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Initiatives of energy conservation in India -Projects and programmes of BEE
Presentation by :K.K.CHAKARVARTI
BUREAU OF ENERGY EFFICIENCY NEW DELHI
State level meeting with Certified Energy Managers and Energy Auditors-
6th February,2014
Cochin
Contents
Legislative and Institutional Framework on
Energy Efficiency in India
EE Initiatives in Industry, Buildings and
Appliances
National Mission for Enhanced Energy
1
2
National Mission for Enhanced Energy
Efficiency (NMEEE)
Voluntary Initiatives to promote Energy
Efficiency
Conclusions
2
3
4
5
Legislative and Institutional Framework
1
Framework
3
Energy Efficiency in IndiaEnergy Efficiency in India
INTRODUCTION
� India has made rapid strides towards economic self-reliance over the last few decades.
� Impressive progress has been made in all sectors ofeconomy necessitating growing consumption of energy
� Conventional source of energy such as coal, oil and gasare scarce and exhaustible.
� Consumption of fossil fuel resources also leads to Globalwarming and climate changewarming and climate change
� Hence, all initiatives needs to be undertaken to ensure
the efficient use of the available energy resources to
manage energy supply and minimize the impact of
energy use on environment.
� This has led the Government of India through the Energy
Conservation Act and the Bureau of Energy Efficiency to
launch several energy efficiency improvement initiatives.4
��EC Act enacted in October 2001EC Act enacted in October 2001
��BecameBecame effectiveeffective fromfrom 11stst MarchMarch 20022002
�� BureauBureau ofof EnergyEnergy EfficiencyEfficiency (BEE)(BEE)operationalizedoperationalized fromfrom 11stst MarchMarch 20022002 andandStateState DesignatedDesignated AgenciesAgencies establishedestablished inin 3232States/UnionStates/Union TerritoriesTerritories
THE INDIAN ENERGY CONSERVATION ACT
States/UnionStates/Union TerritoriesTerritories
��EnergyEnergy efficiencyefficiency institutionalinstitutional practicespractices andandinitiativesinitiatives inin IndiaIndia areare nownow mainlymainly beingbeingguidedguided throughthrough variousvarious voluntaryvoluntary andandmandatorymandatory provisionsprovisions ofof thethe EnergyEnergyConservationConservation ActAct
5
THE INDIAN ENERGY CONSERVATION ACT
� The five major provisions of EC Act relate to:
� Designated Consumers (mainly energy intensive industries andbuildings) to comply with the specific energy consumption norms forthe manufactured products and services and establishment ofenergy management system,
� Standards and Labeling of energy consuming appliances, gadgetsand equipment to ensure promotion of energy efficiency of the newstocks entering the marketstocks entering the market
� Energy Conservation Building Code ensuring that newcommercial buildings constructed in the country have less electricityconsumption
� Creation of Institutional Set up (Bureau of Energy Efficiency at theFederal level and State Designated Agencies at the State level) foreffective coordination of the energy conservation efforts in thecountry and
� Establishment of Energy Conservation Fund at Centre and Statesto provide necessary financial support for energy efficiencyinitiatives in the country. 6
Energy Efficiency Initiatives
IndustryIndustry, Buildings , Buildings and Appliances and Appliances
2
7
IndustryIndustry, Buildings , Buildings and Appliances and Appliances
Energy Manager Certification and Energy Audits
� 9 energy intensive industry including Railways
have been notified as designated consumers
� 14 National Certification examinations have
certified about 10,500 Certified Energy
Managers, out of which 7300 are also qualified
as Certified Energy Auditors
8
as Certified Energy Auditors
� Baseline energy audits studies carried out inabout 500 units of 8 energy intensive industryand thermal power units.
� Guide Books on EE and Energy Audit Manualsprepared
Standards and labeling
� 16 Equipment and Appliances covered under S&L
Programme
� All the refrigerators (frost free), air conditioners,
distribution transformers and fluorescent tube lights
that are sold in India must have a BEE Star label
� India became the first country in the world to� India became the first country in the world to
comprehensively regulate the performance, safety,
and quality of light-emitting diodes (LEDs).
� Corporate average fuel consumption norms for
passenger cars in place
9
Commercial Buildings Floor Area - Growth Forecast
� Currently, ~ 659 million m2
� In 2030,~ 1,900 million m2 (estimated)*
� 66% building stock is yet to be constructed
Growth in the Indian Building Sector
659
million
m2
Current
34%
Yet to be
Built
66%
1,900 million m2
Year: 2010
* Assuming 5-6% Annual Growth Year :2030
10
Energy Conservation Building Code
� ECBC covering five climatic zonesof India (Hot & Dry, Warm &Humid, Composite, Temperate andCold) prepared
� ECBC set minimum energyefficiency standards for design andconstruction
� Mandatory Scope Coverscommercial buildings
11
commercial buildings
• Survey indicates about over 700ECBC-compliant buildings are atvarious stages of construction(2012-13)
� Star labeling programme(Voluntary) for day use officebuildings, BPOs and ShoppingMalls developed. So far, 150buildings have been rated undervarious categories.
Other EE Initiatives
� Bachat Lamp Yojana (BLY) (Energy Saving Lamp Scheme)
– Total sales of CFLs have increased to 350 million (in 2011) from 180
million (in 2008) when the Bachat Lamp Yojana (BLY) was
conceptualized.
– The doubling of CFL market, even though BLY has contributed to only
about 15% of the increase, suggests that the transformation
conceptualized under BLY has occurred.
� Agricultural Demand Side Management (DSM)� Agricultural Demand Side Management (DSM)
– Scheme was focused on replacement of inefficient pumps with BEE star
labeled energy efficient pumps.
– One pilot project was taken up in Western India for replacement of 2200
pumps: Savings achieved-24%
� Municipal DSM
– Bankable DPRs for 134 Urban Local Bodies (ULB) prepared which
shows overall potential saving of about 120 MW
– Energy conservation cells were created in ULBs to facilitate the
implementation of the DPRs
12
Other EE Initiatives
� SMEs� 375 detailed project reports in 25 SME clusters were
prepared for facilitation of implementation of Energy Efficiency in SME units.
� Strengthening of State Designated Agencies– 32 States have designated SDAs (State
Designated Agencies) to implement energyefficiency in their respective Statesefficiency in their respective States
– 33 demonstration projects in the area of streetlights and water pumping system have beenimplemented
– LED village campaign implemented in 24 States– Investment Grade Energy Audit (IGEA)
conducted in 491 public buildings across India.
13
National Mission for Enhanced Energy Efficiency
3
Enhanced Energy Efficiency (NMEEE)
14
NATIONAL MISSION FOR ENHANCED ENERGY EFFICIENCY (NMEEE)
• The National Action Plan on Climate Change was
released by Prime Minister of India in June 2008
• The Action Plan Outlines 8 Missions including
National Mission for Enhanced Energy Efficiency
(NMEEE)(NMEEE)
• The basic objective of the NMEEE mission is to
ensure a sustainable growth by an approximate mix
of 4 E’s, namely-Energy, Efficiency, Equity and
Environment and unlock energy efficiency
opportunities through market based mechanisms.
15
National Action Plan on Climate Change
Stimulate Funding
for ESCOsEnergy Intensive Industries
Targets for Mandatory
Energy Saving
PAT EEFP
NMEEE – Four New Initiatives
Fiscal
Instrument for EE
Partial Risk Guarantee Fund (PRGF)
Venture Capital Fund (VCF)
Public Procurement
Energy Efficient
AppliancesBLY
SEEP
DSM
FEEEDMTEE
NMEEE
17
Perform, Achieve & Trade (PAT)
� The key goal of the PAT scheme under National Mission
for Energy Efficiency (NMEEE) is to mandate specific
energy efficiency improvements for the most energy
intensive industries.
� The scheme builds on the large variation in energy
intensities of different units in almost every sector
� The energy intensity reduction target mandated for each
unit is dependent on its current efficiency : the reduction
target is less for those who are more efficient, and is
higher for the currently less-efficient units.
� The design of PAT is the result of extensive consultations
over the last two years (2010-11 and 2011-12), which
have contributed to its robustness and simplicity.
18
PAT Scheme
� Covers 478 designated consumers in 8 sectors, consuming about 165 million toe energy.
� National Target = 6.686 million toe at the end of 1st PAT Cycle ( by 2014-15)
� Reducing India's CO2 emissions by 24 million tons / year in 2014-15.
-Achievement > Target E-Scerts
-Achievement < Target Purchase E-Scerts / Penalty
� The Energy Savings Certificates (ESCerts) so issued will be tradable on special trading platforms to be created in the two power exchanges (Indian Energy Exchange and Power Exchange India).
� The direct benefit for the participating industries in this period is reductions in input costs related to energy of approximately US$ 1250 million.
• Total EE Projects planned in 2012-15: 2057
• Total anticipated investment : US$ 3095 million
19
Designated Consumers- Kerala State
Sl No Designated Consumer
Net Heat Rate
(Kcal/KWh)-
Baseline
Net Product Output
(Million Units)-
Baseline
Net Heat Rate
(Kcal/KWh)-Target
1
Brahmapuram Diesel Power Plant
(BDPP)
Kochi
2115 175 2074
2BSES Kerala Power Project
Kochi1969 590 1965
3Kasargod Power Corporation Ltd
(KPCL)2265 69 2166
4Kozhikode Diesel Power Project
(KDPP)2150 350 2115
5
Rajiv Gandhi Combined Cycle
Project (NTPC)
Kayankulam
1994 2016 1988
Designated Consumers- Kerala State
Sl no Designated Consumer
Specific Energy
Consumption
(TOE/ton of
product)-Baseline
Product Output
(Ton)
Specific Energy
Consumption
(TOE/ton of
product)- Target
6Travancore Cochin Chemicals Ltd
Kochi0.299 50,430 0.282
7Hindustan Newsprint Ltd
0.660 1,08,221 0.6237Hindustan Newsprint Ltd
Kottayam0.660 1,08,221 0.623
8FACT (Ammonia)
Udyogamandal0.985 1,37,004 0.970
9Malabar Cements Limited,
Palakkad0.0971 12,10,539.37 0.0918
National Target of Energy Saving among all Sectors
S.NO. Sector
No. of
Identified
DCs
Annual
Energy
Consumption
(Million toe)
Share
Consumption
(%)
Apportioned
Energy
Reduction For
PAT Cycle-1
(Million toe)
1Power
(Thermal) 144 104.56 63.38% 3.211
22 Iron & Steel 67 25.32 15.35% 1.486
3 Cement 85 15.01 9.10% 0.815
4 Aluminium 10 7.71 4.67% 0.456
5 Fertilizer 29 8.20 4.97% 0.478
6 Paper & Pulp 31 2.09 1.27% 0.119
7 Textile 90 1.20 0.73% 0.066
8 Chlor- Alkali 22 0.88 0.53% 0.054
Total 478 164.97 100.00% 6.686
Sectoral Share in Energy Saving Target (%)(2012-15)
23
Fuel Composition Mix in PAT Sector Industries
Fuel Million toe %
Coal 142.3 85.36
Oil 4.33 2.60
Gas 17.14 10.28
Imported Electricity(Not from CPP)
2.94 1.76
Saving
Target
Baseline SEC
Achieved SEC
Compliance
Issued Escerts Penalty
Concept of Target, Compliance, ESCerts & Penalty
25
Target SEC
Scenario 1 Scenario 2
Compliance
Purchase Escerts
Development of new sector specific data Collection Form for Energy Return with inbuilt SEC Calculation sheet
Development of Sector Specific Normalisation Factors for
• Capacity Utilisation or PLF
• Intermediary products
• Product Mix
• Power Mix
• Fuel and Raw material Availability
• Fuel Quality
Monitoring and Verification
Market place for Energy efficiency Instruments
PAT Challenges
• Fuel Quality
• Environmental Concern
• Natural Disaster & Unforeseen Circumstances
Trading Platform: Finalization of the overall structure for issuance of Escerts
PAT Deepening and Widening
Identification of DCs in new Sectors and Definition for taking the PAT to another step
PAT Cycle II: Fixing of
Baseline data for Existing DCs
for PAT Cycle II
Framework for Energy Efficient Economic Development (FEEED)
� Fiscal instruments to facilitate energy efficiencyprojects implementation have been developed:
� PRGFEE: Debt guarantee to Financial Institutions forESCO (Energy Service Companies) investments (uptoRs. 3.0 Crores or 50% of loan, whichever is less)
� VCFEE: Equity investments in ESCO projects (uptoRs 2.0 crores or 15% of equity, whichever is less)Rs 2.0 crores or 15% of equity, whichever is less)
� Public Procurement: Public procurement of energyefficient appliances in the Public sector has beeninitiated. This is expected to save 250 MW of Power .Initially the appliances which have been considered forpublic procurement include Split air conditioners (usagemore than 1000 hrs/year), ceiling fans & water heaters(all 5 Stars) and frost free refrigerators ( 4 Stars)
27
Voluntary Initiatives to promote Energy Efficiency
4
promote Energy Efficiency
28
National Energy Conservation Awards
� Motivated industry and other establishment to adoptenergy efficiency measures
� Scheme has become very popular among industriesand buildings, as is evident from increasingparticipation level (829 nominations in 2013 incomparison to 123 nominations in 1999)
29
ENCOURAGING RESPONSE FROM INDIAN INDUSTRY AND OTHER ESTABLISMENTS IN THE
NATIONAL ENERGY CONSERVATION AWARD SCHEME (1999-2013)
500
600
700
800
900
388 384
558592
644
773
829
No
. o
f P
art
icip
ati
ng
Un
its
0
100
200
300
400
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
123 120157
174191
297
343
388 384368
No
. o
f P
art
icip
ati
ng
Un
its
Year
30
INCREASE IN THE EQUIVALENT AVOIDED CAPACITY PER
YEAR BY THE PARTICIPATING UNITS (1999-2013)
400
500
600
700
800
308325
359 357
504
616
711
Eq
uiv
ale
nt
av
oid
ed
cap
acit
y i
n M
W
0
100
200
300
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
45
100 90
122103
155
252 245
308
Eq
uiv
ale
nt
av
oid
ed
cap
acit
y i
n M
W
Year
31
MONETARY SAVING ACHIEVED PER YEAR BY PARTICIPATING UNITS IN THE
NATIONAL ENERGY CONSERVATION AWARD SCHEME (1999-2013)
2500
3000
3500
4000
4500
2377
2138
2390
2886
4141
An
nu
al
Sav
ing
s in
Rs. C
rore
s
0
500
1000
1500
2000
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
205
366
587 594539
763
993
1135
1843 1859
An
nu
al
Sav
ing
s in
Rs. C
rore
s
Year
32
YEAR WISE ENERGY SAVINGS ACHIEVED BY PARTICIPATING UNITS IN MINISTRY OF
POWER’S ENERGY CONSERVATION AWARD SCHEME
(From 1999 to 2013)
Year
No. of
Participating
industrial
units
Annual
Savings in
Rs. Crores
One time
investment
in
Rs. Crores
Electrical Energy SavingFurnace Oil
& Other
liquid fuel
Savings, in
Lakhs kL
Coal Savings
in Lakh
Metric
Tonnes
Gas Savings
in Lakh cubic
metresMillion kWh
Equivalent
avoided
capacity in
MW
2013 829 4141 4537 4354 711 3.79 25.54 4993
2012 773 2886 1948 4177 616 2.65 25.53 4303
2011 644 2390 2201 3421 504 3.29 33.21 4085
2010 592 2138 5457 2422 357 3.41 23.42 8338
2009 558 2377 3180 2451 359 5.65 12.4 42742009 558 2377 3180 2451 359 5.65 12.4 4274
2008 368 1859 2493 2216 325 1.85 3.47 15729
2007 384 1843 2923 1620 308 1.25 5.86 15379
2006 388 1135 1266 1288 245 1.19 5.17 29044
2005 343 993 1319 1327 252 2.4 7.58 13122
2004 297 763 1364 814 155 2.49 5.37 18585
2003 191 539 1071 542 103 2.21 12.65 73181
2002 174 594 691 641 122 1.7 7.4 35588
2001 157 587 659 485 90 2.21 4.79 3929
2000 120 366 630 524 100 1.327 0.64 707
1999 123 205 940 205 45 1.62 2.15 2444
Total 15 years22816 30679 26487 4292 37.04 175.18 233702
33
Painting Competition on Energy Conservation for School Students
� The scheme aims at sensitizing the children towards
issues of energy conservation
� Ministry of Power and Bureau of Energy Efficiency
have been organizing painting competitions on
energy conservation for the last 9 years for school
students at School, State and National levels.
� The scheme is being executed in all the 28 States� The scheme is being executed in all the 28 States
and 7 UTs of India
� In the year 2013, more than 4,500,000 students
participated in comparison to about 343,000 students
in 2005.
34
National Painting Competition Prize Distribution Function 2013
35
Hon’ble President, Shri Pranab Mukherjee presented the National Painting Competition Prizes, at the National Energy Conservation Awards function, in New Delhi on December 16, 2013. The Minister of State (Independent Charge) for Power, Shri Jyotiraditya Madhavrao Scindia is also seen.
Painting Competition on Energy Conservation
36
Painting Competition on Energy ConservationPainting Competition on Energy Conservation
K R K R RoshniRoshni, Standard V, Tamil Nadu (India), Standard V, Tamil Nadu (India)
37
ISO 50001 Energy Management System
� More than 200 industrial units have declared theirenergy policy .
� PAT mechanism has all factors which are part of EnMS
� Relatively easier for Indian industry and buildings toadopt EnMs standard and achieve and sustain higherlevels of energy efficiency
� Around 60 establishments including buildings andindustry in India have been certified for ISO 50001 EnMS
� The Delhi International Airport Limited (DIAL) became� The Delhi International Airport Limited (DIAL) becamethe first airport operator and Dahanu Thermal PowerStation, Maharashtra (India) became the first ThermalPower Station in the world to receive this certificationafter its publication in mid 2011.
38
ISO 50001Certified Establishment in India-First Power Plant
• Dahanu Thermal Power Station (2x 250 MW) (DTPS) inMaharashtra, ( Western India)
• “After receiving ISO 50001, DTPS would derive numerousbenefits of energy management- making better use ofexisting energy-consuming assets, monitoring andmanaging reductions in GHG emissions, managing energyuse and costs, implementation of new energy-efficientuse and costs, implementation of new energy-efficienttechnologies and management of energy resources.”
-Mr. Lalit Jalan, CEO, Reliance Infrastructure Limited, India
39
Conclusions
5
40
Impact of Energy Efficiency Initiatives
� Standards and Labelling of equipment and appliancesprogramme has created a market transformation
� Energy saving targets have been fixed for 8 sectors ofenergy intensive industry- 6.686 million ton of oilequivalent by 2014-15
� The PAT scheme is a unique and innovative initiative,perhaps with no precedence anywhere else in theworld.world.
� PAT would become a valuable model for othercountries to adopt for their own energy efficiencyprogrammes with a business perspective.
� Various activities under different initiatives haveresulted in savings in avoided power generationcapacity of about 10,836 MW during 11th Five YearPlan (2007-2012).
41
12th Plan(2012-17): Projected Energy Savings
� The strategies adopted during the 11th Five Year Plan(2007-12) have showed encouraging outcomes.
� 12th Plan (2012-17) will carry forward the existingschemes as well as further strengthen the EEinitiatives to accelerate the process ofimplementation of energy efficiency measures toachieve the desired energy savings.achieve the desired energy savings.
� Projected Savings in Billion kWh (BU):
� 44.85 BU (consumer end)
� 60.17 BU (at generating side)
� Additional thermal energy saving equivalent to21.30 million ton of oil equivalent energy is expectedto be achieved by 2016-17
42
We all have our personal doomsday scenarios with respect to an extremely
“energy hungry” world
Year 1800Year 2000
Year 1900
Year 1800Year 2050
Year 2020
Year 2000
43
Visit us at www.energymanagertraining.comwww.bee-india.nic.in
44