The Armenian company Hytex Plastic CJSC and its Georgian subsidiary Alfa Pet LLC are the largest producers of plastic containers and preforms for plastic bottles in both countries.
The company decided to replace its more than twenty year old production line in Armenia, used uniquely for the export of preforms to Georgia, and addressed Energocredit for financing.
The Energocredit team performed the investment analysis, primarily the potential for energy savings, financial-technical parameters and risks.
The project included installation of a new production line directly in Georgia – the “Husky HyPET 120”.
The $930,000 investment allowed the company to reduce its energy costs by $125,000 per year. This means the investment will repay itself out of energy savings in seven and a half years, turning the future cash-flows into company’s income for the years to come. The savings arise out of a decresse in electricity and diesel. In addition, the company can now avoid the trans-border transportation and costs.
This is a good example of how new technologies bring energy savings to companies of different sectors and types of production, in addition to other benefits within the production process. Therefore, it is worth checking the energy saving potential while considering investments in the company, as often the energy efficiency investments might be among the most profitable ones.
The EBRD through Energocredit supports the sustainable financing and implementation of sustainable energy projects by the private sector. Together, the private, residential and public sectors can make a change in energy consumption patterns and contribute to environmental protection.