Ministry of Power
The Energy Conservation Act, 2001, was enacted to provide for efficient use of energy and its conservation and for matters connected therewith or incidental thereto. This act aims to promote energy efficiency, reduce energy consumption, and encourage the use of renewable energy sources in India. The Act does not specify a particular ministry; however, it falls under the purview of the Ministry of Power in India, as it deals with matters related to energy efficiency and conservation.
Enactment Date, Number of Chapters, Number of Sections:
The Energy Conservation Act, 2001, was enacted on September 29, 2001. The Act is structured into 10 chapters and 62 sections, along with a schedule. These sections cover various aspects of energy conservation, including definitions, establishment of the Bureau of Energy Efficiency, its powers and functions, financial matters, penalties, and miscellaneous provisions.
Act Governed By:
The Act is primarily governed by the provisions outlined within its sections. It establishes the Bureau of Energy Efficiency, defines its functions and powers, and outlines the responsibilities of the Central and State Governments in promoting energy efficiency. The Act also specifies the procedures for setting standards, conducting energy audits, and imposing penalties for non-compliance.
On Whom It Is Applicable:
The Energy Conservation Act, 2001, is applicable to all designated consumers, designated agencies, and other entities involved in the production, supply, and consumption of energy in India. This includes industrial units, commercial buildings, and other establishments specified in the Schedule or notified by the Central Government.
Penalties/Punishments:
The Act prescribes penalties for non-compliance with its provisions and the rules made thereunder. These include:
-
A penalty which shall not exceed ten lakh rupees for failing to comply with energy consumption norms or standards.
-
Additional penalty which may extend to ten thousand rupees for every day during which such failures continue.
-
Additional penalties for non-compliance with standards for appliances and equipment.
-
Other penalties as may be prescribed by rules made under the Act.
The Act also empowers the Central Government to take action against designated consumers and other entities for non-compliance.
Important Pointers:
-
The Act establishes the Bureau of Energy Efficiency (BEE) to promote energy efficiency and conservation.
-
It defines terms such as “designated consumer,” “energy audit,” and “energy consumption standards.”
-
The Act empowers the Central Government to specify norms and standards for energy consumption, equipment, and buildings.
-
It mandates energy audits for designated consumers and the implementation of energy conservation measures.
-
The Act provides for the issuance of energy savings certificates and carbon credit certificates.
-
It outlines the powers of the Central and State Governments to enforce efficient use of energy.
-
The Act emphasizes the importance of creating awareness and promoting research and development in energy conservation.
-
It also includes provisions for financial management, accounts, and audit.
-
The Act has been amended over time to adapt to changing needs and circumstances.
-
The Act empowers the Central Government to make rules and the Bureau to make regulations to implement the provisions of the Act.
Act Copy: