Compliance and Enforcement mechanism

Compliance has been achieved by the Energy Conservation Act 2001

Enactment of Energy Conservation Act 2001

Considering the tremendous capability of vitality funds and profits of vitality
productivity, the Government of India sanctioned the Energy Conservation Act,
2001 (52 of 2001). The Act accommodates the lawful schema, institutional plan
and an administrative system at the Central and State level to leave upon vitality
proficiency drive in the nation. Five significant procurements of EC Act identify
with Designated Consumers, Standard and Labeling of Appliances, Energy
Conservation Building Codes, Creation of Institutional Set up (BEE) and
Establishment of Energy Conservation Fund.
The Energy Conservation Act got to be compelling from first March, 2002 and
Bureau of Energy Efficiency (BEE) operationalized from first March, 2002.
Vitality effectiveness institutional practices and projects in India are currently
principally being guided through different deliberate and required procurements
of the Energy Conservation Act.
The idea of vitality preservation had started in India in right on time 70s after
the "Bay oil stun", emulated by a mindfulness project launched by PCRA. Later
EMC, NPC, NCB, TERI and CII had likewise joined the fight for advertising vitality
effectiveness however very little progress was made and utilization spiraled.
Subsequently, a need was felt for a legitimate structure and the Energy
Conservation Act - 2001 was established for empowering vitality effectiveness
and demoralizing inefficient utilization of vitality.
India's vitality power for every unit of GDP is higher by 3.7 times of Japan, 1.4
times of Asia and 1.5 times of USA, showing to high vitality wastage. In the
globalized economy, nations with high vitality force may get to be uncompetitive
because of high vitality data cost. In this manner, vitality cost lessening turns into
one of the essential benchmarks for financial achievement. Productivity in
utilization of vitality and its preservation could be a standout amongst the most
essential method for vitality cost lessening furthermore for taking care of future
vitality demand.
India has an enormous extension for vitality sparing. Different studies embraced
recommend generous vitality sparing potential in modern, business and
residential segments. Productive utilization of vitality gives the slightest cost and
naturally neighborly alternative for limit creation in the most limited time
period. Vitality productivity likewise expect further significance, as "one unit of
vitality spared at purchaser end, evades 3 units of new limit expansion".
With the foundation of high vitality sparing potential and its profits, crossing
over any barrier in the middle of interest and supply, diminishing ecological
discharges through vitality sparing, and to successfully conquer the hindrance, in

October 2001, the Government of India had instituted the Energy Conservation
Act - 2001. The Act gives the greatly required legitimate schema and institutional
game plan for leaving on a vitality effectiveness drive.
Verifiable foundation:
Vitality productivity is not another program in India however its effect has been
to some degree restricted. Various commercial enterprises have been very
effective in actualizing vitality sparing measures however these endeavors were
confined to few modern units, while larger part of the mechanical units lingered
behind.
In the wake of worldwide oil emergency, the Government of India endeavored a
few exertions to proliferate protection of petroleum items. This prompted
stronghold of Petroleum Conservation Research Association (PCRA) in 1976,
which has done estimable work to this end.
The Ministry of Power is accused of vitality and vitality protection. Prior the
Department of Power under Ministry of Irrigation and Power had a sympathy
toward vitality protection in its producing force stations right from
commencement. On the other hand, understanding the capability of vitality
productivity and protection in end utilization of vitality, an all encompassing and
efficient perspective was taken and a bury clerical working gathering was
constituted in 1981 that submitted its report in 1984, which gave the vision to
organizing vitality effectiveness in the nation.
Thusly, a vitality protection wing was made in the Department of Power path in
1985, which defined different arrangements, plans and vitality administration
programs. In this way, the Energy Management Center (EMC)-an enlisted society,
was set up in 1989 by the past Ministry of Energy, Department of Power, to push
vitality preservation in different divisions of economy. Without any enactment
on protection of vitality, there were no lawful forces accessible for authorization
of vitality effectiveness and just limited time exercises were being taken up
keeping in mind the end goal to lessen the vitality power of the Indian economy.
Along these lines, the Govt. of India felt the need to advance an administrative
and limited time system to that end.
In 1994, the Ministry of Power constituted a Working Group comprising of
agents from different Ministries for plan of suitable proposal for a specific
enactment on vitality preservation. Proposal of vitality protection enactment as
planned was changed in the light of the remarks of the State governments and
dialogs held in the between ecclesiastical gathering held in January 1997. The
proposal was investigated again by Ministry of Power in July 1997 and it was
chosen to propose an order for vitality protection, which bury alia would give
setting up of a Bureau of Energy Efficiency (BEE) to perform different capacities
identifying with vitality preservation. This changed proposal was coursed to all
the concerned services. The Union Minister of State for Power held a gathering
with different industry affiliations. A Cabinet note was then arranged and the
same was sanction by the Cabinet on September 10,1997. Accordingly, the

Ministry constituted a small time Expert Committee to audit the different

procurements made in the proposed Energy Conservation Bill.
The present Energy Conservation Act -2001 is-built generally with respect to the
proposals of the Expert Committee. In the wake of acquiring the approbation of
the Cabinet, Energy Conservation Bill - 2000 was presented in Lok Sabha in
February 2000. The Speaker alluded it to the Standing Committee on Energy
(1999-2000 - thirteenth Lok Sabha). The Committee heard the perspectives of
agents of industry, foundations, masters, Ministry of Power and others and
submitted its proposals in its ninth Repqjt in November 2000. The Cabinet
endorsed the proposal for authorization of the EC Bill - 2000 fusing all the
proposals of the Committee on Energy in 2001. The changed EC Bill was at long
last passed by both Houses of Parliament and the President of India gave his
agree to the EC Bill in September 2001. At last, the Govt. of India instituted the
Energy Conservation Act, 2001, which has come into energy from first March,
2002. As a catch up, a Bureau of Energy Efficiency (BEE) was set up with
legitimate support for advancement of vitality productivity.

10 Chapters of EC Act at a glance

The Energy Conservation Act-2001, which provides for efficient use of energy
and its conservation and for matters connected therewith or incidental thereto,
is spread over to 22 pages and divided into 10 chapters as follows:
Chapter 01: Short title, extent and commencement
Chapter 02: Establishment and incorporation of Bureau of Energy Efficiency
Chapter 03: Transfer of assets, liabilities and employees of Energy
Management Centre
Chapter 04: Powers and functions of Bureau
Chapter 05: Power of Central Government to enforce efficient use of energy
and its conservation
Chapter 06: Power of State Government to enforce certain provisions for
efficient use of energy and its conservation
Chapter 07 : Grants and loans by Central Government
Chapter 08 : Penalty
Chapter 09 : Establishment of Appellate Tribunal
Chapter 10 : Power of Central Government to issue directions

Critical peculiarities of the Energy Conservation Act

are:
Standards and Labeling
Standards and Labeling (S & L) has been distinguished as a key action for vitality
proficiency change. The S & L system, when set up would guarantee that just
vitality effective supplies and apparatus would be made accessible to the buyers.

The principle procurement of EC follow up on Standards and Labeling are:

Evolve least vitality utilization and execution benchmarks for told gear and
apparatuses.
Prohibit fabricate, deal and import of such supplies, which does not comply
with the norms.
Introduce a required naming plan for told gear machines to empower buyers to
settle on educated decisions
Disseminate data on the profits to purchasers

Assigned Consumers
The primary procurements of the EC Act on assigned customers are:
The administration would advise vitality escalated businesses and different
foundations as assigned buyers;
Schedule to the Act gives rundown of assigned purchasers which secured
essentially vitality escalated businesses, Railways, Port Trust, Transport Sector,
Force Stations, Transmission & Distribution Companies and Commercial
structures or foundations;
The assigned purchaser to get a vitality review led by a licensed
vitality evaluator;
Energy supervisors with recommended capability are obliged to be delegated
or
assigned by the assigned purchasers;
Designated purchasers would agree to standards and models of vitality
utilization as recommended by the focal government.

Accreditation of Energy Managers and Accreditation of

Energy Auditing Firms :
The principle exercises in this see as conceived in the Act may be:

A framework of professionally qualified vitality supervisors and evaluators with

aptitude in approach investigation, venture administration, financing and
execution of vitality productivity tasks would be created through Certification
and Accreditation program. Honey bee to outline preparing modules, and
behavior a National level examination for confirmation of vitality directors and
vitality reviewers.

Energy Conservation Building Code:

The principle procurements of the EC Act on Energy Conservation Building
Codes are:
The BEE would get ready rules for Energy Conservation Building Codes (ECBC);
These would be advised to suit nearby atmosphere conditions or other
convincing components by the individual states for business structures raised
after the standards identifying with vitality protection construction regulations
have been informed. Furthermore, these structures ought to have a joined heap
of 500 kw or contract interest of 600 kva or more and are proposed to be utilized
for business purposes;
Vitality review of particular assigned business building shoppers would
additionally be endorsed.
Vitality Efficiency in Small and Medium Enterprises (Smes) and Designated
Sonsumers
Vitality utilization and engineering hole study has been finished in 20 Smes
bunch and is in advancement in other 5 groups. Group particular manual on
vitality protection opportunities have been arranged in 20 bunches and data
spread workshop for different stakeholders have been finished in 34 groups.
Readiness of Dprs on vitality productive advances in under advancement and
associate audit of the arranged Dprs is continuously done by SIDBI/ISTSL. Limit
building workshop for Local Service Providers (Lsps) has been sorted out in 4
bunches. Honey bee likewise started the little gathering exercises (SGA) and
Total Energy Management (TEM) system to instill the vitality productivity
polishes in Smes with backing of specialists from Japan. The pilot exercises of
SGA/TEM have been executed in three Smes groups (9 units) in this way.

Focal Energy Conservation Fund:

The EC Act procurements for this situation are:
The store would be set up at the focal point to create the conveyance
instrument for vast scale appropriation of vitality proficiency administrations,
for example, execution contracting and advancement of vitality administration
organizations. The store is relied upon to give a push to R & D and exhibit with a
specific end goal to help market entrance of

effective supplies and apparatuses. It would help the making of offices for testing
and advancement and to advertise shopper mindfulness.

Enforcement instrument:
Bureau of Energy Efficiency (BEE):
The mission of Bureau of Energy Efficiency is to regulate vitality productivity
administrations, empower conveyance systems in the nation and give
administration to vitality proficiency in all areas of economy. The essential goal
would be to lessen vitality power in the Indian Economy.
The general superintendence, headings and administration of the undertakings
of the Bureau is vested in the Governing Council with 26 parts. The Council is
going by Union Minister of Power and comprises of parts spoke to by Secretaries
of different line Ministries, the Ceos of specialized organizations under the
Ministries, parts speaking to supplies and apparatus makers, industry, planners,
buyers and five force districts speaking to the states. The Director General of the
Bureau might be the ex-officio part secretary of the Council.
The BEE will be at first upheld by the Central Government by method for
stipends through plan, it will, nonetheless, in a time of 5-7 years get to be
independent. It would be approved to gather fitting expense in release of its
capacities doled out to it. The BEE will likewise utilize the Central Energy
Conservation Fund and different trusts raised from different hotspots for
imaginative financing of vitality effectiveness ventures so as to advertise vitality
productive venture.

Role of Bureau of Energy Efficiency

The part of BEE would be to plan guidelines and names of apparatuses and
gear, create a rundown of assigned shoppers, tag affirmation and accreditation
method, get ready construction regulations, keep up Central EC finance and
attempt special exercises in co-appointment wit

Role of Central and State Governments:

The accompanying part of Central and State Government is imagined in the Act
Central - to inform governs and regulations under different procurements of
the Act, give beginning money related help to BEE and EC store, Coordinate with
different State Governments for warning, requirement, punishments and
mediation.
State - to alter vitality preservation construction regulations to suit the local
and neighborhood climatic condition, to assign state level office to arrange,
control and

authorize procurements of the Act and constitute a State Energy Conservation

Fund for advancement of vitality effectiveness.

Enforcement through Self-Regulation:

E.c. Act would oblige examination of just two things. The accompanying method
of toward oneself regulation is proposed to be embraced for checking regions
that oblige investigation of just two things that oblige assessment.
The accreditation of vitality utilization standards and models of generation
process by the Accredited Energy Auditors is an approach to authorize powerful
vitality effectiveness in Designated Consumers.
For vitality execution and models, maker's announced qualities would be
weighed in Accredited Laboratories by drawing example from business sector.
Any producer or shopper or buyer affiliation can challenge the estimations of the
other maker and bring to the notice of BEE. Bumblebee can perceive for test
testing in debated cases as a measure for regulation toward oneself.

Punishments and Adjudication:

Penalty for every offense under the Act would be in money related terms i.e.
Rs.10,000
for every offense and Rs.1,000 for every day for proceeded with resistance.
The starting period of 5 years would be limited time and making framework for
usage of Act. No punishments would be viable amid this stage.
The ability to mediate has been vested with state Electricity Regulatory
Commission which might select any of its part to be a settling officer for holding
an enquiry regarding the punishment.

Refrences
http://powermin.nic.in/acts_notification/pdf/ecact2001.pdf
http://powermin.nic.in/acts_notification/energy_conservation_act/introduction.
htm

India Energy Policy, Laws and Regulations Handbook

By Ibp Usa

http://www.productivity.in/knowledgebase/Energy%20Management/a.%20En
ergy%20and%20environment/1.2%20Indian%20Energy%20Scenario/1.2.7%2
0Energy%20Consevation%20act.pdf
http://powermin.nic.in/acts_notification/energy_conservation_act/