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GOVERNMENT OF PUDUCHERRY

CHIEF SECRETARIAT (ENVIRONMENT)

(G.O. Ms. No. 13/2023-Envt., Puducherry, dated 03rd November 2023)

NOTIFICATION

In exercise of the powers under section 57, read with section 16 of

the “Energy Conservation Act, 2001” (Central Act 52 of 2001), the

Lieutenant-Governor, Puducherry, constitutes a Fund to be called the

“Puducherry Energy Conservation Fund” and makes the following

“Rules” for regulation and operation of the said fund, namely:-

1. Short title and Commencement.— (l) These Rules may be called

the ‘Puducherry Energy Conservation Fund Rules, 2023’.

(2) It shall come into force at once with effect from the date of

its publication in the Official Gazette.

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No. 86 Poudouchéry

Mardi

Novembre

2023

No.

Puducherry

Tuesday

7th

November

2023

(16 Kartika 1945)

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LA GAZETTE DE L'ETAT

[PART–II

2. Definitions.— (1) In these rules, unless the context otherwise

require, -

(a) “Act” means, the Energy Conservation Act, 2001 (Central

Act 52 of 2001)

(b) “Beneficiary” means, beneficiary of the Fund constituted

under section 16 of the Act;

constituted under section 16 of the Act;

(d) “Government” means, the Administrator of the Union

territory of Puducherry appointed by the President of India

under the Article 239 of the constitution;

(e) “Section” means, the section of Act;

(f) “State Designated Agency (SDA)” mean, Renewable

Energy Agency Puducherry, notified under clause (d) of

section 15 of the Act;

(g) “State Level Steering Committee” mean, the Committee

specified in rule 3 (2);

(2) The words and expressions used and not defined herein but,

defined in the Act, shall have the meanings, respectively, assigned to

them in the Act.

3. Administration of the Fund.— (1) The Fund constituted under

sub-section (1) of section 16 of the Act, shall be administered by the

State Designated Agency under the supervision of the State Level

Steering Committee in accordance with the provisions of the Act and

Rules made thereunder.

(2) The State Level Steering Committee consisting of the

following Members, namely:-

(a)

Secretary, Power Department/

. . Chairperson

Vice-Chairman (REAP).

(b)

Director, Department of Science,

. . Member

Technology and Environment.

(c)

Superintending Engineer-cum-

. . Member

Head of Department, Electricity

Department.

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(d) Chief Engineer, Public Works Department . . Member

(e) Director, Local Administration Department . . Member

(f) Managing Director,

. . Member-

Renewable Energy Agency, Puducherry.

Secretary.

(3) The meeting of State Level Steering Committee must be

convened atleast once a year to develop a road map for effective

utilisation of Puducherry Energy Conservation Fund.

4. Power and functions of the State Designated Agency.—The

State Designated Agency shall under the supervision of the State Level

Steering Committee exercise or perform the following powers and

functions, namely:-

(a) to develop norms, guidelines and procedure for assistance

from the fund;

(b) to work out modalities of the Energy Conservation Schemes

and programmes and ensure effective monitoring in its implementation;

finance and budget with respect to the fund;

(d) to process proposals for financial assistance for the fund

and issue utilisation certificate thereof;

(e) to sanction and disburse financial assistance for the project

approved from time to time and monitor or supervise such projects and

expenditure incurred thereon and evaluate its performance;

(f) to organize various promotional, awareness creation

programmes and to convene meetings, seminars and workshops for

propagation of the fund

(g) to liase with the Government and other stakeholders of the

Fund;

(h) to maintain proper records and accounts of the Fund;

(i) to maintain up to date and complete information including

progress made in the implementation of various programme under the

fund, from time to time;

(j) to prepare annual statement on income and expenditure and

balance sheet of the fund;

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LA GAZETTE DE L'ETAT

[PART–II

(k) to specify the manner and authority for audit of the

accounts of the fund;

(l) to manage the properties of the Puducherry Energy

Conservation fund;

(m) to perform such other functions as may be assigned by the

Government from time to time for the proper utilisation of the fund;

(n) to exercise or perform such other power and functions that

are necessary for the administration carrying out management and

utilisation of the funds for the purpose of the Act and Rules therein.

5. Establishment of Fund.— The Fund constituted under section 16

of the Act shall consist of.-

(a) all grants and loans that may be made by the Government

of Puducherry or Central Government or any other organisation or

individual for the purpose of the Act;

(b) any other amount authorized to be credited to the fund,

under the provision of the Act.

6. Utilisation of the Fund.— (1) the fund shall under the

supervision of the State Level Steering Committee be utilised for meeting

the expenses incurred for implementing the provision of Act:-

(i) The activities under contribution to Puducherry Energy

Conservation Fund should not include energy efficiency

projects to be executed entirely on grants-in-aid basis. For

undertaking energy efficiency projects, the funds disbursed

under State Energy Conservation Fund should be utilised as

Revolving Investment Fund (RIF). This fund may be used to

finance implementation of energy efficiency projects in public

buildings including Central Government, State Government and

Union Territory and Central or State Government undertakings/

agencies’ buildings, energy efficiency street-lighting or common

area lighting projects, energy efficiency projects in public

drinking water pumping stations and in agricultural pumping,

energy efficiency projects in various industrial sectors and

micro, small and medium enterprises clusters, etc., Puducherry

Energy Conservation Fund will not be used for any other

purpose. These funds cannot be used for project related to

renewable sources of energy.

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(ii) Investments from revolving portion of the fund may be

made under a Performance Contract Model where savings in

energy bills achieved will be ploughed back to the Puducherry

Energy Conservation Fund. Monetary value of energy savings

may be shared between Revolving Investment Fund (RIF) and

the facility owners till the investment made by RIF are recovered

and it will be on no-profit no-loss basis.

(iii) The amount utilised for energy efficiency projects

implemented from Puducherry Energy Conservation Fund should

be recouped.

(iv) The funds from the Puducherry Energy Conservation

Fund may be utilised to implement energy efficiency projects in

the Government Sectors and the same may be recovered from

the concerned Government Departments on deemed saving

model.

(v) The interest component earned from Puducherry Energy

Conservation Fund may be utilised by the SDA for implementation

of energy conservation activities/awareness campaigns on

grant-in-aid basis.

(vi) SDA may seek proposals from Energy Service Companies

(ESCOs) for carrying out energy efficiency projects and finance

them from Union territory of Puducherry Energy Conservation

Fund for their implementation. Recovery of Puducherry Energy

Conservation Fund provided to ESCO may be made by entering

into a contract with the ESCO.

(vii) Special legislative measures may be enacted to create

new taxes/cess for contributing/funding to the Puducherry

Energy Conservation Fund.

(viii) A portion of the Puducherry Energy Conservation

Fund, not exceeding 15% of the total project cost, may be used

for preparatory activities including preparation of Detailed

Project Report and other documents like performance contract,

bidding documents, etc., Expenditure for management of the

project and monitoring and verification can also be made from

Puducherry Energy Conservation Fund within the aforementioned

limit of 15% of the project cost. Remaining portion of the project

cost shall be utilised as Revolving Investment Fund (RIF).

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(ix) Detailed monitoring and verification protocols should be

clearly defined for the projects and should form part of the

performance contract.

(x) If required, third party monitoring and verification may

be carried out and expenditure on the same may be met from

Puducherry Energy Conservation Fund within the limit of 15%

of the project cost along with other preparatory activities.

(xi) All investment decisions for funding projects from

Puducherry Energy Conservation Fund should be taken by the

State level Steering Committee.

(xii) The contribution to Puducherry Energy Conservation

Fund should not be used to bear recurring expenditure like the

operation and maintenance costs and the non-core activities

such as expenditure incurred for making boarding, lodging and

food arrangements for officials of various Departments/

Organizations, etc.

(xiii) All relevant codal formalities and Government of

Puducherry rules and regulations including applicable financial

rules shall be followed while utilising these funds.

(2) All moneys forming the corpus of the Fund shall be

deposited in any Nationalized Bank, as may be decided by the State

Level Steering Committee.

7. Operation of Fund.— the State Designated Agency shall

operate the Fund as per the direction of the State Level Steering

Committee issued from time to time.

8. Power of Inspection.— (1) The State Designated Agency shall

have the authority to monitor the utilisation of Fund. If, Fund is used

for purposes other than the one authorized, the State Designated

Agency may suspend any further assistance.

(2) The State Designated Agency may proceed against the

beneficiaries after following process of Law.

9. Accounts and Audit.— (1) The State Designated Agency shall

maintain proper accounts and relevant records, and prepare an annual

statement of accounts and balance sheet in such Form and in such

manner as may be specified by the State Level Steering Committee.

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(2) The Accounts of the Fund shall be audited by such Auditor

as may be appointed by the State Level Steering Committee or State

Designated Agency.

10. Annual Report.— The State Designated Agency shall during

each financial year prepare an annual report of its activities in the

previous financial year and after approval by the State Level Steering

Committee a copy thereof forwarded to the Government of Puducherry.

11. Closure of Fund.— (1) The Funds shall remain operative so

long as the relevant provision of the Act remains in force or the same is

withdrawn by the Government.

(2) At the time of closure of the Fund, when the Fund is no

longer required, all the unspent balance under the same shall be remitted

into Government Treasury.

12. Amendment in Rules.— The Puducherry Energy Conservation

Fund Rules, 2023 can be amended by the Government of Puducherry as

per functional and objective necessity on the recommendation of the

State Level Steering Committee.

(By order of the Lieutenant-Governor)

P. EJOUMALE,

Under Secretary to Government (Environment).

————

online publication at “https://styandptg.py.gov.in”

Published by The Director, Government Press, Puducherry.