As you all
know, virtually nothing is possible without the use of energy
these days. Naturally then, access to affordable, environmentally
sustainable and reliable energy supplies is an essential ingredient
to progress, prosperity and for the well being of people everywhere.
Energy shortages have hitherto plagued India’s growth rate and
some estimates put the shortage as high as 10%. This energy deficit
is further set to increase owing to increase in population, urbanization,
industrial expansion, transport and rise in living standards.
The total electric generation capacity of India stands at about
120 Giga watts. Of this, a major share, that is, 70 per cent is
thermal. The share of hydro is about 26 per cent, the remaining
is made up of nuclear 2.5 per cent and wind power 1.5 per cent.
Ten years ago also the situation was almost the same as at present.
The average Plant Load Factor has, however, improved from a low
of 60 percent to around 73 per cent presently. This gives an average
per capita consumption of electricity per year of around 600 Kilowatt
hours (Kwh). The disparity among the states is very wide ranging
from less than 100 Kwh to around 900 Kwh. The National Power Policy
aims at increasing average per capita energy consumption per year
from 600 to 1000 Kwh by the year 2012. We are vigorously promoting
the use of alternate energy sources, such as wind and solar energy
especially to mitigate this problem in rural settings. Our efforts
are directed to promote and provide affordable modern energy services
based on local decentralized renewable energy sources. But as
these are starting from a low base, their share in the total Indian
energy scenario would still be very small even in the next two
to three decades. Nuclear energy which presently contributes to
a mere 2.5 % of our energy needs may come to play a significant
role in electric power generation only two to three decades later
due to the maturing of our indigenous development of Thorium based
reactors. Fossil fuels will thus remain essential to our economic
growth - not only in the near future but even for at least the
next four decades. By that time India’s population could rise
to 1.5 billion. Annual electricity generation of 8000 Tera watt
hours (Twh) (corresponding to an installed capacity of 1250 to
1350 Giga watts-GW) would provide only a little above 5000 Kwh
per capita per annum. While 8000 Tera watt hours (Twh) may sound
as very large figure, in the context of India, it is on the lower
side.
Coal accounts for about 60% of India’s energy supply and we are
presently using around half a billion tonnes. No doubt we have
coal and lignite in plenty. But, there are several serious problems
in their exploitation, namely, relatively lower heat value and
poor efficiency of conversion rate, high ash content, difficulties
in transportation and disposal of residues and of course carbon
dioxide emissions. Obviously, there are technological solutions
to all of these and we have to ensure that these are economically
and environmentally tenable. Take the case of surface gasification
technologies for coal. These have been improved to significantly
reduce emissions but with underground gasification, the problem
of ash disposal is also eliminated. The low pressure methane so
generated can be used for power generation with reasonably high
efficiency using the IGCC route at the well-head or pit-head as
the case may be. Also, underground gasification offers the additional
advantage of complete conversion of coal into gas, eliminating
the need to leave out considerable quantities in the conventional
mining process. Thus, coal gasification to IGCC power generation
to HVDC transmission could provide clean, reliable, affordable
electrical power in the near term that can last for at least half
a century.
Another advantage of pursuing underground coal-bed gasification
is that as and when Gas Hydrate (from ocean bed) recovery technology
is mastered, we will be technologically prepared for exploiting
the new source as indications are that it is almost entirely methane.
India has an estimated gas reserve of 40 t0 120 trillion cubic
metre in gas hydrates located in water depths of 2000 metres along
our exclusive economic zones (EEZs). When we are successful in
exploiting the source, it can take care of India’s energy needs
for several tens of decades. But we have to study the environmental
impacts of removal of gas from these coastal regions.
Per capita carbon dioxide emissions in India is around 1 tonne
against world average of 4 tonne per capita and 19 tonnes per
capita in some of the advance developed countries like the USA.
In India we shall make efforts to restrict the increase of CO2
emissions by promoting efficient use and conservation of energy.
Our prime Minister has committed at the G8 summit that our per
capita emissions will not rise at any time above the level reached
presently by the developed countries.
Also at the Bali Conference we have made it clear that India is
committed to restraining Greenhouse gases. However, we would not
like to be bound by the limits of GHG emissions at present because
our total carbon dioxide emission levels are 1/5th
of the USA and other developed nations including UK.
No single technological option can provide all the emission reductions
needed. But we do recognise that Carbon dioxide capture and storage
is an emerging technological option with a very high mitigation
potential. We are prepared to look at carbon capture and storage
as a feasible option for the future especially for large point
sources of which power plants are an apt example. But for the
present, there are other options too such as natural sinks like
forestation and afforestation, enhanced photosynthetic ability
of algae, etc. We are deeply committed to conserve and develop
forests as they are vital for sustaining livelihood of more than
200 million forest dependent people in India. We are also interested
in Research and Development of diverse future technological options
such as Advance Clean Coal technologies, Carbon Capture and Storage
(CCS), which besides needing very large investments have yet prove
its economic and technical viability and safety considerations.
We are aware that a few developed countries have already made
plans and invested in the research work in CCS technology. The
Carbon Sequestration Leadership Forum (CSLF) of US Department
of Energy is focused on development of improved and cost-effective
technologies for the separation and capture of carbon dioxide
for its transport to storage site and long-term safe storage.
India is founder member of CSLF with Ministry of Power taking
the lead. India is also a member to AP6 - the Asia Pacific Partnership
in Clean Development and Climate and has set up National Clean
Development Mechanism Authority to certify projects for carbon
trading, with Ministry of Environment & Forests taking the
lead. In my Ministry, we have initiated the Indian CO2
Sequestration Applied Research (ICOSAR) network to probe the science
& technology solutions to abatement of greenhouse gas emissions
in general and carbon dioxide in particular.
Take the case of a typical 1000 Megawatts coal based power plant,
it generates around 7 – 8 million tonnes of carbon dioxide annually.
The cost of transporting and seguesting such a large volume of
gas would add significantly to the already high capital and energy
costs. Nonetheless, we concede that CCS is an emerging technology
which needs to be developed further, the cost brought down and
above all, the safety aspects assured. When these features have
been established, and the value of a Certified Emission Reduction
unit (CER) through the Clean Development Mechanism (CDM) is sufficiently
high, then deployment in India can perhaps be envisaged.
However, because of its potential cost-effectiveness for earning
CERs, CO2 Enhanced Oil or Gas Recovery
(EOR) probably represents the best early opportunity for CCS deployment
in India. As injection of CO2 into oil reservoirs may
perhaps initiate oil displacement by a number of mechanisms. Accordingly,
ONGC has identified Ankleshwar oil field, a mature onshore oil
field as a candidate for implementation of CO2 EOR
method. Laboratory studies for it have indicated significant incremental
oil recovery by CO2 injection over water-flood under
immiscible displacement conditions. Thus, wherever feasible, we
are not averse to CCS.
Also, when looking at the feasibility of CCS deployment in India
today, we should be careful to avoid extrapolating the present
day doubts / difficulties and uncertainities forward fifteen or
twenty years in time. I would thus be cautiously optimistic that
by 2020 CCS deployment in India could become considerably more
conceivable and perhaps even desirable. In the meantime, our priority
is on the enhancement of R&D on CCS and creation of a vibrant
multi-disciplinary community of CCS scientists, engineers and
policy analysts. It is also our endeavour to involve private sector
in this task of mitigating CO2 emissions. Indian CO2
Sequestration Applied Research (ICOSAR) network launched by my
Ministry is the first step in promoting such synergistic innovation.
We believe that to make CCS option a real one, more research,
development, demonstration and capacity building would be needed.
Large-scale carbon capture and storage technologies would require
substantial R&D investments. Before CCS is in the market,
major issues on technology and economics need to be identified
and uncertainties safety removed. CCS technologies have yet to
be shown to be effective in demonstration plants and then applied
on commercial scale to become part of the design of thermal power
plants. I therefore believe that a cooperative effort of Indian
scientific community with those in developed countries who have
made considerable efforts in taking up more then 100 R&D Projects
in CO2 capture and storage can be very fruitful. We
are thus open to work in partnership with countries like UK. India
would obviously need financial support and technology transfer
from developed economies, specifically from the OECD countries
in this effort
I am happy to note that you have in the Workshop a special series
on cross cutting issues to discuss economic, environmental safety
and regulatory issues which have to be resolved before technology
can be implemented. I am confident that outcomes of this workshop
will create new channels of co- operation and exchange of results
of R&D effort between Indian, UK and European Scientists to
discuss and cooperate in finding effective technologies for CO2
mitigation. I look forward with great interest and expectation
to receiving the proceedings and recommendations of the Workshop.