rural microgrids

7/31/2019 Rural Microgrids

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Off Grid Systems : Micro and Mini-grids ForRural and Marginalised Communities

LOGO

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P R E S EN T E R N AM E : B R I AN M O Y O M U K WE D E YA

G E N E R A L M A N A G E R P L A N N I N G & D E V E L O P M E N T

By CONGRETRIX ENERGY, Hartbeespoort South Africa

ZIMBABWE INTERNATIONAL

ENERGY & POWER CONVENTIONHICC, Harare,

September 27-29, 2011


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Discussion Item Nine Roadmap

Agenda and Synopsis of TopicWhat Attendees Will HEAR?? Or Put them to SLEEP

Discussion Item Seven Policy IssuesPolicy Changes Necessary Including Regulation

Discussion Item Eight Energy and ElectricityExplained by example

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Item 8

Item 9

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w ere o we tart

Discussion Item Ten Discussion , Strategy & Planning ForumsWhat steps are necessary to take

Discussion Item Eleven ConclusionIs this a Viable & Sustainable Option??

Q & A

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Item 11

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Company BackgroundCongretrix Energy.

BEE pioneer developer in the RE & EE space with

the following Key Focus areas :

Solar PV photovoltaic power generation in Limpopo (40MW) and Gauteng (2 sites combined

70MW) at advanced stage of development.

Future interest in matured CPV technology for new project areas

.

Renewable Energy (RE)

Energy Efficiency (EE)

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Energy Efficiency Solutions for Commercial & Industrial Buildings

Incentivized DSM Solutions where Eskom has shifted to IDM process based on performance

Contracting. Congretrix is an ESCo that will largely use EMS tools to achieve better Energy

Savings .

Based in the North West, Hartbeespoort, South Africa

A key player in the hugely fast growing IPP / REFIT multibillion dollar industry.

Corporate Membership in Professional Bodies and Associations eg SAEE and Danish

Development Reseach Network for Wind Associations


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Quick Review

ONS

Mini Grid is an Electric Generator andDistribution system that is designed to servetypically small household loads at low voltage andload 60KW. They can be managed at grassrootslevel.(Micro grid operate at even at lower levels)

Centralised Grid is a network of powerfulGenerators commonly known as power stationsthat are connected to High voltage power linesover long distances. A system of Substation and

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DEF

INIT

s r u on rans ormers comp e e e ne wor .

Distributed Generator is an Electric Generatorless than 500KW output at voltage levels of 600V

Renewable Energy None fossil based alternativefuel source from naturally occurring elements such

as : Solar (PV / Thermal), Wind,

Geothermal,Wave,hydro power, including landfillgas etc that is non depleting and is sustainable.


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COMPARISEONE OF ITEM ONE

ENERGY

Term can be used to describe noneelectrical power used for cooking ,heating the environmental space(home) or water. These tasks can

ELECTRICITY

Conversion of Energy into powerthat can be transported over cableseven for very long distances. Thereare many devices and appliances thatcan be owered from electricit and

COMPARISON OF ITEM TWO

Comparison of Energy and Electricity(Without being scientific) 6

source

not heat energy)

IS THERE A DIFFERENCE????

Yes


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We first have to find answers to a few pieces

of this puzzle such as :

Measure per capita ratios of MW / per

population of Rural Areas and Villages

How do we dramatically increaseGeneration in Remote Marginalised Communities??7

Benchmark with Regional and Internationaltrends

Come up with clear and definitive plans

Target areas with productive cash crop

agricultural activities with moderate to highincome potential

Target areas with abundant animal and

vegetable Biomass for fuel production


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Generating Elements (Power Stations (Hydro /Thermal) in Zimbabwe

Transmission Elements ( Power Line (SHV / HV) / (LV) in Distribution

Substation (Transformer Yard, Switchgear, Protection)

Distribution Element (Mini Subs, Road Side Transformers)The above have one common factor which is

escalating costs as a result of proportionalincrease in distances & reduced customerensities.

What does a centralised Grid offer??. 9


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Generation + Base Load

Reserve Margin or

Electricity Penetration Linear Model11

wange, a a

Imports ++++

(Moz, DRC, SA,Zambia)

Peaking Generators

(Hre, Munyati,Byo

Thermals)

easona eman

Increased Demand throughSocio Economic Changes.

How feasible are Rural

Electrification Plans againstthis background??

.

room for furtherexpansion to remoteareas withoutadditionalDecentralised

Power???)


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Potential for Local Participation

Mini & Micro grid generation is a proven concept to enhancequality of life and provide reasonable ROR to investors.

The solution is both sustainable and replicable at Village orCommunity level and scale.

Locals can borrow and invest in the business and earn a

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External Agencies and Funding Foundations can support aprogressive initiative from grassroots level centered on viableeconomic growth (Mention of MDGs spurs instant action)

THE ADDAGE IS THAT RURAL ELECTRIFICATION WILL

NO LONGER RELY ON SUPPLY (BY GOVERNMENT)BUT BY SOLVING ENERGY AND DEVELOPMENTALISSUES


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Constraints and Challenges

Renewable Energy Technologies (RETs) are still relativelyexpensive in terms of initial Capital requirements.

The Communities require Education in getting off the mindset thatbiomass is free therefore Energy needs come from theEnvironment (but of which these resources are not sustainable )

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Electricity is used selectively, (focus only on lighting ,TVs, radiosetc) this is OK in the Short Term but undesirable in the Long Term.(Electricity Storage Issues in case of PV can arise) if its not Biogas)

Absence on Policy for Private Capital to be Invested in this Sector

Undocumented Impact on Economic Cost and Quality of Life Costfor the affected Communities including woman and children whocollect firewood.


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Policy Issues

Revisit old plans and criteria for un electrified and poorlysupplied Villages, and Growth Points (Initiated by incumbent

utility operator ZESA) Revise or amend the Grid Code accordingly to suit Minigrids.

Set Energy per capita ratios as targets to be in line with Regionaland International trends

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Identify how electricity production and use can be an importantdriver to Growth, Development and Improvement to quality oflife in rural areas.

Address any Regulatory issues that may impact on this Initiative

REVISIT HOW PART OF THE RURAL ELECTRIFICATIONLEVY AND FUND CAN BE UTILISED FOR THE BENEFIT OFSUCH PROJECTS


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ENERGY VS ELECTRICITY

It cannot be over emphasized why this distinction

should be clear to Policy makers, Utilities (Zesa &Municipalities) and Communities concerned.

There is need for change of perception and mindset

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An understanding of what we might term as the EnergyLadder and its impact on electricity usage

The Energy Ladder: use of Biomass (firewood, waste)

to Paraffin to LPG gas according to how communitiesutilise their energy needs as income increases


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Generating Policy

Transmission Policy IPPs in the Rural Space and applicable tariffs

Stage 1

National Plans

Policy Framework

Stage 2

This roadmap will examinethe merits and demerits ofwhy centralized grid

electrification is preferredbut its lack of impact andchallenges encountered inthe procurement process

Simple RoadMap

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Awareness and Education at Village Level

Consultations

Stage 3

Balanced Scenario , LCOE, Economic Potential of RETs

Stage4

The need to formulatevarious plans some whichare key guidelines toaddressing Policy issues byCentral Government

Necessary consultations toensure project success inthese previouslydisadvantaged areas


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Area 2

Area1

Detailed discussions & planning

This chart demonstrates a

simple approach inaddressing the complex

process that will create a

Discussion Planning and Strategy Forums. 18

Area 3

Resolutions / CommunityRepresentation

MOUs , Letters of Intent, External BuyIn (Funding) Carbon credits

Stakeholder Consultation / Steering Committee

investments in Mini an

Micro Grid System attract

potential Investors and the

Communities concerned

where the resources can be

exploited


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In Conclusion, it challenging forZesa as a utility to provide Powerto remote areas considering thelosses, expenses involved ,

management of the procurementprocess and contactors on site.

Decentralised generation willreduce losses and increaseavailabilit . Private Fundin will

CONCLUSION.

Centralised Gridelectricity to remoterural areas is notalways the most cost

effective and efficientmeans of Supply

Point 1

Local participation ofcommunities is bothpossible and feasiblefor them to contribute

resources and obtainownership of theinvestment.

Point 2

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also lessen the burden on ZESAsannual Capital Budget.

IPPs working in partnership withlocal communities can operate aviable and essential service withreal returns. A company like CE

could invest in this opportunity

Studies and plans must be in placeas a guide to the process

Government Buy Into ensure policy shiftfavorable to privatefinance includingFunding Agencies iscritical after fullconsultation with all keyStakeholders

Point 3


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END

THANK YOU Q & [email protected]

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