February 2012

India ESCO Market Dynamics, Performance Contracting, Government Role, Project Financing Scenario, Technologies, Competition Landscape, Market Analysis and Forecasts, Market Issues and Customer Segment Analysis

A ‘must read’ for

• Energy Service Companies (ESCOs), Independent Energy Consultants / Auditors, Management Consulting Firms
• Energy Efficiency / Enterprise Applications vendors, solution providers and system integrators (SIs) looking at the India Energy Efficiency opportunity
• Government Agencies
• Infrastructure Finance institutions / banks
• Commercial building owners, CEOs, CFOs, Heads of Production / Operations, CIOs / CTOs, Corporate Energy / Sustainability Managers of large enterprises responsible for energy efficiency project implementation, equipment upgrade, cost management and overall business productivity enhancement

Background

According to the Planning Commission, India’s total primary commercial energy requirement (in terms of million tonnes of oil equivalent) is projected to grow at 6.5 percent per year between 2010-11 and 2016-17 from a level of 522.81 MTOE to 738.07 MTOE. Indian government and corporate sector are highly focused on creating a more sustainable and energy-efficient economy, and these goals have intensified their attention on industry, agriculture and buildings sectors, which are the primary sources of energy consumption.

Energy Service Companies (ESCOs) provide energy-saving systems and developing performance contracting (PC) business models to assist building owners and energy managers optimize energy use in existing infrastructure as well as Greenfield projects. Increasing energy demand and rising energy cost are lead drivers for the growth of the ESCO business in India.

In June 2010, the Union Cabinet approved the implementation framework of the National Mission for Enhanced Energy Efficiency (NMEEE) which seeks to unlock the India energy efficiency investment potential of Rs. 74,000 crore. However, despite the fact that the potential for application of performance contracting in both the public and private sectors in India is enormous, the size of the ESCO industry has been particularly small as compared to the opportunity.

FIVE KEY QUESTIONS ANSWERED IN THE REPORT
What is an ESCO, its working model, nature of the performance contracting (PC) industry?
How large is the addressable market for ESCOs?
What past, current, and future policies are drivers/barriers to the growth of the ESCO industry in India?
What is the role of government and impact of availability of project financing?
What is the ESCO industry competitive landscape? Which ESCOs have a strong play in the near-term?
HOW THIS REPORT WILL HELP

This CMR report is meant to serve as a credible source of information that can:
Enable better business planning and decision-making – nature of PC business, key market segments, growth drivers / inhibitors, competitive landscape
Help in understanding the roles of various stakeholders and policymakers in the evolution of the ESCO ecosystem in India
Provide ESCO business executives cues for developing an effective Go-to-Market roll-out program

To request a copy of the Table of Contents / order your copy of the report, please write to Vivek Mishra, Manager, Research & Consulting, Energy & Utilities Practice, CyberMedia Research at vmishra@cmrindia.com or call him at +91 – 97183 50700