A major challenge for telecom operators today is the huge shortage of power. Of the 178 million villages in the country, 37 per cent have no access to electricity, while the rest get only erratic supply. Keeping in mind the vast subscriber additions coming in from rural India, operators are exploring every possible power solution available. Telecom operators and power solution providers give their views on the current power scenario in India, the alternative energy sources available for the telecom sector, and operator strategies...

What is the total power requirement of the Indian telecom industry? Which segments within the sector are the biggest consumers of power?

Avnish Arora: Power plays a vital role in the growth of the telecom industry. The power requirement at a telecom site is met by three major sources –­ grid supply, diesel generator (DG) sets and power batteries. In the absence of grid power, batteries and DGs are the main sources of power.

Base transceiver stations (BTSs) are the largest consumers of power as the number of mobile switching centres (MSCs) and base station controllers (BSCs) is very small compared to the number of BTSs. With a single service operator using a site, its typical AC load is about 4.8 kW. With passive infrastructure sharing, the number of operators per site will increase, thus also increasing the load. Based on these estimates, the total power need of the telecom segment works out to around 2.5 million kW of AC grid power alone.

The gap between demand and supply of quality power in telecom will only widen as the number of service rollouts is expected to double in the next two to three years. To meet the increased power needs, renewable energy solutions like solar photovoltaics and wind power need to be adopted. At HBL, we are geared up for and committed to delivering the latest standby power options like tubular gel, nickel cadmium and lithium ion batteries.

Sanjay Dhawan: There are about 300,000 sites in India in a 60:40 (indoor:outdoor) ratio. The power consumption at an indoor site is in the 3-5 kW range, while that in an outdoor site is in the 2-3 kW range. MSCs consume the maximum power, followed by BSCs and BTSs.

Harish Jere: From the equipment perspective, switches are the biggest consumers of power. However, since the number of switches/ MSCs is limited compared to the number of BTSs, the total power consumption is more in the case of BTSs.

Tuhin Mukherjee: The total power requirement of the Indian telecom sector stands at approximately 4,550 MW. BTSs are the biggest consumers of power because of the population they cater to, often to the tune of 250,000-plus, which requires about 3,750 MW of power.

What strategies are being adopted by telecom tower operators to overcome the shortage in power supply?

Avnish Arora: Telecom tower operators are looking at available alternative energy solutions to overcome the shortfall in power. Various solar and wind energy solutions are being looked at for mass commercialisation.

However, it is pertinent to mention here that even for an alternative energy source like solar, batteries are the only reliable way of storing this power. Hence, operators are looking at various options for reliable batteries that will help meet their power requirements.

HBL is serious about supporting all operators, original equipment manufacturers and telecom service providers with various alternative energy-intensive solutions centred on reliable battery technologies. Its batteries are deep cycling in nature, with a quick recharge facility. These are already in operation with many such prototype solutions being tested at various tower operator premises all over the country.

Sanjay Dhawan: At present, the industry as a whole has not adopted any specific strategy to overcome the problem of power shortages. But it is seriously considering alternative energy sources, and reducing the consumption of diesel for running DG sets.

Tower companies are also moving towards a bifurcation of active and passive infrastructure for all practical purposes.

Harish Jere: Operators are using different approaches.One is to garner support from various operators and exert pressure on the state electricity boards (SEBs) to provide uninterrupted supply of power. SEBs do not treat telecom operators as privileged consumers; instead, they treat them at par with other consumers. But if the operators can get the tag of being a privileged consumer, the power supply situation could change.

Operators can also talk to the SEB authorities through various forums –­ the electricity regulatory commissions, and telecom operator associations like the Cellular Operators' Association of India and the Association of Unified Telecom Service Providers of India.

Tuhin Mukherjee: Telecom tower operators are adopting several different measures. For instance, they ensure battery back-up is long lasting; stationary or mobile diesel generators are utilised; power plants are made energy-efficient; free cooling air conditioners are made available in times of emergency; and remote monitoring systems for BTS are installed, including features such as real-time fuel monitoring and energy management.

How would you compare different regions in India in terms of power availability/shortage as far as the telecom sector's requirement is concerned?

Avnish Arora: The geographical conditions of our country are such that no uniformity can be achieved in meeting power demands. There are states where power generation and availability are good. However, there are also states with no means of generating power from natural resources, or as is more significant, the required efforts have not been forthcoming. States like Uttar Pradesh, Bihar, the north-eastern states, Assam, Jammu & Kashmir and Haryana, are facing acute shortages of power.

Sanjay Dhawan: The power situation is the worst in states like Madhya Pradesh, Orissa, Bihar, Uttar Pradesh, Haryana and Rajasthan. States like Punjab, Jammu and Kashmir, those in the Northeast, West Bengal and Himachal Pradesh can be termed as average, with a lot of scope to improve. Gujarat and Kerala are the top-ranked states in terms of power availability. Tamil Nadu, Andhra Pradesh, Karnataka and parts of Maharashtra are also good.

Harish Jere: Power availability is very poor in Bihar, Uttar Pradesh, Madhya Pradesh and parts of Rajasthan. In these states, telecom towers have to operate on diesel fuel nearly 70 to 75 per cent of the time. In terms of the cost of power, Kerala has the highest electricity tariffs followed by Mumbai and Gujarat. These are also the circles where power availability is very good.

Tuhin Mukherjee: Power outages last for four to six hours on an average. However, the eastern and northern parts of India face longer-thanaverage cuts. Power cuts are the highest in Uttar Pradesh (East), followed by Bihar, Haryana, Assam, Uttar Pradesh (West) and Jharkhand.

What are the currently available alternative power solutions? How do they differ in terms of cost?

Avnish Arora: Solar and wind energy are the most common sources of alternative power. These solutions can provide about 120 hours of autonomy, compensating for the nonavailability of power. This eliminates the use of DG sets to a great extent under normal operating conditions. These systems are quite reliable with minimum maintenance requirements. The per unit cost of power generated from solar or wind energy is in the Rs 20-Rs 25 range, depending upon the initial capital investment which differs from place to place and is geography specific. The cost of the power generated is 3 to 3.5 times the cost of grid power, and 2 to 2.5 times the cost of power from DG sets.

Sanjay Dhawan: The use of solar energy for running telecom towers holds a lot of promise. Wind energy would, however, be suitable for only a few areas in the country.

Capex costs of using these alternative sources of energy are a bit high compared to those of DG sets, but opex is close to "Over a tenure of five to ten years, the net cost of power from alternative energy will be less by 20-30 per cent. It will also be emission free."

Harish Jere: While there are many alternatives available, what is important is the feasibility of these alternatives. Infrastructure sharing has emerged as one of the key trends.Tower infrastructure owners are building infrastructure in such a way that each site is able to take three to four tenants. In terms of power requirement for four tenants at one site, alternative sources of power are limited. To cite an example, if you are a single operator and you have to build a tower for just one operator, you could look at alternatives like solar. In fact, in an outdoor site in a remote area, solar is the best alternative power option available.But the moment you decide to build infrastructure for four tenants, the power requirement becomes so high that the adjacent infrastructure required (such as land required for tapping solar energy) does not make economic sense. These are unsubsidised models with at least a fiveyear pay-back period. Going green is good, but not cheap.

Tuhin Mukherjee: Several power alternatives are available, each differing in terms of advantages and costs. For example, an inverter for a BTS lowers the operating cost and offers pollution-free back-up power. Some of the other options include fuel cells, tank batteries and solar and wind energy.

What initiatives can the government take to accelerate the adoption of alternative sources of energy?

Avnish Arora: Government institutions can certainly play a pivotal role in making green energy solutions a reality by providing active support on the following fronts:

Aiding quick statutory approvals where necessary (for example, in granting departmental no-objection certificates).

Subsidising costs.

Generating awareness in the industry on green energy concepts.

Offering performance-linked incentives to operators who roll out their network utilising alternative energy solutions.

Framing relevant policies in other related areas with respect to the National Solar Mission.

Sanjay Dhawan: The following are some of the incentives being taken or that can be taken by the government.

For increasing the use of solar energybased technologies:

Providing a generation-based incentive to grid-interactive solar thermal power plants, which feed solar thermal electricity to the grid, subject to meeting the guidelines and eligibility requirements in this regard.

Providing a maximum of Rs 10 per kWh for the electricity generated and fed to the grid, from a grid-interactive solar thermal power plant of a capacity of 1 MW and above, to the eligible solar thermal project developers.

Providing a generation-based promotional incentive of 10 paise per kWh to the concerned state nodal agencies.

The Universal Service Obligation (USO) Fund should be utilised to provide incentives for projects based in rural/remote areas.

Subsidy support should be Rs 5 million per pilot project.

Harish Jere: Various government initiatives are being taken in the form of funding the cost of sites from the USO Fund.

In fact, Reliance Communications is running several pilot projects to work out an alternative energy model for sites shared by three operators. But these are all outdoor sites, which are typically funded to the extent of 70 to 75 per cent by the USO Fund.

For the next lot of sites that will come up in the second phase of USO Fundassisted tower rollouts, at least 35 to 40 per cent of the sites will be powered by alternative sources of energy.

Tuhin Mukherjee In a best-case scenario, the government should provide more subsidies to encourage the use of solar and wind power.