·        Energy Conservation and Energy Efficiency (EC&EE) Policy and Institutional Support Development Program

Strengthening capacity of relevant Government Ministries, Departments, and Policies makers in development and enforcement of EC&EE measures; provide supports in development of legal documents which provide guidance and instruction in implementation of and enforcement of energy conservation measures in small and medium scale enterprises (SMEs).

The following specific activities shall be focused on:

Ø      Improved EC&EE awareness and building capacity on EC&EE policy development for policy making agencies and enforcement of issued policies at local and central levels;

Ø      Development of incentive policies for supporting EC&EE investments in SMEs such as: EC&EE tax, credit and labeling incentives;

Ø      Development of and incorporation of EC&EE training activities into SME’s training programs;

Ø      Establishment of EC&EE Network with related agencies for exchange of information, expertise, and for improved service quality and for coordination of EC&EE activities;

Ø      Provide supports in development of standard and certification of quality of EC&EE services;

Ø      Provide supports in modification of environment standards related to Green House Gas emissions (GHG).

·        EC&EE Communication and Awareness raising Program

Establishment of EC&EE database; development of a network for information dissemination and sharing; conduct of EC&EE advocacy and awareness campaigns toward SMEs and the public on the usefulness and benefits of EC&EE.

Specific activities consist of:

Ø      EC&EE Communication and Awareness Strategy developed;

Ø      Network established and capacity strengthened for EC&EE information dissemination;

Ø      Brochures and leaflets published to disseminate information to SMEs and the public;

Ø      Awareness of SMEs and the public in EC&EE is regularly evaluated;

Ø      Data/information fact-sheet on energy consumption/used by SMEs is developed;

Ø      EC&EE awareness raising campaigns are conducted;

Ø      Promoting SMEs to register for involvement in implementation of technology transfer schemes or in application of EC&EE measures.

The Communication and Awareness Strategy has been successfully developed which shall be implemented throughout project life.

·        EC&EE Technical Capacity Development Program

Provision of training for trainers on ECⅇ Conduct training courses for mangers and technical staff of SMEs; development of sustainable EC&EE training program for University and colleges; Conduct of energy auditing at SMEs.

The laid out activities below shall be focused on:

Ø      Training of trainers on EC&EE who will provide training for SMEs;

Ø      Conduct training for SMEs in EC&EE: energy management, energy consumption reporting; EC&EE project design;

Ø      Development of EC&EE training program for Universities and colleges which shall be integrated into their curriculums;

Ø      Conduct energy auditing at some SMEs;

·        Energy Efficiency Services Provision Support Program

Provide training courses for capacity building and provide technical supports for EC&EE service provision agencies; Evaluation of capacity of local equipment producers and organize training courses on EC&EE equipment design; Design a sustainable EC&EE research and development Program.

Specifically, the following activities will be concentrated on:

Ø      Provide training for EC&EE service provision agencies (on management, business, technical and financial experts …);

Ø      Development of a suitable institutional and legal framework for EC&EE service providers that help ensuring this service market as well as the sustainability of service provision;

Ø      Provide assistance for ESSP activities;

Ø      Assessment of local capabilities for energy efficiency equipment provision and building capacity for some producers;

Ø      Evaluation of energy performance of locally industrial equipment;

Ø      Provide supports for development of EC&EE research and development program.

·        EC&EE Financing Program

Increased awareness of banking and finance sectors about benefit of EC&EE projects; Loan guarantee Fund established and SMEs are promoted to access bank loans for commencement of EC&EE projects.

The following specific activities are focused on:

Ø      Increased awareness on benefit of EC&EE projects for financing and banking sectors;

Ø      Facilitating SMEs to access financing sources for EC&EE projects; 

Ø      Establishment of “Loan Guarantee Fund” which provide support to SMEs in accessing bank loans for investment in EC&EE projects;

Ø      Mobilization of financing sources for activities initiated by SMEs in EC&EE field.

Currently, Loan Guarantee Fund has been developed and approved which shall be put into operation in early 2007. This Fund Program will guarantee SMEs without collaterals to access banking loans and other Funds for investment in EC&EE measures in their enterprise’s operation and production.

·        EC&EE Demonstration Program

Energy auditing, techno-economic feasibility analysis of investment projects; implementation of ten demonstration projects; expansion of successful demonstrations to other 500 SMEs.

The following activities shall be focused on:

Ø      Energy auditing and techno-economic analyses conducted at SMEs;

Ø      Identification and selection of 10 enterprises to demonstrate EC&EE technologies measures;

Ø      Demonstrations shall be carried out in the following sectors:brick manufacturing, ceramic and pottery, textile and garments, paper industry and food processing industry

§         Brick manufacturing

§         Paper industry

§         Ceramic and pottery,

§         Food processing industry and;

§         Textile and garments

Ø      One the demonstration successfully completed, results shall be disseminated and expanded to other SMEs in the five above mentioned sectors;

 Criteria for selection of enterprises involved in demonstration projects:

Ø      Registered business enterprises having registered capital maximum up to VND 30 billion or average maximum annual employees of 500 people;

Ø      Operated in the five set forth sectors: brick manufacturing,  ceramic and pottery, paper and paper pulp, textile & garment and food processing;

Ø      Owners of enterprises must express their interests in participation of demonstration projects;

Ø      Show potentials for energy saving and investment projects proposed should present repayment duration less than three years;

Ø      Owners of enterprises shall committee themselves in sharing experiences and demonstration results for other enterprises within the sector.

 Benefits for enterprises involved in demonstration projects

Enterprises shall have the following benefits in conducting the demonstration projects:

Ø      Financially support in technology transfer;

Ø      Partially financed for energy auditing;

Ø      Free training provided for technical staff who involved in implementation of EC&EE measures and in effectively operation of the transferred technology;

Ø      Shall be guaranteed to access bank loans for investment in EC&EE measures if one requested.

Responsibilities of enterprises who involved in demonstration projects

Ø      Provide accurate data on performance and energy consumption to PECSME Project;

Ø      In collaboration with Project officers to prepare investment projects and is responsible for arrangement of investments for implementation of EC&EE measures;

Ø      Implement EC&EE measures proposed;

Ø      Assign staff to work with Project technical officers;

Ø      Join workshops organized for sharing experience of demonstrated projects and share experiences in energy saving for other enterprises in the same sector.