Every kW of energy saved is as good as same amount of energy generated. Such is the scarcity of energy in India. Energy can be saved by using Variable Speed Drives (VSD) for applications like Pumps and Fans. Employing conventional techniques, which uses a motor running at full speed and flow pressure being created by throttle valve, a lot of energy is wasted due to electric, thermal and mechanical losses. By replacing conventional arrangement with AC drives, tremendous amount of energy can be saved. However, traditional approach to flow control has used valves which increased system pressure, inherently waste energy and cause pump to operate at reduced efficiency. VSD?s can achieve reduced flow which results in reduced system pressure and increased efficiency by providing variable speed pump operation. This seminars will discuss the energy saving potential of AC VSD?s.