The Energy Conservation (Amendment) Bill, 2022 has been introduced in the Lok Sabha to put in place enabling provisions to make the use of clean energy mandatory and to establish carbon markets.
The amendment bill seeks to mandate use of non-fossil sources, including green hydrogen, green ammonia, biomass and ethanol for energy and feedstock . It also proposes to establish carbon markets; and enhance the scope of Energy Conservation Building Code; and bring large residential buildings within the ambit of energy conservation regime. In addition,the bill seeks to amend penalty provisions; increase members in the Governing council of Bureau of Energy Efficiency; and empower the State Electricity Regulatory Commissions to make regulations for smooth discharge of its functions. The bill would empower state governments to constitute a fund to be called the ‘State Energy Conservation Fund’ for the purposes of promotion of efficient use of energy and its conservation within the state.