Mongolian car dealer to decrease energy consumption, in state-of-the-art facility
The EBRD is providing a local currency loan worth EUR 10 million to Tavan Bogd LLC, a Toyota car dealer based in Mongolia.
The company is part of Tavan Bogd Group, a long-standing client of the EBRD, with interests in fast-moving consumer goods, cashmere manufacturing, financial services and trade.
Tavan Bogd want to construct a state-of-the-art Toyota repair and maintenance centre, expand their new car distribution and sales business, and improve energy efficiency.
Achieving these goals will require a significant financial investment, so the company has turned to the EBRD for support.
To continue developing local currency financing in Mongolia, the Bank is providing Tavan Bogd with a loan of 23.4 billion Mongolian Tugrik (equivalent to EUR 10 million).
Technical support
The project has also received a technical support grant of EUR 42,000. This has been provided by the Japanese government, through the Framework on Energy Performance Assessment and Corporate Policy for Built Environment Projects.
The grant has been used to review technical design, assess energy performance and access recommendations on the reduction of energy consumption.
Additionally, Tavan Bogd’s new repair and maintenance centre will include several energy efficiency measures, some of which are eligible for support through the EBRD’s FINTECC programme.
FINTECC has been established specifically to help companies implement innovative climate technologies.
The company have decided to implement various climate technologies, including:
High-grade thermal insulation of building with U-value of 0.19 W/m2K
Highly efficient glazing with U-value of 1.6 W/m2K
Building-level metering equipment
Energy efficient ventilation and air conditioning systems
Each of these technologies currently has a very low penetration rate in Mongolia, meaning Tavan Bogd’s project will set new standards in energy efficiency.
Lower energy consumption
The new energy efficient technologies will decrease the car repair and maintenance centre’s primary energy consumption by 17 per cent, in comparison with local practice.
The building’s overall annual energy performance will be 271 kWh/m2, compared with the local baseline of 317 kWh/m2.
“This is another example of the good cooperation between the EBRD and our Group. We can always rely on the EBRD to understand our business requirements and provide us with the support we need.”
The EBRD in Mongolia
To date, the EBRD has invested over USD 1 billion in the Mongolian economy. The Bank is currently the largest foreign investor in the country, with almost all EBRD-financed projects supporting private sector companies and banks.
