Govt Proposes Amendments in EC Act to Boost Clean Power Consumption


The Ministry of Power has proposed amendments to Energy Conservation Act, 2001 which include provision for specifying minimum quantum of renewable energy in the overall consumption by establishments and industrial units. The amendments are aimed at promoting consumption of renewable energy.


The Ministry of Power has prepared amendments, after consultations with various stakeholders.

Power Minister R K Singh reviewed the proposed amendments and directed to seek comments and suggestions from concerned line ministries / departments and state governments.


“Amidst the growing energy needs and changing global climate landscape, the Government of India has identified new areas to achieve higher levels of penetration of renewable energy by proposing certain amendments to Energy Conservation Act, 2001,” a power ministry statement said.


The amendments will have objectives of enhancing demand for renewable energy at the end use sectors such as industry, buildings, transport etc, and also support the climate goals commitments of the country.

The proposal includes defining minimum share of renewable energy in the overall consumption by the industrial units or any establishment, it stated.

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There will be provision to incentivise efforts on using clean energy sources by means of carbon saving certificate.

Furthermore, by adopting energy efficiency measures, India holds a potential to reduce about 550 MtCO2 by 2030. The proposed changes to the EC Act will boost the adoption of clean technologies in various sectors of economy.

The provisions would facilitate promotion of Green Hydrogen as an alternate to the existing fossil fuels used by the Industries.

With the amendment to EC Act, 2001, the focus is to empower institutions to contribute for Paris commitments and fully implement NDCs in a timely manner, it stated.

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