Transcript ENTECSOL INTERNATIONAL - Nepal Electricity Authority

ENTECSOL
Energy Technology Solutions
International
South Asia Power Market -Prospects and
Challenges
By
D. N. Raina
President
Entecsol international
[email protected]
Kathmandu
March 6, 2013
Creation of Regional Power Market
Analysis of
Country wise
Electricity
Demand Supply
Situation
in the Region
Assessment of
Opportunities
and Barriers to
Cross-Border
Electricity Trade
and Removal of
Any Barriers
Putting in
Place
Commercial
Arrangements
to Facilitate
Electricity
Trade
Creation of
Physical
Infrastructure,
Reaching
Agreement on
Technical and
Operational
Parameters for
Cross Border
Current Situation in SAARC
All the countries in the region facing acute power shortages except for Bhutan
especially in summer
Demand-Supply mismatch results in long planned and unplanned outages
Planned generation capacity additions unlikely to help overcome mismatch in near
future
Lack of Physical connectivity of power systems except between Bhutan-India and
Nepal –India
Encouraging trend :
 under construction transmission interconnection between Bangladesh-India, India- Sri Lanka
on the horizon and Pakistan-India prefeasibility study completed recently
 Efforts of Afghanistan and Pakistan to establish the Central Asia-South Asia transmission
interconnection to be the first major inter regional project for power imports in to South Asia
from the neighboring region
Opportunities
Despite prevailing shortages opportunities exist for cross border power trade due to:
- different generation profiles
- daily and seasonal variations in load curves
Resource rich countries resolve to expedite their economic development through
power exports
Importing countries willingness to import electricity to sustain their economic
growth
SAARC Heads of State approval for creation of SAARC Energy Ring
Region rich in hydropower resource that can be exploited to bridge the demandsupply gap
Technical and managerial expertise available within the region that can be shared for
mutual benefit
Barriers
Generation capacity limitation the biggest hurdle in allowing power exports
Electricity Laws and Regulation - only Bhutan and Nepal have provisions for
encouraging cross border electricity trade
Power Systems technical and operational parameters vary leading to establishment
of high cost HVDC interconnections instead of AC interconnections
HVDC interconnections make energy imports costlier
One-off projects unlikely to support development of a regional power market in
South Asia
Lack of commercial arrangements and or agreements specifically to handle
electricity trade
Barriers
Open access on transmission and distribution systems
Large investment requirement beyond the control of the governments in the region
Export duties envisaged for power exports
Financial weakness of power utilities hindering attraction of capital essential for
create physical infrastructure
THANK YOU !