Accreditation of ESCO’s in India
Policy measure

The Indian Bureau of Energy Efficiency (BEE) has taken necessary steps to encourage the supply of performance contract based energy efficiency enhancement services through energy service companies (ESCOs) (BEE, 2008).

Implementation

“An exercise for expanding the number of existing ESCOs through an open invitation and evaluation process was taken up by BEE, whereby 37 ESCOs were found eligible for short listing.” (BEE, 2008)


An accreditation exercise of ESCOs in terms of their success in implementing energy efficiency projects, the abilities of their technical man power and their financial strength to invest in such projects, was carried out by CRISIL and ICRA, with technical and financial support from BEE (BEE, 2008).

Challenges
No identified challenges.
Outcomes

According to BBE (2008), over thirty ESCOs have been empanelled “through an accreditation process carried out by CRISIL and ICRA. This accreditation exercise has helped provide the technical and financial due diligence necessary to create a sense of credibility amongst the prospective building owners who are likely to secure the services of an ESCO, as well amongst the financial institutions who are likely to provide the debt and working capital to the ESCOs.”

References

BEE (Bureau of Energy Efficiency), 2008.  Accredited Energy Service Companies (ESCOs). New Delhi: Government of India, Ministry of Power. Available at: http://www.bee-dsm.in/Docs%5CAccreditedESCOs.pdf .