Introduction to Perform Achieve and Trade (PAT) Scheme
KEP- 2nd Workshop For Best Practices in Energy Efficiency in Textile Sector
PAT Rules and Status Overview
Bureau of Energy Efficiency
INDIA
Contents
• Broad Initiatives on energy Efficiency
• PAT Cycle
• Concept of PAT
• PAT Rules and Phases
• Monitoring Reporting and Verification
• Forms
• Timelines
• Penalty and Adjudication
Broad Initiatives on Energy Efficiency
Fiscal Instrument for EE
PRGF VCF
Public Procurement
Stimulate Funding
for ESCOs and capacity building of financial
institutions
Energy Efficient Appliances BLY SEEP DSM
Energy Intensive Industries
Targets for Mandatory Energy Saving
PAT EEFP
FEEED
MTEE
NMEEE
NAPCC: National Action Plan on Climate Change was released by Prime Minister of India in June 2008. The action plan includes eight missions, one of which is National
Mission on Enhanced Energy Efficiency (NMEEE)
NMEEE- Four New Initiatives
PAT Overview and
Elements
5
• PAT Cycle – I Covers 478 plants in 8 energy intensive industrial sectors
• PAT Cycle-II, covers 621 plants in 11 energy intensive industrial sectors (three new sector, Refinery, DISCOMS and Railway has been added, with addition of new DCs in existing as well)
• Key Goal :Mandatory Specific Energy Consumption reduction
PAT Overview and Elements
PAT Cycle
Getting Information through Base Line Format
(Form-1)
Data Compilation, Verification through baseline audits and
Evaluation
Target Setting
[Declaration of Base Year, Target Year ]
Communication to Designated Consumers
Preparation of Performance Assessment
Document by DCs
(PAD or Form A)
Verification of PAD through EmAEA
(Form B)
Communication to SDA and BEE
Re-verification of documents submitted by DC
after M&V, by BEE
Issuance of ESCerts by MoP
Market
for Trade
Check Verification (if applicable) of PAD (Form C) through
EmAEA & submission of compliance doc
(Form D).
PAT-I Activity Flow Sheet P
re-
Not
ifica
tion
phas
e
Impl
emen
tatio
n
phas
e M
&V
and
Com
plia
nce
phas
e
What has been done so far: Capacity Building
What has been done so far: Committee Formation
PAT-I Overview and Status
Capacity building of State Designated Agencies (SDA)
More than 10,000 Certified Energy Auditor (CEA)
Appointment of Energy Manager in DCs (Made Mandatory)
175 Accredited Energy Auditor (AEA)
53 Empanelled Accredited Energy Auditor (EmAEA)
PAT Secretariat
48 Nos of Capacity Building Workshops for SDAs, DCs AEAs, EMs, EmAEA
Technical Committee formation in all the sectors
Sub-Technical Committee formation on Normalisation
70 nos of committee meeting for finalization of Pro-forma and Normalisation Factors
Detailed sector specific proforma development
18 Nos of Plant visit to understand the complexities of operation and finalization of Normalization Factors
10 Nos of plant visit for beta testing of data entry form and calculations
National Energy Saving Targets under PAT (%) (2012-15)
Sr
No
Sector No. of
Identified
DCs PAT
Cycle-1
Reported
Energy
Consumptio
n PAT Cycle-1
(million toe)
Energy
Saving
Targets
under PAT
Cycle-1
(million toe)
1 Aluminium 10 7.71 0.456
2 Chlor-Alkali 22 0.88 0.054
3 Textile 90 1.2 0.066
4 Pulp &
Paper
31 2.09 0.119
5 Iron & Steel 67 25.32 1.486
6 Fertilizer 29 8.2 0.478
7 Cement 85 15.01 0.816
8 Thermal
Power
Plants
144 104.56 3.211
Total 478 164.97 6.686
Baseline Period:
2007-08, 2008-09, 2009-10
Assessment year: 2014-15
M&V period: April-2015 to Jun-
2015
PAT-I Overview and Status
Sr.
No
Sector No. of DCs in
PAT I
Additional DC
in PAT Cycle-II
Total no. of
DCs PAT -2
1 Aluminium 10 2 12
2 Chlor-Alkali 22 3 24
3 Textile 90 14 99
4 Pulp & Paper 31 4 29
5 Iron & Steel 67 9 71
6 Fertilizer 29 8 37
7 Cement 85 27 111
8 Thermal Power
Plants
144 22 154
9 Refinery NA 18 18
10 DISCOMS NA 44 44
11 Railway NA 22 22
Total 621
PAT Cycle II Baseline Year: 2014-15 PAT Cycle year 2016-2019 Assessment Year: 2018-19 M&V period: Apr-2019 to 31st July2019
Total Energy Consumption from 11 sectors 227 mtoe
National Target = 8.869 mtoe at the end of 2nd PAT Cycle (by 2018-19)
PAT-II Overview and Status
Concept of PAT
As the SEC is calculated on a Gate-to-Gate concept, the definition of plant boundary plays an important role.
PROCESS
Electricity
(KWH)
FO (Ltr)
NG (SCM)
Coal (KG)
Others (KG or
Ltr)
Product (Kg)
All forms of
Energy
E P
SEC = E / P
Plant Boundary
Baseline
SEC
Target SEC
Reduction in
SEC
Year 1 Year 2 Year 3
SE
C
Specific Energy Consumption
◙ Output Product: Equivalent Product in tonnes
◙ Input Net Energy: Fuel and Power in tonnes of oil equivalent
Specific Energy Consumption (SEC) is the division of
Input Net Energy by Output Equivalent Product
Gate to Gate Boundary
Saving
Target
Baseline
SEC
Target
SEC
Achieved
SEC
Scenario 1 Scenario 2
Compliance
Issued
Escerts
Purch
ase
Escert
s
Penalty
Concept of Target, Compliance, ESCerts & Penalty Concept of Target, Compliance, ESCerts & penalty
Administrator
MoP/Central Govt
Nodal Agency
Bureau of Energy Efficiency
Implementer
Designated
Consumer
State Administrator
State Designat
ed Agency/
SERC
Verifier
Accredited Energy Auditor
Trading Regulator, Registry
Central Electrici
ty Regulat
ory Commission/PO
SCO
Stakeholders
PAT Rules and Phases
• EC Act schedule provides list of 15 energy intensive industries and other establishments to be notified as designated consumers (DC).
• DCs to appoint or designate energy managers who shall be in charge of activities for efficient use of energy and its conservation (clause 14(l)).
• Note: The minimum qualification of energy manager to be designated or appointed under clause 14(l) is the passing of certification examination, conducted by Bureau of Energy Efficiency.
• The following information to be provided for energy manager:
• Name of the energy manager
• Registration number (EA/EM No.)
• Complete postal office address
• Telephone and Mobile number
• Email address)
• The information with regard to energy consumed (clause 14(a)) in Form 1
• Get energy audits conducted by accredited energy auditors
• Implement techno-economic viable recommendations
• Comply with norms of specific energy consumption fixed
• Submit report on steps taken
Mandatory requirement to be fulfilled by DC
Target Setting Phase
Notification Phase
Implementation Phase
Monitoring , Reporting and Verification (MRV) Phase
PAT Phases
Policy Objectives
INDC
Intended Nationally Determined Contribution by India: targets to lower the emissions intensity of GDP by 33% to 35% by 2030 below 2005 levels
Goals
Reduction in Energy Intensity between 2016 and 2019 by 7%.
Target Setting Phase
Role of BEE
• The Bureau recommended the Energy Consumption Norms and Standard for
DCs to Central Govt.
Role of Central Govt. The Central Govt. shall by notification :
• Establish and specify the energy consumption norms & standards for
every DC’s plant under clause(g) of section 14
• Give direction to all DCs for compliance with the energy consumption
norms and standards under clause(n) of section 14 and inform the
Bureau & all the SDAs
• With recommendation of Bureau, the central Govt has notified the
Target (S.O. 1264(E) dated 31st March, 2016)
Notification Phase
Monitoring and Verification
Steps for M&V to be taken by the DC
Fill in the sector specific proforma
Collect and keep ready all the relevant documents as evidences as per instructions sheet of proforma and M&V guidelines
Appoint Empanelled Accredited Energy Auditor (EmAEA), for carrying out M&V
Make available all the documents as required by EmAEA
Fill in the Form A, and get it signed and stamped by the plant head and energy manager of the plant
Obtain duly signed and stamped form B from the EmAEA
Submit the form, I, A and B, with M&V report and supporting documents to SDA with a copy to BEE within the timeline.
Timelines
Activity Time Line Description Tentative Dates for PAT Cycle II
Activity by
Where
Form 1, Action plan submission
3 Months Within 3 month from Notification 30 June 2016
DC SDA/BEE
Form 1 submission 3 Months Yearly submission of Form 1 within 3 months from last financial year
30 June (Every Year)
DC SDA/BEE
Form A, Form B along with others documents
4 Months Within 4 month from conclusion of target year
31st July 2019
DC SDA/BEE
Submission of Form A, Form B with SDA comments
45 Days Within 45 days of the last date of submission of Form A
15th Sept 2019
SDA BEE
Recommendation of Escerts to MoP, GOI
Two Months
Within two months from the date of the receipt of the comments from SDA
15th Nov 2019
BEE MoP
Issuance of Escerts by MoP
45 Days Within 45 days from the date of the recommendation of Escerts from BEE
31st Dec 2019
MoP
Form D Submission One Month After 1 month from the Completion of Trading
DC SDA/BEE
Timelines and Activities
Check-Verification
The Bureau may on its own or receipt of a complaint within 1 yr from date of submission of compliance report from the date of issue of ESCerts shall initiate action in accordance with following procedures:
It shall be competent for the State Designated Agency to supervise the completion of check-verification through its Inspecting Officer, who shall, if need be, may submit its inspection report under the Energy Conservation (Inspection, Rules),2010 2010 to the State Designated Agency who shall take further necessary action under intimation to the Bureau
Issue a Notice to DC and EmAEA , asking for comments
Within two months from receipt of comment, Bureau
shall after taking into consideration the said
comments, decide to undertake or not to undertake
review and the Bureau shall record the reasons in
writing for its decision
Check-Verification
Bureau appoints EmAEA to conduct Check Verification
EmAEA shall assess and verify that
the activities performed by the DC
The DC shall furnish full and complete data, provide necessary
documents and other facilities required by the AEA for the purpose of
performing the function of check-verification under these rules.
The AEA in-charge of check-verification function shall report the results of his assessment (Form C) in a check-verification report to BEE.
Check-verification report (Form-’C’)
+ ve Opinion -ve opinion
All requirement regarding ECN&S & issue or purchase of ESCerts met.
Effect of such opinion on ECN&S, issue or purchase of ESCerts, liability of AEA in giving verification report, amount of unfair gain gained by DC shall be calculated by AEA
Amount Payable by
DC
Check-Verification report (Form C)
• No. of ESCerts wrongfully obtained by DC
• No. of ESCerts which DC was liable to purchase for non-compliance
• Details of misrepresentation & unfair gain due to misrepresentation.
• Cost of check verification
Details provided by BEE to SDA
• Value of amount payable by DC shall be as worked out in report PLUS 25% of such value because of unfair practice used by DC
• Amount of toe of energy specified because of unfair gain
• Cost of check-verification
Amount payable by DC
• Within 2 month from data of receipt of Form C shall initiate:
• Action to recover from DC the loss to central Govt. by unfair gain
• Penalty proceedings against persons mention in report under intimation to BEE
• Register complaint for unfair gain if DC doesn’t pay penalty & loss to exchequer in specified time
Penalty proceedings (After check verification)
Forms
1. Name of designated consumer
2. Registration number
3. Sector
4. Sub-sector
5. Accredited energy auditor
Name
Registration number
6. List of documents submitted
a. Baseline data (three years) Submitted/Not submitted Date of submission
b. Form I ()
Specify the year in the bracket
Submitted/Not submitted Date of submission
c. Form I ( )
Specify the year in the bracket
Submitted/Not submitted Date of submission
d. Form I ( )
Specify the year in the bracket
Submitted/Not submitted Date of submission
e. Form II Submitted/Not submitted Date of submission
f. Form III Submitted/Not submitted Date of submission 32
Performance Assessment Documents (Form A) To be filled by DCs
33
7 Target Year Notified target specific energy
consumption for the cycle
Energy savings certificates
issued
Revised target specific energy
consumption for the cycle
toe/ton of product or Net
Kcal/kWh
Nos toe/ton of product or Net Kcal/kWh
a. Mention the year
( )
-
b. Mention the year
( )
c. Mention the year
( )
-
8. Specific energy consumption
a. Specific energy consumption (baseline) toe/ton or Net kcal/kWh
b. Production (baseline) ton or Million kWh
c. Revised target SEC (from 7.b) toe/ton or Net kcal/kWh
d. Target after normalisation, if any toe/ton or Net kcal/kWh
e. Achieved specific energy consumption toe/ton or Net kcal/kWh
f. Energy savings certificates nos
9. Energy Efficiency Project implemented during current cycle
Project Year of Implementation Annual Energy
consumption
(before)
Annual Energy
consumption
(after)
Energy tariff Investment
Performance Assessment Documents (Form A)
Form B
34
Form B
(See rule 5)
CERTIFICATE OF VERIFICATION
I/We __________________the accredited energy auditor, have undertaken a
thorough independent evaluation of the activities undertaken by M/s. _________________,a
designated consumer for compliance with the energy consumption norms and standards
specified under the Government of India Ministry of Power notification
number_______________, dated the ___________during the target year compared to the
baseline year and consequent entitlement or requirement of energy savings certificates and
certify that-
(a) the verification of the data collection in relation to energy consumed and
specific energy consumption per unit of production in the baseline year and in
the target year in Form 1under Rules 2007 or Rules 2008, has been carried
out diligently and truthfully;
(b) the verification of the identified energy efficiency measures, and the progress
of their implementation given in Form II and Form III under Rules 2008 has
been carried out diligently and truthfully;
(c) the verification of the compliance with energy consumption norms and
standards during the target year has been carried out diligently and truthfully;
(d) the verification of the total amount of energy saved, year-wise, after the
baseline year and until target year or otherwise and request made by the
designated consumer, the entitlement of _________ (Nos) energy savings
certificate (s) required to be issued or purchased by him have been carried
out diligently and truthfully;
(e) all reasonable professional skill ,care, and diligence have been taken in
verifying the various verification activities, findings and conclusions,
documents, reports, preparing the documents including the performance
assessment document in Form ‘A’ and verification report and the contents
thereof are a true representation of the facts.
Form B
1. Name of designated consumer
2. Registration number
3. Sector
4. Sub-sector
5. List of documents submitted
a. Performance Assessment
Document (Form ‘A’)
Submitted/Not Submitted Date of Submission
6. Compliance
a. Energy Savings Certificates Issued/Recommended for
purchase
b. Energy Savings Certificates
submitted for compliance
If recommended for
purchase
c. Balance Energy Savings Certificates Nos 35
Form D- Compliance of Energy Consumption Norms and Standard Document
Penalties and Adjudication
Penalties and Adjudication
As per Section 26 of EC Act, If any DC fails to comply with the timelines of M&V
procedure, he shall be liable for a penalty of Rs. 10 lakh, in addition to Rs. 10,000 per day
If any DC fails to comply with the provisions, he shall be
liable to a penalty of Rs. 10 lakh rupees and, in the case of continuing failure, with an additional penalty of the price of every metric ton of oil equivalent of energy
Any amount payable under this section, if not paid, may be
recovered as if it were an arrear of land revenue.
Trading of Escerts
Thank You
Process Flow for Escert Trading Process Flow For Escerts Trading
Thank You
Process Flow for Escert Trading Process Flow For Extinguishing of Escerts
Thank You