy. It is proposed to change the existing conductor of the lines with higher current carrying capacity conductor in areas where laying a new Overhead line is problematic due to ROW problems.

· Distribution Sector

• High Voltage Distribution System is introduced to improve distribution reliability and to reduce losses.

• Segregation of agricultural feeders is taken up with an objective of providing 24 hours 3 phase supply to villages to promote industries in rural areas.

• SCADA is being implemented for better control of distribution system and data availability.

We understand that in APGENCO we have the third largest power utility in India, while its hydel installed capacity is the second highest in India. NRIs and others will be keen to know a little more on this...

· APGENCO is catering to more than 50% of power needs of AP State.

· With 4383 MW of thermal capacity and 3792 MW of Hydel capacity APGENCO is the third largest power utility in India, while its hydel installed capacity is the second highest in India.

· Performance wise also APGENCO power plants are one of the best in the country. They are consistent recipients of highest PLF awards from Ministry of Power, GoI.

· To consolidate their position, as best generating company in the country and to provide adequate power to the people of Andhra Pradesh, APGENCO is proposing to add about 7500 MW by end of 12th Plan. 

What is the long term vision for Energy Security in A.P. as per the new industrial policy of the State Government?

· To encourage rapid industrial growth in the Sate, Govt. of Andhra Pradesh has announced Industrial Investment Promotion Policy (2010-15) vide G.O.Ms.No.61 Dt. 29-06-2010, providing various incentives for setting up of new industries.

· As per above policy, the incentives relating to power include:

• Fixed power cost reimbursement @ Rs.0.75 per unit (upper ceiling) on the proposed revised rates (2010-11) for 5 years from the date of commencement of commercial production. In case, decrease in Power Tariff, the reimbursement will be reduced proportionately.

• Promote merchant power plants through the PPP models to reduce power shortage in the state.

• Provide dedicated feeders to units located in industrial estates / parks and industrial areas for uninterrupted power supply.

• APTRANSCO will convert feeders having more than 50% of the industrial load as dedicated/express feeders.

• Efforts will be made to ensure un- interrupted power supply to the industrial units in coordination with Energy Department.

• Associated needs like Solar Power, Wind Power etc. will be taken up by facilitation and interaction with other departments.

• Encourage new captive power plats for self-consumption and will examine providing Electricity duty exemption.

• To meet the policy initiatives and ensure energy security on long-term basis, the state envisages to add 16862 MW in State, Central and Private Sectors. Matching Transmission & Distribution network is proposed to be added by investing about Rs 14000 Crores. 

We understand that captive power generation will be allowed for all industrial units. Kindly throw more light on this...
In the recent past due to poor hydro availability, industrial sector could not be supplied with adequate power. To address similar concerns in future, Govt. of AP proposed to encourage new captive power plants for self consumption as per new Industrial Investment Promotion Policy. 

We also understand that dedicated feeders and lines will be laid by APTRANSCO to all existing and proposed industrial areas / estates. What kind of time frame for completion do have you in mind?

· Industries are being provided with adequate quality, uninterrupted power at a competitive price. To facilitate this, 1722 Express Industrial feeders are erected.

· Electrification of new industrial areas /SEZs are taken up as per the need and dedicated feeders for industries are laid as per requirements.

January 2011