Pakistan's National Energy Conservation Centre

By Alauddin, Arif; Shah, Zakir Hussain | Economic Review, October 1992 | Go to article overview

Pakistan's National Energy Conservation Centre


Alauddin, Arif, Shah, Zakir Hussain, Economic Review


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. …

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