A Presentation On Setting-up of A World Class Energy Technology & Research Institute

1. National Thermal Power Corporation A Presentation On Setting-up of A World Class Energy Technology & Research Institute By: Dr R.R.Sonde Ph.D, FNAE On 3/8/2004

2. Synopsis • NTPC Profile • B Technology Centre in Energy-- The Imperatives • C. The Roadmap for Technology Centre • D. Net working with institutes

3. Part-A NTPC Profile

4. Genesis & Vision of NTPC NTPC was set up in 1975 in the central sector to bridge the widening gap of demand and supply of power in India. • NTPC Vision • “To be one of the world’s largest and best power utilities, powering India’s growth”

5. (Nos.) CAPACITY (MW) NTPC OWNED COAL 13 17,980 GAS / LIQ. FUEL 7 3,955 TOTAL 20 21,935 OWNED BY JVCs COAL 3 314 GRAND TOTAL 23 22,249 NTPC-The Premier Power Company Present Generation Capacity is 22,249 MW • In addition, NTPC also manages Badarpur Thermal Power Station (705 MW ) of GOI in Delhi.

6. One of the largest thermal generator in the World- Data Monitor UK NTPC is surging ahead to add another 20,000 MW and become 40,000 MW company by 2012 NTPC Today- Lighting 1/4th of India The Business- BOO thermal plants Projects: Full in-house implementation O&M: Purchase fuel to bulk power sale Consulting: full electricity value chain 13 Coal Stations 7 Gas Stations

7. Global Stature Sixth Among the Top Ten Global Thermal Generators TWH 2001 Source: A.T. Kearney

8. Rs. Crores Rs. 25964.2 Rs. 5260.78 Years Financial Performance

9. NTPC in 2017… Fortune 500 company An Indian MNC with presence in many countries Diversified utility with multiple businesses Amongst top five market capitalisation in the Indian market Group turnover1 of over Rs. 1,400 Bn with 30000+ employees Setting benchmarks in project construction and availability and efficiency Have a strong research and technology base Loyal customer base in both bulk and retail supply Preferred employer A leading corporate citizen with a keen focus on executing its social responsibility NTPC - 2017 In summary, NTPC would be a leading power utility in the world by 2017, in line with its current vision

10. Part-B A Technology Centre in NTPC The Imperatives

11. Industry R&D Labs Academia Technology and Indian Power Sector- an Overview Technology Development Pursuit - an enabler to sectoral reforms

12. The Origin & Growth of World Class Organizations Exponential Growth Organization Further R&D (MDR) Strong Operations, Finance, HR, Marketing Functions • Product improvement • Process Improvement • New Process Development • New Product Idea Technology Build up • Prime Examples • General Electric • DOW • DuPont, • Bayer UOP Xytel Product Idea/ Conception Fundamental Research (DDR) In Labs, Academics

13. Hitherto NTPC Story Exponential Growth   Organization  Strong Engg, Projects, O&M, Finance, HR Functions Further R&D  • Product improvement • Process Improvement • New Process Development • New Product Idea  ?  Technology Implantation Technology Build up ? • The need is : • Return to original Model • While maintaining strengths ? Product Idea/ Conception Fundamental Research In Labs, Academics This will require two pronged Approach…

14. Indigenous Manufacture User Driven Customizations Design Replication Full Plant Import Design Copy Distribution Focus Monolithic SEBs IPPs Regulators Central Utilities Electricity Sector, is today facing similar technology questions as it faced 50 years back… Sellers Market Buyers Market Paradigm Shift Technology Status Industry Setup Challenge Rapid Capacity Addition Rapid Capacity Addition PLF Maximize PLF Maximize Efficiency Focus Efficiency Focus Cost Focus Cost Focus Environment Focus Environment Focus Power Delivery Power Delivery Jump Start Capacity Addition Jump Start Capacity Addition Rapid Capacity Addition PLF Maximize Efficiency Focus Cost Focus Environment Focus Power Delivery Jump Start Capacity Addition The technology approach adopted to jump start capacity appears inadequate in the changing business scenario

15. Two Part Tariff Cost (+) Basis Regulatory Regime Deregulation Price – Cost > 0 • Generous Normative Performance Levels • Norms Tightened • No Norms • Market Forces COG POG    Buyers’ Market Paradigm Shift • Power Has to be sold • Survival of the Fittest • Power is Purchased • Hand Holding By Govt. Making Plenty of Money Through Power Making Power in Plenty & Also Make Money New Business Environment Drivers COG: Profits: Sellers’ Market

16. Plant Engineering- Professional Engineers Cult Technology Development - USP of developed world Checks on Drawings Technology Developer and Documents System Industry Manufacturer Plant Engineering License Tech Development Lab Integration Academia Manufacturer inspection shop, site tests Utility Worldwide the Technology Development and Engineering are two separate activities...

17. NTPC- Driven by Technology Exponential Growth Strong Engg, Projects, O&M, Strong Finance, HR Functions Organization Cost Reduction Technological Growth Engines Intensified Products & Processes Technology Build up Integration of Technology Product Idea/ Conception Development of Required Knowledge & Technology Fundamental Research In-house, Labs, Academics Identification of Performance Gaps Product improvement Process Improvement New Process Development New Product Idea Product improvement, Process Improvement New Process Development, New Product Idea

18. Equipment Supply Industry Power Generation Utility Collaborator Operations Engineering Central Groups Design Copy • Plant System Design • Technology Customization • Equipment Design Review Equipment Manufacturer Station Station Station Station Equipment Project Emergence of Technology Implant Culture in India- so internalized that these are no longer viewed as problems... • Inadequate system design improvements • Inadequate equipment design intervention • Inadequate use of Project Management techniques • Engg Services dormant • No cost rationalization instruments • No new technology development • Poor technology customization • Weak technology improvement • Hamstrung cost improvements • Missing self improvement & correction instruments • Bloated and outdated maintenance approach • Heavy Inventories • Sluggish Procurement methods • Inoptimal workforce utilization • Inadequate focus on fuel component • O&M services market lying dormant The weak links are a result of the technology import culture from the Colonial legacy- especially as Electricity was considered an input and not an end unlike “Space” and “Nuclear” sectors

19. UK Germany USA Russia Japan Technology Multiplication Electricity Technology Development Engineering Sciences Development 2000 1800 1850 1900 1950 The reason is late Indian entry to technology development arena. Affluent nations have had the advantage of SEQUENTIAL DEVELOPMENT facilitating knowledge systems development… OEM Countries Scenario Indian Entry • Missed Opportunity • Few Technical Institutes established • No involvement in Engg. Sciences • Import escapism culture established • No studies on domestic conditions • Poor industry quality consciousness • Systemic Distortions • Focus on Equipment Multiplication • Electricity perceived as an input • Availability of easy imports • Low focus on T.D. development • Imported designs were implanted Indian Industry Scenario Technology implants in the Electricity sector have had serious fall out on development of knowledge systems which are required for Technology Development

20. The effect entered even organisations set ups which do not differentiate between knowledge work, service functions and skill work… • Typical Indian Organization • Mixed up knowledge and service functions • No education differentiation at entry • Absence of filters on Management Levels • Undifferentiated manpower movement • No separate specialist cadres Presence of distinct knowledge groups in the company structure provides a robust framework which facilitates informed management decisions and provides internal resources for new programme conceptualisation, roll out and midcourse corrections.

21. The sequential development in original technology countries resulted in evolution of country wide systems with “Knowledge and Technology” focus... The Originals UK Germany USA Russia Japan Equipment Manufacturer Equipment Technology Power Knowledge Center Power Plant School Power Technology Center Universities Labs The differentiator and key enabler in such systems is the collaboration of industry-labs- academia- The GOLDEN TRIANGLE

22. Industry R&D Labs Academia The Fundamental Pre-requisite For the Indian Power Sector to grow on the competitive turf spread by the new Electricity Law it is necessary to establish the Golden Triangle... Equipment Manufacturer Equipment Design Copy Utility Power Knowledge Center Power Plant School Power Technology Center Universities Labs Competition alone- which is one key objective of the new target framework - without the systemic enablers will have limited improvement potential

23. Price To Make NTPC Lowest Cost Power Generator Challenge Cost/ MW • NEW BUILDS: • Arrest and Reverse Increasing Trend in Capital Cost Without Compromising Quality Years Availability • OPERATING STATIONS: • Arrest and Reverse Increasing Trend of Maintenance Cost • Maximize Availability and Efficiency Maint. Cost Age Challenges For Enterprise Delivery Critical Success Factors Strategic intervention for selective technology induction required Dramatic Cost Reductions Required -Destination No.1 Challenge

24. Commercial - Making Power - Maximize Generation - Making Money - Maximize Profit New Build High End (VX)!!! Low End (LX) O&M Strategies - Predominantly Replacement Based - Proactive Condition Based - High Spare Inventory - Risk Based Maintenance - Spares: Just In Time Philosophy R&M Strategies Predominantly Replacement Based Risk Based The new environment is creating Paradigm Mismatches for the utilities… Required Shift

25. Changing Times- the real challenge Indian society today stands on a cusp beyond which progress will telescopically expand • Cost Reductions- a quickly reachable destination • Systematic strategies are the only requirement • Solvable in 5-10 years time • Need to look at the bigger picture The real challenge lies in the future - Dramatic changes are in the offing - Power sector has to shoulder these The power sector has to reorient itself to the new challenges for positive deliverance

26. World Energy Systems- getting electrified and decarbonized The world is predicted to become more and more dependent on electricity Destination No. 2 - Resolve Energy/ Carbon Challenge Global warming turnaround is not possible without developing countries participations

27. Indian Energy Systems- rapidly changing scenario India is changing in all spheres- population quality, infrastructure, social fabric, govt. role Destination No. 4 - Enable customer managed service networks The emerging intelligent society will give rise to Customer Managed Service Networks Destination No.3 - Strengthen the power delivery system The huge capacity will require a equally large, reliable and intelligent power delivery system Utility Company wires Destination No. 5 Pipes The question of sustainability of such mega development will naturally require a solution Power will have to metamorph into a new role in the future electricity dependent society

28. Customer level intelligent automation system to ensure harmonic detection, proper metering, identification & control on overloading feeders, CAD distribution transformers & data communication systems Custom power devices Distributed power generation software Power Distribution Technologies

29. Voltage stability assessment & control Power system controllers Operational strategies for maximising regional power transfer Wide area measurement & protection Power Transmission

30. Destination-5 Destination-4 Destination-3 Destination-1 Destination-2 2030 2025 2015 2010 2020 Destination Identification- infinity vision KEY RESULTS • Affordable Power • Power to all • 24x7 power • Green Power • Digital Power • Technological Growth Engines • Sustainable Development • National Prosperity Managing Global Sustainability Enabling Digital Society Strengthening the Power Delivery Infrastructure Achieving the Energy-Environment Harmony Reduction in cost of power T I M E

31. An Infinity Vision for the future emerges ...

32. Certain broad interventions for reaching the identified Destinations emerge from the Technology Driver-Destinations Matrix have been identified… Studies are underway to identify Technology drivers for destinations like enabling customer managed service networks.

33. Actualization of the technology initiatives calls both for “Systemic Improvements” as well as “Technology Development”… • New Initiatives • Revisit Procurement needs & specifications • Technology Options Studies • Village specific technology solutions • Availability Studies • Reliability Studies • Heat Rate Initiatives • Stations Modernization focus • Fuel Options Studies • Fuel Price Reduction Advocacy • New Ash utilization Initiative • New O&M Services Initiative • Centralized Procurement • Shared Maintenance Services • Inventory Management Focus • Productivity Enhancements • Technology Initiatives • IGCC development for Indian coal • Hybrid power system development • Distributed Generation Options • Carbon Sequestration Technologies • Fuel Cell technologies • Low grade heat utilization • SPM reduction technologies • On-line Energy Intensification and Diagnostic Model (EIDM) • Resource optimization & site integration technologies (water, ash, chemicals) • Ageing Management Technologies- Corrosion/Erosion/ Fatigue, creep/ Coatings • Robotized Maintenance Systems • Knowledge Activity Consolidation • Automate non-value added jobs • Create Knowledge Platforms • Create Power Plant Schools • Create Technology Platforms • Knowledge Groups in companies • Knowledge Worker Sustenance • Network with external agencies

34. Immediate Actions TM-1.1: Low Grade Heat Utilization : Phase - III - Condensate Heating Using Flue Gas - Air Conditioning & CW Cooling Through Extra IP Exhaust Steam - Integration of Solar Power & Kalina Cycle Part Condensate Return Solar Heating ID - A Chimney ID - B Solar Heating Additional Steam Turbine Control Room Cooling Ammonia Absorption Chilling Ammonia Turbine Saved IP Exhaust Steam Kalina Cycle CW Cooling Completion Schedule : Dec’06 Stirling Engine

35. ESP Technologies [RT-EP] Flue Gas Conditioning System Ammonia based FGC SO3 based FGC Dual FGC Humidification System Hybrid FGC Molten Sulfur FGC Water Fogging System Aqueous Ammonia FGC Anhydrous Ammonia FGC Granular Sulfur FGC Water Mist System Urea based Ammonia FGC Native SO2 Conversion System Steam Injection System In-Line SO2 Conversion System SPM Control Technologies: Flue Gas Conditioning Solutions

36. ESP Technologies [RT-EP] Flue Gas Distribution Uniform Gas flow Distribution Skewed Gas flow Distribution Anti Sneakage System SPM Control Technologies: Flue Gas Distribution System SPM Control Technologies: Energization & Back Corona Control Systems Energization System Back Corona Limiting System Intermittent Energization System Pulse Energization System Minimum Voltage based System Minimum Voltage based System

37. Phase-I, [Sept’04] Phase-II, [Nov’04] Phase-IV, [Mar’05] • Expert System, for • Operator Guidance • Interface with plant controls • Artificial Intelligence • Artificial Neural Network EIDM Phase-III, [Jan’05] • Real Time Plant Diagnostics Tool • CFD Modeling • Plant Simulation Tool • What-If Analysis Server Software Efficiency Intensification & Diagnostic Model: EIDM [RT-EI] Plant Process Parameters • Real Time Heatrate • Real Time Heatrate Deviation breakup due to a) Key Process Parameters, b) Key Equipment • Real Time Plant Equipment Performance • Real Time System Information • Coal Properties & CV • Condenser CW Flow • Unburnt Carbon in Ash • Gaseous Pollutant Flow • LPT Exhaust Steam Quality • Advanced Instruments • LPT Exhaust Steam Dryness Fraction Meter • On-Line LOI Measurement • Real Time FG Flow meter • Real Time Condenser CW Flow measurement • On-Line FG Analyzer • On-Line Moisture Meter

38. The Near & Medium Term Technologies

39. New Energy Technologies TARGET: BREAKING CARNOT EFFICIENCY BARRIER Power Hydrogen IGCC Coal & Alternate fuels Liquid fuels Fuel Cell Power LMMHD Power

40. Road Map on IGCC SYSTEMATIC EFFICIENCY ENHANCEMENT PROGRAMME IN IGCC CYCLE Case 1: Base Cycle Case 2: Base Cycle+Hot gas Case 3: Case 2 +Class H Case 4: Case 3 +OTM 5: Case 4 +MCFC Case 6: Case 5 +SOFC Phase wise progression (2007-2015)

42. Near & Medium Term Technologies TM- 2.1: IGCC Technologies • IGCC Technologies √ • Fludised Bed Gasifier Design & Development • Gas Clean-up • IGCC System Integration • Advanced Gasifier Cycles • IG-FB: Design/ Scale-up/ Optimization of Gasifier • IG-GC: Design & Development of Gas Clean up system • IG-SI: System integration for a base cycle • IG-AC: Advanced cycle consisting of • O2 Transport membrane • CO2/ H2 Separation • Gasifier/ Combustor design

43. Cooperation with external agencies and collaborative development with be the focus of the new platform. Following areas for immediate cooperation have been identified… Robotics CFD/ ANN Material sciences including corrosion & erosion Special Coatings Hydrogen Energy Research: Hydrogen Generation Through IGCC Route, HTTR Hydrogen Storage: Metal & Chemical Hydrides Design & Development of IGCC Gasifier Design Hot Gas Clean up System- Ceramic Filters High Efficiency, Rugged, Matching Gas Turbine Fuel Cells Development of Molten Carbonate Fuel Cell Systems Development of Solid Oxide Fuel Cell System • Ammonia Absorption Refrigeration system • Ammonia Turbine Cycle are required Distributed Generation Solar PV and Thermal Systems Ammonia Cycle Sterling Engines Carbon Sequestration

44. SPECIFIC AREAS OF RESEARCH • Nanotechnologies in the development of fuel cell catalysts, CO2 capture molecules etc • Membrane science for air separation (oxyfuels), hydrogen purification • Materials science for high temperature and hydrogen environment 9Oxide dispersed alloys, dual ferritic etc) • Super conductors, cryogenics, optical fiber technologies for power grid control, transmission & distribution • Biotechnological applications in the field of hydrogen generation, CO2 conversion etc

45. The Major Joint Collaborative Projects • Short listed R & D areas for collaboration • Design and development of SO3 / NH3 reactor for FGC • ANN modelling of the major sub systems of the power station • CFD modelling of the boiler and surface condensers • Development of on-line sensors for unburnt carbon, coal properties, flue gas charcterisation • Development of on-line flow visualisation systems • FEM of the boiler and creep & fatigue analysis of critical systems

46. The Major Joint Collaborative Projects • Short listed R & D areas for collaboration • Low grade heat utilisation projects • Water chemistry and water networking • Ash utilisation technologies

47. Joint collaborative efforts in new technologies • IGCC – Gasifier design and development, gas clean up system, combined cycle development • Hydrogen energy research • Solar energy integration (low grade, stirling engines, PVs ) • Carbon capture technologies (Membranes, PSA, nano materials etc) • Energy and bio technologies

48. The Organization Structure

49. Functional Groups • To carry out the technology development in a smooth, faster and most economical manner, the Energy Technology shall have: • A no. of Centers of Excellence (App. 37)- concentrating on fundamental research • App 25 Technology Missions • A Strategic Planning Group for Networking etc. • A Prototype Division • Other Essential Enabling Functions shall be: • Knowledge Centre • IPR Division • Human Resource • Finance • Contracts & Materials • Information Technology • Other Facilities

50. Low Grade Heat Utilization Contracts Knowledge Architect Information Technology Human Resource ESP Performance Finance & Materials Centre Enhancement Energy Optimisation & Gasification & Hydrogen Diagnostic Model EIDM Fuel Cell Technologies Ash Utilization Carbon Capture Technologies Ageing Management Solar Energy Technologies Advanced Controls/ ANN Bio Energy Technologies Alternate Fuels & Fuel Beneficiation Power Delivery System Technologies Vision Conference Proposals Advanced Conventional Power System Technologies The Organization Structure Apex Research • NTPC Management • Eminent Scientist • Eminent Academic Council ED (ET) • Providing overall direction • Supporting in selecting functional heads • Projects approvals Retrofit New Fundamental Strategic Technologies Technologies Research Business Division Division