BEE to assign labels to 21 products by 2012

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Hyderabad: The Bureau of Energy Efficiency (BEE) has proposed to establish systems and procedures to measure, monitor and verify energy efficiency results in individual sectors and make them mandatory.

About 21 consumer products will have to go through mandatory labeling processes which also include passenger cars as well by 2012. From 2010, manufacturers of ACs, refrigerators, power distribution transformers and tubelights must carry the star label for energy efficiency giving the consumption details. With the new labeling norms in place, which attribute to the energy efficiency, there is a proposal in the government to reduce taxes as well.

Interacting with the media on the sidelines of a seminar on Energy and Climate Change organised by the European Union in Hyderabad, Sandeep Garg, energy economist, Bureau of Energy Efficiency, said that the government was contemplating to give incentives in the tax rates for those companies which adhere to star ratings. At present, appliances including air-conditioners, refrigerators, tubelights, transformers are given a star rating on a scale of 1 to 5.

The government has a proposal to collect 0, 4, 8 and 12% on the appliances which are rated with 5, 4, 3 and 2 stars respectively. “Tax rates will decrease with the increase in the rating and it even could be zero taxation for 5-star rated products,'' he said adding that the finance ministry would take the final call on the interest rates.