Context :
All you need to know about the energy conservation
bill /
DownttoEarth / 17 Aug 2022
Extract :
The Lok Sabha passed Energy
Conservation (Amendment) Bill 2022 August 9, 2022. The bill brings in a list of
amendments to the Energy Conservation Act 2001 to promote energy efficiency and conservation.
The bill focuses on energy
transition, favouring renewable energy sources and green hydrogen.
The bill focuses on :
Ø
deploying renewable energy sources,
Ø
introducing the national carbon market,
Ø
realising carbon trading and
Ø
authorising the utilisation of non-fossil energy resources,
- to achieve decarbonisation and the Sustainable
Development Goals as outlined in the Paris Agreement.
It has provisions for regulating energy consumption by,
Ø
equipment,
Ø
appliances,
Ø
buildings
Ø
industries.
The major amendments proposed
are:
Mandatory utilisation of
non-fossil sources of energy
Bill specifies the end users to meet minimal demand from fossil sources. The
end users include the industrial sector, transport sector and
commercial buildings.
Non-adherence to the obligation for utilisation of non-fossil sources of
energy will attract a fine of up to Rs
10 lakh.
Carbon market
The bill allows the government
to provide a carbon trading scheme. The government or any
authorised agency may issue carbon certificates to registered units that comply
with the scheme. The units will be permitted to purchase or sell the
certificates.
Energy conservation code for
large buildings
The code specifies the standards
for energy consumption per
square metre. The new code provides standards for energy
conservation, utilisation of non-conventional sources of energy and other
necessities for green and sustainable buildings.
Upgradation of the scope of the
Energy Conservation Building Code to residential buildings
The Energy
Conservation Code under the Act pertains to commercial buildings erected after the
code’s notification with a 100-kilowatt connected load or with
a contractual demand of 120 kilo-volt-ampere and above.
The new Energy
Conservation Building Code will apply to office and residential buildings with the
above specifications for commercial buildings. The bill also allows the state
governments to reduce the load limit.
Extension of scope to include
vehicles and vessels
The scope has been expanded to include
the Vehicles (Motor Vehicles Act 1988) and Vessels ( ships and boats ),
according to the bill.
A fine of up to Rs 10 lakh will be imposed for not adhering to standards. In the
case of vessels, an additional fine of up to twice the amount of oil equivalent
of energy that is consumed above the
authorised level will be imposed.
In the case of the vehicle manufacturers,
failure to adhere to fuel consumption norms will attract a penalty of up to Rs 50,000 for each unit of the sold vehicle.
Revised penalty provisions by
SERCs
The State Electricity
Regulatory Commissions (SERC) are allowed to adjudge the penalties under the
Act. The bill includes that the SERCs may also form regulations to discharge
their duties.
Arrangement of members in the
governing council of BEE
The Act has a provision for the
formation of the Bureau of Energy
Efficiency (BEE).
The governing council of the
BEE is constituted of members between 20 and 26, including the six secretaries
of departments, regulatory authorities and Bureau of Indian Standards and four
members from industries and consumers.
The bill has provisions for
members between 31 and 37, and the number of secretaries is increased to 12.
Seven members from the industries and consumers sector will represent the
council.
MY TAKE :
Dear Shri R K Singhji,
Congratulations for this revolutionary initiative .
It is only a matter of time before it gets replicated in countries around the
World . Much like UPI – NPCI – Aadhar – ONDC etc., with this initiative, India
will lead the World.
I am happy that the
provisions of this Act, incorporates my several suggestions, listed in
following e-mails
With regards,
Hemen Parekh / hcp@RecruitGuru.com /
01 Sept 2022
[ A ]………… Equipment – Appliances
Ø Carbon
Finance through Carbon Credits………………… [ 12 Mar 2021 ]
Extract :
Here is a partial list of domestic appliances which consume electricity ( apart
from LED bulbs )
:
TV sets – Refrigerators – Air Conditioners – Fans – Deep Freezers – Ovens –
Electric Stoves – Mixers – Computers – Cloths Washing Machines – Dish
Washers –
Radios – Tablets – Robotic Floor Sweepers – Massagers – etc
Ø By 2030, all of these must be made “ Energy Efficient Appliances “ ,
certified by Bureau of Energy
Ø Just as was done in respect of ICE vehicles ( BS IV > BS VI
compliance ), all electric Appliance
to switch over to manufacture of only BEE certified appliances in
4 phases ( April 2022 – 24 – 26- 28 )
Ø Each such appliance MUST be pre-installed / integrated
with SENSORS which will continuously monitor its,
# State
of Usage ( ON or OFF )
# Rate
of Consumption of electricity ( Units )
These INTERNET-CONNECTED appliances will continuously relay / transmit
these data to the SMART ELECTRIC METER installed
in each home
In turn, each SMART METER will relay / transmit to concerned DISCOM ( and
to any other specified govt agency servers ), such usage / consumption
data, through Internet ( IoT / Internet
of Everything ).
These
data-transfer will be separate for EACH
INDIVIDUAL APPLIANCE
This will enable DISCOM / concerned Agencies, to know / monitor, IN-
EFFICIENT appliances, operating above the CERTIFIED THRESHOLD for
each type of appliance
Appliances operating “ above “ the threshold, will be assigned / allotted “
CARBON DEBITS “ , whereas those operating “ below “ the threshold, will be
assigned “
CARBON CREDITS “
If the NET of these two is POSITIVE ( + ), that home will be incentivized by
a
lower tariff – and vice-versa
This model ( of INCENTIVIZATION ) must be further strengthened by
measuring the amount of ROOF TOP Solar Power , flowing into the SMART
METER , with
appropriate linkages to CARBON CREDIT
This linkage will motivate a large number of households to install ROOF TOP
solar
panels
This scheme will enable us to take the CARBON MARKET / CARBON CREDIT
/ CARBON FINANCE concept,
right inside our 290 MILLION households !
All manufacturers of House-hold Electric Meters must be told to
manufacture only SMART
All DISCOMS to replace existing meters in each and every home, with a
SMART
METER, by April
This is only a CONCEPTUAL FRAMEWORK whose details are not difficult to work
out
Dear
Shri R K Singhji
During past 3 years, you have initiated many reforms to replace FOSSIL-FUEL
power with
RENEWABLE power
If implemented, my above-mentioned suggestion will ensure that we exceed
our
commitment given in Paris Agreement
ADDENDUM :
Ø The
Energy Conservation (Amendment) Bill 2022
Extract :
Prohibition
until Conforms Specified Norms:
The Act allows the Centre to prohibit the manufacture, sale, purchase
or import of any particular equipment unless it conforms to specified
norms
issued six months/ one year before.
Penalty:
Consumers who utilise excess energy will be penalized according to
their excess
Applicability
to Residential Buildings:
Including larger residential buildings under energy conservation
standards to promote
sustainable habitats.
Currently, only large industries and their buildings come under the
ambit of the Act.
Share of renewable Energy:
Defining the minimum share of renewable energy to be consumed by
industrial units or any establishment.
This consumption may be done directly from a renewable energy
source or indirectly via the power grid.
[ B
]
………… Vehicles / Ships / Boats
Ø FAME
II > FAME III > FAME IV ……………………………[ 05 Mar 2019 ]
Extract :
There are no
“ dis-incentives “ for manufacture /
sale / purchase of Petrol – Diesel vehicles
Dis-incentivize manufacturers for production of Petrol / Diesel vehicle
This could be achieved by gradually raising the GST rate for such vehicles, starting
from April 2022 and simultaneously gradual reduction in the GST rate for Electric
vehicles
Policy Instrument > Taxing all Vehicles based on their “ Harm Quotient “ for
environment
Instead of spending / wasting scarce government funds to “ Subsidize “ the
buyers for purchase
of E Vehicles,
it would be far better to “ dis-incentivize / penalize “ them ( and permanently ),
by introduction of Pigovian TRANS-TAX on each and every vehicle , for its entire
life ( no more “ Old Vehicles “ only ), as conceptualized in detail , at :
Ø Transport : an Integrated
Logistic Plan ? [ 20 Nov 2018 ]
Extract :
ROAD-MAP TO ACHIEVE THESE OBJECTIVES
# Levying of TRANS-TAX on all vehicles from birth to death of a vehicle (
irrespective of change in ownership
# TRANS-TAX will get collected automatically and for each hour of a vehicle’s
life
# In this collection
process , there will be NO HUMAN INTERVENTION whatsoever
# Amount of TRANS-TAX to be collected every hour , will depend on it’s
TRANSCORE
# A vehicle’s TRANSCORE will be based on its total HQ [ Harm Quotient ] for that
hour
# Higher the total HQ [ TRANSCORE ] , higher the TRANS-TAX ( directly
proportional )
# Logic : To lower their TRANS-TAX liability , people will opt for vehicles and
driving conditions which
# TRANS-TAX will replace all other vehicle-related taxes ( eg : Registration tax /
Road Tax etc ) ,
other than
vehicle
# TRANS-TAX will be uniform throughout India but credited to the State in which
vehicle is, at each
hour of its
# TRANS-TAX will be computed as per following HQ MATRIX . For exact
mechanism, look up
para on
This is a conceptual frame work and transport experts may debate and come up
with a different set of
“
Without doubt , all of these will differ from country to country and from time to
time , within the
same country
[ C ] …………… Buildings –
Industries
The provision of this Act applicable to Buildings /
Industries , says :
“… 100-kilowatt connected load or with
a contractual demand of 120 kilo-volt-ampere and above “
This will not be possible unless my following suggestions are implemented
simultaneously :
Ø Not Good Enough ! …………………………………[ 02 Dec 2017 ]
Extract :
Anyone can generate and SELL electricity, anytime and
to anyone and at any price
Ø Market-based Model for Renewable Energy …………[ 09 June 2021 ]
Extract :
# Introduce
“ Co-operative Farming of Solar Power / CFSP
“ { call it a kind of
“ Contract Farming “ }
# Solar Farm
company can “ Sell “ ownership
rights of solar panels
to individuals in modules of 1000 sq ft,
(costing Rs 4- 6 lakh per module )
These rights can be sold / transferred to any buyer, only with
prior
permission of the Solar Farm Company Concerned
# My
nearest DISCOM will supply me those 10 KW, free of cost ( ie: deduct
from my monthly usage
)
Any excess over my actual consumption, to be
credited to my account
Related Readings
:
Ø Energy Conservation
Amendment Bill 2022: It all boils down to targets for industries
The Energy Conservation (Amendment) Bill, 2022
Ø National CarbonMarket : Suggested Action Plan……… [ 28 Jan 2022 ]
Ø Thank
You, Shri R K Singhji : the Green Warrior
Ø My
blog's on solar power
Ø Congratulations,
Shri Vijaybhai Rupaniji, ……………………………….[ 30 Dec 2020 ]
Ø A
Tale of Two States…………………………………………………………...[ 28 Oct 2020 ]
Extract :
Indian cities are full of high-rise ( 5 – 20 stories ) buildings , having very small
terrace area for installing rooftop solar panels – may be just enough to power the
staircase lights. There is not enough area for larger installations which can supply
any
meaningful power to 20 – 100 flat-owners
Under such condition, it becomes very difficult to convince all the flat-owners to
cooperate and fork out initial capital costs ( even after 30 % subsidy ) , which
would only light up staircases !
Flat owners are vary of signing a 25 year PPA with the DISCOM , especially at
(may
be ) Rs 6-7 per unit
Rooftop Solar installation capital costs are much higher than GRID level Solar
Farm
installations
MY SUGGESTION :
Out-of-the-Box Concept :
In my building, we are 10 flat-owners. Each needs 20 KW of solar – total of
200 KW
That would require 20,000 sq ft . But the terrace is no more than 2,000 sq ft
. Not enough for all
So, I ask :
Why
do we need space in our own terrace in a Mumbai building for
getting
200 KW of
Solar Power ?
Why
cannot we use 20,000 sq ft of space, 500 Km away from Mumbai, in
Kutch desert
?
In
a nut-shell, produce solar power in Kutch desert and consume it in
Mumbai !
Or
produce power in Ladakh and consume it in Kolkata
Here is a broad / conceptual frame-work :
{ Please , read the blog : A Tale of Two Cities )