Changes proposed to EC Act: Incentivising clean energy use, mandatory level of renewables

The power Ministry has proposed amendments to the Energy Conservation Act, 2001, (EC Act) which are set to specify a minimum share of renewable energy in overall consumption by industrial units. The amendments are also set to incentivise the use of clean energy through carbon saving certificates and the issuance of carbon credits for the use of clean technologies.

“The proposal includes defining a minimum share of renewable energy in the overall consumption by the industrial units or any establishment. There will be provision to incentivise efforts on using clean energy sources by means of carbon saving certificate,” the ministry said in a release issued on Saturday. The proposed amendments have been discussed with key stakeholders in multiple consultations according to the government.