The company is a leading chromium chemical producer in Russia.
The company planned to modernize its production facilities to reduce the energy consumption and costs. It contacted RuSEFF for advisory package and affordable financing.
The RuSEFF team conducted the energy assessment of the company’s production facilities to identify cost-effective energy saving opportunities. The experts identified a number of energy saving measures, which would pay for themselves within a relatively short period of time.
The final project consisted of replacement of outdated air compressors and steam boilers, installation of variable speed drives to regulate the output of several motors.
The investment of around $2.6 million resulted in electricity and natural gas savings worth more than $900,000 per year. It means the investment will be repaid from energy savings in less than three years. The cost savings can be seen as company's additional income. The modern, high performing equipment also leads to a reduction of CO2 emissions by more than 13,000 tonnes per year, contributing strongly to mitigation of the negative effect of human activity on climate.
This project improved the company’s financial standing and competitiveness on the market. It demonstrates that energy savings are possible in all industries and bring multiple benefits. Therefore, it is worth checking the energy saving potential of investment measures with the help of in-house or external experts.
The EBRD through RuSEFF supports sustainable financing and implementation of energy efficiency and renewable energy projects by the private sector. Together, the private, residential, and public sectors can make a change in the energy consumption patterns and contribute to environmental protection.