ENERGY EFFICIENCY IN INDIA

– GOVERNMENT POLICIES &

REGULATIONS

Apurva Srivastava
PGDM – B
Roll No. 154
INDIAN ECONOMY & ENERGY DEMAND
 India is in a developing phase and its economy is
showing good growth prospects.
 The country is trying to improve its industrial sector and
with every new development in the sector, the demand
for energy is going up.
ENERGY CONSUMPTION IN INDIA
 On the other hand, major part of the existing industries
in India uses old machineries and production procedures
that are increasing the amount of energy consumption.
 The public buildings in the country as well as the
residential settings are also consuming energy heavily.
 Growing population of India is also another reason for
the growing energy demand in the country.
GROWTH OF DEVELOPING COUNTRIES’
ENERGY DEMAND
WHAT ARE THE CONSEQUENCES?
 According to an estimation of the IEA (International
Energy Agency), the demand for energy would double in
the next twenty years (Refer graph).
 Along with this, the level of pollution is also expected to
increase heavily in the coming years.
ENERGY CONSERVATION IN INDIA
 Energy conservation process in India has been gathering
increasing importance in the national government.
 The government has introduced new building codes in
the country.
 At the same time, eco-labels on the electric appliances
are also a new feature in the country.
 Along with this, authorities have also organized a
number of contests and public campaigns on the topic to
raise awareness level in general public about the factors
like energy conservation and energy efficiency.
ENERGY CONSERVATION IN INDIA
(CONTD.)
 There are a number of international organizations that
have come forward to support the initiatives of the
government to promote energy efficiency in the country.
Some of these are the International Finance Corporation
of the World Bank, United Nations Foundation Alliance
to Save Energy and so on.
 The Bureau of Energy Efficiency India is also playing a
major role in the process. The national government,
along with other organizations, has planned to provide
support to the businesses sector so that they can reduce
their energy consumption.
ENERGY CONSERVATION IN INDIA
(CONTD.)
 At the same time the Energy Service Companies or
ESCOs are also promoted in the country. These
companies provide free services to the business sector
for improving energy efficiency and in the later stage, a
portion of the savings made from the reduced energy
costs are charged as the fees.
 The initiatives are expected to reduce energy
consumption in the country. The government as well as
the whole globe is waiting to see the impact of these
efforts.
BUREAU OF ENERGY EFFICIENCY
 The Government of India set up Bureau of Energy
Efficiency (BEE) (www.bee-india.nic.in) on 1st March
2002 under the provisions of the Energy Conservation
Act, 2001.
 The mission of BEE is to assist in developing policies
and strategies with a thrust on self-regulation and market
principles, within the overall framework of the Energy
Conservation Act, 2001 with the primary objective of
reducing energy intensity of the Indian economy.
REGULATORY FUNCTIONS OF BEE
 Develop minimum energy performance standards and
labelling design for equipment and appliances.
 Develop specific Energy Conservation Building Codes

 Activities focussing on designated consumers.

 Develop specific energy consumption norms.

 Certify Energy Managers and Energy Auditors

 Accredit Energy Auditors.

 Define the manner and periodicity of mandatory energy

audits.
 Develop reporting formats on energy consumption and
action taken on the recommendations of the energy
auditors.
PROMOTIONAL FUNCTIONS OF BEE
 Create awareness and disseminate information on energy
efficiency and conservation
 Arrange and organize training of personnel and specialists in
the techniques for efficient use of energy and its conservation
 Strengthen consultancy services in the field of energy
conservation
 Promote research and development

 Develop testing and certification procedures and promote

testing facilities
 Formulate and facilitate implementation of pilot projects and
demonstration projects
 Promote use of energy efficient processes, equipment, devices
and systems
PROMOTIONAL FUNCTIONS OF BEE
(CONTD.)
 Take steps to encourage preferential treatment for use of
energy efficient equipment or appliances
 Promote innovative financing of energy efficiency
projects
 Give financial assistance to institutions for promoting
efficient use of energy and its conservation
 Prepare educational curriculum on efficient use of
energy and its conservation
 Implement international co-operation programmes
relating to efficient use of energy and its conservation
SOME ALTERNATIVES…
 Alternative Energy:
 Alternative energy fuels are basically not traditional fuels and
also have a lesser impact on the environment.
 These untraditional sources of energy can be winds,
compressed natural gases, hydroelectricity and solar sources.
ENERGY SAVING COMPANIES (ESCO)
 Energy saving companies specialize in offering energy
efficient solutions to the customers.
 The products and services offered by energy saving
companies are designed to ensure efficient use of energy
and bring about favourable changes in the climatic
conditions. 
 Energy saving companies put stress on use of renewable
sources of energy.
 With their experienced group of professionals, these
companies carry out a number of research and
development programs to evolve energy efficient
solutions.
ESCO (CONTD.)
 The solutions offered by energy saving companies utilize
latest technologies to minimize the requirement of
energy and reduce dependence on fossil fuels.
 This in turn has positive effects like reduction of
electricity consumption and addition to the long-term
savings of the consumers.
 The products and services of energy saving companies
are provided in accordance with the International Energy
Efficiency Standards.
 Energy saving bulbs, fans, water heaters, motion sensors,
and power factor correction facilities are some of the
major products offered by energy saving companies.
ESCO (CONTD.)
 Some of these companies provide the customers with
recycled products.
 Historically, the energy service industry is relatively
young, more so in the Indian context.
 The future for ESCOs and for their customers is bright as
there is an increasingly global need to implement energy
efficiency projects on a widespread basis.
THANK YOU