Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1697807473975.pdf (India)
NATIONAL CLEANER PRODUCTION CENTRE SOUTH AFRICA RECP Finance for SMEs South Project experience By.

Ndivhuho Raphulu, NCPC-SA www.ncpc.co.za Content • Who is the NCPC-SA?

• What does Resource Efficient Cleaner Production (RECP) Finance for SMEs Project entail?

• Outcomes of the project – Training material – Workshops – Databases • Financial instruments • Bankable projects • Projects implemented with external funding • Summary www.ncpc.co.za Who are we?
The National Cleaner Production Centre South Africa (NCPC-SA) supports South African industry to improve competitiveness and reduce environmental footprint through the implementation of resource efficient and cleaner production (RECP) methodologies.

A programme of the dti hosted by the CSIR www.ncpc.co.za Other partners and donors www.ncpc.co.za Thematic approach – flagship projects • The NCPC-SA applies RECP in three main thematic areas.
Each of these is driven through a flagship project or programme: NCPC-SA + partners Water Industrial Water Efficiency Project Materials & waste Industrial Symbiosis Programme Energy Industrial Energy Efficiency Project www.ncpc.co.za Services to industry The NCPC-SA services are highly subsidised, and are aimed at stimulating and supporting the uptake of RECP by industry: Assessments & Implementation Energy, water, materials, waste efficiency Skills development Training courses Internship programme RECP Tools Online tools and sector guides Advocacy Workshops, awareness & policy advice www.ncpc.co.za RECP Finance for SMEs • Under the global RECP programme, the Finance work-stream aims to: – raise awareness; and – facilitate access to funding mechanisms; and – at the same time promoting (innovative) finance instruments for mainstreaming RECP into the operations of manufacturing enterprises.
• • • Five target countries which are Colombia, Morocco, India, China, and South Africa.

Ernst and Young (EY) was awarded a contract to deliver tailored advisory and consulting services to NCPCs on behalf of UNIDO.

EY collaborated with the abovementioned NCPCs on the following thematic areas: i.

The development of primers on RECP Finance; ii.

Conceptualization and development of training materials; iii.

Delivering of training sessions; and iv.


Proposing and developing effective strategies on RECP planning and investment in targeted countries.

www.ncpc.co.za Outcomes: The Primer Document • • Primer document is in the final stages of development.

This document provides an overview of the RECP Finance Project.
– It contains information regarding The role of the NCPC-SA; • Why and how to invest in RECP projects; • • How to identify financial sources; • How to prepare bankable projects; • How to develop an enabling environment.
www.ncpc.co.za Outcomes: Training materials • The training material (and tools) was developed by EY • The material and tools will be adapted to the South African context and the information will then be disseminated through: – RECP finance for SMEs workshops in major centres throughout the country (delivered by the NCPC-SA); – Distribution of the primer document; and – Provision of updated databases of financial instruments, bankable projects as well as past success stories.
www.ncpc.co.za Outcomes: Training material – Business Plans structure and tools Business Plan Structure 1.

Project description 2.

Management Team 3.

Budget and schedule 4.

5.

Financial analysis of project Financial plan 6.

Risk management strategy 7.

Financial institution’s role 8.

Context overview and analysis 9.


Non-financial analysis www.ncpc.co.za Outcomes: Databases • Three distinct databases were developed: – Financial instruments database; – Database of projects implemented using financial instruments; and – Database of bankable projects.
www.ncpc.co.za Outcomes: Workshops • Two workshops were held in: – Pretoria and (63 delegates) –> 23-25 May 2018 – East London (52 delegates)-> 28-30 May 2018 • Delegates from the following sectors were invited: – SMEs, – government institutions, and – financial institutions.
www.ncpc.co.za Outcomes: Workshops – dti incentive schemes • The dti presented on their incentive schemes www.ncpc.co.za Outcomes: Workshops – Bank financing available • Three of the four major banks attended the workshops and provided input as well as information regarding available financing.
www.ncpc.co.za Outcomes: Workshops – Bank financing available continued www.ncpc.co.za Outcomes: Workshops – Bank financing available continued www.ncpc.co.za Outcomes: Workshops – IDC funding model www.ncpc.co.za Outcomes: Databases – Financial Instruments www.ncpc.co.za Outcomes: Databases – Bankable Projects www.ncpc.co.za Outcomes: Databases – Past case studies www.ncpc.co.za Summary • One of the obstacles to implementation of RECP projects is the financing of projects.
• The NCPC-SA’s potential role in supporting SMEs has been identified to include: – Raising awareness on both sides (SMEs as well as Financial institutions) to fill in the information gap; – Support SMEs in their applications for funds; – Advise financial institutions to adapt their financial offers to RECP projects; and – Establish an enabling environment for RECP projects.
• The NCPC-SA plans: – To roll out workshops to major centres in South Africa; – Keep databases updated and have these available on a platform for SMEs; and – Provide assistance to SMEs in the development of business plans.

www.ncpc.co.za NATIONAL CLEANER PRODUCTION CENTRE NATIONAL CLEANER PRODUCTION CENTRE SOUTH AFRICA SOUTH AFRICA THANK YOU ncpc@csir.co.za  www.ncpc.co.za @NCPC_SA www.ncpc.co.za