2

Energy consumption in India is low

Indian Per capita energy consumption is 530 kgoe while
world average is 1770
Per capita electricity consumption is 631.5 kWh against world average of
2500 kWh
Installed Indian Capacity 1,45000 MW (approx.)
Peak Load Electricity Supply Shortage 15%
Base Load Supply Shortage 9%

Energy demand is increasing due to rising incomes, accelerated

industrialization, urbanization and population growth
2003-04 : 572 Mtoe
2016-17 : 842-916 Mtoe

Per Capita Consumption of Electricity in India

Growth Pattern

(Projected)
As per UN Methodology (Gross Electrical Energy Availability / Population)
Source: CEA

Bureau of Energy Eciency

Established in 2002, under the Energy Conservation Act, 2001.
Improve energy eciency through various regulatory and

promotional instruments
Plan, manage and implement provisions the EC Act
Appliance standards and labeling
Industrial energy benchmarks
Energy Conservation Building Codes
Monitor energy use in high energy-consumption units
Certify and accredit energy auditors and energy managers
Provide a policy framework and direction to national energy
conservation activities
Disseminate information and knowledge, and facilitate pilot
and demonstration projects
Establish EE delivery systems through Public-Private
Partnerships (PPP).
6

Barriers of Energy Eciency

Higher upfront cost of energy-ecient technologies
Lack of Information about comparative energy use especially of appliances
bought by retail consumers

Inadequate awareness about the benets of energy conservation & eciency

Lack of Innovative nancial instruments

BEE is established to implement & monitor the Energy Conservation Act,

2001. The Act empowers Bureau and Central Government to specify Energy
Consumption Standards.

The Standards and Labeling is a direct outcome of section 14 clause (a)-(d)

of the Energy Conservation Act,2001.

BEE had launched S&L Scheme as voluntary basis under National Energy
Labeling Programme on 18th May 2006, covering Eleven Products phase
wise.

EC act can Prohibit manufacturers for sale or import

of equipments and

appliances that do not meet standards.

Require display of Energy performance labels on equipments and appliances.

8

EC Act 2001/Chapter V

Power of Central Govt. to Facilitate & Enforcement

Efficient Use Of Energy & Its Conservation

Clause (14) ((a)to (d))

The Central Government may, by notication, in consultation with

the Bureau-
The Bureau shall recommend to the Central Government the
norms for processes and energy consumption standards required to
be notied under clause (a) of section 14.
And recommend to the Central Government the particulars
required to be displayed on label on equipment or on appliances
and manner of their display under clause (d) of section 14.

1.5 Sample Labels

10

Products covered under Indian S&L

Program
Current List
1. Frost-free Refrigerators
2. Tubular Fluorescent Lamps (TFL)
3. Air-conditioners
4. Direct cool /Frost Free Refrigerators
5. Distribution Transformers
6. Motors
7. Pump sets
8. Ceiling fans
9. LPG Stoves
10.Colour TVs
11.Storage Water Geysers

Launched on 18th May

2006 , for 4 products by
BEE

Home Appliances
Washing Machines
Electronic Ballast
Computer Monitors
Kerosene Stoves
Consumer Electronics
Microwave ovens

Industrial Equipments
Industrial Fans & Blowers
Diesel Generating sets
Boilers
Compressors

Uninterrupted Power Supply (UPS)

External Power Supplies (EPS)
Battery Chargers (BCs)
Standby Power equipments

Refrigerator &AC Systems

Adaptive Defrost
Commercial Freezers
Visi Coolers
Chocolate Coolers
Chest Coolers
Heat Pumps

Passenger Cars.

12

 Domestic and agricultural Consumers

Commercial consumers
Institutional and Government Purchases
Industrial Users
Electricity Generating, Transmitting, and Distributing companies

13

Regulation:
Policies & its framework
Standards & Labels to be made mandatory at
appropriate time

Energy Efficiency

Supply Push

Demand Pull

Design & technology developments

Align with international trends
Handholding of some segments of
manufacturers

Awareness & dissemination

Demand for the EE
products

14

Ins$tu$onal frame work for regula$on

BIS National Standards Body
Formulation & Implementation of National Standards
Production certication, Quality system certication, EMS

certication etc.

Bureau of Energy Eciency (BEE)

BEE is established to implement & monitor the Energy

Conservation Act, 2001

One of the key thrust areas of EC Act, 2001 is Standards &

Labeling Programme
Formulation of Energy Eciency Standards.

15

1.Rapid Growth of
Energy
is predicted

2.Significant Variations
in
Energy Efficiency of
Different Units

3.Energy Efficient
Technology
Exists but not being used
in
Most of the products

16

Targeted cumula$ve savings during the year

2007-08 and 2008-09

17

Reduc$on in genera$on capacity obtained as a result

of energy eciency interven$ons during the nancial
year 2008-09
3.5 BU in 2007-08 and 6.5 BU during 2008-09 is saved

18

Market Transforma$on: 2008-09

Non star

1 star

2 star

3 star

4 star

5 star

Total

% share

29.4

0.4

14.1

45.4

10.6

100

Units

1,616,824 -

24,605

774,301 2,498,729 585,541 5,500,000

% share

14.0

24.7

38.5

11.1

Units

349,140

617,405 962,793 277,489 203,316

Refrigerators

ACs
8.1

3.6

100

89,856

2,500,000

19

Programme

Standards and
Labeling (07-08)
Standards and
Labeling(08-09)

Electricity
Saved
(MUs)

Equivalent
million MTOE

Avoided
Thermal
Capacity (MW)

Total Fuel
Saved
(mtoe)

1425.8

0.48

260.4

0.48

2111

0.717

568

0.917

Importance of star labeling

Meaning of star labeling

Star labeling is useful for saving electricity

52

It saves energy

20

More star saves more power

19

Good quality product

13

It has more advance technology

It depends upon the number of stars in it

They told about power saving with star level products

Policy interventions
Designated consumers, which are basically energy intensive
industry, commercial buildings and establishments.
Energy consumption standards and labeling program for
equipment and appliances.
Mandating of Energy Efficient equipments in Government
Purchases.
Making voluntary schemes for market transformation towards
energy efficiency and mandating them later on.
Creating compliance of energy efficiency policies through
monitoring and verification.

Background/ Opportunities
The basic tenet of the mission is to ensure a

sustainable growth by an appropriate mix of 4 Es

namely- Energy, Eciency, Equity and Environment.

Promote development objectives, while also yielding

co-benets for addressing climate change eects.-

Cost- eective energy eciency and energy
conservation measures

Potential to reduce energy consumption by Demand

Side Management (DSM) of 15-25% (IEP: 2006)

Market based approach to implementation of energy

eciency market size of Rs. 14,000 crores estimated

23

Rural Electrification and Pump sets Electrified

( as of Feb, 2009)

24

25

Overview of Indias Agriculture Sector

Indias

agriculture
sector
consumes 22% of total electricity,
up from 10% during the 1970s
The agricultural tari has not
grown while average cost of supply
of utilities is increasing at a fast
pace
Free & at HP based tari plan
for agriculture has been one of the
factors
contributing
to
ineciencies and thereby high
AT&C losses of the State Utilities

Slide 26

Equipment

(1)
Agricultural
pump sets[8]

Annual
electricity
consumptio
n of
equipment
GWh[1]

(2)
84,486

Annual
Annual Electrici
sales of electricit ty
equipm
y
consum
ent in
consum ption of
2002-03 ption of new
millions
new
stock to
stock
total
GWh[2] electrici
ty %[3]
(3)
0.8

(4)
6,000

(5)
1.1

Estimat Annu Organi Infor

ed
al
sed
mal
improve electr sector secto
[6]
ment in icity
r[7]
%
efficienc savin
%
y of
gs
new
GWh
[5]
stock
%[4]
(6)

(7)
15 2,280

(8)
55

(9)
45

Sample calculation for agricultural pump sets is given below. Similar estimates were made for other
equipment.
Column 4 = Annual electricity consumption of new stock = column 3 * 1500 hours per year * average 5
kWh consumption per hour = 6000 GWh
Column 5 = Electricity consumption of new stock to total electricity = Column 4/ 562572 *100 = 1.1%
Column 6= Estimated improvement in efficiency of new stock = 5kW pump replaced by 3.1 kW high
efficiency pump delivering the same quantity of water = 100* (5-3.1)/5 = 38%
Column 7 = Annual electricity savings = Column 4* column 6/100 = 2280 GWh
[8]

Sl.
No.

1.

2.

3.

Product detail
Electrical pumps

Range kW

No. of Poles

Applicable IS

3 Phase open well

submersible pump sets

1.1kW, 1.5kW, 2.2

kW, 3.0kW, 3.7 kW &
5.5 kW, 7.5kW,
9.3kW, 11kW, 15kW

2 Pole

IS 14220:1994

3 Phase submersible pump

sets

1.1kW, 1.5kW, 2.2

kW, 3.0kW, 3.7 kW &
5.5 kW, 7.5kW,
9.3kW, 11kW, 15kW

2 Pole

IS 8034:2002

3 Phase Mono-set pumps

0.37kW, 0.75kW,
1.1kW, 1.5kW, 2.2
kW, 3.0kW, 3.7 kW &
5.5 kW, 7.5kW,
9.3kW, 11kW, 15kW

2 Pole

IS 9079:2002

Star Rating

Overall Efficiency of the Pump Set*

(multiplying factor times the BIS
value)

1 Star

>=1.00 & <1.05

2 Star

>=1.05 & <1.10

3 Star

>=1.10 & <1.15

4 Star

>=1.15 & <1.20

5 Star

>=1.20

*Overall efficiency of the pump set is including the efficiency factor for
induction motors. The overall efficiency is calculated as per IS
14220:1998, IS 8340:2002 and IS 9079: 2002 for pump sets and IS 12615:
2004, IS: 4029 1967, IS 325: 1996 for induction motors.

Opportunity / PotenDal in Ag DSM

DSM in Agriculture provides immense opportunity in
Reducing the overall power consumption
Improving eciencies of ground water extraction
Reducing the subsidy burden of the states without sacricing the

service obligation to the sector

Most of the pilot projects as well as other studies project

potential of 45-50% by mere replacement of inecient

pumps
Overall electricity savings (from 20 million pumps) is
estimated at 62.1 billion units annually
Slide 30

ObjecDves of the Scheme

To create appropriate framework for market based

interventions in agricultural pumping sector

through Public Private Partnership (PPP) mode
Intended Outcomes of Programme
Shelf of bankable DPRs (one in each State) to stimulate the market
Business model through ESCO mode
Baseline development, conducive regulatory regime and security

mechanism
Awareness and outreach to the local farmers and utility employees
Risk Mitigation Measures to encourage PPP
CDM benets for the scheme

Slide 31

Steps Involved
Selection of States

To rank states for implementation of Ag-DSM based on

Framework developed

Attributes to rank the states

Connected load, percentage consumption by agricultural sector,

status of feeder separation, AT&C Losses, Power sector
performance rating by PFC

Selection of Feeders for DPR preparation

To identify eligible feeders for DPR preparation

Criteria for feeder selection

Slide 32

No of connected pump sets, HVDS implementation,

Dependability on ground w
ater extraction, measurable baseline
12

Steps Involved
Engagement of Consultants for DPR preparation

DPR to be prepared to estimate energy saving potential along with

clear baseline
Organization of workshops and Seminars

Awareness generation and capacity building for utility employees

and farmers
Develop a model for Project Implementation

Identify risk mitigation measures and ring fencing of risks in Ag

DSM projects
Engagement of ESCO/Discom for implementation of DPR

Replacement of existing pump sets with energy ecient ones

Slide 33

13

Business Model for AgDSM project (ESCO mode)

Consumers
Sale of saved energy to other
consumers

Electricity
sales

Government / Regulatory
Commission
Reduction in Subsidy payments
Policy Guidelines and Approvals
Inclusion in Annual Revenue
Requirement

Improved power delivery (Reliability &

Quality)
Improved Collection efficiency
Reduced Losses and Peak Load
Subsidy Reduction due to saved energy

Payment
Security
Package

Policy guidelines
& Approvals

Farmer
Free Energy Efficient Pump set
Reduced Energy Bills
Free Maintenance
Quality Power Supply

Utility / Discom

ESCO

Pump

Design / Installation / Commissioning &

O&M
Capital for Installation of new pumps
Demonstrate the energy savings
Payment on Shared saving model
Repair and Maintenance

Monitoring
Agency
Third Party
Testing
Agreement

Risks in Ag DSM Project

Risks factors outside the ESCOs control

Farmer behaviour
Amount of land under irrigation
Cropping patterns
Water table declines
Weather and rainfall
These factors cause energy loads to vary, even if the technical performance of
the ESCOs installed systems perform as specied
Variation in power quality aect pump performance, useful life and
maintenance and replacement costs
ESCOs and their lenders may not be able to accept full exposure to such
uncontrollable risks

Slide 35

Deemed Savings Approach

From the point of view of ESCO and its lender, a stipulated savings protocol

(Deemed Savings Approach) may be appropriate

Demonstration of performance (measure input power) of a sample of pump
sets before and after the project in order to estimate savings for each category
and size of pump set
This information would then be used to stipulate savings for the entire
project area based on xed hours of operation of pump sets (around 1600)
Periodic demonstration of pump set eciencies during the course of the
contract period
Even if Deemed savings approach is used to determine payments to the
ESCO, the Discom can implement measured savings approach (Monitoring
and Verication) for all the feeders to gather the most accurate savings

Slide 36

Benets to dierent Stakeholders

DISCOM

FARMERS

Reduction in technical
and
commercial
loss
levels

Free of cost BEE Star

labeled pump set will be
provided

Mitigation
of
Supply Gap

Increase in reliability of
the power supply

Negligible
maintenance
cost during the warranty
period

Reduced Energy Intensity

per GDP

Improved power supply

quality
Supply to more number of
consumers
without
increase in the demand
50 % subsidy for HVDS
implementation (Part B)
under
R-APDRP once
AT&C loss level of 15 % is
achieved
Additional CDM benefits
could be availed for HVDS
Slide 37

Reduction
in
monthly
energy bills due to 30 % of
energy saved
Power supply with better
quality and less time for
same water discharge
Availability of trained local
specialists
to
handle
maintenance and repair of
energy efficient pump sets

STATE GOVERNMENT
Demand

Sustainable Development

Additional investment in
new power plants could
be avoided
Reduction in subsidy to
Discom

Roles and responsibiliDes of

dierent Stakeholders
DISCOM

ESCO

BEE

Ensure quality of supply Finance, implement and

operating the project
by Implementing HVDS

Organize brain storming

session

Ensure
necessary
metering
arrangements
(electronic
meters
on
transformers)

Develop financial model

Procure,
install,
provide
repair
maintenance

and
and

Demonstrate
efficiency
Sign a contract with ESCO improvement of pump
Payments on a monthly sets
basis to ESCO based on Training of local specialist
the formula derived from in repair and maintenance
of star labeled pump sets
competitive bidding
ESCROW account as a
payment
security
mechanism

Slide 38

Prepare
documents
with projects

contract
associated

Prepare M & V protocol

Float RFP for engagement
of ESCO
Bid process management
Monitor the progress of
project implementation

Current Status of the Programme

Based on a framework, 5 states namely Maharashtra, Gujarat,
Rajasthan, Haryana and Punjab were selected for
implementation of Agricultural DSM in initial phase of the
programme
Energy audit of all the pumps have estimated the savings by
replacing the inecient pumps with star labeled energy ecient
pumps.
Expression of Interest (EoI) for engagement of energy auditors
to prepare DPR for remaining 4 states namely Rajasthan,
Gujarat, Haryana and Punjab have been oated
BEE has labelled the agriculture pump sets
BEE has accredited 35 ESCOs through an accreditation process
carried out by CRISIL and ICRA
Slide 39

Benefits of usage of 5 star Pumps

An Example:

HP/KW

Stage

Head

20/15

16

125

D/Charge Overall
ISI
(LPM)
Eciency Eciency
(%)
(%)
536

58.7

48

Unit = Input K.W. X Hour

Over All Eff. = (H X Q/6120) / Input K.W.

5 STAR RATED PUMPS:

58.7 = (125 X 536 / 6120) /Input k.w.
Input k.w. = 18.65 k.w.(max.)
Unit Consum. with in 8 Hr. = 18.65 X 8 = 149.2 Unit
Unit For 300 Days = 149.2 X 300 = 44760 Unit
Yearly Pay = 44760 X 5.5 =246181

ISI PUMPS :
48 = (125 X 536/6120) / Input k.w.
Input k.w. = 22.8
Unit Consum. within 8 Hr.= 22.8X8 = 182.46
Unit For 300 Days = 182.46 X 300 = 54738
Yearly Pay = 54738 X 5.5 = 301059

Saving = Rs. 54880 Every Year

40

Cost Benet Analysis for Pump sets replacement

Particulars

Based on
Avg. Tariff

Monetary savings per annum (Rs. Lakhs)

Reduction in MSEDCL's revenue from Agricultural Consumers (@
collection efficiency of 60%)
Repair & Maintenance Cost (@10% of capital) (Rs Lakh)

221

Net benefit to MSEDCL per annum (Rs. Lakhs)

146

Actual Pump Cost Including VAT @ 12.5 % (Rs. Lakh)

401

Dismantling & Installation Cost (Rs Lakh)

9.8

39
36

Cost of Foot Valve Replacement (Rs Lakh)

Efficiency Testing Pre & Post Installation (5 % Sample)

7
2

GI Pipe & bend Replacement (Rs Lakh)

12

Total investment (Rs. Lakhs)

432

Simple payback period (years)

3
Slide 41

 Issues of Concerns in the labeling Program

The market is dominated by Submersible pump set ( 70%),

mono block(20%) and balance open well ( 10%)

The commonly use ratings are 3-125 HP, Head range of 5-250 m
and Discharge of 60-2600 LPM.
Star labeled pump set are available in 2-25 HP and head of 29-317
m.
BIS not available for Higher capacity of Pump sets.
Non- availabity of the standard may hamper the Agri-DSM
Program.
Proposal to develop the labeling program for Pumpsets for
higher ratings.
Request for labeling of Pump sets in all ratings and all discharge.
Slide 42

Contact information:
Sandeep Garg (sgarg@beenet.in)
Bureau of Energy Efficiency
(Ministry of Power, Govt. of India)
4th Floor, Sewa Bhawan
R.K.Puram
New Delhi 110066
www.bee-india.nic.in

43