Coal India Ltd (CIL) has signed a Memorandum of Understanding (MoU) with EESL for collaborating in the area of energy efficiency and resource conservation for de-carbonisation of Coal India, the coal PSU said in a statement.
This MoU will enable EESL to help CIL reduce 10-15 per cent of its annual consumption of 4,600 million units (MU) of energy.
EESL will help CIL with energy efficiency in processes along with de-centralised captive solar plants and help to improve operational efficiencies of CIL''s subsidiaries and reduce significant costs, without any upfront investment.
Under the MoU, EESL will help CIL to conduct energy audits and undertake assignments to minimise losses on account of energy through financial energy service company (ESCO)/renewable energy service companies (RESCO) model.
In the ESCO/RESCO model, the entire project cost shall be borne by EESL against the proposed energy savings project and the payment to EESL shall be monetised through energy savings.
CIL and EESL will also explore business opportunities in the field of energy efficiency, electric vehicle hiring including establishment of charging stations, solar power generation, green energy building, smart energy solutions, etc.