Agricultural Demand Side Management (AgDSM)

Agriculture sector is one of the most important sector of Indian economy. Agriculture plays a

significant role in the overall socio-economic development of India.

There are about 20 million pump sets presently energized in India and annual addition of 0.25 to 0.5

million pump sets are realized in this sector. Agriculture sector consumes 20-22% of total electricity

consumption.

Managing agricultural load is increasingly becoming a challenge for electricity utility in India.

Subsidized tariff generate a perception of zero marginal cost of electricity use and consequently,

efficiency in consumption is disregarded. Upgrading of existing pumping systems presents an

immediate need and an unprecedented opportunity. Implementation of this program is crucial as

energy bills for agricultural pump sets are being paid by Govt. in the form of subsidy.

Low or free electricity coupled with high inefficiencies contributes to adoption of local made

inefficient & unreliable pump sets, results in massive water wastage & higher energy consumption.

The average efficiency of existing in-efficient pump sets is in the range of 20% - 30% whereas

efficiency range of new star rated Energy Efficient Pump sets (EEPS) is 40% - 50%. Therefore, there

is a need to tap the huge energy savings potential promised in agriculture pumping sector

In Energy Sector and Power sector, Agricultural Demand-side Management (AgDSM) consists of

those activities, methodologies, awareness, policy and technologies that influence consumer

(farmers) behavior and Changes their (farmers) consumption patterns.

The objective of the AgDSM programme is to reduce peak demand, shift the time during which

electricity is consumed to off-peak hours and to reduce the total quantum of consumption.

The AgDSM proposition is very simple i.e. replacement of inefficient agricultural pump sets with BEE

star rated and high efficiency pump sets to reduce the amount of electricity needed to pump water in

agriculture sector. By doing so, electricity usage can be reduced. If the savings from the reduction in

electricity usage can be sustained and the total cost of the electricity saved exceeds the total installed

cost of the pump sets over its useful life, there will be a net economic gain.

First AgDSM Project in India

Bureau of Energy Efficiency (BEE) has facilitated and initiated the implementation of first Ag DSM

pilot project in Solapur circle of Maharashtra where 2209 old inefficient pump were replaced

with star rated Energy Efficient Pump sets (EEPS) and provided free operation and maintenance

for installed pump sets till project duration. The intervention would lead to lower energy supply on

the feeder, and hence, could result in lower subsidy to be paid by the State Government.

In order to accelerate and implementation of BEE AgDSM scheme, Energy Efficiency Services Limited

(EESL) had taken a step forward for implementation of AgDSM project in all over India. EESL has

conducted the survey & study for implementation of AgDSM. The details of survey & study and

implementation of project as given below:

AgDSM Projects on ESCO Mode

Status of the Detailed Project Report’s

Project Name Number of Pump

Sets Status

Hubli Electricity Supply Company Limited (HESCOM) 11,013 Completed

Bangalore Electricity Supply Company Limited (BESCOM) 13,864 Completed

Andhra Pradesh Central Power Distribution company Limited (APCPDCL) 455 Completed

Andhra Pradesh Eastern Power Distribution Company Limited (APEPDCL) 2,496 Completed

Jaipur Vidyut Vitran Nigam Limited (JVVNL) 1,966 Completed

Telangana State Southern Power Distribution Company Limited (TSSPDCL) 3,299 Under progress

Andhra Pradesh Southern Power Distribution Company Limited (APSPDCL) 5,013 Under progress

Status of the Implementation of AgDSM Project

Project Name Number of Pump Sets Replaced

Date of Completion

Energy Saved per Annum

Energy Saved in Percentage

(%)

Investment in Cr.

HUBLI Electricity Supply Company Limited, Byadgi And Nippani Circle

590 30 December,

2013 30 lakh units 37% 2.60

Chamundeshwari Electricity Supply Corporation LIMITED, Mandya District

1337 18 March,

2015 56.68 lakh units 37% 5.03

Eastern Power Distribution Company Of Andhra Pradesh Limited, Rajanagaram Mandal

2496 Under

progress ~30% 19.66

Benefits to DISCOMs

Reduction in power purchase cost

Monetary benefits because of sharing of energy saving

Lower load shedding

Reduction in peak demand

Lower subsidy burden

Benefits to Farmers

Free Cost of Energy Efficient Pump Sets (EEPS)

Free Repair & Maintenance till project duration

Less pump failure

Farmer awareness workshop on AgDSM and best agricultural irrigation practice

HESCOM, Hubli

APEPDCL, Rajahmundry

CESC, Mysore