Report on Energy Efficiency Measures
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Why in News
Recently the Ministry of Power and New & Renewable Energy released a report on the
“Impact of energy efficiency measures for the year 2018-19”.
Key Points
Agency Involved: The report was prepared by a third party agency PWC Ltd, who
was engaged by Bureau of Energy efficiency (BEE).
Methodology: Since 2017-18, every year BEE has been appointing a third party
expert agency which compares the estimated and actual energy consumption due to
various energy efficiency schemes.
The study assesses the resultant impact of current schemes at national as
well as state level for the financial year and compares it with a situation where
the same were not implemented.
Objective: To evaluate the performance and impact of all the key energy
efficiency programmes in India, in terms of total energy saved and the related
reduction in the CO2 emissions.
Key Findings
Electricity Saving: Implementation of various energy efficiency schemes
have led to total electricity savings to the tune of 113.16 Billion Units in 2018-19,
which is 9.39% of the net electricity consumption.
Energy Saving: The total energy savings achieved in 2018-19 is 23.73 Mtoe
(million Tonne of Oil Equivalent), which is 2.69% of the total primary energy
supply (estimated to be 879.23 Mtoe in India).
Emission Reduction: These efforts have also contributed in reducing 151.74
Million Tonnes of CO2 emissions, whereas last year this number was 108 Million
Tonnes of CO2.
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Flagship Programmes: This year the study has identified the following major
programmes, viz. Perform, Achieve and Trade Scheme, Standards & Labelling
Programme, UJALA Programme, Municipal Demand Side Management
Programme.
Perform, Achieve and Trade Scheme
It is a market-based mechanism to further accelerate as well as incentivize
energy efficiency in the large energy-intensive industries.
The Energy Savings Certificates (ESCerts) were introduced in India in 2011
under the Perform, Achieve Trade scheme (PAT) by the Bureau of Energy
Efficiency (BEE) under the National Mission of Energy Efficiency.
NMEEE is one of the eight national missions under the National Action
Plan on Climate Change (NAPCC) launched by the Government of India
in the year 2008.
This market- based mechanism is facilitated through the trading of Energy
Savings Certificates (ESCerts) which are issued to those plants who have
overachieved their targets.
Those plants which under achieve their targets are entitled to purchase ESCerts
through two power exchanges - Indian Energy Exchange (IEX) and Power
Exchange India Limited (PXIL).
The scheme is unique in many ways, particularly from a developing country's
perspective since it creates a market for energy efficiency through tradable
certificates ESCerts, by allowing them to be used for meeting energy reduction
targets.
Standards & Labelling Programme
A key objective of this programme by BEE is to provide the consumer an
informed choice about the energy saving and thereby the cost saving
potential of the relevant marketed product.
The programme targets display of energy performance labels on high energy
end use equipment & appliances and lays down minimum energy performance
standards.
Unnat Jyoti by Affordable LEDs for All (UJALA)
It was launched in 2015 with a target of replacing 77 crore incandescent lamps
with LED bulbs and to nullify the high-cost of LEDs that acted as a barrier
previously in the adoption of energy-efficient systems.
The scheme was implemented to set up a phase-wise LED distribution.
The objective is to promote efficient lighting, enhance awareness on using
efficient equipment that will reduce electricity bills and preserve the
environment.
It is the world’s largest domestic lighting project.
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Municipal Demand Side Management Programme
The Municipality Demand Side Management (Mu-DSM) programme of BEE was
initiated during the Eleventh five year plan(2007-2012).
The basic objective of the project is to improve the overall energy efficiency of
the Urban Local Bodies (ULBs), which could lead to substantial savings in the
electricity consumption, thereby resulting in cost reduction/savings for the ULBs.
Bureau of Energy Efficiency (BEE)
The BEE is a statutory body established through Energy Conservation Act, 2001
under the Ministry of Power, Government of India.
It assists in developing policies and strategies with the primary objective of
reducing the energy intensity of the Indian economy.
BEE coordinates with designated consumers, designated agencies, and other
organizations to identify and utilize the existing resources and infrastructure, in
performing its functions.
Background
Pledge: India has pledged in the Conference of the Parties (COP21) of the United
Nations Framework Convention on Climate Change (UNFCCC) to bring down the
energy intensity of its economy by 33 to 35% compared to 2005 levels by 2030.
Energy intensity is the amount of energy required to produce one unit of
Gross Domestic Product (GDP).
High energy intensities indicate a high cost of converting energy into GDP.
Whereas, low energy intensity indicates a lower cost of converting energy into
GDP.
Achievement: With its energy efficiency initiatives India has already reduced the
energy intensity of its economy by 20% compared to 2005 levels.
Significance: Energy efficiency reducing greenhouse gas emissions, reducing
demand for energy imports, and lowering costs on a household and economy-wide
level.
Source: PIB
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