Business case on RECP assessment in "Magnon" OJSC

Business case on RECP assessment in "Magnon" OJSC

"Magnon" is a manufacturer of structural metal-based products. Established in 1998 on the foundations of an enterprise that got privatized, the company turned around the pre-existing technological park (equipment, tools, and infrastructural elements such as buildings, water supply, and the electricity system) and uses it as its own. Unfortunately, the company's facilities are considered obsolete and in need of either renovation (buildings and storage areas) or replacement (ventilation system, water supply infrastructure). The equipment is out of order or unrepairable, occupying one-third of the working space. Furthermore, due to a lack of proper heating and thermal insulation, the company is unable to operate during the winter season. Motivated to address energy efficiency and the well-being of its staff, the company participated in the RECP Demonstration Project under EU4Environment (2019-2024). This publication showcases the company’s experiences reported after the monitoring exercise conducted in 2022-2023.

The RECP assessment examined the production site and identified several RECP options, out of which the following were prioritized. These include medium-cost measures:

RECP Option 1. Developing an energy-efficient behavior among employees: This measure would help train the staff to reduce electricity consumption, especially during night-time.

RECP Option 2. Developing and implementing the environmental, health, and safety (EHS) management system and plans.

RECP Option 3. Installing an infrared heating system (IRHS): This measure would provide cheap and effective heating for the working space.

RECP Option 4. Installing photovoltaic (PV) solar panels and a solar water heating system with IRHS: This measure would decrease energy use and ensure the company's energy independence from the electricity grid, or

RECP Option 5. Installing photovoltaic (PV) solar panels and a solar water heating system without IRHS.

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BC Magnon LLC.pdf