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Uzbek business woman improves production processes

Investor
Delta Global Plast LLC
Location
Tashkent, Uzbekistan
Investment
Injection moulding machines and extruder line
Investment Size
US$ 415,090
Financial results
Payback of 2.5 and 6 years
Energy savings
1,910 MWh per year
Water savings
9,425 m3 per year
CO2 savings
326 tonnes per year
Impact
Increased production output, improved quality and competitiveness
Donor
TaiwanBusiness – EBRD Technical Cooperation Fund, Federal Ministry of Finance of the Republic of Austria

The company ‘Delta Global Plast’ LLC was founded in 2010 and initially started as a small producer of disposable straws and cutlery. The woman-owner of the company soon expanded its product variety and started to supply major retail outlets in Uzbekistan. Having recognised the importance of making her production not just larger but also more efficient, she first invested in a new extruder line in 2019 and in three new injection moulding machines in 2021, both financed through a GEFF loan.
Before embarking on the investment programme, the company carried out a detailed analysis of its business and especially its energy consumption and, as is typical for a production using intensive heat processes, energy costs emerged as the potential game changer in its competitive positioning. The analysis showed that electricity was mainly consumed by the main production equipment representing around 73% of the total annual consumption of 377 MWh. Auxiliary equipment consumed 15% (77 MWh) and around 2% of electricity was consumed by lighting of the administrative and auxiliary buildings (10 MWh). The other building technologies, ventilation and air conditioning systems, accounted for 10% (52 MWh) of the total electricity consumed per year.
After installation of the extruder line, the first project financed by the company through a loan from Ipak Yuli Bank under the GEFF facility, the company reduced its energy consumption by 109 MWh/year, which translates into cost savings of US$ of 4,622 per year. This result motivated the company to upgrade its injection moulding equipment. The second investment of US$ 504,516, financed through a US$ 388,089 loan from the same Partner Bank under the GEFF facility, resulted in annual energy cost savings of US$ 21,838.
After the successful implementation and verification of the projects, the company received a 10% cash-back grant on the loan amount of each project, financed by the TaiwanBusiness-EBRD Technical Cooperation Fund and the Federal Ministry of Finance of the Republic of Austria.
With the two investments, the company more than doubled its production capacity, while reducing its total carbon emissions by 236 tonnes CO2 per year.
The Green Economy Financing Facility in Uzbekistan was developed by the European Bank for Reconstruction and Development (EBRD) and is supported by the TaiwanBusiness-EBRD Technical Cooperation Fund and the Federal Ministry of Finance of the Republic of Austria.

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