Transforming the Energy Services Sector in India: Towards a Billion Dollar ESCO Market

Sector Energy Efficiency
Grantee Alliance for an Energy Efficient Economy
Year 2017

One of the most important ways to realize energy efficiency potential is through Energy Services Companies (ESCOs) who implement energy efficiency projects though Energy Savings Performance Contracting. Shakti supported Alliance for an Energy Efficient Economy (AEEE) to develop a first-of-its-kind national ESCO survey that has estimated the size of India’s ESCO market to be between INR 93,000 - 120,000 crores for commercial buildings, agriculture pumping, municipal pumping, street lighting and industries.

Tagged Under

  • Thermal Comfort For All- Brochure
  • Read the detailed brochure here.

  • Thermal Comfort for All
  • This report presents a set of recommendations that are a combination of lean-mean-green strategies for space cooling for different stakeholders. These are based on key space cooling elements in buildings design & cooling technology, codes & standards, and market transformation through the use of energy efficient and environmentally sustainable cooling strategies and technologies.

  • Manual on Energy Efficiency Technologies and Best Practices for Indian Railways
  • Railways is one of the designated consumers under the Perform Achieve and Trade (PAT) Scheme, therefore, it is important to lay down alternate methods to improve their energy efficiency levels and achieve the targets under the PAT scheme. Shakti supported CII to explore opportunities to accelerate uptake of EE technologies and adopt best practices in the non-traction segment of the railways.

  • Practical guidebook for implementing smart technologies and clean energy projects in existing high-rise residential apartments
  • This guidebook explores opportunities to reduce the overall electricity consumption of existing high-rise buildings by shifting to energy efficient and renewable technologies. It provides in detail all the steps that need to be undertaken from inception to execution of clean energy and energy efficiency projects with technologies like cool-roof, roof-top solar and solar water heating.

  • An innovative ESCO-based financial model for driving the adoption of high efficiency motors in Ankleshwar chemical cluster
  • Electric motors account for 70% of overall electrical energy consumption in industries. Shakti supported the Energy and Resources Institute (TERI) to promote the adoption of energy efficient motors among MSMEs in the Ankleshwar chemical industry cluster of Gujarat. The project has successfully installed energy efficient motors (IE3) in several MSMEs in the Ankleshwar chemical cluster and has demonstrated the effectiveness of the ESCO model to promote these energy-efficient motors across the industry. Read the detailed brochure.

  • Energy efficiency in public procurement of IT hardware
  • IT equipment in government establishments and Public Sector Undertakings (PSUs) consumed approximately 2.2 billion kWh in FY14. This is expected to increase to 2.36 billion kWh in FY19. This report has captured the current ICT procurement practices followed by government establishments and Public Sector Undertakings (PSUs). It has highlighted the need for energy efficiency based ICT procurement and includes policy recommendations on public procurement of energy efficient IT products in government agencies and PSUs. An IT procurement tool was also developed under this project.

  • PAT Pulse – Compendium 2016
  • The PAT Pulse Compendium encapsulates the key findings of the research done across four thematic areas – analysis of PAT cycle 1 and the key learnings, sizing the investment potential of industrial energy efficiency, potential financing frameworks in industrial energy efficiency and innovations in smart manufacturing. The report also highlights some of the latest national and global technologies and innovations in the area of energy efficiency that have demonstrated their reliability successfully.

  • An Energy Efficiency Strategy for Small and Medium Enterprises (SMEs) – Vision 2025
  • This reports presents an analysis of the SME landscape in India and the operations of four SME clusters in north India. It describes some of the key challenges that inhibit the proliferation of energy efficient best practices, and recommendations to address these challenges. In addition, a decision support tool has been developed to help SME units take informed decisions to improve efficiency in their operations.

  • PAT Pulse- September 2016
  • The new paper attempts to identify the most optimal financing routes to unlock the identified potential. Based on high level stakeholder engagement and industry analysis, it identifies two key determinants of overall financing patterns: the size of the company as well as its willingness to contribute to the overall financing of energy efficiency. It suggests that cross-cutting technologies across industries have maximum potential under the ESCO model. It also identifies better financing routes for the Chlor-Alkali and Aluminum sector, and the Cement and Fertilizer sector.

Energy Efficiency
Climate Policy