CPPs, gas boilers: government fails to identify department to conduct energy efficiency audit
The federal government has reportedly failed to identify any public sector department which is equipped with expertise to conduct energy efficiency audit of Captive Power Plants (CPPs) and natural gas boilers, sources close to Secretary Water and Power told Business Recorder.
Giving the background, the sources said, Economic Co-ordination Committee (ECC) of the Cabinet in its meeting on January 1, 2013, while considering the summary of M/o Petroleum & NR on "policy guidelines for energy efficiency audit of CPPs and natural gas boilers, had decided that Cabinet Division, being the administrative Division of OGRA to explore the possibility of bringing a fresh summary proposing the role of Ogra in the proposed energy efficiency audit for captive power plants and natural gas boilers."
In pursuance of the decision, the matter was taken up with OGRA for their input. The Ogra responded that they may not be involved in the process as it is not a "regulated activity" in terms of Ogra Ordinance, 2002. Thereafter, M/o Petroleum & NR was requested to indicate any specific role of Ogra in the matter. That Ministry responded as follows: "Ogra being equipped with technical manpower may assume the role of a supervisory body to oversee the implementation of the ECC decision by its licensees, ie, SSGCL and SNGPL and that Ogra would provide its professional and technical assistance to both the companies for the same. The Cabinet Division being the administrative division of Ogra may like to seek the consent of Ogra on the above proposed role."
In the light of Petroleum Ministry's comments, Ogra was requested to play its supervisory role to oversee the implementation of the ECC decision by its licensees. However, OGRA did not agree to it and responded as follows "energy efficiency audit of industrial units like Captive Power Plants/boilers is a specialised job and is conducted by a specialised Audit companies comprising technical, financial and legal experts, having relevant/vast experience and accreditation/certification of relevant international organisations. Such energy efficiency audits may be a focal point for promotion and expansion of industrial sector of the country, or by ENERCON. The role of Ogra is only limited to regulation of midstream and downstream petroleum industry, under Ogra Ordinance, 2002."
According to sources, since ECC desires that M/o Water & Power may also offer comments on the issue, the views/comments of M/o Water & power were also invited, which are still awaited. The sources further stated while approving the proposal, the Prime Minister desired Cabinet Division will also provide its own proposals for solution of problem and plans to develop capacity within bodies working under it, but not limited to ENERCON, for carrying out regular energy efficiency audits to effect transparency in the system.
Since no technical expertise on the subject is available in the Cabinet Division, the later has proposed that a committee under the chairmanship of Secretary, M/o Water & Power, may be constituted, comprising representatives of Ministries of Industries & Production and Petroleum & Natural Resources as well as OGRA. The Committee may formulate concrete proposals for the solution of the problem and develop a viable plan for the capacity building of related bodies for carrying out regular energy efficiency audits to bring transparency in the system. The Committee may co-opt representatives from other related ministries/divisions/agencies, as it may deem appropriate and submit its report to the ECC within one month.
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