BANGALORE: India's power sector is slowly but surely connecting to smart grids to increase efficiency and reduce losses. Bangalore's Electronic City is implementing a pilot project not just to modernise power grids but also to increase use of renewables.

Faced with a large power deficit and transmission and distribution loses of 20%, Karnataka is now looking to use information technology to plug in losses and increase efficiency. A smart grid pilot project is to be implemented in the Bangalore's IT hub Electronics City under the public-private partnership model. At a cost of Rs 100 crore, the project is expected to get implemented in less than two years and the state plans to set up similar smart grids across the state.

"Last week weve had a meeting with the ministry of power and other industry major to implement a Smart Grid at Electronic City. Electronic City because it is compact, it is doable and we can measure the gains. By putting IT into automation and distribution our aim is to see that voltage improves, fault location becomes quicker. Depending on how it works we will look at implementing it at other parts of the state," K Jairaj, Principal Secretary (Energy), Karnataka.

A smart energy grid uses advance digital technologies to increase energy reliability, save energy and cost, and will allow greater consumer participation. Some of the other benefits include improved power quality, focus on renewables and resilience to attacks and natural disasters with rapid restoration capabilities.

Experts say smart grids help consumers change their power consumption trends and contribute directly to energy savings.

"In general through a smart grid we are talking about bringing down the peak curve, an ability which means a lot of things, which means automatic meter reading to energy auditing, an ability to interact with the provider if certain things can be switched off and the efficiency by which you integrate with renewable sources of power," says Raghu Cavale, VP-India Business, Infosys.

Under the union governments power reforms scheme, the Restructured Accelerated Power Development and Reforms Programme, the target is to reduce transmission and distribution losses from 33% to 15%. State electricity boards can appoint IT firms as consultants or act as implementation agencies to distribution companies. States like West Bengal and Rajasthan have already awarded IT projects, while others including Madhya Pradesh and Maharashtra are in the process of doing so. Experts say even the non-IT opportunity is large especially for small and medium manufacturing industries.

"Smart grid itself provides an opportunity for SMEs to look at a new arena where they can have product and services which can reach out to the smart grid networks. Now smarty grids would also mean integration of hardware and IT and SMEs in both these sectors and with their capacity to manufacture products," says Uma Reddy, President, Consortium of Electronic Industries of Karnataka.

A recent study has indicated smart grid implementation across India could reduce transmission and distribution losses by up to 30%. This would minimise the need for increased generation capacity, and facilitate a far greater utilisation of renewable sources of energy generation.