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18.12.2008
Ukraine’s sugar producer sells carbon credits to EBRD FundUkraine’s sugar producer sells carbon credits to EBRD Fund Energy Efficiency Programme at Astarta generates additional income, increases productivity The Multilateral Carbon Credit Fund (MCCF) established by the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) has agreed to purchase a substantial portion of 300,000 carbon dioxide equivalent tonnes (tCO2e) of carbon credits from five sugar mills of the leading Ukrainian agribusiness holding Astarta-Kyiv. The agreement, which is covering the carbon credits generated during the period between 2008 and 2012, is the first purchase contract of the MCCF in Ukraine. This transaction is a result of the project signed between Astarta and the EBRD in May 2008 and aimed at higher energy efficiency at its sugar production plants. The proposed energy efficiency measures envisaged energy savings of up to 30 per cent, which could allow Astarta to approach an average energy performance of Western European facilities, thereby increasing its efficiency, productivity and competitiveness. The credits are to be generated via the Joint Implementation (JI) scheme under the Kyoto protocol. The JI is a market-based approach for addressing global climate change that uses international partnerships to achieve low-cost reductions in greenhouse gas emissions. A JI project generates carbon credits (Emission Reduction Units), which may then be traded internationally. In addition to bringing new standards and practices to sugar production in Ukraine, the JI project prepares Astarta to participate in rapidly emerging carbon markets and generates much needed additional income. Fully subscribed, with €190 million in commitments, the MCCF is one of the few carbon funds dedicated specifically to countries from Central Europe to Central Asia. The MCCF includes six private (CEZ, Endesa, Gas Natural, PPC, Union Fenosa and Zeroemissions) and six sovereign participants (Finland, Belgium (Flanders), Ireland, Luxembourg, Spain and Sweden). This first MCCF deal in Ukraine was negotiated by GreenStream Network Plc., acting as Carbon Manager for MCCF in Russia, Ukraine, Belarus and Kazakhstan. GreenStream is a leading Northern European developer and manager of green investment vehicles, basing its excellence on a variety of advanced advisory and intermediary services (www.greenstream.net). Agri-industrial holding Astarta-Kyiv is Ukraine’s leading agri and sugar producer. It includes 6 sugar plants, as well as over 60 agricultural companies with more than 160,000 ha of agricultural land under lease. The production assets are located in Poltava, Vinnytsya, Kmelnytsky and Ternopil regions and the head office is located in Kyiv. Since IPO in August 2006 ASTARTA has been listed at the Warsaw Stock Exchange. (visit the Astarta website http://www.astartakiev.com/) link to the article on the EBRD website – www.ebrd.com/new/pressrel/2008/081217.htm Press contact: 18.12.2008
EBRD Fund purchases carbon credits from Ukrainian cement producerEBRD Fund purchases carbon credits from Ukrainian cement producer Investment into production efficiency brings benefits for Ivano-Frankivsk Cement The Multilateral Carbon Credit Fund (MCCF) established by the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) has agreed to purchase carbon credits from JSC Ivano-Frankivsk Cement (IF Cement) plant during the period from 2008 to 2012.The project with JSC Ivano-Frankivsk Cement plant amounted to $80 million which is jointly financed by the State Export – Import Bank of Ukraine (UkrEximBank) and $15 million by EBRD through an Energy Efficiency Programme (UKEEP). UKEEP is aimed at the reduction of energy consumption and carbon emissions by more 50 per cent through the introduction of new production technologies. This is the first project under the UKEEP framework facility to benefit from a carbon finance transaction. The IF Cement project will represent Best Available Technology (BAT) for the cement industry and is expected to result in greenhouse gases (GHG) emission reductions.The carbon credits are to be generated via the Joint Implementation (JI) scheme under the Kyoto protocol. JI is a market-based approach for addressing global climate change that uses international partnerships to achieve low-cost reductions in GHGs. A JI project generates carbon credits (Emission Reduction Units) which may then be traded internationally. IF Cement has already received an endorsement letter from the Ukrainian National Environmental Investment Agency, which is an important first step towards qualifying the project as a JI project.This JI project is also in line with the ‘Energy strategy of Ukraine until 2030’ approved in March 2006 and is intended to reduce emissions of sulphur oxides (SOx), nitric oxides (NO) and other harmful substances. Due to the installation of high-efficiency dust collectors at the IF Cement plant, dust is reduced by two-thirds. Additionally, water will be recycled resulting in an 80 per cent reduction in water consumption.One of the last Ukrainian-owned cement producers, JSC Ivano-Frankivsk Cement, is a major employer in the region and its viability and competitiveness will be significantly enhanced by the IF Cement project. In addition, Ukrainian cement consumers are expected to benefit from increased capacity and competition between cement producers.Fully subscribed with €190 million in commitments, the MCCF is one of the few carbon funds dedicated specifically to countries from Central Europe to Central Asia. The MCCF includes six private participants (CEZ, Endesa, Gas Natural, PPC, Union Fenosa and Zeroemissions) and six sovereign participants (Finland, Belgium (Flanders), Ireland, Luxembourg, Spain and Sweden).The IF Cement transaction was negotiated by GreenStream Network Plc., acting as carbon manager for MCCF in Russia, Ukraine, Belarus and Kazakhstan. GreenStream is a leading Northern European developer and manager of green investment vehicles, basing its excellence on a variety of advanced advisory and intermediary services (www.greenstream.net). UkrEximBank is a long standing partner of EBRD and a leading Ukrainian financial institution which provides project finance and export support to the corporate sector of Ukraine. 15.12.2008
Broker of the year 200818.12.2008: Broker of the year 2008 In the annual market survey of Environmental Finance, GreenStream Network Plc has been voted as the “Best Broker of the Year 2008 in the category Renewable Energy Certificates – Europe ex-UK”. GreenStream has won the first place every year since 2004; 5 years in a row. Executive Vice President of GreenStream, Harri Roto, is delighted to hear the results of the survey: “We are again very happy to hear the results of this prestigious voting. The results show that our services are appreciated by our customers throughout Europe and that we havebeen able to develop with these fast evolving markets to continuously provide our customers the services they need.” According to Roto, the coming RES directive looks promising for the Guarantees of Origin markets: “It looks likely that as the GoOs will now get a stronger legal framework to support their role, the markets will continue to grow.” GreenStream Network is a leading European company providing investment opportunities, intermediary services and advisory services in the carbon and renewable energy markets. GreenStream serves financial investors, enterprises within emissions trading and renewable energy schemes, companies for which tackling climate change provides new business opportunities or new risks to manage as well as public sector organisations. GreenStream has offices in Beijing, Gothenburg, Hamburg, Helsinki, Oslo, Stockholm and Vilnius
Further information: Thomas Müller, Head of Green Certificate Markets, GreenStream Network, +49 173 601 0380 |
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