The document discusses various topics related to energy conservation and greenhouse gas emissions including: 1) It provides an overview of PCRA's role in promoting energy efficiency and conservation solutions across different sectors in India. 2) It discusses the need to reduce greenhouse gas emissions and India's dependence on fossil fuel imports through greater adoption of energy efficiency practices and use of renewable energy. 3) It summarizes international agreements like the Kyoto Protocol and mechanisms like the Clean Development Mechanism (CDM) that aim to reduce greenhouse gas emissions globally.

1. ENERGY SCENERIO/CONSERVATION OPPORTUNITIES SHARING WITH YOU WELCOME TO U ALL V SIVAKUMAR,DIRECTOR/CRC-SR Petroleum Conservation Research Association , (Under Ministry of Petroleum and Natural Gas) PCRA – An integrated Energy Solution Provider

2. Sanrakshan Bhawan 10, Bhikaji Cama Place, New Delhi - 110066 Tel: 011-26198856, Fax: 011-26109668 http://www.pcra.org WELCOME

5. News Flashes Carbon Capture and Storage Raise Thermal Efficiency of Power Plants Energy Police:: Switch off ACS PCRA – An integrated Energy Solution Provider

6. Electricity boards switches to Energy Audit Waste becomes energy Jatropha Oppurtinity Bright ideas for energy efficiency News Flashes PCRA – An integrated Energy Solution Provider

9. CO2 in Atmosphere 1.7% Soil and peat 3.4 % Calcareous rocks + Fossil fuels 11.3 % Living organisms on land and in sea 2.6% Ocean depths in dead corals And submarine organisms 81.0% Death + decay Volcanic emissions Respiration, decay, Fires + fuel wood Photosynthesis Burning fossil fuels Industrial processes Mining + extraction Fossilisation Via precipitation Diffusion Processes The Earth’s carbon stores

17. Energy Conservation Vs Energy Efficiency Incandescent Lamp 60 W Compact fluorescent Lamp 15 W Energy Efficient Equipment uses less energy for same output and reduces CO 2 emissions CO 2 Emission – 65 g/hr CO 2 Emission – 16 g/hr

25. ENVIRONMENTAL ISSUES GOVT POLICY CONSERVATION SCARCITY FINANCIAL CONSTRAINT MAJOR ISSUES IN TODAYS DEVELOPMENT EFFICIENCY PCRA – An integrated Energy Solution Provider

27. Average Specific Consumption India Global Aluminum 90 GJ/ton 60-70 GJ/ton Paper 35-50 GJ/ton 20-25 GJ/ton

28. Share of Energy in the Manufacturing Cost 8 8 7 7 6 6

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30. Gossips! Threats!! Katrina, Rita & Wilma!!! Crude Price Fluctuations $ 1 increase in crude price results in extra burden of >Rs 3000 Cr / annum Current Energy Scenario 130-150 2008 $/bbl 200-fear PCRA – An integrated Energy Solution Provider

33. > 4,00,000 Expenditure Towards Crude Oil Import 81160

38. 60% of resources of world consumed so far ENERGY SCENERIO Energy Conservation and its importance

39. Stocks of Fossil Fuels PCRA – An integrated Energy Solution Provider

40. The “Fifth Fuel” Energy efficiency is the alternative to coal, oil natural gas, hydropower and nuclear fuel and energy outlook forever.

41. Nuclear Hydropower Oil/Natural Gas Coal “ Fifth Fuel” Efficiency Energy

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47. 10 TH AUG’78 PCAG RECONSTITUTED AS PETROLEUM CONSERVATION RESEARCH ASSOCIATION (PCRA) AND REGISTERED AS A SOCIETY UNDER MOP&NG . PCRA – An integrated Energy Solution Provider EMERGENCE OF PCRA

49. Energy Security for Transport Sector is the corner stone of our Petroleum Strategy Sector-wise Consumption of Petroleum Products PCRA – An integrated Energy Solution Provider Petroleum Product Consumption (MMT) Sector 120 16 05 17 21 61 Total Others Agriculture Industrial Domestic Transport

61. Green House Gas (GHG) Global Warming Potential (GWP ) Carbon-di-oxide (CO 2 ) 1 Methane (CH 4 ) 21 Nitrous oxide (N 2 O) 310 Per fluoro carbon (PFCs) 560-9200 Hydro fluoro carbon (HFCs) 140 – 11700 Sulphur hexa fluoride (SF 6 ) Above 10,000 The value of GWP is used to compare the abilities of different greenhouse gases to trap heat in the atmosphere. GWPs are based on the heat-absorbing ability of each gas relative to that of carbon dioxide (CO2), as well as the decay rate of each gas in atmosphere Global Warming Potential (GWP) of Major GHGs

62. CLIMATE CHANGE AND SUSTAINABILITY 23900 Sulpher Hexafluoride 560 to 9200 Per Fluoro Carbons 140 to 11700 Hydro Fluoro Carbons 310 Nitrus Oxide 21 Methane 1 Carbon Di-Oxide Global warming potential as CO2 equivalent Green House Gases under Kyoto Protocol

63. CLIMATE CHANGE AND SUSTAINABILITY Thus world today have only two options: either to stop generating GHGs stop development synergize development with environment. concern of economic development at any cost ; PCRA – An integrated Energy Solution Provider

64. CLIMATE CHANGE AND SUSTAINABILITY Initiatives taken to mitigate/CONTROL the emission, The best known being the Kyoto protocol. Under the aegis of the United Nations Framework Convention on Climate Change. UNFCCC PCRA – An integrated Energy Solution Provider

67. CDM: How it works Carbon Credits (CERS) Carbon Value (Euro) Emission cap Actual emissions Buyer Seller Non – Annex I Annex I The reduced GHGs in a Non–Annex I countries can be sold to an Annex I country A CDM project reduces the GHG emissions in the CDM country

68. Emission Quota Emissions Reduction An electric utility in an industrial nation is required to cut its annual carbon by 200,000 tons. The company falls shorts, trimming only 100,000 tons. To Comply with its requirement, the company buys 100,000 tons. “Certified Emission Reductions” on the carbon market. The 100,000 credits sold to the market were earned in a developing nation, where a clean energy project was certified to have reduced emissions by 100,000 tons a year. <200000 TONS 100000 TONS 100000 TONS US/EURO $ AN EXAMPLE

69. Impact of Carbon Revenue on IRR of the Project IRR Benchmark Project return excluding CDM revenue Project return including CDM revenue CDM cash flow The gap between the project return and the required return on investment threshold 12 % 15 % 16 % The CDM cash flow increases the IRR of the project making it more interesting for investors. Project Not eligible

70. Project types : Renewable Energy Hydro, Wind, Solar, Biomass, Bagasse, Geothermal, Tidal Waste Heat Recovery Cement, Steel/ Metal, Coke Ovens Waste Management Waste Water Management, MSW Management, Fuel Pellets, Power generation, Use as Fuel Transportation LPG, NG, Biodiesel, MRTS Process Change Petroleum Refineries, Oil & Gas Refineries, Fertilizer CO2 Recovery, Nitrous Oxide (N2O)Destruction, Refrigerant: HFC Abatement , Aluminum: PFC Control Energy Efficiency Efficient Generation (Efficient Machinery, T&D Loss Reduction, Thermal/ fuel, Steam Saving, Thermal Saving, Process Flyash in Cement) Efficient Utilization (Energy efficiency measures for BUILDINGS and industries), Efficient Steam Utilization in Process Industrial Fuel Switch Fossil Fuel to LPG, Natural Gas, Biomass OTHERS Plantation / Forestry, Afforestation, Reforestation

75. DNA ( Designated National Authority) - India The National Clean Development Mechanism (CDM) Authority Address: 115, Paryavaran Bhawan, CGO Complex, Lodhi Road, New Delhi, India R. K. Sethi , Member Secretary, National Clean Development Mechanism (CDM) Authority, Ministry of Environment and Forests Phone: (91-11) 2436 2252 Fax: (91-11) 2436 2252

77. Host Country Approval Validation of the Project Registration Monitoring Verification/ Certification Issuance of CERs Feasibility Check PCN, PDD Responsible party involved Steps of the project Steps of the project cycle CDM Project Cycle Duration: 8 to 12 Months Project Developer 1 st Operational Entity Executive Board Project Developer 2 nd Operational Entity Executive Board Project Development CDM Application Project realization

78. Projectdesign Check if requested Implementation Monitoring & Reporting Validation Project Developer Designated Operational Entity ( e.g DNV) CDM Executive Board Verification Check if requested Issuance of CER Validation Report Verification Report The CDM Project Parties

80. Host Country Approval Validation of the Project Registration Monitoring Verification/ Certification Issuance of CERs Feasibility Check PCN, PDD Responsible party involved Steps of the project Steps of the project cycle CDM Project Cycle Duration: 8 to 12 Months Project Developer 1 st Operational Entity Executive Board Project Developer 2 nd Operational Entity Executive Board Project Development CDM Application Project realization

83. The Indian Carbon Market by Sectors Infrastructure: 65% Energy Efficiency: 26 %

84. Type of Projects Other project activities result in emission reductions Project activities or those improvements in energy eff which reduce energy consumpn, on the supply and/or demand side Renewable energy project have a maximum output capacity Description Type II Type II Type I Category > 60 kt CO2e annually < = 60 kt CO2e annually 3 Output more than 60 GWh per year Maximum output of 60 GWh/year 2 > 15 MW < = 15 MW 1 Large Scale Small Scale S.No.

86. Estimation of Emission Reductions (ERs) Project commissioned Project based emission reductions need to be calculated and verified before they can be sold in the open market MRV i.e. Measurable, Real & Verifiable Time “ With project” emission level “ Without project” emission level = Baseline GHG emissions ERs

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103. NLC ONGC SCCL CPCL TNEB TPL ITCOT SAINT GOBAIN K M M L

106. Energy Conservation Vs Energy Efficiency Incandescent Lamp 60 W Compact fluorescent Lamp 15 W Energy Efficient Equipment uses less energy for same output and reduces CO 2 emissions CO 2 Emission – 65 g/hr CO 2 Emission – 16 g/hr

114. GREENHOUSE EFFECT- SIMPLIFIED GH Gases

115. CLIMATE CHANGE-SUSTAINABILITY

117. MEASURED TEMPERATURE CHANGE

119. The carbon cycle

120. CO2 in Atmosphere 1.7% Soil and peat 3.4 % Calcareous rocks + Fossil fuels 11.3 % Living organisms on land and in sea 2.6% Ocean depths in dead corals And submarine organisms 81.0% Death + decay Volcanic emissions Respiration, decay, Fires + fuel wood Photosynthesis Burning fossil fuels Industrial processes Mining + extraction Fossilisation Via precipitation Diffusion Processes The Earth’s carbon stores

121. CLIMATE CHANGE AND SUSTAINABILITY 23900 Sulpher Hexafluoride 560 to 9200 Per Fluoro Carbons 140 to 11700 Hydro Fluoro Carbons 310 Nitrus Oxide 21 Methane 1 Carbon Di-Oxide Global warming potential as CO2 equivalent Green House Gases under Kyoto Protocol

122. CLIMATE CHANGE AND SUSTAINABILITY Thus world today have only two options: either to stop generating GHGs stop development synergize development with environment. concern of economic development at any cost ; PCRA – An integrated Energy Solution Provider

123. CLIMATE CHANGE AND SUSTAINABILITY Initiatives taken to mitigate/CONTROL the emission, The best known being the Kyoto protocol. Under the aegis of the United Nations Framework Convention on Climate Change. UNFCCC PCRA – An integrated Energy Solution Provider

126. CLEAN DEVELOPEMENT GLOBAL ACTIVITIES PCRA – An integrated Energy Solution Provider

127. Global steps-SINCE 1990 1992 Rio Conference: 154 states signed the UN Framework Convention on Climate Change (UNFCCC) 2001 Finalisation of the operational details of the Kyoto Protocol at COP 7 in Marrakech Nov. 2001 1995 IPCC’s, Inter govt panel on climate change,2nd report concluded that “ the <-balance of evidence suggests that there’s a discernible human influence on global climate .” 1997 The Kyoto Protocol was adopted in1997 giving industrialised countries-> a legally binding commitment to reduce their GHG emissions. 2000 First credits from GHG emission reduction projects 1994 UNFCCC entered into force on 21 March 1994->

128. UN Framework Convention on Climate Change--UNFCCC UN Framework Convention on Climate Change signed by 184 states Annex I countries (industrialised countries) committed themselves to reduce their GHG emissions Annex I Non-Annex I countries (developing countries)

131. CLIMATE CHANGE AND SUSTAINABILITY-THE SOLUTION > The Energy, Efficiency, Environmental Solution on climate change is the seed of all activities in sustainable development

134. CLIMATE CHANGE AND SUSTAINABILITY CDM is the mechanism involving Annex I and non Annex I nations. Under the CDM, an industrialized country with a GHG reduction target can invest in a project in a developing country without a target and claim credit for the emissions that the project achieves .

136. CLIMATE CHANGE AND SUSTAINABILITY Opportunities to developing nations D eveloping nations can benefit through the CDM of the Kyoto protocol. Industries can develop projects that will reduce the GHG emission on a real, quantifiable term The emission reductions thereby achieved can be traded in the carbon markets.

142. CLIMATE CHANGE AND SUSTAINABILITY Contribution in GHG reduction: The project must demonstrate reduction of GHG that would not have otherwise occurred. Baseline without the project is estimated & benefits are calculated over this baseline.

143. CLIMATE CHANGE AND SUSTAINABILITY Climate Change Financing CDM is the option for climate change with financing available . The Certified Emission Reduction (CER) can be accounted/accumulated Under CDM.

148. DNA ( Designated National Authority) - India The National Clean Development Mechanism (CDM) Authority Address: 115, Paryavaran Bhawan, CGO Complex, Lodhi Road, New Delhi, India R. K. Sethi , Member Secretary, National Clean Development Mechanism (CDM) Authority, Ministry of Environment and Forests Phone: (91-11) 2436 2252 Fax: (91-11) 2436 2252

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158. Thank you! LET US CONTINUE WITH ENERGY CONSERVATION MEASURES