Lok Sabha Question No. 5888 (UNSTARRED), answered on 2017-04-10
Subject: Energy Conservation in Steel Sector
Ministry: STEEL
Asked by: ASHWINI KUMAR CHOUBEY, RAGHAV LAKHANPAL

## LOK SABHA UNSTARRED QUESTION NO.5888 FOR ANSWER ON 10/04/2017

## ENERGY CONSERVATION IN STEEL SECTOR

## 5888.  SHRI ASHWINI KUMAR CHOUBEY: SHRI RAGHAV LAKHANPAL:

Will the Minister of STEEL be pleased to state:

(a) whether any steps have been taken for energy efficiency/conservation in iron & steel industrial sector in the country;

(b) if  so,  the  details  thereof  including  the  quantum  of  energy  saved  on  average per tonne production of steel during the last three years and the current year;

(c) whether any incentive plan has been formulated for energy conservation by the companies engaged in steel production; and

(d) if so, the details thereof including the funds allocated and utilized for promotion of R&D in Steel Sector during the said period?

## ANSWER

## THE MINISTER OF STATE FOR STEEL

## (SHRI VISHNU DEO SAI)

(a) Yes,  Madam.    As  per  the  provisions  of  Energy  Conservation  Act,  2001, Ministry  of  Power,  Govt.  of  India  notified  the  industrial  units  of  Iron  &  Steel  Sector having annual energy consumption equal to or more than 30,000 toe (Tonne of Oil equivalent)  as  Designated  Consumers.  All  such  units  are  covered  under  Perform, Achieve & Trade (PAT) scheme and specific energy consumption reduction targets have been issued to these units.

(b) In  first  cycle  of  PAT  (FY  2012-2015),  60  such  Designated  Consumers  were identified.  Subsequently,  11  more  iron  &  steel  units  are  included  in  second  PAT cycle-II, which commenced from April 2016. On the basis of monitoring & verification reports  of  60  Designated  Consumers  of  iron  &  steel  sector,  it  is  estimated  that average energy saved is 0.45 Gcal per tonne of crude steel during the assessment year of PAT Cycle- I i.e. FY 2014-15.

(c)&(d): No direct incentive plan has been formulated by Bureau of Energy Efficiency for  energy  conservation  in  steel  sector  production.    However  under  the  Perform, Achieve & Trade (PAT) scheme, Energy Saving Certificates (EScerts) can be earned by  designated  consumer units for  achievement  of  excess  energy  reduction  targets under the scheme. These EScerts can be traded on exchange platform for monetary benefits.

Funds allocated & utilized for promotion of R&D in steel sector during the last four years is given in the table below:-

## (Rs. in Crore)

| Year    | Steel Development Fund   | Steel Development Fund   | Government Fund   | Government Fund   |
|---------|--------------------------|--------------------------|-------------------|-------------------|
|         | Allocated                | Actual                   | RE                | Actual            |
| 2013-14 | 20.00                    | 17.41                    | 8.00              | 8.00              |
| 2014-15 | 20.00                    | 17.00                    | 7.00              | 2.03              |
| 2015-16 | 20.00                    | 18.21                    | 15.00             | 10.26             |
| 2016-17 | 20.00                    | 18.13                    | 15.00             | 15.00             |