Energetica India Magazine: september 2020

• Providing electricity to 321 villages in India across the states of UP, Bihar and Jharkhand, impacting over 250,000 people • Serving over 237 electricity-based micro-enterprises which have been directly incubated by SPI across these 321 villages • SPI has also supported mini-grid sector’s policy engage- ment to align narratives between government, investors, and energy service companies. • SPI is also now working towards improving the quality of on-grid electricity supply and services in rural areas in collabo- ration with the state governments and DISCOMs. How do you see the current state of electricity access in India? What will be your suggestions to achieve 24x7 pow- er for all? J aideep M ukherji : I strongly feel that Government initiatives such as DDUGJY, UDAY, SAUBHAGYA schemes have helped us in achieving significant strides in bringing 100 percent vil - lage and household electrification in the country. However, with improved electricity access, it is also important that there is an enhancement in quality of supply in a sustainable man- ner. While many states have managed to create a financially healthy distribution system, some states still lag behind in this area. Therefore, to ensure uninterrupted quality and reliable electricity access, there is a need to focus on the demand side problems, especially, poor customer service and inadequate distribution network. Decentralized distributed generation : The government could introduce Decentralized distributed generation. It will bring in innovation to rural remote areas and help in providing afford- able and reliable electricity to all customers, through off-grid and grid integration models. Smart Grids and Smart Metering : The government could also start promoting Smart Grids and Smart Metering, which will bring in investments in technology & innovation that will contribute to providing affordable and reliable electricity to all customers. Smart Grids and Metering ecosystem will also in- troduce transparency through real-time monitoring of electricity supply thus enhancing customer service. Distribution Franchisees : Currently, different models are be- ing followed for appointment of Distribution Franchisees across states. This has led to mixed outcomes of success and failures of the franchisees. Thus, building upon past learning a robust framework may be formulated, comprising of a standard set of models and bidding documents for distribution franchisee. The performance monitoring parameters of Distribution Fran- chisees should also be clearly laid out in the guidelines, to en- hance electricity supply and customer service. How mini-grids played a role at village level in India so far? What scope could you see in near future? energetica INDIA- September_2020 21 INTERVIEW J aideep M ukherji : I believe mini-grids play a crucial role in en- suring reliable electricity for both lighting and productive use in rural India where grid-connected electricity is found to have gaps. In the last 5 years, we have been able to set up more than 300 renewable energy mini-grids cumulating to 9.2 MW of capacity across Bihar, Uttar Pradesh, and Jharkhand. The electricity from these grids is transforming the lives of more than 2,49,777 people, by not only providing electricity for light- ing but also powering fans, electric pump-sets, appliances, and motors for productive uses. As per the World Bank estimates mini-grids have the potential to provide reliable electricity to as many as 500 million people by 2030. I believe in a geographically vast country like India where grid-connected electricity has not reached many remote regions yet, mini-grids could play a critical role in providing reliable power to the households and micro-enterprises. Over the past decades, the cost of mini-grid services has declined significantly with a substantial increase in service quality. Fur - ther, the integration of mini grids into the national grids will strengthen the mission of providing reliable power for all. The changing scenario of rural electrification in India has provided SPI an opportunity to diversify its strategy beyond mini-grids and conceptualise and develop models that can contribute to the government’s priorities of expanding the grid infrastructure enabling electricity access and power for all. This will help SPI leverage its know-how of last mile connectivity and customer service and support government initiatives. What impact have you seen of Covid-19 on the operations of mini-grids in India? Any case study to share? J aideep M ukherji : As lockdown affected the grid-connected electricity supply, mini-grids provided reliable power. Even though mini-grid services remained disrupted in areas under containment, consumer satisfaction continued to be high. De- spite the services, MGOs suffered major losses in revenue col- lection as many customers could not pay their electricity bills on time. The revenue collection in April was only 25% of the MGOs usual monthly average. We were fully aware that lack of employment and subsequent shortfall in income will definitely affect the customers’ ability to pay the electricity bills. As a result, all ESCOs deferred their bill collection during lockdown period and communicated with the consumers through their registered mobile numbers. Moreover, unlike the grid-connect- ed distributors, mini-grid operators have a strong customer connect and customer care service system in place. As a re- sult, they are able to address the customer grievances in a time-bound manner, issue new connections quickly and en- sure reliable power supply at affordable rates. In your view, what are the biggest challenges for the power sector currently? What will be the possible solutions for the same?