At the 22nd Foundation Day celebration of the Bureau of Energy Efficiency (BEE), Abhay Bakre, director general of the bureau, delivered a noteworthy address highlighting India’s energy transition towards electrification and decarbonisation. The event marked a significant milestone for BEE, which was established on March 1, 2002. Bakre underscored the importance of the occasion, emphasising the progress made over the years and the initiatives being taken to achieve many more milestones in the future. Edited excerpts…
In the past two decades, energy auditors and managers have played a pivotal role in advancing energy conservation and efficiency initiatives. With the inception of the energy auditor exam in 2004, India has witnessed a remarkable growth in its workforce, boasting nearly 20,000 energy managers and auditors. I highly commend their dedication and contributions, and there is an ongoing need for concerted efforts to fulfil the BEE’s objectives.
One of our accomplishments in the previous year was the significant amendments made to the Energy Conservation Act and the establishment of the Indian carbon market. The drafting process for the carbon market commenced in March 2023, culminating in the release of the main notification in June of the same year. The inclusion of an offset mechanism in December 2023 marked a transformative milestone, poised to drive significant changes in the decades to come. These developments are significant, particularly in shaping India’s approach to energy efficiency and sustainability. The inclusion of the offset mechanism has been a game-changer. This is expected to have far-reaching implications for the country’s energy landscape in the years ahead.
A development that BEE takes pride in is its association with the Ministry of Power (MoP) and the Energy Transition Working Group of the G20, a pivotal platform for global energy discussions. India showcased its leadership under the guidance of the power minister and power secretary. This leadership was evident in our proactive approach towards advancing discussions on energy efficiency within the G20 framework. We firmly believe that the collective efforts of the G20 nations can drive meaningful change in the global energy landscape, moving beyond mere dialogue to tangible advancements in energy efficiency. As a key member of the BEE team, we have consistently supported the MoP and other stakeholders in shaping discussions within the G20. Our commitment to fostering collaboration and driving positive outcomes on the international stage remains unwavering.
In addition to our involvement in global forums, BEE also hosted a remarkable event in 2023–the Clean Energy Community. This event, held in July 2023, drew participation from over 40 countries and featured more than 4,000 delegates. Experts from various fields, including battery storage, hydrogen industry, decarbonisation, solar energy, waste heat recovery and biofuels, convened in Goa to discuss the latest developments and innovations in clean energy. The overwhelming response and applause received from participating countries and international organisations underscored the success and impact of the event, solidifying India’s position as a leader in the clean energy transition.
Another significant achievement is the multitude of new launches and initiatives undertaken over the past year. Additionally, on the National Energy Conversation Day, we had the privilege of hosting the President of India, the foremost representative of the nation, who graced the occasion with her presence. I am delighted to announce the progress made regarding the Energy Conservation Sustainable Building Code, a mandate outlined in the recent Energy Conservation Amendment. We have diligently completed all necessary preparations, including drafting the initial version of the code, engaging with experts and stakeholders for valuable insights and conducting a thorough public consultation process. We are currently in the process of analysing feedback received from various sectors and will soon commence inter-ministerial consultations. The forthcoming Energy Conservation Sustainable Building Code represents a significant leap forward in promoting green building practices, encompassing on-site renewable energy solutions, solar technologies and stringent energy efficiency standards for building materials. This initiative marks a pivotal moment in enhancing building energy efficiency standards across the nation.
I am pleased to announce our plans for the roll-out of the offset mechanism, a critical component of our efforts towards carbon neutrality. Over the next year, we aim to fully implement this mechanism, catalysing the development of the carbon market in India. We have also embarked on several research and development (R&D) projects focusing on energy efficiency. As per the mandate outlined in the recent amendment, we have sanctioned six projects to esteemed institutions such as IIT Roorkee, with plans to approve at least ten more projects within the next five to six months. These R&D initiatives signify our commitment to innovation and technological advancements in the energy efficiency space, paving the way for sustainable solutions and practices.
A significant focus area within the cooling sector pertains to skill training initiatives. Given that the annual sale of air conditioners has surpassed the 10 million mark, there is a pressing need for well-trained technicians proficient in handling modern air conditioning and refrigeration equipment. To address this demand, we are in the process of planning and potentially launching a certification programme tailored to equip technicians with the necessary skills and expertise. This certification course, similar to the existing energy auditor programme, is envisioned to instil confidence in customers and empower technicians to efficiently install, maintain and service air conditioning equipment. By doing so, we aim to not only enhance energy conservation efforts but also mitigate concerns related to refrigerant leaks, which pose a significant environmental and operational challenge.
Responding to the expressed desire of the minister, we have developed a blueprint for establishing a collaborative platform. This platform, envisioned as a partnership between public and corporate entities, aims to facilitate comprehensive discussions on advancing the energy sector’s transition. It will serve as an informal forum where key stakeholders, including large corporations, think tanks and auditors, can convene regularly for sectoral and policy-based deliberations, with plans to initially engage around 100 corporates. Similar platforms have proven successful in other countries and are poised to yield valuable insights for policymaking and programme deployment in the forthcoming years. This discussion forum, under the auspices of BEE, with the minister and secretary of power in leadership roles, is anticipated to play a pivotal role in shaping the trajectory of India’s energy sector towards a sustainable and efficient future.
We wish to offer our assurance that we are steadfastly committed to achieving the goals set forth, just as we have consistently surpassed our previous targets. With confidence, we anticipate that the nation will not only meet but exceed its targets well ahead of the timeline set for 2030. BEE remains resolute in its mission, and we are deeply grateful for the invaluable guidance and support extended to us by the ministers, the secretary of power, the additional secretary of power, the entire ministry, the EC Division, as well as our esteemed partners and auditors who have accompanied us on this journey. Despite being a small team, we are driven by ambitious targets, knowing that we have the unwavering support of all stakeholders.
With regard to e-mobility, there is immense potential for reducing carbon emissions. In a developing country like India, we anticipate significant growth in this segment, given that the transport sector typically experiences growth rates of 8-8.5 per cent, or sometimes even up to 9 per cent, in tandem with the economy, which has historically grown at a rate of 7-7.5 per cent over the past two decades. However, transitioning from a predominantly high-carbon transport sector, dominated by internal combustion engine vehicles, poses a considerable challenge. We have initiated policies at the central government level to address this challenge, but as rightly pointed out, determining the next steps requires careful consideration of the challenges we face. Based on our experiences and observations at BEE, we recognise the complexities inherent in such transitions and endeavour to navigate them effectively.
When discussing energy efficiency, it’s crucial to consider various sectors. In the realm of buildings, for instance, state governments predominantly oversee regulations and policies. Similarly, agriculture policies are largely driven by state departments and policies. E-mobility falls into a similar category, as while the central government introduces schemes like Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (EV) and sets policies under the MoP, the ultimate decision-making authority lies with the states.
Looking at successful cases in renewable energy, despite significant support from the central government, it is the states that have responded with initiatives such as wind and solar policies, encouraging development and adoption. Similarly, states with more consumer-friendly and incentivising EV policies have witnessed higher rates of adoption.
Moving forward, addressing challenges in e-mobility requires coordination across multiple departments. While NITI Aayog coordinates efforts at the central level, different ministries such as the Department of Heavy Industries and MoP take action. At the state level, there is already a nodal agency in the form of the State Nodal Agency (SNA). However, SNAs often operate within specific departmental mandates, resulting in fragmented policies. To overcome this, comprehensive state policies are needed, but currently, only a few states have developed them. Encouragingly, states that delve into stakeholder consultations and address specific pain points have seen accelerated e-mobility adoption.
To facilitate this process, NITI Aayog could provide guidance with a model policy, with BEE offering support. However, the onus lies with the states to discuss and learn from each other’s best practices, taking ownership of the e-mobility transition. With comprehensive state policies in place, e-mobility adoption can become simpler, more consumer-friendly, and faster–an outcome that is crucial for policy success.