Odisha will get a total investment of ₹441.66 crore for demand side management (DSM) programme launched by ISC and EESL in partnership with four DISCOMs in the State.
Energy Efficiency Services Limited (EESL), a JV under the Ministry of Power along with Institute for Sustainable Communities (ISC), with support from P4G launched a utility-based demand side management (DSM) Programme for the DISCOMs in Odisha, a statement said.
According to the statement a total investment of ₹441.66 crore has been planned in the State in a phased manner.
EESL will be taking up all the upfront and initial investment for implementation of the project and the same shall be recovered from the participating consumers in a period of 3-5 years.
The utility-based DSM Project, when implemented will generate financial savings of ₹12-13 crore for the DISCOMs of Odisha apart from associated incentives.
Further, it will lead to financial savings of ₹73.57 crore for the consumers of DISCOMs.
"To address the country's acute power deficit, utilities are confronted with the task of improving end-use energy efficiency and managing power demands for sustainable growth. This has made the utility-based DSM Programme in Odisha a vital enabler for improving the financial viability of DISCOMs.
"Consumers too will benefit from the programme through lowered energy consumption and reduced energy costs," said Nikunja Bihari Dhal, Principal Secretary, Department of Energy, Odisha.
Through DSM, Odisha will be able to address the rising power supply costs, energy subsidies, climate change, environmental degradation, and energy security concerns.
The programme will also result in seasonal peak demand reduction, energy savings and reduction in emissions of greenhouse gases.
"With growing energy consumption in Odisha, fueled by urbanization and the development of industries and infrastructure, the utility-based DSM programme will prove to be a highly effective mechanism to ensure energy efficiency. Demand side management comes with an array of benefits and we want them to reach consumers as well as DISCOMs," said UN Behera, Chairman, OERC.
Odisha was considered as the pilot project, based on the interest shown by TP Central Odisha Distribution Limited (TPCODL) and TP Northern Odisha Distribution Limited (TPNODL) during the initial planning stage.
The DSM programme aims to accelerate adoption of energy efficient technologies to reduce energy consumption as well as GHG emissions. This programme is further being planned in Jharkhand and Telangana.
The programme aims to replace around 4.5 lakhs old fans with super-efficient fans with an investment of ₹86.55 crore. A further replacement of around 45,000 of old ACs with super energy efficient ACs with an investment of ₹223.83 crore and replacement of around 14,370 old motors with IE3 Motors with an investment of ₹131.28 crore will also be undertaken.
