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Şenol ATAMAN

31 March 2008 ANKARA. “A National Cleaner Production Programme: Phaseout of Ozone Depleting Substances”. Şenol ATAMAN. Background & Objective. TTGV was founded on June 1, 1991 as a non-governmental, non-profit organization, to support improving Turkish Industry’s competitiveness

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Şenol ATAMAN

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  1. 31 March2008 ANKARA “A National Cleaner Production Programme: Phaseout of Ozone Depleting Substances” Şenol ATAMAN

  2. Background & Objective • TTGV was founded on June 1, 1991 as a non-governmental, non-profit organization, to support improving Turkish Industry’s competitiveness in global markets through technology driven innovation. • Founders include 26 private companies, 6 public institutions, 10NGOs and 14 individuals.

  3. Mission & Vision Misson: Enhance the competitiveness of Turkish producers, at the international markets, by supporting technological innovation activities in Turkey Vision: Pursue its effective role in the establishment and development of the national innovation system and protection of ecological system, be a primary player, taken as a model organization on the international platform

  4. Structure • Founders’ Assembly : • Board of Directors : 15 members; including 10 members from the private sector and 5 members from the Undersecretariat of Treasury (UT), Undersecretariat of Foreign Trade, (UFT), State Planning Organisation (SPO)Small and Medium Size Industry Development Agency (KOSGEB) and (Scientific and Research Council of Turkey (TUBITAK). • Number of permanent staff is around 42; a pool of experts with nearly 500 people, • Independent monitoring and evaluation of activities; auditing according to IAS. Subject to laws and regulations of Rep. Of Turkey, concerning the foundations.

  5. Programs • World Bank Programs 1. Technology Development Projects (TDP) 40,9 M$ (1991-1998) -Financing Technology Development; supporting of the R&D activities on product and process development / improvement 2. Industrial Technology Projects (ITP) 71,0 M$ (1999-2005) - Financing Technology Development; supporting of the R&D activities on product and process development / improvement - Venture Capital- Technoparks -Innovation Centers – Start up’s 3. Phase-out of ODS Project (PODS) 26,0 M$ (1994-2007) • Undersecratariat of Foreign Trade (UFT) Projects(1995-.......) Financing R&D activities on product and process development / improvement

  6. TDP,ITP & UFT Programme • 662R&D projects of companies have been supported up to date. • About $ 224 million has been committed by TTGV. • About $ 450 million has been used for R&D by the industry since 1991. • 2 Technoparks supported • Contributed to 2 Venture Capital establishment • Start-up support initiated

  7. Main Activities • R&D Project Supports - Technology Development Project Support - Commercialization Project Support - Joint Technology Development Project Support • Technological Entrepreneurship Supports - Pre-incubation Support - Risk Sharing Funding Scheme - Valorization of Core Intellectual Property • Environmental Project Supports - Phase-out of Ozone Depleting Substances Project - Cleaner Production Support - Renewable Energy Support - Industrial Energy Efficieny Supports

  8. Background-PODS • 1992-Turkey’s Strategy and Action Plan prepared by the World Bank. • 1994-1995- OTF Grant Agreements were signed with the World Bank. • MoEF & TTGV partnership was built; responsibilities were shared.

  9. MoEF • Official representative for Government of Turkey (GoT) & National Focal Point (NFP) for the implementation of Montreal Protocol • Main coordinating and enforcing body for the implementation of Turkish Country Programme • Certifying body for the ODS importer

  10. Responsibilities of MoEF • To develop and implement incentive national policies. • To put into place regulations, enforcement mechanisms for the import and use of ODS. • To organize panels and public awareness campaigns.

  11. Regulations by MoEF • The major regulation is the Turkish National Ozone Policy (NOP), which was published in the official gazette by the end of July 1999. • The NOP actually came into force in 1998, where a quota system for import of ODS and ODS containing equipment was introduced. • The NOP ban import ODS containing equipment and introduced a new quota system for ODS by January 1, 2000, which is revised annualy. • The new regulation has been published on May 2006 in official gazette which bans import of CFC’s dating from 1st January 2006 and Halons dating from 1st January 2008 except essential use (laboratories etc.) • Recovery and recyclingfor servicing of existing ODS containing appliances has also been regulated.

  12. Responsibilities of TTGV (1) • To act as a financial intermediary for the disbursement of funds to the single private sector. • To inform, particularly SME’s,about the requirement of phasing out ODS in use,alternative technologies and financial assistance. • To prepare demonstration projects to assist in providing information on phase-out possibilities. • To help enterprises prepare investment project for funding from the OTF.

  13. Responsibilities of TTGV (2) • To revieweach sub-project's eligibility under the MP. • To carry out environmental, technical and financial appraisals of each sub-project. • To supervise and monitor the sub-projects • To administer the rollover of the loan component of the fund provided for the sub-projects.

  14. Supported Sectors Sub-projects for PODS, in -Refrigeration/ air conditioning -Foam -Solvent -Aerosol -Fire Protection -Methyl Bromide sectors are supported

  15. Supported Costs Capital Costs • Design • Equipment • Patents and Licences • Construction • Installation • Training • Start-up Incremental Operating Costs • Raw Material • Electricity etc. • Labour • Maintenance

  16. PROPOSALS (If Needed Assistance is Made Available to Prepare the Proposals) MOEF FORMAT CHECK TREASURY APPROVAL COMMENTS (Changes made if Suggested) DECISION MPEC REJECTED TTGV APPRAISAL (Technical, Financial, Environmental) IBRD TECHNICAL SUPERVISION AUDITING TTGV's Procedure in use for the Assessment, Selection and Administration of projects under PODS II

  17. PODS: Project Supports • PODS Projects through WB • Total fund is $ 26,1 Million (PODS-I, PODS-II • Projects: 9 refrigeration (incl. RSP), 12 foam, 2 MeBr, 3 solvent, 1 Aerosol, 1 Halon sectors & 3 IS project. • 170 companies under 31 sub-projectshave been supported with the amount of $ 25.1 Million. • Of this project, “Refrigeration ODS Phase out Sector Plan (RSP)” covers full conversion of refrigeration sector with a total budget of $9 Million USD. • A revolving fund has been established with the 30% loan of PODS project supports. • PODS Projects through UNIDO • 12 projects have been supported with the amount of $4.2 million • With an innovative implementation procedure, ODS consumption of Turkey has been phased out in 2006.

  18. List of Supported Projects

  19. Other Activities Carried Out (1) • In 1995, a survey was made to define the sectors • In 1996, seminars in Ankara, İstanbul, İzmir • For refrigeration, foam, solvent, aerosol, fire extinguishing • About Ozone depletion, alternative technologies, criteria for project appraisal and approval • In 1997 and 1998, seminars continued

  20. Other Activities Carried Out (2) • In 1998, • Preparation of Halon Banking Assessment Report • Preparation of National Strategy and Action Plan for MeBr • Survey for SME’s in refrigeration sector • Farmer survey for MeBr • Survey for SME’s in foam sector • In 1998-1999, • Demonstration projects performed for refrigeration, foam and solvent sectors • Preparation & Submittal of Refrigeration Sector Plan (RSP) • In 2002, • Preparation & Submittal of Halon Banking Project

  21. Refrigeration Sector Plan • 77 commercial refrigerator producers (SME’s) have been supported with an amount of $1.9 Million for the conversion of non-ODS technologies under SME conversion programme.

  22. Refrigeration Sector Plan • The training programme has been started in 2004 for SME`s and service shops in refrigeration sector. About 4500 technicians have been trained as of today. The training programme is still under implementation by “MoEdu” for which the mechanism of continuity and spreading widely throughout the Turkish Education System, has been established.

  23. Refrigeration Sector Plan • 3 reclaim centers and 24 recycling centers have been established to recover and reclaim of ODS refrigerants as part of a national recycling programin Ankara, Izmir & Istanbul and in other smaller provinces throughout Turkey.

  24. Refrigeration Sector Plan • Training programme for 200 custom officers and ODS identifiers for custom authorities have been provided for the enforcement of import control regulation.

  25. Refrigeration Sector Plan • Under chiller replacement programme, 39 chillers of 21 buildings, hotels and factories have been replaced with an amount of $4.5 million.This conversion process to non-ODS and energy saving technologies resulted in 18.6 MT ODP elimination and 20-30% energy reduction.

  26. Refrigeration Sector Plan • Under end-user retrofits programme, about 1000 commercial refrigerators of 3 firms have been retrofitted to non-ODS and energy saving technologies, which resulted in about 1 MT ODP elimination and 20 % energy reduction.

  27. ISTANBUL ANKARA IZMIR RRR Centers Reclaim Centers Recycle Centers

  28. Key factors for successful implementation (1) • Expert Evaluation by TTGV • Detailed evaluation of the project by external technical experts (private/university/public) • Detailed financial audit of the company by external financial experts • Endorsement by MoEF • No-objection by the WB / Approval by MLF • Contract Signing • Guarantee letter, mortgage, cheque, etc. if needed

  29. Key factors for successful implementation (2) • Supervision by • TTGV project expert • External technical expert • Supervision by WB team • Monthly evaluation of expenditures and disbursement • Progress reports, Final report requirement • Repayment period • Zero interest rate • Long-term period(2-3 years) • Tight follow-up

  30. Difficulties • Long evaluation period and process before approval of Fund • Late decision for approving of Fund • Insufficient fund approval for projects • Inflexibility on the project budget during implementation • Insufficient own resources of companies • Economical problems of the Country • Lack of qualified personnel and management capacity of SME’s

  31. Lessons Learned (1) • Private sector, including SME’s, is highly interested in a fund implemented by a non-governmental organization (NGO) • Fund implementation through local executing agency is important for success. • NGO type local executing agencies have no red-tape, so that, they can give quick response for the needs of industry. • Very lean organizational structure supported by a large pool of consultants reduces office cost and service expenditures.

  32. Lessons Learned (2) • Effective and productive cooperation between MoEF, TTGV and the World Bank is important. • Clearly defined role and mechanisms for a local executing agency is important for success. • Tailor-made products and services are important while working with different sectors. (project design, support, guidelines, for procurement, monitoring, reporting and certification) • Legislative support of government is very beneficial for the successful implementation of a project

  33. In 1997, Turkey received an award from the United Nations for being among 9 countries, out of 49, to most successfully implement the Montreal Protocol.

  34. Other Environmental Activities • TTGV is also acting as intermadiary agency to the United Nations Industrial Development Organisation (UNIDO) which provides funds from the Montreal Protocol Multilateral Fund for the projects of Phase-out of Ozone Depleting Substances (PODS) • The part of “Climate Change & Sustainable Development” for “National Report on Sustainable Development” submitted in Johannesburg Summit has been prepared by TTGV in 2002. • Cooperation has been developed with UNDP/ Small Grants Programme (SGP) to build partnership, for developing capacity of NGO’s, for evaluating and monitoring of NGO’s sub-project on climate change, which would be supported by UNDP/ SGP funded by GEFin 2005 • TTGV continued its involvement in the project namely “Enabling Activities for the Preparation of Turkey’s Initial National Communication to the UNFCCC” which has been is carried out by UNDP and MoEF.

  35. Türkiye Teknoloji Geliştirme Vakfı Cyberplaza B Blok Kat:5-6 Bilkent, ANKARA Tel:312 265 02 72 Faks:312 265 02 62 E-Posta: info@ttgv.org.tr http://www.ttgv.org.tr http://www.ttgv.org.tr

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