National Smart Grid Mission has been established by Govt. of India vide MoP Office Memorandum dated 27.03.2015 to accelerate Smart Grid deployment in India. NSGM has been in operational since January 2016 with dedicated team. NSGM has its own resources, authority, functional & financial autonomy to plan and monitor implementation of the policies and programs related to Smart Grids in the country.
NSGM is housed under MoP considering the fact that most of the prominent stakeholders (DISCOMs, Regulators, Electrical Manufactures, CEA etc.) for Smart Grid are associated with MoP. It is important to note that Smart Grid is a dynamic and evolving concept due to constant technological innovations. Therefore, the objectives, structure and functioning of NSGM is sketched so as to allow sufficient freedom and flexibility of operations without needing to refer the matter to different Ministries / Agencies frequently. NSGM functions with three tier hierarchical structure: 1st Level – Governing Council (GC), headed by Minister of Power, 2nd Level – Empowered Committee (EC), headed by Secretary (Power), Supportive Level – Technical Committee (TC), headed by Chairperson CEA, 3rd Level – NSGM Project Management Unit (NPMU). NPMU is headed by Director NPMU. Director NPMU is the Member of GC and EC, and Member Secretary of TC. NPMU is the implementing agency for operationalizing Smart Grid activities in the country under the guidance of GC and EC. Corresponding to the NPMU at national level, each of the States will also have a State Level Project Management Unit (SLPMU) chaired by the Power Secretary of the State. The Smart Grid Knowledge Centre (SGKC) developed by POWERGRID with funding from MoP acts as a Resource Centre for providing technical support to the Mission in all technical matters, including development of technical manpower, capacity building, outreach, suggesting curriculum changes in technical education etc.
Smart grid being a new and evolving field, the activities presently envisaged are only indicative and during the course of implementation, further activities can be incorporated based on evolution of technology.
Financial Implication (Phase-1)
The total estimated cost for all the projects and NSGM activities for 12th Plan (ending March 2017) is ₹ 980 Cr. including a budgetary support of ₹ 338 Cr. Details are as follows:
S.N. | Activity | Outlay (in Rs. Cr.) | Budgetary Support (in Rs. Cr.) | 2015-16 | 2016-17 |
A | Development of Smart Grids in Smart Cities | 890 | 267 (30% cost as grant) | 120 | 147 |
B | Development of Micro Grids | 27 | 8 (30% cost as grant) | 4 | 4 |
C | Training and Capacity Building (Funding to SGKC etc.) | 8 | 8 (100% cost as grant) | 4 | 4 |
D | Consumer Engagement (~60 Discoms @ 20 lakhs each) | 30 | 30 (100% cost as grant) | 15 | 15 |
E | NSGM Establishment and O&M etc. | 25 | 25 (100% cost as grant) | 7 | 18 |
Total | 980 | 338 | 69 | 147 |
Proposed Interventions till 14th Finance Commission Period
Bringing in the development of Smart Grids in alignment with activities stated in the Smart Grid Roadmap towards attainment of objectives as mentioned below:
During the currency of NSGM in this period, the implementation of Smart Grid projects shall be expedited and timelines adhered to so as to showcase the demonstrated benefits of these projects on ground. NSGM continues to focus on sustainable deployment models of Smart Grids considering that Smart Grids would supplement the efforts in Smart Cities, efforts would be made to initiate and complete Smart Grid Projects in the identified smart cities as well.
Financial Implication (Phase-2)
The outlay of NSGM has been recast for the period April 2017 to March 2020 with an estimated outlay of ₹ 990 Cr. including budgetary support of ₹ 312 Cr. The scheme has been further extended for the period April 2020 to March 2021 within the same outlay and GBS. Details are as follows:
S.N. | Activity | Outlay (in Rs. Cr.) | Budgetary Support (in Rs. Cr.) | 2017-18 | 2018-19 | 2019-20/21 |
A | Development of 10 Smart Grid Projects (incl. 4 Ongoing Projects) | 938 | 281 (30% cost as grant) | 63 | 136 | 82 |
B | Development of Micro Grids in Medium Sized Pockets | 30 | 9 (30% cost as grant) | 2 | 3 | 4 |
C | Training & Capacity Building incl. Funding to SGKC & Consumer Engagement etc. | 7 | 7 (100% cost as grant) | 1 | 3 | 3 |
D | NSGM Establishment and O&M etc. | 15 | 15 (100% cost as grant) | 3 | 5 | 7 |
Total | 990 | 312 | 69 | 147 | 96 |
Proposed Interventions
NPMU shall be part of an expert committee and shall act as secretariat of the said committee to recommend a complete framework of Smart Grids.
Financial Implication (Phase-3)
The outlay of NSGM has been recast for the period April 2021 to March 2024 with an estimated outlay of ₹ 136.95 Cr. including budgetary support of ₹ 45.42 Cr. Details are as follows:
S.N. | Activity | Outlay (in Rs. Cr.) | Budgetary Support (in Rs. Cr.) | 2021-22 | 2022-23 | 2023-24 |
A | Development of ongoing sanctioned Smart Grid projects | 116.01 | 24.38 (30% cost as grant) | 0.00 | 21.86 | 2.62 |
B | Training, Capacity Building, Technical Assistance to Utilities (SGR-SAT and CBA), NSGM Establishment and O&M etc. | 20.94 | 20.94 (100% cost as grant) | 2.24 | 6.70 | 12.00 |
Total | 136.95 | 45.42 | 2.24 | 28.56 | 14.62 |
NSGM Framework document outlines the institutional structure for the NSGM, recommends potential policies and standards for enabling Smart Grid rollout and summarizes existing business models for the launch of various schemes and programs under Smart Grids. It also details monitoring, review and verification framework for the NSGM, and its programs and pilot projects which will enable assessment of the initiatives and measures implemented.
The framework has following five modules: