Non Conventional Renewable Energy development in Sri Lanka

Eng. R J GunawardanaAdditional General Manager (Distribution)Additional General Manager (Distribution)

Ceylon Electricity BoardSri Lanka

07 November, 2011

I t d tiIntroduction

S i L k P S t Sri Lanka Power Sector

Present Policies on Non Conventional Renewable

Energy (NCRE)

Conventional & Non Conventional power plants

NCRE Development in Sri Lanka NCRE Development in Sri Lanka

Limitations & Current Issues

Cooperation expected from the private sector

Sri Lanka Power Sector

Ministry of Power & Energy Ceylon Electricity Board

(CEB)Ministry of P & E PUCSL

Regulator

Lanka Electricity Company (LECO)

Independent Power Producers (IPP)

CEB SEALECOProducers (IPP)

Regulator: Public Utilities Commission of Sri Lanka (PUCSL) IPPGen. Tr. Dist.Dist.(PUCSL)

Sri Lanka Sustainable Energy Authority (SEA)

Dist.

C l El t i it B d (CEB)Ceylon Electricity Board (CEB) CEB established by the Sri Lanka Act No. 17 of 1969y

CEB is a Statutory Body responsible for Generation, Transmission & Distribution of electricity in SriTransmission & Distribution of electricity in Sri Lanka

CEB is a vertically integrated power utility until 1997 with a monopoly on Generation, Transmission & Distribution

In 1997 Generation was opened for Private Sector (IPP) – This is based on the GOSL policy(IPP) – This is based on the GOSL policy

Power Sector Policy Directions 1997 Hydro power generation potential of the country will y p g p y

be developed to its full potential All large scale hydro power generation facilities are

to be remain under the governmental control (i.eto be remain under the governmental control (i.eCEB)

Private sector financing will be utilized for power generation from renewable energy sourcesgeneration from renewable energy sources ( development of small power plants maximum capacity up to 10 MW per project)

Sri Lanka National Energy Policy National Energy Policy Target: 10 % of grid gy y g g

electricity from the Non Conventional Renewable Energy (NCRE) by 2015

National Energy Policy – 2008/June (section 4.4.)

“Mahinda Chinthana Future Vision”“Mahinda Chinthana – Future Vision”

Vision of the Hon MinisterVision of the Hon. Minister

Conventional Non ConventionalConventional Non Conventional

Hydro with Reservoir, Thermal Power Mini Hydro Windy

Firm, DispatchableMini Hydro, Wind

Non Firm, Non Dispatchable

Installed capacity in MW (as at 31/12/2010) including IPP plants

C ti l l t

CEB Hydro 1207

Conventional power plants

C yd o 0

CEB Thermal 548

IPP Thermal 842

Source: CEB Statistical Digest 2010

Generation Mix by Source (2010)Generation Mix by Source (2010)

Source PercentageLarge Hydro (Renewable) 46 6%Large Hydro (Renewable) 46.6%Thermal 46.6%Small Renewables - NCRE 6.8%

53 4 % f t t l 53.4 % of total energy generated from renewables

in Sri Lanka

Classification of Non Conventional Renewable Energy Plants

Grid Connected : Grid Connected :

Connected to the integrated electricity distribution grid and deliver electricity exclusively to the gridgrid and deliver electricity exclusively to the grid

Off- Grid : Operate in isolation

CEB t d d d t t th i t t i tCEB standard documents to the private sector investors

Guidelines for Private Sector Participation in NCRE pprojects

Standardized Power Purchase Agreement (SPPA) for NCRE projectsNCRE projects

CEB Guide for Grid Interconnection of Embedded Generators (December 2000) – GRID CODE

CEB f ilit ti l hCEB facilitation role as a energy purchaser

Issue of “Letter of Intent” to build up the pconfidence of the private sector investor

Facilitate interconnection arrangements Sign SPPA to attract investments (This is a Sign SPPA - to attract investments (This is a

bankable document) Facilitate to get Tax Exemptions introduced

b th GOSL (E VAT NBT ti )by the GOSL (Ex: VAT, NBT exemption) Allow developer to build the interconnection

facilities under CEB supervision Witnessing the Testing & Commissioning Payments as per SPPA terms

NCRE Development Present Status of Non-Conventional Renewable Energy (NCRE) S t t 31/08/2011

Description Project Type No. of Capacity

(NCRE) Sector as at 31/08/2011

Projects (MW)

Commissioned ProjectsMini Hydro 87 182.951

Biomass Agricultural &Biomass-Agricultural & Industrial Waste 2 11.000

Solar 4 1.378Wind 3 30.000

Total – Commissioned 96 225.329

NCRE Development

NCRE TechnologiesNCRE Technologies

Mini Hydro

WindWind

Biomass (Dendro)

Municipal Solid Waste Municipal Solid Waste

Waste Heat Recovery

Other ( Solar, Wave Energy, etc.,)

CEB/SPPA.bst

NCRE Tariff

Flat tariff optionFlat tariff option

Technology All inclusive tariff Rs./kWh (for 20 year term)( y )

Mini Hydro 13.04Mini Hydro - Local 13.32Wind 19 43Wind 19.43Wind - Local 19.97Biomass (Dendro) 20.70Biomass (Agri. & Ind. Waste) 14.53Municipal Solid Waste 22.02Waste Heat Recovery 6.64y

Limitations of absorption of NCRE

NCRE b ti li it ( id i th

Limitations of absorption of NCRE

NCRE absorption limit (considering the total power system and load profile)

Grid substation absorption limit – 31.5 Grid substation absorption limit 31.5 MVA transformer can absorb only 25 MW of NCRE projects

Line limitations – need augmentation of lines & construction of long lines

Impacts on the Power SystemImpacts on the Power System

– Stability Issues– Operational Issuesp– Safety Issues– Power Quality Issues

Daily Load Profile : 9th February 2011Daily Load Profile : 9th February 2011

2 000

1 400

1,600

1,800

2,000

1,000

1,200

1,400

400

600

800

0

200

0:30

1:30

2:30

3:30

4:30

5:30

6:30

7:30

8:30

9:30

10:3

011

:30

12:3

013

:30

14:3

015

:30

16:3

017

:30

18:3

019

:30

20:3

021

:30

22:3

023

:30

1 1 1 1 1 1 1 1 1 1 2 2 2 2

Wh t th l ti ?What are the solutions ? Improvement of National Load Profile (may be p ( y

with the current development program of the country)A t ti f id b t ti t b ti Augmentation of grid substations to absorption of NCRE (tenders awarded)

Introduction of NCRE collector GSS ( alreadyIntroduction of NCRE collector GSS ( already done in Puttalam to absorb wind power)

Construction of long lines to absorb NCRE (need li d i i )a policy decision)

Electricity Network with Distributed Generation

C ti t d f th i t tCooperation expected from the private sector

1. High cost of plant & equipment will lead to high g p q p gtariff – Need low cost plant and equipment to generate at affordable tariff to the consumer

2 A t ti f id b t ti d2. Augmentation of grid substations and transmission lines to absorption of NCRE –Need low cost funding for the augmentation work

3. Cost of finance is very high – Need low cost funding sourcesfunding sources

Th k YThank You

Ceylon Electricity Board

W b b lkWeb: www.ceb.lk