1. Energy Efficiency Policy of India
WORKSHOP ON ENERGY EFFICIENCY AND IMPLEMENTING
ENERGY MANAGEMENT SYSTEMS FOR INDUSTRIES
5th March,2013
K. K. Chakarvarti
Energy Economist,
Bureau of Energy Efficiency
New Delhi (INDIA)

2. INTRODUCTION
India has made rapid strides towards economic
self-reliance over the last few decades.
Impressive progress has been made in the fields
of industry, agriculture, communication, transport
and other sectors necessitating growing
consumption of energy for developmental and
economic activities.
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3. INTRODUCTION (contd.)
Conventional source of energy such as coal, oil and gas
are scarce and exhaustible.
Energy prices will rise in the long run to reflect their
relative scarcity and high cost of exploration and
extraction.
Hence, all attempts need to be made expeditiously to
ensure the optimal use of the available resources so as
to manage the viability and availability of energy use
and supply.
This has led the Government of India through the
Energy Conservation Act and the Bureau of Energy
Efficiency to launch several programmes.
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4. THE INDIAN ENERGY CONSERVATION ACT
EC Act enacted in October 2001
Become effective from 1st March 2002
Bureau of Energy Efficiency (BEE) operationalized from 1st
March 2002.
2002.
MISSION OF BEE
Develop policy and strategies with a thrust
on self regulation and market
principles, within the overall framework of
the EC Act with the primary objective of
reducing energy intensity of the Indian
economy.
economy.
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5. THE INDIAN ENERGY CONSERVATION ACT
The five major provisions of EC Act relate to:
Designated Consumers (mainly energy intensive industries) to comply
with the specific energy consumption norms for the manufactured products
and services and establishment of energy management system,
Standards and Labeling of energy consuming appliances, gadgets and
equipment to ensure promotion of energy efficiency of the new stocks
entering the market
Energy Conservation Building Code ensuring that new commercial
buildings constructed in the country have less electricity consumption
Creation of Institutional Set up (Bureau of Energy Efficiency) for effective
coordination of the energy conservation efforts in the country and
Establishment of Energy Conservation Fund at Centre and States to
provide necessary financial support for energy efficiency initiatives in the
country.
Energy efficiency institutional practices and programs in India are now
mainly being guided through various voluntary and mandatory
provisions of the Energy Conservation Act
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6. Mandatory Requirements to be fulfilled by DCs`
Schedule to EC Act provides list of 15 energy intensive industries and other
establishments to be notified as designated consumers (DC). DCs to
Appoint or designate energy managers in charge of activities for efficient
use of energy and its conservation (clause 14(l)).
• (Note: The minimum qualification of energy manager to be designated or appointed
under clause 14(l) is the passing of certification examination, conducted by Bureau of
Energy Efficiency. The following information to be provided for energy manager:
– Name of the energy manager
– Registration number (EA/EM No.)
– Complete postal office address
– Telephone and Mobile number
– Email address)
The information with regard to energy consumed (clause 14(a)) in Form 1
Get energy audits conducted by accredited energy auditors
Implement techno-economic viable recommendations
Comply with norms of specific energy consumption fixed
Submit report on steps taken
•

7. Designated Consumers -Initiatives
9 energy intensive industry have been notified as
designated consumers
13 National Certification examinations for Energy
Managers and Energy Auditors have been successfully
conducted. India has now about 9993 Certified Energy
Managers, out of which 7201 are also qualified as
Certified Energy Auditors
4 Guidebooks have been prepared to assist energy
professionals
85 Coal fired power generating units of various sizes
(110-500 MW) have been mapped. Studies have
identified 3 million tonne of coal savings potential in 49
nos. of 210 MW units
Baseline energy audits studies have been carried out in
about 400 units of 8 energy audit industry and thermal
power units.
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8. 8

10. Standards and labeling- Initiatives
The National Energy Labeling Programme was launched
on 18th May, 2006
14 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 w.e.f 7th January,2010
Draft standards & Labelling scheme for passenger cars
have been finalised.
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11. Sample Labels
Refrigerator
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12. ENERGY CONSERVATION BUILDING CODE – Initiatives
ECBC covering five climatic
zones of India (Hot & Dry,
Warm & Humid, Composite,
Temperate and Cold)
prepared
ECBC set minimum energy
efficiency standards for
design and construction
Mandatory Scope Covers
commercial buildings
Survey indicates about 306
buildings being constructed
in the country are ECBC
complaint
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13. Case study : Fortis Hospital
Shalimarbagh,
New Delhi
• Initial energy consumption: 605 kWh/m2
yr
• Building envelope
– AAC blocks
– Insulated roof
– Double glazing and shading for
windows

14. Case study : Fortis Hospital
Base building EPI = 605 kWh/m2 per annum
Envelope optimisation
EPI = 593 kWh/m2 per annum
Lighting optimisation
EPI = 476 kWh/m2 per annum
Efficient chiller
EPI = 346 kWh/m2 per annum
Controls for HVAC system
ECBC compliant Fortis
EPI = 312 kWh/m2 per annum
building, New Delhi

15. National Energy Conservation Awards
BEE coordinates this voluntary activity on behalf of Ministry of Power
Due to consistent efforts put in by BEE, scheme has become very popular among
industries, as is evident from increasing participation level (773 nomination in 2012 in
comparison to 644 nominations in 2011)
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16. ELECTRICAL ENERGY SAVING IN TERMS OF EQUIVALENT
AVOIDED GENERATION CAPACITY (MW)
700
616
600
504
500
Equivalent Capacity Avoided in MW
400
359 357
325
308
300
252 245
200
155
122
100 103
100 90
45
0
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Year
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17. YEAR WISE ENERGY SAVINGS ACHIEVED BY PARTICIPATING UNITS IN
MINISTRY OF POWER’S ENERGY CONSERVATION AWARD SCHEME
(From 1999 to 2012)
Electrical Energy Saving Furnace Oil
No. of One time Coal Savings
Annual Equivalent & Other Gas Savings
Participating investment in Lakh
Year Savings in Rs. avoided liquid fuel in Lakh cubic
industrial in Million kWh Metric
Crores capacity in Savings, in metres
units Rs. Crores Tonnes
MW Lakhs kL
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 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 14
18675 26142 22133 3581 33.65 149.53 228709
17
years

18. The President of India, Shri Pranab Mukherjee addressing
at the National Energy Conservation Day function, in New
Delhi on December 14, 2012

19. Painting Competition on Energy Conservation
• Ministry of Power and Bureau of Energy Efficiency have
been organizing painting competitions on energy
conservation for the last 7 years for students of the 4th, 5th
and 6th standards at School, State and National levels
• The scheme aims at sensitizing the children towards issues
of energy conservation.
• The scheme is being executed in all the 28 States and 7
UTs
• In the year 2012, more than 3,000,000 students participated
in comparison to about 343,000 students in 2005.
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21. /-
Rs. 1,00,000 /-
FIRST PRIZE
Name : (01) K R Roshni
State : Tamil Nadu

22. The President of India, Shri Pranab Mukherjee presented the National Painting Competition Prizes, at the
National Energy Conservation Day function, in New Delhi on December 14, 2012. The Minister of State
(Independent Charge) for Power, Shri Jyotiraditya Madhavrao Scindia and the Secretary, Ministry of Power,
Shri P. Uma Shankar are also seen.

23. NMEEE – Four New Initiatives
• Perform Achieve and Trade (PAT): A market based mechanism to
enhance cost effec-tiveness of improvements in energy efficiency in
energy-intensive large industries and facilities, through certification
of energy savings that could be traded.
• Market Transformation for Energy Efficiency (MTEE):
Accelerating the shift to energy efficient appliances in designated
sectors through innovative measures to make the products more
affordable
• Energy Efficiency Financing Platform (EEFP): Creation of
mechanisms that would help finance demand side management
programmes in all sectors by capturing future energy savings.
• Framework for Energy Efficient Economic Development
(FEEED): Developing fiscal instruments to promote energy
efficiency

24. Perform, Achieve & Trade (PAT)
The key goal of the PAT scheme 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,
ranging from amongst the best in the world, to extremely
inefficient units as well.
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.

25. EXAMPLE-
EXAMPLE- INPUT & OUTPUT FOR A TYPICAL CEMENT PLANT
Coal (Indian)
(1,03,339 Tons/yr ,GCV 3438 kcal/kg)
Coal1 (Imported)
CPP 3148 lakh KWh GRID (Exported)
(6246 Tons/yr, GCV 5454 kcal/kg) (Heat Rate (19.35 LAKH kWh/YR)
3135 kcal/kWh)
Furnace Oil
(669 Tons/yr, GCV 10000 kcal/kg)
HSD Crushing and
DG SET
(570 Tons/yr , GCV 8600 kcal/litre)
(Heat Rate
Mining
2212 kcal/kWh) 2.09 Lakh kWh (Exported)
Grid Electricity (53.08 Lakh KWh) (25.12 LAKH kWh/YR)
Colony, (5.1 Lakh kWh)
Coal2 (Imported) Clinkerization
124746 Tons/yr, GCV 6192 kcal/kg)
Pet Coke (Raw Material
(3316 Tons/yr, GCV 8400 kcal/kg) Processing &
Crushed Limestone Pyro-processing)
Iron Ore, Bauxite,Gypsum
PPC
(14.92LAKHTONNE/YR)
Flyash, Slag, Etc Grinding OPC
Clinker (0.06 Lakh Tons/yr)
(VRM and (0.08 LAKH TONNE/YR)
RP &BM) PSC /OTHER
(2.30 LAKH TONNE/YR)
Note: All values presented in the above diagram are average of annual energy consumption of 2007-08, 2008-09, 2009-10

27. PAT Scheme : Scope
Covers 478 designated consumers in 8 sectors
All DCs consume about 165 million toe energy
Targets given to all DCs to achieve the same within a time frame
-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).
National Target = 6.686 million toe at the end of 1st PAT Cycle ( by 2014-15)

28. National Energy Saving Targets under PAT (%)
(2012-15)

29. PAT Benefits
The direct benefit for the participating
industries in this period is reductions in
input costs related to energy of
approximately Rs 68000 million.
Needless to add, this will significantly
enhance global competitiveness of
industry while simultaneously reducing
India's CO2 emissions by 24 million tons
per year in 2014-15.

30. ISO 50001 ENERGY MANAGEMENT
SYSTEM STANDARD

31. Energy Management
“The judicious and effective use of energy to
maximize profits (minimize costs) and enhance
competitive positions”
“The strategy of adjusting and optimizing energy, using systems
and procedures so as to reduce energy requirements per unit of
output while holding constant or reducing total costs of
producing the output from these systems”

32. The weight of Energy savings compared to other technologies
Global CO2 emissions forecast, G.tons CO2 / year

33. ISO 50001: Energy Management Systems Standard-
Introduction
ISO 50001- the International Standard for Energy Management
Systems (EnMS)
This Draft International Standard was released in April 2010 and
was published in mid-2011.
Energy Management Systems offers a comprehensive and
structured approach for energy efficiency improvement.
ISO 50001: 2011(E) defines EnMS as “set of interrelated or
interacting elements to establish an energy policy and energy
objectives, and processes and procedures to achieve those
objectives “
Applicable to any organization, whatever the size, industry or
geographical location
An organization embracing ISO 50001 is likely to further accelerate
adoption of energy efficiency practices and to continuously improve
its energy performance and cost.

34. ISO 50001: Energy Management Systems Standard-
Introduction ( contd.)
Application of the standard can be tailored to fit the requirements of
the organization, including degree of documentation, resources and
complexity of the system
This International Standard can be used for
certification/registration and/or self-declaration of an
organization's energy management system.
The fact that it's based on measurement and verification will help
organization stay on track to meet their declared energy policies.
Adoption of ISO 50001 by any organization will:
• Reduce energy bills
• Make manufacturing more sustainable
• Promotes energy efficiency throughout the supply chain
• Helps in meeting National GHG reduction targets

35. ISO 50001-EnMS Requirement
ISO 50001 specifies requirements for an organization to establish,
implement, maintain and improve an energy management system.
Specifies energy management system (EnMS) to :
• develop and implement an energy policy,
• establish objectives, targets, and action plans which take into
account legal requirements
This International Standard specifies requirements for all factors
affecting:
• energy supply, uses and consumption
• measurement, documentation and reporting,
• design and procurement practices for energy using equipment,
processes, systems, and personnel.
ISO 50001 does not prescribe specific performance criteria with
respect to energy

36. ENERGY MANAGEMENT SYSTEM MODEL FOR
ISO 50001
CONTINUAL
ENERGY POLICY
IMPROVEMENT
ENERGY PLANNING
MANAGEMENT IMPLEMENTATION
REVIEW AND OPERATION
INTERNAL AUDIT CHECKING MONITORING, MEASUREMENT
AND ANALYSIS
CORRECTIVE AND
PREVENTIVE ACTIONS

37. Comparison between ISO 50001, ISO 9001 and
ISO 14001
• ISO 50001 is in line with ISO 9001 and ISO 14001 standards that address
quality management and environmental management issues.
• ISO 50001 is based on the same Plan-Do-Check-Act approach of ISO 9001
and ISO 14001 and it draws extensively on the structure and content of the
QMS and EMS.
• Implementation of ISO 9001 means what the organization does to fulfill the
customer's quality requirements, and applicable regulatory requirements,
while aiming to enhance customer satisfaction,
• Implementation of ISO 14001 means what the organization does to
minimize harmful effects on the environment caused by its activities, and to
achieve continual improvement of its environmental performance.
• Similarly ISO 50001 implementation is expected to address what the
organization does to effectively manage energy resources and performance
that is relevant to global standards.

38. ISO 50001 in Indian Context (contd.)
In order to achieve the targets, as set , the plant is required to have
a strong energy management system , well defined energy policy
and qualified human resource.
More than 200 industrial units and other establishments have
already declared their energy policy and have certified energy
managers and energy auditors.
India has now about 9993 Certified Energy Managers, out of which
7201 are also qualified as Certified Energy Auditors, from the
previous 12 examinations conducted by Bureau of Energy Efficiency
since 2004.
These professionally qualified energy managers and energy
auditors have expertise in energy management, project
management, financing and implementation of energy efficiency
projects, and policy analysis
In view of the above , it may be relatively easier for Indian industry to
adopt ISO 50001 Standard

39. ISO 50001Certified Establishments in India
• Dahanu Thermal Power Station (2x 250 MW) (DTPS) in
Maharashtra, ( Western India)
• “After receiving ISO 50001, DTPS would derive numerous
benefits of energy management- making better use of
existing energy-consuming assets, monitoring and
managing reductions in GHG emissions, managing energy
use and costs, implementation of new energy-efficient
technologies and management of energy resources.”
-Mr. Lalit Jalan, CEO, Reliance Infrastructure Limited, India
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40. ISO 50001Certified Establishments in India
• IEC Gensets Limited & Core Metal Krafts
Limited, based in Chandigarh (Northern India)
• Vedanta Aluminium Ltd., Lanjigarh Unit in Orissa
(Eastern India).
• BSES Kerala Power Limited, a subsidiary of Reliance
Infrastructure Limited (Southern India)
• The Delhi International Airport Limited (DIAL). DIAL
became the first airport operator to receive this
certification.
• In India, so far, more than 30 companies have got
ISO- 50001 certification
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41. ISO/TC 242
• The next meeting of ISO/TC 242 and its Working Group Meetings to
be held from 22 to 26 April 2013 at Cape Town ,South Africa.
• The following documents, which are Committee Drafts (CD), are
being put up by ISO for discussion during the meeting:
1. ISO/CD 50002 Energy audits.
2. ISO/CD 50003 Energy management system audits and auditor
competency
3. ISO/CD 50004 Guidance for the Implementation, Maintenance
and Improvement of an EnMS
4. ISO/CD 50006 Energy Baseline and Energy Performance
Indicators (EnPIs) -- General Principles and Guidance
5. ISO/CD 50015 Monitoring, measurement, analysis and
verification of organizational energy performance

42. Impact of BEE Programmes
Standards and Labelling of equipment and appliances
programme has created a market transformation and
promoted energy efficiency among consumers
Energy saving targets have been fixed for 8 sectors of
energy intensive industry- 6.60 million ton of oil equivalent
by 2014-15
More than 200 industrial units and other establishments
have already declared their energy management policy
Promotion of ISO 50001 has been taken as one of the thrust
area of 12th Plan (2012-2017)
Various activities under different schemes have resulted in
savings in avoided power generation capacity of about
10,836 MW during 11th Five Year Plan (2007-2012).
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43. 12th Plan(2012-17): Energy Savings Program
• Avoided Peaking Capacity target: 12,350 MW*
• Savings in BU 44.85 BU (consumer end)
60.17 BU (at bus bar)
* 12th Plan baseline is the achieved energy efficiency
levels in 2011-12 (Not levels in 2006-07 as for the 11th
Plan)
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44. Each and every one has the energy to save energy
and we must use that energy to save energy every
moment in every way we can!
Visit us at www.energymanagertraining.com
www.bee-india.nic.in
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