Armenian companies undertake power efficient production

PanARMENIAN.Net - Energy expenses could be reduced by 15% what is a huge saving for major companies. Besides, over $400 mln can be economized in the framework of national every saving and renewable energy program.

The European Bank for Reconstruction and Development (EBRD) has launched the Armenian Sustainable Energy Financing Facility (ArmSEFF) to help Armenia develop competitive private businesses.

Head of EBRD Office in Armenia Valeriu Razlog informed that $20mln will be allocated within ArmSEFF, while $5mln will be provided for the renewable energy field. “The loan funds will be offered through Armenian commercial banks. Anelik Bank is the first one, with which we signed an agreement on loan provision. $3mln was allocated to the bank for on-lending the energy saving field,” he said.

Razlog believes that entrepreneurs conceive the importance of energy saving in Armenia, as the country lacks energy resources, while prices for fuel continue growing in global markets. “Our program will allow increasing enterprises' incomes. The investment will create a possibility of decreasing energy costs, using the available resources more efficiently,” he said.

Head of the Lending Department at Anelik Bank Hayk Grigoryan said that the loan will be provided for five years with one-year grace period. The maximum amount of one enterprise's loan will total $2.5mln. “The interest rate will be defined individually, depending on loan amount and other factors. However, they will be lower compared to other types of lending,” he said.

Power efficiency will be discussed during the November 15-16 First Regional Workshop organized by the REC Caucasus in the framework of the project "Promoting Competitiveness and Efficiency of Small and Medium Enterprise Through Cleaner Production in the South Caucasus" in Tbilisi, Georgia.

The Project is implemented with the financial support of Ministry of Housing, Spatial Planning and Environment of the Netherlands.

The overall objective of this project is to contribute to sustainable development in the South Caucasus and minimize environmental impact of industrial sector by stimulating small and medium size enterprises (SMEs) to take steps towards cleaner production (CP). The objective will be reached via increasing SME's capability in the preparation of financial documentation for CP projects. The increased possibility for getting the financial resources from local and international financial institutions will improve SME's operation capabilities to become more economically efficient and environmentally friendly.

Three national trainings (one in each country) were held in countries of South Caucasus. The main aim of national training courses was to introduce to the participants the concepts of CP, types of CP action, CP tools and techniques, performance audit, impact assessment, CP audit, tools and methods used for CP auditing and other useful topics, supported by examples from international experience. Representatives of 15 SMEs in each country participated in the national trainings.

The basic objective of the First Regional Workshop is the practical work on the preparation of financial documents, in particular preparation of documents for CP projects; preparation of sample calculations for investment needs; preparation of CP Audit report; preparation of financial appraisal documents.

Representatives of 15 SMEs from Armenia, Azerbaijan and Georgia will upgrade their skills and knowledge and share the experience over the practical issues of cleaner production and energy efficiency.