Like 3M’s (Man, Machine and Material), energy is one of the major inputs for economic development of the country. In case of developing countries like India, the energy sector assumes critical importance in the view of the ever increasing energy needs, requiring huge investments for new power plant erection. About 85% of total primary energy need comes from fossil fuels. Particularly, oil contributes to 31% primary energy sources and the existence of it from domestic source in India may last for only about 20 years only at the current reserve to production (R/P) ratio. Similarly, coal contributes to 54% primary energy sources and may last for about 114 years at the current reserve to production (R/P) ratio. Water Pumping System is one of the major utilities in SME’s as well as power & process industry, and consumes about 10% - 15% electrical power in Industrial and Agricultural sector. As per TERI Energy data directory yearbook, Industrial sector and Agricultural sector contribute to 45% and 7% of the total energy needed respectively in India. A measurable amount of Industrial production is delivered from small and medium industries operated with inefficient equipment, where it has been difficult to implement efficiency improvements. The objective of Water Pumping System in most cases is either to transfer liquid from one reservoir to another or to circulate liquid across the heat exchanger around a system. Since worldwide, centrifugal pumps account for the majority of electricity used by pumps, this paper focuses on energy saving in centrifugal pumping system with a case study work carried out in an industry.