Risk Management & Mitigation Risk Management & Mitigation

Risk Management & Mitigation

1. Risk Management & Mitigation 1

2. Course Overview Conversational Themes Genesis of the 'No Export' Concept Overview of Energy Management Cost-Benefit Analysis with Battery Storage Examining the No Export Model: A Case Study at IIT Indore Finding the Optimal Balance: Sanctioned Load and Solar Capacity The Other Case studies Key Findings and Takeaways

3. Conversational Themes No-Export Model Optimum sanctioned load

4. Genesis of the 'No Export' Concept Installed capacity is determined by: Available rooftop area Distribution transformer Net metering limit Monthly consumption

5. No Export: Concept Institutes with energy requirements greater than the net metering capacity specified by the state regulations could benefit through this model. No export pertains to the condition that the entire energy generated by the rooftop solar plant is to be consumed/managed within the institute without being exported to the grid. Institute has the option to import energy from the grid if necessary, but it is not permitted to export energy to the grid.

6. Options Challenges Store surplus in battery storage Inverter operation in load following mode Import power from the grid Additional cost of battery Revenue loss to developer due to Sub-optimal generation Wastage of power Additional cost of dump load Surplus Deficit Energy Management Dump load (Resistive/Heating

7. Cost-Benefit Analysis with Battery Storage The surplus energy can be stored in the battery. The stored energy can be used to meet energy demand in the event of no/limited solar availability. This could reduce reliance on power imports from the grid leading to increased savings. Challenge : To optimize the balance between savings and investment with battery storage, it is important to assess the battery capacity.

8. Examining the No Export Model: A Case Study at IIT Indore Rooftop Solar at IIT indore Existing rooftop solar capacity of ~500 kWp MPERC regulations limits RTS capacity at 500 kWp IIT campus demand is > 1 MW 'Zero investment, Savings from day one, Moving towards Net Zero'

9. 500 kW RTS under net metering is only reducing utility bill of ~5% RTS setoff in kWh 20% 16% 21% 16% 10% RTS setoff in INR 16% 14% 19% 12% 5% 500 kWp rooftop solar generation considered at 19% CUF CoD of project is estimated from 2020 Estimated utility bill @ MPERC ARR Avg billing rate Avoided utility bill @energy charges ( Considered for 33kV HV 3.2 category) FY22 assumed at CAPEX; at RESCO tariff of INR 4/kWh, the RTS setoff in INR will be at 4%

10. Existing RTS of 500 kW is inherently working as a no export plant 9 March is working day 19 March is non-working day Monthly electricity consumption* 712,316 kWh Utility energy charges @ 7.25 5,164,291 INR RTS generation - 500 kWp 81,342 kWh RESCO charges @ 4 325,368 INR Net cost after RTS 4,899,930 INR *Assumed monthly consumption based on consumption on a working and a non working day Net Cost after RTS = ((Monthly consumption- RTS generation) * Utility tariff) + (RTS generation * RESCO Tariff)

11. RTS with no export; no storage and no loss of energy 1

12. Existing RTS of 500 kW is inherently working as a no export plant *Assumed monthly consumption based on consumption on a working and a non working day Net Cost after RTS = ((Monthly consumption- RTS generation) * Utility tariff) + (RTS generation * RESCO Tariff) 9 March is working day 19 March is non-working day Monthly electricity consumption* 712,316 kWh Utility energy charges @ 7.25 5,164,291 INR RTS generation - 830 kWp 135,028 kWh RESCO charges @ 4 540,111 INR Net cost after RTS 4,725,451 INR

13. RTS with no export and no storage 2

14. Existing RTS of 500 kW is inherently working as a no export plant *Assumed monthly consumption based on consumption on a working and a non working day 9 March is working day 19 March is non-working day Monthly electricity consumption* 712,316 kWh Utility energy charges @ 7.25 5,164,291 INR RTS generation - 2000 kWp 325,368 kWh RESCO charges @ 4 1,301,472 INR Excess generation lapsed 57,119 kWh Net cost after RTS 4,520,958 INR Net Cost after RTS = ((Monthly consumption – (RTS generation – Excess generation lapsed)) * Utility tariff) + (RTS generation * RESCO Tariff)

15. RTS with no export 3

16. Existing RTS of 500 kW is inherently working as a no export plant *Assumed monthly consumption based on consumption on a working and a non working day 9 March is working day Monthly electricity consumption* 712,316 kWh Utility energy charges @ 7.25 5,164,291 INR RTS generation - 2000 kWp 325,368 kWh RESCO charges (with 500 kW 2 hr BESS) @ 5.5 1,789,524 INR Excess generation lapsed 27,119 kWh Net cost after RTS 4,791,510 INR Net Cost after RTS = ((Monthly consumption – (RTS generation – excess generation lapsed)) * Utility tariff) + (RTS generation * RESCO Tariff)

17. Summary No export scenario Estimated reduction in utility bill 1 RTS with no export in any time-block, no storage and no loss of energy 500 kWp : 5% 830 kWp : 8% 2 RTS with no export in any time-block and no storage 2000 kWp : 12% 3 RTS with no export in any time-block and with energy storage 2000 kWp + 500 kW ESS: 7%

18. Finding the Optimal Balance: Sanctioned Load and Solar Capacity Problem statement: Minimum consumption charges are determined based on the sanctioned load. The permissible solar rooftop capacity is also dependent on the sanctioned load. Typically, the sanctioned load is higher than necessary, which causes the minimum consumption charges to outweigh the benefits offered by solar. Objective: To align sanctioned load with the solar capacity, such that the consumer only receives the required units to meet the minimum consumption, the remaining units should be sourced from solar energy.

19. Total Energy Demand= Energy supplied by DISCOM+ Energy supplied by RTS High rate Should be limited to minimum Constraint: Minimum Energy Consumption Low rate Should be maximized Constraint: Sanctioned load Existing RTS Optimum Solution: Determine the sanctioned load and solar capacity in a way that ensures the major energy requirements are met through solar Sanctioned Load

20. UIT Shahdol (HV 3.2: Non industrial - 33kV) 1 Connection 450 kVA contracted demand 57 kVA maximum demand 45 kVA average demand MMC of 600 kWh per KVA per year RTS Size (kW) Savings (Rs) 40 (3,862,317) 46 (3,864,455) 51 (3,866,236) 54 (3,867,304) 57 (3,868,373) 58 (3,868,729) 59 (3,869,086) 60 (3,863,581) 61 (3,848,781) 62 (3,833,980) 63 (3,819,180) 66 (3,774,779) 69 (3,730,378) 74 (3,656,376) 80 (3,567,574) Contract demand Minimum units (kWh) DISCOM units billed (kWh) RTS generation (kWh) DISCOM fixed charge (Rs) DISCOM variable charge (Rs) Other charges (Rs) Net cost to consumer (kWh) 450 270,000 119,322 2,360,860 1,993,366 397,375 4,751,601 59 35,400 35,400 82,694 238,596 276,538 36,603 882,551 Rooftop generation assumed at Rs 4/kWh Other charges include, FCA, ED, PF incentive/ surcharge, ToD rebate

21. UIT Jhabua (LV 2.1 and 2.2) 4 connections 207 kVA contracted demand 38 kVA maximum demand 20 kVA average demand MMC of 240 kWh per KVA per year RTS Size (kW) Savings (Rs) 6 (931,883) 11 (940,288) 14 (945,331) 17 (950,374) 20 (955,417) 21 (957,098) 22 (958,779) 23 (958,381) 24 (947,182) 25 (935,984) 26 (924,785) 29 (891,190) 32 (857,594) 35 (823,998) 40 (768,006) Contract demand Minimum units (kWh) DISCOM units billed (kWh) RTS generation (kWh) DISCOM fixed charge (Rs) DISCOM variable charge (Rs) Other charges (Rs) Net cost to consumer (kWh) 450 49,680 45,714 626,606 584,135 5,206 1,215,947 22 13,200 13,200 30,835 88,968 112,332 642 274,405 Rooftop generation assumed at Rs 4/kWh Other charges include, FCA, ED, PF incentive/ surcharge, ToD rebate

22. RGPV (HV 3.2: Non industrial - 33kV) 1 connection 605 kVA contracted demand 534 kVA maximum demand 327 kVA average demand MMC of 600 kWh per KVA per year RTS Size (kW) Savings (Rs) 440 (3,930,733) 446 (3,932,606) 451 (3,934,166) 454 (3,935,103) 457 (3,936,039) 458 (3,936,351) 459 (3,936,663) 460 (3,936,975) 461 (3,926,703) 462 (3,911,922) 463 (3,897,140) 466 (3,852,796) 469 (3,808,452) 474 (3,734,545) 480 (3,645,856) Contract demand Minimum units (kWh) DISCOM units billed (kWh) RTS generation (kWh) DISCOM fixed charge (Rs) DISCOM variable charge (Rs) Other charges (Rs) Net cost to consumer (kWh) 650 390,000 921,334 3,410,140 6,806,275 524,532 10,740,947 460 276,000 276,000 644,736 1,860,240 2,088,315 376,473 6,803,972 Rooftop generation assumed at Rs 4/kWh Other charges include, FCA, ED, PF incentive/ surcharge, ToD rebate

23. Key Findings and Takeaways No-export can be a viable option when the energy demand is high but solar capacity is limited by regulations. The challenge lies in selecting an effective solution for energy management. The risk involves forgoing the benefits provided by the net metered system. Optimal selection of the sanctioned load can significantly enhance the benefits offered by the solar system.

24. THANK YOU 24