Petrol prices up by 42 paise a litre, diesel by Rs 1.03 per litre
Petrol prices up by 42 paise a litre, diesel by Rs 1.03 per litrePetrol prices up by 42 paise a litre, diesel by Rs 1.03 per litre – ImageNEW DELHI: State oil companies have raised the prices of petrol by 42 paise per litre and diesel by Rs 1.03 per litre after the fortnightly review to align local prices with international rates.
The new prices will be effective from Monday. Actual price increases would vary from state to state depending on local levies.
“The current level of international product prices of petrol and diesel and exchange rate warrant increase in selling price of petrol and diesel, the impact of which is being passed on to the consumers with this price revision,” Indian Oil Corp, the country’s largest fuel retailer, said in a press statement.
The movement of prices in the international oil market and the exchange rate shall continue to be monitored closely and developing trends of the market will be reflected in future price changes, the company said.
With acquisition of Chhabra plants, NTPC on its way to become a 50 GW plus power company.
The acquisition of Chhabra thermal power plants by NTPC Ltd will help the central power major emerge as a 50 GW or 50000 MW plus company within the next few months.
The Memorandum of Understanding (MoU) that NTPC inked on Wednesday with the Rajasthan state power utilities provides it with the access to taking over an operational 2000 MW thermal power plant or Stage-1 of the
Chhabra Thermal Power Plant Stage-I (4x 250 MW) along with the under construction 1320 mw Stage-II (2×660 MW) of Rajasthan Rajya Vidyut Utpadan Nigam Limited.
All going well, the financial formalities and takeover of the Chhabra projects is expected to be completed within the next six months, said an official.
The 2000 mw Chabra Stage-I is already operational. The takeover therefore assumes significance as with Rajasthan’s Chabra I and II thermal power projects coming under NTPC’s fold, the latter’s installed power capacity that is currently in excess of 48 GW will cross 50,000 mw.
The commissioning of 800 MW unit at Kudgi in Karnataka last month has already taken NTPC’s total installed capacity to 48,028 MW.
The MoU for takeover of Chhabra was signed with Rajasthan Rajya Vidyut Utpadan Nigam Limited (RVUN) and Rajasthan Urja Vikas Nigam Limited (RUVNL) in the presence of Vasundhara Raje, Chief Minister of Rajasthan in Jaipur on 11th January, 2017.
The organisations shall execute Binding Agreements based on the detailed due diligence being underway.
It may be noted here that AES India, Adani Power, Tata Power-ICICI were earlier in race for acquiring these power projects in Rajasthan.
A statement from the Rajasthan government said that eventually two more units of 660 MW each will be transferred to NTPC after their completion.
“After transfer of Chhabra thermal power plant to NTPC, the state government will receive equity as per latest valuation, and the losses being incurred from Chhabra will stop after transfer of the plant and debt liabilities of the state government shall also be reduced,” it added.
Coal India close to achieving e-auction target for FY17
Coal India has almost achieved its e-auction target for the current fiscal, and is looking at offering additional supplies.
At the start of the year, it targeted eauction sales of 120 million tonnes of which it has already achieved 113 million tonnes by December, officials said.
On offer is an additional 5 million tonnes which company officials think would be lapped up as its prices would be far lower than the international prices and it would offer a long-term assured contract which could be extended to 25 years. This would make it 118 million tonnes against a target of 120 million tonnes “We are now looking at offering additional volumes depending on the demand and stock positions at various coalfields,“ a senior Coal India official said.
UDAY a success: India’s power distribution system shows clear signs of revival
NEW DELHI: India’s power distribution system is showing concrete signs of revival and lower operational losses as chronically inefficient states have significantly narrowed the gap between cost and revenue, reduced unmetered supply and are planning large bond issues in 10 days.
Officials say of the 16 states part of the Centre’s distribution utility revival scheme-—Ujwal Discom Assurance Yojna (UDAY) —at least eight have a lower gap between their average cost of electricity supply and average cost of realisation.
According to one official, Uttar Pradesh distribution companies are set to launch state-government guarantee-backed bond issue worth Rs 5,000 crore starting October 6 to meet operational requirements. Read more…
PM woos investors in renewable energy sector
Renewable Energy Sector
Prime Minister Narendra Modi today invited investors from the world over to invest in India in the field of renewable sources of energy and contribute in the humanitarian task of solving the problem of global warming.
Inaugurating the eighth edition of the “Vibrant Gujarat Global Summit” here this evening, Modi said the world was concerned over global warming mainly because for the past two centuries, the world had been exploiting the nature and now the time had come to sustain natural resources.
He said India had the potential to generate 175 gigawatts of energy from renewable sources which could go a long way in solving the problem of global warming and help protect the environment. His government, he said, was committed to promoting renewable sources of energy besides encouraging tourism that would largely contribute in India’s historic growth story started over two years ago. Read More…
Motor Vehicle Bill to be brought in Budget Session: Gadkari
The Motor Vehicle (amendment) Bill that proposes hefty fine and stringent punishment for traffic violations will be introduced in the budget session of parliament provided it is received from joint select committee of parliament, said Union Transport Minister Nitin Gadkari.
“I am hopeful that we will receive the bill from the joint select committee of parliament in budget session and it will be introduced as soon as we receive it,” said Gadkari.
Speaking at the launch of Road Safety Week here, Gadkari said that the bill has been prepared in consultation with state transport ministers and all states are on the board to ensure tougher punishment for traffic violation.
Expressing concern over rise in road accidents in 2015, Gadkari said that government is taking several measures to make roads safer for drivers.Read More…
Tamil Nadu becomes 21st State to join UDAY
In a significant move and following months of persuasion by the Centre, Tamil Nadu came on board the power ministry’s flagship scheme UDAY.
A Memorandum of Understanding (MOU) was inked under the Ujwal DISCOM Assurance Yojana (UDAY) Scheme with the Government of Tamil Nadu and its Discom TANGEDCO, for operational and financial turnaround of the DISCOM, in New Delhi today at an event presided over by the Union Minister of State (IC) for Power, Coal, New & Renewable Energy and Mines, Piyush Goyal.
With the signing of this MoY, Tamil Nadu would derive an overall net benefit of approximately Rs. 11,000 crores through UDAY, by way of savings in interest cost, reduction in AT&C and transmission losses, interventions in energy efficiency, coal reforms etc.
The state also signed 24X7 Power For All document on the occasion. With Tamil Nadu joining the cause, 92% of country’s Discom debt has been covered under UDAY
By signing the MOU under UDAY, the State Government is taking over 75% of debt of Rs. 30,420 crores of TANGEDCO. The scheme also provides for the balance debt to be re-priced or issued as State guaranteed Discom bonds, at coupon rates around 3-4% less than the average existing interest rate.
The State would have savings of about Rs.950 cr. in annual interest cost through reduction of debt and through reduced interest rates on the balance debt.
The signing ceremony was held in the august presence of the P. Thangamani, Minister for Electricity, Prohibition & Excise, Government of Tamil Nadu.
UDAY lays stress on improving operational efficiencies of the DISCOMs. Tamil Nadu and TANGEDCO have committed to bring about operational efficiency through compulsory feeder and distribution transformer metering, consumer indexing & GIS mapping of losses, upgrade/change transformers, meters etc., smart metering of high-end consumers, reduction in transmission losses and increased power supplies in areas with reduced AT&C losses.
The reduction in AT&C losses and transmission losses to 13.5% and 3.7% respectively is likely to bring additional revenue of around Rs. 1,601 crores to TANGEDCO.
Demand Side interventions in UDAY such as usage of energy-efficient LED bulbs, agricultural pumps, fans & air-conditioners and efficient industrial equipment through PAT (Perform, Achieve and Trade) would help in reducing peak load, flatten load curve and thus help in reducing energy consumption in Tamil Nadu.
The gain is expected to be around Rs. 2,304 crores.
The Central government would also provide incentives to the State Government and the Discom for improving the power infrastructure in the State and for lowering the cost of power. The State would get additional/priority funding through the Central schemes such as Deen Dayal Upadhyay Gram Jyoti Yojana (DDUGJY), Integrated Power Development Scheme (IPDS), Power Sector Development Fund (PSDF) or such other schemes of the Ministries of Power and New & Renewable Energy, if they meet the operational milestones outlined in the scheme.
The State shall also be supported through additional coal at notified prices and in case of availability through higher capacity utilization, low cost power from NTPC and other CPSUs. Other benefits such as coal swapping, coal rationalization, correction in coal grade slippage, availability of 100% washed coal would help the state to further reduce the cost of power.
The State would gain around Rs. 4,320 crores due to these coal reforms. With the financial turnaround through financial and operational efficiencies, TANGEDCO’s rating would improve, which would help in raising cheaper funds for its future capital investment requirement. This is expected to provide interest cost saving of around Rs. 60 crores for TANGEDCO in 3 years.
The ultimate benefit of signing the MOU would go to the people of Tamil Nadu. Higher demand for power from DISCOMs would mean higher Plant Load Factor (PLF) of generating units and therefore, lesser cost per unit of electricity thereby benefitting consumers. Availability of 24×7 power for all would increase the economic activity and improve employment opportunities in the State.
UDAY was launched by the Government of India on 20th November, 2015 to ensure a permanent and sustainable solution to the debt-ridden Distribution utilities to achieve financial stability and growth, now has 21 States in the Club after Tamil Nadu coming on board.
Shri PK. Pujari, Secretary, Power Ministry, Rajeev Ranjan, ACS(Energy), Government of Tamil Nadu, Dr. PV Ramesh, CMD, Rural Electrification Corporation Limited, Dr. M. Sai Kumar, CMD, Tangedco and other senior officials of Power Ministry and Tamil Nadu government were present at the occasion.
Piyush goyal to dedicate world’s largest street light replacement programme to the nation
Union Minister of Power, Coal, New & Renewable Energy and Mines, Shri Piyush Goyal will dedicate the Street Lighting National Programme (SLNP), currently running in the South Delhi Municipal Corporation (SDMC) area, to the Nation in New Delhi on 9th January, 2017.
It is the World’s Largest Street Light Replacement Programme, which is being implemented by the Energy Efficiency Services Limited (EESL), a joint venture under the Ministry of Power, Government of India.
The SLNP programme is presently running in Punjab, Himachal Pradesh, Uttar Pradesh, Assam, Tripura, Jharkhand, Chhattisgarh, Telangana, Andhra Pradesh, Kerala, Goa, Maharashtra, Gujarat and Rajasthan. A total of 15.36 lakh street lights have already been replaced in the country with LED bulbs, which is resulting in energy savings of 20.35 crore kWh, avoiding capacity of 50.71 MW and reducing 1.68 lakh tonnes of greenhouse gas emissions per annum.The energy efficiency market in India is estimated at US$ 12 billion that can potentially result in energy savings of up to 20 per cent of current consumption, by way of innovative business and implementation models.
Under the SLNP, SDMC area alone accounts for over 2 lakh street light replacements. The cumulative annual energy savings in SDMC through this programme is 2.65 crore kWh which has helped to avoid capacity addition of 6.6 MW, resulting in a daily reduction of 22,000 tonnes of greenhouse gases. Additionally in Delhi, under Phase II of the street lighting programme, EESL has signed a tripartite agreement with BSES and SDMC to install 75,000 more street lights with more focus on installation in parks.
In the SDMC Project, EESL is addressing complaints from various sources viz., registered from BSES helpline, night patrolling team by EESL, mobile vans, e-mails, social media and other sources including Ward Councilors.
Additionally, EESL is putting stringent complaint redressal mechanism and Centralized Control and Monitoring System (CCMS) to enable remote operation and monitoring of the street lights. CCMS provides real time information on energy consumption and remote monitoring of the street lights.
On the occasion, Shri Goyal will also launch the mobile app called EESL SL Complaint App for SDMC, wherein users can now lodge complaints about faulty street lights. These complaints will be addressed to within a period of 48 hours. Consumers can also WhatsApp on the helpline numbers 7827999111/ 7827999222 or they can send their complaints to firstname.lastname@example.org.
Consumer electrical companies set to light up the Street, beat demonetisation
The shares of consumer electrical makers such as Havells, Finolex Cables, Bajaj Electricals, V-Guard Industries and Crompton Greaves Consumer are poised to outperform the market over the next year as these companies may be less impacted by demonetisation, according to analysts.
Sales of light electrical products have increased in the quarter ended December 2016, led by healthy demand for B2B products despite demonetisation, according to channel checks by Ambit Capital. Demonetisation will be positive for organised players given that the share of unorganised players is now high at 35%, the brokerage said.
The demand from real estate projects has been healthy as developers have expedited the execution of near-completion projects anticipating a decline in real estate prices and to avoid any hassles caused by real estate regulations, which may come into effect in various states in FY18, according to Ambit. Read More…
Hero Future Energies Raises Fresh Equity of US$125 Million to Fund Its Green Energy Growth Plans
Hero Future Energies (HFE), the renewable energy firm of the Pawan Munjal-led Hero Group, on Thursday announced raising US$ 125 million in equity infusion from the International Finance Corporation (IFC) – the private sector investment arm of the World Bank – and the IFC Global Infrastructure Fund.
HFE signed an agreement with IFC for the investment, the proceeds of which will be used to fund the construction of solar and wind power plants of HFE. E&Y was the transaction advisor to HFE.
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets.
Huge advances have been made in the past few years to achieve India’s ambitious renewable energy targets of adding 175 GW of renewable energy, including addition of 100 GW of solar power, by the year 2022.
“We at Hero Group keep expanding our horizon beyond the flagship automotive business to nurture socially responsible entrepreneurship, even as we continue to build on the existing competitive strength of the Group. Hero Future Energies is a key pillar of this strategy. This marquee deal with the International Finance Corporation will empower us to take advantage of the potent ecosystem,” said Pawan Munjal, Chairman, Managing Director & Chief Executive Officer, Hero Moto Corp.
“Since our inception in 2012, HFE has been funded by the family. In this rapidly evolving sunrise industry, where targets are getting increasingly ambitious, partnering with like-minded institutions with complementary skill set is the future. I am happy to join hands with IFC, in our endeavour to achieve new goal of 2.7 GW renewable energy capacity by 2020,” said Rahul Munjal, Chairman & Managing Director, Hero Future Energies.
“This partnership will fuel our ambitions to tap into the incredible opportunities that lies in both domestic and overseas markets as well as new technologies namely storage, hybrid projects etc. This association is also a validation of our core strengths in timely project delivery, unwavering focus on health safety & environment (HSE) standards, developmental capabilities, stringent asset quality standards and design and engineering skills. We will also aggressively focus on expanding our promising rooftop solar portfolio.”
Power generation from renewable energy sources like solar and wind has increased to 7.54 per of the total electricity generated in the country during April-September this fiscal. The total installed capacity from various renewable energy sources in the country as on October 31, 2016 is 28,279 MW from wind, 8,728 MW from solar, 4,997 MW from bio-power and 4,323 MW from small hydro power.
“With this partnership with Hero Future Energies, IFC is helping accelerate the transition of the renewable energy generation business to mainstream power sector. Through the Global Infrastructure Fund, IFC is also bringing in the support of international institutional investors,” said Mengistu Alemayehu, Regional Director, IFC South Asia.
“Such a development will boost confidence of other large business groups and international investors to contribute to India’s ambitious renewable energy targets and make a significant difference in ramping up renewable-energy capacity in the country,” Sunil Jain, Chief Executive Officer, Hero Future Energies commented.
Established in 2012, Hero Future Energies is present across 12 states of India. The young company is an Independent Power Producer (IPP) with operating plants of ~ 360 MW and has 1.4 GW of projects in the pipeline. The company has ambitious growth plans to invest progressively in wind, grid connected solar, rooftop sectors, energy storage over the next few years.
By June 2017, it will reach 1.1 GW capacity, having commissioned projects of ~ 520 megawatts in wind and ~550 megawatts in solar in this period. The company is optimistic about building a robust portfolio of 2.7 GW by 2020.
HFE plans to set up additional capacity internationally and also develop a sizeable presence in roof top solar plants. As the Indian economy continues its growth trajectory, HFE is poised to provide clean power to industries, businesses, educational institutes, non-profits and governmental organizations at competitive rates.
HFE will assist its clientele in fulfilling their Renewable Purchase Obligations (RPOs) by reducing their dependence on power generated by fossil fuels like coal, oil and natural gas.
India is IFC’s top country exposure, globally. IFC’s committed portfolio in India is over $5 billion as of June 30, 2016. In FY16, IFC committed $1.1 billion in new investments in the country. In addition to strengthening local capital markets in India, IFC is focused on boosting financing in infrastructure and logistics, promoting financial inclusion, helping create conditions to attract increased private capital, and helping structure public-private partnerships.