PowerGrid not Sure of Open Access System

Power Grid Corp of India Ltd.
Kolkata: The open access system on a priority basis is not likely to be facilitated by Power Grid Corp of India Ltd., even if the national grid, which is supposed to supplement the Open Access System, comes up by 2012. The government-owned transmission giant, PowerGrid is not sure whether it can facilitate such schemes at the power situation prevailing then.

A provision of the Electricity Act of 2003, Open Access will let a distribution company to source power from any generating company including captive generators. Transmission companies are required to provide the lines for transfer of such power against transmission charges, which does not have a component of surcharge in it. This effectively introduces wholesale charges that would pave way for retail competition.

According to PowerGrid’s director of projects, S Majumdar, to enable open access, there should be excess capacity available for transmission with high transmission reliability margin (TRM). And PowerGrid cannot ensure that even after the national grid comes to place with a capacity to carry 37,200 mw by 2012, it will have enough of the TRM to enable Open Access.

Transmission reliability margin is the amount of transfer capability reserved to ensure that the transmission network is secure under a range of uncertainty in the operating conditions.
Majumdar said, “As the principal power transmission company, grid security is our prime concern.”

According to the Officials, the electricity grid system allows frequency to range from 48hz to 50.5hz. PowerGrid is not comfortable with this. The entire open access system is designed on the margin of transmission network, officials said. However, if private players start entering the transmission sector independently, there are chances that open access will take off.

According to IS Jha, executive director, of the Rs 1,40,000 crore investment proposed in the transmission sector during the 11th Five -Year plan, the government expects the private sector to invest Rs 20,000 crore. PowerGrid will invest Rs 55,000 crore and the rest will be invested by the state transmission companies.