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1 CLEANER PRODUCTION CENTRE LAO PDR Annual Report 2014 Annual Report 2014 CLEANER PRODUCTION CENTRE LAO PDR Page 1

2 FOREWORD The tourism sector plays an importance role in the social and economic development in many countries, especially in countries with attractive tourist sites where heavy industries do not exist or play a less critical role. In Lao PDR, over the last decade, tourism has experienced continuous expansion and diversification, becoming one of the largest and fastest-growing economic sectors. The government of Laos has identified tourism as one of the eleven priority sectors that contribute towards economic development, national income and employment (11% of total GDP). According to the millennium goal by the Lao government, Lao PDR should no longer be among the list of least developed countries and eradicate poverty by As such the government needs to further promote SMEs in terms of new market opportunities and competiveness. One issue of concern is low production capacity and service. Many enterprises have low levels of efficiency and productivity, and are unable to respond to the growing requirements of international consumers and clients that wish to use and purchase products or services from environmentally and socially conscious companies. With regard to these developments, cleaner production (CP) is a tool and a preventive approach to environmental strategies that will contribute not only towards poverty reduction, but also promote the country s environmental sustainability in the service and industrial sectors through increased productivity, more efficient use of resources and reduced impacts on the environment as well as worker s health and safety. The Cleaner Production Centre Lao PDR (CPC-L) has implemented CP activities under the project of Inter-Agency Cluster on Trade and Productive Capacity Project IACP funded by the Swiss government (SECO) targeted at the industry and tourism sectors located in Luang Prabang province since The cleaner production approach and methodology have been applied to companies in manufacturing, handicraft, hotels and restaurant businesses. In 2014, the CPC-L continued its activities of CP assessments, training and awareness-raising in the before mentioned sectors. The result has shown a significant reduction of energy, electricity and water and overall image improvements of the participating enterprises. It has also proved to be a perfect fit of integrated CP in the trade promotion, sustainable tourism while responding to the needs of industry and tourism sectors. On behalf of the Lao Government, I would like to personally thank SECO and UNIDO for their long standing support. I wish to acknowledge the importance and need of continued support provided by SECO and UNIDO in order to make the CPC-L resilient and a fully autonomous centre in the future. Manohack Rasachak Director General, Department of Industry and Handicraft Chairman of CPC-L CLEANER PRODUCTION CENTRE LAO PDR Page 2

3 Tourism is one of the leading sectors of the global economy, which is also growing significantly in Lao PDR. From the number of foreign tourists has risen by an average of 20.36% annually. The government of Lao has categorised tourism as one of the 11 priority sectors contributing towards the country s socio-economic development. Lao PDR opened its doors to tourism in 1989 and since then the number of tourists has constantly risen. In 2012, the number of international tourists visiting Laos reached 3.3 million, which generated revenues of almost US$ 517 million. Foreign visitors arriving in Laos in 2014 even reached 4.15 million with an increase of 10% compared to 2013 when Laos welcomed around 3.75 million visitors to the country. The government of Laos aims to host a total of 5 million tourists coming from all parts of the world with an expected revenue generation of USD 1 billion by While economic development is a necessity, the increasing stress on the environment and natural resources has proven to be unsustainable causing severe damages to the climate and the earth. This is also of particular concern for the tourism sector, since hotels similar as manufacturing sectors use significant amounts of resources, such as materials, water and energy, resulting not only in higher operating costs but also tremendous stress on the recipient environment. Frequently the higher usage of resources in hotels and restaurants is due to the deployment of resource intensive and inefficient technologies and equipment that are aimed to provide comfort to guests. Thus, the application of resource efficient equipment/technologies and improved operating practices will lead to significant reductions in resource consumption and operating costs as well as reduced environmental impacts by the tourism sector, both locally and globally. In addition to economic and environmental performance, the socioeconomic benefits generated by the tourism sector also influence the quality of life and sociological heritage locally. I would like to take this opportunity to express my sincere gratitude to the Government of Lao, host institution Department of Industries, Ministry of Industry and Commerce, CPC-L Steering Committee for their cooperation and support, executing agency UNIDO and SECO, as donor to this activity, deserve special mention for their kind and generous contributions. Finally, I would especially like to thank Mr. Manohack Rasachack, Chairman of CPC-L for his guidance and to the staff and national experts of the CPC-L for their hard and dedicated work, contributions and friendship over the years. Dr. Permod Kumar Gupta Chief Technical Advisor CLEANER PRODUCTION CENTRE LAO PDR Page 3

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5 LIST OF ABBREVIATION AIT CP CPA CPC CPC-L CP-EE CTA DANIDA DG DOI DOIH DTIS ECTT EE GDP GHG GOL IACP IEK ISID ITC Lao PDR LDC LNCCI LNTA LPB MDGs MEA s MOIC : Asian Institute of Technology : Cleaner Production : Cleaner Production Assessment : Cleaner Production Circles : Cleaner Production Centre of Laos : Cleaner Production and Energy Efficiency : Chief Technical Advisor : Danish International Development Agency : Director General : Department of Industry : Department of Industry and Handicraft : Diagnostic Trade Integration Study : European Council of Tourism and trade : Energy Efficiency : Gross Domestic Product : Green House Gas : Government of Lao-PDR : Inter- Agency Cluster on Trade and Productive : Industrial Economic and Knowledge : Inclusive Sustainable Industrial Development : International Trade Centre : Lao People s Democratic Republic : Least Developed Country : Lao National Chamber of Commerce and Industry : Lao National Tourism Authority : Luang Prabang (Province) : Millennium Development Goals : Multilateral Environmental Agreements : Ministry of Industry and Commerce CLEANER PRODUCTION CENTRE LAO PDR Page 1

6 MOPI MONRE NCPC NCPCs NEM NGPES NIFGS NSEDP NUOL ODS OHS PICO PMU RECP SC SEC SECO SME UN UNCTAD UNEP UNFCCC UNIDO UPOP s WW WTE : Ministry of Planning and Investment : Ministry of Natural Resource and Environment : National Cleaner Production Centre : National Cleaner Production Centers : New Economic Mechanism : National Growth and Poverty Eradication Strategy : National Integrated Framework Governance Structure : National Social- Economic Development Plan : National University of Laos : Ozone Depleting Substances : Occupational Health and Safety : Department of Industry and Commerce of LPB : Project Management Unit : Resource Efficient Cleaner Production : Specific consumption : Specific Energy Consumption : Swiss State Economic Affair : Small Medium Sized Enterprises : United Nations : United Nations Conference on Trade and Development : United Nations Environment Programme : United Nations Framework Convention on Climate Change : United Nations Industrial Development Organization : Unintentionally Produced Persistent Organic Pollutants : Waste Water : Waste to Energy CLEANER PRODUCTION CENTRE LAO PDR Page 2

7 Table of Contents FOREWORD INTRODUCTION NATIONAL CONTEXT RESOURCE EFFICIENCY AND CLEANER PRODUCTION (RECP) TOURISM SECTOR AND ITS IMPORTANCE IN NATIONAL CONTEXT ENHANCING SUSTAINABLE TOURISM, CLEAN PRODUCTION AND EXPORT CAPACITY IACP PROGRAMME OBJECTIVE OF IACP PROGRAMME CLEANER PRODUCTION CENTRE LAO PDR BACKGROUND VISION OF CPC-L MISSION OF CPC-L MAIN ACTIVITIES OF CPC-L IN ORGANIZATIONAL STRUCTURE OF THE CLEANER PRODUCTION CENTER OF LAOS ACTIVITIES PROFILE OF CPC-L SELECTION OF DEMONSTRATION UNITS WORKSHOP AND TRAINING RECP Training Module 3 for Intensive RECP training Module In-house training RECP Curriculum Workshop COMFAR training CP ASSESSMENT OF DEMO UNITS The In-Plants Assessment Program Follow up of Demo units INTERNATION ACTIVIES BUSINESS DEVELOPED PROPOSED PROJECT PUBLICATIONS ANNEX 1: UNIDO S HISTORIC CP APPROACH ON ENHANCING INDUSTRIAL COMPETIVENESS AND ENVIRONMENTAL COMPLIANCE CONTACTS PERSONS AND RELATED ORGANISATIONS:... 1 CLEANER PRODUCTION CENTRE LAO PDR Page 3

8 TABLES AND FIGURES TABLE 1: PROJECT MANAGEMENT UNIT FROM MINISTRY OF INDUSTRY OF COMMERCE... 8 TABLE 2: PROJECT MANAGEMENT UNIT'S STAFF MEMBERS... 9 TABLE 3: RECP INTENSIVE TRAINING IN LUANG PRABANG, TABLE 4: SPECIFIC CONSUMPTION ON ELECTRICITY AND WATER OF DEMO UNITS TABLE 5: FEASIBILITY ANALYSIS OF CP OPTIONS TABLE 6: ECONOMIC VIABILITY OF CP OPTIONS TABLE 7: BENEFITS ACHIEVED FROM IMPLEMENTED RECP MEASURES TABLE 8: ECONOMIC ANALYSIS OF IMPLEMENTED OPTIONS DE LA PAIZ TABLE 9: BENEFITS ACHIEVED FROM IMPLEMENTED RECP MEASURES MANOLUCK HOTEL TABLE 10: ECONOMIC ANALYSIS OF IMPLEMENTED OPTIONS FIGURE 1: ORGANIZATION STRUCTURE CPC-L... 8 FIGURE 2: MR. MANOHACK RASACHACK, CHAIRMAN... 9 FIGURE 3: STAFF OF CLEANER PRODUCTION CENTRE OF LAOS (CPC-L) TEAM AND CTA OF CPC-L FIGURE 4: CHAIRMAN AND PARTICIPANTS AT TRAINING MODULE3 CARRIED OVER FROM FIGURE 5: PARTICIPANTS AT RECP TRAINING MODULE-1, FIGURE 6: PARTICIPANTS AT RECP TRAINING MODULE2, FIGURE 7: DISTRIBUTION OF PARTICIPANTS OF RECP INTENSIVE TRAINING FIGURE 8: IN-HOUSE TRAINING AT THE GRAND HOTEL AND DALABUA HOTEL FIGURE 9: PARTICIPANTS AT CP CURRICULUM WORKSHOP 8 TH MAY FIGURE 10: PARTICIPANTS AT COMFAR TRAINING, JULY VIENTIANE FIGURE 11: PARTICIPANTS AT CONSULTATION WORKSHOP ON CP CIRCLE ESTABLISHMENT FIGURE 12: CTA AND CPC-L STAFF VISIT TAIKEO HANDICRAFT AND THASAVANG BRICK FACTORY FIGURE 13: STEERING COMMITTEE MEETING 28TH MAY FIGURE 14: COMPARISON OF SPECIFIC ELECTRICITY CONSUMPTION PER ROOM FIGURE 15: COMPARISON OF SPECIFIC WATER CONSUMPTION PER ROOM FIGURE 16: SPECIFIC ENERGY AND WATER CONSUMPTION FIGURE 17: SPECIFIC WW GENERATION AND GREENHOUSE GAS PATTERN FIGURE 18: SPECIFIC ENERGY AND WATER CONSUMPTION PATTERN FIGURE 19: SPECIFIC WW AND GHG GENERATION AFTER RECP CLEANER PRODUCTION CENTRE LAO PDR Page 4

9 1. INTRODUCTION 1.1 NATIONAL CONTEXT The Lao PDR is highly dependent on the environment and natural resources for its economic and social development. In order to lead the country towards prosperity and changing its status of least developed country by 2020, the government has restructured the economy towards decentralized control and private sector development since Through continuous efforts to eradicate poverty in the country, the Government of Lao (GOL) launched the Interim-Poverty Reduction Strategy in 2002, on which the national poverty eradication program (NPEP) was based. In early 2004, the NPEP was up-scaled towards a comprehensive national growth and poverty reduction strategy (NGPES), which outlines Lao's developmental framework, targets and goals for poverty reduction. In November 2006, the GOL presented its new poverty reduction strategy, the 7th National Socio-economic Development Plan (NSEDP) for , which will succeed the NGPES to reduce poverty through increased industrialization. As such only economic development will absorb the growing numbers of Laotians on the labor market and create the wealth that will lift the population out of poverty. Since the introduction of NEM in 1986 there has been a sharp increase in foreign investment, trade of natural resources based products and large-scale infrastructure developments (such as roads, hydropower plants and mining operations). The results, starting from an extremely low spectrum, were striking with an economic growth averaging to 6% per year from except during the short-lived drop caused by the Asian financial crisis. Lao's growth exceeded 7% per year during and the poverty rate was significantly reduced from 46% in 1992 to 26% in The country s economy has benefited from high foreign investment in hydropower, mining, and construction. Additionally, Laos gained normal trade relations status with the US in 2004 and recently joined the World Trade Organization on 2nd February Despite this high growth rate, Lao PDR remains a country with under developed, exportoriented industries and services that are not well integrated into international and regional markets. SMEs face low levels of efficiency and productivity and thus unable to respond to the growing requirements of international consumers and clients that wish to purchase products from environmentally and socially conscious companies. 1.2 RESOURCE EFFICIENCY AND CLEANER PRODUCTION (RECP) Developing economies particularly least developed countries (LDC S) are in the phase of industrialization in order to address poverty alleviation, increase their GDP, generate employment and improve standards of living for the population. However, as demonstrated by numerous examples, economic growth if not sustainable and inclusive often leads to environmental degradation and depletion of particularly non-renewable resources. CLEANER PRODUCTION CENTRE LAO PDR Page 1

10 Thus, thee resource efficient cleaner production (RECP) concept was developed to promote sustainable patterns of industrial production and resource consumption through a holistic and inclusive approach. Resource inputs are one of the major components of production costs and their consumption need to be optimized for competitive production in any company. As such, RECP applications play a critical role in the conservation of resources, reduced impact of environmental footprints, positive impacts on occupational health and safety (OHS) and reduced production costs as a result of improved productivity. 1.3 TOURISM SECTOR AND ITS IMPORTANCE IN NATIONAL CONTEXT The service sector, specifically tourism, is central for the economic development of many developing and transition economies. Over the past six decades, tourism has experienced continuous expansion and diversification, becoming one of the largest and fastest-growing economic sectors in the world. Many new destinations have emerged, challenging traditional tourist vacation spots. In Lao PDR, the tourism and related services and commodities sectors are among the fastest growing within the national economy. The tourism sector is now a major contributor (2nd biggest revenue source after mining) to national income and employment accounting for 7 to 9 per cent of the national GDP. As such, tourism related revenues in 2012 were reported to be well above USD 500 Million. The increased numbers of tourists have encouraged Lao society to actively invest in the tourism business, such as hotels and resorts infrastructure. However, this growth is often accompanied with unsustainable consumption practices endangering local ecosystems and depleting natural resources. Therefore, there is a need for resource efficient and environmentally sustainable greener tourism patterns, particularly among hotels. In addition, growing green consciousness is has emerged among hotel guests, who are increasingly aware of environmental problems and consequently started to consider sustainability factors in their accommodation choice. This is becoming increasingly the reality not only for luxury hotels but also for small and medium hotels and resorts. The adoption and implementation of RECP is thus increasing the competitiveness of such businesses moving towards sustainable green tourism. Without decreasing clients comfort, many efforts can be made by the hotel management industry through the application of cleaner production and best available practices. 1.4 ENHANCING SUSTAINABLE TOURISM, CLEAN PRODUCTION AND EXPORT CAPACITY In early 2004, the Government of the Lao PDR adopted the National Growth and Poverty Eradication Strategy (NGPES). The NGPES is the strategic framework under which all of the Government s future growth and poverty eradication programs will be developed and implemented. NGPES emphasizes sustained equitable economic growth and social development, while safeguarding the country s social, environmental, cultural, economic and political identity. NGPES identifies the industrial and tourism sectors as highly important directly impacting trade and commercial promotion and tourism. CLEANER PRODUCTION CENTRE LAO PDR Page 2

11 Tourism is a labor-intensive industry and contributes directly towards poverty reduction. There is considerable potential for expanding the sector, drawing visitors to the region and highlighting their interest in Lao s stunning natural environment, its history, cultural heritage and rich ethnic diversity. The tourism industry is one of the best performers in terms of value-added and supporting upstream and downstream industries. There has been very strong growth in the Lao tourism since 1990, from only 14,400 international arrivals to 735,600 arrivals in 2002 and 3.75 million in , the number of overseas tourists visiting Laos rose to 4.15 million. Due to the priority given to tourism since 1990, the government has organized a number of activities relating to national events, tradition, customs, festivities, human resources, tourism facilities, and services and infrastructure to attract more tourists. Tourist attractions in Laos are mainly cultural and natural sites such as the ancient city of Luang Prabang (World Heritage Site), Wat Phou Champassack (World Heritage Site), the Plain of Jars in Xieng Khouang Provinces (expected to be in the list of World Heritage soon). The richness and beauty of the country s nature together with its cultural attractions encourages a new form of tourism, so-called eco-tourism. The increased number of tourists has encouraged Lao society and private sector to actively invest in the tourism businesses. for improvements in hotels, guesthouses and resorts. As the report of the European Council of Tourism and Trade (ECTT) highlights, this has resulted in increased numbers of hotels, guesthouses and restaurants amounting to 3,684 hotels and guesthouses offering 39,122 rooms in Laos offers in total 1,493 official tourist sites comprising of 849 natural, 435 cultural and 209 historical sites. With seeking to increase growth and improve export competitiveness as reflected in the Poverty Reduction Strategy Paper and National Socio Economic Development Plan, Lao PDR has been active in pursuing integration into the regional and multilateral trading system, improving business environment and export competitiveness for national and poor businesses as well as enhancing sustainable tourism, cleaner production and export capacity in Lao PDR. 1.5 IACP PROGRAMME With these agendas, a thematic Inter-Agency Cluster on Trade and Productive Capacity -IACP was established by the UN in 2007 in order to ensure that issues related to trade and productive sectors are adequately taken into account in the pursuit of the Millennium Development Goals (MDGs), and in the strengthening of the "Delivering as One" UN-wide reform process. Following the establishment of the thematic IACP, the State Secretariat for Economic Affairs (SECO), Switzerland has agreed to provide financial support to Lao PDR as a pilot country for the implementation of a trade related technical assistance program with the above mentioned UN CLEANER PRODUCTION CENTRE LAO PDR Page 3

12 Cluster Project. This three year UN Cluster Project addresses the following four principles of cooperation: i. Development of a competitive and sustainable tourism industry, ii. Strengthening of backward linkages of handicraft (especially silk) and organic agriculture for the tourism industry; iii. Facilitating exports to regional markets and meeting international requirements for target sectors; iv. Addressing cross-cutting issues concerning cleaner production, strengthening the local trade related forums and task forces (NIFGS) and supporting the government in the DTIS update process. This project composes five outcomes to be delivered by five UN Agencies (ILO, UNIDO, UNCTAD, ITC), including productivity improvements in the tourism, silk and organic sectors through RECP under Outcome OBJECTIVE OF IACP PROGRAMME As per project design and overall goal, the major impact of this project will be on: 1) the tourism industry; 2) resource efficiency and cleaner production; 3) export capacity and 4) social responsibility and improved working conditions, within specific sectors, e.g. tourism, handicraft/silk and organic agriculture. The main objective of this project is to develop an overall competitive tourism industry, while at the same time strengthening the organic agriculture and the handicraft (especially the silk) industries in order to achieve a spill-over effect on those sectors through backward-linkages. Ultimately this will improve the export volume and quality of the above mentioned sectors, thereby positively impacting on poverty in targeted provinces of Lao PDR. CLEANER PRODUCTION CENTRE LAO PDR Page 4

13 2. CLEANER PRODUCTION CENTRE LAO PDR 2.1 BACKGROUND Cleaner production activities in Lao PDR (CPC-L) started as a bilateral co-operation project entitled Promotion of Industrial Cleaner programme and implementation was initiated by DANIDA in 2000 and continued through the support of SECO and UNIDO. In 2010, the Government of Lao PDR (Ministry of Industry and Commerce) together with UNIDO established the CPC-L as an autonomous institution hosted and located in MOIC. CPC-L is a member of global RECP network established by UNIDO and UNEP and a focal point for issues related to RECP in Lao PDR. The CPC-L is a dedicated center and is mandate to promote and develop resource efficiency and cleaner production services to industrial both manufacturing and service sectors As such, the CPC-L aims to promote and encourage Inclusive Sustainable Industrial Development (ISID) through increased productivity, efficient utilization of resources, reduced impacts on the environment and protection of workers health and safety. One of the CPC-L key focus areas is to increase the adoption of RECP practices in targeted export-oriented manufacturing and service sectors for increased trade promotion.. The CPC-L activities in 2014 focused mainly on the tourism and related handicraft sectors under the UN Inter Agency Cluster project (IACP) and conventional services were continuously implemented in the following sectors: Food processing sector; Construction sector including cement, brick and secondary steel; and, Agro processing sector including wood processing. In addition to sectoral intervention, thematic interventions such as the promotion of renewable energy valorization of agro-residue waste and solar water heating were encouraged. Additional far-reaching services of the CPC-L include awareness-raising activities, information dissemination, RECP audits and assessments, RECP implementation support of improvement options, performance evaluation and capacity building in various RECP related fields. CPC-L also provides services in thematic focus areas as follows: Energy efficiency audits, support for technology & vendor selection, implementation of techno-economically viable EE technologies in representative units. Development of renewable energy technologies for using available resources, e.g. saw dust is a major focus due to predominant wood processing sectors in Lao PDR. Services for management of residual waste (solid, liquid and gaseous) after RECP implementation. CLEANER PRODUCTION CENTRE LAO PDR Page 5

14 Support/advisory services in implementing multilateral environmental agreements (MEA s) specifically, UNFCCC to mitigate climate change, Stockholm Convention to reduce/ eliminate POPs and U-POP s, Montreal protocol to phase out/eliminate ODS substances used mainly for industrial usage. Identifying areas for South-South co-operation and technology transfer for successfully implemented and proven technologies. Environmentally sound and sustainable technologies for converting waste/byproducts/residues to value-added products, including energy for captive consumption. Development, promotion and demonstration of low carbon technology applications both for production processes as well as energy generation technologies. Advance level capacity building on financial engineering for capital intensive RECP measures. Resource efficient product/process reformulation advisory services for various industrial applications. Green Industry policy support to various public agencies. 2.2 VISION OF CPC-L The CPC-L is a center of excellence providing RECP and related services, including green manufacturing, trade and tourism nationally and regionally. National enterprises and organizations are supported to improve their environmental performance and resource productivity through the sustained application of RECP concepts, methods, practices, technologies and policies. The CPC-L vision is to achieve self-sufficiency as a leading non-profit institution in Lao-PDR hosted by the MOIC. A particular challenge in this regard is to increase market demand for paid RECP services in the country and to convince particularly SMEs of the tremendous advantages such services offer. 2.3 MISSION OF CPC-L The mission of the CPC-L is to support the development of green manufacturing and trade promotion in Laos through the provision of value-added services to businesses, governments and providers of business support services, technology and finance, which will enable them to achieve implementation of RECP practices resulting in improved environmental, resource and business performance. The CPC-L is working as an information center and center of excellence in providing RECP and related services aiming to promote and transfer where applicable environmentally sound technology options to industries, consulting companies, academia and governmental organizations. Additionally, the CPC-L is committed at providing affordable and quality services towards sustainable consumption and production among private sector companies in Lao-PDR. 2.4 MAIN ACTIVITIES OF CPC-L IN 2014 The CPC-L delivers a wide range of training and advisory services to enterprises, government agencies, academic institutions and other organizations. The key services provided by CPC s are CLEANER PRODUCTION CENTRE LAO PDR Page 6

15 information collection compilation & dissemination; awareness raising activities; technical training (class-room and on-the-job); in plant RECP assessments and implementation support for selected demonstration projects as well as policy advice. Major services provided by CPC-L in 2014 included: i. Information compilation and dissemination: Development and dissemination of information material on RECP and related topics for the tourism sector and other target groups, for supporting the delivery of awareness-raising activities. In the reporting year, the focus was put on the tourism sector in Luang Prabang. ii. Raising awareness on RECP: Awareness-raising activities on RECP application is a continuous activity and is conducted both at central and provincial level for industrial/tourism development agencies, private sector and academia. For efficient resource utilization, the CPC-L coordinates its activities in partnership with related provincial government departments, private sector and other relevant stakeholders. iii. iv. Capacity building and training: One of the essential activities of the CPC-L is national capacity building on RECP and related applications, therefore, the CPC-L conducts training modules on various themes related to resource productivity. Training modules on diverse topics related to RECP are conducted regularly including thematic sessions on renewable energy, waste management and many more to the relevant stakeholders. Demonstration of RECP application: In-plant RECP assessment and its demonstration through practical implementation in selected representative units from tourism, related handicraft and manufacturing sectors. Information and detailed technical and commercial information and techno-economically viable clean and low carbon technologies are collected for implementation. The CPC-L has more than 10 years of experience in promoting the implementation of RECP and related projects. So far the projects were mainly funded by SECO (Switzerland) and major services provided by CPC-L are in line with the NCPC s charter and is aiming for mainstreaming and upscaling of its services in the next years. 2.5 ORGANIZATIONAL STRUCTURE OF THE CLEANER PRODUCTION CENTER OF LAOS The organizational structure of CPC-L comprises of a Steering Committee, which is chaired by Department of Industry & Handicrafts and supported technically by UNIDO s Chief Technical Advisor (CTA). The Steering Committee of the CPC-L constitutes of nine members, who are representatives from the following various line-ministries and agencies: Ministry of Industry and Commerce (MOIC), Ministry of Energy & Mines, Ministry of Natural Resource and Environment (MONRE), National University Lao (NUOL), Lao National Chamber of Commerce and Industry (LNCCI), Ministry of Planning and Investment (MOPI), and representative of State Secretariat for Economic affairs (SECO) and Chief Technical Advisor, UNIDO. Chairman, CTA and Head/Director CLEANER PRODUCTION CENTRE LAO PDR Page 7

16 of the Center are ex-officio member secretary of Steering Committee. The organization structure of the CPC-L is shown in the organogram below. Mr. Manohack Rasachack, Director General of Department of Industry and Handicraft, Ministry of Industry and Commerce has been appointed as Chairman of the Steering Committee since Organizational structure: The organizational structure of the Cleaner Production Center of Laos Ministry of Industry and Commerce Chairman/Vice Chairman UNIDO Cleaner Production Program Swiss Government: State Secretariat for Economic Affairs (SECO) Chief Technical Advisor (CTA) Head of Center Steering Committee Head of Technician/ Project staff Awareness/ Policy Advise In plant Assessments Capacity Building Information Dissemination Regional Cooperation and its activities are as follows: Figure 1: Organization Structure CPC-L Table 1: Project Management Unit from Ministry of Industry of Commerce No Name Position in Project 1 Mr. Manohack Rasachack Chairman hackrasa@yahoo.com CLEANER PRODUCTION CENTRE LAO PDR Page 8

17 Figure 2: Mr. Manohack RASACHACK, Chairman Table 2: Project Management Unit's staff members No Name Position in Project 1 Dr. P.K Gupta Chief Technical Advisor 2 Mr. Manohack Rasachack Chairman/ managing Director 3 Thongphet Phonsavath Officer-in-charge Coordinator permod.gupta@gmail.com hackrasa@yahoo.com thongphetphonsavath@gmai l.com 4 Mr. Ouloun Sengta Head of Technician oulounst@gmail.com 5 Mr. Bounphong Nanthavong 6 Mr. Phetsamone Thammachack CP assessment coordinator LPB Project staff Bounphongnanthavong@yah oo.com thphetsamone@gmail.com 7 Ms Souktaly Vannavongsy Project staff souktaly@yahoo.com Currently, CPC-L has six permanent professionals as core staff and a provincial co-ordinator and part-time CTA. Additionally, the CPC-L has established a large pool of highly qualified and specialised national experts, who are employed on a needs- and case-by-case basis. Due to the technical specificities and various aspects of RECP, the pool of experts is established around particular areas, such as environmental engineering including specialisations in energy, water management, wastewater and solid waste treatment and chemistry. In 2014, national experts were mainly recruited in the province. The officer in-charge coordinator, the head of technician and the project staff are principally based in Vientiane Capital and travel to provinces as and when required. CLEANER PRODUCTION CENTRE LAO PDR Page 9

18 As outlined in the table above, Dr. Permod Kumar Gupta is part time CTA since 2006 and Mr. Manohack Rasachack is Chairman and part time Managing Director of Centre. Figure 3: Staff of Cleaner Production Centre of Laos (CPC-L) team and CTA of CPC-L 2013 CLEANER PRODUCTION CENTRE LAO PDR Page 10

19 3. ACTIVITIES PROFILE OF CPC-L 2014 Similar to 2013, major activities related to the application of resource efficiency and environmental management in the tourism sector, but additional focus was placed on the construction sector. Other activities were carried out in terms of information sharing activities on RECP and related topics principally to companies in the tourism sector as well as creating awareness through organized seminars and workshops on RECP and low carbon growth. Additionally, capacity building activities were conducted targeting national stakeholders through the provision of intensive training modules for company staff from manufacturing, tourism and handicraft industries with the objective to train tem on RECP assessments and assist them in the implementation of identified measures. Additionally, in order to create a multiplier effect and upscale RECP applications, so-called cleaner production circles (CPC) were successfully implemented in Luang Prabang and Vientiane Capital for hotel, handicraft and brick sectors. 3.1 SELECTION OF DEMONSTRATION UNITS In early 2014, suitable RECP demo units for the implementation of component 5 under the IACP project were selected in Luang Prabang through prior consultations with PICO and the local project co-ordinator. Maximum care was taken in the selection process of representative units from tourism related sub-sectors, however, the selection was also based on the willingness of units to participate and share the necessary information and data required for RECP assessments. Five units were selected: four from the hotel sector, namely (1) Sada hotel, (2) Dalabua hotel, (3) Luangprabang view hotel, (4) The Grand hotel and (5) Luangprabang cement plant. However, the selected cement plant did not provide the necessary information, consequently RECP measures could not be developed accordingly. 3.2 WORKSHOP AND TRAINING In 2014, as per the CPC-L objective and the aim of the IACP project several workshops and trainings related to the introduction of RECP, energy efficiency, renewable energy, industrial effluents management were organized in Luang Prabang for the target sectors of tourism, manufacturing and handicraft as outlined below RECP Training Module 3 for 2014 Intensive training modules for RECP and related topics were conducted in three stages with module-3 organized on the 3rd to 5th of February 2014 in Luang Prabang. The training was chaired by Mr. Somphong Pradeechit; the Director General of the department of industry and CLEANER PRODUCTION CENTRE LAO PDR Page 11

20 commerce of Laung Prabang and Mr. Manohack Rasachack; Director General of the MoIC and Chairman of the CPC-L. At the opening ceremony, the chairmen encouraged participants to upgrade their skills according to the RECP training delivered in the previous two modules and to apply their gained CP knowledge in the implementation of RECP options in their respective companies. After the 3rd module participants are additionally expected to become RECP trainers themselves to teach other company staff on their RECP knowledge. Participants attended previous training modules (demo units and general) and work in hotels that are part of the quality mark component (OUTCOME1) of the IACP project. Overall 30 participants from various stakeholders attended this training module. After the opening sessions, results of implemented RECP options in demonstration units were presented, which was followed by a short expert observation by CTA. It was found that demo units have only focused on low-cost or non-cost RECP options in their implementation. Thus, it was highlighted that in order to get maximize company s benefits of the RECP program, medium- and high-cost options should also be explored, however, such option may require capital investment. Therefore, in order to strengthen the implementation and convince the management or owners, the module focused on feasibility analysis of screened options. The RECP lectures was delivered to participants mainly by the CTA as per the training agenda followed by group exercise on the analysis of technical, environmental and economic viabilities with guidance and feedback from the CTA. The third day of the training consisted of lectures regarding selection procedures of RECP solutions, implementation of feasible options and sustainability. Participants received a training certificate for their successful completion of the three training modules. Figure 4: Chairman and participants at Training Module3 carried over from Intensive RECP training Module 1 The RECP intensive training module1 was conducted on 19th to 21st of March 2014 and chaired by Mr. Somphong Pradeechit; the Director General of provincial Industry and CLEANER PRODUCTION CENTRE LAO PDR Page 12

21 Commerce Office Laung Prabang and Mr. Manohack Rasachack; Director General of MoIC. The target of this training module was to synergise RECP and energy efficiency (EE) methodologies to realized added benefits. At the opening ceremony, the chairman took stock of previous training modules conducted over the last years and the experience gained by participants. In addition to conventional RECP topics, this training session focused on the synergy between RECP and energy efficiency especially for the hotel and manufacturing sector. 35 participants from the hotel, manufacturer and handicraft sector from Luang Prabang joined this training module to deepen their understanding. As the 1st module of 2014, an introduction to RECP in the context of Lao PDR was provided by Mr. Thongphet Phonsavath. This was followed by a presentation of the CTA on RECP basics including the needs and benefits of RECP, RECP techniques and RECP methodology. Introduction to energy efficiency in generic and equipment specific viz., pumping, motor, air condition, boiler and lighting was presented by Mr A.K. Asthana, international energy expert from India. Figure 5: Participants at RECP training Module-1, Intensive RECP training Module 2 The second RECP intensive training module was conducted on the 4th to 6th of June 2014 in Luang Prabang, chaired by Mr. Somphong Pradeechit jointly with Mr. Manohack Rasachack. Module-2 focused on the implementation of RECP methodology through a step by step approach. This was further illustrated through the discussion of specific examples on how to analysis and evaluate the causes and appropriate RECP options for increased productivity and reduced operational costs. Most of the 25 participants have previously attended the module -1 training sessions and came from the hotel and handicraft sector located in Luang Prabang. CLEANER PRODUCTION CENTRE LAO PDR Page 13

22 Table 3: RECP intensive training in Luang Prabang, 2014 CP Training Modules Module 1 Module 2 Module 3 Cleaner Production Methodology 19 th 21 st March 2014 May 3 days Introduction to cleaner production Experience of implementation of CP in Lao PDR CP techniques with relevant examples CP methodology: Getting started Analysing process Material balance Assigning cost to waste stream Cleaner Production Assessment 4 th -6 th June days Presentation of baseline data by demo units Review of process to identify Waste Causes Cause Analysis and Generation of CP Option Screening of CP options Conduction of technical, economic and environmental feasibility analysis, Selection of CP solutions Group exercise on CP Completion of Cleaner Production Assessment (Due to end of project funding in September 2014, RECP module 3 was not conducted in 2014) During the intensive training modules spread over a period of 6 months, participants were exposed both to classroom as well as on-the-job training while carrying out RECP assessments. Group exercises with participants coming from various sectors were particularly helpful in practicing RECP and sharing experiences from demo units. Figure 6: Participants at RECP training Module2, 2014 CLEANER PRODUCTION CENTRE LAO PDR Page 14

23 Overall 60 participants attended the two intensive training modules conducted by CPC-L. Out of the 60 participants, 14 were from Government agencies, 2 from manufacturing industries, 4 from university and associations, 40 from hotels and 4 from handicraft companies. The distribution of the participants is illustrated below in figure 7. Distribution of paticipants of RECP intensive traning Module1 and 2, % 28% 61% Hotel Manufacturing Institution Government 5% Figure 7: Distribution of Participants of RECP intensive Training In-house training In order to inform staff of the participating units on RECP basics, techniques and methodology, a short in-company training module was developed in the local language organized by the CPC- L core staff with help from PICO and a national expert. SADA hotel and Maison Dalaboua 29th May 2014: In the morning in-company training for SADA hotel was conducted and attended by 8 participants from the hotel including the owner and the general manager of the hotel. The deliberations during the in-company training focused on the concept and need of RECP in the hotel, followed by causes analysis and RECP improvement options and techniques. Options were identified that can be implemented easily with low/no cost to reduce the hotel s usage of electricity, water and chemicals as well as generation of solid waste and wastewater.. The afternoon in-company training session was conducted for Maison Dalabua on the same topics and was attended by 9 hotel staff l. Luang Prabang View and The Grand hotel 30th May 2014 In the morning in-company training for Luang Prabang View hotel was conducted and attended by 10 participants from the hotel including personnel from kitchen, laundry, gardening and event management group in order to achieve widespread awareness and take-up. The deliberations in theduring the in-company training was focused on the concept and need of RECP in the hotel, followed by approach to be followed like the causes analysis and RECP improvement options generation and techniques. Identification of options were identified that CLEANER PRODUCTION CENTRE LAO PDR Page 15

24 can be implemented easily with low/no cost to reduce their the hotel s usage of electricity, water and chemicals, as well as generation of solid waste, and wastewater, etc. followed by cost involved options. The afternoon in-company training session was conducted for the Grand hotel with a similar agenda, which was attended by 40 staff members representing all main departments. Figure 8: In-house training at The Grand Hotel and Dalabua Hotel RECP Curriculum Workshop Since 2007, RECP has been introduced to the National University of Laos, Faculty of Environmental Sciences, however, there is a need to develop a RECP curricular. With the support from UNIDO a RECP curriculum has been under development since On 8th May 2014, a workshop on the development of a RECP curriculum was conducted in collaboration with the faculty of environmental science. Participants included lecturers from the Environmental Science, the Mechanical engineering, of the Forestry and the Agriculture faculties with a total of 25 participants attending. The chief faculty for curriculum development was Mr. Alfred Schwarzenbach, recruited by UNIDO. In the workshop there were introduction of methodology for development of RECP curriculum and the corresponding group exercise. As a result of this activity a RECP curriculum was developed and implemented. Figure 9: Participants at CP Curriculum workshop 8th May 2014 CLEANER PRODUCTION CENTRE LAO PDR Page 16

25 3.2.6 COMFAR training By recognizing the importance of increasing professional skills among UNIDO project staff on financial project management, UNIDO has arranged the first COMFAR training in from 21st of July to 1st of August 2014 in Vientiane. A total of 10 participants from Laos, Vietnam and Cambodia attended the training. The objective was to enhance personnel capacity among UNIDO employees and in terms of financial analysis and project management by using COMFAR III professional tools, a computer software that allows users to simulate the short- and long-term financial and economic situation of investment projects. The software facilitates the analysis of industrial as well as non-industrial projects for new investments, rehabilitations, expansions, joint venture or privatization projects. The workshop was conducted by UNIDO Comfar Expert Mr. RAHMANIFAR MEHRDAD and also attended by Mr. Manohack Rasachack, DG of MOIC and Dr. Permod Gupta, CTA of CPC-L. Figure 10: Participants at COMFAR training, July Vientiane CP Circle Establishment Due to the CPC-L previous experience and success in establishing CP circles for brick factories in Lung Prabang in 2012 and 2013, the CPC-L repeated its efforts for the hotel, handicraft and brick businesses in Vientiane. The first consultation workshop was organized on 10th June 2014 in Vientiane under the chairmanship of Mr. Manohack Rasachack who invited enterprises from the identified sectors and shared the importance and benefits of CP circle with them. The experience and successful cases of CP circles in other country, such as India or Luang Prabang were highlighted by the CTA. Enterprises agreed to establish a CP circle for each sector. Participants included director and managers from the respective enterprises with a total of 20 opinion leaders attending. CLEANER PRODUCTION CENTRE LAO PDR Page 17

26 Figure 11: Participants at consultation workshop on CP Circle establishment Followed by the consultation workshop on CP circle, a RECP training for staff of participating companies was conducted on 20 August During the workshop, RECP techniques and methodology as well as possible RECP options were introduced to participants from the CP circle with 4 people from handicraft, 6 from hotel and 1 member from brick factory attending. Figure 12: CTA and CPC-L staff visit Taikeo Handicraft and Thasavang brick factory for discussion about establishment of CP Circle 3.4 Steering Committee Meeting The Steering Committee (SC) is composed of different stakeholders to provide strategic guidance to the CPC-L on its activities, work plan and areas of intervention. In general SC meetings are held on an annual basis. In 2014, the SC meeting was held on 28th March 2014 under the chairmanship of Mr. Manohack Rasachack. The meeting was attended by the SC members appointed in 2011 as well as newly appointed members replacing retired members. In the beginning of the SC meeting, the chairman welcomed all the honorary members followed by a short presentation of the CPC-L activities and work plan for 2014 by the Officer in-charge coordinator. This was followed by a presentation from the CTA on the results of RECP implementation in the tourism sector that have been achieved since This was followed by discussions among the members and suggestions in terms of improvements of the effectiveness, visibility and self-sustainability of the center. CLEANER PRODUCTION CENTRE LAO PDR Page 18

27 Figure 13: Steering Committee Meeting 28th May CP ASSESSMENT OF DEMO UNITS The In-Plants Assessment Program The in-plant demonstration activities aimed at illustrating to the tourism, manufacturing and handicraft sectors practical examples of how the concept of cleaner production is applied and which benefits can be achieved. The RECP demo activities also provide opportunities for handson training to the participants. As full RECP assessments and techno-economically viable RECP solutions were implemented in targeted hotels and manufacturing and handicraft factories. The following five companies were selected for such assessments: SADA hotel, DALABUA Maison hotel, Laungprabang View Hotel, The Grand hotel and Luangprabnag Cement plant. The RECP demonstration program was organized in parallel to the two training modules combining class room training with hands-on field experience. At the beginning of the program, RECP teams were established in all participating companies. In-between of the different training modules, the RECP teams conducted step-by-step full RECP Assessments (CPA) in their companies, with the support of CPC-L staff and the CTA. The demonstration program was thus conducted as interactive classroom training session combined with practical training in the demo units. Data collection is one of the most critical tasks at the basis of gaps identification and selection of RECP potential. The first objective was to receive reliable and representative baseline data followed by the start of the detailed in-plant assessment. The in-company RECP teams together with the PMU and experts evaluated relevant technologies applicable in hotels. In addition, utilities were assessed for techno-economically viable and easy to implement RECP options. This required extensive information and expertise to conduct the audits, especially for the energy related aspects. The audit reports further identified relevant RECP-EE options, through feasibility analysis of techno-economically viable solutions. Table 4 below illustrates the specific electricity and water consumption data collected and analyzed during the RECP implementation. However, even in bigger hotels, there was no proper record regarding guest occupancy. CLEANER PRODUCTION CENTRE LAO PDR Page 19

28 Table 4: Specific consumption on electricity and water of demo units 2014 Name of Demo units Specific electricity consumption Kwh per room Specific electricity consumption Kwh per guest Specific water consumption m3 per room Specific water consumption m3 per guest DADA Hotel Dalabua Massion Luang Prabang View The Grand Hotel Diagram 14 and 15 show the specific electricity and consumption patterns of the different hotels. It was found that the more luxurious hotels have higher numbers of specific consumption, in this case in Luang Prabang View and the Grand Hotel. Specific electricity consumption Kwh per room Specific electricity consumption Kwh per room 0 DADA Hotel Dalabua Massion Luang Prabang View The Grand Hotel Figure 14: Comparison of specific electricity consumption per room CLEANER PRODUCTION CENTRE LAO PDR Page 20

29 Specific water consumption m3 per room Specific water consumption m3 per room 0 DADA Hotel Dalabua Massion Luang Prabang View The Grand Hotel Figure 15: Comparison of specific water consumption per room The RECP assessment includes the feasibility analysis, illustrated below in table 5 and table 6 with the economic viability analysis. Table 5: Feasibility analysis of CP options Name of demo units Total No. of options identified Direct implementable Feasibility analysis Requires further analysis Not feasible DADA Hotel Dalabua Massion Luang Prabang View The Grand Hotel Total Percentage Table 6: Economic viability of CP options Name of demo units Total No. of options identified Investment cost Payback period Low Medium High Short Medium Long DADA Hotel Dalabua Massion Luang Prabang View The Grand Hotel CLEANER PRODUCTION CENTRE LAO PDR Page 21

30 Total Percentage The impact of the implementation of RECP options in 2014, could not reported in this report due to the phasing out of IACP project phase-1. Following up activities are planned under IACP phase II, which is expected to start in 2015, thus the results will be reported in the annual report Follow up of Demo units Parallel to the core activities in 2014, follow up activities at demo units established since 2012 were conducted. Some of them highlight the success of RECP implementation in their hotel with the two hotels below sharing their success data, De La Paix hotel and Manoluck hotel. I) De La Paix Hotel: Table 7 below outlines the benefits achieved from implemented RECP options at De La Paix hotel. Table 7: Benefits achieved from implemented RECP measures NO RESOURCE SEC (kwhr) Room/night Guest/night Water cons. (KL) Room/night Guest/night Wastewater (KL) Room/night Guest/night GHG Red. (Kg) Room/night Guest/night Baseline in No Record* No Record* % Red. NA NA NA NA % Red % Red For illustration purposes, the below graphic shows the tendency of reduction in energy and water consumption as well as decreases in wastewater (WW) generation and GHG emissions. All the parameters were elevated at the beginning of the implementation of RECP and started to decrease after REC implementation year by year. CLEANER PRODUCTION CENTRE LAO PDR Page 22

31 KL of waste water Kg/GHG kwhr electrical energy KL of water Consumtion Annual Report Spec. Energy Consumption Years 1-4 ( ) Specific water consumtion SEC/Room SEC/Guest Water cons/room Water cons/guest Figure 16: Specific energy and water consumption Specific WW generation and GHG reduction pattern is the result of the reduction of water consumption and electricity consumption respectively as shown in figure 17 below Specific WW Generation Years from WW Gen./Room WW Gen/Guest GHG Reduction pattern GHG/Room GHG/Guest Figure 17: Specific WW generation and Greenhouse gas pattern Table 8 presents the saving achievements at De La Paiz in units, percentage and USD. Table 8: Economic analysis of implemented options De La Paiz No 1. Resource Electrical energy (kwhr) Room/night Guest/night Before RECP After RECP Savings in % Savings in USD Annual savings USD CLEANER PRODUCTION CENTRE LAO PDR Page 23

32 2. 3. Water Consumption (KL) Room/night Guest/night WW Generation (KL) Room/night Guest/night TOTAL Room/night Guest/night AVERAGE SAVINGS Note: 1. Average occupancy per year is taken as 4000 rooms and 7200 guests 2. Cost of electricity $/kw and water 0.25$/KL and cost of waste water treatment 0.4$/KL ,680 67,825 68,000 II) Manoluck Hotel: The same as De La Paiz, Manoluck has experienced tremendous success through the implementation of RECP. Table 9 below shows the benefits achieved from RECP options at Manoluck hotel in units, percentage and USD. Table 9: Benefits achieved from implemented RECP measures Manoluck hotel NO RESOURCE/WASTES SEC (kwhr) Room/night Guest/night Water cons. (KL) Room/night Guest/night Wastewater (KL) Room/night Guest/night Baseline in REMARK % Red % Red Achieved more than anticipated Water cons red. also contributed in energy saving Calculated from water consumption 4. Solid Waste (Kg) Room/night Guest/night nil Data from waste disposal 5 GHG Red. (Kg) Room/night Guest/night Achieved more than anticipated The graphics below depict the tendency of reductions in energy and water consumption as well as decreases in wastewater generation and GHG emissions. CLEANER PRODUCTION CENTRE LAO PDR Page 24

33 Kg GHG kwhr Electricity KL of water consumtion Annual Report Specific Energy Consumtion Years (1-3) SEC/Room SEC/Guest Spec. water Consumption Years (1-3) Water cons/room Water cons/guest Figure 18: Specific Energy and water consumption Pattern Sp. WW Generation GHG Reduction WW Gen./Room WW Gen/Guest GHG/Room GHG/Guest Table 10: Economic analysis of implemented options Figure 1919: Specific WW and GHG generation after RECP No Resource Electrical energy( kwhr) Room/night Guest/night Water Consumption (KL) Room/night Guest/night Before RECP After RECP Savings in % Savings in USD Annual savings USD 44,625 48,000 17,850 19,900 WW Generation (KL) Room/night ,560 CLEANER PRODUCTION CENTRE LAO PDR Page 25

34 Guest/night , Solid waste (Kg) Room/night Guest/night GHG Red. (Kg) Room/night Guest/night TOTAL Room/night Guest/night ,135 84,860 AVERAGE SAVINGS 80,000 Note: 1.Average occupancy per year is taken as 8500 rooms and guests 2. Cost of electricity $/kw and water 0.25$/KL and cost of waste water treatment 0.4$/KL 4. INTERNATION ACTIVIES i. Clean-Tech training 9 February to 5 March 2014 at Weitz Cemter, Rehovot, Israel ii. ASEAN Forum on Sustainable Consumption and Production, April 2014, Jakarta, Indonesia iii. Regional Chapter Meeting of Resource Efficient Cleaner Production Network 21 st May 2014, Bangkok, Thailand iv. Asia Pacific Roundtable on Sustainable Consumption and Production 19 th -20 th May 2014, Bangkok, Thailand v. ASEAN plus 3 leadership Programme 30 th September to 3 rd October 2014, Bali Indonesia vi. Regional expert meeting for the validation of the eco-innovation manual 21 st to 23 rd October 2014, Beijing China vii. CTA attended Seminar/Conference and technical study tour WASTE to ENERGY, June 22-27, 2014 in Europe. CLEANER PRODUCTION CENTRE LAO PDR Page 26

35 Figure 20: Officer in-charge attends the Regional Expert Validation and Training workshop for ecoinnovation manual 30th September to 3rd October BUSINESS DEVELOPED In the end of year 2014, a direct contract was signed with UNIDO to implement a short-term project from January to April 2015 on the green industry for low carbon growth funded by the Japanese Government. The main objective of the project is to draft and finalize the green industry policy and strategy for Lao Government as well as RECP assessments and data collection of selected companies. The results of the project implementation will be presented in the annual report PROPOSED PROJECT In line with the CPC-L business development strategy, proposals were formulated for projects supported by multinational and bilateral donors, such as UNIDO persistent organic pollutants project focusing on the replacement of PCB contaminated transformers, and another project targeting on GHG emissions reductions through the application of WTE Technologies in agro industries in Lao PDR which will be implemented in 2015 outlined in the table 6 bellow. CLEANER PRODUCTION CENTRE LAO PDR Page 27

36 Table11: List of proposed project submitted in 2014 No Project title Implementing Agency Donor Duration Location 1 Green industry for low carbon growth in East Asia UNIDO, Cleaner Production Centre Lao PDR Japanese Government 6 months Lao PDR 2 Reducing Green House Gas Emissions through Application of WTE Technologies in Agro Industries in Lao PDR UNIDO, Cleaner Production Centre Lao PDR GEF 36 months Lao PDR 7. PUBLICATIONS During 2014, the CPC-L published the following documents: i. Annual Report 2013 ii. Cleaner Production Case Study: De La Pais Hotel iii. Cleaner Production Case Study: Manoluck Hotel CLEANER PRODUCTION CENTRE LAO PDR Page 28

37 List of important visitors to project in Mr. Mikko Jokinen, Licensing and inspection expert, Environmental Management Programme, (Ministry of Natural Resource and Environment) 2. Mr. Daniel P. Keller, Swiss Consulting Co.Ltd. 3. Mr. Isabelle Bouan, Swiss Consultant. 4. Mr. Karen Ma, Manager, Industrial Technology Research Institute, Industrial Economic and Knowledge center (IEK), Energy Research Division, Green Energy Industry Promotion Research Department. 5. P.Abdul Salam, PhD Associate Professor Energy Field of study (AIT) Asian Institute of Technology school of environment, Resource and Environment. 6. Mrs. Emi KANEKO OVERSEAS ENVIRONMENTAL COOPERATION CENTER, JAPAN. 7. Colin von RECHENBERG (General Manager), Electrical Civil Mechanical Engineering. CLEANER PRODUCTION CENTRE LAO PDR Page 29

38 ANNEX 1: UNIDO S HISTORIC CP APPROACH ON ENHANCING INDUSTRIAL COMPETIVENESS AND ENVIRONMENTAL COMPLIANCE UNIDO s HOLISTIC CP APPROACH Enhancing industrial competitiveness and environmental compliance Cleaner Production is a Preventive Integrated Environmental Strategy Applied to the Entire Production and Service Cycle At sectoral level At company level Products: Reduction of waste through better design Use of waste for new products Processes: Conservation of raw material, energy, water Reduction of emissions at source Evaluation of technology options Reduction of costs and risks Services: Efficient environmental management in design and delivery Impact: Improved efficiency Better environmental performance Increased competitive advantage CLEANER PRODUCTION CENTRE LAO PDR Page 30

39 CONTACTS PERSONS AND RELATED ORGANISATIONS: Mr. Manohack Rasachack Deputy Director General, Department of Industry, Ministry of Industry and Commerce Phonexay Road, Saysettha District P.O. Box 4107, Vientiane Lao PDR Tel: Fax: Mr. Jérôme STUCKI Project Manager, Industrial Resource Efficiency Unit, UNIDO Vienna International Center P.O. Box 300, 1400 Vienna Austria Tel: j.stucki@unido.org Dr. P.K Gupta Chief Technical Advisor, UNIDO Ministry of Industry, Mines and Energy #45,St.41Preah Norodom Blvd, Phnom Penh Cambodia Tel/fax: P.Gupta@unido.org Mr. Thongphet Phonsavath Cleaner Production Centre Lao PDR Ministry of Industry and Commerce Building Phonxay Road, Phonxay Village, P.O. Box Vientiane Lao PDR Tel: ; Fax: ; Mobile: thongphetphonsavath@gmail.com Mr. Edward Clarence-Smith Representative and Head of Regional Office UNIDO, Bangkok 5 th Floor, Department of Industrial Works Building57, Phrasumen Road, Banglampoo, Pranakorn, Bangkok 10200, Thailand C.Chua@unido.org Mr. Sommai FAMING Head of UNIDO Operations UNDP P.O. Box 345, Vientiane Capital Lao PDR, Tel: ; Fax: ; S.Faming@unido.org Mrs. Sengdavone Bangonesengdet Secretary General LNCCI, Phonphanao Village, Kaysone Phomvihane Avenue Saysettha District, Vientiane Lao PDR Tel: , lncci@laopdr.com Mr. Khapadith KHAMMOUNHEUANG Deputy Director General of Environmental Promotion Department Ministry of Natural Resource and Environment P.O. Box 7864, Vientiane Lao PDR Tel/Fax: kkhampadith@gmail.com CLEANER PRODUCTION CENTRE LAO PDR Page 1

40 For further information please contact: Cleaner Production Center Lao PDR, Ministry of Industry and Commerce Phonxay road, Phonxay village, Xaysettah district, Vientiane Capital, Tel: ; Fax: Website: laocpc.org CLEANER PRODUCTION CENTRE LAO PDR Page 2

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