PAT Cycle 2 Target Notification

Perform, Achieve and Trade (PAT cycle 2 )

Perform, Achieve and Trade (PAT) is a market based mechanism to enhance cost effectiveness of improvements in energy efficiency in energy intensive large industries and facilities, through certification on energy savings that could be traded.

Targets for improvements in energy efficiency are set under section 14 of the Energy Conservation Act, 2001 in a manner that reflects fuel usage and the economic effort involved. The Government, in March 2007 notified units in nine industrial sectors, namely aluminium, cement, chlor-alkali, fertilizers, iron and steel pulp and paper, railways, textiles and thermal power plants, as Designated Consumers(DCs).

As a part of domestic actions by India to tackle, mitigate and adapt to climate change, the National Action Plan on Climate Change (NAPCC) was launched by the Prime Minister of India in June 2008.  NAPCC outlined eight missions – one of them being the National Mission on Enhanced Energy Efficiency (NMEEE).

NMEEE operates under the Bureau of Energy Efficiency (BEE), a statutory body constituted under Ministry of Power, Government of India.

The Perform Achieve and Trade scheme is a market-based mechanism to enhance energy efficiency in the large energy-intensive industries. The facilities that come under the energy-intensive and large scale industries are known as ‘Designated Consumers’. The list of these consumers has been published by BEE. PAT scheme creates energy efficiency targets to be met and incentives businesses achieving higher energy efficiency with tradable energy saving certificates (ESCerts) The market for these ESCerts will be the entities that will not meet their energy efficiency targets and will need to buy these ESCerts to meet the energy efficiency norms.

After success completion of PAT cycle 1 another Level 2 target is right here.

PAT 2 Target Notification

9 thoughts on “PAT Cycle 2 Target Notification

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