ENERGY CONSERVATION

The strategy developed to make power available to all by 2012 includes

promotion of energy efficiency and its conservation in the country, which
is found to be the least cost option to augment the gap between demand
and supply. Nearly 25,000 MW of capacity creation through energy
efficiency in the electricity sector alone has been estimated in India.
Energy conservation potential for the economy as a whole has been
assessed as 23% with maximum potential in industrial and agricultural
sectors.
Energy ConservatIon 0ay functIon
Considering the vast potential of energy savings and benefits of energy
efficiency, the Government of India enacted the Energy Conservation Act,
2001 (52 of 2001). The Act provides for the legal framework, institutional
arrangement and a regulatory mechanism at the Central and State level
to embark upon energy efficiency drive in the country.
Indian Industry Programme for Energy Conservation (IIPEC) Under IIPEC
the Task Groups for Textile, Cement, Pulp & Paper, Fertilizer, Chlor-Alkali,
and Aluminium have been formed and the first meetings of these groups
have taken place at Chhindhwada (M.P.), Beawar (Rajasthan), Ballarpur
(Maharashtra), Mumbai (Maharashtra) and Hirakud (Orissa) respectively.
Each Task Force is being headed by stakeholders and BEE is actively
involved in organising the programmes. The Members from the industry
participate in this project for sharing Best Practices, declaring their
voluntary targets and benchmarking, etc. The voluntary targets
undertaken by the Members from Cement and Pulp & Paper sector will
alone result in saving of Rs.175 crores and Rs.51 crores respectively by
2005-06.
Energy ConservatIon
Bureau of Energy Efficiency operationalized Complete pilot phase of
programme for energy efficiency in government buildings and prepare
action plan for wider dissemination and implementation.Although the
benefits of energy efficiency are well known and recognised, investments
in energy efficiency have not taken place due to variety of barriers faced
by energy users, such as risk averseness and lack of motivation for
making energy efficiency investments, and low credibility of energy
auditors and their services, lack of confidence in the ability of energy
efficiency equipment to deliver energy savings as expected, etc. An
innovative way of overcoming such barriers is the approach of using
performance contracting through energy service companies (ESCOs).
ENERGY CONSERVATION
To give national recognition through awards to industrial units for the
efforts undertaken by them to reduce energy consumption in their
respective units, the Ministry of Power launched the National Energy
Conservation Awards in 1991. BEE provides technical and administrative
support for the Awards Scheme. In the Awards Scheme 2002,for Large
and Medium Scale Industry, applications were invited from 17 Industrial
Sub-Sectors i.e., automobile, aluminium, cement, chemicals, ceramics,
chlor-alkali, edible oil/vanaspati, fertilizers, glass, integrated steel, mini-
steel, paper& pulp, petrochemicals, refractories, refineries, sugar and
textile plants. The automobile sector has been included for the first time
in the Awards. 2002. The response from the industries to the year 2002
scheme has been encouraging. In total, one hundred seventy four (174)
industrial units belonging to the above sub-sectors responded, which is a
record for the Award Scheme since its inception.
The award scheme has motivated the participating units to undertake
serious efforts in saving energy and environment. The data pertaining to
174industrial units indicated that in 2001-2002, these units have been
able to save collectively 641million kwh of electrical energy which is
equivalent to the energy generated from a 122MW thermal power station
at a PLF of 60%.Besides the above electrical energy savings, the
participating units have also saved 1.7 lakh kilolitres of furnace oil, 7.4
lakh metric tonnes of coal and 3588 lakh cubic meters of gas per year.In
the monetary terms these units have been able to save Rs.594 crores per
year and the investment of Rs.691 crores was recovered in 14 months
time period. This year, the Awards were given by the Hon.ble Vice
President of India.
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A number of Pilot Projects/Demonstration Projects have been taken up for
load management and energy conservation through reduction of T & D
losses in the System. The schemes under implementation during the year
2002-2003 include:-
Two pilot projects for energy audit study, one in the distribution network
of West Bengal State Electricity Board (WBSEB) sanctioned in 1994-95
with the Ministry of Power's contribution of Rs.181.03 lakhs and the other
in the distribution network of Kerala State Electricity Board (KSEB)
sanctioned in the 1994-95 with the Ministry of Power's contribution
ofRs.114.62 lakhs, have been completed successfully by WBSEB and
KSEB through REC, during the current financial year 2002 . 2003.
A pilot project for installation of 2414 LTS witched Capacitors was
sanctioned in 1993-94 with the Ministry of Powers contribution of
Rs.199.32 lakhs. The installation of 2370LT Switched Capacitors (with
minor reduced scope of work) has been completed in 2002-2003 in
Andhra Pradesh, Haryana, Punjab and Tamil Nadu, through Rural
Electrification Corporation (REC).
A pilot project of installation of 3000Amorphous Core Transformers in the
distribution network of various State Electricity Boards, sanctioned in the
1993-94 with the Ministry of Powers of contribution ofRs.300.00 lakhs
through REC has been completed successfully in 2002-2003 with some
minor reduced scope of work.