LIGHTING INDUSTRYand

ELCOMA ACTIVITIESSHYAM SUJAN, Secretary General, ELCOMA

4500 5060 57116450

0

2000

4000

6000

8000

2005 2006 2007 2008

Sale

Growth of Lighting Industry in India

Value Rs. Crores

1.4 Billion US$

Trend for CFL Growth in India

20 35 43 67 100140200

280378

491589

678780

8971000

0

200

400

600

800

1000

1200

2002

2004

2006

2008

2010

2012

2014

2016

CFLEstimate

Qty. Million Pieces

In India -Lighting Consumes 18% of total power

Incandescent Lamp Fluorescent Lamp Compact Fluorescent Lamp Other Lamps

61% 28% 10% 1%

13% of the peak load in Indian power system occurs for 365 hrs a year – i.e. 1 hour per day at dusk

11.7

5.2

12.3

5.1

13.8

7.3

16.6

6.3

0

5

10

15

20

2004-05 2005-06 2006-07 2007-08

ShortageGrowth

Electricity Generation – Shortage Vs Growth

Percentage

Power reach to people

In 2001 - 44% households without Electricity In 2004 – 40% In 2009 – 18% In 2012 - 0% Energy backlog has concerned the government Unable to meet Demand / Supply Gap

In India, Presently – 1 out 5 Lamps is CFL

Most Energy Efficient Lamp Saves 80% on electrical energy for same light

output when compared to Bulb High luminous efficacy Can easily replace Bulb - Easy to install retrofit

solution Have longer life (6 – 12 times longer than GLS) Wide range of shapes, sizes and colours for varied

applications Pays Back more during life span Environment friendly.

Why CFL ?

Barriers to use of CFL

Affordability Performance – CFL Image Awareness Govt. pressure on new features Higher VAT Shoddy Lamps

Regular price reduction Reduced from Rs. 350 five years back to < Rs. 120 Reduced Rs. 10 after reduction in excise in budget Reduced further proportionately on volume increase

One year warranty introduced to reassure of quality Exhibitions & Seminars Coordination with BIS on mandatory standards Dialogue with BEE on Labeling program Regular interaction with Government to initiate awareness

programs Consumer Reach Program by Industry

Press / Electronic media Exhibitions / Seminars Pilot projects on CDM

Industry Initiative

Initiative by Industry …2 Elcoma website carries information on Energy Efficient

Lighting Subsidies or reduction of duties on various raw material VAT reduction to 4% throughout the country Awareness programs through exhibitions, seminars, print

and electronic media Harmonization of International Standards Mandatory Standards Anti Dumping Duty Joining Asia Quality Charter

World over Bulb is being phased out with CFL

USA Announced in Dec 2007 – Phase out in 12 years100W by January 2012 40W by January 2014 Rest by 2019

CUBA Exchanged all Bulbs with CFL in 2005

BRAZIL & VENZUELA

Phase out began in 2005 – to be forbidden by Dec 2010

CANADA Govt. intention to ban sale of bulb by 2012

PHILIPPINES In Feb 2008 Govt. announced to ban the Bulb by 2010

AUSTRALIANEW ZEALAND

Nov. 2008 – Import stopped – No sale after Nov. 2009

Same as above, but import for personal use will be allowedEUROPE 2009-2001 – 100W,

2011-2013 – 75W, 2013-2015 – 60W, 2015-2017 – 25W

WORLD-WIDE PHASE OUT PROGRAMS

Growth – Incandescent Vs CFL

662

36

724

43

710

67

757

100

780

140

735

200

0

100

200

300

400

500

600

700

800

2003 2004 2005 2006 2007 2008

Incandescent CFL

Qty Million Pcs

Phase out plan

698663630510459413350300250220150

280378

678780

8971000

1200

1500

17001850

662724710757780735

567491

36 43 67 100140200

589

0200400600800

100012001400160018002000

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

Incandescent

CFL

Qty. Million Pcs

Bulb vs. CFLImpact on Environment

ELCOMA Contribution to Environment

Preparation of Guidelines for Safe Disposal of Waste Lighting Products

Working towards reduction of mercury content in fluorescent lamps – BIS Standard - < 5 mg

Statutory notice on CFL Package “This lamp contains small quantity of mercury which can be harmful if mishandled. Please dispose off safely”

Innovating and promoting more efficient lighting products to save energy (CFL, Electronic Ballast, Metal Halide Lamps, Luminaires etc)

Safe Disposal of CFLs Guidelines made by Ministry of Environment and Forest is already in place Process will include:

Collection from households through Kabariwala / Ragpickers Resident Welfare Associations Retail Stores

Arrival at Lamp Recycling Units (LRUs) Retrieving of > 94% material Packing and resale to manufacturing

Recycling Cost to be covered either by recycling tax or addition to retail price by manufacturers

Aim to make LRU profit centre

Clean Development Mechanism

Cool NRG International (P) Ltd Elcoma CFL Manufacturers Min. of Env. & Forest BEE State Governments Utilities

Who will participate ?

About Cool NRG Venture of Nic Frances, founder and former

Executive Chairman of Australian Company “Easy Being Green”

Nic is Fellow of the Schwab Foundation on Social Entrepreneurship

Paul Ostling joined Cool NRG as director in July 2007. He was global executive at Ernst & Young

Company has offices in Melbourne, San Francisco and London

Experience of Cool NRG

Distributed 3 million CFL in Australia in a pack of 6 lamps to 500,000 households

Cut pollution by 3.2 million tonnes of Carbon Dioxide

Signed with China for 300 million pieces recently

Project under finalization in Brazil

Plan for India

300 million CFL in two years Distribution - 300 pocket areas of 1 million

pieces each Logistics – Physical replacement of GLS with

CFL Maximum 4 CFL per household Verification by Electricity Bill

Funding

Joint Venture Cool NRG nearly 20% Other stake holders

Manufacturers Central Government State Goverments Utilities BEE

Business model

Registration with Min. of Environment & Forest (National Designated Authority)

Free Distribution of CFL Earn Carbon Credit Pre-trade to recycle funds for next packet

Lighting Excellence Centre

For Technology development and energy conservation: Lighting Industry has planned to have a Lighting

Excellence Centre to work on research and development for more energy efficient products. It will also be open for exchange and imparting of information to students, designers, architects and other entities. The centre will also have a world-class library, besides having test lab and conference facilities

Dialogue is on with BEE, NPL, ISLE and Govt Likely to be set up by 2012