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Industrial Energy Saving Calls for Enterprises to Join Hands

05/06/2015

Outdated and old technology is identified as the main reason for energy waste in industrial production in the country today. This issue was discovered and pointed out by the energy experts long time ago, but so far the counter measures still remain a hard nut to crack .

Outdated and old technology is identified as the main reason for energy waste in industrial production in the country today. This issue was discovered and pointed out by the energy experts long time ago, but so far the counter measures still remain a hard nut to crack .

Enterprises call it a hard nut to crack

In the structure of energy supply, the amount of electricity for industrial production, construction is accounted for a very large share (over 50%) but the contribution of this sector are lower than the agricultural sector or trade - service sector, not commensurate with the consumed amount of power. The cause indicated by Electricity of Vietnam is that the use of electricity in industry is wasteful, especially in industries such as steel, cement, chemical production sectors.

 

Industrial production in our country is still very poor. While other countries around the world have used the new technology to save energy, many Vietnam enterprises, especially private ones are still using old technology dated back to the 60s and 70s of last century. Even some newly established enterprises still use old technology. It is attributed to the poor awareness of many businesses for energy savings.

Besides, many businesses in answering questions about power savings, say that they understand and are aware of the importance of power saving, but if any one wants be efficient in power savings, it is compulsory to renew the technology, to replace the old one with high-performance technology. In economic depression times, initial capital is a difficult problem that businesses have not yet found a solution.

"To change the technologies, capital is calculated at tens, hundreds of billions of VN dong. In the economic depression, all kinds of expenses appear a burden on the enterprise. Although many commercial banks have incentives with preferential loans for green technology investments to save energy but there are too many constraints, and the loan term is too short ", a business leader shares his viewpoint.

Which way to go for enterprises

Mr. Tran Viet Ngai - the Chairman of Vietnam Energy Association says that we are aware that technology is the single main cause of wasted energy. If we want to solve this problem, it is compulsory to change the technology. But if we want to change the technology we must have money, while equity capital of the enterprise is not much, especially small and medium sized enterprises. Therefore, the state must support and give preferential loans. However, it is important to have an evaluation unit to function with accurate evaluation of energy savings potential of such enterprises, then a roadmap and funding schedule could be produced for the businesses to follow.

 

Besides the support from the State, Mr. Ngai says that enterprises should also raise awareness of power saving and energy efficiency for its officers and employees; they should arrange their operation process towards least energy consumption; operation with three-shift mode, make use of the full production capacity at the low demand hours in order to optimize energy costs.

Mr. Trinh Quoc Vu, Director of the Department of Science, Technology and Energy Efficiency, General Department of Energy, Ministry of Industry and Trade says that in the time to come, the Ministry will update data on the consumption of the industrial sector, especially energy- consuming key industries, Then, it is to mandate the cost norms on energy consumption for each specific sector.

Currently, the Ministry also works in coordination with the World Bank to set up a Preferential Fund with over $ 200 million, to support the investing enterprises to change into energy-saving technologies. It is expected that the Fund will be in operation in 2016. In addition, the Green Investment Facility under the project "Low Carbon Transition in Energy Efficiency Project (LCEE Project)" has also been into operation, with their support package up to 50% of the capital for small and medium sized businesses, and a bonus mechanisms up to 30% of the loan if the enterprise well performs the its energy saving solutions.

Energy saving is imperative for every business to raise the competitiveness in the market, contributing to environmental protection and climate change response. Many solutions, many preferential deals have been rolled out by Ministry of Industry and Trade and other related organizations to support the enterprises in their effective implementation.

Businesses need to raise awareness, with more proper perspective of the importance of energy saving; thus to exert their efforts to overcome difficulties, to join hands with the entire country in the implementation of the National Target Programme on economical and efficient use of energy.

Trong Tan