India today generates 1,55,000 MW power, while the nation still faces a shortage of 60,000 –

65,000 MW., this shortage can be addressed by following energy efficient practices, suggested
Mr B S Yadav, Additional Director, Haryana Renewable Energy Development Agency (HAREDA),
Government of Haryana. He was speaking at the Workshop on Enhancing Competitiveness
through Energy Efficiency organized by the Confederation of Indian Industry (CII) and Bureau of
Energy Efficiency (BEE).

Mr Yadav further said that the state of Haryana has the energy savings potential of 622.4 MW.
Keeping this opportunity in perspective the state Government has established the State Energy
Conservation Fund for the purposes of promotion of efficient use of energy and its conservation
within the State. Furthermore the government has also unveiled schemes for the industry to
recognize and promote the efforts for energy efficiency by the industrial units. He said that
HAREDA would bear 50% of the energy audit undertaken by industries in the state to promote
the concept of energy audits.

He further listed that the State of Haryana, through its Energy Conservation Measures, promotes
usage of Solar Water Heating Systems. All government buildings have been directed to use CFLs
and T-5 tube lights and Use of ISI marked pump sets and accessories for new tube-well
connections, incorporation of energy efficient building design and RE technologies for new
Government buildings have been made mandatory. Mr Yadav urged the industry to conserve
energy & follow the energy efficient practices at their shop floors.

Presenting a case of energy efficiency in Auto industries, Mr C K Sharma, Chief Executive,

Consulting Engineers stated that energy efficiency is the cheapest and quickest way not just to
meet the ever growing energy demands of the economy, but is also instrumental in environmental
conservation as it will reduce the consumption of coal. The practice also braces an enterprise to
be more competitive by just correcting the energy leakages in the system.

Mr Gaurav Kumar, Project Officer, Bureau of Energy Efficiency, Government of India said that the
power sector has huge saving potential. Towards this objective, BEE is actively involved in
achieving energy efficiency in SMEs clusters in various sectors like bricks, brass, chemical, rice,
etc. The enterprise undertakes situational analysis of each of the identified clusters and presents
a detailed project report proposing technologies that can help these clusters to become more
energy efficient.

Mr Kuldeep Rastogi, AGM Utility Services, Hero Honda in his presentation said that Hero Honda
has been actively involved in energy efficient techniques and has been transforming the same to
its vendor companies through cluster approach. He said that just small changes at the shop floor
can contribute a lot in energy cost reduction such as using reflectors along with the lights,
aluminum casting in cooling towers, amongst others.

Mr Rajiv Chawla, President, Faridabad Small Industries, Association & Managing Director, Jairaj
Ancillaries Pvt Ltd shared about the initiatives on the cluster on auto industry formed by them in
Faridabad where they focused on energy conservation in a big way.

Mr Sanjay Namdeo, Counsellor- Energy, CII L M Thapar Centre for Competitiveness said that CII
has been actively engaged in providing energy audit services to the industry across the nation.
He said that energy is a major cost component in the production and energy efficiency directly
implies to increase in profitability. Explaining more about the need of energy audits he said that
energy efficient techniques result in tangible benefits.

Mr L K Jain, Chairman, CII Haryana State Council & Chairman & Managing Director, Lakshmi
Precision Screws Ltd in his welcome address opined that energy is universally recognized as the
key driver for economic growth. India’s per capita power consumption is likely to touch 1,000
units by 2012. Thus gaps in demand and supply should be filled to meet the future needs of the
economy.

Mr Amit Chugh, Founder & CEO, Cosmos Ignite Innovations Pvt. Ltd stated that the scare of
Climate Change brings forth an opportunity to save energy and help save the planet. In addition
the corporate are at an advantageous position for adopting energy efficient practices and do
away with a quantum of energy cost.

The session also included presentations from Mr. Samit Jain, Director Advit Foundation, Mr. Atul
Jain, Director Gentech Toolings Pvt Ltd, and Mr Mahesh Jain, Sr Manager – Operations Abilities
India Pistons & Rings Ltd. With over 50 representatives from the industries of Gurgaon, the
programme was very well accepted and several questions were put to the speakers by the
participants whish made

Coping with power shortage

With every passing year, it is becoming increasingly clear that power shortage in India is unlikely to
disappear anytime soon. The shortage went on mounting as the demand for electricity has kept on
growing, while capacity expansion has fallen short of targets: both in the ninth and tenth plans, the
capacity additions in the power sector were just about half the targets.

It is unlikely that the ambitious target of 90,000 MW can be reached in the eleventh plan
(2007/12). Does it mean, therefore, that electricity consumers should learn to live with scarcity and
regular load shedding? It is high time we start looking for options that would keep the situation
from getting out of hand.

As has been widely reported in the media, cities and towns in Maharashtra faced load shedding of
up to 10 hours or more this summer and, in several states, industries had to shut down for more
than one day a week due to load shedding. In fact, in Maharashtra, the situation had reached such
a point that the state’s power distribution company MSEDCL approached Maharashtra Electricity
Regulatory Commission (MERC) with a proposal to extend the closure days from one to two every
week for industrial units.

However, in today’s changed context, throwing one’s hands up in helplessness is not the answer.
When the Indian economy has entered an era of high economic growth, distribution utilities in the
states have an added responsibility to seek out solutions that do not hinder growth.

In Pune, for example, the CII’s local chapter in consultation with MSEDCL submitted a proposal to
MERC to utilise the surplus captive generating capacity of around 90-100 MW available with the top
30 companies in its area. MERC on its part, after holding public hearings, issued an order approving
the proposal, which mitigated the supply shortfall.

But, since these captive plants were running on liquid fuels, their cost of generation was much
higher than the conventional power plants running on coal. Hence, to ensure viability, the captive
generating units had to be reimbursed with the difference in costs by levying a reliability surcharge
of 42 paise per unit on all the units sold in the area, except sales to residential and commercial
customers consuming less than 300 units per month. In return, all the consumers in Pune were
guaranteed zero load shedding.

Today we are facing acute energy shortages, resulting in power shading from 4 to 10 hours every
day at different locations in India. Building new power generating plants is part of a long term
planning depending on fossil fuel availability. This is high time, we must work out solutions over
energy crisis with additional advantages if possible.

The average per capita consumption of energy in India is around 500 units per annum. In spite of
high rate of development these figures are very low, compared to developed countries. (Middle East
10,000+, USA 8000+, Europe, Australia, Japan etc 4000+) .In our country major contribution to
electrical energy generation is by coal and oil based power generation plants, followed by hydro and
nuclear power generating stations. All these power generating plants (except hydro and nuclear)
have contribution to CO2 emissions and global warming effects.

Many experts believe that by 2015 the supply of oil & natural gas will be unable to keep up with
demand, or oil and natural gas production would be at peak by 2015. By that time the BRIC
countries (Brazil, Russia, India and China) will need large quantities of oil, especially because of fast
growth of the Indian and Chinese economies. Crude oil Price might shoot to the $150 per barrel
level and higher. The impact on our import bill and balance of payment will be very serious.

Coal: Coal has a similar story, but may last for a longer period of time. India has extractable
reserves of 52 billion tones. Annual production now is 407 million tones and the rate of growth of
production is going to be very high. The Government of India predicts complete depletion of coal in
40 years. The key factor is not depletion but peaking of production which is expected by 2015 in
India. A recent study predicts global peaking of production of coal by 2025. The use of coal in power
industry contributes sizable amount of CO2 emissions and fly ash pollution within few kilometers
around the power plant.

As per Indian Atomic Energy Chairman’s opinion, our uranium reserves would be adequate only for
meeting 10,000 MW of Nuclear power capacity for next 30 years. New Uranium mining sites in the
north-east are facing stiff resistance from the local people. India has vast reserves of Thorium, but
Thorium based reactors are yet to be installed and proven. In addition, due to the safety problem of
nuclear plants (Chernobyl incident), nuclear power is always controversial. Countries like Germany
plan to decommission all of their nuclear plants by 2025 and replace them with Renewable Energy
generations.

For India, new initiatives are being formalized to obtain nuclear fuel and new reactor technology
with three major collaborating countries: France, Russia and USA. The Government of India sees a
mix of power sources for the foreseeable future, until renewable energy comes of age.

The consumption of electricity is growing on the worldwide basis. Energy is a necessity and clean
renewable energy is an obligation to the earth and our future. Due to industrial revolution ‘CO2
emission and Global Warming’ have become serious global issues. Most of the countries’
governments have set targets to reduce CO2 emission in order to prevent global warming further. A
transition from conventional energy systems to those based on renewable resources is necessary to
meet the ever-increasing demand for energy and to address environmental concerns.

Since franchisees generating stations would typically be connected to local feeders at 33, 22, or 11
KV, the transmission losses associated with the supply of electricity from the pit head power
stations would be avoided. Moreover, since the power would be supplied to consumers in areas
where the willingness to pay for reliable power is high, the revenue leakage due to theft or defaults
in bill payments would also be low. In Pune, distribution losses are lower than 15% and collection of
bills almost hundred per cent. Hence this model can work only in areas where distribution losses are
lower and collection efficiency is high.

Renewable Energy produces electricity from environmentally friendly sources. These energy
generations are with almost zero CO2 emissions and negligible pollution.

The Sun is the source of almost all forms of energy including fossil, hydro-electric, wind and solar
energy. India is blessed with an abundance of sunlight, water and biomass.

Although we are currently dependant on fossil fuels, sunlight itself is a tremendous source of energy
which is largely remained untapped. ‘There is enough potential energy in just one hour of
‘SUNLIGHT’ to power the electrical needs of the entire world for a full year.’ Now imagine if we
could harness this inexhaustible source of energy. Solar energy is also a clean source with no
emissions. One solar water heater can reduce global warming gas emissions equivalent to one
automobile. With the recent developments in technology, solar energy systems are scalable for
large and small uses, and they require minimum maintenance. Most importantly, with government
tax incentives and rebates, solar energy could be made financially viable. Hence it is time to start
adopting solar energy systems.

We are seeing now days Solar energy is being used for heating of water. And at some places solar
street lights are being used. A few projects large size community kitchens and industrial heating
applications also have cropped up recently.

Solar electricity is generation of electricity from the power of the Sun, via photovoltaic cells (pv).
This is altogether different from the solar water heating, where the water passes through panels to
be heated directly, and no electricity is generated.

Photovoltaic cells are made from silicon. When particles of sunlight (photons) fall on cells, there is
direct conversion to a usable electric current.

As an average 100 to 130 watts energy is generated from one square meter of the solar panel. Now
a days estimated life of the Solar Panel is more than 20 years and needs very simple maintenance
like weekly surface cleaning. A battery pack with controller is necessary for storing generated
energy. The stored energy can be used as and when required, through inverter. An exclusive solar
generation system of capacity of 250 to KWH units per month would cost around Rs. 5 Lacs, with
present pricing and taxes.

Most of the developed countries are switching over to solar energy as one of the prime renewable
energy source. Latest trend of Architecture keep provision of Photovoltaic cells and necessary
circuitry while making building plans.

Wind energy was initially used to propel ships. Later windmills were used for water pumping, grain
grinding , etc. At the end of the 19th century small scale power generating units were set up in USA
with windmill application.

Serious interest in wind energy development came after the first oil shortage and price shock in
1973. Today wind turbines are making a major contribution to the production of renewable energy.
Developments in harnessing wind power continually improved, and during the last decade a sizeable
growth has happened in the wind energy industry. Wind Turbines have become larger, efficiencies
and availabilities have improved and wind farm concept has become popular. Wind power is one of
the most efficient alternative energy sources. It could be combined with solar, especially for a total
self-sustainability project. The two systems (solar/wind) seem to be complimentary with each other.

The economics of wind energy is already strong, despite the relative immaturity of the industry. The
downward trend in wind energy costs is predicted to continue. As the world market in wind turbines
continues to boom, wind turbine prices will continue to fall. India now ranks as a "wind superpower"
having a net potential of about 45000 MW only from 13 identified states.

Theoretically speaking, India has a huge hydro power potential, out of which around 20% has been
realized so far. New hydro projects are facing serious resistance from environmentalists.
Resettlement of the displaced people with their lands becomes major issue. With change in
environment, the run-off in rivers is also decreasing year by year.
Biomass is organic matter produced by all livings on the earth. Also it refers to other organic wastes
like animal waste, food-processing by-products etc. Everything that is biodegradable is biomass.
The solar energy trapped in the biomass can be converted in to fuel or electricity.

Burning wood to heat or cook is one of the least efficient ways to use bio-energy. Still it is the most
important energy source for some three billion people in the world. However there are better ways
to use biomass. In 2005 burning wood alone produced more energy than all nuclear power plants
put together. Woody biomass could be major and reliable renewable energy source if proper
management of vegetation is ensured. The most efficient way of using biomass is gasification.
Biomass power is the largest source of renewable energy as well as a vital part of the waste
management infrastructure.

The United States of America is currently producing 7800 MW of power only from biomass, having
more than half of the world's installed capacity of Biomass energy.
Dedicated energy crops are another source of woody biomass for energy. These crops are fast-
growing plants, trees or other herbaceous biomass which are harvested specifically for energy
production. Rapidly-growing, pest-tolerant, site and soil-specific crops have been identified and are
developed by making use of bioengineering.

Biomass can play a major role in reducing the reliance on fossil fuels by making use of thermo-
chemical conversion technologies. In addition, the increased utilization of biomass-based fuels will
be instrumental in safeguarding the environment, creating new job opportunities, sustainable
development and health improvements in rural areas. Biomass energy could also aid in modernizing
the agricultural economy. A large amount of energy is expended in the cultivation and processing of
crops like sugarcane, food grains, vegetables and fruits which can be recovered by utilizing energy-
rich residues for energy production. The integration of biomass-fuelled gasifies and coal-fired
energy generation would be advantageous in terms of improved flexibility in response to
fluctuations in biomass availability with lower investment costs.

Bio-Diesel is extracted from specific quality oil seeds. Plantation of such oil seeds generally assumed
on waste lands. This could be good solution as substitute for oil. However a few advanced countries’
governments are not encouraging this bio-diesel oils seed cultivations because threat to reduction
in Agricultural Food crops production.

Ethanol is one of the successful by-product of agro industry, identified to promote in transportation
industry.Latest development and pilot plant trials have shown ‘ALGAE’ as good source of bio fuel,
which gives many times higher yield of bio-oil compared to any oilseeds. However results of
commercial scale production are awaited.

Waste-to-energy plants offer two important benefits of environmentally safe waste management
and disposal, as well as the generation of clean electric power. Waste-to-energy facilities produce
clean, renewable energy through thermochemical, biochemical and physicochemical methods. The
growing use of waste-to-energy as a method to dispose off solid and liquid wastes and generate
power has greatly reduced environmental impacts of municipal solid waste management, including
emissions of greenhouse gases. The greenhouse gas emissions are significantly reduced by
preventing methane emissions from landfills. Moreover, waste-to-energy plants are highly efficient
in harnessing the untapped sources of energy from a variety of wastes. An environmentally sound
and techno-economically viable methodology to treat biodegradable waste is highly crucial for the
sustainability of modern societies. Waste to energy plants would be feasible, when there is
consistent and sizable amount of waste generation on daily basis. Especially municipal councils can
take benefit of this technology, which may ease challenges of waste disposal.

The growth of the bio-energy industry can also be achieved by laying more stress on green power
marketing. Recently there are a few successful demonstrations abroad for Tidal energy generation
from sea / ocean waves. However, due to limited amount of energy generation, tidal may not be
appealing for commercial electricity generation.

Microgeneration, also called “micropower”, is the generation of zero or low-carbon electrical power
by individuals, small businesses and communities to meet their own needs. The most widely-used
microgeneration technologies include small wind turbines, solar power photovoltaic or biomass
conversion systems that have been promoted for decades as alternative sources of renewable
energy. What is new, is the potential for micropower to move out of the alternative scene and be
taken up on a wider, societal level, thus making a noticeable impact on energy policy. Because of
technological advances, microgeneration now includes handheld solar and wind-power recharging
devices for personal electronics, as well as advanced photovoltaic, biomass and wind-turbine
systems to power homes and factories.

Traditional “megapower” production of electricity is insufficient today because of exponential

industrial growth and improved life style. Traditional power stations are located far from the point-
of-use, and the consumer doesn’t know more than using the electricity and paying the electricity
bills.

A recent study shows that microgeneration actually acts as a catalyst for cultural changes in
consumer attitude, and provides evidence of the important impact that microgeneration has on
consumers’ attitudes and behaviors regarding energy production and use. Microgeneration is both a
serious form of clean energy production and also a cultural movement that is gathering momentum
worldwide. Microgeneration technologies include small wind turbines, biomass gasifires, solar
power, micro-hydro, may be with any combinations etc.

‘Companies in renewable energy business today are growing as fast as Microsoft did in the 80’s!’
.Developed countries from Europe, USA, Australia, Japan, China and many others have laid down
intensive planning and actions to use renewable energy resources to great extent. For example USA
has announced massive renewable energy program, to generate large share of total energy
requirement from renewable energy sources by 2025, which will create 5 million new job
opportunities in various areas of Renewable Energy.

Explore possibility to make our own power house, by means of solar , wind , biomass etc. with
whatever feasible renewable energy source. Determine to use government / utility company
electricity supply, only incase of emergency or unavoidable circumstances. Prima-facie renewable
energy may appear a bit costlier than the conventional source of energy, but looking at the benefit
of continuous power availability and great contribution against global warming, it is worth. We will
not only save money on our electricity bills by generating our own electricity, but it will also
significantly increase the value of our property.