Abstract: In this study, electrical energy conservation measures in thermal power plant is discussed. Research study is related with CO2 reduction techniques through energy audit of thermal power plant. The implementation of energy conservation measures drawn from energy audit study will reduce the energy consumption about 15-20% and saved energy can be made available to feed in the grid which increases net electrical energy generation. In house auxiliary consumption reduction can provide attractive method to increase the net generation capacity which reduces CO2 emission factor. In this study, CO2 reduction/annum is calculated as 13980.24 tons of CO2 . It also shows that energy environment implication can be reduced by means of electrical energy audit in thermal power plant.