National Mission for Enhanced Energy Efficiency

The National Mission for Enhanced Energy Efficiency (NMEEE) is one of the eight national missions under the National Action Plan on Climate Change (NAPCC). NMEEE aims to strengthen the market for energy efficiency by creating conducive regulatory and policy regime and has envisaged fostering innovative and sustainable business models to the energy efficiency sector. The Mission is implemented since 2011.

Initiatives under NMEEE

NMEEE consist of four initiatives to enhance energy efficiency in energy intensive industries which are as follows:

• Perform Achieve and Trade Scheme (PAT) - Implementing a market assisted compliance mechanism to accelerate implementation of cost effective improvements in energy efficiency in large energy-intensive industries
• Market Transformation for Energy Efficiency (MTEE) - Accelerating the shift to energy efficient appliances in specific application through innovative measures to make the products more affordable.
• Energy Efficiency Financing Platform (EEFP) - Facilitating Financial Institutions to invest in Energy Efficiency Projects and Programmes
• Framework for Energy Efficient Economic Development (FEEED) - Developing fiscal instruments to leverage financing for Energy Efficiency through risk mitigation:
• Partial Risk Guarantee Fund for Energy Efficiency (PRGFEE) and
• Venture Capital Fund for Energy Efficiency (VCFEE) to promote energy efficiency
• National Energy Conservation Award and Painting Competition

Implementation agencies

1. BEE - Bureau of Energy Efficiency.
2. EESL - Energy Efficiency Services Limited

Status of implementation

Over 400 industries reduced their emissions by 31 MT of CO₂, during the first cycle of Perform, Achieve & Trade (PAT) scheme by BEE between 2012 and 2015. The second PAT Cycle was notified from April 1, 2016 for three years up to March 2019. The overall energy consumption reduction target under PAT II given to 621 units is 8.869 MT of Oil Equivalent (MTOE) covering 11 sectors. The third PAT cycle was also notified from April 1, 2017 for 3 years including 116 new units with a reduction target of 1.06 MTOE. The PAT Scheme is now being implemented as a rolling cycle where new units will be notified for a period of 3 years every year.

With an unprecedented 140X growth in 2 years, EESL’s flagship initiative, Unnat Jyoti by Affordable LEDs for All (UJALA), has revolutionized India’s access to energy saving LED bulbs and reduced carbon emissions by up to 27 million tonnes every year.

Energy Efficiency and Conservation (EE&C) across India’s energy intensive industries and other key demand-side economic sectors promise an investment potential of INR 74,000 crore through large scale deployments.

Sources

1. BEE
2. EESL