Energy conservation

&
Auditing
Open elective for VII semester all branches of
engineering
B. E. ELECTRICAL AND ELECTRONICS
ENGINEERING
CHOICE BASED CREDIT SYSTEM (CBCS)
&
OUTCOME BASED EDUCATION (OBE)

SEMESTER – VII
21EE755

CIE Marks: 40 Teaching Hours/Week (L:T:P) (3:0:0)

SEE Marks 60 Credits 03 Exam Hours 03
 Course Objectives:
Current Energy Scenario, Importance Of Energy
Conservation.
Improving Energy Efficiency in Different Electrical
Systems.
Energy Auditing. Electricity Market Design..
 Demand Side Management Concept, and
Implementation Issues, Strategies.
student will be able to……….
• Analyze about Energy Scenario Nation Wide and World Wide
also Outline Energy Conservation Act and Its Features.
• Discuss Load Management Techniques and Energy Efficiency.
• Understand the Need Of Energy Audit and Energy Audit
Methodology.
• Understand Various Pillars Of Electricity Market Design.
• Conduct Energy Audit Of Electrical Systems And Buildings.
• Apply Demand Side Management And Energy Conservation
Techniques For Energy Management.
 Question paper pattern:
 Question Paper Will Have Ten Full Questions
Carrying Equal Marks.
 Each Full Question Will Be For 20 Marks.
There Will Be Two Full Questions (With A
Maximum Of Four Sub- Questions) From Each
Module.
Each Full Question Will Have Sub- Question
Covering All The Topics Under A Module.
The Students Will Have To Answer Five Full
Questions, Selecting One Full Question From Each
Module.
Text books
• Energy Scenario:
1. Commercial and non commercial energy
Resources,
2. Primary Energy Resources
3. Commercial Energy Production,
4. Final Energy Consumption,
5. Energy Needs of Growing Economy,
6. Long Term Energy Scenario,
7. Energy Pricing,
8. Energy Sector Reforms,
 Syllabus:Module-1

Energy and Environment:

1. Energy Security
2. Energy Conservation and its Importance
3. Restructuring of the energy supply sector
4. Energy Strategy for the Future
5. Air Pollution,
6. Climate Change
7. Energy Conservation Act-2001 and its Features.
 Energy Scenario
Energy is one of the major inputs for the economic
development of any country. In the case of the
developing countries, the energy sector assumes a
critical importance in view of the ever-increasing
energy needs requiring huge investments to meet
them.
 Introduction

Energy can be classified into several types based

on the following criteria:

1) Primary and Secondary energy

2) Commercial and Non commercial energy

3) Renewable and Non-Renewable energy

Basic Electric Power and Structure of
Power System
ENERGY RESOURCES AND CLASSIFICATION :
Energy Sources are classified as
 Primary Energy Resources
 Secondary Energy Resources
• Primary energy resources are derived directly from natural reserve.
Examples are chemical fuels, solar, wind, geothermal, nuclear
hydropower, etc. They are used either in basic raw energy form or by
converting them to usable form (secondary energy).
• Secondary energy resources are usable forms of energy generated by
means of suitable plants to convert the primary energy. Examples are
electrical energy, steam power, hot water power, hydrogen energy, etc.
Usable form of energy is cost effective, highly efficient with
improved performance, environmentally acceptable and system
acceptability index approaching to unity is achievable during conversion,
transportation, distribution, and end use.
 Primary energy sources Secondary energy sources
1. Primary energy 1. The secondary energy
sources are those sources are those which
that are either found are derived from primary
or stored in nature. energy sources. common
Common primary secondary energy sources
energy sources are are thermal energy, steam
coal, oil, natural gas, energy and electricity.
and biomass(such as 2. secondary energy sources
wood). are mostly converted by
2. Other primary energy Primary energy sources in
sources available industrial utilities ; for
include nuclear example steam is
energy from converted by coal, oil or
radioactive gas and electricity by
substances and diesel or gas.
thermal energy
stored in earth's
interior.
Primary energy resources are further sub-
classified as follows:
• Conventional and non-conventional energy
resources:
(a)Conventional Energy Resources (Non
Renewable Energy Resources) : They are the
energy sources obtained from static stores of energy (stored within the earth).
They include both fossil fuels and nuclear energy. It requires human
intervention to release the energy from them. These sources have formed over
hundreds of millions of years ago. They are also known as finite energy
resources.
Ex. Coal, Oil, Natural gas, Nuclear energy etc.

(b)Non-conventional Energy Resources

(Renewable Energy Resources) are also known as
infinite energy resources. They need full exploitation and improved technical
understanding. They are obtained from the energy flowing through the natural
The energy is passing through the environment as a current or as a flow and
a device is required to harness this energy source. It is the natural energy
available in nature. It is inexhaustible source of energy.
Renewable and non-renewable energy resources:
(a) Renewable energy resources are continuously restored by nature. It has low
initial intensity, dispersed, source is fluctuating, dilute source of energy but it will
not cause environmental pollution.
Its availability depends on weather condition and it varies with time. It is safe and
system does not depend on outside units. Cost of source is free but cost of
equipment is high.
Ex. solar, water, wind, biogas, biomass etc.
(b) Non-renewable Energy Resources:
Energy sources are available in natural local environment in the form of
concentrated stock, it is a static source of energy. Initial intensity is more, it is a
finite source of energy (Exhaustable). The system depends on outside unit, it is
dangerous during the faults. Energy sources will cause environmental pollution.
There is an environmental damage due to mining, deforestation. It is not a
dilute source of energy and it will not depends upon weather conditions and it
is not varying with time.

Ex. Coal, Oil, Gas, Nuclear, etc..

 Commercial Energy Non-Commercial Energy
1. The energy sources that are 1. The energy sources that are not
available in the market for a available in the commercial
definite price are known as market for a price are classified
commercial energy. as non-commercial energy.
2. The most important forms of 2. Non-commercial energy sources
commercial energy are electricity, include fuels such as firewood,
coal and refined petroleum cattle dung and agricultural
products. Commercial energy wastes, which are traditionally
forms the basis of industrial, gathered, and not bought at a
agricultural, transport and price used especially in rural
commercial development in the households. These are also called
modern world. traditional fuels.
3. In the industrialized countries, 3. Non-commercial energy
commercialized fuels are accounting. Example: firewood,
predominant source not only for agro waste in rural areas; solar
economic production, but also for energy for water heating, for
many household tasks of general drying grain, fish and fruits;
population. Examples: Electricity, animal power for transport,
lignite, coal, oil, natural gas etc. threshing, lifting water for
irrigation, crushing sugarcane;
wind energy for lifting water .
 Renewable Non-Renewable Energy
• Renewable energy is energy • Energy obtained from sources
obtained from sources that are that are essentially exhaustible,
essentially inexhaustible. Non-renewable energy is the
• Examples of renewable conventional fossil fuels such as
resources include wind power, coal, oil and gas,
solar power, geothermal • All the fossil fuels are non
energy, tidal power and renewable energy sources which
hydroelectric power. are likely to deplete with time.
• The most important feature of
• It can be harnessed with the
renewable energy is that it can
release of harmful pollutants
be harnessed without the
release of harmful pollutants.
2. Source is available in 2. Source is available in
the natural local
the natural local environment in the
environment form of concentrated
continuously as a current stock
3. Initial intensity is more
of energy.
3. Low initial intensity
4. Life time of supply is
dispersed
finite
4. Life time of supply is
5. Cost of source is not
infinite
free
5. Cost of source is free
6. Source is fluctuating 6. Source is steady and it
and it is controlled by is controlled by adjusting
adjusting the load the source
7. It can be used as per 7. It can be used in general
the society requirement
8. System does not 8. System depends on
depend on outside unit outside unit
9. Rural decentralized 9. Urban centralized
industry industry
10. Availability of source 10. Availability of source
depends on weather does not depends on
condition and it varies weather condition and no
with time variation with time
11. It is a dilute source ofIt is not dilute source
11.

energy of energy
12. Energy sources will 12. Energy sources will
not cause environmental cause environmental
pollution pollution
13. No environmental 13. Permanent
damage environmental damage

14. Local hazards may due to mining

possible in operation 14 Most dangerous during
but safe when out of fault
action 15. Cost of equipment is
15. Cost of equipment is moderate
high
Commercial Energy Production
(Central Electricity Authority-CEA)
•The energy sources that are used to
generate electricity and that are
available in the marketplace with a
specific price are known as commercial
energy sources.
•The most commercialized forms of
commercial energy sources are
electricity, coal, and advanced
petroleum products.
• As per European Union
Energy Needs of Growing Economy
• Economic growth is desirable for developing
countries, and energy is essential for economic
growth.
• However, the relationship between economic
growth and increased energy demand is not
always a straightforward linear one.
For example,
• Under present conditions, 6% increase in
India's Gross Domestic Product (GDP) would
impose an increased demand of 9 % on its
energy sector.
• In this context, the ratio of energy demand to
GDP is a useful indicator.
• A high ratio reflects energy dependence and a
strong influence of energy on GDP growth.
• The developed countries, by focusing on
energy efficiency and lower energy-intensive
routes, maintain their energy to GDP ratios at
values of less than 1.
• The ratios for developing countries are much
higher
India's Energy Needs
• The plan outlay vis-à-vis share of energy is
given in Figure 1.6. As seen from the Figure,
18.0% of the total five-year plan outlay is spent
on the energy sector
 Per Capita Energy Consumption
• The per capita energy consumption is too
low for India as compared to developed
countries.
• It is just 4% of USA and 20% of the world
average.
• The per capita consumption is likely to grow
in India with growth in economy thus
increasing the energy demand.
 Energy Intensity

• Energy intensity is energy consumption per

unit of GDP.
• Energy intensity indicates the development
stage of the country.
• India's energy intensity is 3.7 times of Japan,
• 1.55 times of USA ,
• 1.47 times of Asia and
• 1.5 times of World average.
 Long Term Energy Scenario
• India's electricity consumption accounts for
about 4 % of world's total electricity
consumption and it is Growing at the rate of
8–10 % per year.

• In India total energy shortage is 9 %

(34,920MW)with peak shortage at 15.2
% (58976MW) Rs 1,39,680 crore and
country's power demand is 4,00,000 MW in
2022.
• Coal is the predominant energy source for power
production in India, generating approximately 60% of
total domestic electricity.

• Production currently stands at around 290 Million

tones per year, but coal demand is expected to more
than double by 2020.

• Indian coal is typically of poor quality and as such

requires to be beneficiated to improve the quality .

• Coal imports will also need to increase dramatically

to satisfy industrial and power generation
requirements.
• Efficient generation of energy resources
Efficient production of coal, oil and natural
gas Efficient use of natural gas Improving
energy infrastructure.

• Building new refineries, Creation of urban gas

transmission and distribution network.

• Maximizing efficiency of rail transport of coal

production.

• Building new coal and gas fired power stations.

• Enhancing energy efficiency

• Improving energy efficiency in accordance with

national, socio-economic , and environmental
priorities.

• Promoting of energy efficiency and emission

standards Labeling programmes for products.

• adoption of energy efficient technologies in large

industries.
• Deregulation and privatization of energy sector
Reducing cross subsidies on oil products and
electricity tariffs.

• Decontrolling coal prices and making natural gas

prices competitive.

• Privatization of oil, coal and power sectors for

improved efficiency.
 Coal

• Coal is the predominant energy source or power

production in India, generating approximately
70% of total domestic electricity.

• Energy demand in India is expected to increase

over the next 10-15 years;
• although new oil and gas plants are planned,
coal is expected to remain the dominant fuel
for power generation.

• Despite significant increases in total

installed capacity during the last decade, the
gap between electricity supply and demand
continues to increase.
• The resulting shortfall has had a negative
impact on industrial output and economic
growth.

• However, to meet expected future demand,

indigenous coal production will have to be
greatly expanded.

• Production currently stands at around 290

Million tonnes per year, but coal demand is
expected to more than double by 2010.
• Indian coal is typically of poor quality and as
such requires to be beneficiated to improve
the quality.

• Coal imports will also need to increase

dramatically to satisfy industrial and power
generation requirement.
 Oil
• India's demand for petroleum products is likely to
rise from 97.7 million tonnes in 2001-02 to
around 139.95 million tonnes in 2006-07,
according to projections of the Tenth Five-Year
Plan.

• The plan document puts compound annual growth

rate (CAGR) at 3.6 % during the plan period.

• Domestic crude oil production is likely to rise

marginally from 32.03 million tonnes in 2001-02
to 33.97 million tonnes by the end of the 10th
plan period (2006-07).
• India's self sufficiency in oil has consistently
declined from 60% in the 50s to 30% currently.
Same is expect Figure 1.7 Per Capita Energy
Consumption Energy Scenario Bureau of
Energy Efficiency to go down to 8% by 2020.

• As shown in the figure 1.8, around 92% of

India's total oil demand by 2020 has to be met
by imports.
 Updated on 20-09-2021
Source: OM SECTION

1.Total Installed Capacity (As on 31.08.2021) - Source : Central Electricity Authority

(CEA)

INSTALLED GENERATION CAPACITY (SECTOR WISE) AS ON 31.08.2021

Sector MW % of Total

Central Sector 97,637 25.20%

State Sector 1,03,921 26.80%

Private Sector 1,86,576 48.10%

Total 3,88,134 100%

Installed GENERATION CAPACITY(FUELWISE)
AS ON 31.08.2021

CATAGORY INSTALLED
GENERATION % of SHARE IN Total
CAPACITY(MW)

Coal 2,02,805 52.60%

Lignite 6,620 1.7%

Gas 24,924 6.50%

Diesel 510 0.10%
Total Fossil Fuel 2,34,258 60.40%
 Non fossil RES (Incl. Hydro) 1,47,096 37.90%
Hydro 46,412 12.00%
Wind, Solar & Other RE 1,00,683 25.90%
Nuclear 6,780 1.70%
Total Non-Fossil Fuel 1,53,876 39.60%
Total Installed Capacity
3,88,134 100%
(Fossil Fuel & Non-Fossil Fuel)
 Growth Of Energy In Recent Years

Growth in non fossil fuel

Growth in fossil fuel Growth in RE Generation Growth in Total
YEAR generation (RE+Nuclear)in
generation in % (Including Hydro) in % Generation in %
%

2011-12 6.60% 17.50% 18.30% 9.14%

2012-13 7.30% -5.90% -4.78% 4.46%
2013-14 4.20% 10.00% 9.05% 5.23%
2014-15 10.80% 1.30% 1.91% 8.84%
2015-16 7.50% -1.80% -0.97% 5.69%
2016-17 5.30% 8.90% 7.68% 5.80%
2017-18 4.30% 11.10% 9.55% 5.35%
2018-19 3.40% 14.30% 12.09% 5.19%
2019-20 -2.70% 12.70% 13.99% 0.95%
2020-21 -1.00% 2.10% 0.86% -0.52%
2021-22* 20.10% 4.80% 4.00% 15.20%

* Provisional (upto Aug 2021)

Sector wise energy consumption in india-2020
 Energy pricing

Energy Pricing in India

• Price of energy does not reflect true cost to

society.

• The basic assumption underlying efficiency of

market place does not hold in our economy, since
energy prices are under valued and energy
wastages are not taken seriously.
•Pricing practices in India like many other
developing countries are influenced by
political, social and economic
compulsions at the state and central
level.
• More often than not, this has been the
foundation for energy sector policies in
India.
• The Indian energy sector offers many
examples of cross subsidies e.g., diesel,
LPG
• kerosene being subsidised by petrol,
petroleum products for industrial usage.
• Electricity Subsidising the
• Agricultural and Domestic Consumers,
• Industrial, and Commercial Consumers
• “Gross domestic product (GDP) is the total
monetary or market value of all the finished
goods and services produced within a
country’s borders in a specific time period”.

• As a broad measure of overall domestic

production, it functions as a comprehensive
scorecard of a given country’s economic
health.
• Electricity Tariffs In India are Structured in a
relatively Simple Manner.

• While High Tension Consumers Are Charged

Based On Both Demand (Kva) And Energy
(Kwh).

• The Low-tension (Lt) Consumer Pays Only For

The Energy Consumed (Kwh) As Per Tariff
System In Most Of The Electricity Boards.
• Price Per Kwh Varies Significantly Across States as
Well as Customer Segments Within a State.
Example
• BPL card-Bhagya Jyoti-schemes-LT
• Domestic-LT
• Commercial-LT
• Industrial-HT
• In Addition to the Base Tariffs, Some State
Electricity Boards have Additional Recovery From
Customers in Form of Fuel Surcharges,
Electricity Duties and Taxes.
•Coal: The government has recognized
the need for new coal policy initiatives
and for rationalization of the legal and
regulatory framework that would
govern the future development of this
industry.
•One of the key reforms is that the
government has allowed importing of
coal to meet our requirements.
•Private sector has been allowed to
extract coal for captive use only.
Energy Pricing in India:Coal
• Grade wise basic price of coal at the pithead
excluding statutory levies for run-of-mine (ROM)
coal are fixed by Coal India Ltd from time to time.

• The pithead price of coal in India compares

favorably with price of imported coal.

• In spite of this, industries still import coal due its

higher calorific value and low ash content.
• As part of the energy sector reforms, the government
has attempted to bring prices for many of the
petroleum products in line with international prices.
• The most important achievement has been the linking
of diesel prices to international prices and a reduction
in subsidy.
• However, LPG and kerosene, consumed mainly by
domestic sectors, continue to be heavily subsidized.
• Subsidies and cross-subsidies have resulted in
serious distortions in prices, as they do not reflect
economic costs in many cases.
• The government has been the sole authority for
fixing the price of natural gas in the country.

• It has also been taking decisions on the allocation

of gas to various competing consumers.

• The gas prices varies from Rs 5 to Rs.15 per

cubic meter.

• Electricity tariffs in India are structured in a

relatively simple manner.
• While high tension consumers are charged based on
both demand (kVA) and energy (kWh).

• The low-tension (LT) consumer pays only for the

energy consumed (kWh) as per tariff system in
most of the electricity boards.

• The price per kWh varies significantly across

States as well as customer segments within a
State.

• Tariffs in India have been modified to consider the

time of usage and voltage level of supply.
 Energy Pricing in India:Electricity
• In addition to the base tariffs, some State Electricity
Boards have additional recovery from customers in
form of fuel surcharges, electricity duties and
taxes.
• For example, for an industrial consumer the
demand charges may vary from Rs. 150 to Rs. 300
per kVA, whereas the energy charges may vary
anywhere between Rs. 2 to Rs. 5 per kWh.
•
 Energy Pricing in
India
• As for the tariff adjustment mechanism, even when
some States have regulatory commissions for tariff
review, the decisions to effect changes are still
political and there is no automatic adjustment
mechanism, which can ensure recovery of costs for
the electricity boards.
• Price of energy does not reflect true cost to society.
• The basic assumption underlying efficiency of
market place does not hold in our economy, since
energy prices are undervalued and energy
wastages are not taken seriously.
• Pricing practices in India like many other developing
countries are influenced by political, social and
economic compulsions at the state and central level.

• More often than not, this has been the foundation for
energy sector policies in India.
 Energy Pricing in India

• The Indian energy sector offers many examples of

cross subsidies e.g., diesel, LPG and kerosene
being subsidized by petrol, petroleum products for
industrial usage and industrial, and commercial.
consumers of electricity subsidizing the
agricultural and domestic consumers.
 Energy Sector Reforms
For administrative, O&M ,monitoring, maintaining and controlling various
parameters of the power system the state and central electricity departments
are divided into small segments and new departments are introduced.

• MNRE introduced
• Ministry of power
• Beuro of energy efficiency-BEE is introduced
• Independent power producers-IPP introduced
• Distributed Generation-DG is introduced
• Different Tariffs introduced-Availability based tariff ABT, time of day-TOD,
Seasonal Tariff
• Divided the transmission companies-KPTCL-power grid corporation of India
limited-PGCL

• Divided the distribution companies - MESCOM, HESCOM, CHESCOM, BESCOM,

GESCOM.
• Divided the Generation companies-state-KPC,RTPC, Bellary thermal power
corporation-BTPCL,
• central-national hydro power corporation- NHPC,national thermal power
corporation- NTPCL, Nuclear power corporation-NPC.
Energy and environment
• Rapid deployment of renewable energy

• Energy efficiency

• Technological diversification of energy sources,

would result in significant energy security and
economic benefits.
Energy security

Energy security is the association between

national security and the availability of
natural resources for energy consumption.
Energy security
 Energy conservation and its
Importance
What is energy conservation?

• Energy conservation is a method to reduce

energy demand.

• Conserving energy is an important way to reduce

strain on the environment and bring down
electricity expenses.

• Energy conservation means

reducing the consumption of energy by producin
g or using less of it.
• This could be in the form of using devices that require less energy.

• This can be done by using more energy efficient products designed to

consume less energy than their standard counterparts.

• Energy conservation is a big part of sustainability and sustainable

development.

• Energy conservation supports the eco friendly

lifestyle by providing energy, which saves
money.
 Restructuring of Energy supply
Sector
Earlier power sectors were public monopolies.
• Electricity Supply Act was enacted in 1948,
with the formation of State Electricity Boards.
• Power sector reforms were introduced to
improve the
• Efficiency of The System
• To Rationalize Tariffs
• Financial Health of the Sector.
• Energy Sector Reforms Since the initiation of
economic reforms in India in 1991.
• There has been a growing acceptance of the need
for deepening these reforms in several sectors of
the economy.

• Which were essentially in the hands of the

government for several decades.

• The ultimate objective of some of the ongoing

measures and others under consideration is to see
that a competitive environment is created for the
functioning of various entities in this industry.
• This would not only bring about gains in
efficiency but also effect cost reduction, which
would consequently ensure supply of coal on a
larger scale at lower prices.

• Oil and Natural Gas Since 1993, private

investors have been allowed to import and
market liquefied petroleum gas (LPG) and
kerosene freely.

• Private investment is also been allowed in

lubricants, which are not subject to price
• In 1997 the government introduced the New
Exploration Licensing Policy (NELP) in an effort to
promote investment in the exploration and production
of domestic oil and gas.

• Electricity Following the enactment of the Electricity

Regulatory Commission Legislation, the Central
Electricity Regulatory Commission (CERC) was set
up, with the main objective of regulating the Central
power generation utilities.

• State level regulatory bodies have also been set up to

set tariffs and promote competition.
• Private investments in power generation were also
allowed.

• The SEBs were asked to switch over to separate

Generation, Transmission and Distribution
corporations.

• There are plans to link all SEB grids and form a

unified national power grid.

• Energy Strategy for the Future Immediate-term

strategy: Rationalizing the tariff structure of various
energy products.
• Optimum utilization of existing assets Efficiency
in production systems and reduction in distribution
losses, including those in traditional energy
sources.

• Promoting R&D, transfer and use of technologies

and practices for environmentally sound energy
systems, including new and renewable energy
sources.
 Energy Strategy for Future:

• Atomic energy, solar energy, and energy from wind

and bio fuels are just a few of the promising
alternatives for a cleaner and greener future.

• Other relatively new sources of energy such as fuel

cells, Geothermal energy, Ocean energy, are also being
explored.

• The energy strategy for the future could be classified

into Immediate, Medium-term and Long-term strategy.
Immediate-term strategy:
• Rationalizing the tariff structure of various energy products.

• Optimum utilization of existing assets

• Increasing Efficiency in production systems and

• reduction in distribution losses, including those in traditional

energy sources.

• Promoting R&D,
• Transfer and use of technologies and practices for
environmentally sound energy systems, including new and
renewable energy sources.
Medium-term strategy:
Demand management through greater
conservation of energy,
optimum fuel mix, structural changes in the
economy, an appropriate model mix in the
transport sector,
i.e. greater dependence on rail than on road for the
movement of goods and passengers and a shift
away from private modes to public modes for
passenger transport;
changes in design of different products to reduce
the material intensity of those products, recycling,
etc.
 There is need to shift to less energy-intensive
modes of transport.
This would include measures to improve the
transport infrastructure viz. roads, better design of
vehicles, use of compressed natural gas (CNG)
and synthetic fuel, etc.
Similarly, better urban planning would also
reduce the demand for energy use in the transport
sector.
• There is need to move away from non-
renewable to renewable energy sources viz. solar,
wind, biomass energy, etc.
 Long-term strategy:
Efficient generation of energy resources
• Efficient production of coal, oil and natural gas
• Reduction of natural gas flaring
Improving energy infrastructure
• Building new refineries
• Creation of urban gas transmission and
distribution network
• Maximizing efficiency of rail transport of coal
production.
• Building new coal and gas fired power stations.
• Enhancing energy efficiency

• Improving energy efficiency in accordance with

national, socio-economic, and environmental
priorities.

• Promoting of energy efficiency and emission

standards.
• Labeling programmed for products and adoption
of energy efficient technologies in large Industries.

Deregulation and privatization of energy sector.

Reducing cross subsidies on oil products and
electricity tariffs.
• Decontrolling coal prices and making natural
gas prices competitive.
• Privatization of oil, coal and power sectors for
improved efficiency.
Investment legislation to attract foreign
investments.
• Streamlining approval process for attracting
private sector participation in power generation,
transmission and distribution.
 Air pollution
•Air pollutants have a complex relationship
with climate change.
• Some pollutants, such as black carbon
and ozone, increase warming by trapping
heat in the atmosphere, while others,
such as sulfur dioxide forming light
reflecting particles, have a cooling effect
on the climate.
Volatile organic compound(VOC),
Hydrofluoric Acid(HF)
Air Pollution
 Effects of air pollution

•Air pollution refers to a

•wide range of gases,
•liquids, &
•solids
suspended in the atmosphere.
contaminants of air implicated in damage to the brain —
an organ exposed to the air via multiple pathways.
 Effects of air pollution
Couse harmful effects on the respiratory and cardiovascular systems ,
 Climate change
What is climate change? Why it is happening

• Since the Industrial Revolution in the 1800s,

our planet has been heating up at a much
quicker rate than ever before – with damaging
consequences.
• We’ve been burning fossil fuels such as coal
and gas to provide electricity, heating and
transport, but this releases carbon dioxide,
methane and other gases into the atmosphere.
• They hang in the air like an invisible blanket,
trapping the heat from the sun and stopping it
from returning to space, warming up the
Earth’s surface temperature.
• As a result, we’re seeing extreme weather,
from floods to droughts, across the globe.
• It’s also causing glaciers and ice caps to melt,
making sea levels rise.
• While we can’t reverse the damage,
we can make changes to slow things down.
• reduce our impact here on Earth &
create a more sustainable future.
• Continued reductions in air pollution and
greenhouse gas (GHG) emissions are essential,
as they pose serious threats to both people’s
health and the environment across the world.
• Reducing black carbon emissions benefits both
climate and health.
• Research says that reducing black carbon
emissions would prevent millions of premature
deaths as well as helping meet climate change
mitigation targets
• Climate impacts on air pollution could increase
respiratory disease.

• Rapid reductions in emissions from fossil fuel

burning are needed to curb increases in ozone and
protect public health.
Effects of Climate change: Drought
Effects of Climate change:
Floods
Effects of Climate change:
Tsunami, Sea water rise
 Energy conservation act 2001:
• With the background of high energy saving
potential and its benefits, bridging the gap
between demand and supply reducing
environmental emissions through energy saving, ,
and to effectively overcome the barrier, the
Government of India has enacted the Energy
Conservation Act- 2001.

• The Act provides the much-needed legal

framework and institutional arrangement for
embarking on an energy efficiency drive.
• Under the provisions of the Act, Bureau of
Energy Efficiency has been established with
effect from 1st March 2002 by merging Energy
Management Centre of Ministry of Power.

• The Bureau would be responsible for

implementation of policy programmes and
coordination of implementation of energy
conservation activities.
 **Energy conservation act 2001:

• This act concerns any form of energy derived from

fossil fuels, nuclear substances or materials and
hydro electricity and includes electrical energy or
electricity generated from renewable sources of
energy connected to the grid.
Important features of the Energy Conservation Act are:
1.Standards and Labelling
2.Designated Consumers
3.Certification of Energy Managers and
Accreditation of Energy Auditing Firms
4.Energy Conservation Building Codes
5.Central Energy Conservation Fund
6.Bureau of Energy Efficiency (BEE)
7.Role of Bureau of Energy Efficiency
8.Role of Central and State Governments
9.Enforcement through Self-Regulation
10.Penalties and Adjudication
 1. Standards and Labelling:
Standards and Labeling (S & L) has been identified as a key
activity for energy efficiency improvement.
The S & L program, when in place would ensure that only
energy efficient equipment and appliance would be made
available to the Consumers.
The main provision of EC act on Standards and Labeling are:
• Evolve minimum energy consumption and performance
standards for notified equipment and appliances.
• Prohibit manufacture, sale and import of such equipment,
which does not conform to the standards.
• Introduce a mandatory labeling scheme for notified equipment
appliances to enable consumers to make informed choices
• Disseminate information on the benefits to consumers
 2. Designated Consumers
The main provisions of the EC Act on designated consumers are:
• The government would notify energy intensive industries and other
establishments as designated consumers.

• Schedule to the Act provides list of designated consumers which covered

basically energy intensive industries, Railways, Port Trust, Transport Sector,
Power Stations,
Transmission & Distribution Companies and Commercial buildings or
establishments.
• The designated consumer to get an energy audit conducted by an
accredited energy auditor.

• Energy managers with prescribed qualification are required to be

appointed or designated by the designated consumers.

• Designated consumers would comply with norms and standards of

energy consumption as prescribed by the central government
3.Certification of Energy Managers and
Accreditation of Energy Auditing Firms
• The main activities in this regard as envisaged in
the Act are: A cadre of professionally qualified
energy managers and auditors with expertise in
policy analysis, project management, financing
and implementation of energy efficiency projects
would be developed through Certification and
Accreditation programme.
• BEE to design training modules, and conduct a
National level examination for certification of
energy managers and energy auditors.
 4.Energy Conservation Building Codes:
The main provisions of the EC Act on Energy Conservation Building
Codes are:
• The BEE would prepare guidelines for Energy Conservation Building
Codes (ECBC);
• These would be notified to suit local climate conditions or other
compelling factors by the respective states for commercial buildings
erected after the rules relating to energy conservation building codes
have been notified.

In addition, these buildings should have a connected load of 500 kW

or contract demand of 600 kVA and above and are intended to be
used for commercial purposes;
• Energy audit of specific designated commercial building consumers
would also be prescribed.
 5.Central Energy Conservation Fund:
The EC Act provisions in this case are:
• The fund would be set up at the centre to develop the
delivery mechanism for large-scale adoption of energy
efficiency services such as performance contracting and
promotion of energy service companies.
The fund is expected to give a thrust to R & D and
demonstration in order to boost market penetration of
efficient equipment and appliances.
It would support the creation of facilities for testing and
development and to promote consumer awareness.
 6.Bureau of Energy Efficiency (BEE):
The mission of Bureau of Energy Efficiency is to
institutionalize energy efficiency services, enable
delivery mechanisms in the country and provide
leadership to energy efficiency in all sectors of
economy.
The primary objective would be to reduce energy
intensity in the Indian Economy.
• The general superintendence, directions and
management of the affairs of the Bureau invested in
the Governing Council with 26 members.
• The Council is headed by Union Minister of
Power and consists of members represented by
Secretaries of various line Ministries, the CEOs
of technical agencies under the Ministries,
members representing-
equipment and appliance manufacturers,
industry, architects,consumers &
 five power regions representing the states.
The Director General of the Bureau shall be the ex-officio
member-secretary of the Council.

• The BEE will be initially supported by the Central

Government by way of grants through budget, it will,
however, in a period of 5-7 years become self-sufficient.
It would be authorized to collect appropriate fee in
discharge of its functions assigned to it.

The BEE will also use the Central Energy Conservation

Fund and other funds raised from various sources for
innovative financing of energy efficiency projects in
order to promote energy efficient investment.
 7.Role of Bureau of Energy Efficiency
• The role of BEE would be to prepare standards and labels
of appliances and equipment,
• develop a list of designated consumers, specify
certification and accreditation procedure,
• prepare building codes, maintain Central EC fund and
undertake promotional activities in co-ordination with
center and state level agencies.
• The role would include development of Energy service
companies (ESCOs), transforming the market for energy
efficiency and create awareness through measures
including clearing house
 8. Role of Central and State Governments:
• Central - to notify rules and regulations under various
provisions of the Act, provide initial financial assistance
to BEE and EC fund, Coordinate with various State
Governments for notification, enforcement, penalties and
adjudication.

• State - to amend energy conservation building codes to

suit the regional and local climatic condition, to
designate state level agency to coordinate, regulate and
enforce provisions of the Act and constitute a State
Energy Conservation Fund for promotion of energy
efficiency.
 9. Enforcement through Self-Regulation:
• The certification of energy consumption norms and
standards of production process by the Accredited
Energy Auditors is a way to enforce effective energy
efficiency in Designated Consumers.
• For energy performance and standards, manufacturer's
declared values would be checked in Accredited
Laboratories by drawing sample from market.
• Any manufacturer or consumer or consumer association
can challenge the values of the other manufacturer and
bring to the notice of BEE.
• BEE can recognize for challenge testing in disputed
cases as a measure for self-regulation.
 10. Penalties and Adjudication:
• Penalty for each offence under the Act would be in
monetary terms i.e. Rs.10,000 for each offence and
Rs.1,000 for each day for continued non Compliance.
• The initial phase of 5 years would be promotional and
creating infrastructure for implementation of Act.
• No penalties would be effective during this phase.
• The power to adjudicate has been vested with state
Electricity Regulatory Commission which shall appoint
any one of its member to be an adjudicating officer for
holding an enquiry in connection with the penalty
imposed.
 Question Bank
1. Explain about primary and secondary energy sources.
2. List the comparison between Renewable and Non
renewable energy sources
3. Explain current energy scenario in India
4. Explain about 5 strategic measures for meeting energy
security of a country.
5. Explain the energy sector reforms in India
6. Explain briefly the electrical energy conservation and its
importance
7. Explain the salient features of energy conservation
act 2001.
8. Write a note on long term energy scenario for India.
9. How Energy Pricing is done in India? Explain.
Thank you