Covoare-Ungheni is the largest carpet producer in Moldova. With a production capacity of five million square meters per year, it supplies products to Europe and neighbouring countries.
To reduce its energy consumption and production costs, the company decided to invest in equipment modernisation and addressed MoSEFF for financing.
The MoSEFF team supported the company with analysis of the proposed efficient technologies, potential areas for energy savings, their financial-technical parameters and profitability.
The project included the replacement of a burner in the boiler, rehabilitation of the waste water treatment unit, implementation of measures aimed at reduced electricity losses, and installation of power factor correction units.
The €212,300 investment allowed Covoare-Ungheni to decrease its energy consumption by 71 per cent, which resulted in substantial annual cost savings. This means the investment will be repaid out of the energy savings in slightly over two years, turning the future cash-flow into income for years to follow. In addition, the company reduced its CO2 emissions by 54 per cent, contributing to the mitigation of the negative effect of human activity on the climate.
This project demonstrates that energy savings are possible in a broad range of sectors and industries. Therefore, it is worth checking the energy saving potential when considering expansion investments. Very often, such energy efficient investment may be the most profitable.