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Cross-Sectoral Learning & Process Innovation will drive India’s Energy Efficiency Scheme
Low cost retrofit projects dominated the first phase of the Perform Achieve Trade Scheme. Almost 65% of the projects fell in this category. The focus was primarily on driving utility and component efficiency rather than process and/or systems efficiency. More than 60% of projects carried out were relevant across sectors (and not sector specific). There remains a potential for cross-sectoral learning that is likely to be tapped into in the next couple of years.
These were the findings of the released the first edition of PAT Pulse, a quarterly briefing series on PAT with DCs, policy makers, catalysts and industry experts to capture the pulse of the energy efficiency market in India. PAT Pulse has been produced by Sustainability Outlook and Alliance for Energy Efficient Economy (AEEE) in collaboration with Shakti Sustainable Energy Foundation.
Sustainability Outlook and AEEE conducted a survey with a sample of 47 Designated Consumers (DCs) from the 8 PAT sectors and reviewed 426 projects undertaken. The survey revealed that DCs in the first phase were focused on addressing efficiency mainly through retrofits and routine optimization. Thus the first phase was characterized by low capex, short pay-back projects. Low cost retrofit projects dominated Phase-I with almost 65% of the projects falling into this category. More than 60% of projects carried out were relevant across sectors (and not sector specific) thus presenting a potential for cross-sectoral learning.
The outlook for the second phase is tilting towards process innovation and focusing on system efficiency. There is also a significant potential to exploit cross-sectoral learnings. In the survey, DCs have also expressed a need for enhanced action on financing models and ESCerts trading. According to Dr. Satish Kumar, Executive Chairman, AEEE, “There is a need and opportunity to align energy efficiency regulations based on transparent measurement and verification processes utilizing energy management systems with business investment cycles and enabling it with dedicated energy efficiency financing solutions and market-based energy efficiency trading scheme to reap the full benefits of a very innovative PAT program and provide a big impetus to the "make in India" initiative.”
As per Mr. Shashank Jain, Programme Manager (Industry), Shakti Sustainable Energy Foundation, “Higher energy productivity through meeting & exceeding PAT targets will not only squeeze operating SEC bandwidths of industrial units significantly but also support the Government of India’s pledge to emission reduction, communicated in recently concluded COP at Paris”
The objective of PAT Pulse is to provide evidence based, market assessment tool to present the stakeholder view point, enable higher uptake of PAT through peer learning and incubate industry and policy action on energy efficiency.
“PAT Pulse provides a neutral platform to present stakeholder view point, enable higher uptake of PAT through peer learning and incubate industry and policy action on energy efficiency” according to Aparna Khandelwal, Sr. Engagement Manager, Sustainability Outlook.
The January issue of PAT Pulse also provides updates policy regarding proposed amendments in PAT rules as well as a timeline for widening of PAT Scheme. It also provides a sneak peek into some of the upcoming innovative solutions such as IoT (Internet of Things) driven Smart Energy Analytics Systems, automated cleaning of condenser & heat exchanger tubes, wireless occupancy sensors etc which will help improve energy efficiency in industries.
The complete issue of PAT Pulse is available for download at http://sustainabilityoutlook.in/content/market/pat-pulse-cross-sectoral-learning-process-innovation-will-drive-pat-phase-2-755610
About Sustainability Outlook
Sustainability Outlook, a division of cKinetics, is a market intelligence, discovery and collaboration platform facilitating sustainability linked actions amongst businesses, policy makers and investors. Sustainability Outlook actively tracks and provides market insights in resource management with focus on policy, technology and finance to work towards creating closed loop systems. Solutions offered by Sustainability Outlook include State of Sector Reports, Market development platforms, tools and frameworks for enabling and promoting resource sustainability within the industry, Regulatory and policy analysis and Resource inventorization studies amongst others.
About Alliance for Energy Efficient Economy (AEEE)
AEEE is an industry association created for the specific purpose of convening companies and organizations (manufacturing companies, end users, service providers, utilities, academic and R&D institutes and other non-profit organisations) interested in creating a thriving energy efficiency sector in India and providing a unique platform to actively participate and support in energy efficiency policy formulation and analysis.
About Shakti Sustainable Energy Foundation
Shakti Sustainable Energy Foundation works to strengthen the energy security of India by aiding the design and implementation of policies that support energy efficiency and renewable energy