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PAT Scheme
PAT Scheme
Industry 40 27
Agri, AH & Fisheries 7 19
The energy intensity i.e. energy consumed per unit of GDP for industrial sector has
declined by about 1.5% per annum during 2004-05 to 2008-09 although the ratio of
energy intensity in industry to agriculture & service sector hovers around 4.0 – 4.4
Industry GDP (in Rs. Crore) 468,451 506,519 560,775 602,032 617,882
Commercial energy consumption in 152.8 164.7 174.3 181.4 186.3
Industry (in mtoe)
Energy Intensity of industry sector 0.0326 0.0325 0.03102 0.03019 0.03015
(mtoe per Billion Rs. GDP)
Ratio energy intensity: industry vs. 4 4.3 4.2 4.3 4.4
agriculture and service sector
Note: GDP at factor cost at constant (1999-2000) prices (in Rs. Crore)
Source: Green rating Project, 2009, Centre for Science and Environment, New Delhi
Reasons for Change in Energy Usage Pattern
-Change in Technology
-Retrofit Options
Increase -- In-House R&D
Competitiveness --Adoption of EE Techniques
--Fuel Shift
NMEEE
• All DCs consume about 231 mtoe energy i.e. about 60% of total
energy consumption of the country
• 5 years data from 563 DCs collected though the notified format
• The methodology for M&V system, Issuance of E-Scerts & Trading is under design
stage
PAT Legal Framework
•Furnish report of energy consumption to the Designated Authority of the State as well as to
BEE (section 14(k)).
•Designate or appoint an Energy Manager who will be in-charge of submission of annual
energy consumption returns of the Designated Agencies and BEE (section 14 (l)).
•Comply with the energy conservation norms and standards prescribed under section 14
(g) of the Act.
•Purchase Energy Saving Certificates (ESCerts) for compliance to section 14 (g) in the event
of default. The Act has been amended with the addition of new sub-section 14A to enable
this and section 14A(2) allows such trading. EScerts are defined by adding a new sub-
section 2(ma).
•Monitoring and Verification of compliance by Designated Energy Auditors (DENA) which
will be prescribed the Government/ BEE under section 14A/13 (p) of the Act.
•Excess achievement of the target set would entail issuance of ESCerts under section
14A(1).
•Penalty for non-compliance being Rs. 10 lakhs and the value of non-compliance measured
in terms of the market value of tones of oil equivalent by inserting a new section 26(1A).
•BEE to be the overall regulator and dispute resolution agency and Energy Efficiency
Service Ltd. (EESL) to be the process manager.
Proposed Methodology for Target Setting
(EXAMPLE)
ALUMINIUM SECTOR
National Target for the Sector
= 1.01%
Share of industry in total Energy
consumption of 8 sectors (2.42 mMTOE of Total consumption)
= 0.10 mMTOE
Target Energy Saving by aluminium sector
(i.e. 1.01% of 10 mMTOE)
after 1st cycle of PAT scheme
= 100,000 MTOE
Apportionment among Sub-Sectors
= 1.50 mMTOE
Total Energy Consumption in Smelter
(62% of total consumption)
= 0.92 mMTOE
Total Energy Consumption in Refinery
(38% of total consumption)
= 62000 MTOE
Pro-rata energy saving target for Smelters
(62% of 0.10 mMTOE)
= 38000 MTOE
Pro-rata energy saving target for Refineries
(38% of 0.10 mMTOE)
*Note: 1 mMTOE = 1,000,000 MTOE
Statistical analysis for Smelter
Plant#4 66,347 73,008 99,406 79,587 1.425 1.452 1.408 1.428 1.121 1,13,679 1.12X 1273.2x
Plant#1 3,83,200 3,72,100 3,77,000 3,77,433 0.247 0.241 0.244 0.244 1.000 92,073 X 920.73x
5824.98
Plant#2 15,78,000 14,63,300 15,59,200 15,33,500 0.299 0.299 0.314 0.304 1.246 4,65,999 1.25X
x
Plant#3 83,148 NA NA 83,148 0.316 NA NA 0.316 1.294 26,245 1.29X 338.56x
Plant#4 2,17,270 2,26,765 2,26,881 2,23,639 0.346 0.300 0.307 0.318 1.303 71,074 1.30X 923.96x
4109.07
Plant#5 7,01,578 7,16,745 NA 7,09,162 0.380 0.372 NA 0.376 1.542 2,66,823 1.54X
x
12117.3
Total 9,22,214
0X
Calculation for Target Setting
X 3.14 %
Final Targets for Smelter & Refinery
Aluminum 7500 11
Cement 30000 83
Chlor-Alkali 12000 20
Fertilizer 30000 23
Pulp & Paper 30000 51
Power 30000 146
Iron & Steel 30000 101
Textiles 3000 128
46
Andhra Pradesh
6
Assam
6
Bihar
60
Chhattisgarh
4
Goa
57
Gujarat
16
Haryana
10
HP
14
Jharkhand
31
Karnataka
11
Kerala
23
M.P
57
Maharashtra
1
Meghalaya
4
New Delhi
41
Orissa
6
Pondichery
39
Punjab
74
Rajasthan
99
Tamilnadu
State-wise DCs (2009-10)
Tripura
47
U.P
4
Uttaranchal
25
West Bengal
Estimated Energy Consumption in DCs
Sector MTOE
Power (Thermal) 160.3
About 55% of DCs
Integrated Steel 26.98 Contribute 96% of Total
Cement 14.47 Consumption
Fertilizer 11.95
Sponge Iron 9.1
Textile 3.5
About 45% of DCs
Aluminium 2.42 contribute rest 4% of
Paper 1.38 Total Consumption
Chlor-Alkali 0.43
TOTAL 230.53
Target in PAT
SEC = E / P
S Baseline SEC
E
Reduction in SEC
C Target SEC
Expressed in %
Y1 Y2 Y3
Energy Consumption (MToE)Share Among DCs
Power (Thermal) Integrated Steel Cement Fertilizer Sponge Iron Textile Aluminium Paper Chlor-Alkali
0.6%
2%
4% 1% 0.18%
6.2% 5.1%
11.65%
69.23%
Sectoral studies by BEE on ‘Setting Up of Sectoral Bandwidth for
DCs’ have revealed the impact on SEC due to above diversities
Total Energy Input Million Kcal 919757.4 985287.9 989421.4 1062985.0 977621.3
Plant1 3,62,793 3,68,867 3,78,157 3,69,939 1.275 1.272 1.277 1.274 1.000 4,71,455 X 4714.55x
Plant2 3,58,954 3,58,734 3,59,213 3,58,967 1.364 1.365 1.362 1.364 1.070 4,89,546 1.07X 5238.14x
Plant3 76,867 2,07,741 2,50,981 1,78,530 1.569 1.355 1.276 1.400 1.098 2,49,920 1.10X 2749.12x
Plant4 66,347 73,008 99,406 79,587 1.425 1.452 1.408 1.428 1.121 1,13,679 1.12X 1273.2x
Target
62000 MTOE
Saving
X 4.15 %
10
9
8
Baseline SEC
7
6
5
4
3
2
1
0
Plant 1 Plant 2 Plant 3 Plant 4 Plant 5 Plant 6 Plant 7 Plant 8 Plant 9 Plant 10
Plant
10
Cluster 2 Cluster 3
8
Baseline SEC
6
Cluster 1
4
2
0
Plant 1 Plant 9 Plant 4 Plant 3 Plant 6 Plant 10 Plant 8 Plant 2 Plant 7 Plant 5
Plant
THE PAT SCHEME ….. Approach
Getting information
through “Form#1” Data Compilation/
Evaluation
Target Setting
[Declaration of Base
Year, Target Year ] Validation of PAD
through DENA
Target Setting for Power Station
Variation in Net Station Heat Rate Reduction Target for % % Reduction Target
from Design Net Heat Rate deviation in the Net Station in Net Station Heat
Heat Rate Rate