1. CFL Lighting Scheme CDM based “Bachat Lamp Yojana” Initiated by

2. 2 Objective of Bachat Lamp Yojana Using CDM to finance…....Market transformation 400 million light-points in India Estimated BLY projects : 400 Per Annum Project Estimates* –GHG reduction: 22,000 tCO 2e –Power saving: 10 MW

3. 3 BLY Uses pCDM Approach The programme itself does not achieve the reductions, but provides the framework for emission reductions to occur through certified project activities

4. 4 Requirements The Investor gets empanelled with BEE DISCOM identifies BEE empanelled Investor Tri-partite Agreement with DISCOM, Investor and BEE Investor identifies long-life IS certified CFL supplier Develop project as per BLY scheme templates

5. 5 Specifications of CFLs Confirm to IS15111 standards and subsequent amendments Lumen output equal to or greater than the ICL replaced Lifetime equal to or greater than 6000 hrs Power factor equal or greater than.85 CFLs carry a BLY logo

6. 6 BLY Role Players UNFCCC CDM-EB Registration & CER issuance DOE Validation & Verification PoA BEE BLY PoA Managing Entity SSC-CPA Investor invests into a BLY project DISCOM assists investor in a BLY project Supportin g Agency e.g. Sample Survey Agency

7. 7 Role of BEE Acts as overall PoA co-ordinator Support in Awareness of BLY Inclusion of CPAs to the PoA upon satisfaction of the eligibility criteria stipulated in the PoA-DD. Official communication with the CDM–EB, DOE and Indian DNA Facilitate verification of CERs and recommend their allocation to the investors

8. 8 Role of CFL Investor Collection of end-of-life CFLs and arranging for their safe disposal as per regulatory norms. Preparing CDM Programme Activity Design Documents (CPA-DDs) for CDM project and submitting them to BEE. Operates and manage project on day-to-day basis Get the verification surveys done for issuence of CERs Procures and distributes CFLs at a price comparable to ICL lamps. Collection of ICLs and arrange for their destruction Replace the fused CFLs during the warranty period and safe disposal.

9. 9 Role of DISCOM Provides access to Database of households and assist in installation of CFLs Assist in distribution of CFL Lamps in exchange of incandescent lamps Selection of monitoring survey as required under AMS-II.J Provide temporary space for safe keeping of replaced ICLs for independent inspection

10. 10 Potential Role of SDAs in BLY SDA’s are the nodal Agencies for implementation of BEE schemes in the states State level promotion of BLY Scheme. Confidence building of DISCOMS and other stakeholders SDA’s can play a very important role in facilitation and support of project level meeting if and so required. Provide support to BEE at State Level for performing function of CME.

11. 11 Support by BEE Revised Empanelment Procedure(Application form uploaded on BEE website) List of CFL Investors reviewed every year Model Bidding document(EOI template) Bilateral Agreement:BEE-Investor Bilateral Agreement:DISCOM-Investor Tripartite Agreement:BEE-Investor-DISCOM

12. 12 Support by BEE…Contd CDM-SSC-PoA CDM-SSC-CPA-DD Template BLY Managing Entity Administration Manual BLY Communication Form CPA Eligibility Checklist PCN Format Status of the CPAs submitted to BEE for inclusion

13. 13 Progress In Bachat Lamp Yojana 18 Investors have been empanelled by BEE for the ready reference of the DISCOMS. 16 states/UT have taken up steps towards implementation of scheme in their respective DISCOM regions. Projects from Kerala, Karnataka, Goa,Delhi and Andhra Pradesh received by BEE for Eligibility Check and inclusion in the registered umbrella framework. Validation of 20 Kerala and 7 Karnataka projects are in the final stages of validation. Nearly 200 Lakh CFLs have already been distributed in various parts of India.

14. 14 Support to Investors by BEE  Project Development PoA Design Validation DNA Approval Registration  Project Execution CPA Inclusion Maintain Database Single Point Liaison CER Allocation

15. 15 Support by BEE (CPA Inclusion and Verification) CPA Implemente r submits the CPA-DD to BEE BEE does the eligibility Check BEE forwards the CPA-DD to DoE DoE performs the consistency check DoE uploads the CPA and includes in the PoA End of Inclusion Cycle The project Implementer submits the monitoring survey reports to BEE BEE forwards the monitoring survey reports to DoE DoE does the verification and requests for issuance of CERs BEE maintains a database for the allocated CERs for each CPA The CERs received by UNFCCC are allocated to the respective CPA End of the verification cycle

16. 16 Challenges…… Some States –Relatively Smooth implementation Others States still facing challenges

17. 17 Enable energy efficiency …using CDM Contact Information: Bureau of Energy Efficiency (Govt of India, Ministry of Power) 4 th Floor, Sewa Bhawan,R. K. Puram New Delhi- 110 066, India. Tel: 011- 26179699 Fax: 011- 26178352 Email:vthakur@beenet.invthakur@beenet.in www.bee-india.nic.in

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19. 19 Implementation Methods DISCOMs may tender out the areas for BLY implementation with strict conditions to implement the projects Impose penalty for non compliance of the timelines of distribution in 3 months Selecting private Investors to implement the projects in some areas EESL may implement the projects along with the selected investment partners EESL will procure the CFLs and distribute in the project areas Project Implementation by EESL SPV May be created in the state for implementation of BLY(eg KREDL) SPV may get empanelled with BEE and implement the project Govt may arrange finance for SPV Create a SPV in the state for Implementation

20. 20 Project Development process with Private Investors Empanelment of Investor with BEE Investor and DISCOMS identify SSC-CPA Area Investor and BEE sign bilateral agreement Investor and DISCOM sign bilateral agreement Signing of Tripartite agreement Investor secures finance and sources CFLs Investor develops CPAs and submits to BEE CPA validation and inclusion by DoE CFL distribution by Investor Project area monitoring by DoE CPA verification by DoE and CER issuance to CPA Allocation of CERs by BEE

21. 21 Select a SPV to implement BLY Source- EMC Loan to be repaid by funds from CERs X Crores from Govt Y Crores loan from Utility/Banks

22. 22 Project Development process with EESL Award of project to EESL EESL and DISCOMS identify Project Area EESL and DISCOM sign bilateral agreement Signing of Tripartite agreement with BEE EESL selects investment Partner EESL develops Projects and submits to BEE Project validation and inclusion by DoE CFL distribution by EESL/Partner CPA verification by DoE and CER issuance to CPA Allocation of CERs by BEE

23. 23 Benefits to the state under BLY BEE acts as a Managing and Co- ordinating Entity for the BLY projects Support in awareness campaign Technical support from BEE for development of BLY projects Early registration of projects and early issuance of CERs

24. 24 Bachat Lamp Yojana Potential CFLs give 80% energy savings without compromising lumen intensity 400 million ICLs can be replaced, annually saving ~ 4000 MW Each BLY project ~ 600,000 CFLs, upto 4 CFLs per household GHG reduction estimate 1 tCO 2e reduction can be achieved by replacing Ten 100 W ICL or Twenty 60 W ICL

25. 25 Buyer in Annex I Country CFL INVESTOR PoA -Manager HOUSEHOLD Payment for CERs CERs sold Each BLY project ~ 600,000 CFLs, upto 4 CFLs per household 400 million ICLs / annum replaceable, annually saving ~ 6000 MW Validation / Verification DISCOM Fused CFL’s returned Replaced ICL lamp CFL = Compact Florescent Lamp ICL= Incandescent lamps BEE = Bureau of Energy Efficiency DISCOM = Distribution Company DNA = Designated National Authority EB = Executive Board DNA Annex I & II PoA approval Safe disposal of returned CFL Procures long-life CFLs and distributes to households Day-to-day monitoring; Verification survey to assess lamp failure rate Provides access to the households for installing CFLs Programme Landscape of BLY CDM EB Communication Pays Rs 15 for new CFL Safe keeping of replaced ICL lamp for inspection Technically develops BLY scheme methodology and documents

26. 26 AMS IIJ- Simplified M&V 1.Deemed savings approach: 3.5 hours / day/ CFL 2.Periodic CFLs survey

27. 27 Benefits of BLY Uses CDM Programme of Activities approach to  Lower transaction costs  Reduced time  Capture an activity otherwise difficult / expensive under CDM  Reduce risk to investors  Simple monitoring without compromising CFL usage hours  Predictable returns in todays uncertain global financial flux and post -2012 uncertainity

28. 28 BLY Chronology 28 th May 2007– Power Minister announces concept 12 th February 2009– Pilot project registered 25 th February 2009– Power Minister launches Bachat Lamp Yojana (BLY) March 2009– CDM National Stakeholder consultation 22 nd July 2009– BLY enters validation April 2010– BLY PoA registration April-June 2009– BLY revised as per AMS IIJ