The United Nations Industrial Development Organisation (Unido) on Wednesday said it will work with the government to promote energy efficiency among the micro, small and medium enterprises (MSMEs) in the country.
The Unido will also partner Global Environment Facility (GEF), which is contributing $8 million to the project that will be implemented by 2013.
The project will focus on developing an environment conducive to energy efficiency and use of renewable energy technologies to ensure lower carbon emission by MSMEs mainly in the ceramics, tiles, hand tools, glass, bakeries and iron forging segments.
?The introduction of energy efficiency in the MSME clusters will not only improve the local environment but will also be beneficial in terms of productivity,? Unido said in a statement.
It will also promote the establishment of national policies concerning MSME development based on energy efficiency and renewable energy.
For this, Unido will integrate with the national MSMEs cluster development programme and the regulatory and policy mechanisms under the Bureau of Energy Efficiency (BEE).
The MSME ministry, ministry of new and renewable sources of energy, BEE and the department of industrial policy and promotion (DIPP), which is the nodal agency for Unido activities in India, are the co-financing partners of the project.