Lok Sabha Question No. 24 (STARRED), answered on 2016-02-25
Subject: Renovation and Modernisation of Thermal Plants
Ministry: POWER
Asked by: ASHOK SHANKARRAO CHAVAN, KUNWAR HARIBANSH SINGH

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA STARRED QUESTION NO.24 TO BE ANSWERED ON 25.02.2016

## RENOVATION AND MODERNISATION OF THERMAL PLANTS

- *24.   SHRI ASHOK SHANKARRAO CHAVAN: KUNWAR HARIBANSH SINGH:

Will the Minister of POWER be pleased to state:

- (a) the  number  of  thermal  power  plants  in  the  country  along  with  their capacity, sector-wise and fuel-wise;
- (b) whether  certain  thermal  power  plants  have  been  recommended  for closure/renovation by the Central Electricity Authority  (CEA) units as these are more than 25 years old, if so, the details thereof;
- (c) whether the  Government proposes to undertake renovation and modernization of old thermal plants, if so, the status thereof along with the norms laid down in this regard;
- (d) the  total  funds  estimated  to  replace  the  old  and  inefficient  thermal units along with the funds provided for the purpose; and
- (e) the steps taken/being taken by the Government to refurbish/modernise/ renovate old and inefficient thermal plants?

## A N S W E R

THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR POWER, COAL AND NEW & RENEWABLE ENERGY

( SHRI  PIYUSH GOYAL )

(a) to (e) : A Statement is laid on the Table of the House.

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STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF STARRED QUESTION NO.  24  TO  BE  ANSWERED  IN  THE  LOK  SABHA  ON  25.02.2016  REGARDING RENOVATION AND MODERNISATION OF THERMAL PLANTS.

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## (a) : Details of thermal power plants in the country along with their capacity, sector-wise and fuel-wise as on 31.01.2016 is as under:

| Sector         | No. of Plants/(Capacity in MW)   | No. of Plants/(Capacity in MW)    | No. of Plants/(Capacity in MW)   | No. of Plants/(Capacity in MW)   | No. of Plants/(Capacity in MW)       | Total (No.           |
|----------------|----------------------------------|-----------------------------------|----------------------------------|----------------------------------|--------------------------------------|----------------------|
|                | Coal (No. of Plants/ Capacity)   | Lignite (No. of Plants/ Capacity) | Gas (No. of Plants/ Capacity)    | Diesel (No. of Plants/ Capacity) | Multi-fuel (No. of Plants/ Capacity) | of Plants/ Capacity) |
| State Sector   | 69/ 59070.50                     | 3 / 790                           | 34 / 6975.30                     | 41/ 438.57                       | 1 /60                                | 148 / 67334.37       |
| Central sector | 31 /46740                        | 7 /3240                           | 14/ 7555.33                      | -                                | -                                    | 52 / 57535.33        |
| Private Sector | 79 / 63507.37                    | 3 /1830                           | 28 /9978                         | 8 /554.96                        | -                                    | 118 / 75870.33       |
| Total          | 179 / 169317.87                  | 13 /5860                          | 76 / 24508.63                    | 49 / 993.53                      | 1 / 60                               | 318 / 200740.03      |

(b) & (c) : Decision  to  conduct  Renovation  and  Modernisation  (R&M)  works  and replacement are taken by the respective Utilities.  R&M works of units of 13,044 MW capacity older than 25 years has started. In addition, as per  assessment made by Central Electricity Authority (CEA) in Oct 2015, units of 5580 MW capacity which are older than 25 years has been identified for R&M / Life extension (LE). Further, 5860 MW capacity can be retired in due course of time in a phased manner. Retirement or R&M of units of 4800 MW capacity can be decided based on their viability.

The  general  norms  laid  down  by  CEA  in  the  guideline  for  R&M  /  LE works (Oct, 2009) are as under:

-  Life  Extension  through  comprehensive  R&M  focuses  on  plant  operation beyond their original designed economic life of 25 years. Specific residual life assessment  studies  (RLA)  of  critical  components  may  be  carried  out  after about  20  years  of  life  or 1,60,000  hours  of  operation  for  thermal  power stations.
-  The cost of Life Extension works shall not exceed 50% of the EPC cost of a new generating unit of indigenous origin (BHEL). If the LE works are limited to Boiler Turbine Generator (BTG), the cost ceiling shall be restricted to 50% of the cost of new BTG unit.
-  A detailed study should be carried out to ensure its techno-economic viability in  terms  of  internal  rate  of  return,  payback  period  etc.  The  payback  period may be limited to 5-7 years. In cases, where the cost is estimated to exceed the above limits, a detailed cost comparison & cost benefit analysis shall be carried out between the R&M/LE work and that of setting up a new green field plant.
-  A  total  shut  down  period  of  unit  for  carrying  out  LE  works  should  be  6-8 months.

(d) : About  10,180  MW  capacity  based  on  Supercritical  technology  can  be installed  after  replacement  of  old  units  of  5860  MW.  The  total  estimated  fund requirement is around Rs 70,000 crore. Funds are arranged by the respective Utilities for R&M and replacement of units.

(e) : To  facilitate  the  implementation  of  R&M  of  Thermal  Power  Stations (TPSs), the following steps have been taken:

-  Studies have been taken up for addressing the barriers to R&M implementation  under  the  'Coal-Fired Generation  Rehabilitation ProjectIndia'.
-  RLA  reports  /  Detailed  Project  Reports  (DPRs)  of  R&M  projects  are  being prepared by the empanelled R&M consultants.

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