Hyderabad:In view of discoms landing in neck-deep losses, the Telangana State Electricity Regulatory Commission has asked power utilities to expedite the implementation of the demand side management to lower their operating costs.
As per the white paper tabled by the state government on the financial health of the power sector, the electricity distribution companies (Discoms) had a debt of `81,516 crore and the accumulated losses of `62,461 crore as on October 31, 2023.
To shift consumers to off-peak hours, the commission has already announced an increase in incentive from `1 per unit to `1.50 per unit to reduce the power demand in peak hours. Like the time-of-day incentive, the commission directed the discoms to expedite the initiative towards the implementation of the demand side management to encourage customers to reduce or shift their electricity use.
With this strategy, the electricity utilities can reduce their peak power purchases and lower their operating costs. It can also help consumers save money on their electricity bills, reduce carbon emissions, and contribute to a more sustainable future.
Following the directions of Chief Minister A. Revanth Reddy, southern discom officials have recently conducted a door-to-door survey in Kongareddypalli village in Nagarkurnool district to power the entire village with solar energy, which is in tune with the government’s goal to make all villages in the state solar-powered.
Through the demand side management, the utilities can integrate the distributed energy resources by incorporating renewable energy sources, like rooftop solar and wind, alongside battery storage. It can help meet local demand and reduce reliance on centralised power generation.
The utilities can also implement virtual power plants (VPPs), aggregating distributed assets to function as a collective source of demand response or backup power. Utilities can offer monetary incentives to customers who purchase energy-efficient equipment, such as heat pumps or replacing ageing industrial equipment, said the official.
Commercial and industrial customers often consume a large share of energy. Offering these customers financial incentives to curtail their usage during peak hours can have a substantial impact on overall demand. Curtailment programmes for specific industries often prove effective for peak load management and can reduce operating costs related to peaking plants.
