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PDF: 2962 pages, 5.2 MB - Bay Area Council Economic Institute

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Energy/Environment/Clean Technology<br />

used in a standard diesel engine, while the waste can be processed into biomass. Unlike corn or<br />

sugar used in the ethanol manufacturing process, jatropha is highly poisonous in its untreated<br />

form, so its use in fuel does not remove a potential food crop from the market.<br />

Indian Railways runs locomotives between Delhi and Mumbai on a blend of jatropha and<br />

standard diesel fuel. Reliance Industries is growing 200 acres of jatropha in Andhra Pradesh for<br />

fuel production. Chhattisgarh State plans to be a biofuel self-reliant state by 2015 and is in the<br />

process of converting its vehicle fleet to run on a jatropha-diesel blend. In September 2007,<br />

Hindustan Petroleum partnered with the Maharashtra State Farming Corp. on a jatropha<br />

biodiesel project with 500 acres planted.<br />

Reflecting its growing interest in a range of renewable energy sources, in August 2009 the Indian<br />

government announced its intention to launch a venture fund to promote renewable technology<br />

research. Decisions regarding the size and financing of the fund will be made by the National<br />

Mission of Strategic Knowledge for Climate Change (NMSKCC).<br />

Electric Power Generation<br />

India has an installed electric power generation capacity of about 129,000 megawatts across five<br />

regional grids that serve neighboring states, with limited interconnections among the grids. Under<br />

the 2003 Electricity Act, India modernized its regulatory framework to establish distinct generation,<br />

transmission, distribution, and trading entities; to provide for purchases from independent producers<br />

to displace less efficient clean power generated by conventional plants; to rationalize tariffs and<br />

create a transparent subsidy policy; and to encourage efficiency and conservation.<br />

Public utilities deliver 88% of India’s power, with states owning most of the plant capacity.<br />

The Central Electricity Authority (CEA) is charged with system planning; the Central Electricity<br />

Regulatory Commission (CERC) and the various State Electricity Regulatory Commissions<br />

(SERCs) set and enforce regulations.<br />

The remaining 12% of power-generating capacity is privately owned. But this number does not<br />

count the large volume of off-grid distributed generation installed by businesses and households<br />

to ensure reliable power. As already noted (in the Architecture/Urban Planning/Infrastructure section<br />

of this chapter), grid unreliability and blackouts of 15 hours or more a day in rural areas and several<br />

hours a day in major towns and cities require nearly all large commercial and industrial facilities<br />

to invest in their own backup power.<br />

Energy Shortfalls Persist<br />

The government reports just under 19,000 megawatts of industrial electricity capacity, but unofficial<br />

sources put the total closer to 27,000 megawatts. And when households, small businesses,<br />

and medium and large commercial enterprises are added in, the off-grid total could approach<br />

75,000–100,000 megawatts.<br />

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