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AP setup Special PAT cell with APSECM industrial,economic development.

 AP setup Special PAT cell with APSECM industrial,economic development.



Special PAT cell to enhance industrial energy efficiency in AP

Energy department issues orders establishing PAT cell with APSECM and industries department

Aiming at strengthening energy efficiency in industries, the State government has established a special cell with AP State Energy Conservation Mission (APSECM),State Designated Agency (SDA), Energy department and industries department for implementing Perform, Achieve and Trade (PAT) scheme in energy intensive industries.

The Energy secretary Srikant Nagulapalli said that the AP government was very keen on promoting cost effective and quality power which helps to improve the potentiality of industrial development and for overall economic development of State. “Chief Minister Sri Y S Jagan Mohan Reddy and Minister for Energy Balineni Srinivasa Reddy have strong commitment to strengthen the 24×7 electricity supply at Global standards for industries sector. The PAT scheme will help to meet the objective of government,” he said. The energy department will also make all out efforts with the support of BEE and State industries department to adapt the best global technologies in industries energy efficiency sector including 98000 MSMEs in the State.

The Energy Secretary thanked Director General/BEE, Abhay Bhakre for giving opportunity to Andhra Pradesh for conducting Investment bazaar for southern region which is first of its kind in India that will have a major impact on investment energy efficiency projects. APSECM will continue to pursue with the stakeholders on implementing energy efficiency financing projects.

The government is also contemplating to organise a State level conference on implementing energy efficiency measures in industries under the PAT scheme. The State energy department issued orders constituting a PAT cell which is responsible for implementation of energy efficiency recommendations made by BEE, GoI and identifying potential industries and shall take steps for reducing specific energy consumption in energy intensive industries under the PAT scheme and to address and resolve any issues pertaining to DCs on PAT.

According to officials, the State government has laid special focus on improving energy performance in all kinds of industries and strengthening the existing quality and reliable power supply to entire industries sector. Modern economies across the world depend on the reliable and affordable delivery of power and want to transform power systems keeping the climate change related issues in mind. The PAT scheme was specially designed to address this kind of issues and improve energy efficiency in industries.

In view of this, the State has demonstrated excellent performance in implementing PAT scheme. The energy efficiency measures are being implemented in 20 energy intensive units from various industrial sectors namely cement, fertilizers, pulp and paper, power generation and chemical etc., in Andhra Pradesh State which had demonstrated energy savings of around 0.21 Million ton of oil equivalent (mtoe) i.e 2,384 Million Units(MU) (238.4 crore units) of electricity that worth around Rs. 1600 crore under PAT cycle-I. Similarly, the State achieved around 0.25 million toe i.e 2904 MU(tentative) in PAT Cycle-2 in 28 energy intensive units, according to Bureau of Energy Efficiency report.

The State had achieved significant change in carbon emission reduction of 0.73 million tons of CO2 equivalent under PAT cycle-I and estimated reduction of 0.89 million tons of CO2 under PAT cycle-II which is higher than the first cycle.

The PAT scheme is a market-based compliance mechanism to accelerate implementation of cost-effective improvements in energy efficiency in large energy-intensive industries (designated consumers–DCs), through certification of energy savings that could be traded. Under the PAT scheme, the DCs, who achieve the specific energy consumption above the targets, would be issued with Energy Saving Certificates ( ESCerts) by the BEE.  The EScerts are tradable through power exchanges which can be purchased by the underperforming DCs so as to avoid penal actions under enforcement.

The Energy efficiency measures under PAT would help for reduction in electricity usage, lower per unit production cost leading to profits and ultimately helps for industrial growth. As per BEE reports, the industries sector alone consumes 40 per cent of total energy in India and the sector might record a rapid increase in energy consumption in future. The energy consumption is expected to reach 443.4 Million toe by 2031 against the present total energy consumption of 347 Million toe in industrial sector in India.

According to Director General BEE who has discussed with secretary energy and SDA officials has disclosed that R K Singh, Union Minister of State (Independent Charge), Ministry of Power has emphasized to treat PAT scheme as the most significant scheme and motivate all State governments to ensure to realize the targets which will help for industrial promotion as well as enhancement of national economy.

PAT Cycle-I achieved tremendous success at national level with energy savings of 8.67 million tonnes of oil equivalent (Mtoe), monetary savings of Rs 9,500 crore from saved energy consumption, emission reduction of 31 million tonnes of CO2 equivalent, capacity building of over 5,000 engineers and operators, and encouraged investments of about Rs 26,100 crore in energy efficient technologies. Cumulatively, PAT Cycle-1 realized 30 percent more than the targeted energy saving. Under PAT cycle -2, around 30 per cent of the total primary energy supply of the country as per 2014-15 level was covered under the scheme, the DG said.

List of operating energy intensive industries covered under PAT Cycle-I & II:

SnoDesignated Consumer Firm Names In APPAT Cycle
1spectrum power generation limited (208MW)I & II
2Ultratech cement Limited(AP Cement Works)I & II
3Sree Rayalseema Alkalies & Allied Chemical Ltd.I & II
4The Andhra Sugar Ltd.I & II
5The Andhra Pradesh Paper Mills Limited.I & II
6NFCL Kakinada Unit- I.I & II
7Rain cement Ltd Unit-III & II
8The India Cements Ltd, Chilamkur. PAT Cycle- II & II
9The India cements ltd, Yerraguntla PAT Cycle- II & II
10NFCL Kakinada Unit-2I & II
11Penna cements Industries ltd, unit-1 PAT Cycle- II & II
12Penna cements Industries ltd,(talaricheruvu) PAT Cycle- II & II
13Vijayawada Thermal Power PlantI & II
14Delta papers mills ltd.I & II
15KCP cement Unit-1 , MacherlaI & II
16Lanco Kondapalli power plant pvt ltd.I & II
17NTPC(SIMHADRI Power plant)I & II
18Gas Turbine Power StationI & II
19Rayalaseema Thermal Power plantI & II
20Rashtriya Ispat Nigam LtdI & II
21Zuari CementII
22Dalmia Cement (PAT Cycle II)II
23Bhavya Cements LimitedII
24KCP Cement Unit-2 , JaggayyapetII
26JSW Cement, KurnoolII
28Sree jayajyothi cements pvt ltdII
  • Improving energy performance in all kinds of industries and strengthening reliable power supply at global standards is the objective
  • AP plans to organise a state level conference on implementing energy efficiency measures in industries under the PAT scheme
  • State demonstrates excellent performance in implementing PAT scheme
  • AP industries save power worth around 0.21 Million ton of oil equivalent(mtoe) equivalent 2384 Million units(MU) under PAT cycle-I, around 2904 MU(tentative) in PAT Cycle-2, as per BEE report.
  • Industries sector alone consumes 40 per cent of total energy in India
  • PAT helps for reduction in industrial energy usage, lower production cost leading to higher profits and helps for industrial growth
  • Government very keen on promoting cost effective and quality power which helps for industrial, economic development of AP
  • Secretary energy thanked industries dept for their support in PAT scheme implementation

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