Graduate Report - 2016

URBAN INFRASTRUCTURE PLANNING AND MANAGEMENT

ELECTRICITY NETWORK
M. Tech. (Urban Planning) I, Semester - II

Faculty Advisor

Submitted By

Dr K. A. CHAUHAN

Harsh Desai
(P15UP008)

Post Graduate Section in Urban Planning

Civil Engineering Department

ACKNOWLEDGEMENT
I take opportunity to express my deep sense of gratitude and indebtedness to
Dr. K. A. CHAUHAN in Civil Engineering department, S.V.N.I.T, Surat for his
valuable guidance, useful comments and co-operation with kind and encouraging
attitude at all stages of the experimental work for the successful completion of
this work.

Harsh Desai
P15UP008

CERTIFICATE
This is to certify that Mr. Harsh Desai (P15UP008), student of M. Tech. (Urban
Planning) First Year (Semester - II) Department of Civil Engineering, has
successfully submitted the Graduate Report on "Electricity Network",
submitted in Department of Civil Engineering, Sardar Vallabhbhai National
Institute of Technology, Surat for the academic year 2015-2016.

Dr K. A. Chauhan
Associate Professor
CED
SVNIT

CONTENTS
1. Introduction
2. Basic Terms and Definitions
3. Components of Electricity Distribution Network
4. Electricity System
5. Electrical Substation
6. Underground Transmission and Distribution
7. Power Distribution Reforms in Gujarat
8. The Franchisee Model in Electricity Distribution
9. References

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1. INTRODUCTION
National Development Goals directly or indirectly are linked to status physical infrastructure.
Infrastructure is provided to raise the quality of life of vulnerable population of the world. The
planning and management of infrastructure shall be based on the hierarchy of urban
development. URDPFI guidelines suggest the infrastructure planning norms for an Urban/
Regional space; the norms are suggested under five categories, namely:
I.
II.
III.
IV.
V.

Transportation Planning
Physical Infrastructure
Social Infrastructure
Commercial Infrastructure
Miscellaneous Infrastructure

Physical Infrastructure includes the following infrastructures mainly.

Municipal Core Infrastructures
i.
ii.
iii.
iv.

Water Supply Network

Sewage Network
Storm water Drainage Network
Solid waste management System

Other Infrastructures
i.
ii.
iii.
iv.
v.

Electricity
Energy
Communication
Fire Fighting System
Milk Distribution Network

Social Infrastructure includes health and education.

This report focuses on the Electricity Infrastructure as an integral part of physical
infrastructure, its components, Indian Scenario, Recent reforms in policies and Existing
scenario of Surat.
Electricity is the set of physical phenomena associated with the presence and flow of electric
charge. Electricity gives a wide variety of well-known effects, such as lightning, static
electricity, electromagnetic induction and electrical current. In addition, electricity permits the
creation and reception of electromagnetic radiation such as radio wave
The role of urban planner is to provide space for different infrastructure required to setup
efficient network services. And hence the detail study of each urban network services is
required. The basic objectives of a planning of such networks are adequate supply, reliable
supply and satisfactory quality of supply at any point in present and future.

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2. BASIC TERMS AND DEFINITIONS

In electricity, charges produce electromagnetic fields which act on other charges. Electricity
occurs due to several types of physics:
I.

Electric charge: a property of some subatomic particles, which determines

their electromagnetic interactions. Electrically charged matter is influenced by, and
produces, electromagnetic fields.

II.

Electric field: an especially simple type of electromagnetic field produced by an

electric charge even when it is not moving (i.e., there is no electric current). The electric
field produces a force on other charges in its vicinity.

III.

Electric potential: the capacity of an electric field to do work on an electric charge,

typically measured in volts.

IV.

Electric current: a movement or flow of electrically charged particles, typically

measured in amperes.

V.

Electromagnets: Moving charges produce a magnetic field. Electrical currents

generate magnetic fields, and changing magnetic fields generate electrical currents.

VI.
VII.

Electric power: where electric current is used to energise equipment;

Electronics:

which deals with electrical circuits that involve active electrical

components such as vacuum tubes, transistors, diodes and integrated circuits, and
associated passive interconnection technologies.
VIII.

Voltage: is a push, which causes electrons to flow in a conductor. Higher the voltage
higher is the push. Voltage or kilo volt is the unit used for measuring voltage

IX.

Watt (W): The basic unit of measure of electric power. The power dissipated by a
current of 1 ampere flowing across a resistance of 1 ohm.

X.
XI.

Kilowatt (kW): A unit of power equal to 1,000 watts

Kilowatt Hour (kWh): A unit by which residential and most business customers are
billed for monthly electric use. It represents the use of one kilowatt of electricity for
one hour. A 100-watt light bulb burning for 10 hours would use 1kilowatt-hour of
electricity.

XII.
XIII.

Megawatt (MW)A unit of power equal to one million watts.

Megawatt Hour (MWh): The use of 1 million watts (or 1,000 kilowatts) of electricity
for one hour. This term is used most often for large-scale industrial facilities and large

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population centres. The average U.S. household uses 11.3 MWh (11,327 kWh) of
electricity every year.
XIV.

Power: (measured in Watts) equals its current (measured in Amps) time sits voltage
(measured in Volts) or Volts X Amps = Watts.

XV.

Load factor: is the ratio between average demand and maximum demand is called a
load factor (l.f.) load factor = average demand / maximum demand.

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3. COMPONENTS OF ELECTRICITY DISTRIBUTION NETWORK

There are mainly three components of Electricity distribution network as follows:
a. Electricity Generation
b. Electricity Transmission
c. Electricity Distribution

Fig.1 Electricity Network Components

All these components are discussed in details as following.

3.1 Electricity Generation is the process of generating electric power from other sources of
primary energy. Electricity is generated by the movement of a loop of wire, or disc of copper
between the poles of a magnet. Electricity is most often generated at a power station by
electromechanical generators, primarily driven by heat engines fuelled by chemical
combustion or nuclear fission but also by other means such as the kinetic energy of flowing
water and wind. Other energy sources include solar photovoltaics and geothermal power and
electrochemical batteries. Power Stations are usually of following types depending on the
source of energy.
Non renewable power generation
A. Nuclear power plant
B. Thermal power plant
a. Coal or lignite base
b. Gas or liquid fuel base
c. Diesel base
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Renewable power generation

A. Hydroelectric
B. Wind power
C. Solar power
Indian Scenario of Power Generation: Installed Capacity
Sector
State Sector
Central Sector
Private Sector
Total
Fuel
Total Thermal
Coal
Gas
Oil
Hydro (Renewable)
Nuclear
RES** (MNRE)
Total

MW
97,951
74,807
115,248
288,005

%age
34.0
26.0
40.0

MW
200,740
175,238
24,509
994
42,663
5,780
38,822
288,005

%age
69.7
60.8
8.5
0.3
14.8
2.0
13.5

Indian Scenario of Power Generation: Consumption

Year

Target

Achievement

% of
target

% of
growth

2009-10

789.511

771.551

97.73

6.6

2010-11

830.757

811.143

97.64

5.56

2011-12

855.000

876.887

102.56

8.11

2012-13

930.000

912.056

98.07

4.01

2013-14

975.000

967.150

99.19

6.04

2014-15

1023.000

1048.673

102.51

8.43

2015-16* (Upto January

2016)

947.166

921.862

97.33

4.62

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3.2 Electric Power Transmission is the bulk transfer of electrical energy, from generating
power plants to electrical substations located near demand centers. This is distinct from the
local wiring between high-voltage substations and customers, which is typically referred to as
electric power distribution. Transmission lines, when interconnected with each other, become
transmission networks.
Electricity is transmitted at high voltages (115 kV or above) to reduce the energy losses in
long-distance transmission. Power is usually transmitted through overhead power lines.
Underground power transmission has a significantly higher installation cost and greater
operational limitations, but reduced maintenance costs. Underground transmission is
sometimes used in urban areas or environmentally sensitive locations.
The lack of electrical energy storage facilities in transmission systems (with minor exceptions)
leads to a key limitation of the systems: electrical energy must be generated at the same rate at
which it is consumed. A sophisticated control system is required to ensure that electric
generation very closely matches the demand. If the demand for power exceeds its supply, the
imbalance can cause generation plant and transmission equipment to automatically disconnect
and/or shut down to protect themselves. Electric transmission networks are interconnected into
regional, national, and even continent wide networks to reduce the risk of such a failure by
providing multiple redundant, alternative routes for power to flow should such shut downs
occur. Transmission companies conduct many analyses to determine the maximum reliable
capacity of each line (ordinarily less than its physical or thermal limit) to ensure that spare
capacity is available to absorb power demands from a failure in another part of the network.

Different Types of Transmission Towers

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The natural resources for electricity generation in India are unevenly dispersed and
concentrated in a few pockets. Hydro resources are located in the Himalayan foothills, North
Eastern Region (NER). Coal reserves are concentrated in Jharkhand, Odisha, West Bengal,
Chhattisgarh, parts of Madhya Pradesh, whereas lignite is located in Tamil Nadu and Gujarat.
Also lot of power station, generating from Gas and renewable energy sources like Solar, Wind
etc. have been installed in various parts of country.
POWERGRID a Central Transmission Utilities (CTU), is responsible for planning inter-state
transmission system (ISTS). Similarly, there are State Transmission Utilities (STU) (namely
State Transco/ SEBs) responsible for the development of Inter State Transmission System.
An extensive network of Transmission lines has been developed over the years for evacuating
power produced by different electricity generating stations and distributing the same to the
consumers. Depending upon the quantum of power and the distance involved, lines of
appropriate voltages are laid. The nominal Extra High Voltage lines in vogue are 800 kV
HVDC & 765kV, 400 kV, 230/220 kV, 110 kV and 66kV AC lines. These have been installed
by all the SEBs, and by Generation, Transmission & Distribution utilities including those in
Central Sector.
25,721 circuit kilometres (ckm) of transmission lines have been commissioned during 2015-16
(April-February2016) against 17,780 ckm commissioned during the same period last year,
thus having a growth of 44.66%. This is 108.5% of the annual target of 23,712 ckm fixed for
2015-16 and also the highest ever during a single year. Similarly, the overall increase in the
transformation capacity has been 43,956 MVA during 2015-16 (April-February2016)
constitutes 86.97 % of the target of 50,542 fixed for 2015-16.
The capacity of transmission system of 220 kV and above voltage levels, in the country as on
29th February 2016 was 3,39,158 km of transmission lines and 6,40,056 MVA of
transformation capacity of Substations.
As on 29th February 2016, the total transmission capacity of the inter-regional links is 57,450
MW, which is expected to be increased to 68,050 MW by the end of 12th plan i.e. 31st March,
2017.
The transmission lines are operated in accordance with Regulations/standards of Central
Electricity Authority (CEA) / Central Electricity Regulatory Commission (CERC) / State
Electricity Regulatory Commissions(SERC). However, in certain cases, the loading on
transmission lines may have to be restricted keeping in view the voltage stability, angular
stability, loop flows, load flow pattern and grid security. Power surplus States have been inter-

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alia, able to supply their surplus power to power deficit State Utilities across the country except
for some congestion in supply of power to Southern Region.
Power System Operation Corporation Limited (POSOCO), is managing the National and
Regional grid from National Load Despatch Centre (NLDC) and its five Regional Load
Despatch Centres (RLDC) through state-of-the-art unified load dispatch & communication
facilities.
Central Transmission Utility(CTU): Power Grid Corporation of India Limited (POWERGRID)
Power Grid Corporation of India Limited (POWERGRID, the 'Central Transmission Utility
(CTU)' of the country and a 'Nirvana' Company operating under Ministry of Power, is engaged
in power transmission business with the responsibility for planning, implementation, operation
and maintenance of Inter-State Transmission System(ISTS) and operation of National &
Regional Power Grids. POWERGRID is a listed Company, with 57.90% holding of
Government of India and balance by Institutional Investors & public.
POWERGRID, as on February 29, 2016, owns & operates around 1,28,201 ckm of Extra High
Voltage (EHV) transmission lines spread over the length and breadth of the country and 206
EHV AC & HVDC Sub-stations with transformation capacity of more than 2,49,579 MVA. Its
vast transmission network wheels about 46% of the total power generated in the country. The
availability of this huge transmission network is consistently maintained over 99% through
deployment of state-of-the-art operation & maintenance techniques at par with global
standards.
Integration of Renewable Energy Resources with conventional sources is a top priority
worldwide and special attention is being given in our country to harness the Green Energy.
CERC has provided a framework for trading in Green Certificates (Renewable Energy
Certificates or RECs) and National Load Despatch Centre (NDLC) of POSOCO has been
designated as the Central agency for this purpose.
POWERGRID has evolved the national grid in the country, which is one of the largest
synchronously operating electrical grids in the world with all its five electrical regions
interconnected synchronously. The present (as on 29.02.2015) inter-regional power transfer
capacity of the National Grid is about 57,450 MW. The inter-regional power transfer capacity
is envisaged to be augmented to about 72,250 MW by the end of the XII Plan (2016-17).
11 nos. of High Capacity Power Transmission Corridors (HCPTCs) have been finalized to meet
bulk power evacuation requirement of various Independent Power Producers (IPPs) mainly
coming up in resource rich and coastal areas such as Chhattisgarh, Odisha, Madhya Pradesh,

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Sikkim, Jharkhand, Tamil Nadu and Andhra Pradesh. Implementation of these corridors has
been taken up in a phased manner matching with generation projects.
POWERGRID has planned a capital investment of more than Rs.1,10,000 crore for
development of inter-State transmission system during XII Plan. During the XII plan it has
been envisaged to include about 40,000 ckm of transmission line and about 1,00,000 MVA of
transformation capacity. POWERGRID has already made a capital expenditure of Rs. 65,651
crore in the first three years of the plan period.
The Company has an excellent credit rating with financial institutions, thereby, is placed in a
comfortable position in terms of resource mobilization. POWERGRID is also playing a major
role in facilitating grid interconnection of renewable generation across the country through
implementation of portion of ISTS part of Green Energy Corridors.
Conserving Right-of-Way (RoW), minimizing impact on natural resources, coordinated
development of cost effective transmission corridor, flexibility in upgradation of transfer
capacity of lines matching with power transfer requirement are major areas of concern in
development of transmission network in the country. In this direction, the Company has been
working on higher transmission voltages of 800kV HVDC & 1200kV UHVAC. About 2,000
km long +800kV, 6000 MW HVDC Bi-pole line connecting Biswanath-Chariali in Assam to
Agra in Uttar Pradesh alongwith 1500 MW (Pole-I) of HVDC terminals at both ends has been
commissioned recently. Similarly, highest voltage level in the world, 1200 kV UHVAC Single
Circuit (S/c) and Double Circuit (D/c) test lines were successfully test charged along with one
1200 kV Bay at 1200kV UHVAC National Test Station at Bina, Madhya Pradesh and field
tests are currently undergoing.
To shore up its revenue and create value for its stakeholders, POWERGRID diversified into
telecom business, leveraging its Country wide transmission infrastructure. Company is
providing back-bone connectivity to all metros, major cities & towns including remote areas
of J&K & North-eastern States etc. Total network coverage is more than 36,000 kms and
numbers of Points of Presence (PoPs) locations are more than 350. Telecom Backbone
Availability for the year 2014-15 was 99.97%.
POWERGRID has successfully completed the prestigious NKN (National Knowledge
Network) project devised by Govt. of India, which connects all knowledge centres across the
Country such as Indian Institutes of Technology (IITs), Indian Institute of Sciences (IISCs)
etc., on a high speed connectivity Company has signed an agreement with Bharat Sanchar
Nigam Limited (BSNL) to improve the telecommunication connectivity with the North-Eastern
States including Sikkim. It envisages the provisioning of bandwidth on optical fibre media laid
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over existing high tension electric transmission network. After completion of the proposed
connectivity, the reliability of the telecom services improves substantially in North-Eastern
region including Sikkim.
As a part of Government of India plan to connect 250,000 Gram Panchayats (GP) in the
Country, POWERGRID one of the implementing agencies for National Optical Fibre Network
(NOFN) project and has been entrusted with the task of development and maintenance of the
NOFN network in states, namely Telangana, Himachal Pradesh, Jharkhand and Odisha.
Further, POWERGRID is playing a significant role in carrying forward the distribution reforms
through undertaking Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY) and Integrated
Power Development Scheme (IPDS) works on behalf of the Govt. of India in various parts of
the country.
POWERGRID has emerged as a strong player in South Asia and is playing an active role in
formation of a strong SAARC grid for effective utilization of resources for mutual benefits.
Presently, various electrical interconnections exist between India & Bhutan, India & Nepal and
India & Bangladesh. Further, the interconnection between India & Bhutan and India & Nepal
are being strengthened for substantial exchange of power across the borders.
POWERGRID is offering consultancy services to various National clients & International
clients, including many South Asian, African, and Middle East countries.
In Smart transmission, POWERGRID has been implementing Synchrophasor Technology in
its Wide Area Measurement System (WAMS) Project through installation of PMUs (Phasor
Measurement Units) at different locations in all regions across the country, which facilitates
better visualization and situational awareness of the grid events such as grid robustness,
oscillations, angle/ voltage instability, system margin etc. as well as decision support tools.
POWERGRID also acts as 'nodal point' in prestigious "India Smart Grid Task Force"
Secretariat for Government's activities related to Smart Grid.

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Indian Electricity Grid

3.3 Electric Power Distribution system is the final stage in the delivery of electric power; it
carries electricity from the transmission system to individual consumers. Distribution
substations connect to the transmission system and lower the transmission voltage to medium
voltage ranging between 2 kV and 35 kV with the use of transformers. Primary distribution
lines carry this medium voltage power to distribution transformers located near the customer's
premises. Distribution transformers again lower the voltage to the utilization voltage of
household appliances and typically feed several customers through secondary distribution lines
at this voltage. Commercial and residential customers are connected to the secondary
distribution lines through service drops. Customers demanding a much larger amount of power
may be connected directly to the primary distribution level or the sub transmission level.

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Different Types of Distribution Towers / Poles

Distribution is the most important link in the entire power sector value chain. As the only
interface between utilities and consumers, it is the cash register for the entire sector. Under the
Indian Constitution, power is a Concurrent subject and the responsibility for distribution and
supply of power to rural and urban consumers rests with the states.
Government of India provides assistance to states through various Central Sector / centrally
sponsored schemes for improving the distribution sector.

Integrated Power Development Scheme (IPDS)

The objectives of scheme are:

Strengthening of sub-transmission and distribution networks in the urban areas;

Metering of distribution transformers / feeders / consumers in the urban area.

IT enablement of distribution sector and strengthening of distribution network

Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY)

The objectives of scheme are:

Separation of agriculture and non-agriculture feeders

Strengthening of sub-transmission and distribution networks in the rural areas;

Metering of distribution transformers / feeders / consumers in the rural area.

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Rural Electrification

National Electricity Fund (NEF)

To promote investment in the distribution sector, GoI has set up National Electricity Fund to
provide interest subsidy on loans disbursed to the Distribution Companies (DISCOMS) both
in public and private sector, to improve the distribution network for areas not covered by
RGGVY and R-APDRP project areas. The preconditions for eligibility are linked to certain
reform measures taken by the States and the amount of interest subsidy is linked to the progress
achieved in reforms linked parameters.

Financial Restructuring Scheme

GoI has notified the scheme for Financial Restructuring of State Distribution Companies
(Discoms) in October 2012 for achieving their financial turnaround by restructuring their short
term liabilities with support through a Transitional Finance Mechanism from Central Govt.

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4. ELECTRICITY SYSTEM
Electricity is generated and leaves the power plant. Its voltage is increased at a step-up
substation. The energy travels along a transmission line to the area where the power is needed.
Once there, the voltage is decreased or stepped-down, at another substation. A distribution
power line carries the electricity. Electricity reaches your home or business.
An understanding of the electrical supply system is the starting point for the design of the layout
of the network. Electricity is generated in a power station. 11 KV/132 KV transformer step up
the voltage before it leaves the power station to the transmission line. Then it is led into a
primary grid substation, which steps down the voltage from 132 KV to 33KV. From there it is
transported to secondary substations where it is further stepped down from 33 KV to 11 KV
and led down from 11 KV to 415 V/ 220 V low voltages (LV) distribution system. In heavy
loaded city areas advantages are claimed for L.V. networks system in which groups of 500
KVA transformers are supplied alternately from different high voltage leaders. First decision
to be taken is whether to employ an overhead or underground system. As far as relative cost is
considered underground network cost more than the overhead. Overhead line has chances of
fault occurrence due to insulator failure, salt deposits, lighting, and birds and so on.
Underground system can fail because of joint failure, bad workmanship, damage caused by
digging etc. Other consideration, which goes in favour of underground system, is busy central
district. Security considerations and aesthetic consideration. It is most ideal to place electricity
network in a tunnel. But it is costly. With favourable soil conditions and topography,
underground networks can be placed in back filled open trenches, thus reducing construction
cost. Street pattern offers the limitation for laying out the low voltage electricity networks.
Several four-core distributor cables leave each secondary substation. Feeders are run either on
one side or on both sides of the road and the decision are influenced by other services, street
width and house spacing. For single carriageway street lighting, one can use a system of
staggered, opposed, single sided or centrally suspended system of lighting. For dual
carriageway central twin bracket, combined twin bracket or opposed may be utilized. Cables
are laid underground on both sides of the road as required or are buried along the axis of the
central reservation. Cables are also laid under footpath. Cables laid in P.V.C. duct can facilitate
replacement but this arrangement is expensive. Since single carriageway may develop into a
dual carriageway in certain road sections, due consideration for such development should be
given at the initial planning stage for street lighting.

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Typical Loads for Dwelling Units and Plants

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5. ELECTRICAL SUBSTATION
A substation is a part of an electrical generation, transmission, and distribution system.
Substations transform voltage from high to low, or the reverse, or perform any of several other
important functions. Between the generating station and consumer, electric power may flow
through several substations at different voltage levels.
Substations may be owned and operated by an electrical utility, or may be owned by a large
industrial or commercial customer. Generally, substations are unattended, relying on SCADA
for remote supervision and control.
A substation may include transformers to change voltage levels between high transmission
voltages and lower distribution voltages, or at the interconnection of two different transmission
voltages. The word substation comes from the days before the distribution system became a
grid. As central generation stations became larger, smaller generating plants were converted to
distribution stations, receiving their energy supply from a larger plant instead of using their
own generators. The first substations were connected to only one power station, where the
generators were housed, and were subsidiaries of that power station.

A: Primary power lines' side B: Secondary power lines' side 1.Primary power lines 2. Ground
wire 3. Overhead lines 4. Lightning arrester 5. Disconnect switch 6. Circuit breaker 7. Current
transformer 8. Transformer for measurement of electric voltage 9. Main transformer 10.
Control building 11. Security fence 12. Secondary power lines
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Special Standards for Substations

Sub Station Capacity
Plot size
220 KVA

305 x 244

Area in
sq m
74420

66 KVA

122 x 22

2684

33 KVA

76.5 x 46

3519

11 KVA

18.3 x 14

256.2

Switching Station

30.5 x 18.2

555.1

Kiosk

7.6 x 4.5

34.2

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6. UNDERGROUND TRANSMISSION AND DISTRIBUTION

Undergrounding is the replacement of overhead cables providing electrical power or
telecommunications, with underground cables. This is typically performed for aesthetic
purposes, but also serves the additional significant purpose of making the power lines less
susceptible to outages during high wind thunderstorms or heavy snow or ice storms.
Undergrounding can increase the initial costs of electric power transmission and distribution
but may decrease operational costs over the lifetime of the cables.
The aerial cables that carry high-voltage electricity and are supported by large pylons are
generally considered an unattractive feature of the countryside. Underground cables can
transmit power across densely populated or areas where land is costly or environmentally or
aesthetically sensitive. Underground and underwater crossings may be a practical alternative
for crossing rivers.

Underground cable installation

Advantages
Less subject to damage from severe weather conditions (mainly lightning, wind and
freezing)
Reduced range of electromagnetic fields (EMF) emission, into the surrounding area.
Underground cables need a narrower surrounding strip of about 110 meters to install
(up to 30 m for 400 kV cables during construction), whereas an overhead line requires
a surrounding strip of about 20200 meters wide to be kept permanently clear for safety,
maintenance and repair.
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Underground cables pose no hazard to low flying aircraft or to wildlife.

Much less subject to conductor theft, illegal connections, sabotage, and damage from
armed conflict.
Burying utility lines makes room for more large trees on sidewalks, which convey
environmental benefits and increase property values.
Disadvantages
Undergrounding is more expensive, since the cost of burying cables at transmission
voltages is several times greater than overhead power lines, and the life-cycle cost of
an underground power cable is two to four times the cost of an overhead power line.
Whereas finding and repairing overhead wire breaks can be accomplished in hours,
underground repairs can take days or weeks.
Underground cable locations are not always obvious, which can lead to unwary diggers
damaging cables or being electrocuted.
Operations are more difficult since the high reactive power of underground cables
produces large charging currents and so makes voltage control more difficult.
Whereas overhead lines can easily be uprated by modifying line clearances and power
poles to carry more power, underground cables cannot be uprated and must be
supplemented or replaced to increase capacity. Transmission and distribution
companies generally future-proof underground lines by installing the highest-rated
cables while being still cost-effective.
Underground cables are more subject to damage by ground movement.
The advantages can in some cases outweigh the disadvantages of the higher investment cost,
and more expensive maintenance and management.

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7. POWER DISTRIBUTION REFORMS IN GUJARAT

The Gujarat Electricity Board (GEB) was established along with the formation of Gujarat State
in the year 1960 under Section 5 of the Electricity (Supply) Act 1948. It commenced its
operations with generation capacity of 315 MW and a consumer base of 1.40 million
consumers. During 1970s and 80s, the major thrust was on the supply of electricity in the rural
areas. It was largely due to GEBs unwavering focus on rural electrification that Gujarat
became the first state to achieve the landmark of 100% Electrification of Villages. As per the
1991 Census, 17,940 out of 18,028 villages were electrified which was notified as close to
100%1 . The impetus for reforms Over time, the emphasis of GEB on electrification
particularly in the rural areas, new connections and maintenance activities resulted in
divergence from concentrating on profitability. Recovery of revenue was then considered as a
secondary function. As a result, GEB faced minimum growth of revenue, rising arrears and
heavy financial losses. It was also a drain on public resources due to the states policy of
supplying electricity to agricultural consumers at extremely subsidized levels. As a result, GEB
faced recurring financial deficits and was unable to raise resources for investments.
The Government of Gujarat (GoG) initiated an ambitious policy of inviting private sector
participation (PSP) in the power sector. But the desired PSP did not materialize because the
revenues generated by the sector were insufficient to service the large inflow of capital that
was required. Due to the drain on its resources caused by supporting an inefficient power sector,
the GoG was not able to increase spending on other important areas of infrastructure as well as
for social services. In view of the above, GoG decided to reform the power sector in the state
with a two-fold objective: I. Addressing the concerns of the investors II. Creating a business
environment conducive to improving the sectors operational efficiency, financial viability, and
service to consumers GoG proposed to achieve its above mentioned objectives through a
number of reforms. Some of the important measures which GoG decided to take in order to
achieve the targets were:
I.

Greater competition at all levels of the sector wherever practicable

II.

Corporatization and commercialization of existing sector entities

III.

Private sector participation in the generation and distribution segments

IV.

Tariffs enabling cost recovery as well as reasonable profits

V.

An independent regulator

VI.

Transparent, reasonable, direct, and quantified subsidies to vulnerable sections of

consumers.

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The promulgation of the Gujarat Electricity Industry (Reorganization and Regulation) Act in
2003 for reorganization of the electricity industry in Gujarat and for establishing an Electricity
Regulatory Commission in the state for regulation of the electricity sector paved the way for
the organizational restructuring of GEB. The vertically integrated GEB was unbundled into
seven companies one each for generation and transmission, four distribution companies
(Discoms) and a holding company known as Gujarat Urja Vikas Nigam Limited (GUVNL).
The generation, transmission and distribution companies have been structured as subsidiaries
of GUVNL. GUVNL acted as the planning and coordinating agency in the sector when reforms
were undertaken. It is now the single bulk buyer in the state as well as the bulk supplier to
distribution companies. It also carries out the function of power trading in the state. All
companies became fully operational from April 2005 and began conducting their activities
independently. Distribution in the cities of Ahmedabad and Surat has historically been with a
private sector entity viz. Torrent Power through its fully owned subsidiaries Ahmedabad
Electricity Company and Surat Electricity Company.
A noteworthy feature of reforms in Gujarat was inclusion of representatives of the unions and
associations of the staff in the restructuring process from the initial stage, i.e., from the time
decision was taken on reforming the sector. It convinced the staff that the GoG and GEB were
not pursuing any hidden agenda. It thus cultivated a high level of trust and confidence amongst
the staff about aims and objectives of reforms and the process proposed to be followed to
achieve them. This ensured full cooperation of the staff of GEB in the reform process. No case
of strikes/protests from employees of the erstwhile GEB was observed in Gujarat.

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One of the biggest achievements of GEB was its drive against power theft. GEB took stringent
measures to curb theft of power and dealt sternly with cases of theft and non-payment of bills
either by individuals or by companies. It appointed 500 retired army personnel to check power
offenders and set up a vigilance department headed by an IPS officer in the rank of Additional
Director General of Police on deputation from the Government of Gujarat. Further, introduced
a scheme of cash reward (based on the recovered amount due to submission of information) as
an incentive to encourage people to come forward and submit information on theft. For
eligibility for getting cash, the power theft informer had to submit detailed information on a
prescribed format. The name, address and amount paid to the informer were kept confidential.
Besides this, GEB formed 74 inspection squads under this vigilance department. 11 squads
were dedicated to checking HT installations and the remaining were required to check LT
industrial, commercial, residential installations. These squads conducted raids during odd
hours.
While many theft cases were disconnected immediately upon detection and reconnected only
after the violators paid their arrears, many violators were convicted by the court. For this
purpose, GEB appointed managers who were accountable to settle the case. GEB received
support from GoG in the form of five dedicated police stations at Surat, Baroda, Sabarmati,
Rajkot and Bhavnagar which were set up only to deal with cases of power and power property
theft. Officers of the rank of DSP, PI, PSI, and ASI from the state police department are
working on deputation to facilitate the functioning of these police stations. Some retired
officers from the state police department are also posted here as Officers on Special Duty.
Distribution Reforms in Gujarat and their Impact
The focus areas of distribution reforms in Gujarat have been as follows:

Reduction of distribution losses

Commercial loss reduction

Improvement in revenues

Improvement in customer services

Jyoti Gram Yojana

Though the villages in the state were largely electrified as per prescribed parameters, there was
a significant gap in the quality of power supplied to these villages. This was attributable to the
unauthorized use of power in these villages through illegal means resulting in frequent
transformer failures, poor voltage stability and poor reliability of supply. Further there was a
rapid increase in demand for power in the rural areas. In this backdrop, the GoG launched the

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Jyoti Gram Yojana (JGY) as a pilot initiative in eight districts in September 2003 with the
objective of supplying reliable and quality power. This scheme was part of the bigger objective
of facilitating growth of the rural economy in the state. The pilot was successfully completed
in October 2004 and in November 2004 the scheme was extended to the entire state.

Initiatives for technical loss reduction

Feeder Bifurcation
Reduction of HT / LT ratio by use of HVDS
Optimum loading of transformer

Initiatives for Commercial loss reduction

Installation of new meters
Improved cash collection services
Insulated/Aerial bunch conductor

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8. THE FRANCHISEE MODEL IN ELECTRICITY DISTRIBUTION

The reforms introduced to make the industry more efficient include unbundling of the vertically
integrated utilities and privatization. Focusing on the distribution sector of the electricity
industry, the paper outlines the various models which have evolved in the distribution sector
since the introduction of reforms in the industry in India. The Distribution Franchisee model is
one of them. Distribution Franchise business is one area which Torrent Power has been
aggressively pursuing as part of its expansion plans.
With an all-round experience in generation, transmission and distribution of power, and a
proven track record of implementing large power projects, Torrent Power is the most
experienced private sector player in Gujarat. The high points of Torrents foray into power
however were the acquisitions of two of the Indias oldest utilities The Surat Electricity
Company Ltd and The Ahmedabad Electricity Company Ltd. Torrent turned them into first
rate power utilities comparable with the best, in terms of operational efficiencies and reliability
of power supply.
Torrent has a generation capacity of 3250 MW and distributes power to 2.87 million customers
annually in Ahmedabad, Gandhinagar, Surat, Bhiwandi and Agra. Recently the company
implemented a 1200 MW gas based power project at Dahej in South Gujarat.
Torrent Power has an aggregate generating capacity of 3250 MW comprising:

1530 MW SUGEN gas based mega combined cycle power plant near Surat

1200 MW DGEN Mega Power Project

422 MW coal based Sabarmati Thermal Power Station at Sabarmati, Ahmedabad

50 MW solar plant at Charanka

49.6 MW wind plant at Jamnagar

A unique mix of coal and gas based power plants that uses the latest power generation
technologies ensures high thermal efficiency.

Torrent Power has set up a 400 kV transmission system for evacuating power generated
at its SUGEN plant to the various off take centers.

Transmission
Torrent Power is in the process of setting up a 400 KV transmission system for evacuating
power generated at its SUGEN plant to the various off take centers. The project being
implemented in a phased manner is nearing completion and is expected to be fully functional
during FY 2010-11.

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Distribution
Torrent Power transmits and distributes more than 12 billion units of power to around 2.2
million customers in the cities of Ahmedabad, Gandhinagar, Surat and Bhiwandi spanning an
area of 408 Sq. Km. and franchise area of 721 sq. km. These cities are major industrial and
commercial hubs.
For the citizens of Ahmedabad, Gandhinagar and Surat, disruption in life due to power failures
or outages are an unheard of phenomenon thanks to the outstanding operational efficiency of
Torrent Power. These cities also continue to stay insulated from electrical disturbances and
voltage fluctuations. The T&D losses in Gujarat at 7.6% is amongst the lowest in the country.
A testimony of Torrent Powers operational efficiency is the drastic reduction in T&D losses
in Bhiwandi from a massive 48% in January 2007 to the present 19.33%.
Torrent Power has in the true sense, evolved to be the lifeline for the cities that it serves and
has become an integral part of its socio-economic fabric.

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9. REFERENCES
1) Scott M. Watson (2011) A Brief Introduction to Electricity Transmission, Michgan bar
journal
2) E. S. Robinson and C. Coruh, (1998) Basic Exploration Geophysics, NewYork
3) Tushaar Shah, Ashok Gulati, Hemant P. Ganga Shreedhar, R C jain, Economic & Political
Weekly, December 26th 2009, Secret of Gujarats Agarian Miracle after 2000.
4) The Franchisee Model in Electricity Distribution: A case study of Torrent Power Limited
in Bhiwandi, Maharashtra. Sangita Kamdar

Webilography:
1) www.torrentpower.com
2) www.suratmunicipal.org
3) www.powermin.nic.in
4) www.dgvcl.com

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