• India
  • Oct 12

Power ministry mandates energy accounting for discoms

The ministry of power said it has mandated energy accounting of distribution companies (discoms) on a periodic basis to reduce electricity losses.

The regulations in this regard have been issued by the Bureau of Energy Efficiency (BEE) with the approval of the ministry of power, under the provisions of the Energy Conservation Act, 2001, with an overall objective to reduce distribution sector inefficiency and losses, thereby moving towards the economic viability of discoms.

Key points:

• The notification stipulates quarterly energy accounting by discoms through a certified energy manager within 60 days. There will also be an annual energy audit by an independent accredited energy auditor. Both these reports will be published in the public domain.

• Energy accounting reports will provide detailed information about electricity consumption by various categories of consumers and the transmission and distribution losses in various areas.

• It will identify areas of high losses and theft and enable corrective actions.

• This measure will also enable the fixation of responsibility on officers for losses and theft. The data will enable the discoms to take appropriate measures for reducing their electricity losses.

• The discoms will be able to plan for suitable infrastructure up-gradation as well as demand-side management (DSM) efforts in an effective manner. 

• This initiative will further contribute towards India’s climate actions in meeting Paris Agreement goals.

Bureau of Energy Efficiency

• The government of India set up the Bureau of Energy Efficiency (BEE) on March 1, 2002 under the provisions of the Energy Conservation Act, 2001. 

• The mission of the Bureau of Energy Efficiency is to assist in developing policies and strategies with a thrust on self-regulation and market principles, within the overall framework of the Energy Conservation Act with the primary objective of reducing energy intensity of the Indian economy. 

• BEE coordinates with designated consumers, designated agencies and other organisations and recognise, identify and utilise the existing resources and infrastructure, in performing the functions assigned to it under the Energy Conservation Act. The Energy Conservation Act provides for regulatory and promotional functions.

Major promotional functions of BEE include:

• Create awareness and disseminate information on energy efficiency and conservation.

• Arrange and organise training of personnel and specialists in the techniques for efficient use of energy and its conservation.

• Strengthen consultancy services in the field of energy conservation. 

• Promote research and development.

• Develop testing and certification procedures and promote testing facilities.

• Formulate and facilitate implementation of pilot projects and demonstration projects.

• Promote use of energy efficient processes, equipment, devices and systems.

• Take steps to encourage preferential treatment for use of energy efficient equipment or appliances. 

• Promote innovative financing of energy efficiency projects.

• Give financial assistance to institutions for promoting efficient use of energy and its conservation.

• Prepare educational curriculum on efficient use of energy and its conservation.

• Implement international co-operation programmes relating to efficient use of energy and its conservation.

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