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Pakistan's National Energy Conservation Centre.

Pakistan's planners, realizing that energy conservation is actually the cheapest, readily available and environment-friendly source of energy supply, created the National Energy Conservation Centre (ENERCON) in 1986 to plan, demonstrate and execute a comprehensive nationwide energy conservation programme. In the six years that ENERCON has been operating, it has made outstanding progress in demonstrating the benefits of energy conservation to industrial, agricultural, commercial and domestic consumers.

Institutional Development

ENERCON has prepared a draft National Energy Conservation and Management Law which would give the organization the necessary statutory foundation and tools to promulgate energy efficiency standards. The legislation is with the Cabinet Division for final approval before submission to the Cabinet.

Planning and Policy Development

ENERCON prepared the energy conservation chapters for the 7th and 8th Five-Year Plans and set targets for energy conservation through improved management and implementation of Nationwide programmes in various subsectors of Economy. In the policy area, ENERCON has continued to support cogeneration, line loss reduction, rationalization of prices, elimination of flat rate tariffs, least-cost supply options, removal of tax and other financial barriers to energy efficiency, introduction of standards, and inclusion of energy analysis and environmental impact studies in all PC-1s. ENERCON has been instrumental in getting items like Compact Fluorescent Lamps (CFLs) on the duty-free list and increasing the Power Factor Penalty and its threshold.

Investment Promotion

Although the majority of ENERCON's activities so far have focused on demonstrating and implementing no-cost/low-cost energy conservation measures, ENERCON is now moving into large-scale energy conservation and capital-intensive investment promotion programmes through the private sectors. To date, ENERCON has:

* Completed 11 feasibility studies, 3 of them for cogeneration facilities.

* Completed a study of barriers to investment in energy conservation. Measures recommended in this study are expected to be incorporated in the national Budget for FY 1992-93.

* Completed study of the economic impact of custom duties on energy conservation-related items.

* Completed a pro-investment study of cogeneration at a sugar mill.

* With USAID assistance, established a one million dollar dedicated (subsidized) loan programme through Habib Bank Limited to finance energy conservation investments in the private sector.

Data Base Development

Data base development is essential to programme planning and evaluation. ENERCON has developed an extensive set of data bases for each of the programmes it carries out. For example, as a result of its Boiler/Furnace Tune-Up Programme, it now has detailed data on the size and efficiency of over 500 combustors in the country. Sectoral data bases have also been prepared, as well as programme tracking and monitoring data bases. ENERCON also prepared the first computerized National Weather Data Base for 6 major cities of Pakistan.

Training and Education

ENERCON began its education programme with the completion of a national energy conservation education needs assessment. This was followed by the preparation of training manuals for 13 different technical areas. To date, ENERCON has:

* Conducted over 120 one-day training workshops on 14 different topics.

* Trained over 3,500 engineers, technicians and managers in energy conservation.

* Developed two energy management textbooks for engineering universities and polytechnics and included energy management as a numbered course in various technical education institutions.

* Introduced a chapter on energy conservation in secondary school textbooks.

Information and Outreach

ENERCON's immediate task was to create an awareness among various end-user groups for the efficient use of energy through its technical services, training programmes and information and outreach efforts. Key activities in information and outreach have been:

* Publication and distribution of a quarterly newsletter with a circulation of 10,000.

* Publication and distribution of 31 technical fact-sheets for industry, 5 for transport, 4 for buildings and 7 for agriculture.

* Publication and distribution of 13 state-of-the-art technical booklets for industry in English and Urdu.

* Hosting of 3 International Energy Conservation Symposia in 1988, 1990 and 1992.

* Institution of the National Energy Management Awards.

* Conducting public awareness campaigns through the use of TV, radio, newspapers and other media tools.

Monitoring and Evaluation

Monitoring and evaluation are essential for improving programmes, as they are being implemented. ENERCON has developed an ongoing computerized tracking system to monitor its many programmes and conducted detailed evaluations of some specific programmes.

Key Programmes for the 8th Plan Period

Activities in the 8th Plan period can be classified into three areas: development and implementation of bankable nationwide energy conservation projects, continuation of current sector-specific activities, and institutionalization of energy conservation through the development of rules and regulations and creating of financing mechanisms that support conservation. Some key programmes which are in an advanced stage of preparation, include:

* The nationwide Consumer Power Factor Improvement Programme is designed to help consumers eliminate low power factor penalties through the installation of capacitor banks in industrial plants. Measurable energy savings of 76 MW are expected to be achieved in the 7th Plan period and of 324 MW in the 8th Plan period.

* A programme to introduce Energy-Efficient Lighting in the Commercial Sector will help save the nation 3350gWh over the 8th Plan period.

* A nationwide Tubewell Retrofit Programme incorporating simple retrofits and pump design improvements will result in a savings of 4.5 Mgh for diesel tubewells and 223 MW for electric tubewells over the 8th Plan period.

* ENERCON plans to replace 1,500 boilers currently in use over the 8th Plan Period.

ENERCON will continue to lead the way in tapping Pakistan's lowest cost energy resource: conservation. Equally important, it is establishing a credible model for the rest of the developing world in tapping this resource. The key features of this model are an autonomous, federal-level agency dedicated to energy conservation; a comprehensive programmatic approach, including information and education, direct technical programmes, financial incentives, and judicious use of regulations; implementation of energy conservation on a mass production basis; and development of the ability and interest within the private sector to provide energy conservation services and invest in energy-saving improvements.
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Title Annotation:part 2
Author:Alauddin, Arif; Shah, Zakir Hussain
Publication:Economic Review
Date:Oct 1, 1992
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