Conservation of energy and protection of environment: Both are vital to a nation like ours. Developing products that do both deserves a sure pat. Extensive usage of these devices/equipment by the private sector will not only go a long way in saving on electricity bills, but will also help prolong the life of motors. No cost measures like switching off lights, fans and machinery and equipment, when not in use, will certainly save energy, but that's not enough. One would have to retrofit energy-saving devices to the machine to achieve maximum energy efficiency.

Buying these devices would also make good money sense as they save tax, as they enjoy 100 per cent depreciation eligibility under the IT Act. In energy conservation circles, it is a premise that the investment needed to save one unit of energy is much lower than that needed to supply that unit of energy at the point of use.

Vijay Energy Products, incorporated in 1985 with a paid-up capital of Rs 10 lakh, has been producing energy-saving equipment, foreseeing the need that the power crunch will create for them.

The flagship product of the company is the Delstar converter module to be used in conjunction with the star delta starter for saving energy by operating the motor in star mode when the load is lower than 50 per cent. This product ensures not only energy savings but also a higher power factor and lower maximum demand. The working of this product can be explained as providing control supply to the “Star” contactor coil after disconnecting supply to the delta coil. Additional features and facilities like to changeover from Star to Delta when the level of current starts falling down and reaches normal levels, trips for single phasing, and start and run overloads are available. At Zero load, a 1 to 15 HP motor saves about 76 per cent energy consumption while saving is about 45 per cent for motors in the range of 41 to 150 HP. Apart from the improvement in power factor and energy savings, the motor runs cooler leading to longer motor life. “With such substantial energy savings, payback can be as low as 4 months or stretch to a maximum of 12-14 months,” says Vijaya Sarathy, MD of the firm.

Energy Saver Soft Starters, another important product, is meant for induction motors that are lightly or cyclically loaded. The different design parameter for motors allow designing for maximum efficiency. The important and almost unique positive feature of the soft start is to reduce peak motor current during starting and also to eliminate shocks at start.

The Load Trip or Minimum Current Relay is used to trip motors when loading is below a pre-determined value in order to avoid running of motors when not loaded. The Energy Saving Lamp Controller enables the user to adjust the level of illumination with a proportionate reduction of light intensity. The Electronic Ballast provides a high initial voltage to start tube lights and it also regulates current all through when the lamp is glowing. A 40W tube light with electronic ballast consumes 42W as compared to the 53-60W consumed by a tube light with a standard choke. There are other similar devices which when attached to an appliance/equipment switches it off automatically, when it is not in use or when the user is not present. For instance, occupancy sensors/movement detector which switch off lights and fans in unoccupied areas and welding set energy saver which switches off the welding set when it remains idle beyond a pre-determined time.

“But people are ready to pay recurring bills than invest in energy-saving devices. It is not as if people can't afford the initial investment. It is mainly the lack of interest that has prevented products such as ours, from taking off in a big way,” says Vijaya Sarathy.

A commitment from the top management that should percolate down to the lowest level in the hierarchy is a must for successful installation and use of such products. “As a part of our initiative, we even devised a scheme whereby the buyer pays us through the savings he makes, in energy-related payouts; our bankers even agreed to this. Yet there have not been many takers,” he rues. An effort to educate the educated entrepreneur on the advantage of using these products is a must, not just for energy conservation, but also for environmental concerns, due to carbon dioxide emission.

With the opening up of the economy, cheaper imported products are available. The marketing effort and the after-sales service required to keep up the image of the brand puts fear in the minds of local manufacturers when it comes to marketing their own low value products. The Twilight Switch, a simple device to switch on-off a light or groups of lights based on sunlight that helps in substantial saving, is a case in point. “We stopped producing it here. The imported ones are slightly more expensive than ours, but they come with a five year guarantee and maintenance costs are negligible,” he says.

The firm's turnover has fallen by 50 per cent in the post-liberalisation era to the present Rs 15 lakh. Margins are maintained through stringent measures for cost control.

Though there are a number of subsidy schemes for Energy Audit exercises, there is no policy at the State level for energy conservation. At the Centre, the IDBI provides detailed information on energy conservation projects and products. The ICICI provides concessional loans for acquiring and installing equipment for energy conservation. However, despite all the talk about the need for energy and fuel conservation, there is hardly any government effort in this direction. There is no response for quotations submitted nor are payments received for samples provided, even though the sample piece itself is put to good use.

Small business enterprises that need timely payments for their supplies are afraid to deal with government departments for fear of cash getting stuck there and thus throwing their plans for working capital out of gear. “Timely payments to suppliers are more the exception than the rule. We have made it a rule that only 5-10 per cent of our business per annum is conducted with government departments,” says Vijaya Sarathy.