OECD-CEFIM-BEE Energy Efficiency Platform and Protocols webinar, 15 July 2021

1. INDIA’S ENERGY EFFICIENCY
FINANCING PLATFORM
15th July 2021
Vineeta Kanwal
Director, Bureau of Energy Efficiency

2. CLIMATE CHANGE GOALS
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Reduce the emissions intensity of its GDP by 33 to 35 percent by 2030 from 2005
level
Achieve 40% cumulative electric power installed capacity from non-fossil fuel based
energy resources by 2030
Create an additional carbon sink of 2.5 to 3 billion tonnes of CO2 equivalent through
forest and tree cover by 2030
G
o
a
l
s
Climate Action tracker rated India’s existing target under the Paris Agreement “2o c – compatible”
USD 2.5 trillion (at 2014-15 prices) would be required for meeting
India's climate change actions between 2015 and 2030

3. COVID-19 - CHALLENGES IN FINANCIAL SECTOR
 The restrictions and lockdowns imposed in the wake of COVID-19 pandemic were equivalent to a massive macroeconomic
shock that led to an economic downturn unmatched in recent history.
 Reviving growth and mitigating effects of COVID-19 have assumed centre stage in the Reserve Bank’s policy agenda and it
acted swiftly with aggressive policy rate cuts, massive system-level and targeted liquidity infusion, moratorium and time-
bound resolution for specified sectors.
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12,17,594
32,93,638
26,02,287
23,04,313
Mar-19
Agriculture & allied activities Industry (MSME & large) Services Retail loans
12,91,752
31,30,493
26,89,484
27,27,946
Sep-20
Agriculture & allied activities Industry (MSME & large)
Services Retail loans
Sectoral deployment of
bank credit – outstanding
amount in Rs. Crore
Source: RBI report 2020

4. HUGE INVESTMENT POTENTIAL IN ENERGY
EFFICIENCY
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Sectors Moderate Energy Savings by
2031 (Mtoe)
Energy Savings Investment by
2031(Rs. crore) – Moderate
Savings Scenario
Energy Savings Investment by 2031(
Rs Crore) - Ambitious Savings
Scenario
Agriculture 5.7 51,450 89,004
Commercial 4.9 81,154 105,701
Domestic 12.1 120,233 145,420
Municipal 0.9 8,337 13,389
Industrial 47.5 515,116 601,210
Transport 15.8 226,039 365,706
Total 86.9 1,002,329 1,320,630
Source: Unlocking National Energy Efficiency Potential (UNNATEE) 2019 Report

5. BACKGROUND OF BEE’S FINANCING INITIATIVES
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National Action Plan for Climate Change
(NAPCC)
National Mission for Enhanced Energy
Efficiency (NMEEE)
Perform, Achieve &
Trade (PAT)
MarketTransformation for
Energy Efficiency (MTEE)
Framework for Energy
Efficient Economic
Development (FEEED)
Energy Efficiency
Financing Platform (EEFP)

6. ENERGY EFFICIENCY FINANCING PLATFORM (EEFP)
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To create mechanisms for financing EE projects/ measures and capacity building of financial institutions and
industries.
Output 1 -Workshop
Output 2 -
Publication
Publication 1 Publication 2 Publication 3 Publication 4
Objective

7. TRAINING PROGRAMME FOR FIS ON EE FINANCING
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 Capacity building of Financial institutions: BEE completed a training programme for FIs on EE
financing from June 2015 to March 2019.
ToT workshops (2015-
2017)
• Mumbai (Western)
• Nainital (Northern)
• Vijayawada
(Southern)
• Kolkata (Eastern)
Individual training
workshops (2016-17)
• Canara Bank – 37
trainees
• South Indian Bank –
24 trainees
Individual training
workshops (2017-2019)
• 22 individual training
workshops
• Overall achievement
(2015-19):
trainees : 682
FIs covered: 72
USAID-
PACE-D
IBA SDAs IREDA PFIs IFC
New
PFIs
BEE

8. EEFP……CONTD.
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BEE has taken initiative to organize 4 conferences with the name of investment
bazaars in each region.
New initiative: Investment bazaar – launched in March 2021 in
Andhra Pradesh (Vizag) by APSECM

9. NEW FINANCING PROGRAMMES
1. Grading of Energy Efficiency projects/loans – BEE shall reimburse grading cost
of 100 such EE projects/loans
2. To set up Facilitation centre for EE Financing in BEE
3. To restart capacity building of Financial institutions on EE financing
4. To set up EE financing cells in nationalized banks
5. To facilitate lending by Micro Finance Institutions at a reduced rate of interest
for EE appliances
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Ministry of Power has designated Power Finance Corporation (PFC) as a Nodal
Agency for energy efficiency financing in India

10. KFW CREDIT LINE FOR SBI'S ENERGY
EFFICIENT HOUSING PROGRAMME
 KfW loan agreement was singed between SBI and KfW in December 2019 for Euro 250
million
 This fund shall be used to extend sub loans for new residential housing projects which
achieve 25% of Energy Efficiency as compared to existing building constructions.
 The facility is supported by accompanying measures of Euro 1.5 million for development
of the energy efficient housing market and an Environmental and Social Management
System (ESMS) within SBI.
 Additionally, Investment grant of Euro 10 million shall facilitate achievement of a higher
level of energy savings and stimulate a stronger utilization of energy efficient building
technologies in the residential housing sector.
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Thank you!
Please send feedback to following officials in BEE:
 Ms.Vineeta Kanwal, Director-BEE: vkanwal@beenet.in
 Ms. Richa Mishra, Project Economist-BEE: richa.mish@beenet.in
 Ms. Malvi Mehrotra, Project Economist – BEE: m.mehrotra@beenet.in
 Mr. N Ganeshan,Consultant (Banking) – BEE: n.ganeshan8@beeindia.gov.in