The National Mission for Enhanced Energy Efficiency (NMEEE) is one of eight national missions listed in the National Action Plan on Climate Change (NAPCC). The mission's main objective is to boost the market for energy efficiency by establishing supportive laws and policies. It also plans to support new, environmentally friendly business models for the energy efficiency industry. The Indian government set out on this objective to encourage the development of cutting-edge market tools and regulations to advance the energy efficiency market. This article will explain to you about The National Mission For Enhanced Energy Efficiency (NMEEE) which will be helpful in preparing the Environment Syllabus for the UPSC Civil Service exam.

Why focus on Energy Efficiency?

• India's energy efficiency ranks fifth lowest globally, which indicates that India's GDP energy consumption ratio is extremely low.
• India's primary energy demand increased from roughly 450 million tonnes of oil equivalent (toe) in 2000 to about 770 million in 2012.
• According to estimates from the International Energy Agency and the Integrated Energy Policy Report, this will rise to between 1250 million toes and 1500 million toes by 2030.
• India must therefore develop a strategic plan for lowering its reliance on fossil fuels while maintaining economic growth and energy efficiency in order to compete with other energy-rich nations.
• However, the Indian government has made noteworthy progress in recent years to improve its citizens' access to power and clean cooking.

India’s Increasing Energy Consumption

NMEEE- Objectives

• The objective of these improved energy efficiency measures is to help energy-intensive industries that use a lot of energy during the production process.
• Reduction in Energy Footprint: It plans to reduce its energy footprint and stimulate investment in the energy efficiency sector.
• Energy Saving Certificates: It also seeks to give major energy-intensive enterprises energy reduction targets to meet and to award Energy Saving Certificates (ESCerts) for doing so.
• Energy-efficient Machinery and Appliances: It aims to encourage the use of energy-efficient machinery and appliances.
• Willingness on Investments: It seeks to boost investors' and financial institutions' willingness to back energy efficiency programs.

NMEEE- Background

• The Energy Conservation Act of 2001 served as the foundation for the launch of this mission.
• This law is intended to address issues related to or incidental to the efficient use of energy, its conservation, and related problems.
• The mission document, authorized in 2010, stated that India has a potential market for energy efficiency worth Rs 74,000 crores.
• According to the mission, effective project completion would result in annual fuel savings of 23 million tonnes.
• Additionally, 98.55 million tonnes less greenhouse gas would be released into the atmosphere annually.

Initiatives Under NMEEE

The NMEEE consists of the following four initiatives to improve energy efficiency in energy-intensive industries:

• Perform Achieve and Trade (PAT): This scheme is a regulatory mechanism to lower specific energy consumption in energy-intensive industries.
• It also includes a market-based mechanism to increase cost-effectiveness by certifying excess energy savings that can be exchanged.
• Energy Efficiency Financing Platform (EEFP): The Energy Efficiency Financing Forum (EEFP) was established to offer a platform for communication between project developers and financial institutions (FIs) for the implementation of energy efficiency projects.
• MoUs have been signed as part of this program to encourage funding for energy efficiency projects.
• Market Transformation for Energy Efficiency (MTEE): MTEE encourages the use of energy-efficient appliances and equipment by developing novel business models.
• Framework for Energy Efficiency Economic Development (FEEED): Promoting energy efficiency initiatives by protecting against investment risks is the goal of the Framework for Energy Efficiency Economic Development.
• Thus, the National Mission for Enhanced Energy Efficiency can be described as a market-based strategy to open doors for energy efficiency.

Initiatives Under NMEEE

NMEEE- Implementing Agencies

Bureau of Energy Efficiency (BEE): An organization of the Indian government, the Bureau of Energy Efficiency falls under the Ministry of Power.

• Under the guidelines of the country's 2001 Energy Conservation Act, it was established in March 2002.
• The goal of the Bureau of Energy Efficiency is to "institutionalize" energy efficiency services, enable national delivery systems, and act as a national resource for energy efficiency in all spheres of national life.
• The economy's energy intensity would be reduced as the main goal.
• Energy Efficiency Services Limited (EESL): The Domestic Efficient Lighting Programme (DELP), or the UJALA plan as it is now known, is being implemented by Energy Efficiency Services Limited (EESL).
• The Domestic Efficient Lighting Program is implemented by the joint venture of state-run power firms known as Energy Efficiency Services Limited (EESL) (DELP).
• It has resulted in a 75% price reduction for LED lights.

NMEEE- Status of Implementation

• During the first cycle of the Perform, Achieve & Trade (PAT) scheme between 2012 and 2015, more than 400 industries lowered their emissions by 31 MT of CO2.
• April 1, 2016, marked the start of the second PAT Cycle, which lasted for three years until March 2019.
• The aggregate 8.869 MT of Oil Equivalent (MTOE) reduction objective under PAT II set to 621 units covers 11 sectors.
• Additionally, a third PAT cycle with a reduction objective of 1.06 MTOE for 3 years starting on April 1, 2017, was announced.
• New units will be informed for a period of three years annually under the PAT Scheme's current rolling cycle of implementation.
• Unnat Jyoti by Affordable LEDs for All (UJALA), the flagship program of EESL, has changed India's access to energy-saving LED bulbs and decreased carbon emissions by up to 27 million tonnes annually, experiencing an extraordinary 140X growth in just two years.
• Large-scale implementations of Energy Efficiency and Conservation (EE&C) across India's energy-intensive industries and other significant demand-side economic sectors offer an investment potential of INR 74,000 crore.

Results of Implementation of NMEEE’s Second PAT Cycle

Challenges to Energy Efficiency in India

• Difficulty in Prediction: Program outcomes are practically difficult to predict.
• Technological Hurdle: The lack of recent advancements in technology and research and development facilities has always posed a serious challenge in energy-efficient related sectors.
• Necessitates Constant Monitoring: Feedback mechanisms and decision-making procedures allow for ongoing monitoring and modifications are crucial.
• Multi-level Governance: Measurement, analysis, and integration into mainstream industries are limited by human and institutional capability, which is further complicated by multi-level governance systems.
• High Initial Cost: A hurdle is the higher initial cost; nevertheless, with sufficient and reliable information, people and businesses can make investments with paybacks of 2 to 5 years.
• Necessitates Incentives: A need for incentives arises from longer payback times.

Conclusion

Therefore, if these energy efficiency measures are implemented, the switch to clean energy will be cheaper and faster. India has also agreed to reduce its energy intensity (the amount of energy used per unit of GDP) by 33 to 35 % from 2005 levels by 2030 as part of the Paris Agreement. According to recently published data from the power ministry, the nation has already lowered the energy intensity of its economy by 20% from levels in 2005. This led to an overall reduction in energy use of 23.73 MTOE (million tonnes of oil equivalent) in 2018–19, saving INR 891.22 billion. However, there is still a vast untapped opportunity to expand energy efficiency measures to the households, micro, small, and medium businesses, as well as the transportation sectors.