The Confederation of Indian Industry (CII) has signed a memorandum of understanding (MoU) with Petroleum Conservation Research Association (PCRA) for conducting audits in small and medium industrial units to exploit energy saving potential in them. The three industrial clusters identified for the initiative are handtool units in Jalandhar, ministeel plants in Govindgarh (Himachal Pradesh) and auto component units in Gurgaon . This is a first of its kind initiative that the ministry of petroleum and natural gas has taken up in the field of energy conservation in association with CII. The MoU was signed here on Wednesday by Mr Ravi Capoor, executive director, PCRA, and joint secretary, ministry of petroleum and natural gas, and Lt Gen (Retd) S S Mehta, director general, CII. According to the MoU, four units in each of these clusters would be identified and taken up in the first phase, where detailed energy audit will be carried out to estimate the saving potential. The project tentatively targets to achieve an adequate saving level by February , 2008. Speaking on the occasion, Mr Capoor said, "We must work towards making these energy intensive small and medium enterprises (SMEs), operating in clusters all over the country, energy-efficient and bring them at par with world standards." Earlier, ministry of small scale industries, had approved six clusters under Small Industries Cluster Development Programme.