European Bank provides EUR10m loan to meet environmental objectives of Natron Hayat
The European Bank for Reconstruction and Development (EBRD) provided a €10m loan Bosnia and Herzegovina-based pulp and paper producer Natron Hayat to support its environment objectives.
The loan will support the installation of a biomass boiler and steam turbine to generate electricity from bark and sawdust - a by-product of the pulp-making process.
Electricity generated by the biomass plant will be employed for captive consumption, lowering carbon emissions of the facility by 275,000t per annum.
EBRD Manufacturing and Services director Frederic Lucenet remarked that the plant will be the first facility to use combined heat and power plant for electricity in the country.
"The project will benefit the environment by providing a solution to the company's waste disposal issue and by reducing carbon emissions.
"We hope it will have a strong demonstration effect for other private players in the Bosnian economy," opined Lucenet.
Natron Hayat Supervisory Board chairman Yildirim Aktürk added, "The Hayat Group is committed to fully supporting and investing in Natron Hayat, especially if local pulp wood supplies can be brought to their full potential in this way."
Any surplus from the plant will be sold to the national power grid, offering an alternative revenue stream for the facility.