In what could be seen as a long-awaited step to mandatorily retrofit energy-efficient (EE) appliances in old government buildings across the country, the Union Ministry of Finance (MoF) has issued guidelines to replace energy-guzzler traditional lighting and electrical products with EE appliances.
“Considering the fact that majority of the government buildings are old constructions and, therefore, consume large amount of energy, the Ministry of Finance has issued guidelines for mandatory installation of energy-efficient appliances in all Central Government buildings across India,” the finance ministry has said in a statement.
According to the statement, the ministry has directed that usage of LED-based lightings and EE cooling equipment such as fans and air-conditioners in government buildings will lead to savings in the long run through reduction in energy consumption. The Department of Expenditure under MoF has decided to “take up” services of power PSUs-promoted Energy Efficiency Services Ltd (EESL) on nomination basis to assist various ministries and departments to retrofit EE appliances in all their premises across the country.
Currently, EESL is the implementation agency for the Buildings Energy Efficiency Programme, which was launched in May 2017 by the Minister of State (IC) for Power, Coal, Mines & New & Renewable Energy, Piyush Goyal. Under the programme, EESL intends to bring in investment of around Rs 1,000 crore covering more than 10,000 large government/private buildings by 2020. The public sector company is expected to retrofit an estimated one crore LED lights, 15 lakh EE ceiling fans, and 1.5 lakh EE ACs in these buildings. Besides retrofitting, EESL also aims to widen its services in areas like centralised AC system, Energy Audits, and New Generation Energy Management System in buildings.
The Buildings Energy Efficiency Programme has two business models: a) ESCO (Energy Servicing Company) model, where the entire upfront investment is made by EESL, which is paid back by the building owner out of the resulting energy savings from the intervention; and b) PMC (Project Management Consultancy) model, where EESL is the project management consultant for implementing the project for client. The client invests the entire project cost and bears one-time PMC charges of EESL.
With the Buildings Programme, it said, EESL aims to enhance the savings portfolio and ensure energy security for each citizen. EESL has already retrofitted EE appliances in prominent government buildings such as NITI Aayog, Nirman Bhawan, Sardar Patel Bhawan, Shastri Bhawan, J&K Assembly, Jammu Secretariat, Vidyut Bhawan, and Rajiv Chowk Metro station “where EE LED lights, ceiling fans, and air-conditioners have been retrofitted. EESL has so far installed about 94,000 LED lights, 3,000 EE air-conditioners, and over 400 ceiling fans in these buildings. At present, the savings through 28 completed building projects across seven states are estimated to be over 11.03 MU, which is bound to increase with each completed project.”