All the Electricity Distribution Companies (DISCOMs) to be covered under the Energy Conservation (EC) Act, 2001
Part of: GS Prelims and GS-III – Energy sector
- The Union Ministry of Power, Government of India has issued a notification to cover all the Electricity Distribution Companies (DISCOMs) under the preview of the Energy Conservation (EC) Act, 2001.
- The notification was formulated in consultation with Bureau of Energy Efficiency (BEE).
- According to it, all entities having issued distribution license by State/Joint Electricity Regulatory Commission under the Electricity Act, 2003 (36 of 2003)” are notified as Designated Consumers (DCs).
- After this notification, all the DISCOMs will be governed under the various provisions of EC Act, such as Appointment of Energy Manager, Energy Accounting & Auditing etc. for each DISCOMs.
- Earlier, the DISCOMs whose annual energy losses were equal to or above 1000 MU were only covered as DCs.
- Now with this notification, the number of DISCOMs covered under the EC Act will increase from 44 to 102.
Important value additions
Bureau of Energy Efficiency
- It is a statutory body under the Ministry of Power, Government of India.
- It assists in developing policies and strategies.
- Objective: Reducing the energy intensity of the Indian economy.