The European Union’s programme for India This project is funded by The European Union The European Union’s programme for India Clean Energy Cooperation with India (CECI): Legal and policy support to the development and implementation of energy efficiency legislation for the building sector in India (ACE:E2) First Regional Workshop to Implement Energy Conservation Building Code (ECBC) in India Session 3 - Implementation – Governance Structure MEDA, Pune 18th May 2018 Project implemented by EXERGIA S.A. member of SACO Consortium, in collaboration with PwC India

Objective – “Why do we need Governance for ECBC ?” Ensure Compliance and effective implementation Provide and maintain institutional framework Provide integration and co-ordination mechanism across different stakeholders Why we need Governance for ECBC ?

Outcome based Approach Compliance What is Compliance? Compliance means conforming to a rule, such as a specification, policy, standard or law. Prescriptive Approach How to show ECBC Compliance CALCULATED during Design and Construction Stage Performance based Approach MEASURED during Post Occupancy Stage Outcome based Approach

Performance Based Model Forms of compliance compared Comparison Parameters Prescriptive Model Performance Based Model Outcome based Model Ease of Operation High Low Ease of Prediction of results High, results are realistic Accuracy Level Very High Expertise requirement Flexibility Highly Innovation Tailor made Transparency Cost of the compliance Extremely High

International Scenario Compliance International Scenario COUNTRY (Top 10 energy consumers of the world) Compliance mechanism Prescriptive Performance based Outcome based China √ (Primary) √ X USA √ (Seattle) India √ (Proposed) Russia Japan Brazil N/A Germany S. Korea Canada √ (Vancouver) France

Compliance- Proposed star rating for ECBC Maharashtra Compliance Level Requirement Certified ECBC Compliant building as per MahaECBC Mahaurja 1 Star ECBC+ Compliant Building as per MahaECBC Mahaurja 2 Star SuperECBC Building as per Maha-ECBC Mahaurja 3 Star SuperECBC Building Mahaurja 4 Star Mahaurja 5 Star

Enforcement options Enforcement First Party Self confirmation and submission of proofs, online. Second Party Self confirmation reviewed and confirmed by the local government Third Party Self, Local Government and another professional is involved in the review process

International Scenario Enforcement- International scenario International Scenario COUNTRY ENFORCEMENT MECHANISM PHASE OF ENFORCEMENT IF FAILED TO COMPLY China Involvement of local level government 3rd Party inspection During construction No Occupancy Certificate (OC) USA Tax exemptions During construction & post occupancy No Occupancy Certificate India Accreditation of applicants During & Post construction No OC Russia Regional & local administration and enforcement Post completion, prior to occupancy N/A Japan Mandatory report submission to local authorities No inspection for compliance Brazil None Germany S. Korea Submission of energy saving measures to local government Post construction No action Canada Involvement of local level government with 3rd Party inspection Incentive schemes No OC and Penalty ($$) France Mix of above mentioned standards Source: ACEEE

Enforcement-Approval Process & Roles of stakeholders 2. Site inspection and document scrutiny and verification 1. Submit construction and compliance documents OWNER 5. Occupancy Certificate ECBC eligible building 3. Gives ECBC compliance certificate AUTHORITY HAVING JURISDICTION 6. Energy consumption and EPI monitoring 4. Submit documents along with ECBC Compliance certificate from TPA at different construction stages DESIGN TEAM WITH TECHNICAL EXPERTISE Empaneled Agency (TPA) 8. PENALITIES AND INCENTIVE 7. EPI report DISCOM with Unique Building ID MEDA + State ECBC committee END USER/ Owners

Enforcement-Approval Process & Roles of stakeholders Built Permit Construction Stage Completion cum Occupancy Operational Stage STAKEHOLDERS INVOLVED Building Owner CEA for Buildings AHJ SDA DISCOM Building Owner CEA for Buildings AHJ Building Owner CEA for Buildings AHJ SDA Building Owner DISCOM SDA ROLES & RESPONSIBILITY CEA verifies Compliance documents DISCOM generates a unique ID and circulate it AHJ SDA Owner Owner applies Building permit DISCOM SDA communicates rebate details to AHJ, after which AHJ issues the OC. AHJ before issuing the occupancy certificate intimates the SDA CEA conducts Site visits and verifies the EPI ratio and informs Owner Owner intimates completion of work AHJ ID number) DISCOM, post changes, issues the bill to the Owners (having unique . SDA reviews it and informs DISCOM about incentives/penalties in the electricity bill DISCOM informs EPI ratio of respective buildings to SDA CEA conducts Site visit and verifies the work and inform AHJ SDA Owner Owner notifies commencement of the work

Enforcement-Incentive and Penalty Building showing compliance level of Maha 4 & 5 star will be awarded incentives. This will be a token of appreciation and achieving above and beyond the code requirement. The incentive schemes will be decided by Maharashtra ECBC committee. PENALTY: In case of violation post occupancy : tariff increase by 10p to end consumer. For multiple owner building: the connection in violation of ECBC will be penalized. Penalties will be approved by MERC Utility providers will charge penalty, upon giving 3 month warning period for rectification of building performance.

Discussion points Can a steering committee formed between PS energy, PS UDD and DG SDA facilitate the implementation of ECBC in the state Role of UDDs and ECBC assessors in implementation of ECBC Can ECBC assessors be a part of UDDs Concept of Unique ID for buildings under ECBC purview Which authority can issue the Unique ID Support required for UDD to effectively enforce ECBC Penalties and incentives and how it can be implemented Property tax Tariff Others

Thank you http://ace-e2.eu EXERGIA Energy and Environment Consultants Omirou Str. & Vissarionos 1, 106 72 Athens Tel: +30210 6996185, Fax: +30210 6996186 www.exergia.gr In collaboration with PricewaterhouseCoopers India Building 10, Tower C, Floor 17th, DLF Cyber City Gurgaon 122002, Haryana| India Tel. +91 0124 3306259 www.pwc.in http://ace-e2.eu