1September 06, 2010September 06, 2010

Arijit SenguptaAsstt. Energy Economist

INITIATIVES OF

ENERGY EFFICIENCY SERVICES LTD.

BARRIERS IN PUBLIC SECTOR EE PROJECTS

Although, efficiency potential in the public sector is

substantial

lack of commercial orientation of public agencies,

limited incentives to lower energy costs,

complex and strict budgeting and procurement

procedures,

limited access to budgetary or project financing.

many public agencies, particularly in developing

countries, face severe budget constraints and often focus

on the upfront cost as a matter of necessity.

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INSTITUTIONAL ARRANGEMENTS FOR EE

Regulatory Powers with Central and State Governments Energy Conservation Act 2001 BEE created as a quasi-regulatory body to advise Central and State Governments – basic role is framing

appropriate policy and regulatory regime to create

market for Energy Efficiency. State Designated Agencies (SDA) at state level for

implementation of EC Act. No Government Agency for implementation of EE

schemes and projects of government- hand holding of

ESCO’s required in initial years - EESL to take up this job

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EESL- OBJECTIVES

To facilitate implementation of energy efficiency projects

for Demand Side Measures including municipal

functions, agriculture, public building, lighting etc. To implement schemes, programmes and policies of

central and state governments or its agencies. Partner with private ESCO’s and other companies to

promote energy efficiency. To provide consultancy services in the field of energy

efficiency, CDM projects, and other related areas. To identify and impart training to build the capacity of

stakeholders.

Monitoring/ Implementing

Govt. Schemes

Consultancy Organization

Resource Centre

ESCO

EESL

EESL- ROLES

•CDM Consultancy•Energy Efficiency Potential•Consultancy to SDAs/ Govt.•International Consultancy

•Capacity building of SDAs•Training of Energy Managers•3L Programmes

•Implementation of EE in buildings, •municipality, •agriculture, •SMEs

•S&L Programme•National Examination•PAT scheme•SEEP

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PRESENT STATUS

Energy Efficiency Services Limited (EESL), a JV of NTPC Limited, PFC, REC and POWERGRID has been set up to facilitate implementation of EE projects and to be the implementation arm for Central government and state governments.

The authorized share capital of the company is Rs. 190 crores and the paid-up capital is Rs. 100 crores with equal contribution from all PSUs.

It is registered under the companies Act, 1956 on 10th December 2009 and the commencement of business certificate is obtained on 11th February 2010.

It is the first such government company exclusively for implementation of energy efficiency in South Asia and amongst a very few such instances in the world.

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The Board has approved a organizational structure comprising 28 personnel. Details

The recruitment policy of EESL is approved. Investment Budget of Rs. 63.00 crores is approved for

2010-11. Details EESL has started business related to consultancy and

implementation of Govt. schemes. For implementation of energy efficiency projects in

buildings, municipalities, agriculture and household detail project reports are being appraised by financial institutions.

PRESENT STATUS

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  A. AS AN ESCO

(i) BUILDINGS AND MUNICIPALITIES There is a vast scope for energy efficiency

improvement in buildings and municipalities. Energy efficiency measures bring about energy savings due to reduced energy consumption.

Investments will be recovered though reduction in electricity bills during the performance contract as per the third party M&V recommendation.

EESL plans to implement 50 Government Building efficiency projects and 5 Municipalities energy efficiency projects during this financial year.

ACTIVITIES OF EESL

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ACTIVITIES OF EESL

Commercial Buildings – 33 billion units

Residential Buildings – 116 billion units

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(ii)AGRICULTURE The overall energy efficiency investment market size of

agricultural sector under performance contract system has been estimated at Rs 5,25,00 crores (total number of pumps 15 million and average cost of pump Rs 35,000).

EESL will invest in energy efficiency measures on a rural pump set feeder on which supply quality enhancements [such as feeder separation and High Voltage Direct Supply (HVDS)] have been carried out.

The investments will be for procurement and Operation & Maintenance of pumpsets during the performance contract.

The reduction in electricity demand due to implementation of the project will be shared between DISCOM and EESL as per contract agreement.

EESL plans to take up least two such project this year.

ACTIVITIES OF EESL

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(iii) BACHAT LAMP YOJANA

BLY seeks to provide CFLs to households at the price similar to that of incandescent bulbs and plans to utilize the Clean Development Mechanism (CDM) of the Kyoto Protocol to recover the cost differential between the market price of the CFLs and the price at which they are sold to households.

EESL will invest for implementing Bachat Lamp Yojana (BLY)

Distribution of CFLs in the project area at Rs. 15/- per CFL and collection of one incandescent bulb

ACTIVITIES OF EESL

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B. CONSULTANCY

Energy Audits and preparation of DPRs of facilities / establishments / industries etc.

Preparation of bidding documents, assistance in bid evaluation for implementation through ESCO route.

Project management consultancy for energy efficiency projects.

Ludhiana Municipal Corporation has awarded assignments similar to those mentioned above to EESL.

Preparation of state wise sector-specific AESP.3 States viz Nagaland, Andhra Pradesh and

Chhattisgarh have awarded the task to EESL Preparation of waste heat recovery DPR’s in industries

ACTIVITIES OF EESL

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B. CONSULTANCY

EESL will provide consultancy / Advisory services for the various activities in a CDM programme of activities namely

Developing the CDM programme of activity documents Promotion of the Programme of activities Conducting market surveys as per UNFCCC guidelines Conducting monitoring surveys as per UNFCCC

guidelines Forward and Spot Trading of CERs Developing Database management systems

ACTIVITIES OF EESL

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C. IMPLEMENTING GOVT. SCHEMES

Standards & LabellingRight from receiving the applications to the processing of applications from manufacturers and check testing of samples drawn from the market will be handled by EESL. EESL has taken up processing of applications of 3 products viz. Ceiling Fans, Colour Television and Pumpsets.  Perform Achieve and Trade (PAT)One of the initiatives of the NMEEE is Perform Achieve and Trade (PAT). EESL has taken up the study for conducting “Baseline Energy Audit” of Designated Consumers.

ACTIVITIES OF EESL

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IMPLEMENTATION OF CSR OF OTHER COMPANIES

As part of Corporate Social Responsibility, some of the

companies have approached EESL to facilitate energy

efficiency initiatives. EESL prepares DPR’s and

implements low carbon and energy efficient projects like

existing lamps in the villages with LEDs, LED street

lights, Efficient lighting and water pumping in townships

etc. First such DPR for M/s Shapoorji Pallonji Infrastructure

Capital Ltd. (SPINFRA) has been prepared for villages

Chhara, Sarakhadi, Nanawadi, Kaaj in Junagad District of

Gujarat state and is to be implemented by EESL.

ACTIVITIES OF EESL

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Visit us at www.eesl.co.in

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ORGANIZATION STRUCTURE OF EESL 

CEO : Equivalent to Board level Director, G. M. : General Manager – E8S. M. : Sr. Manager – E6, M. : Manager – E5D. M. : Deputy Manager – E4, A. M. : Asstt. Manager – E3S. E. : Senior Engineer – E2, E. S. : Executive Secretary - E3

S. M. / M., ESCO

D.M. / A.M. /

S.E.

PA

Executive Secretary to CEO

GM - ESCO & Govt. Schemes

GM - Consultancy

CEOEESL

CompanySecretary

PA to CS

GM – Finance / Admin

PA PA

S. M. / M., Govt. Business

S. M. / M., Consultancy

S. M. / M., Training

S. M. / M., Admin

S. M. / M., Finance

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M. /

S.E.

D.M. / A.M.

D.M. / A.M.

D.M. / A.M.

D.M. / A.M.

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BUDGET FOR 2010-11 The capital budget for the FY 2010-11 is Rs. 63 crores. Buildings – Rs. 20 crores

10 – 15 Buildings of a state will be bundled into one project4-5 such project will be implemented3 such projects are already identified in the States of Rajasthan, Uttarakhand and Punjab.Revenue generation through reduction in electricity billTo enter into an agreement with the building owners / SDAs

Municipal DSM - Rs. 15 crores4-5 Municipalities will be taken up

2 municipalities are already identified – Bhatinda and PatialaRevenue generation through reduction in electricity billTo enter into an agreement with the municipalities / SDAs

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BUDGET FOR 2010-11

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Agriculture – Rs. 8 croresProjects under 2 DISCOMs will be taken up

Both the DISCOMs are already identified - Madhya Gujarat Vij Co. Ltd. & Paschim Gujarat Vij Co. Ltd. Revenue generation through reduction in electricity billTo enter into an agreement with the DISCOMs

Bachat Lamp Yojana- Rs. 20 croresProjects under 3 DISCOMs will be taken up

2 DISCOMs are already identified- Punjab State Electricity Board & Madhya Gujarat Vij Co. Ltd. Revenue generation through CERsTo enter into an agreement with the DISCOMs