Punjabs free 300-unit power scheme pushes domestic electricity load up 40%

As per the power engineers, association state’s maximum demand crossed 17,400 MW during the paddy season, with PSPCL recording a peak demand of 17,452 MW this year. Despite efforts to manage the demand, Punjab faced a power shortage of around 800 MW to 1,000 MW during the paddy season.

According to an assessment by the Central Electricity Authority (CEA), Punjab’s power demand is projected to touch 19,466 MW within the next two years. The CEA has also pointed out that the state’s contracted capacity, even with power banking arrangements, may not be sufficient to meet the projected requirement.

The growing demand has coincided with stagnation in Punjab’s own generation capacity. Over the past decade, the state has retired the units at Guru Nanak Dev Thermal Plant, Bathinda, along with two units at Ropar Thermal Plant, without replacing the lost capacity with equivalent new generation.

Punjab’s peak demand, which was around 11,000 MW in 2016, has now risen to 17,452 MW, an increase of more than 6,000 MW in a decade. The mismatch has forced PSPCL to increasingly depend on purchased power, particularly during evening peak hours when solar generation falls sharply. While solar power is available during the day, electricity becomes significantly more expensive after sunset as demand remains high and supply tightens, said the power engineers association.

Proposal was mooted for setting up two 800-MW units at the Ropar Thermal Power Plant and a third 800-MW unit at another suitable location in Punjab. In addition, a 250-MW solar power project had been proposed at the site of the closed Bathinda thermal plant.

The proposal for the two 800-MW units at Ropar has already been approved by the PSPCL Board of Directors, but a decision on whether the new units should be developed in the state or private sector has reportedly delayed further action, the sources told The Tribune.

The Ropar site is being projected as suitable location because of the availability of land and existing infrastructure. PSPCL also has access to adequate coal from its Pachhwara coal mine, which could help ensure fuel availability for the proposed units.

Using existing land and infrastructure at Ropar could reduce the cost of establishing the new generating capacity and enable Punjab to produce relatively cheaper electricity while also creating employment opportunities as per the power engineers association.

As per the power engineers association, the continued postponement of capacity addition is likely to leave Punjab increasingly dependent on power purchases from the market. This is particularly expensive during periods of high demand, when electricity prices on exchanges tend to rise.