2012

1. Power-saving compact fluorescent lamps production in Nerekhta municipal district of Kostroma region 2012

2. Content

3. Project targets Major targets of energy-saving compact fluorescent lamps production in Kostroma region are: • increasing of the Kostroma region industrial and economic level by the organization of large high-technological production • organization of the integrated enterprise with own half-finished products production and their total processing into marketable products • production of competitive and import substituting products • increasing of the share of Russian marketable products for internal and external markets • creation of new working places and social infrastructure objects

4. II. Location • favourable investment climate; • advantageous geographical location; • availability of transit transport network; • low level of social conflicts.

5. II. Location Landmark’s address: Kostroma region, Nerekhta district, Emsnenskoe village. • Medium pressure gas pipelineis 150 maway from land plot’s border. • Transformer substationwith capacity of 35 kWis 2 kmaway from land plot’s border. • Water supplyis 2 kmaway from land plot’s border

6. III. • III. Advantages of energy-saving compact fluorescent lamps production From 2011 the law, which forbids incandescent lamps of 100 V and more, came into force. As recommendations it is written that from 2013 there would be forbidden incandescent lamps of 75 V and more, from 2014 — incandescent lamps of 25 V and more. • five times less energy consumption (at the same luminous flux) and service life is about 6-10 times longer than incandescent lamps’ ones. Moreover, energy-saving compact fluorescent lamps emit several times less heat than incandescent lamps • in energy-saving compact fluorescent lamps it is used an electronic balance, there is no light flow flicker. They work well with low voltage of 180 V and under • compatibility with widely used infrastructure created for incandescent lamps • one energy-saving lampof 20 Vduring its service lifeallows to reduce twice the emissions of carbon dioxideand to 7.5 kg of sulphur dioxide into the atmosphere

7. III. Advantages of energy-saving compact fluorescent lamps production Technological process of energy-saving compact fluorescent lamps production consists of number of technological operations, which run on production line with high level of machine technique. This is a series of machines united by electronic control devices in one technological line, which all operations are performed in automatic mode – from download of glass tube pieces to checked and marked lamp output.

8. IV. Energy-saving lamps market Russian energy-saving lamps market is filled with products of foreign manufacturers, such as «Philips», «GeneralElectric» and «Osram». According to estimates of «Philips» company,  for the full transition to energy-saving lamps of Russian productionit is necessary to build more than 60 plantswith the annual capacity of 12 million lamps.

9. IV. Energy-saving lamps market According to Rosnano’s estimates, today energy-saving lamps take about 42% of world market of lamps. Furthermorecompact fluorescent lamps take 38% of all energy-saving lamps market meanwhile LED lamps take only 6%.

10. IV. Energy-saving lamps market In 2011 there were delivered 233,7 million of energy-saving lampswith total value of 160,2 million USD, that was less than in 2010 to 21% by natural expressionand to 25% by cost one. Compact fluorescent lampswere the main volume of import of energy-saving lamps in 2011by cost expression and they took about 66%. In 2011 Russian Federation supplied for international marketwith 21,56 million of energy-saving lamps with total value of 14,88 million USD, that was morethan in 2010 to 21% by natural expressionand to 20% by cost one. Two-socle fluorescent lamps were the main volume of export in 2011 by cost expression and took 53%, compact fluorescent lamps took about 22%.

11. IV. Energy-saving lamps market Production and consumption imbalance

12. V. Economic efficiency of project realization Brief information about the project • Project involves construction of production and subsidiary premises with total area of 8 500 m2 • Planning annual production capacityof compact fluorescent lamps – 28 million pcs. • Planning period – 7 yearsincluding equipment manufacturing and construction period (9 months) • Investments for project realization – 2 billion roubles including 1,6 billion rublesof borrowed funds • Payback period- 4 years

13. V. Economic efficiency of project realization Production plan, thousand roubles Realization plan, thousand roubles

14. V. Economic efficiency of project realization Personnel will be 200 people by reaching for 50% of project capacity. By the third year it will be 400 people.

15. V. Economic efficiency of project realization Average monthly salary will be 25860 roubles (excluding the first year of project realization)

16. V. Economic efficiency of project realization