Chhattisgarh State Energy Conservation Fund

 As per the provisions of “Energy Conservation Act -
2001” (No 52 of 2001), enacted and enforced by Govt. of
India, Govt. of Chhattisgarh has constituted the
“Chhattisgarh State Energy Conservation Fund”
for the purposes of promotion of efficient use of
energy and its conservation within the State
Salient features of “Chhattisgarh State Energy
Conservation Fund”
 The Fund shall be administered by State Designated Agency
under Clause 16 (4) of this Act.
 This fund will be utilized for promoting energy conservation and
energy efficiency in the state of Chhattisgarh.
 To the Fund shall be credited all grants and loans that may be
made by the State Government or, Central Government or any
other organization or individual for the purposes of this Act.
Objectives of the fund: To incur expenditure through State Designated Agency for
various awareness programmes for disseminating
information to individual consumers, industries,
commercial organizations, students, farmers etc.,
regarding energy conservation and efficient use of energy.
 To organize training programmes for employees and
specialists pertaining to energy conservation and energy
efficiency through State Designated Agency.
 To perform Research and Development activities under
Energy Conservation.
 To develop procedures for testing and certification of
energy consuming devices, certification and testing and
verification facilities.
 To develop and execute demonstration projects related to
energy conservation and energy efficiency for
encouragement and to contribute in the projects of Bureau
of Energy Efficiency and Central Government.
 To encourage procedures of energy efficiency in devices,
means and systems.
 To make expenditure in implementing the provisions of
Operation of fund: The Fund shall be operated by State Designated Agency
under Clause 16 (4) of this Act.
 The Chief
Executive Officer, CREDA, (Designated
Agency) shall be empowered for expenditure upto Rs.
5.00 lakhs. and Energy Department, Government of
Chhattisgarh shall be empowered for the expenditure for
over Rs. 5.00 lakhs.
– The designated agency shall maintain income and
expenditure account and shall submit six monthly
expenditure to the State level co-ordination committee.
– The income and expenditure of the designated agency
shall be audited by Chartered Accountant firm
appointed by the agency and shall be audited by the
Accountant General, Chhattisgarh from time to time.
Activities taken under SECF:
 CREDA has accorded the task for preparation of
sector specific energy saving plan for the State of
Chhattisgarh to Energy Efficiency Services Ltd,
vide letter No. 2914 Dtd. 04-08-2010. The sectors
selected under this task are:-
a. Agriculture Sector.
b. Industrial Sector.
 By utilizing the SECF, CREDA has started the work
of preparation of DPRs on Waste Heat Recovery
Systems for 20 industries in Chhattisgarh.
 CREDA has undertaken the work of assessment of
energy saving through existing waste heat recover
systems being already used in industries in the
state of Chhattisgarh.
• CREDA is in process to assess the potential of
waste heat recovery projects in the industries of
Chhattisgarh State. The potential will be
harnessed through waste heat recovery boilers,
economizers, recuperators, etc.,
• CREDA is also in process to prepare waste heat
recovery policy for the state of Chhattisgarh so that
waste heat recovery schemes may be promoted in
the State extensively.
Experience & Future Direction.
 BEE has provided grants for SECF (Chhattisgarh) as
Preparation of WHR policy
- Rs. 20.00 Lacs.
Preparation of DPRs for WHRS
- Rs. 25.00 Lacs.
Establishment of demo projects
- Rs. 40.00 Lacs.
Implementation of E.C. measures - Rs. 60.00 Lacs.
in Govt. / Commercial buildings.
& pumping stations.
e. Preparation and implementation of - Rs. 55.00 Lacs.
sector specific E.C. plan.
Total:- Rs. 200.00 Lacs.
 CREDA has provided matching fund of Rs. 230.00
Lacs. to SECF.
 CREDA is planning to implement various WHR
projects in ESCO mode in the State of
 As WHR projects involve higher capital investment
therefore it is suggested that BEE shall provide Rs.
50.00 Crores as one time grant to SECF of SDAs to
facilitate them to work as ESCO..
Some suggestions:
 Cess (Sub taxes)shall be imposed on all types of
fuels being used for process heating in industries
and the revenue generated from fuel cess will be
used to enrich the Central Energy Conservation
Fund, which will promote energy conservation
and efficient use of energy.
 As Chhattisgarh Govt. is collecting Cess on
electricity @ 5 paise per unit and providing a part
of Cess to enrich state energy conservation fund
other states may also follow the same.