Solar Electricity Project
for the Sustainability of Industry

Solar Electricity Project
for the Sustainability of Industry
A Sustainable Model Of Installing Solar Power Plants On The
Rooftops Of The Industrial Units In The Kinfra
Industrial Development Plots At
Kunnamthanam And Adoor, Pathanamthitta District, Kerala
An Economically and Eco Friendly Viable Project
Replicated in all the Industrial Estates of Kerala

Introduction 

The Industrial Units in the Kinfra Park and Industrial Development Plot at Kunnamthanam and Adoor, with the leadership of Kerala State Small Industries Association (KSSIA) Pathanamthitta District started implementing 80 ROOFTOP SOLAR POWER PLANTS. Several meetings were held to study the electricity requirements and the feasibility of putting up Renewable Energy (grid connected solar PV rooftop power plants) in each industrial shed to save the electricity cost being incurred each month and to supplement the energy requirement for the industry. Rev. Dr. Abraham Mulamoottil (President, Central Travancore Chamber of Commerce and Industry) and Mr Morley Joseph (who owns two industrial Units in the KINFRA Industrial Estates in Pathanamthitta District and President, KSSIA, Pathanamthitta) took the initiative to explore the advantages and practicality of the idea. The idea was welcomed by majority of the owners of the Industrial units and requested Rev. Dr. Abraham Mulamoottil to proceed on the proposal who in turn consulted Mr Nambiar, the Founder of the Radiant Solar Private Limited, who did the first large solar rooftop power plant (largest in Kerala at that time), during the  year 2010 for the MACFAST College (Rev. Dr. Abraham Mulamoottil was the Founder of MACFAST) to study the feasibility, rooftop shade free space availability, the Electrical Load pattern of each industry, the financial feasibility and to recommend an IDEA which will work with the minimum investment.

The Project Study

Experts from Mr. Nambiar’s company was deputed for a detailed survey of the premises to check the roof space available, the current Electrical load and the feasibility to put up the Grid connected solar PV rooftop power plants at various units.  As per the study the company consolidated the findings as below.

  • 80 Industrial Units in the ID Plots, KINFRA, Kunnamthanam and Adoor locations are selected as per the survey where Solar PV power plants can be installed.
  • Total capacity requirement and feasibility of these Units are 2037.5kW (2 MW).
  • It starts from as low capacity as 5kW, 10kW, 12.5kW, 20kW, 30kW, 40kW 
  • Higher capacity starting from 50kW, 100kW, 125kW, 200kW, 250kW.
  • 11 Industrial Units require 5kW power plants. 
  • 15 Industrial Units require 10kW power plants.
  • 15 Industrial Units require 12.5kW power plants.
  • 19 Industrial Units require 20kW power plants.
  • 12 Industrial Units require 30kW power plants.
  •  2 Industrial Units require 40kW power plants.
  •  1 Industrial Unit requires 50kW power plant.
  •  2 Industrial Units require 100kW power plants
  •  1 Industrial Unit require 125kW power plan
  •  1 Industrial Unit require 200kW power plant
  •  1 Industrial Unit require 250kW power plant 

 

The Recommendations 

To the Best of the company knowledge and the experience they had with Kerala Government’s departments like Electricity Departments, ANERT and Electrical Inspectorate, following Assumptions were made while arriving the suggestions and recommendation: 

  1. Upto 80% of the Electrical load installed by each Industrial Units will be permitted to install Grid Tied solar PV rooftop power plants. However, each unit should get the Feasibility letter from the Electricity department.
  2. After getting the feasibility letter, these Units can connect Net Meter in replacing the existing Energy Meter to measure the import and export of the power.
  3. Each Unit is paying for the Electric Power consumed @ Rs. 8 per kWh (Units of Electricity) inclusive of all Taxes, Cesses etc. 
  4. It is assumed that out of the 2037kW (2 MW) of grid connected solar PV rooftop power plants recommended, it is assumed at least 80% of these Units will come forward to put up the suggested power plants.
  5. The company arrived at an aggressive per Watt costing using the Best of the components available in the market on the assumption that the total capacity of this purchase will be atleast 80% of the projected requirements for 80 customers of 3 KINFRA industrial Units. Detailed Proposals (Cost, Engineering Specification and Price and Terms) were submitted to each Units.

 

The Economic Viability and Sustainability

The Economics of the proposal is explained below.

  1. The Customers will borrow from Bank 75% of the power plant cost. The loan period is 5 years (60 Months). The maximum Interest payable is assumed 10% per year.
  2. The Customers will contribute 25% of the cost.
  3. The monthly liability for EMI (Principle and Interest Pay back) will set off the monthly saving in Electricity charges due to solar power generation.
  4. Only money going out from Customer will be the Initial investment of 25%

Promotion of the Project and Request for Subsidy from the Government of Kerala 

KSSIA requested the Government of kerala to promote this economically and environmentally sustainable Project and ask the 168,807 industrial units in Kerala to install a Rooftop Solar Power Plant. Suggested Government to provide 20% subsidy to all Industries who put up the rooftop solar PV power plants. This will incentivise all the Units to go for rooftop solar power plants.

What is the benefit to the Government?

The table below indicates the number of registered Industrial units in various Districts of Kerala.

Registered Industrial Units in Kerala 2019 as per data given in the ASCEND Kerala 2020

Thiruvananthapuram District19,068
Kollam or Quilon District7,909
Alappuzha District10,754
Pathanamthitta District12,163
Kottayam District7,694
Idukki District2,726
Ernakulam District34,386
Thrissur District15,720
Palakkad District23,418
Malappuram District12,055
Kozhikode District18,879
Wayanad District3,209
Kannur District41
Kasaragod District785
TOTAL168,807

If every unit put up an average 10kW solar rooftop power plant, the total generation of Renewable Energy on the rooftop of the all Kerala Industrial Units will be 1688,070kW (1688MW) which is almost 60% of the total installed capacity of Power generation in Kerala (2898MW). See the table.

 

The cost of putting up a Generation Unit by the Government to generate 1688 MW can  be Rs.5908 Crores. Running cost, Transmission cost, Transmission Loss and O&M cost will be over Rs.1000 crores for several years. The Land required to put up 1688 MW of solar power plant will be 8440 Acres. All these expenditures can be saved and will be the responsibility of the Units putting up the Rooftop power plants.

Government if incentivised the Industrial Units, the response and success rate will be very high. Assuming the average cost of Generation of the solar rooftop power plant is Rs 50,000 per kW and the incentive per kW @ 20% will be Rs 10,000 per kW. Therefore, the out flow to the Government for 1688,000kW (1688MW) will be Rs.1688 crores spread over 2 or 3 years.

 

Conclusion

It is the industrial vision of the Kerala Government that it “is very keen to transform Kerala into a vibrant entrepreneurial society with inclusive, eco-friendly and sustainable economic growth”. The state is keen to develop its industrial infrastructure, attract investment and to provide facilities to “ease of doing business”. (Ascend 2019, Invest Kerala, Govt. of Kerala). Kerala is abundant in sunlight like its natural resource.  Solar power plants on the rooftops of the industrial units in the kinfra & industrial development plots at Kunnamthanam and Adoor, Pathanamthitta District, Kerala has become a unique economically and environmentally sustainable project and a model to be replicated for all industrial estates. This project will achieve the requirements of the UN Sustainable Development Goal (SDG) and reduce global warming. If the Government of Kerala has the will to implement this model at least with 10 KW on all the industrial units, the State will receive additional 60% of the total installed capacity of today’s power generation which would be sufficient for the requirements till the year 2045.

Annexure 

Kerala State Electricity Board Ltd (KSEBLtd) https://en.wikipedia.org/wiki/Kerala_State_Electricity_Board

KSEB Ltd has 23 hydro-electric projects, two diesel power plants and one wind farm. 

The total installed capacity is 2898.51 MW. 

They are

  • Hydro Electric Projects (2107.91 MW)
    Idukki (780.00 MW)
    Sabarigiri (340 MW)
    Idamalayar (75 MW)
    Sholayar (54 MW)
    Pallivasal (37.5 MW)
    Kuttiyadi (225 MW)
    Panniar (32.4 MW)
    Neriamangalam (77.65 MW)
    Lower Periyar (180 MW)
    Peringalkuthu & PLBE (52 MW)
    Sengulam (51.2 MW)
    Kakkad (50 MW)
  • Small Hydro Electric Projects (52.85 MW)
    Kallada (15 MW)
    Peppara (3 MW)
    Malankara (10.5 MW)
    Madupatty (2 MW)
    Malampuzha (2.5 MW)
    Lower Meenmutty (3.5 MW)
    Chembukadavu – 1 (2.7 MW)
    Chembukadavu – 2 (3.7 MW)
    Urumi −1 (3.75 MW)
    Urumi −2 (2.4 MW)
    Kuttiyadi Tail Race (3.75 MW)
    Peechi (1.25 MW)
  • Thermal Projects (234.6 MW)
    Brahmapuram Diesel Power Plant (63.96 MW)
    Kozhikode Diesel Power Plant (96 MW)
  • Non-Conventional Energy (82.95 MW)
    Kasaragod Solar power park 50 MW (Ambalathara)
    Cochin International Airport – Solar power plant 29.7 MW (Nedumbassery)
    Kanjikode Wind Farm (2 MW)
    Edayar 1.25 MW Solar PV Plan