Translated version of this PSD: Polish
The EBRD is considering the provision of a long-term loan of up to EUR 20 million to the Polish tissue producer Velvet Care sp. z o.o. (the "Company" or "Velvet Care").
The loan will be used to finance the Company's capital expenditure, including a new tissue paper machine and related infrastructure. EBRD's investment will lead to increased competitiveness, support the state-of-the-art solutions for the paper industry and contribute to the development of the best practice standards for Polish corporates.
The transition impact of the proposed Project will be derived from:
- Improved cost competitiveness due to implementation of advanced resource efficient technology and upstream integration;
- Energy efficiency improvements;
- Adoption of voluntary eco-certification;
- Improved corporate governance.
VELVET CARE SP.Z.O.O.
Velvet Care is a leading tissue manufacturer in Poland with the highest market share (13%) in the sector, 41k tons sales of tissue products and PLN 264 mn of revenue in 2015. Main products are toilet paper, paper towels and various tissue products.
EBRD Finance Summary
Total Project Cost
Environmental and Social Summary
Categorised B. Environmental and social issues associated with the project are site specific and can be readily assessed and mitigated as part of an Environmental and Social Due Diligence (ESDD) . A fit for purpose ESDD was undertaken by the Bank of the Company.
The ESDD has confirmed that the Company has the capacity to fully implement the Bank's Performance Requirements (PRs), and is compliant with National and EU legislation. The company has a dedicated EHS manager and is certified to ISO 14001 and OHSAS 18001. The plant is not located in a sensitive area and the site has a long manufacturing tradition, with much of the older production sites now demolished. The plant is located away from Natura 2000 areas and does not impact any sensitive receptors.
The Company is developing a comprehensive program of modernization and working with the local community and local authorities as the facility provided water and wastewater facilities for the local community. It should be noted that the Company has a well-developed site specific stakeholder engagement plan (SEP) which forms part of a site specific social, environmental, health and safety management system.
The Company has made progress in addressing environmental liability issues (such as demolishing historic buildings) and has made significant investments in environmental abatement system and best practice at the plant. The paper plant has a valid integrated permit, in line with the requirements of the Industrial Emissions Directive (IED), and are subject to regular inspection from the regulators.
To ensure on-going compliance and the implementation of Best Available Techniques (BAT) in accordance with good international practice, the Company has made significant investments in technological and environmental upgrades, notably upgrading the wastewater plant, reducing fugitive emissions well as further energy and water efficiency measures.
The current on-going investment program and construction of a new paper machine will be structured in compliance with IED and BAT. The new investment has also been permitted by the local Competent Authorities. This includes and Environmental Impact Assessment (EIA) in line with National and EU legislation. A Non-Technical Summary (NTS) and SEP have been developed for the Project and disclosed on the Company web site.
Based on the ESDD an Environmental and Social Action Plan ("ESAP") has been developed and agreed with the Company. This includes the need for continued implementation of the SEP and compliance with EU BAT derived environmental standards. The Company will also implement the Nordic Ecolabel standard and further develop is CSR program.
The Bank will monitor the implementation of the Project.
Company Contact Information
Artur Pielak - President
+48 22 461 27 10
Velvet CARE sp. z o.o. Klucze-Osada 3 32-310 Klucze
For business opportunities or procurement, contact the client company.
Tel: +44 20 7338 7168
Public Information Policy (PIP)
Text of the PIP