PM'S INAUGRUAL SPEECH AT THE INTERNATIONAL
CONFERENCE ON STRATEGIES FOR ENERGY CONSERVATION IN THE NEW MILLENNIUM
The Prime Minister, Shri Atal Bihari
Vajpayee inaugurated the "International Conference on strategies
for energy conservation in the new millennium", here today. Union
Minister for Power, Shri Suresh Prabhu; Minister of State for
Power, Smt. Jayawanti Behn; Secretary, Ministry of Power, Shri
R.V. Shahi; Chairman IPCC and Director General, TERI, Dr. R.K.
Pachauri; and Secretary General FICCI, Shri Amit Mitra were among
those present on the occasion.
The following is the text of the
speech of the Prime Minister on the occasion:
"I am happy to be present at the
inauguration of this international Conference on ‘Strategies for
Energy Conservation". I commend the organisers on their timely
initiative.
It is well known that the energy
consumption of countries are closely related to their levels of
development. Without adequate and cost-effective energy supplies,
economic growth rates may be badly affected. This is particularly
true of developing countries where per capita levels of energy
use are low. India is no exception to this rule. Our economic
growth prospects are closely tied to the quality and quantity
of energy we are able to provide.
However, energy requirement is one
thing, and energy supply is another. For too long, the world has
focussed on increase in energy supply, including, in particular,
through electricity generation. However, there is now increasing
realisation that most grid based power supply, transmission, and
distribution systems are wasteful, and by saving energy, more
of it can be delivered at lower cost to the user. Similarly, energy
is useful, not in itself, but for the services it can provide.
If the services provided by energy use can be delivered using
less energy, in many cases this would be economically beneficial.
Again, almost all conventional energy systems involve adverse
environment impacts on local, regional and global scales. If energy
is conserved in generation, transmission, distribution, and end-use,
all such environmental impacts would also be reduced. For example,
our second largest public health problem is indoor air pollution
from biomass cookstoves. Replacement of traditional chulhas with
energy efficient designs would reduce such health impacts, pressure
on forests, and the drudgery of rural women who have to spend
hours each day collecting fuelwood. Finally, dependence on imported
fossil fuels exposes our economy to highly volatile global hydrocarbon
markets. Through cost-effective energy conservation, this exposure
can be substantially reduced.
India’s cost-effective energy conservation
potential has been estimated by the Planning Commission at 23
percent of total commercial energy generated. In the power sector,
our peak and base load shortages are 8 % and 13 % respectively.
A national movement for energy conservation can significantly
reduce the need for fresh investment in energy supply systems
in coming years. It is imperative that we make all-out efforts
to realise this potential. Energy conservation is an objective
to which all of us in the country can contribute. Whether a household
or a factory, a small shop or a large commercial building, a farmer
or a office worker, every user and producer of energy can and
must make this effort for his own benefit, as well as that of
the nation.
With precisely this objective in
mind, my Government has enacted the Energy Conservation Act. The
Act promotes competition, sharing information, creating awareness
and motivating stakeholders. It encourages a transparent, self-regulatory
mechanism and the use of market incentives to promote energy efficiency,
while carefully avoiding intrusive regulatory mechanisms.
A statutory Bureau of Energy Efficiency
has been established. The Bureau has prepared a comprehensive
Energy Conservation Action Plan. I am happy to release this Action
Plan to the Nation today. We look forward to the implementation
of this Action Plan over the coming weeks and months. We invite
our financial institutions, research institutions, voluntary organisations,
the corporate sector, and other development partners, including
multilateral and bilateral agencies, to partner all levels of
Government – Central, State, Panchayat, and Municipal, in implementation
of all aspects of the Action Plan.
I am very much aware that the Government
of India, including Public Sector Undertakings, the Railways,
Airports, Ports, and Defence establishments is the single largest
consumer of energy in the country. My Government is committed
to setting an example by implementing the provisions of the Energy
Conservation Act in all its establishments. I am happy to announce
today that Hon. Rashtrapatiji has kindly agreed that an energy
audit may be carried out of the Rashtrapati Bhavan, with a view
to implementing energy conservation measures. Similar energy audits
of the North and South Blocks of the Central Secretariat would
also be carried out.
I call on all Government organisations
to reduce their energy consumption by 30% in the next 5 years.
An effective method to achieve this target, which has already
been proven in several public buildings, is through contracts
for guaranteed levels of energy efficiency improvements involving
energy service companies. I urge all Ministries and Departments
of the Government of India and the PSUs under them to provide
information on the steps taken towards this goal in their Annual
Reports. I urge the Ministry of Power to assist other Ministries,
in particular the CPWD, in implementing such programmes through
creation of awareness and capacity building. The Ministry of Finance
should facilitate viable lending by financial institutions to
energy service companies for implementing this programme.
I call on the Chief Ministers of
all States and Union Territories to similarly implement energy
conservation measures required under the Act in all State and
Municipal government establishments. If the Central and State
Governments provide the lead, the private sector, and even households
will surely follow, not least because energy conservation makes
economic sense. The Ministry of Power must create wide awareness
of the fact that energy efficiency projects are financially viable
and accordingly, may be commercially financed. We look forward
to energy savings of 20 percent over the next five years from
the private sector.
In this national endeavour, I am
certain that our kisans will, as always, respond magnificently.
Agriculture is also a major user of energy, with a large potential
for energy savings. With acceleration of power sector reforms,
termination of the Administered Pricing Mechanism for petroleum
products, and inevitable reduction of energy subsidies, our kisans
will gain enormous benefits from energy conservation measures.
These measures will also help optimally utilize, and conserve,
surface and ground water sources. However, they will need technical
guidance, and access to credit for purchase of energy efficient
equipment. The Ministries of Finance, Power and Agriculture should
jointly respond to these requirements.
Friends, for too long, throughout
the world, energy "conservation" has in practice meant energy
"conversation". This time, I ask of all of us, to "walk the talk".
Thank you. "
