A great number of industries are now switching over to their own generating station within their own campus. We refer to this method as a captive power generation for which one requires captive power plants. The reasons for investing in power plant operation are many like long power cuts, poor reliability of electric supply, forced outages and more. Thus, it is becoming a popular choice nowadays.
What is a Captive Power Plant?
A captive power plant is a power plant set-up by any person or company for producing electricity mainly for their own use. One can consider a generation plant to be captive only if more than 51% of its electricity produced is used by the owner for their own consumption and the minimum aggregate ownership of the captive generating plant is at least 26%.
Why Choose Captive Generation?
As we all know, electricity is one of the most important inputs for any kind of industry. Similarly, it needs a consistent and reliable supply of electricity. Further, the quality of electricity like harmonics, voltage and more is also important.
Another major factor one considers is of a reliable and quality supply at affordable costs. Thus, it happens more than often that state utilities are not able to fulfil these requirements.
Thus, industries opt for captive power as it poses as a more feasible option. Captive power plants do not just benefit the owners but also the electric utilities as they supply extra power whenever there is a deficit in the power supply.
Advantages of Captive Power Plants
As mentioned earlier, captive power can be a cheaper option than power from the grid. Thus, it is not heavy on the pocket. Further, there are hardly any transmission and distribution losses.
Moreover, it also eliminates the common problem which industries often face which is of electric theft. Another important advantage of these plants is that you do not have to incur any extra-cost on infrastructures like land, road, and more.
They also keep the overhead transmission cost low. Similarly, the forced outages can be lower than that of grid supply. Most importantly, you don’t face any power cuts. It also reduces the cost of electricity that is an input to production processes and surplus electricity can also be sold to the grid, thereby offering multiple benefits.
Thermax is a leading energy and environment solutions provider. We specialize as the evangelist of the EPC (Engineering, Procurement and Construction) concept based on biomass, waste heat, natural gas, coal and solar.
Having an experience of contracting more than 3000 MW of power plants on EPC basis across multiple countries, we can help you too. Thermax offers its customers beyond projection completion by offering operations and power plant maintenance.
Being a leading EPC player, we set up power plants that will definitely offer least lifetime cost, timely delivery and high performance. We provide end-to-end support to our consumers, from the concept till commissioning and O&M support so that you never have to compromise on quality.