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Correcting inefficiencies for India’s water and energy sectors

"USAID/India deeply appreciates the commitment and leadership demonstrated by PA ... We believe that the strategy provides an innovative alternative and raises the bar for everyone else."

Dr. Gaurav Bhatiani, USAID/INDIA

Government of India - Correcting inefficiencies for India’s water and energy sectors

PA Consulting Group is managing the US Agency for International Development's (USAID) Water Energy Nexus Activity, Part II (WENEXA II) project that is designed to help correct inefficiencies in India’s water and energy sectors. While waste and inefficiency exist among all consumers, they are especially prevalent in the agriculture sector, which uses about 50% of India’s fresh water and over 20% of its electricity.

Agricultural demand-side management (Ag DSM) offers a way to cut agricultural electricity usage in half. Thus, solving the agricultural component of the water-energy crisis would make an important contribution to easing the chronic 12% supply-demand gap in electricity and the 20% gap in electric generating capacity. If successful, Ag DSM could help close these gaps in less time than it would take to build new power plants.

PA pioneered the development of an Ag DSM concept and then fashioned it into a practical model ready for field testing. The Ag DSM model has been vetted extensively and, recently, a local ESCO signed a contract to run the pilot project.

WENEXA also sponsored a municipal initiative by helping develop a large-scale water reuse project with the Nagpur Municipal Corporation (NMC). PA’s team developed detailed pre-feasibility studies and engaged end-users and stakeholders in a dialogue to gain acceptance of the project. NMC engaged a 12,000 MW power generating company to use treated wastewater as a source of cooling water for its power plants. Separately, NMC agreed to supply 110 million litres of water per day for a new 1,000 MW power station.

NMC will also build a new sewage treatment plant capable of processing high-quality water.

These results will make more fresh water available from regional reservoirs to serve the needs of Nagpur’s growing population. Thus, WENEXA facilitated the construction of a much-needed new power plant while increasing the availability of potable water to one million people.

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