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ECONOMIC SURVEY OF DELHI
1999 - 2000

(March 2000)

  CHAPTER - 11
ENERGY

1.  Energy is the prime mover of development. Globally, the per capita consumption of energy is used as a borometer to measure the level of economic development. The per capita consumption of eletricity in Delhi is around 1,000 knw, which is almost three times the national average. All the rural and urban villages in Delhi are electrified. According to the 1991 census, about 80% of the households in Delhi had electricity connections and the remaining 20% were in JJ clusters, unauthorised colonies and rural areas.
2.  In Feb. 1997, the Delhi Vidyut Board (DVB) replaced the Delhi Electric Supply Undertaking (DECU) which was an MCD undertaking.

INVESTMENT IN THE ENERGY SECTOR

3.  Given the importance of energy in development, the energy sector has been accorded high prioroty in Delhi's five- year and annual plans. The share of energy in total plan expenditure since 1980 the Sixth Five-Year Plan is given below:

Statement 11.1
OUTLAY & EXPENDITURE UNDER ENERGY SECTOR
 

Five-Year Plan Period Total Plan expenditure Expenditureon
Energy Sector
% of Total Plan Expenditure
Sixth 1980-85 1,042.07 169.80 16.29
Seventh 1985-90 2,631.47 838.86 31.88
Eighth 1992-97 6,208.32 1,555.92 25.06
Ninth 1997-2002
(outlay)
15,541.28 3046.55 19.60
Annual Plan 1997-98 1,978.31 307.72 15.55
Annual Plan 1998-99 2,052.95 447.84 21.81
 
4.  An outlay of Rs. 489 crore (16.3% of total outlay) has been allocated for the energy sector during 1999-2000.

ENERGY DEMAND

5.  Delhi's energy requirment is growing at about 10% per annum. From a peak demand of only 27 MW in 1951, Delhi's power demand crossed 2,509 MW during the summer of 1999 and is expected to touch 3,500 MW by the year 2002. Against the peak demand of 2,509 MW during 1999, the total availablity was only 2,400 MW, of which 350 MW came from DVB's own generation projects, 500 MW from BTPS and 1550 MW from the Northern Region Grid.

 
POWER GENERATION

6.  While demand has been growing rapidly, capacity addition has remained relative stagnant. The net cost of generating power from DVB's own plants is high due to low capacity utilisation and high fuel consumption by the plants. DVB's own generation installed capacity is 664 MW but availabilty is only around 300-350 MW. More than 80% of Delhi's power needs are met by purchases from NTPC and other sources (Table 11.1).

PLANT LOAD FACTORS
       
7. The PLF of the thermal plants of the national level in   1997-98 was 64.7%. In contrast , DVB's PLF for the last five years is indicated below :


Statement 11.2
PLANT LOAD FACTOR
          

YEAR 1995-96 1996-97 1997-98 1998-99 1999-2000(R.E)
PLF(%) 26.92 32.39 34.50 31.14 31.00
Source : Delhi Vidyut Board
       
TRANSMISSION AND DISTRIBUTION (T&D) SYSTEM
          
8. The present overall transformation capacity and line length are inadequate for the peak load of  2,509 MW. System augmentation is a major priority at present. The targets and achievements in the 9th Plan are indicated below :

      
Statement 11.3
9TH PLAN TARGETS FOR TRANSMISSION AND DISTRIBUTION SYSTEM
                       

S.No. Item 9th Plan Target Annual Plan 1997-98 achievement Annual Plan 1998-99 achievement Achievement
of  first
two years
Annual Plan 1999-2000 target
  Delhi Vidyut Board          
(1) T & D Works          
(A) Transformatrion Capacity
(Unit - MVA)
         
(i) 400 KV 1260 315 315 630 315
(ii) 220 KV 2350 100 300 400 600
(iii) 66 KV 700 60 270 330 300
(iv) 33 KV 450 90 234 324 266
(v) 11 KV 1260 222.415 264.6 487 400
(B) T & D Capacity (Unit  CKT Kms.)          
(i) 400 KV 226 48.00 - 48.00 74.00
(ii) 220 KV 320 - 14.6 14.60 62.80
(iii) 66 KV 110 5.24 14.62 19.86 28.80
(iv) 33 KV 130 11.863 45.57 57.43 57.05
(v) 11 KV 4200 474.774 556.67 1031.44 500.00
(2) Shut Capacitor
(Unit MVAR)
800 20 270 290 300
(3) New Connections
(Nos.)
280000 65314 84509 149823 60000
(4) Tubewell Connections
(Nos.)
2800 295 521 816 400
Source : Delhi Vidyut Board
      
9. A 400-KV ring is being set up around Delhi to draw power from the Northern Regional Grid, the project is far behind its original target date of completion (June 1994). The Project consists of a 400-KV double circuit line from Mandaula to Ballabhgarh through Bawana and Bamnauli. The Mandaula- Bawana Section of 23.801 kms was commissioned in January 1998. Work on the Bawana-Bamnauli section is expected to be completed by June 2000. Work on the Bamnauli- Ballabhgarh section is awaiting clearance from the Haryana Forest Department. The 400-KV sub-stations at Ballabhgarh, Mandaula and Bawana have been completed and the sub-station at Bamnauli is targeted for completion in 1999-2000.
10. To strengthen the  T&D system, against an investment of  Rs. 1,378.39 crore in the Eighth Plan, a provision of Rs 1,800 crore has been made in the Ninth Plan. Rs. 681.46 crore were spent during 1997-99. A provision of Rs. 417 crore has been made to strengthen the T&D system during 1999-2000.
11. Average T&D losses in the country are 21%; in Mumbai they are 11% and in Calcutta they are around 19%. In Delhi, T&D losses increased from 22.6% in 1991-92 to 42.55% in 1995-96 and were around 49% in 1998-99. Given the type of utility and distribution pattern DVB uses, technical loses should not exceed 11-12% but present technical losses are around 18-19%. The bulk of T&D losses in Delhi are due to electricity theft.
12. Details regarding number of consumers and pattern of consumption are at Table 11.2 and 11.3. The number of electricity consumers has increased from 10.11 lakh in 1980-81 to 20.64 lakh in 1996-97. The share of domestic consumption has increased  from about 29% 1n 1980-81 to 40% in 1996-97.
     
STRATEGY PAPER
       
13. A strategy paper for the power sector was prepared by the Government of  N.C.T. of Delhi in 1999. The important suggestions regarding structural reforms are L :
(i) A Delhi Power Generation and Transmission  Company should be registered under the companies Act to manage the existing and planned generating stations as well the EHV transmission network upto 220 kv including sub-station. This company should follow the rules, regulations and the work culture of the NTPC and PGCIL.
(ii) New generation should be encouraged to come up both in the private sector, as also through joint ventures. The BOT/BOOT route could also be followed.
(iii) New Power distribution companies should be set up to look after the transmission and distribution network from upto 66 KV to 400 volts, consumer power supply, metering and revenue collection in the six existing circles of the DVB. These companies should have the flexibility to be organized  as joint venture
(iv) An independent, statutory Delhi Electricity Regulatory Commission should be established. This  Commission should undertake licensing of new capacity, prescribe performance standards and fix tariffs after appropriate consultations.
(v) All  legitimate interests of the employees of the DVB must be protected as part of restructuring.
    
REGULATORY COMMISSION
        
14. The Government of NCT of Delhi has constituted  a State Electricity Regulatory Commission. The main functions of   the Commission are :
    a) To determine the tariff for electricity, wholesale, bulk, grid or retail, as the case may be.
b) To determine the tariff  payable for the use of transmission facilities.
c) To regulate power purchase and procurement process of the transmission utilities and distribution utilities including the price at which power shall be procured from the generating companies, generating stations or from other sources for transmission, sale, distribution and supply in the National Capital Territory of Delhi.
d) To promote competition, efficiency and economy in the power sector.

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Table 11.1
AVAILABILITY OF ELECTRICITY

(In Million Units)

Year Locally Generated
@
Purchased from NTPC & other sources Total
1 2 3 4
1976-77 1569 446 2015
1977-78 1593 548 2141
1978-79 1413 971 2384
1979-80 1 467 1120 2587
1980-81 1313 1613 2926
1981-82 1113 2153 3266
1982-83 1077 2520 3597
1983-84 1037 2993 4030
1984-85 1255 3283 4538
1985-86 1158 3759 4917
1986-87

1402

4157 5559

1987-88

1359 4832 6191

1988-89

1088 5732 6820

1989-90

1662 5962 7624

1990-91

2351 6378 8729

1991-92

2415 6973 9288

1992-93

2433 8115 10548

1993-94

2281 8645 10926

1994-95

2280 9905 12185

1995-96

2212 10789 13007

1996-97

2026 11656 13682
@ Means DVB Share only.
Source: Delhi Vidyut Board.

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Table 11.2
NUMBER OF CONSUMERS OF ELECTRICITY

(Number of Consumers)

Year Domestic (Fan, Light,Heat, Power) Commercial
(Fan, Light Heat, Power)
Industrial Water works and Street Lighting Total no.   of
consumers*
1980-81 806812 162241 41370 1075 1011498
1990-91 1420214 201725 79385 1900 1703224
1992-93 1533935 210483 85915 2029 1832362
1993-94 1579020 213522 87555 2055 1882152
1994-95 1617944 216717 90541 2155 1977357
1995-96 1666581 230730 94475 2215 1994002
1996-97 1713474 251501 96923 2219 2064117

*Includes N.D.M.C. and M.E.S.
Source: Delhi Vidyut Board.

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Table 11.3
PATTERN OF ELECTRICITY CONSUMPTION

(in Million Units)

Year Domestic Commercial Industrial * Water works & street lights Licensees
(NDMC & MES)
Total
1976-77 441 247 444 111 363 1606
1977-78 454 243 483 121 376 1677
1978-79 530 243 567 131 424 1895
1979-80 576 242 639 127 433 2017
1980-81 701 453 590 175 453 2372
1981-82 746 499 753 61 485 2544
1982-83 850 598 821 42 530 2841
1983-84 945 632 858 38 579 3052
1984-85 1162 709 950 48 597 3466
1985-86 1286 779 1095 193 598 3951
1986-87 1385 827 1200 73 599 4084
1987-88 1483 881 1085 280 639 4368
1988-89 1687 918 1420 297 641 4963
1989-90 2108 1046 1751 299 649 5853
1990-91 2316 1093 1952 347 707 6415
1991-92 3110 1002 1843 363 781 7099
1992-93 3741 1024 2067 378 786 7996
1993-94 3348 1172 1764 363 846 7493
1994-95 2961 1278 1368 350 883 6840
1995-96 2835 1501 1537 390 1037 7300
1996-97 3038 1004 2047 528 931 7548
Source: Delhi Vidyut Board.

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