Bare Acts

CHAPTER V POWER OF CENTRAL GOVERNMENT TO FACILITATE AND ENFORCE EFFICIENT USE OF ENERGY AND ITS CONSERVATION


14. Power of Central Government to enforce efficient use of energy and its conservation.—The
Central Government may, by notification, in consultation with the Bureau,—

1. Subs. by Act 28 of 2010, s. 5, for clause (p) (w.e.f. 24-8-2010).
2. Subs. by s. 5, ibid., for “energy managers” (w.e.f. 24-8-2010).
3. Ins. by s. 5, ibid. (w.e.f. 24-8-2010).
4. Ins. by Act 19 of 2022, s. 4 (w.e.f. 1-1-2023).
5. Ins. by s. 5, ibid. (w.e.f. 1-1-2023).
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(a) specify the norms for processes and energy consumption standards for any equipment,
1
[appliance, vehicle, vessel, industrial unit, building or establishment] which consumes, generates,
transmits or supplies energy;
(b) specify equipment or appliance 2
[or vehicle, vessel, industrial unit, building or establishment]
or class of equipments or appliances, as the case may be, for the purposes of this Act;
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[(c) prohibit manufacture or import of any equipment or appliance or vehicle or vessel specified
under clause (b), unless it conforms to energy consumption standards specified under clause (a):
Provided that an industrial unit specified under clause (b) shall close its operations unless it
conforms to the norms for processes or energy consumption standards specified under clause (a):
Provided further that from the date of notification of norms for processes and energy consumption
standards under clause (a), no notification prohibiting such manufacture or import shall be issued––
(i) within a period of six months in the case of equipment or appliance or vehicle or vessel;
and
(ii) within a period of two years for closure of industrial unit:
Provided also that the Central Government may, having regard to the market share and the
technological development having impact on equipment or appliance or vehicle or vessel, and for
reasons to be recorded in writing, extend the said period of six months referred to above, by a further
period not exceeding six month;]
(d) direct display of such particulars on label on equipment or on appliance specified under
clause (b) and in such manner as may be specified by regulations;
(e) specify, having regard to the intensity or quantity of energy consumed and the amount of
investment required for switching over to energy efficient equipments and capacity of industry to
invest in it and availability of the energy efficient machinery and equipment required by the industry,
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[any user or class of users of energy in the energy intensive industries and other establishments as
specified in the Schedule as a designated consumer] for the purposes of this Act;
(f) alter the list of Energy Intensive Industries 5
[and other establishments] specified in the
Schedule;
(g) establish and prescribe such energy consumption norms and standards for designated
consumers as it may consider necessary:
Provided that the Central Government may prescribe different norms and standards for different
designated consumers having regard to such factors as may be prescribed;
(h) direct, having regard to quantity of energy consumed or the norms and standards of energy
consumption specified under clause (a), the Energy Intensive Industries 5
[and other establishments]
specified in the Schedule to get energy audit conducted by an accredited energy auditor in such
manner and intervals of time as may be specified by regulations;
(i) direct, if considered necessary for efficient use of energy and its conservation, any designated
consumer to get energy audit conducted by an accredited energy auditor;
(j) specify the matters to be included for the purposes of inspection under sub-section (2) of
section 17;
(k) direct any designated consumer to furnish to the designated agency, in such form and manner
and within such period, as may be prescribed, the information with regard to the energy consumed
and action taken on the recommendation of the accredited energy auditor;
(l) direct any designated consumer to designate or appoint 6
[energy auditor or energy manager] in
charge of activities for efficient use of energy and its conservation and submit a report, in the form

1. Subs. by Act 19 of 2022, s. 6, for “appliance” (w.e.f. 1-1-2023).
2. Ins. by s. 6, ibid. (w.e.f. 1-1-2023).
3. Subs. by s. 6, ibid., for clause (c) (w.e.f. 1-1-2023).
4. Subs. by Act 28 of 2010, s. 6, for “any user or class of users of energy as a designated consumer” (w.e.f. 24-8-2010).
5. Ins. by Act 19 of 2022, s. 6, (w.e.f. 1-1-2023).
6. Subs. by s. 6, ibid., for “energy manager” (w.e.f. 1-1-2023).
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and manner as may be prescribed, on the status of energy consumption at the end of every financial
year to the designated agency;
(m) prescribe minimum qualification for 1
[energy auditors and energy managers] to be designated
or appointed under clause (l);
(n) direct every designated consumer to comply with energy consumption norms and standards;
(o) direct any designated consumer, who does not fulfil the energy consumption norms and
standards prescribed under clause (g), to prepare a scheme for efficient use of energy and its
conservation and implement such scheme keeping in view the economic viability of the investment in
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[such form, the time within which and the manner] as may be prescribed;
(p) prescribe 3
[energy conservation and sustainable building codes] for efficient use of energy and
its conservation in the building or building complex;
(q) amend the 3
[energy conservation and sustainable building codes] to suit the regional and local
climatic conditions;
(r) direct every owner or occupier of the building or building complex, being a designated
consumer to comply with the provisions of 3
[energy conservation and sustainable building codes] for
efficient use of energy and its conservation;
(s) direct, any designated consumer referred to in clause (r), if considered necessary, for efficient
use of energy and its conservation in his building to get energy audit conducted in respect of such
building by an accredited energy auditor in such manner and intervals of time as may be specified by
regulations;
(t) take all measures necessary to create awareness and disseminate information for efficient use
of energy and its conservation;
(u) arrange and organise training of personnel and specialists in the techniques for efficient use of
energy and its conservation;
(v) take steps to encourage preferential treatment for use of energy efficient equipment or
appliances:
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[(w) specify the carbon credit trading scheme;
(x) specify minimum share of consumption of non-fossil sources by designated consumers as
energy or feedstock, provided different share of consumption may be specified for different types of
non-fossil sources for different designated consumers:]
Provided that the powers under clauses (p) to (s) shall be exercised in consultation with the concerned
State.
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[14A.
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[Issuance of energy savings certificate].—(1) The Central Government 7
[or any agency
authorised by it] may issue the energy savings certificate to the designated consumer whose energy
consumption is less than the prescribed norms and standards in accordance with the procedure as may be
prescribed.
(2) The designated consumer whose energy consumption is more than the prescribed norms and
standards shall be entitled to purchase the energy savings certificate to comply with the prescribed norms
and standards.
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[Provided that any other person may also purchase energy saving certificate or carbon credit
certificate on voluntary basis.]

1. Subs. by Act 28 of 2010, s. 6, for “energy managers” (w.e.f. 24-8-2010).
2. Subs. by s. 6, ibid., for “such form and manner” (w.e.f. 24-8-2010).
3. Subs. by Act 19 of 2022, s. 6, for “energy conservation building codes” (w.e.f. 1-1-2023).
4. Ins. by s. 6, ibid. (w.e.f. 1-1-2023).
5. Ins. by Act 28 of 2010, s. 7, (w.e.f. 24-8-2010).
6. Subs. Act 19 of 2022, s. 7, for the marginal heading “Power of Central Government to issue energy savings certificate” (w.e.f. 1-1-
2023).
7. Ins. by s. 7, ibid. (w.e.f. 1-1-2023).
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1
[14AA. Issuance of carbon credit certificate.—(1) The Central Government, or any agency
authorised by it may issue carbon credit certificate to the registered entity which complies with the
requirements of the carbon credit trading scheme.
(2) The registered entity shall be entitled to purchase or sell the carbon credit certificate in accordance
with carbon credit trading scheme specified under clause (w) of section 14.]
14B. Power of Central Government to specify value of energy.—The Central Government may, in
consultation with the Bureau, prescribe the value of per metric ton of oil equivalent of energy consumed
for the purposes of this Act.]

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