A long-term loan agreement of EUR 42 million was signed by the European Bank for Reconstruction and Development and glass producer Türkiye Şişe ve Cam Fabrikaları AŞ (Şişecam), with the aim to finance recycling and energy efficiency.
The bank said it will also support the largest resource efficiency program in the Turkish industrial sector to date with a USD 150 million loan (EUR 133.1 million) to oil refiner Türkiye Petrol Rafinerileri AŞ (Tüpraş).
Şişecam is receiving EUR 2 million within the deal under EBRD’s Near-Zero Waste program, which finances waste minimization projects in Turkey with support from the Clean Technology Fund. The firm operates in 13 countries and is one of the largest glass producers in the world, the bank’s project summary document said. Şişecam is active in all key areas of glassmaking – flat glass, glassware, and glass packaging, as well as glass chemicals such as soda ash and chromium products. Türkiye İş Bankası AŞ (İşbank) owns a 74% controlling stake, while the remainder is free floating on the Borsa Istanbul.
Technical cooperation funds to support the operation under the Near Zero Waste Programme have been provided by the European Union’s Instrument for Pre-accession Assistance (IPA) 2013 Energy Allocation for Turkey.
EBRD’s eight-year unsecured loan to Tüpraş with a three-year grace period will finance a comprehensive EUR 205.87 million modernization program at the refineries in Izmir and Kırıkkale through 2018. Majority-owned by Koç Holding, it is the country’s biggest industrial company. It operates refineries in İzmit, Izmir, Kırıkkale and Batman.
The upgrades include a new on-site thermal power plant, a waste heat recovery system, stack gas treatment, a fluid catalytic cracking unit, and hydrocracker unit refurbishments. The improvements will lower the energy intensity of the two refineries, reduce carbon dioxide emissions by 270,000 tonnes per year (625,000 barrels of oil equivalent per year) and decrease water consumption by 120 million cubic meters.