Government of Tamil Nadu
Micro, Small and Medium Enterprises Department
Commissionerate of Industries and Commerce
தொழில் வணிக ஆணையரகம்

SCHEME FOR PROMOTION OF ENERGY AUDIT AND CONSERVATION OF ENERGY

Preamble
The Government have introduced Promotion of Energy Audit and Conservation of Energy (PEACE) scheme for promoting Energy efficiency in MSME units. Under this scheme the Government will reimburse 50% of the cost of conducting energy audit and 25% of the cost of machinery & equipments replaced, retrofit and technology acquired for the purpose of improving the energy efficiency, based on the recommendation of Energy Audit.

Objectives of the Schemes

  1. Create awareness & educating MSMEs about benefits/advantages of new techniques/technologies for saving energy.
  2. Undertaking indepth studies of high energy consuming MSME clusters and identify gaps and potential barriers for energy conservation, and promoting adoption of suitable techniques/technologies to achieve energy efficiency.
  3. Encouraging MSME for adopting energy audits to improve energy efficiency and fuel substitution, and monitoring the implementation of recommendations.

 INCENTIVE FOR CONDUCTING DETAILED ENERGY AUDIT

  1. Main objective is to identify the major sources of energy in use, identifying the lapses in energy usage, identifying areas to improve energy usage, determining the level of consumption of the energy sources and recommending measures that will enhance energy savings in the industry.
  2. 50 % of the Energy Audit cost subject to a Maximum of Rs.0.75 lakh per energy audit per unit.
  3. Eligible MSMEs shall file its claim within one year from the date of completion of Energy Audit.

INCENTIVE FOR IMPLEMENTING ENERGY AUDIT RECOMMENDATION

    • The objective is to incentivise MSMEs to implement the recommendations of the Energy Audit Report and to optimize the energy consumption leading to energy saving and money saving in electricity bills.
    • Eligibility - All manufacturing MSMEs in the state which have undertaken energy audit and have achieved atleast 15% energy savings in terms of number of units of energy consumed per unit of product manufactured.
    • 25 % of the cost of the eligible components, subject to a Maximum limit of Rs.2,00,000/-.
    • MSMEs have to apply to DIC/ RJD, Chennai only after three months from the date of implementation of Energy Audit recommendations.