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Present regulatory scenario and fiscal incentives for waste heat recovery The National Action Plan on Climate Change (NAPCC) of India brought eight national missions in 2008 in order to reduce the effects of climate change in the country. The National Mission for Enhanced Energy Efficiency (NMEEE) is one amongst the eight missions of the NAPCC. The Government of India in 2002 set up the Bureau of Energy Efficiency (BEE)23 under the Energy Conservation Act (EC) of 2001. The BEE was set up to structure policies around promoting energy efficiency in the Indian economy. One of the primary mandates of the BEE is to regulate the NMEEE, along with the Ministry of Power (MOP). The NMEEE has four constituent schemes, as shown below, of which the PAT scheme is the one applicable for the Waste Heat Recovery initiatives. y the Perform, Achieve and Trade (PAT) scheme y the Market Transformation for Energy Efficiency (MTEE) scheme y the Energy Efficiency Financing Platform (EEFP) y the Framework for Energy Efficiency Economic Development (FEEED) Perform, achieve and trade: The EC Act has specified a list of Designated Consumers (DC) consisting of the aluminium, cement, chlor-alkali, fertilizer, pulp and paper, thermal power, iron and steel, and textiles industries. The EC act specified a targeted amount of energy reduction for these DCs between 2012 and 2015. The DCs will be issued Energy Saving Certificates (ESCerts) for every tonne of oil equivalent energy that they save over and above their respective targets. These ESCerts can then be traded on the Indian Energy Exchange (IEX) or on the Power Exchange India Limited (PXIL). DCs who have failed to achieve their targets, can avoid being penalized by purchasing ESCerts, amounting to the shortfall in their target achievement. The issuing of these certificates shall be reviewed on a case by case basis by the BEE or the MOP. The scheme, with its tradable energy certificates hopes to improve the cost effectiveness in promoting energy efficiency. The target for 2014-15 is to reduce energy consumption in the specified industries by 4% from the base year of 2009-10. Table 6 gives the targets under the scheme for cycle 1 (2012-2015) for every DC sector. Since Waste Heat Recovery (WHR) finds application in most of the DC sectors, the DCs can reduce their annual consumption of energy and increase their energy efficiency by implementing such technologies. other regulatory initiatives The Cement Manufacturers Association (CMA) had petitioned the Government of India during its pre- budget meeting to include some incentives and subsidies to bring the cement industry in the country at par with the other core infrastructure industries.24 One of the core energy efficiency measures taken by cement manufacturing units is the waste heat table 6: cycle 1 targets under the Pat scheme sector min. annual energy consumption for the Dc (toe) no. of Dcs Energy saving targets under Pat between 2012-2015 (million toe) Aluminium 7,500 10 0.456 Cement 30,000 85 0.816 Chlor-alkali 12,000 22 0.054 Fertilizer 30,000 29 0.478 Iron and steel 30,000 67 1.486 Pulp and paper 30,000 31 0.119 Textile 3,000 90 0.066 Thermal power plant 30,000 144 2.211 Total 478 6.682 Source: PAT, Ministry of Power 2012; BRIDGE TO INDIA analysis 24 The Economic Times; Budget 2012: Levy uniform and specific rate of 23 Bureau of Energy Efficiency http://www.beeindia.in/ excise duty on cement says CMA; Feb 23rd 2012 27PDF Image | ORGANIC RANKINE CYCLE TECHNOLOGY IN INDIA
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