Energy Conservation (Compliance Enforcement) Rules 2025

Context: The Power Ministry has released the draft Energy Conservation (Compliance Enforcement) Rules, 2025.

Key Provisions of Energy Conservation (Compliance Enforcement) Rules 2025

• Stronger Enforcement Powers for BEE: Bureau of Energy Efficiency (BEE) empowered to detect, verify, and assess violations.
  • BEE can present non-compliance cases before Adjudicating Officers under State Electricity Regulatory Commissions (SERCs).
• Mandatory Compliance for Energy-Intensive Sectors: Industries like cement, steel, auto, and manufacturing must follow strict energy-saving norms.
  • Applies to designated consumers, manufacturers, and importers under the Energy Conservation Act, 2001.
• From Voluntary to Enforced Efficiency:
  • Earlier → companies mostly self-reported energy use.
  • Now → compliance will be checked and enforced through inspections and audits.
• Penalties for Non-Compliance: Fines up to ₹10 lakh for violations.
  • Penalty amounts are to be deposited in the Central Energy Conservation Fund, with a 90% share for States.
• Jurisdiction Clarification: SERCs to handle enforcement based on establishment location → ensures clear legal authority.
• Alignment with Climate Goals: Supports Perform, Achieve, and Trade (PAT) Scheme, Corporate Average Fuel Efficiency (CAFE) norms, and Energy Conservation Building Code (ECBC).
  • Aligned with India’s Net Zero by 2070 and NDC targets under the Paris Agreement.

What is BEE? (Bureau of Energy Efficiency)

• Established under the Energy Conservation Act, 2001.
• Functions under the Ministry of Power, Government of India.

Mandate

• Promote energy efficiency and conservation across sectors.
• Develop energy efficiency standards and labelling (e.g., Star Rating of appliances).
• Administer schemes like PAT (Perform, Achieve, Trade), ECBC (Energy Conservation Building Code), and Standards & Labelling Program.

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