Table of Contents

Foreword

Security and affordability of energy supplies are key inputs to ensure sustainable development.  Energy conservation or efficient use of energy resources has been practiced as a cost-effective and environmentally sound option to plug energy deficits in several developed as well as developing societies. We are late in recognizing the strong need to gear the society for an energy-efficient tomorrow and support various initiatives in this regard.  The first-ever National Policy on Energy Conservation approved by the Cabinet recently will go a long way in tapping a large energy reservoir which remains un-harnessed due to inefficient practices in various sectors of economy.

Pakistan today is faced with an energy deficit which, if not addressed timely and appropriately can very seriously hamper the pursuit of sustained economic growth.  We face energy shortages which unfortunately co-exist with wasteful energy use in various sectors.  The potential and role of energy conservation as a cost-effective energy supply option can no longer be relegated to the back burner.  Using energy efficiently makes simple financial sense.  It is environment friendly and provides tremendous opportunity to achieve economic self-sustenance.

The National Energy Conservation Policy, prepared by ENERCON through an extensive consultative process involving all stakeholders, is a contribution to the national effort to steer the country out of a difficult energy supply situation by promoting efficient use of energy resources. It must be pointed out here that conservation of energy resources covers a very wide spectrum, with a large number of stakeholders in the public as well as private sector. The responsibility for implementing the policy lies collectively on these stakeholders and together we can rise to meet the energy challenge. The recent establishment of the Cabinet Committee on Energy headed by the Prime Minister will provide the hitherto missing coordination and decision-making forum at the highest level. 

The officers and staff of ENERCON deserve appreciation for their inputs on the National Energy Conservation Policy. The active support and cooperation of Ministry of Environment was instrumental in the timely approval of the policy by the Government.

                                                                                   Dr Pervez Tahir
                                                                                  Managing Director
                                                                                        ENERCON

National Energy Conservation Policy

Executive Summary

The policy enumerates broad guidelines to enhance end-use efficiency in various energy consuming sectors of economy.  The policy is likely to create an enabling environment to support energy security plans of the government and for effecting a change in course from the present wasteful practices to sustainable energy and environment patterns in the future.

Main Features

The proposed policy supports the following initiatives to be taken at various levels during the short and as well as long term; 

Policy Initiatives

1. Formulate and enact a comprehensive legislation on Energy Conservation and Management.
2. Development of energy conservation codes and standards.
3. Create Public Awareness through training education, information dissemination and demonstration.
4. Participatory approaches and practices to be adopted to design and implement energy management demonstration and undertaking targeted services.
5. Strengthen institutional capacities and ensure resource availability to enable develop and achieve sector specific targets on conservation of energy resources and meet national aspirations in this regards.
6. Declare Energy Conservation as an industry to allow fiscal and financial incentives to be available for Energy Conservation pursuits.
7. Institution of National Awards for outstanding work on energy conservation.

Sectoral Initiatives 

• Industry:

1. Introduce and facilitate Energy Audits in Industries and promote targeted technical services.
2. Encourage and promote better housekeeping and implementation of low-cost, fast payback energy conservation measures in industry.
3. Promote energy efficient combustion processes, instrumentation and control and metering practices in industry.
4. Develop MIS on Energy Efficiency Potentials indices; and BAT/BAP Best Available Energy Efficient Techniques
5. Promote energy efficiency conservation modernization and revamps

•  Power:

1. Support the deployment of cost-effective and environment friendly technologies for electricity production from Coal.
2. Promote Co-Generation as a means to plug power deficits
3. Collaborate with WAPDA and utilities to devise and enforce efficient administrative and technical measures for promoting DSM and conservation projects/programs.
4. Collaborate with power utilities in reducing T&D losses as well as energy loss reduction on the generation sides.


• Transport:
  
  
  1. Promote use of better fuel quality and quality automotive lubricants
  2. Promote regular tune-ups of vehicles and energy efficient driving practices
  3. Assist strengthening the institution of motor vehicle examiner  at local levels.
  4. Facilitate local production and import of low-sulphur diesel fuel.
  5. Promote safe disposal of waste from automotive workshops.
  6. Promote cycling culture and pedustrianization.
  7. Promote CNG as preferred fuel; and local manufacture of CNG systems.
  8. Promote conservation in other modes of transportation like railways, shipping and aviation
  9. Promote mass transit public transport systems and institute Fleet Management practices.  Set model solutions for public transport

• Building:
  
  
  1. Encourage and facilitate introduction of energy audits in commercial and community buildings.
  2. Encourage adoption of energy efficient considerations in the household.
  3. Evaluate Building and Insulation materials for energy efficient characteristics.
  4. Encourage use of energy efficient equipment, fixtures and appliances in buildings.
  5. Develop/update a Building Energy Code for the country and institute measures for its compliance.
  6. Promote use of energy efficient HVAC and lighting practices in buildings
  7. Develop appropriate database/MIS with respect to energy conservation in building
  8. Promote energy efficient building design and ensure compliance with Building Energy Code

• Agriculture:
  
  
  1. Promote Energy efficient agriculture tractor and farm machinery
  2. Promote Energy efficient tube wells and Water Pumping Stations
  3. Coordinate/Integrate water pumping activities with proper water resources.
  4. Promote energy efficient practices through education, information dissemination, outreach and demonstration

• Renewable Energy:
  
  
  1. Promote development and deployment of Biogas Units; Bring Livestock Farms and Diary Industry in the loop
  2. Promote development and deployment of Solar Thermal technologies like solar water heater and solar desalinaters, driers etc
  3. Promote development and deployment of cost- effective solar and wind energy technologies
  4. Promote development of Micro and Mini-Hydel Plants
  5. Promote use of new and alternate sources of energy wherever cost-effective and feasible

Implementation and Monitoring

1. ENERCON will be the focal national institution to coordinate and facilitate the implementation.
2. The provincial government shall be asked to establish policy directorates and designate relevant departments/ministries to ensure coordinated implementation of the policy
3. Task Force/subject specific advisory committees to be constituted by Secretary, Environment
4. Legislative Framework to have strong implementation mechanism
   

1.0 Preamble

Equitable access to energy constitutes a basic element of effort to combat poverty and sustained economic activity.  Efforts to alleviate Poverty will be impaired unless adequate attention is paid to the crucial role energy services play in the development process, particularly in relation to the economic, environmental and social well being of the poor.  Strong action is therefore needed to orient market forces toward environmentally optimal energy supply solution in meeting rising demands of scarce energy resources.  The National energy Conservation Policy is intended to create an enabling environment for effecting a change in course from the present wasteful practices to sustainable energy and environment paths in the future.

The National Energy Conservation Policy (NECP) includes guidelines and actionable points to enhance end-use efficiency for various energy-consuming sectors of the economy and also for addressing various cross-sectoral issues that continue to retard promotion of energy conservation.  The policy is consistent with existing energy and environment related national policies, strategies and action plans.  The policy is meant to generate sufficient activity to promote energy conservation practices and effect energy savings of perceptible magnitude at the national level.

2.0 The National Policy Framework

2.1 Goal

The National Energy Conservation Policy has four strategic goals.

1. Sustainable Development
   Energy conservation, as a least cost supply option, will help in meeting the requirements of rising levels of energy consumption without putting corresponding additional burden on the environmental resources.
   
   
2. Improve Economic Productivity and Poverty Alleviation
   Cost effective energy efficiency measures will improve Pakistan’s economic performance and the value the economy derives from the use of energy resources.  Energy efficiency and conservation measures can result in profitable business opportunities and will become a means for poverty alleviation.
   
   
3. GHG Mitigation and Climate Control
   Energy efficiency and conservation measures will reduce CO2 emissions and help Pakistan meet its international climate change responsibilities.  Efficient use of energy in various sectors of economy will reduce adverse local environmental effects which are otherwise attributed to energy inefficiency and wasteful energy use practices.
   
   
4. Gender Mainstreaming
   A unit of energy conserved is a unit of energy produced, which in turn creates a room for energy supplies for rural areas.  Provision of energy to rural areas serves the goals of gender equality and mainstreaming

 

3.0 Objectives

The National Energy Conservation Policy has four broad objectives as stated below;

• Foster Energy Conservation through stimulation of resources and regularizing total energy management programs in all sectors of economy.
  
  
• Energy Conservation Market development and facilitating commercialization by creating awareness and launching nation-wide demonstration projects.
  
  
• Maximize satisfaction of demand for energy from indigenous resources.
  
  
• Create an enabling environment to reduce energy intensity of different energy consuming sectors through appropriate technological and policy measures, to promote sustainable growth.