World over the economicgrowth is driven by energy,either in the form of finite

resources such as coal, oil and gas orin renewable forms such ashydropower, wind, solar and biomass,or its converted form, electricity. Thisenergy generation and consumptionpowers a nation's industries, vehicles,homes and offices. It also hassignificant impact on the quality ofthe country's air, water, land andforest resources. For growth to besustainable, it must be both resource-efficient and environmentally-safe.

In India, the demand for electricityhas always been more than thesupply. The importance of electricity

as a prime driver of growth is verywell acknowledged and in order toboost the development of powersystem, the Indian government hasparticipated in a big way throughcreation of various corporations suchas, State Electricity Boards (SEB),NTPC Limited, NHPC Limited andPower Grid Corporation Limited(PGCL), etc. However, even after thisthe country is facing power shortage.

There are many problems faced bythe power sector and these need tobe addressed. One of the issuesplaguing the power sector in a bigway is shortage of equipment. Thishas been a significant reason for Indiamissing its capacity addition targets.While the shortage has been primarilyin the core components of Boilers,Turbines and Generators, there hasbeen lack of adequate supply ofBalance of Plant (BOP) equipment aswell. There is a shortage ofconstruction equipment also.

The current power infrastructure inIndia is not capable of providingsufficient and reliable power supply.Some 400 million people have zeroaccess to electricity since the griddoes not reach their areas.

Another problem is unstable powersupply. There are frequencyfluctuations caused by loadgeneration imbalances in the systemand this keeps happening becauseconsumer load keeps changing.Frequency is the most crucialparameter in the operation of ACsystems. The rated frequency in India

is 50.0 Hz. While the frequencyshould ideally be close to the ratedfrequency all the time, it has been aserious problem in India. Poor powerquality control has knock-on effectson equipment operation, includinglarge-scale generation capacity.Equipment damage can, of course,further compromise supply andaggravate the effects of chronic fuelshortages.

To summarize, Indian power sectorhas made considerable progress inthe last decade and has evolved froma nascent market to a developingmarket led by policy reforms andincreased private sector participation.Challenges do exist in the sector,which India has to overcome toevolve from a developing market to amatured market. Meanwhile, the gapbetween what can be achieved andwhat is currently present, uncovers anumber of possibilities andopportunities for growth.

In the past few years, in spite of variousinitiatives, power situation still remainsone of the core challenges for India. Whatare the factors responsible for it?Electricity is one of the basic constituents forthe economic growth of a country and as yousaid there are various initiatives taken in thecountry in the past few years to improve thepower situation. Toshiba's major expansion ofpower business in India is also a result of this. One of the biggest concerns is the gap in thedemand and supply of power in India. Thereare several barriers that pose a challenge tothe Indian power sector. The first challenge island acquisition; not only for the power sectorbut for any industry. The second challenge isspeedy environmental clearance.

The third challenge is availability of coal.Half of the Indian power generation dependson coal as a source and the production of coalhas not increased to match the demand. Andthe fourth challenge is financial crisis. Becauseof the recent economic slowdown, financingfor new projects have become tougher,especially for Independent Power Producers(IPPs). There was no order from IPPs in thelast fiscal year.

After the last general elections in India,there is a huge expectation, both from thegeneral public and the industry that things willimprove. At present Power, Coal and New &Renewable Energy ministries are functioningunder a single leadership. It means morefocused and better co-ordination among theseministries and ultimately improvement in thepower situation is expected.

In your opinion, how does it impact theeconomic growth of the nation?The Indian economy is in the trajectory of

upward growth. To keep up the momentum ofthis growth, availability of uninterruptedpower supply is a must. As a growingeconomy, India not only just requires to lightbulbs, but needs electricity to fuel the growthof every industry, be it large-scale or small-scale, manufacturing, healthcare or education.All of this impacts the economic growth of thenation and it doesn't end here. It is one ofthose key components that facilitate our

everyday life. In the current world it has a largeimpact on human life.

Toshiba has been contributing in manyways to provide power solutions in India.What have been the main focus areas andimportant breakthroughs in terms ofperformance in the power sector? Our main focus is to provide turnkeyEngineering, Manufacturing, Procurement,Construction and Services (EMPCS) solutionsto the Indian power sector.

Toshiba, with its highly-experiencedmanpower and energy-efficient and reliablepower generation equipment, has beenproviding similar turnkey solutions across theglobe for more than 60 years.

In the power sector, there are three mainprocesses that are important: generation,transmission andstorage and Toshiba has

efficient solutions in all the three categories.Our manufacturing facility, Toshiba JSW PowerSystems Private Limited in Chennai, focuseson manufacturing efficient power generationequipment. This plant is well-equipped andthe employees are trained at Toshiba, Japan,to achieve the same level of quality standardsas in Japan.

Toshiba is actively engaged in developingthe reliability and quality standards of Indianraw material suppliers and other vendors. Thisinitiative of Toshiba will ensure India'sexcellence in manufacturing sector over aperiod of time.

I am sure that in the coming years, we willprovide 100 % indigenous power plantsolutions from India not only for the Indianmarket but also for the rest of the world.

Do you think more private sectorparticipation can help improve thesituation? How can the governmentencourage corporates to provide large-scalesolutions?Installation of power plants requires hugeinvestments. Participation of private sector willdefinitely make this investment proposal more

competitive and ultimately benefit theconsumers.

From the government side, sustainableenergy policies backed up by financial support,is required to promote the participation ofprivate sector.

State Electricity Boards are the maincustomers ofprivate players in the power sector.To boost the morale of private players,economically-viable, timely and assuredpayment from state utilities to these privateplayers is a must.

What kind of innovation and technology cancontribute in overcoming the situation? Inline with this, what would be the strategyand vision of Toshiba in the coming years?As per Toshiba management's vision, we areworking towards contributing to a better humanlife by providing solutions to the key problemsthat human society faces. We call this as"lifenology", which means the technology liferequires.

Toshiba Corporation has put the focus onIndia and has planned India to be the strategichub for power solutions to the rest of the world.This is a huge step and big support for us. TJPS isalready in the process of providing engineeringand product supply to Toshiba Corporationprojects in South East Asia.Toshiba envisions that widening the areas ofservice towards complete solutions wouldenable us to utilise our overall expertise betterand lead to supplying higher quality products atmuch economical rates for the society. Thoughour customers are actually the powercompanies and IPPs, we always think aboutcontributing to the life of Indian people withenough electricity and we are working towards it.

THE ECONOMIC TIMES, WEDNESDAY, AUGUST 27, 2014

Toshiba has been an integralpart of India's power sectorfor decades. The demand for

power in India continues toincrease leading to the need forhigher capacity turbine andgenerators, which is one ofToshiba's core expertise.Toshibacontinues to contribute to thedevelopment of India's powersector formore than 50 years. InIndia, Toshiba plays a vital role insupplying technology to theHydro and Thermal powersectors.

For hydro-electric powergeneration in India, Toshibastarted with the supply of facilitiesfor Umiam 1 in 1965 and so farhas supplied 21 turbinesamounting to 2.6 GW and 31generators amounting to 4.1GVA.Some of the landmark hydro

power projects of Toshiba arePurulia pumped hydro for WestBengal State ElectricityDistribution Company and Teesta5 for NHPC. The company deliverssmall to large hydro powersystems and micro hydroequipment of remarkable designand efficiency.

Toshiba is making continuousefforts in research anddevelopment of technology,including the advanced work ofproducing high performanceturbines and generators. Apartfrom other kinds of hydroturbines, Toshiba designs,manufactures and suppliesFrancis type Pump Turbine thatvary in usage from high head tolow head that are constant orvariable in speed, according to theneeds of various locations. During

unstable power fluctuation powersupply, Toshiba recommendsvariable/adjustable speedgenerator which instantaneouslyadjusts the active and reactivepower and compensates the

power fluctuation.Toshiba's thermal power

business in India began in1990.Toshiba delivered 500MW steamturbine generator to AnparaThermal Power Station in Uttar

Pradesh and was recognised forits long-term continuous run,efficiency and reliability. In 2012,India's first 800MW-classsupercritical turbines andgenerators, all the five units which

were supplied by Toshiba,entered commercial operation atTata Power Company's Mundrapower station. The Mundra powerplant is the biggest power projectat a single location in India.

Toshiba JSW Power SystemsPrivate Limited (TJPS)(formerToshiba JSW Turbine andGenerator Pvt. Ltd.) wasestablished in 2008 with 75%stake by Toshiba. Toshiba, which

has the technology for advancedultra-super critical turbines, hasentered into a comprehensivetechnology transfer with ToshibaJSW in India. .

TJPS is now one of very few

companies in India that canproduce super critical steamturbine generators.

TJPS offers turnkey solutions forthe entire power plant onEngineering, Manufacturing,Procurement, Construction andServices (EMPCS) basis. Recently,TJPS has been awarded an EPCcontract for the supply of steamturbines and generators islandpackage for NTPC's DarlipaliThermal Power Project stage 1.

Toshiba's vision for thisbusiness is not only limited toIndian market. Going ahead,Toshiba intends to position TJPSas a base for exports toSoutheast Asia, the Middle Eastand Africa where a number oflarge-scale projects arebeingplanned. The idea is todevelop TJPS as a key elementwithin the framework of anexpanding global business andthus contribute to thedevelopment of India's economy.

OVER 50 YEARS WITH INDIAN POWER SECTOR

THE DEMAND FOR POWER ININDIA CONTINUES TOINCREASE LEADING TO THENEED FOR HIGH-END POWERTURBINE & GENERATORS,WHICH IS ONE OF TOSHIBA'SCORE EXPERTISE

Energy growth is directly linkedto well-being and prosperityacross the globe. Meeting the

growing demand for energy in asafe and environmentally-responsible manner is a keychallenge for all economies. Theincreasing demand for power hasled to a corresponding increase inusage of fossil fuels which has hadan adverse impact on environment.In this context, efficient use ofenergy along with using renewablesources of energy is of paramountimportance. This is true for bothlarge industries and small andmedium enterprises as well as thecommercial and residential sectors.It has now been accepted globallythat one of the most importantchallenges facing the governmentsand business community the worldover is to find cost effectivesustainable solutions to their ever-increasing energy needs.

The investment climate ispositive in the power sector. TheMinistry of Power has set a targetof adding 93,000 MW in the 13thFive Year Plan (2017-2022). Theindustry has attracted FDI worthRs.43,530.99 Cr (US$ 7.24 billion)during the period April 2000 toMay 2014. India has emerged asone of the fastest growingeconomies in the world. Itscurrent economic performancereflects a healthy trend based onincreased consumption,investment and exports. Over thenext five years, this growth isexpected to continue. TheGovernment of India hasidentified the power sector as akey sector to promote sustainedindustrial growth.

The Government of India hastaken some initiatives to boost thepower sector of India. One, itplans to buy the equity of PowerSystem Operation Corporation Ltd(Posoco), a wholly-ownedsubsidiary of the PowerGridCorporation of India, at a book

value of around Rs.35 Cr (US$5.82 million). Two, AgenceFrancoise de Development (AFD)is extending a Line of Credit (LoC)of 100 million (US$ 134.73million) for a tenure of 15 years toM/s Indian Renewable EnergyDevelopment Agency Ltd. (IREDA)to finance renewable energy andenergy efficiency projects in India.Three, there has been anintroduction of new online formsfor submission of applications,which would help the Ministryfunction in a more transparentmanner. Four, the ElectricitySupply Companies (ESCOM) ofKarnataka and Andhra PradeshPower Generation Corporation(APGENCO) have signed a powerpurchase agreement (PPA) forsharing 230 MW power generatedfrom the Priyadarshini Juralahydro power project. Five, theGovernment of India has joinedhands with IIT Bombay toimplement cost-effective solar-powered lighting solutions for therural population, which will helpsave 36 million litres of kerosene.

Overall, there is a need forimprovement in generation and

transmission/distribution ofelectricity by adapting new,innovative strategies. First, there isa need for renovation andmodernisation of generationequipment, i.e., improving theperformance of existing old powerplants. There is a need to increasethe efficiency of coal-based powerplants. Currently the average fuelconversion efficiency of theexisting thermal power stations isaround 30 per cent. In order toincrease the transmissioncapability of power, there needsto be development of NationalGrid. Then, a significant thrust onrenewable energy is needed. Toboost investment in renewableenergy, it is essential to introduceclear, stable and long-termsupport policies. A number ofpolicy measures at national level,which could be appliedconcurrently, would significantlyimprove the framework forrenewable energy in India.

After all, India's rapid andenduring economic growth isintrinsically linked to theincreasing consumption of energyand natural resources.

Let there be light inEVERY HOME

>> The Ministry of Power hasset a target of adding 93,000MW in the 13th Five Year Plan

>> The industry has attractedFDI worth Rs.43,530.99 Cr(US$ 7.24 billion) during theperiod April 2000 to May 2014

>> The efficiency of a super-critical thermal power plantis 3 to 5% higher than asimilar sized sub-criticalthermal power plant

ONE OF THE ISSUESPLAGUING THE POWERSECTOR IN A BIG WAY ISSHORTAGE OF EQUIPMENT.THIS HAS BEEN ASIGNIFICANT REASON FORINDIA MISSING ITS CAPACITYADDITION TARGETS

We create

Power SolutionsYoshiaki Inayama, ManagingDirector, Toshiba JSW Power SystemsPvt. Ltd. (TJPS) speaks to DiptiSrivastava about the challenges ofpower sector in India and Toshiba'scommitment in solving the problemsthrough innovative technologies

100% INDIGENOUS

INTERVIEW YOSHIAKI INAYAMA

OUR MAIN FOCUS IS TOPROVIDE TURNKEY EMPCSSOLUTIONS TO THE INDIAN

POWER SECTOR

There is a whole gamut of challenging areas in the power sector thatIndia needs to address on priority in order to meet its growth targets

Millions of people inIndia have no electricity