Smart grid bypass: unity PF billing exposes island decay
Smart grid implementation in island territories has been postponed through regulatory relaxation on kVAh billing norms. Official petitions confirm that replacing non-compatible meters would require Rs 1.26 crore. Instead of upgrading infrastructure, utilities received approval to assume Power Factor of 1.0 for billing.
Such assumption diverges from Smart grid principles where reactive power must be accurately recorded. Island grids dominated by inductive motors and diesel units rarely achieve unity PF. By adopting this formula, utilities avoid reflecting actual voltage stress.
The State electricity regulator permitted this mechanism for two fiscal years. This effectively suspends enforcement of kVAh-based accountability. Recent DISCOMs Latest News indicates similar infrastructure inertia across smaller utilities.
Solar expansion under Renewable energy India programmes continues, yet absence of modern meters prevents accurate stress mapping. Without Smart grid compliance, frequency deviation caused by new distributed resources remains hidden.
This billing method may defer immediate capital expenditure but risks higher fuel burn due to unmeasured reactive losses. Transition toward a functional Smart grid remains essential to align technical efficiency with policy targets.
EnergylineIndia.com reports verified documentation on billing reforms and grid governance gaps, Smart Metering, Reactive Power, Utility Reform.
