Translated version of this PSD: Russian
The proposed project aims to achieve the successful development of a new float glass manufacturing plant and a glass coating line in the city of Krasny Sulin, Rostov Region, Russian Federation.
The project is aimed at addressing the growing opportunities in the construction market in Russia and will mainly focus on production of various high quality glass products for the construction industry which help make buildings energy efficient.
The main transition impact potential derives from
(i) strengthening compliance with the existing regulatory framework for energy efficiency in buildings (Sub-law No. 52) and
(ii) expanding markets for new low carbon products resulting in carbon emission reductions and greater energy efficiency for end-users. Russia still has a vast potential to enhance the energy efficiency of its buildings by using Low-E glass and this project will contribute.to increasing the production of this type of glass in the country.
Guardian Steklo Rostov LLC is an indirectly wholly owned Russian subsidiary of Guardian Europe S.à.r.l. (part of the Guardian Industries Corp.) one of the world leaders in float and fabricated glass manufacturing.
EBRD long-term senior loan of up to RUB 2.1 billion.
Total project cost is RUB 6.9 billion.
Screening category and justification
Category B. The proposed project has been categorised B in accordance with the 2008 EBRD Environmental and Social (E&S) Policy, as the potential impacts are expected to be site specific and readily identifiable and can be addressed through mitigation measures. The project is currently under construction.
The environmental and social due diligence (ESDD) has confirmed that the Company has the capacity to fully implement the Bank’s Performance Requirements, and the new float facility is being designed to comply with both Russian standards, as well as EU requirements and best industry practice. The Company has undertaken a local OVOS (EIA) and as part of the implementation of the new Environmental and Social Action Plan (ESAP), will develop additional stakeholder engagement systems.
The ESDD confirmed that the plant is not located in a sensitive location and environmental and social impacts are not significant.
As a result of the ESDD, the Company has agreed to include combination of primary and secondary measures in the design of the new float line in accordance with EU IPPC and IED BAT requirements. These primary and secondary measures will be installed latest in 2016 allowing appropriate optimisation of the process prior to installation and will further reduce emissions as well as the water vapour plume, which can limit the visual impact of the plant.. Prior to the involvement of the Bank, the Company had not considered some of those measures, as those are not required under Russian Federal law, and air modelling studies did not indicate any significant human health risks. The inclusion of primary and secondary measures as well as additional monitoring systems are included in the ESAP. The ESAP requires the Sponsor to structure the design, construction and operation of the plant in line with EU environmental standards and includes among others, a commitment to install systems to continuously monitor environmental conditions, to the abatement of dust and primary NOx as well as to the implementation of an Environmental, Health and Safety Management System. The ESAP has been agreed in principle and is to be fully agreed by the time of Board consideration.
The Bank has an existing project with the Client in Russia, and the ESDD confirmed that the Company is fully implementing the agreed ESAP and is in compliance with National standards.
- The Company will be required to provide the Bank with an annual environmental report, including updates on the ESAP, and notification on any material accidents or incidents.
- The Company will implement the ESAP and an environmental, health and safety management system inclusive of continuous monitoring systems.
The Company will conduct its business with due regard to National and EU environmental regulations and standards.
The Company will arrange for periodic environmental audits and monitoring visits by Bank staff or appointed representatives, if and when deemed necessary.
For business opportunities or procurement, contact the client company.
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