‘Energy efficiency need of the hour’

VIJAYAWADA: As part of the efforts to take energy efficiency measures to every consumer in the State, AP Electricity Regulatory Commission (APERC) has issued directions to discoms with regard to the usage of modern energy-efficient appliances by domestic consumers and execution of energy conservation and energy efficiency (EC & EE) projects.

The commission has directed the power utilities to thoroughly examine an on-bill financing model, which is stated to be successful in many parts of the globe, to encourage the usage of modern energy-efficient appliances by the domestic consumers. 

During a meeting held at the APERC office on the occasion of the National Energy Conservation Week-2021 ending December 20, APERC chairman Justice C V Nagarjuna Reddy said, “One may not be able to generate a unit of energy, but one can surely save one unit by adopting energy conservation and energy efficiency in our daily lives. It means one unit saved is worth two units generated.  Every one of us should take it as a social responsibility, which is the need of the hour.”     

“Energy efficiency is often the most immediate alternative to renewable energy to reduce the usage of fossil fuel. The usage of energy efficient appliances would make smart grids a reality, and help to save energy and lower electricity bills every month.”

The on-bill financing model is a mechanism whereby a utility company enters into a MOU with non-banking financial companies (NBFCs)/Energy Efficiency Services Limited (EESL)/original equipment manufacturers (OEMs) for supply of modern energy-efficient appliances to its consumers, and includes repayments to be made towards energy-efficiency appliances in the customers’ monthly bills for transferring the same to its MOU partners. 

The consumer would not be burdened as the repayment is largely out of the savings achieved in energy costs. The proposed model for usage of energy efficient appliances shall be a purely voluntary programme with sole interest of consumers 

The discoms’ role is in the form of a facilitator--without any liability in the event of non-payment for whatever reason. The model is uniquely positioned to overcome the first cost barriers for the adoption of energy-efficient appliances by residential consumers, the APERC chief said.