Municipal Street Lighting Energy Efficiency Scenario in India Pradeep Kumar 21stMarch, 2013 The Alliance’s Mission Statement: The Alliance to Save Energy promotes energy efficiency worldwide to achieve a healthier economy, a cleaner environment, and greater energy security Who is the Alliance to Save Energy? Established in 1977 Non-Profit A leader in energy efficiency in all relevant sectors: • municipal • industry • buildings • utilities • research • appliances • policy • federal government Experience in over 33 countries In India last 12 year • transportation • Training/education Why Municipal Energy Efficiency ? Why Municipal Energy Efficiency? Extremely Cost Effective (20 to 40% saving potential)** - Reduction in energy and O&M cost - Simple Payback- 2 to 3 years - Reduces the need for new infrastructure In National Interest - Reduced energy intensity will help climate change mitigation efforts - Reduce demand and supply gap at the national/state level Improved Municipal Services - Time to incorporate best practices - Better and more reliable services to community Overview- Indian Street Lighting Sector Second Largest Municipal System in the World India’s municipal sector consumes 4-5% of total electricity Energy Consumption by Public Lighting 2% relative to total Energy Consumption by all Sectors 6,500 Million Units in absolute terms Data source: CEA What is happening? 7 What’s happening …. Practice is to procure “lighting material” NOT the Light Use of lighting components from secondary market Lack of guidelines on lamp/fitting selection Absence of control systems Selection of tenders on ‘Low cost’ basis for O & M of street lighting No design based approach 8 Municipal EE Challenges in India Cities lack technical, managerial and financial capacity to implement projects Lack of metering & monitoring systems -difficult to establish baseline Lack of policy on reducing energy consumption in street lighting systems Lack of guidelines on technical specifications and performance standards Low confidence in Public Private Partnership -Fair deals take time to setup Typical Observations • Pole to pole spacing is not uniform • Low mounting height at some of the poles • Angle of tilt is not uniform • Some of the luminaires are with out shielding cover. Though this increases the average illumination, this could cause glare. • Some of lamps are entirely cover with black dust, requires regular maintenance for the improved illumination. • Some residential roads provide with 250 W HPSV lamps along with 40 W FTL even near the houses. 10 Energy Efficiency Measures 11 Energy Efficiency Measures Application of energy efficient lights and fixture Timer controls/ photo sensor Avoid late payment/ and penalties Improved operating practices Voltage optimization Design based lighting procurement Procure Electronic ballast Power factor Relocation of luminaries according to required level of illumination 12 The Stakeholder’ Concern Why have results been low? Why have results been low ? Policy / Regulatory Low energy pricing and collections Rigid procurement and budgeting policies Limitations on public financing Ad hoc planning Limited and poor quality data Equipment/ Service Providers Public End Users Limited incentives to save energy Risk averse Lack of discretionary budgets for upgrades Unclear ownership of energy savings Lack of awareness and technical expertise High transaction costs for public sector projects Perceived risk of late/non-payment High project development costs Limited technical, business/risk management skills Limited access to equity and finance Financiers High perceived public credit risks New technologies and contractual mechanisms Small sizes/high transaction costs Behavioral biases Why implementation is so difficult Dispute over Baseline – Meter readings Vs Billing Distrust in EPEC concept Lack of M&V understanding – power quality , burning level Issue with project re-payment mechanism Quality of bid document ESCO balance sheet to borrow loan Project packaging document is not up to the mark Bankers lacks knowledge to evaluate EE project - Assest based lending vs cash flow based financing Why implementation is so difficult Who should play key role in developing such project - State level agency - Infrastructure development agency - Municipality Identification of key stakeholder is key for the success of the project The issues… Lack of metering - case 1 – No meter - Billing based on wattage X burning hrs case 2 – Faulty meters – Incorrect reading recordings case 3- Non working meters – Average readings for billing purpose Lack of sub metering Lack of dedicated feeder for streetlight operations - The streetlight feeders also has additional housing or other loads in most of the places in residential areas Theft of energy : Baseline adjustment- adding additional loads during festive session or in similar circumstances- difficult to record as well as quantify For More Information: Pradeep Kumar Director- India Alliance to Save Energy - India Bangalore, India 0-9845775008 [email protected] www.ase.org or www.watergy.org To download presentation visit www.ase.org
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