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Under the Ukraine Energy Efficiency Programme (UKEEP) the EBRD is helping a dairy industry to implement sustainable energy investments.
CJSC Gadyach Cheese Factory is one of the largest producers of milk products in Ukraine. Located in Poltava, its product range consists of more than 80 various products with a total annual production of 13,000 tonnes. In order to increase its competitiveness, the company decided to replace the old vacuum evaporation filtering system used in its cheese production with a new energy efficient nano-filtration system.
The Ukraine Energy Efficiency Programme (UKEEP)
For the financing of these costly energy efficiency improvements, the company turned to one of the local banks participating to the Ukraine Energy Efficiency Programme (UKEEP), a credit facility developed by the EBRD, targeting Ukrainian private companies in all sectors looking to invest in energy efficiency or renewable energy projects.
The €150 million financing facility is supported by technical assistance worth the equivalent of almost €3 million from the Swedish International Development Cooperation Agency (Sida). This assistance is complemented by additional technical support from Austria. Under the programme, Ukrainian partner banks and enterprises are offered free-of-charge technical assistance service from a multinational team of technical experts to develop projects and perform energy audits.
Saving energy, saving costs
Gadyach Cheese Factory’s new system will eliminate natural gas consumption and save more than 25 per cent of the electricity consumption of the production process. UKEEP provided financing for the US$ 1 million investment, which will yield net savings of more than US$ 1.5 million per year in decreased natural gas and electricity consumption – giving an instant payback of the investment and huge cash savings for many years to come.
The Bank, recognising the enormous potential for sustainable energy investments to date successfully supports similar Sustainable Energy Financing Facilities through 48 local banks in 15 of its countries of operations.
Last updated 6 June 2011