perform achieve and trade -...
TRANSCRIPT
Page 1
Perform Achieve and Trade
A Low carbon Strategy for inclusive growth
in India
Marrakech
10th Nov 2016
Jens Burgtorf Head
Sectorprogramme Technology Cooperation in
the Energy Sector
Page 2
World CO2 Emission Savings
20
25
30
35
40
45
2008 2015 2020 2025 2030 2035
Gt
42.6 Gt
35.4 Gt
21.7 Gt
Current Policies
Scenario
450 Scenario
New Policies
Scenario
13.7 Gt
7.1 Gt Efficiency 50%
Renewables 18%
Biofuels 4%
Nuclear 9%
CCS 20%
Share of cumulative abatement
between 2010-2035
New Policies Scenario is the central scenario in WEO-2010
• Assumes cautious implementation of recently announced commitments & plans
The 450 Scenario sets out an energy pathway consistent with the goal of limiting
increase in average temperature to 2OC
Source: WEO 2010
Page 3
India – CO2 Emission Reduction
Efficiency 51%
Renewables 32%
Biofuels 1%
Nuclear 8%
CCS 8%
Share of cumulative abatement
between 2010-2035
Page 4
India’s Installed Power Generation Capacity
Total Installed Capacity: 303 GW
Page 5
Energy Profile - India
140
145
150
155
160
165
170
175
180
185
190
3
3,05
3,1
3,15
3,2
3,25
3,3
2004-05 2005-06 2006-07 2007-08 2008-09
Energy Intensity of industry sector (mtoe per Billion Rs. GDP)
Commercial energy consumption in Industry (in mtoe)
Energy Intensity -
Industrial Sector
GHG Emissions Across
Sectors
Page 6
% Share of Clean Energy At 23%, share of green energy (including nuclear) in India’s total energy is
the highest-ever today, but if compared to other countries, its still a long
way to go
% SHARE OF CLEAN ENERGY IN TOTAL POWER GENERATION
Germany France US China India
99
%
72
%
40
%
32
%
23
% Source: BP Statistical Review of World Energy 2016, * data is for 2010 for solar energy
Page 7
Macro indicators for future needs of India
Indicators Unit India in
2014
India in
2030
Population billion 1.2 1.5
Urban population million 377 (2011) 609
GDP USD trillion 2.04 (2016) 6.31
Per Capita GDP USD 1408 4205
Electricity Demand TWh 776 (2012) 2499
Per capita avg. annual
energy consumption
toe 0.6 (India) 1.88
(Global
average)
Energy Intensity gm oil
equivalent
per Rs. of
GDP
18.16
(2005)
15.02 (2012)
Aiming:
11.08
(2030)
Page 8
Energy Intensity Continues To Decline
0
0,05
0,1
0,15
0,2
0,25
0,3
0,35
China India USA Germany Japan
kg
oe/2
005 U
S$ (
PP
P)
Energy Intensity
Year 2000 Year 2005 Year 2010 Year 2013
Page 9
Perform Achieve and Trade Scheme (PAT)
Page 10
PAT: Overview and Elements
Covers 478 Designated Consumer (DCs) in 8 energy intensive
industry and Gate to Gate boundary concept adopted.
Large variations in energy intensities of different units in
almost every sector
Key Goal: Mandate Specific Energy Consumption
improvement
Energy Intensity reduction target for each unit based on its
current efficiency in base line (2009-10)
Multi-cycle process – First PAT cycle till 2014-15
Design based on extensive consultations over 2010-12
2001 2014-
2015
Energy
Conservation
Act enacted
National Action
Plan on Climate
Change released
Sector studies
Commenced to
identify DCs Baseline data
collection begins
Financial outlay of over
US$20 million approved
National Mission for
Enhanced Energy
Efficiency (NMEEE)
Approved by
Ministry of Power
Nation wide Consultation
Workshops organised;
consultation
continues through 2012
NMEEE approved by
Prime Minister's Council
on Climate Change
Energy Conservation Act
amended to make provisions for
issue of energy saving
certificates, imposition of penalty
for non compliance and trading
Of ESCerts
Perform, Achieve and Trade
(PAT) scheme came into effect;
first compliance period begins
(2012-2015)
2008 2009 2010 2011 2012
Base line Studies completed,
Draft PAT Rules prepared
and feed back sought on draft targets
Assessment year of
First PAT Cycle
THERMAL
POWER
STATIONS
IRON & STEEL
CEMENT
FERTILIZER
PULP&PAPER
ALUMINIUM
CHLOR-ALKALI
TEXTILE
HIGHLIGHTS DCs
Page 11
Typical PAT Cycle
11
DC
Notification
Data
Collection &
Verification
Consultation Ministerial
Technical
Committee &
Notification
Implement -
ation
Achievement
Verification &
ESCert
Trading
Minimum
Energy
Consumption
Notification.
Say 30000 toe
for cement
11 Sectors
notified so far
Data
Collection &
3rd party
verification for
Baseline
Data collected
from 1000
plus
industries
With
Industries,
Associations,
Ministries,
Research
Bodies etc.
250 Plus
consultation
meeting/work
shops/visits
70 TCM to
discuss
Targets,
Saving
potential &
international
practices
PAT1: 31.3.12
478 units
PAT2: 30.3.16
621 units
PAT3: 31.3.17
(Proposed)
3 Year cycle
for each PAT
Cycle
PAT1: 2012-15
PAT2: 2016-19
PAT3: 2017-20
Verification by
Accredited
Energy
Auditors &
Trading
427 industries
verified for
PAT1
PAT Cycle
Page 12
Mechanism
Trading
Exchange
Ba
se
SE
C
Ta
rge
t S
EC
Ach
iev
ed
SE
C
Base S
EC
Ta
rge
t S
EC
Ac
hie
ve
d S
EC
Ba
se
SE
C
Ta
rge
t S
EC
Ach
ieved
SE
C
Ba
se
SE
C
Ta
rge
t S
EC
Ac
hie
ve
d S
EC
ESCert Issued ESCert
Purchased
Non Compliance Trading Not
Required
Co
mp
lie
d
Co
mp
lie
d
Co
mp
lied
Penalty
Imposed
1
SEC (Specific Energy Consumption): Energy Consumed per unit production
IV III
II I
Page 13
PAT 1– Targets & Achievements
1
S. No
Sector No of DCs
Annual Energy
Consumption (Million toe)
Target Reduction
(Mtoe)
Actual Savings (Mtoe)
% Increase
1 Aluminium 10 7.71 0.46 0.73 59%
2 Cement 85 15 0.82 1.44 76%
3 Chlor- Alkali 22 0.88 0.05 0.13 100%
4 Fertilizer 29 8.2 0.48 0.83 73%
5 Iron & Steel 67 25.3 1.49 2.1 41%
6 Paper & Pulp 31 2.09 0.12 0.26 117%
7 Textile 90 1.2 0.07 0.12 71%
8 Thermal Power
Plant 144 105 3.21 3.06 -5%
Total 478 165.38 6.686 8.67 29%
Page 14
Impacts – PAT 1
1
8.67 mtoe
5635 MW
6600 rakes of
coal
1.25% of
India’s total primary
energy supply
32 million
tonnes of CO2
reduction
1.93% of
India’s emissions
Skill
Development
Capacity
building: 5000+
Engineers and
operators
13718 Energy
Auditors &
Managers
219
Accreditation
Energy
Savings of
5.2 Billion €
Encouraged
investments for
energy efficient
technologies
for
manufacturing
in India
2.9 Billion €
invested
Page 15
PAT-II Overview and Status
Sr No
Sector Notified Nos
Energy Consum
ption
Old DCs
Nos Energy
Consumption Target
2018-19
Old New
1 Aluminium 10 7.71 10 12 10.66 0.57
2 Cement 85 15.01 84 111 21.43 1.12
3 Chlor- Alkali 22 0.88 21 24 1.77 0.101
4 Fertilizer 29 8.2 29 37 8.25 0.45
5 Iron & Steel 67 25.32 62 71 40.44 2.14
6 Paper & Pulp 31 2.09 25 29 2.68 0.15
7 Textile 90 1.2 85 99 1.48 0.087
8 Thermal Power
Plant 144 104.56 132 154 120.16 3.13
9 Refinery 18 18.50 1.10
10 Railways 22 1.39 0.033
11 Discom 44
Total
478 164.97 448 621 226.76 8.869
6%
13%
1%
5%
24%
2% 1%
35%
13%
0%
Saving Target PAT II Aluminium
Cement
Chlor- Alkali
Fertilizer
Iron & Steel
Paper & Pulp
Textile
Thermal Power Plant Refinery
Page 16
Impacts – PAT 2
1
6
17.5 mtoe
11407 MW
13500 rakes
of coal
2.09% of
India’s total primary
energy supply
60 million
tonnes of CO2
reduction
3-4% of
India’s emissions
Skill
Development
Capacity
building:
12000+
Engineers and
operators
15000 Energy
Auditors &
Managers
500
Accreditation
Energy
Savings of
6.6 Billion €
Encouraged
investments for
energy efficient
technologies
for
manufacturing
in India
3 Billion €
to be
invested
Page 17
CO2 mitigation by 2020 from Industries
Total CO2 reduction by 85 million tonnes of CO2 from all 13 sectors
Energy
consumption
Coverage up to
70%
8,67 10,94
13,21 16,21
20,84 24,14 30,35
38,29
46,24
56,74
72,94
84,49
2015 2016 2017 2018 2019 2020
CO2 Mitigation by 2020
Cumulative Saving in mtoe Expected CO2 mitigation in mtCO2 178%
Cumulative CO2
mitigation: 329
mtCO2
Page 18
PAT II and Beyond (Rolling Cycle)
478
BY:2007-10
AY:2014-15
621
BY:2014-15
AY:2018-19
PI PII
230 +
2
Sectors
(1500-
2000)
BY:2015-16
AY:2019-20
PIII
2012 2016 2017
Left
Over in
existing
sector
+
New
Sectors
BY:2016-17
AY:2020-21
PIV
2018
Left
Over in
existing
sector
+
New
Sectors
BY:2017-18
AY:2021-22
PV
2019
621+Left
Over in
existing
sector
+
New
Sectors
BY:2018-19
AY:2022-23
PVI
2020
230+Left
Over in
existing
sector
+
New
Sectors
BY:2019-20
AY:2023-24
PVII
2021
Page 19
Share of 5 PAT industrial Sector in CO2 Emission {Power, Steel, Cement, Fertilizer, Aluminium}
57,80%
42,20% Share of 5 Industrial Sectors Covered under PAT
Remaining
CO2 Emission in Million Tonnes (2008-09)
Head Emission (in MT)
Total 1500
Share of 5 Sectors 867
Page 20
Projected
53,70%
46,30% Share of 5 Industrial Sectors Covered under PAT
Remaining
CO2 Emission in Million Tonnes (2020-21)
59,21%
40,79% Share of 5 Industrial Sectors Covered under PAT
Remaining
CO2 Emission in Million Tonnes (2030-31)
Emission (in MT)
Total 2800-3400
Share of 5 Sectors 1826
Emission (in MT)
Total 4000-5670
Share of 5 Sectors 3360
Page 21
Visions for PAT
Vision Document
Trust Building
Strong Measurement and Monitoring System
No Monitoring and Verification
Standard Operating
Procedure (SOPs)
PAT Cycle SOPs for all sectors
Baseline and Target Setting Methodology
Online Filing
Direct Entry of Data in pro-forma through PATNet
Development of Strong data base
Direct measurement and Entry from Field
Instruments >> No need of BL verification and M&V
Financial Platform
Gap Funding through Accelerated Depreciation
Tax Incentives for Energy Efficient
Equipment/Technology/Process >> Study initiated
Development of ESCO model before final
implementation
Mobile-app
Mobil App for PAT Industries
Real time Application
Page 22
India’s NDC
India Intended Nationally Determined Contribution (INDC) in response to COP decision will reduce the emission intensity of its GDP by 33-35% by 2030 from 2005.
The emission intensity of our GDP has decreased by 12%
between 2005 and 2010.
To achieve 40% cumulative electric power installed capacity from non-fossil fuel based energy resources by 2030.
Page 23
Thank you for your patient listening
Questions?
Jens Burgtorf Head
Sector Programme on Technology Cooperation in the Energy Sector
Friedrich-Ebert-Allee 40
53113 Bonn, Germany
Data & Slides provided by Vikash Ranjan
Indo-German Energy Programme
New Delhi, India