Section 4 in The Energy Conservation (Energy Consumption Norms and Standards for Designated Consumers, Form, Time within which, and Manner of Preparation and Implementation of Scheme, Procedure for issue or purchase of Energy Saving Certificate and Value of Per Metric Tonne of Oil Equivalent of Energy Consumed) Rules, 2012
4. Procedure for establishment of energy consumption norms and standards.
(1)For the purpose of establishment of energy consumption norms and standards, the technical committee set up by the Bureau shall-(a)calculate specific energy consumption in the baseline year and projected specific energy consumption in the target year covering different forms of net energy going into the boundary of the designated consumers' plant and the products leaving it over the relevant cycle on a gate-to-gate basis;(b)in calculating the net energy input to the plant -(i)convert the calorific values of all forms of energy sources into a single unit, namely, ton of oil equivalent using the conversion formulae specified in the Government of India, Ministry of Power notification number S.O.394(E), dated the 12th March, 2007;(ii)consider all forms of energy that is, electricity, solid fuel, liquid fuel, gaseous fuel, or any other form of energy imported into the plant for consumption as energy for production of output;(iii)not take into account energy consumed in the colony attached to the plant, temporary or major construction work, and for outside transportation system or energy consumed through renewable energy sources not connected to the grid;[Explanation. - For the purpose of sub-clause (iii), connected to the grid shall mean 'synchronized with the grid';] [Inserted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).](iv)take into account the energy exported out of the designated consumers' boundary(v)[ the designated consumer shall ensure that the reported data are collected from metered sources;] [Substituted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).]Provided that the said designated consumer shall give adequate reasons that it was not feasible to make adjustment for energy consumed in the colony, temporary or major construction work:Provided further that such designated consumer shall make necessary arrangements for disaggregation of data for energy consumption to ensure that actual energy consumed for production is considered in the next cycle:(vi)where more than one product is produced, select the main product produced or an equivalent product worked out from the product mix as per standard practice prevalent in the concerned designated consumers sector:Provided that where the production of the said main product is stopped, the designated consumer shall inform the necessary details in that regard to the Bureau and the concerned state designated agency;(c)calculate the specific energy consumption for the baseline year as well as for the target year and normalize it by taking into account the capacity utilization, mix of grid and captive electricity, and any other factor [which affects specific energy consumption] [Substituted 'which affects energy consumption' by Notification No. G.S.R. 409(E), dated 26.4.2018 (w.e.f. 30.3.2012).] as specified in the [Schedule I and Schedule II] [Substituted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).];(d)calculate the annual specific energy consumption in the baseline year by verifying the data in the previous three years, year-wise, using the data submitted by the designated consumers', under Rules 2007 and if verified, under Rules 2008;[* * *] [Omitted '(e) calculate the effect of capacity utilization and other factors if any, on the specific energy consumption for the previous three years;' by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).](f)calculate the specific energy consumption, production, capacity utilization, in the baseline year by taking the [data] [Substituted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).] of the previous three years in the first cycle and for subsequent cycles, the provisions of rule 14 shall apply;(g)take into consideration the effect on capacity utilization or the [plant loading, factor] [Substituted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).] or average energy consumption in the target year on account of any of the following factors, namely :-(i)[ Force majeure;] [Substituted 'natural disaster; or' by Notification No. G.S.R. 409(E), dated 26.4.2018 (w.e.f. 30.3.2012).](ii)rioting or social unrest; or(iii)major change in the Government policy including environmental standards; or(iv)impact of market (shortage of raw material or sales) in any of the previous three years.(2)The said technical committee shall prepare a report containing designated consumer-specific basis of methodology referred to in sub-rule 2 of rule 3, consultation with the designated consumers, and submit the said report to the Bureau.(3)The Bureau shall examine the report submitted under sub-rule (2) and finalize its report containing its recommendation regarding the energy consumption norms and standards for each designated consumers' plant.(4)The details regarding methodology used, formulas adopted, exceptions considered, principles adopted, for preparation of energy consumption norms and standards shall be as specified in the [Schedule I and Schedule II] [Substituted by Notification No. G.S.R. 373(E), dated 31.3.2016 (w.e.f. 30.3.2012).].(5)The Bureau shall submit the report referred to in sub-rule (3) to the Central Government.(6)The Central Government after considering the said report shall by notification,-(a)establish and specify the energy consumption norms and standards for every designated consumers' plant under clause (g) of section 14;(b)give direction to all designated consumers for compliance with the energy consumption norms and standards under clause (n) of section 14 and inform the Bureau and all the State designated agencies.
