India@COP22 Home
Facebook Icon

Perform, Achieve & Trade (PAT) Achievements, Challenges and way forwards

16 November 2016:Session 4

India has set forth for itself ambitious Intended Nationally Determined Contributions (INDCs), which aims at reducing the energy intensity of its GDP by 33 to 35 per cent by 2030 from 2005 levels. One of the sectors that play a vital role in Indian economy due to its close impact on country’s overall development is Industry. The Government of India, over the last few years has taken several initiatives focusing on industrial sector. These include Energy Conservation Act (2001), National Mission on Enhanced Energy Efficiency (NMEEE) and the flagship Perform, Achieve and Trade (PAT) scheme for reducing the specific energy consumption within industries and improving energy efficiency in industries by trading in energy efficiency certificates in energy-intensive sectors. .

The PAT Scheme is being implemented in cycle of three years, with the first cycle running from 2012-2015 covering 478 designated consumers from 8 energy-intensive sectors, namely aluminum, cement, chlor-alkali, fertilizer, iron and steel, pulp and paper, textiles and thermal power plants. It roughly covered 33% of India’s total energy consumption. At the end of first cycle these designated consumers have achieved energy savings of 8.67 million tons of oil equivalent against the target of 6.68 million tons of oil equivalent which is about 30% over achievement.

The session began with a status of PAT by Dr. Ashok Kumar, Energy Economist, BEE who highlighted that the success of PAT was because of the transparency, inclusivity and its participatory nature. .

This followed by 2 presentations with the Designated Consumers – NTPC (Thermal Power Plants) & Dalmia Cements (Cement). Both the presenters highlighted the targets they were provided and the interventions that were made at the unit level to achieve those targets. The presentatation for NTPC was made by Mr. A.K. Jha, Director (Technical) and for Dalmia Cements was made by Mr. M.K. Singhi, Group CEO and Whole time Director.

Unlocking private capital: Unlocking private capital holds the key for channeling finance to climate mitigation and adaptation fund. Public money from the developed countries must be sutilized to build capacities for bigger investments. Countries need to come together to design COP 23 as the “COP of Capital (markets)”.

Mr. Karthik Ganesan, Research Fellow, CEEW provided a detailed analysis of the first cycle of PAT and its success stories. He also highlighted that with each subsequent cycle of PAT, the targets will be get more stringent and difficult to achieve in the most cost-effective way.

The session was moderated by Dr. Ajay Mathur, Director General, TERI who highlighted the success of the first cycle and stated that India is now gearing up of the second cycle of PAT. He highlighted that the 2nd cycle covers 11 sectors including three new sectors namely the Railways, Electricity Distribution Companies and Petroleum Refineries. Under second cycle of PAT , 621 Designated Consumers are included where their energy consumption share is about 50% of India’s total energy consumption with a target energy saving of 8.86 million tons of oil equivalent.

The sessions were well attended by various stakeholders comprising of governments, industry, think-tanks and academia.

India's NDC

India’s INDC is prepared in a balanced and comprehensive manner to reflect all issues of:

Mitigation,Adaptation,ClimateFinance, Technology transfer and Capacity building while simultaneously endeavoring to meet all the developmental challenges that the country faces today.

Know more