India's JK Paper Mills is saving energy and reducing greenhouse gases, thanks to a $3 million loan extended under IFC's Cleaner Production Program.
JK Paper is just one of several global deals IFC closed in FY09 under the Cleaner Production Lending Pilot, a $20 million facility that supports cleaner production investments among existing IFC clients. In FY09, the South Asia department completed 14 deals with a climate change component. Two were cleaner production loans.
By helping companies save on operating costs while reducing waste and greenhouse gas emissions, IFC is helping the private sector fight climate change. Cleaner Production assessments and investments improve production efficiency and often, in the short- to medium-term, profitability.
Improving Production Systems
IFC supported a Cleaner Production assessment of JK Paper’s facilities in the Indian states of Orissa and Gujarat. The study made recommendations for improvements in steam systems, motors, pumps, fans, and lighting.
Reducing Greenhouse Gas Emissions
Our loan to JK Paper Mills will help the company upgrade fan systems, air compressors, and reduce energy consumption while saving money. Our investment will also support installation of a new waste heat recovery system.
Overall, the implementation of the Cleaner Production project will help reduce greenhouse gas emissions by over 67,000 tons and save 3.4 million cubic meters of water and 30 million kilowatt hours of electricity annually.
Conserving Water
Recommendations from the assessment also include opportunities for fiber recovery, as well as water usage reduction measures such as:
eliminating leakages
replacing fresh water with recycled water
conserving local water
Climate change is central to IFC’s strategy in South Asia. We plan to invest and offer advisory services to high-impact climate change projects with significant greenhouse gas emissions abatement potential. Projects in cleaner production, energy efficiency, carbon finance, renewables, and market transformation initiatives will help the private sector take an active role in adopting climate change adaptation and mitigation measures.
