SIDBI plans to launch Energy Efficiency intervention for MSMEs

New Delhi, Jun 6 (KNN) Helping MSMEs adopt energy efficiency measures, Small Industries Development Bank of India (SIDBI) has plans to launch of a unique Energy Efficiency (EE) intervention, which is expected to benefit about 3000 units in the next three years.

SIDBI, which is celebrating its 25th year of dedicated services to Micro, Small and Medium Enterprises (MSME) sector in India, made the announcement on the occasion of the “World Environment Day” yesterday. 

The intervention has been named 4E (End to End Energy Efficiency) solution intervention.

“The intervention is expected to help MSMEs adopt energy efficiency measures, provide support during implementation by way of assistance in identification of vendors for EE equipment/technologies and during installation and commissioning etc,” SIDBI said in a press release.

SIDBI has proposed to launch the intervention on a pilot scale in 5 of its branches covering Delhi NCR, Uttar Pradesh, Punjab and Haryana.

India SME Technology Services Ltd (ISTSL), an associate institution of SIDBI, will initiate the intervention.

“Many Indian MSMEs are energy-intensive, employing inefficient and outmoded technologies and operational modalities that inhibit their competitiveness and future growth. As per certain estimates, the industrial sector offers a good opportunity to save 49 billion kWh of energy per year.

“It is estimated that about 48 per cent of the total energy consumed in the industrial sector is from MSMEs and by adopting energy efficiency measures, at least 25 per cent of it could be potentially saved.  MSMEs, especially those for whom energy cost represents a large portion of total production costs, can reap benefits from improving efficiency of energy conversion and reduction of energy losses,” SIDBI said.

SIDBI has proposed to follow-up this intervention with several other new initiatives during its Silver Jubilee Year of operations.

Deputy Managing Director in-charge of SIDBI, N K Maini said that 4E Solution is expected to help 3000 MSMEs become more energy efficient in the next three years.

He also informed that several international partners have been impressed by the work undertaken by SIDBI in the field of sustainable development and have been continuously supporting the Bank in such areas through Lines of Credit and technical assistance.