status of small hydro and micro hydro_country presentation nepal

Country Presentation onHydropower Development in Nepal

Presentation By:Saroj AcharyaHydropower EngineerDepartment of Electricity Development (DoED), Ministry of [email protected]

Subash TuladharEngineerDepartment of Electricity Development (DoED), Ministry of [email protected]

Pashupati Prasad KhatriEnergy Development OfficerRenewable Energy for Rural Livelihood (GoN/UNDP/WB), DDC, Bajhang

Rojina SharmaEngineer, AEPC, Ministry of Environment

19th Annual International Training course on Small Hydro Power Development, IIT Roorkee,2012

Presentation Outline1. Country profile

2. Hydropower development and status

3. Country Policy and Private sector

5. Small Hydropower

6. Alternative Energy (Micro-Hydro, Mini Grid, Gasifier, CDM)

7. Photo Gallery

General

Land Locked Country

Area 147,181 sq. km.

Population 26 Million

No coal and natural gas source availableRiver Network More than 6,000 rivers and rivulets An annual 224 billion cubic meter of surface run off‐ Total Hydropower Potential of 83,000 MW and more

Country Profile

Ecological Regions

Indian Plains Terai

Siwalik hills

Middle hills

High Mountains

High Himalayas

Tibetan Plateau

67 m amsl

8848 m amsl

`180-250 km cross-section

<<< Hydropower Sites >>>

Hydropower Development

First Hydropower Plant: Pharping (500kW), 1911 A.D.

Hydropower Potential of the country 83,000 MW

Micro hydro installed (Dec. 2011) 12MW

Total Installed Capacity (2011) 705.566MW

Under Construction 931.133 MW

Hydropower Development Status

Parameter Classification

<100kW Micro hydro

101 kW- 1 MW Mini hydro

1-25 MW Small hydro

>25 MW Medium and Large hydro

Hydropower Classification

Thermal7.57%

Solar0.01%

Hydro92.42%

Installation By type (MW)

Contribution of small hydro

Installation by category

Small hydro28%

Medium and Large72%

Installed Capacity (MW)

Category Installed Capacity (MW)

Hydropower 652.05

Thermal (Diesel) 53.41

Solar 0.1

Total 705.566


Small Hydropower 181.05

Medium and Large 471

Total 652.05

S. N Name Installed Capacity, MW

1 Upper Tamakoshi 456.00

2 Chamelia 30.00

3 Kulekhani III 14.00

4 Upper Trishuli 3"A" 60.00

5 Rahughat 32.00

6 From Private Sector 338.73

Total 930.73

Projects Under Construction

Planned Projects (Other than Private sector)S. N Name Installed Capacity, MW

1 Upper Trishuli-3'B' 37.00

2 Budhi Gandaki 600.00

3 Upper Seti (Storage) 128.00

4 Seti Trishuli (Storage) 128.00

5 Upper Modi 'A' 42.00

6 Nalsyagu Gad (Storage Project) 1335.00

Total 1335.00

Agencies InvolvedMinistry of Energy, Department of Electricity Development Regulatory body Policy making Issuing license and facilitation Identification study and solicitation of hydropower projects Study and development of hydropower projectsNepal Electricity Authority Electrification PPA (Power purchase agreement), Transmission and distribution Project study and construction, Operation and maintenanceMinistry of Environment /Alternative Energy Promotion Center Promotes Renewable Energy TechnologiesElectricity Tariff Fixation Committee Fixes the tariff

Private Sector (IPPs) Development Construction and Operation Transmission up to substation

Country Policy Develop hydropower as much as possible to contribute in

economic growth of the country Privatization and Market economy was adopted Electric power supply industry or utility was opened up for

private and investment came to play after the Electricity Act (1992)

Nepal is one of the countries to start BOOT scheme in Hydropower Licensing Procedures (Two stage licensing procedure) -Survey License (for study and PPA) -Generation License (35 years including construction

period, for construction and Operation) Virtually anyone could get a license and license fee is very nominal

so many could apply and get license

Country Policy… No EIA required for <50MW Project Minimum royalty is charged during the payback period (for first 10 years) PPP (Public Private Partnership ) to encourage Local People in the

development of SHPFacility for the developer to promote Sector Value added tax (VAT) is not levied on -the electricity tariff -the industrial machineries, equipment and spare parts imported Only 1 % custom duty on the imported devices, equipment, machineries

and spare parts Income tax holiday for the projects which will be completed within 2019 No income source looked into if investment is for hydropower till 2019

Involvement of Private Sector

Private Sector is equally contributing in hydropower development and in reduction of load shedding

Khimti Hydropower was the first hydropower project commercially operated from Private sector in 2000

Solicitation of SHP to IPPs: 6 projects, 171.5 MW

Private73%

27%

Installed Capacity MW

Contribution from Private sector at present


Public Sector 477.53

Private Sector 178.52

Total 656.05

S.N Name of the Project Operation (KW) Name of the Project Under Construction (KW)

1 Khimtikhola 60,000 Sanjen (Upper) 14,800

2 Bhotekoshi 36,000 Sanjen (Lower) 42,500

3 Chilime 2,2000 Middle Bhotekoshi 102,000

4 Jhimruk 12,000 Rasuwagadi 111,000

5 Indrawati III 7,500 Lower Modi I 9,900

6 Andhikhola 5,100 Sipring Khola 9,658

7 Mai Khola 4,500 Ankhu Khola-I 8,400

8 Khudi Khola 3450 Siuri Khola 4,950

9 Mardi Khola 3,100 Lower Indrawati 4,500

10 Piluwa Khola 3,000 Hewa Khola 4,455

11 Sunkoshi Small 2,500 Lower Piluwa 990

12 Ridi Khola ,2400 Mai SHP 9800

13 Thoppal Khola 1,650 Sanima Mai 15600

14 Chaku Khola 1,500

15 Patikhola 996

16 Pheme Khola 995

17 Upper Hadi Khola 991

18 Baramchi 4,200

19 Seti-II 979

20 Sisne Khola 750

21 Rairang 500

22 Salinadi 232

23 Sange Khola 183

Total 178,526 338,733

Hardly can get Long term study data (hydrology, meteorology etc.) Evacuation and transmission Line problem Should face some social problems as large projects Low tariff (PPA rates)(Low rate of return), Fixed PPA rate Financing Problems (Lack of capital) High interest rate on debt Poor Infrastructure and Accessibility issues All machines and equipments should be imported from outside Transmission line issues One Window leads to several doors (Lengthy approval process, several clearances

required)

Risks associated with hydropower development

Challenges and Issues in Hydropower Development

Environmental and social risks Financial risks Hydrological and GLOF Risks Inflation and currency exchange rate risks

Some Facts Very small amount of energy is harnessed in spite of its huge

potential Positive scenario for the development of SHP Local capacity is improving rapidly PPA rate has been fixed for Small Hydro Projects i.e. up to 25

MW Dry Season Rate : NRs 8.4 / KWh ( 10.5 US Cent ) Wet Season Rate : NRs 4.8/ KWh ( 6.0 US Cent) (Exchange rate: 1USD=NRS 80.00)

Cost per KW generation >USD 1500.00

Bijayapur SHP 4.5MWUnder Construction Ridi SHP 2.4MW

Under Operation

Mai SHP 15.6MWUnder Construction

Baramchi SHP 4.2MWUnder Operation

Introduction to AEPC

Established in 1996Now under the Ministry of EnvironmentGovernment agency working in the field of renewable energy

What does AEPC do????? Prepares Plans & Policies Coordinates between different agencies working in the field of RETs promotion Provides technical as well as financial support for RETsAchievements till date : MHPs :- 895 Nos., 12 MW

Programs of AEPC in RETs development

Renewable Energy for Rural Livelihood Program. (RERL), through DEESs and DEEUs (in DDC) covering all 75 districts.

Energy Sector Assistance Program (ESAP) through 7 RRESCs (local NGOs).

19

Main policies relating to RETs

Renewable (Rural) Energy Subsidy Mechanism, 2008

Renewable (Rural) Energy Subsidy Delivery Mechanism, 2008

Custom duty and VAT exemption on the equipments of different RETs

Rural Energy Policy, 2006

04/28/2023 20

CDM Project Cycle A project needs to satisfy a number of rules and conditions and has to go

through a series of procedures with the involvement of several independent entities in order to be classified as a CDM project activity.

April 28, 2023 20

Project Design Document (PDD) / Project Information Note (PIN)

Validation

Registration

Implementation

Monitoring and Reporting

Verification

Certification

Stakeholder consultations, Public comment

Project Participants (AEPC)

Host Country Approval

Designated Operational Entity

CDM – Executive Board

Host country - DNA

Public/Stakeholders

Independent Third Party

Baseline Studies

04/28/2023 21

AEPC CDM Projects

April 28, 2023 21

Name of Projects Project Proponent

Status

Biogas Support Program – Nepal Activity-1 (9708 plants)

Estimated Annual Emission Reduction: 46,990 tCO2e

AEPC Registered & CER issued

Biogas Support Program – Nepal Activity-2 (9688 plants)


AEPC Registered & CER Issued

Micro-hydro Promotion (capacity of 14.965 MW)


AEPC Registered

Biogas Support Program – Nepal Activity-3 (20,254 plants)


AEPC Request for registration

Biogas Support Program - Nepal Activity-4 (20,254 plants)


AEPC Request for registration

Nepal Biogas Support Program-PoA (20000 plants)


AEPC Final stage of validation

Promotion of the Improved Cooking Stove (ICS) – Nepal


AEPC Under Validation

Promotion of the Improved Water Mills (IWM) - Nepal


AEPC Under Validation

AEPC CDM Projects (contd…)

INCREASED ACCESS

TO ELECTRICITY

IMPROVED HEALTH AND SANITATION

LABOR SAVING & DRUDGERY REDUCTION

STRONG SOCIAL CAPITAL AND

EMPOWERMENT

BETTER EDUCATION

HUMAN RESOURCES

DEVELOPMENT

INTERNALIZATION OF RURAL ENERGY

IN DISTRICTS POLICY, PLANNING

AND MANAGEMENT

REDUCED CONSUMPTION OF

TRDITIONAL SOURCE OF ENERGY

INCREASED EMPLOYMENT, INCOME

AND CHEAPER SERVICES

MAJOR IMPACTENHANCED

LIVELIHOODPRESERVED

ENVIRONMENT

BIO-MASS GASIFIER (SARLAHI)PRE STRESSED RCC POLESPLANT SEED OILTHREE PHASE INDUCTION GENERATOR CONTROLLERPRESERVATIVE TREATMENT FOR MH WOODEN POLESPUMP AS TURBINETURGO TURBINEHORIZONTAL AXIS PELTRIC SETCOMPUTER AIDED DESIGN OF MICRO HYDRO SCHEMELOW COST RURAL LIGHTINGMOTOR STARTING SYSTEM FOR MICRO HYDRO SCHEMESGRID CONNECTION OF MICRO HYDRO SCHEMEMINI GRID CONNECTION OF MHPs

Mini Grid of Baglung 1st pilot project in Nepal. Implemented by Rural Energy Development

Programme (Now, RERL) Consultant :- Entec Consulting & Engineering,

Switzerland. Contractor/Supplier :- Ytek Controls Inc,

Deharadun, U.K., India Approx. Cost :- NRs. 15 millions. K2U2MGWC– Regulatory body

12kw

22kw

26kw

9 kw

14kw

25kw

23kw

Urja I Urja II Urja III Theule

Kalung Urja IVU Kalung

Technical Features

Transmission Length: 8 Km Transmission Voltage :11 kV No of Power Plants connected: 7 Total Installed Capacity of the Plants: 132 kW Total No of HH: 1400 Biggest Size of the Plant:26kW Smallest Size of the Plant:9kW Peak Load: 128kW(18:00-22:00)

PPA rate with IPP’s Mini grid shall purchase the power with

respective MHFG (IPP) in the rate of Rs 2.50/kWH.

Respective IPP shall be penalized if they are not able to supply the power as per the agreement made with the mini grid.

Tariff StructureS.No Domestic Consumer Minimum

Charge (NRs)Exempt (kWH)

1 Minimum Monthly Charge 70.00 20

2 Energy Charge

A UP to 20 Units 3.50

B 20 units-250 Units 7

3 Industrial Demand /HP Per Unit(NRS)

A Induction Motor based Tariff 10 7

B Other End uses - 7

Name of the Schemes

U.Kalung (12kW)

Kalung(22kW)

Urja I (26kW)

Urja II (9kW)

Urja III (25kW)

Urja IV (14kW)

Theule (24kW)

Generation(kWH)

4590 7020 8400 3720 8910 4650 7590

Maximum Capacity(kWh)

8640 15840 18720 6480 18000 10080 17280

load Factor 53.125 44.318 44.87 57.407 49.5 46.1343.92

Previous Income

7510 14200 16240 6500 16200 7200 14850

Income after Grid Connection.

11,475 17,550 21,000 9300 22275 11625 18975

Fact Sheet

Gasifier Bio-mass based gasifier pilot project in Madhuban

goth VDC of Sarlahi District Capacity of Gasifier plant :- 11kW No of HHS covered 122 (ward no 1 to 9 covered) Completed on Aug. 2011

• Rural Energy Systems bring positive benefits such as better light, reduced labour and drudgery, increased income, improved environment, better education, better health, value addition, social harmony, etc.

• MH is best means to increase access to electricity by the rural poor.

• Biogas and Improved Cooking Stoves are best means to reduce fuel-wood consumption.

Continued……….

• Women's involvement is high as rural energy bring positive changes in their lives.

• Rural energy is an effective entry-point for the poverty alleviation.

• Holistic development approach is needed for the sustainability of Rural Energy Systems.

• Demand for rural energy systems is high in remote districts

Continued………

• Local people are capable to implement and manage rural energy systems with guidance and capacity building.

• Community mobilization is the key for harnessing people's potentials, mainstreaming women and vulnerable groups and also ensuring equity.

• Decentralized institutional frameworks and operational modalities are required for wide-scale promotion of Rural Energy Systems.

Photo Gallery

Photos of Mini Grid

Photos of Gasifier

Thank You

status of small hydro and micro hydro_country presentation nepal

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