Energy Audit Scheme – A Step Towards Energy Efficiency

In a world where energy consumption is on the rise, it is essential to take measures to conserve energy and reduce carbon footprint. The Indian government has introduced the Energy Audit Scheme to promote energy efficiency. Industries and establishments will receive the benefits.

Overview of the Energy Audit Scheme

The Energy Audit Scheme is a government initiative aimed at promoting energy conservation and efficiency. The scheme provides financial assistance to conduct energy audits and implement energy-saving measures. The scheme covers all types of industries, including manufacturing, commercial, and institutional sectors.

Purpose of Energy Audit

1. To identify areas of energy wastage
2. To suggest measures to optimise energy consumption
3. To identify areas for implementing energy-saving measures
4. To achieve significant cost savings
5. To reduce carbon footprint

Eligibility Criteria for Energy Audit Scheme

1. The organisation should have a minimum annual energy bill of ₹20 lakhs and the energy audit should cover at least 10% of the total energy consumption.
2. The Energy Audit Scheme is available for all types of industries and establishments.
3. The scheme is open to both private and public sector entities.
4. The applicant should have a valid electricity connection.
5. The entity should have been in operation for at least one year.
6. The applicant should have paid all electricity bills up to date.

Quantum of Assistance

Under the Energy Audit Scheme, the government provides financial assistance of up to 50% of the cost of the energy audit. The maximum amount of assistance is ₹1.5 lakhs.

Scope of Work

The audit report should include a detailed action plan for implementing energy-saving measures.

Here are some simple points for the scope of work under the Energy Audit Scheme:

• The energy audit assesses the energy consumption pattern of the organisation.
• The audit identifies areas of energy wastage and suggests energy-saving measures.
• The audit may involve a detailed study of the energy consumption of various equipment, lighting, and other systems.
• The audit may also suggest changes to building design and operations to optimise energy consumption.
• The scope of work may vary based on the size and complexity of the organisation and its operations.

Documents Required for Energy Audit Scheme

The following documents are required to apply for the Energy Audit Scheme:

1. Copy of the latest energy bill
2. Company registration certificate
3. Proof of ownership or lease agreement
4. PAN card and bank account details
5. Detailed project report
6. Concerned Authority for Sanction

The Bureau of Energy Efficiency (BEE) under the Ministry of Power is the concerned authority for sanctioning the Energy Audit Scheme.

Time Limit

To claim reimbursement for energy audit expenses or capital requirements, eligible units must submit their claims within three months from completing the energy audit or making the purchase. Adhering to this time limit ensures timely processing and avoids any delays in receiving the reimbursement for the incurred expenses.

Concerned Authority for Sanction

The Director of Industries and Commerce holds the responsibility of sanctioning assistance for medium enterprises. Meanwhile, for micro and small enterprises, the concerned authority is the Additional Director of Industries. They are mandated to approve the funds within 30 days from the completion date of the claim, ensuring prompt support to these businesses.

Interpretation

Interpretation of the provisions within this scheme rests with the Secretary of Industries and Commerce, Haryana. As the designated authority, the Secretary is responsible for providing clarifications on any aspect of the scheme, ensuring transparency and guiding stakeholders in understanding its intricacies.

Appeal

In the event of application rejection, applicants have the right to appeal to the Principal Secretary within 30 days of receiving communication from the concerned authority. The decision rendered by the Principal Secretary during the appeal process is deemed final and binding, concluding the matter.

Penal Action

If an applicant obtains government assistance by furnishing false information, they are liable to refund the assistance with penal interest at 12% per annum. Moreover, the applicant will face disqualification from receiving any future assistance or incentives from the State Government. Honesty and transparency are crucial to maintain the integrity of government support programs.

Application Procedure

Application Procedure for Energy Audit Scheme in Haryana:

Step 1: Apply on the department’s official portal with required documents for energy audit expenses reimbursement or capital equipment purchase within three months from the audit or purchase.

Step 2: Director of Industries & Commerce verifies the application. If any errors are found, the applicant is informed within ten working days.

Step 3: Make corrections within 8 weeks and resubmit.

Step 4: If corrections aren’t made in time, the concerned authority files the claim, with the applicant informed via email.

Step 5: Principal Secretary Industries & Commerce reviews rejected claims within 30 days.

Note: No additional documents should be submitted without approval from the concerned authority.

Summary

The Energy Audit Scheme is a government initiative aimed at promoting energy conservation and efficiency. The scheme provides financial assistance to conduct energy audits and implement energy-saving measures. Any organisation, including commercial, industrial, and institutional, can apply for the scheme. The scheme covers all types of industries, and the concerned authority for sanctioning the scheme is the Bureau of Energy Efficiency.

Conclusion

In conclusion, the Energy Audit Scheme is a valuable initiative by the government to promote energy efficiency. Along with efficiency, conservation in industries and buildings is also promoted. It provides financial help to conduct energy audits, which can identify potential energy savings and lead to reduced energy consumption and costs. The scheme has eligibility criteria, a scope of work, and a specific application procedure, which interested applicants should carefully review before applying. Remember to use energy efficiently at all points in your life. For any expert advice or clarifications, contact our experts at Vakilseach.

FAQs

What is the subsidy for an energy audit?

Under the Energy Audit Scheme, the government provides financial assistance of up to 50% of the cost of the energy audit. The maximum amount of assistance is Rs. 1.5 lakhs.

What are the three types of energy audits?

The three types of energy audits are preliminary audit, detailed audit, and comprehensive audit.

What is the energy audit cost?

The cost of an energy audit varies depending on the size of the organisation and the scope of the audit. However, under the Energy Audit Scheme, the government provides financial assistance of up to 50% of the cost of the energy audit.

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