TECHNOPARK PROJECTED ARR-ERC 2013-2014 ERC...Technopark is the IT hub of the State of Kerala, and...

TECHNOPARK PROJECTED ARR-ERC 2013-2014

PROJECTED ARR-ERC 2013-2014

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Electronics Technology Parks – Kerala(Technopark)Electricity Distribution BusinessAGGREGATE REVENUE REQUIREMENT

&

EXPECTED REVENUE FROM CHARGES

PROJECTION FOR FY 2013-14


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BEFORE THE HON’BLE KERALA STATE ELECTRICITY REGULATORY COMMISSION

Petition No : ETPK/KSERC/ARR-ERC/2013-14/01Date : 20-12-2012

IN THE MATTER OF : Application for approval of projected Aggregate RevenueRequirement and Expected Revenue from Charges for thefinancial year 2013-14.

AND

IN THE MATTER OF : Electronics Technology Parks – Kerala (Technopark)Park Centre, Technopark Campus,Thiruvananthapuram -695581

The petitioner named above respectfully submits as under:

1. This application for approval of the Aggregate Revenue Requirement (ARR) andthe Expected Revenue from Charges (ERC) for the financial year 2013-14 is filedbefore the Hon’ble Kerala State Electricity Regulatory Commission, (hereinafterreferred as Commission), in accordance with the provisions of the Electricity Act,2003.

2. This application has been prepared in accordance with the Kerala State ElectricityRegulatory Commission (Conduct of Business) regulations 2003, Kerala StateElectricity Regulatory Commission (Conduct of Business) AmendmentRegulations, 2010 and terms and conditions of the Kerala State ElectricityRegulatory Commission (Tariff) Regulations, 2003 issued by the Commission.The relevant provisions of Electricity Act 2003, were taken into considerationwhile preparing this petition.

Applicant

K G Girish BabuChief Executive Officer

Park Centre, Technopark Campus,Date: 20-12-2012 Thiruvananthapuram - 695581


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Table of Contents

Chapter No: Title Page No:01 Introduction 0502 Power Distribution scheme for Technopark Phase-I Campus 0703 Power Distribution scheme for Technopark Phase-II&III Campus 0804 Power Distribution scheme for Technopark Kollam Campus 1105 Power Distribution scheme proposed for Technocity Campus 1206 Electrical Project Details in Technopark Phase-I Campus. 1307 Electrical Project Details in Technopark Phase-II & III Campuses 1508 Electrical Project Details in Technopark Kollam Campus 1609 Electrical Project Details in Technocity Campus 1810 Demand Side Management Activities Proposed in FY 2013-14 1911 Power Quality Improvement 2112 AT&C Losses 2113 Consumer Mix Estimated for FY 2013-14 2314 Consumer Category wise Energy Requirement for 2013-14 2415 Revenue Mix estimated for 2012-13 2716 Impact of tariff changes in Bulk Supply Tariff. 2817 Aggregate Revenue Requirement 2918 Expected Revenue from Charges. 3019 Comparison of ARR/ERC and treatment of Revenue Gap 3020 Compliance to the Directives of Hon’ble Commission and Major

Achievements during 2012-13.33

Prayer 34Annexure (Data Forms A-Z)


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1. Introduction

In July 1990, the Government of Kerala conceptualized Technopark as afacility to foster the development of high-technology industries in the state.Technoparkis an acronym for Electronics Technology Park, Kerala—anautonomous society under the Department of InformationTechnology,Government of Kerala. Technopark's aim is to createinfrastructure and provide support required for the development of high-technology companies. Its stated mission is to "Provide, Viably, SuperiorEnvironment and Services with Assured Quality of Service to MakeTechnology Businesses Intrinsically Competitive and Successful, and PromoteRegional Development through Synergistic Linkages between Industry,Government and Academia, based on Continuous Improvement andInnovation".

Technopark is the IT hub of the State of Kerala, and based in Trivandrumwhich can rightfully claim to be the knowledge capital of the region.Technopark provides world class, robust and failsafe physical, power anddatacom infrastructure, offering a no compromise yet low cost enablingenvironment for IT industry that is leveraged by its occupant companies for acompetitive advantage. Technopark aims to provide all the infrastructure andsupport facilities needed for IT/ITES and electronics companies to function. Inaddition to built-up office space, it also provides all utilities as well as the dataconnectivity. This is done either directly or through private partners. Inaddition, Technopark provides business incubation facilities for start-up firmsas well as some social infrastructure for the personnel working in the park.

Technopark is the first CMMI Level 4 assessed Technology Park. Spread over156acres (Technopark Phase-I campus), and about 4.5 million sq.ft. of built-up space, Technopark hosts over 225 IT and ITES companies, including 6CMMI Level 5, 2 CMMI Level 3 and several ISO 9000 certified companies,employing over 30,000 IT Professionals. The select list of companies workingat Technopark include TCS, Infosys Technologies ,Oracle India Pvt Ltd, Ernst& Young, Allianz Cornhill ,UST Global, IBS, Suntec, NeSt, RRDonnelley&Co.,ICON, Collabora, RMESI, Alamy Images, Saudi Engineering


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Group, Toonz Animation, HCL, SperidianTechnologies,Satmetrix,Revenuemed, Accentia, Tata Elxsi etc.

Technopark has the best of nature's environment complemented by the mostmodern man-made facilities. Quality environment, international standardinfrastructure, a comprehensive umbrella of support services, a significantcost advantage, easy access to excellent human resources and remarkableease of starting up make Technopark, Trivandrum India's most promising ITdestination.

Technopark is currently on an expansion mode by adding another 93 Acres aspart of Phase III expansion, 40Acres as Technopark Kollam and 450 acres asTechnocity—an integrated IT township near Pallippuram. The policy ofeconomic liberalisation initiated by the government of India in 1991 and therapid growth of the global software industry during the 1990s substantiallycontributed to the growth of Technopark.

The units in Technopark include domestic firms, joint ventures andsubsidiaries of foreign companies engaged in a wide variety of activities,which include embedded software development, smart card technology,enterprise resource planning (ERP), process control software design,engineering and computer-aided design software development, IT EnabledServices (ITES), process re-engineering, animation and e-business.Technopark is owned and administered by the Government of Kerala and isheaded by a Chief Executive Officer. In addition to this, it has a GoverningCouncil and a Project Implementation Board, both of which include topofficials of the government. Administrative offices, including that of the CEO,are housed in the Park Centre building.

Technopark Phase-II campus is leased out to M/s UST Global and M/s InfosysTechnologies Ltd. M/s Infosys has already started their operation from thiscampus.

Technopark Phase-III campus is adjacent to Technopark Phase-I campus.Technopark is constructing a 1 million sqft IT building in this campus which isexpected to commence operation in the coming financial year.


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As a hub and spoke model of development, Technopark is developing aseparate IT campus in the neighboring district Kollam. This campus has anarea of about 44 Acres and is known as Technopark Kollam. Technopark isconstructing a 1lakh sqft IT building in this campus.

Technopark has conceived the Technocity project which is around 5kms northof the present campus. This campus is envisaged as an integrated townshipconsisting of IT/ITES industries and will be the largest development projectundertaken by Technopark. The total area of the campus will be around450Acres.

2. Power Distribution scheme for Technopark Phase-I Campus

Government of Kerala had issued an electricity distribution license toTechnopark, as per G.O (P) No.19/99/PD dt: 12-07-1999 for distribution ofpower to various establishments within the campus. Accordingly Technoparkis the deemed distribution licensee under the first proviso of Sec. 14 ofElectricity Act, 2003.

Technopark receives electricity through 11kV feeders from 110kV substationTechnopark at Kazhakkuttom which is operated and maintained by KeralaState Electricity Board. Technopark is an EHT consumer of KSEB and thepresent contract demand of Technopark with KSEB is 15,000kVA at 110kV inTechnopark Phase-I Campus. The existing 110kV substation Technopark atKazhakkuttom has 2x12.5MVA Transformers which are dedicated forsupplying power to Technopark Phase-I campus only. Technopark supplieselectricity to the establishments within the campus through its own internalHT/LT power distribution network.

There are 12 No’s of 11kV/415V Substations which are operated andmaintained by Technopark inside its campus and another 12 substations areowned and operated by other private developers. Out of the twelve 11kVsubstations two substations are main receiving substations which receivepower directly from 110kV substation Technopark, Kazhakkuttom. These twomain receiving substations inside Technopark campus feed to around 22 no’sof 11kV secondary substations. Unlike power distribution network maintainedby KSEB and other licensees, Technopark power distribution network isdevoid of any overhead lines and PSC poles. Power is conveyed through


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HT/LT underground cables. The advantages of this system being lessmaintenance and more reliability.

The Basic Electrical Scheme of Technopark Phase-I Campus is shown in Fig-1

3. Power Distribution scheme for Technopark Phase-II&III Campus

Hon’ble KSERC has extended the distribution licensee status for distribution ofpower to Technopark Phase-II and Phase-III campuses also. The 110kVsubstation in Technopark Phase-III has been commissioned in September2009 as the existing facility is inadequate to cater to the needs of the ongoingand upcoming development as well as expansion programmes in TechnoparkPhase-II and Technopark Phase-III Campuses.


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The land in Technopark phase-II campus has already been leased out to M/sInfosys and M/s UST Global. 50Acres of land is allotted to the Co-developerM/s Infosys Technology Ltd who had already commenced operation of theirphase-I campus having SDB-1 and SDB-2.The construction activities of thesecond phase of Infosys campus with a multi-level car parking facility andSDB-3 are progressing. The phase-II facility is expected to get completedduring the third quarter of FY 2013-14. The approximate built-up area of theirphase-I campus is 3.6 lakh sqft and the approximate built-up area of theirphase-II expansion is 19.8 lakh sqft which includes a multilevel car parkinghaving a built-up area of 7.32 lakh sqft. The maximum power demandexpected when all the buildings become fully operational would be around9MVA.

36 Acres of land is leased out to M/s UST Global Ltd. M/s UST Global Ltd isconstructing a futuristic IP enabled building in their campus. The completionof this building is expected in the first quarter of FY 2013-14. The total built-up area is 7.42lakhsqft and the power demand expected when the buildingbecomes fully operational is 4.8MVA.

The 110kV substation at Phase-III caters to the power demand of Phase-IIand Phase III campuses of Technopark. The co-developers in Phase-IIcampus M/s Infosys and UST Global avail power directly from 110kVsubstation in Technopark Phase-III campus through 11kV undergroundcables. The phase-III campus having a total area of 93 Acres is beingdeveloped by Technopark. Technopark is constructing a 1 million sqft ITbuilding in this campus. The construction activities are fast progressing, theIT building is expected to get completed in the first quarter of FY 2013-14.This is a multi-tenant facility and the space in the building will be leased outto prospective IT/ITES companies. The power demand expected when thebuilding becomes fully operational would be around 7MVA.

The present contract demand of Technopark Phase-II&III campus enteredwith KSEB is 5MVA.The entire power is sourced from 110kV substation inTechnopark Phase-III campus.11kV power distribution network with RingMain Units is implemented in Technopark Phase-III campus. The 11kVnetwork along with Ring Main Units configured in an open ring configurationprovides an (n-1) reliability level. 1Cx500sqmm power cables are used in this


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system for conveying power. The power demand of unoccupied plots areestimated based on the Floor to Area Ratio (FAR) (Floor Space Index - FSI),Load Density, Demand Factor (DF) of the Consumers Coincidence Factor (Fc)of the network.

Notable advantages of this type of distribution system over conventionalpower distribution system viz.

Better reliability. Less shutdown time for maintenance and repair. Better space utilization. Expandability. No need for substation buildings.

An indicative diagram of the power distribution system in Technopark Phase-II&III campus is shown in fig-2


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TPTL#1 110kV Line

TPTL#2 110kV Line

11kV Ring-2 11kV Ring-1

Future

fig-2

4. Power Distribution scheme for Technopark Kollam Campus

The Electricity Distribution Network of Technopark Kollam Campus is uniquein the fact that power is availed from 220kV substation Kundara through110kV Underground cables. The work of cable laying is being done by KSEBunder work deposit scheme. There is a 110kV substation in this campus.

110kV Substation Technopark Phase-III

RMU-1

RMU-2 RMU-3

RMU-4

InfosysPhase-I

InfosysPhase-II Infosys

Phase-II

USTGlobal


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Technopark is installing 1No. 12.5 MVA Transformer at present in order tocater to the immediate requirement. Augmentation will be done at a laterstage depending on the rise in power demand.

Technopark is constructing a 1-lakh sqft IT building in this campus. Thisbuilding is in the final stages of completion. The total power requirement isexpected to be 1700kW. The power will be sourced from the 110kVsubstation in the campus once it is commissioned.

5. Power Distribution scheme for Technocity Campus

Technopark is setting up Technocity project, which encompasses a campus of450 Acres spread in 4 villages. The anticipated ultimate power demandproposed for Technocity project comes to approximately 80MVAapproximately in various stages. Although the ultimate power demand comesto 80MVA, power demand may reach this level over a long period of time. Amain receiving substation (110/33/11kV) is proposed to be set up to cater tothe power demand in the campus. Initially a substation with installed capacityof 25 MVA is proposed. The nearest source of 110kV power is 220kVsubstation of KSEB at Pothencode which is 3km away from the proposedsubstation.

Laying overhead line from Pothencode to proposed Technocity substation isnot possible due to the non availability of right of way. The reliability ofunderground cabling is also higher than overhead lines. Therefore, it isproposed to lay underground cable through RCC trenches along the roadside.Single circuit with one spare cable is proposed for conveying power.

Ring main distribution system is proposed for the project. The power will bedistributed to various plots of co developers via 11KV XLPE UG cables.

An indicative diagram of the power distribution system in Technocity campusis shown in fig-4.


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Fig-4

6. Electrical Project Details in Technopark Phase-I Campus.

Technopark Phase-I campus is spread over 156 Acres. There is a well-established power distribution system for supply of power to variousconsumers in the campus. Presently, Technopark has a power purchaseagreement with KSEB for a contract demand of 15 MVA and the recordedpower demand is around 15 MVA. Technopark receives electricity through 11kV feeders from 110 kV substation for distribution within the Technoparkcampus. The substation is operated and maintained by Kerala State ElectricityBoard (KSEB).


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a) New 11 kV main receiving substation for catering to the additional powerdemand in future.

IT Giants M/s Tata Consultancy Services is in the process of establishing their8 Lakh Sq. Ft software development center in Technopark Phase – I campus.The ultimate power demand projected by TCS for their SEZ campus is 9.72MVA.

Two main receiving substations (11kV) situated within the campus receivepower from 110kV substation Kazhakkuttom and feeds in to the powerdistribution systeminTechnopark Phase – I campus. These two substationsare fully utilized and spare capacity is not available.

Therefore, considering the current power requirement in future it is proposedto install an additional 11 kV main receiving substation inside TechnoparkPhase I campus.

The works involve the following:

1) Supply, Installation, Testing and commissioning of 11kV HT panels.2) HT cabling and end termination from 110 kV substation to the proposed 11kV substation.3) Construction of substation building.

The total capital outlay for the project estimated is Rs. 180 lakhs. The projectis expected to be commenced during the first half of the forthcoming financialyear.

6.2 Modification works in 110kV substation Kazhakkuttom for drawingadditional power.

Certain modification works are required in 110kV substation Kazhakkuttom fordrawing additional power for Technopark Phase-I campus. The work mainlyincludes the following

Installation of 11kV panels. Installation of HT cables. Installation of outdoor 11kV switchyard.


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Technopark has sought estimate from KSEB for carrying out this work underthe work deposit scheme. Response from KSEB is yet to be received. Theworks are proposed to be started in the first quarter of forthcoming financialyear.

7. Electrical Project Details in Technopark Phase- II & III Campus.

Technopark Phase-III Expansion is one of the ambitious projects ofTechnopark. 93 Acres of land adjacent to the existing Technopark Phase-Icampus is being developed. Special Economic Zone status has already beenobtained for 26 Acres of land. Technopark is constructing 1 million sq.ft ITbuilding in 9 Acres SEZ land. The total capital outlay of the project is aroundRs. 260crores and the funding for the project is through a consortium of threecommercial banks. The Total power requirement of IT building constructed byTechnopark will be 7MVA.

SEZ/ Non SEZ plots of varying acreage is allotted/ being allotted to IT/ITESco-developers. Technopark has implemented a failsafe 11kV Ring Maindistribution network in the campus which will supply power to various IT/ITEScompanies including the IT building constructed by Technopark. The powerfor all establishments inside the campus will be supplied from the 110kVsubstation Technopark Phase-III.

a) Electrification of 1million sqft IT building in Phase-III campus Technopark.

Technopark is constructing a 1 million sqft built-up area IT building inTechnopark Phase-III campus. This building is a multi-tenant facility whichwill be leased out to prospective IT/ITES companies. Power to this buildingwill be supplied from 110kV substation Phase-III in the campus. Maincomponents for power distribution in the building are

4No’s 2500kVA Transformers.

3No’s 1500kVA DG Sets and 4 No’s 625kVA DG sets for providing powerback-up during power failures/ outages.

The construction works are ongoing and is expected to be completed in thebeginning of the coming financial year.


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b) 11kV Power Distribution System for Technopark Phase III Campus

Ring Circuit distribution system is proposed having N-1 reliability level. RingMain Units will be installed from which the consumers can tap power to theirpremises. This type of distribution system has several advantages overconventional power distribution system viz.

Better reliability. Less shutdown time for maintenance and repair. Less space utilization. Expandability. No need for substation buildings.

The main scope of work is the following

Installation of 4No’s outdoor type ring main units. Installation of 11kV UG cables. Installation of 11kV panels.

The project was successfully completed and commissioned in Nov-2012.

8. Electrical Project Details in Technopark Kollam Campus.

Kerala State Electricity Regulatory Commission has extended the electricitydistribution license for Technopark, Kollam. Technopark as part of the huband spoke model of development is expanding its activities to Kundra, Kollam,which is 63 km away from the Trivandrum Campus. This is to tap the Kerala'sunique advantage of uniform talent distribution, Infrastructure and supportingIT platforms, e.g. telecom, datacom and digital exchanges, excellentinfrastructure availability and back-up support. Technopark Kollam is locatedin 44.46 acres of prime land beside scenic Kanjirode Lake. This park is beingdeveloped as a Special Economic Zone.

As a distribution licensee, Technopark sets up its own power distributioninfrastructure in this campus and distributes power to various investors in thecampus. A receiving substation of 12.5 MVA capacity is being set up in thecampus. Power will be drawn from the Kundara substation of KSEB at 110 KV


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and will be stepped down to 11 KV. Technopark also ensures 100% back uppower arrangement.

Power for IT/ITES companies inside the campus will be supplied from the110kV substation. The power will be conveyed to the 110kV substationthrough 110kV EHTUG Cables. The work of laying of these cables is entrustedwith KSEB under work deposit scheme.

a) Electrification of IT Building Phase-I

The power infrastructure required for IT building at Technopark Kollam isbeing implemented. Power to this IT building will be supplied from 110kVsubstation in the campus. Main components for power distribution in thebuilding are

1 No. 1600kVA Transformer and 1 No. 500kVA Transformer. 2 No’s 625kVA DG sets.

b) 110kV substationatTechnopark Kollam

Construction of 110kV substation in the Campus in the final stages. A12.5MVA transformer is installed in the substation to cater the initial powerdemand. Power to this substation will be sourced from 220kV substationKundara which is around 2.6km away from the location. Power will beconveyed through 110kV EHV UG cable. Laying of this cable from 220kVsubstation Kundara is carried out by KSEB. Power to the extent of 6MVA isallocated in the 110kV feeder to this substation. Delay in completion of UGtransmission line project undertaken by KSEB has resulted in the delay incommissioning of 110kV substation in the campus.

c) Laying of 110kV UG cable.

4 Runs 1Cx500mm2110kV EHV cable is required for providing power from220kV substation Kundara. The length of this cable would be around 2.6kms.The work includes providing 1No. 110kV feeder bay for accommodating110kV feeder to Technopark Kollam by shifting 2 No’s existing feeder bays forfacilitating bus extension and installation of equipment. This is a capitalintensive project necessary for providing power to Technopark Kollam. This


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work is undertaken by KSEB.Technopark has already deposited Rs. 1829.61lakhs for this purpose.

9. Electrical Project Details in Technocity Campus.

The Technocity project which is purported to be the State's biggest ITinfrastructure project was officially launchedon 05thJune 2010. Technocity isbeing developed as an integrated township on 451 acres, and will encompassIT, ITeS infrastructure as well as residential, commercial facilities in additionto public service and educational institutions.

The creation of the integrated facilities would entail a capital outlay of Rs5,000-8000 crore spread over 5-8 years. This development has been plannedin the public-private partnership (PPP) model in association with technicallyand financially competent private developers.There would be multiplepartnerships in association with developers of varying financial capabilities forvarious parcels of land within the 451-acre campus.The entire project will beimplemented through multiple special purpose vehicles in conjunction withleading developers. The first phase of the development is set to be completedwithin 3 years.

a) 110/33/11 kV Air Insulated Substation &110 kV Incoming UG Cable to AIS.

Initial power demand is proposed to be met by setting up an EHV mainreceiving substation. Instead of the conventional 110/33 kV or 110/11 kVsubstationa 110/33/11 kV Substation is proposed due to the followingreasons.

The land parcels proposed by stakeholders of Technocity varies fromlarge to small land parcels which calls for varied power demand whichranges from 11kV to 33kV.

As per the Kerala Electricity Supply Code, up to 3 MVA, power shall begiven at 11kV voltage level and beyond 3MVA up to 12MVA power shallbe given at 33kV voltage level. Therefore, the distribution of powerinside Technocity is to be done at 11kV and 33kV voltage levels.


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The Substation is equipped with 2Nos. of 110/33kV; 12.5MVA and 1 No.33/11kV; 10MVA transformer. The total estimated cost for Supply,Installation, Testing and Commissioning (SITC) of 110/33/11 kV Substation isRs. 922 lakhs.

110 kV EHV UG cable will be laid for conveying power from Pothencode 220kVsubstation to the proposed 110kV substation in Technocity.The cable size is,500 sq.mm single core, XLPE armored Aluminium cable. Four runs of cable ie.Single circuit of single core cable and one spare cable will be laid. The totalestimated cost for this work is Rs. 1481lakhs. Both the projects are proposedto be carried out as a single work package and the total capital outlay is Rs.2403 lakhs.

10. Demand Side Management Activities Proposed in FY 2013-14

Demand side management provides a range of technical, organizational andbehavioral solutions to cut or decrease electricity consumption and demandside management is necessitated due to the steep rise in power consumptionduring peak hours, to improve the quality and reliability of power supply andto mitigate the impact of rising tariffs. Technopark aims to improve finalelectricity-using systems, reduce consumption, while preserving the samelevel ofservice and comfort.

1. Green Buildings

Technopark, the Greenest IT Park in India is also an active member in IndianGreen Building Council (IGBC). The new buildings constructed by Technoparkin Technopark Phase-II&III and Technopark Kollam projects are ‘GreenBuildings’. A green building is one which uses less water, optimizes energyusage, conserves natural resources, generates less waste and provideshealthier space for occupants, as compared to a conventional building. GreenBuildings are energy efficient buildings which use 20-40% less energycompared to conventional buildings. 1million sqft IT building in TechnoparkPhase-III campus is ‘Gold’ pre-certified by LEED India.


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2. Solar Powered Street Lighting.

Technopark promotes energyconservation through implementation ofrenewable energy projects especially solar energy projects. The projectscompleted so far are

a) Centralized solar street light system in Technopark Kollam campus.

The centralized solar street light system in Technopark Kollam campusconsists of solar PV arrays of capacity 12kWp and battery backuparrangement having a capacity of 2500Ah. This provides power for operatingentire street lights inside the campus and peripheral roads. The totalnumbers of street lights powered through this system are 119No’s of 20 Weach. The total energy generation estimated from the solar arrays would bein the range of (1200-1500) units/ month. The total energy savingsestimated in this case would be 860units/month.

b) Standalone street light system in Technopark phase-I campus.

16 No’s stand alone street lights are installed in one of the streets inside thecampus. The total PV capacity is 1.6 kWp. The total energy savings estimatedis around 51units/month.

a) Centralized solar street light system proposed in Technopark Phase-IIIcampus.

Technopark proposes to implement solar street light system in the internalroads of the 45 acre campus being developed by Technopark in Phase-III.The system consist of solar PV arrays of capacity 17kWp having a batterybackup arrangement of capacity 2500Ah. The system will provide power foroperating 238No’s 25W LED street lights over a 12hr period from dusk todawn. The total energy generation estimated from the solar arrays would bein the range of (1900-2100) units/ month. The total energy savings estimatedby powering the street lights from solar energy would be 2140 units/month.

Thus the non critical loads like street lighting are powered by nonconventionalenergy source thereby effecting energy savings and load management duringthe peak load period.


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3. Energy Management system as a part of IBMS

An energy management system monitors and collects data for a building,improvingknowledge of the consumption by usage, time and season. It easesthe implementation of demand side management. Energy managementsystem is proposed in the building management system for IT building inTechnopark Phase-III campus. The multifunction meters in various feedersare capable of communicating with BMS through RS 485 interface, this willease the data collection to initiate demand side management activities andprevent leakages.

11. Power Quality Improvement

STATCOM project is jointly implemented by Technopark and Center forDevelopment of Advanced Computing (CDAC) which is aimed at compensatingneutral current, unbalance current, reactive current and harmonic current presentin power system. STATCOM is employed to mitigate the power quality issues andreduction of losses. Statcom Unit works as a shunt active filter which willcompensate the unbalance current, harmonic currents and reactive currents evenin a highly fluctuating load environment.Following the success of first two unitsinstalled in SS-2A substation of Technopark, Technopark has implemented FouthSTATCOM unit in SS-2A substation in Nila building.

Development and deployment of STATCOM is a pilot project to demonstrate PQmitigation techniques. CDAC has developed only 4nos of 500kVA prototype unitstotaling 2MVA. The main benefit is on account of reduction in maximum demand,harmonics etc. It is noteworthy that unbalance compensation and neutralcompensation along with harmonic and reactive power compensation with thesame hardware makes STATCOM a unique solution. No simple conventionaltechnology is offering all this above features.

12. AT&C Losses.

The aggregate losses of the system are subdivided into technical andcommercial losses. The technical losses consists of the losses in thetransmission and distribution network, losses in transformer and other


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electrical equipment whereas commercial losses includes losses due toincorrect metering, billing errors, tampering of meters, sluggish meters etc.

All the Non functioningand sluggish electromagnetic type energy meters arebeing replaced with electronic energy meters/ Trivector meters for accuratemeasurement of energy consumption.

Technopark has 5 No’s power transformers and over 80 distributiontransformers in service which are installed by Technopark/ other co-developers. Considerable amount of energy losses occurs in thesetransformers. Also losses occurs in UG cables and other LT cables, however itis low compared with the transformation losses. Losses occurring frommetering errors have been significantly reduced by replacing electromagnetictype energy meters with electronic energy meters and by following stringentperiodical maintenance activities.

A comparison of the AT&C losses based the trued up figures and the figuresapproved by Hon’ble Commission is shown below.

The energy losses is seen reducing from 2009-10 onwards, which is evidentto the energy saving measures and focus on renewable energy sources.

5.81 5.69 5.59

4.00 3.81

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

2009-10 2010-11 2011-12 2012-13 2013-14

AT&C Loss for past 5 years


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13. Consumer Mix Estimated for FY 2013-14

The consumer categorization of Technopark has changed drastically with theadvent of revised tariff order issued by Hon’ble Commission dt: 25th July2012. Prior to this Technopark was following Schedule of Tariff and Termsand condition of retail supply by Technopark w.e.f 01-03-2008 approved byHon’ble Commission. The retail tariff categories of Technopark were equatedwith that of KSEB following the tariff rationalization. The previous consumercategorization and tariff pattern was most suited considering the consumermix of Technopark. A comparison of the present consumer & tariff categoriesand as per erstwhile consumer & tariff categories is given below.

The tariff categories became more than double, consequently the consumermix has also changed. The consumer mix proposed for FY 2013-14 is asfollows which indicates percentage share of each category.

3.49%

14.63%

0.87%

3.49%

9.61%

17.47%

3.71%

0.87%2.18%

Consumer Mix (2013-14)


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3.49%

0.22%

0.22%

21.40%

21.83%

2.18%

Consumer Mix (2013-14)

HT-I

HT - II

HT - IV

LT IVA

LT IVB

LT IVB<20kW

LT - VI (B)

LT VI C

LT VII (A) (1-Ph)

LT VII (A) (3-Ph)

LT VII (B)

Self Consumption


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LT IVB<20kW

LT VII (A) (1-Ph)

LT VII (A) (3-Ph)

Self Consumption


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14. Consumer Category wise Energy Requirement for 2013-14

Projection of consumption and demand is made taking into consideration theincrease in power consumption due to the existing consumers and powerconsumption expected due to the addition of new consumers. TheTechnopark Phase-I Campus is almost saturated so new consumers expectedfor FY 2013-14 is less. Consumer growth is happening in IT buildings insideTechnopark Phase-I Campus like leela Infopark building. The places whereaddition of new consumers is expected to take place are Tejaswini building,Leela Infopark building, Amstor building, Reception building, Bhavani buildingand TCS SEZ campus.TATA consultancy services is setting up their softwaredevelopment centre in 25Acres of SEZ land in Technopark Phase-I campus.The construction works of TCS campus is expected to be completed partiallyin financial year 2013-14. Only a part of the final demand projected for TCScampus is considered to project their consumption. M/s TATA consultancyservices, M/s UST Global are the HT consumers expected to be added to theconsumer base in the financial year 2013-14.

UST global is constructing an IP enabled IT building in the land allotted tothem in phase-3 campus. This building is expected to be operational duringthe first quarter of the next financial year. The power consumption of existingconsumer M/s Infosys is also expected to increase as theirthird IT buildingSDB-3 and support facilities is expected to commence operation. M/s Infosyshas also started construction of their multi-level car parking facility which isexpected to be completed by end of the next financial year.

The 1 million sqft IT building constructed by Technopark is expected to becompleted during the first quarter of financial year 2012-13. This IT buildingwill be a multi-tenant facility and will be occupied progressively. The powerconsumption of new consumers in this building is also considered forprojecting the energyrequirement.

The 1-lakh sqft IT building in Technopark Kollam is also expected to becompleted during the first quarter of next financial year and occupation willcommence.Consumption for street lighting is expected to be reduced since forthe upcoming projects solar street lighting is proposed to be implemented.


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New consumers expected in the financial year 2012-13 for various phases ofTechnopark are given below.

ConsumerCategory

TechnoparkPhase-I

TechnoparkPhase-II

TechnoparkPhase-III

TechnoparkKollam Technocity Total

HT-I Industrial 1 2 0 0 0 3LT-IV A 3 0 9 6 0 18LT-IV B 3 0 10 13 0 26LT VII (A)Commercial (1-Ph) 3 0 2 0 0 5LT VII (A)Commercial (3-Ph) 5 0 2 0 0 7Street Lighting 0 0 1 1 0 2Self Consumption 0 0 1 1 0 2

The expected consumption of consumers from various categories is tabulatedas follows. Majority of the consumers and energy consumption is happeningin the LT category of consumers. The consumer strength of HT consumercategory is very less when compared with the LT consumer category,however around one third of the overall energy consumption is from thesecategory of consumers. 97% of energy in the HT category is consumed byIT/ITES industrial consumers. Consumption of Non Industrial/ Commercialcategories is very minimal.

93% of the consumption in the LT category is by IT/ITES industrialconsumers, out of this 79% of the consumption is by consumers havingpower demand over 50kVA. Self consumption/ Auxiliary consumption of thelicensee are 1% of the total consumption of LT consumers.

Five new consumer categories is introduced as per the new tariff schedule.The consumer wise details their annual consumption expected is tabulatedbelow.


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Consumer Category No. of ConsumersAnnual EnergyConsumption in MU % Consumption

HT – I (Industrial) 16 25.70 97.07%HT – II (Non Industrial /NonCommercial) 1 0.13 0.49%HT IV (Commercial) 1 0.65 2.44%Total HT 18 26.47 33.66%LT IVA (IT & ITES) 98 41.31 79.18%LT IV B (IT & ITES) 100 5.41 10.36%LT IV B (IT & ITES < 20kW) 67 2.15 4.12%LT - VI (B) Non-Domestic(1-Ph & 3-Ph) 4 0.01 0.02%LT VI C Non-Domestic(1-Ph & 3-Ph) 16 0.20 0.39%LT VII (A) Commercial (1-Ph) 44 0.19 0.36%LT VII (A) Commercial (3-Ph) 80 2.05 3.94%LT VII (B) Commercial 17 0.02 0.04%Self Consumption 4 0.53 1.02%Street Lighting 10 0.30 0.58%Total LT 440 52.17 66.34%Total (HT+LT) 458 78.64 100.00%

The consumption pattern is represented graphically below.

0

50

100

HT

–I (

Indu

stri

al)

HT

–II

(Non

Indu

stri

al…

HT

IV (C

omm

erci

al)

LT IV

A (I

T &

ITES

)

LT I

V B

(IT &

ITES

)

LT I

V B

(IT &

ITES

< 2

0kW

)

LT-V

I (B)

Non

-Dom

estic

…

LT V

I C N

on-D

omes

tic (1

-…


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No. of Consumers

LT V

I C N

on-D

omes

tic (1

-…

LT V

II (A

) Com

mer

cial

(1-

…

LT V

II (A

) Com

mer

cial

(3-

…

LT V

II (B

) Com

mer

cial

Self

Cons

umpt

ion

Stre

et L

ight

ing

No. of Consumers

Annual Energy Consumption in MU


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Annual Energy Consumption in MU


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15. Revenue Mix estimated for 2012-13

The revenue mix is prepared by considering the revenue from tariff only,state levies and other income are not considered while calculating therevenue mix.

It is to be noted that more than 83% of revenue is generated from IT/ITESindustrial consumers in HT/LT categories. Even slight changes in tariff forthese categories could seriously affect revenue from sale of power. ThereforeHT/LTIT/ITES industrial consumers may be considered as the backbone of therevenue from sale of power.

1,525

14 44

2,248

296

981 19 15

189

1 60 80

500

1,000

1,500

2,000

2,500

Revenue Mix Estimated for (2013-14)

Revenue (Rs. In Lakhs)


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It may be seen that only 7.8% of the revenue is generated from non-industrial category of consumers. 92% of the revenue is contributed byIT/ITES industrial category of consumers, this makes our operations industryoriented. Therefore reliable power infrastructure should be set up for theseindustrial consumers whose main raw material is quality power.

16. Impact of Tariff changes in Bulk Supply Tariff.

Hon’ble Commission has made a comprehensive upward revision in powertariff for almost all the consumers in the state. The bulk supply tariff (BST) ofthe licensees was also revised w.e.f 1-07-2012 till 31-03-2013. Two partvariable tariff scheme is adopted by Hon’ble Commission. The BST which wassame for licensees other than KSEB, became variable and unique for eachsmall licensee now. In the case of Technopark the bulk supply tariff increasedby 22.5% for fixed tariff and 26.58% for variable tariff. This has significantlyincreased the power purchase cost. For attaining a better understanding therevenue from power sales from industrial consumers and power purchase costis compared by applying previous tariff scheme and the ruling power tariff.

The previous bulk supply tariff and bulk supply tariff w.e.f01-07-2012 to31-03-2013 is shown below.

BST prior to 01-07-2012 Ruling BST w.e.f 01-07-2012 to 31-03-2013Demand Charges(Rs./kVA)

Energy Charges(Rs./Unit)

Demand Charges(Rs./kVA)

Energy Charges(Rs./Unit)

245 3.16 300 4

A comparison of power purchase cost as per the existing tariff and previoustariff based on the power purchase details estimated for 2013-14 is shownbelow.

Power PurchaseEstimated from KSEB

Purchase Cost as per BST prior to01-07-2012

Purchase Cost as per BST w.e.f01-07-2012 to 31-03-2013

Demand(kVA)

Consumption(kWh)

DemandCharges(Rs.InLakhs)

EnergyCharges(Rs.InLakhs)

TotalCharges(Rs.InLakhs)

DemandCharges(Rs.InLakhs)

EnergyCharges(Rs.InLakhs)

TotalCharges(Rs.InLakhs)

25050 81755861 736.47 2583.49 3319.96 901.8 3270.23 4172.03


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It may please be noted that there is 26% (approx) increase in powerpurchase cost.

17. Aggregate Revenue Requirement.

Technopark depends on KSEB for purchase of power. The ARR is preparedbased on the revised bulk supply tariff.

Fixed charges. 300/kVA with a penalty of 50% over the normal demandcharge where the demand exceeds the contract demand.

Variable Charges Rs. 4.00/Unit

We have projected the total consumption for 2013-14 based on the actualconsumption recorded in 2012-13 and increase in consumption due toadditional power requirement. Earnest attempt will be made for the reductionof Technical losses.

The summary of ARR is as follows.


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18. Expected Revenue from Charges.

The major source of income is the revenue generated from sale of power.Other sources such as Interest, recoveries etc. are minimal only. Acomparison of expected revenue for FY 2013-14 vis a vis the approved ERCfor 2012-13 is shown below.

The summary of ERC is as follows

19. Comparison of ARR/ERC and Treatment of Revenue Gap

A comparison of ARR and ERC for 2013-14 is made and is as shown below.

The ARR-ERC approved by Hon’ble Commission for the FY 2013-14 is shownbelow.


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It may be noted that there is a steep increase in power purchase cost.Compared with the approved figures for 2012-13, the cost has went up by48%.

A comparison of power purchase details approved by Hon’ble Commission forFY 2012-13 and the estimated figures for 2013-14 is shown below.

Purchase Details Approved (2012-13) Estimated (2013-14)Power Demand (MVA) 17.19 25.05Energy Requirement (MU) 73.25 81.76

The increase in purchase cost is mainly attributed to the increase in bulksupply tariff. The net revenue deficit without considering the equity as per theapproved figures for 2012-13 was Rs. 5.3 lakhs, this figure has increasedsteeply to Rs. 198.64 lakhs. The R&M expenditure has increased due to theincrease in commodity cost, increase in living expenses, unavailability ofskilled workforce etc. Other expenditures have also increased due to thegeneral increase of cost in the prevailing situation.

Revenue gap to this extent is beyond the control of the licensee, and thiscould make the licensee operation financially unviable. So certain measuresneed to be adopted urgently for avoiding this huge revenue gap.


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Treatment of Revenue Gap

As per the approved projections of FY 2012-13 the gross margin on sale ofpower was 10.39%. It was 11.50% for FY 2011-12. Now for FY 2013-14, ithas come down to 7.77%. Thesteep increase in BST is the major factor forthis decrease in margin. Even at 10% - 11% margin, there is revenue deficit.So the decrease in margin is leading to huge revenue gap. The retail chargesto the consumers have considerably gone up due to the comprehensive tariffrevision. Similar RST scheme is adopted for consumers under variouslicensees, variable BST is adopted for distribution licensees. Hence, the onlyrelief that can be granted is reduction in our BST.

We propose the following options for the kind consideration of Hon’bleCommission.

The three options given above will place us in a position to earn the grossmargin equal to at least last year’s margin.


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20. Compliance to the Directives of Hon’ble Commission and MajorAchievements during 2012-13.

20.1 Replacement of electro-mechanical meters in a time bound manner.

Hon’ble commission had directed Technopark vide orders dt: 07-12-2011 andorder dt: 28-11-2011 to replace electro-mechanical energy meters in a timebound manner.

Technopark has conducted a survey to identify electro-mechanical energymeters of various consumers. Accordingly it was found that around 30 No’sfitted on EB feeders of consumers which needs to be replaced. Theconsumers were be intimated to replace the meters on their own failing whichTechnopark will replace the meter and the charges will be billed to theconsumer. Action has been taken already and 30 No’s energy meters fitted onEB feeders to consumers has been replaced.

20.2 Energy Auditing.

Technopark has invited Expression of Interest for Empanelment of EnergyAuditing Firms for conducting Energy Audit for Technopark. We have receivedtwenty six responses from various firms. The applications are being processedand the selection process is progressing.

The main scope of works are

Examination of existing energy use pattern of the facility Power quality, demand, power factoranalysis. Evaluation of electrical metering and monitoring system. Historical energy consumption analysis for past years depending on theavailability of energy bills. Performance evaluation of DG sets Evaluation of connected Capacitors/APFC system Study of existing energy accounting system. Examine the losses in transformer/systems. Recommendation for implementing demand side managementactivities.


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20.3 Commissioning of STATCOM Unit in Nila SS-2 substation.

STATCOM Unit No: 3 is installed in the secondary side of Transformer No:1 inNila substation. The performance of the unit is being monitored.

20.3 Commissioning of 11kV Power Distribution system in Technopark Phase-III campus.

11kV Power Distribution system project in Technopark Phase-III campus wascommissioned on 16th November 2012. Load is not added to the system sofar.

PRAYER:

Technopark therefore prays before the Hon’ble Kerala StateElectricity Regulatory Commission to

1. Approve the projected ARR/ERC for the financial year 2013-14.

2. Lowering the bulk supply tariff to maintain the revenue gapwithin manageable limits.

Annexure:

Data forms A-Z enclosed herewith in alphabetical order.

TECHNOPARK PROJECTED ARR-ERC 2013-2014 ERC...Technopark is the IT hub of the State of Kerala, and...

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