Greener Manufacturing in Turkey

Project Summary:

The objective of this grant is to bring a broader cross-sector level consensus around greener manufacturing in Turkey. The World Bank, jointly with the Turkish Ministry of Science, Industry and Technology (MoSIT), is undertaking a project to improve the government’s response to greener manufacturing through improved energy management, renewable energy interventions and resource conservation throughout the industrial sectors. This ongoing technical advisory project will develop a comprehensive roadmap to scale up greener manufacturing in Organized Industrial Zones (OIZs) of Turkey. As part of this effort, the project is working with the Korea Energy Agency on promoting energy management and clean energy throughout the industrial sector. This KGGTF funded program will support that initiative by way of a technical and financial diagnostic study to identify the most opportune actions to be taken to scale up sector level energy efficiency, resource efficiency, captive power opportunities and to formulize them for adopting an energy management system in a structured fashion. Based on the technical opportunities, the program will evaluate the regulatory framework to maximize the support for energy management system (EMS) development and growth and suggest actions required for the uptake of greener manufacturing. This analysis will then be consolidated together with the outcomes of the financial and regulatory diagnostics to establish a roadmap for greener manufacturing development in Turkey. The end results of this program are to reduce greenhouse gas (GHG) emissions, save energy from manufacturing operations, make inroads to firm and sector level EMS certification and contribute to Turkey’s commitments to climate action.  

List of Activities:

1. Multi-faceted diagnostic to determine priority sectors
2. Comprehensive gap analysis
3. Sector level greener manufacturing roadmaps
4. Promoting sector level greener manufacturing across Turkey 

Outcomes:

Output 1:

• Selection criteria to be used during prioritizing sectors
• Initial draft report on evaluation of technical greener manufacturing opportunities in selected sectors
• Final report on technical and financial opportunities and regulatory indications, and identification of priority sectors 

Output 2:

• Gaps analysis (technical, regulatory, institutional, and financial) for priority sectors identify key greener manufacturing opportunities

Output 3:

• Roadmaps with key milestones to guide MoSIT’s Productivity Unit

Output 4:

• Promotional strategy that will allow the MoSIT’s Productivity Unit to effectively implement the recommendations

Outcomes:

• Improved efficiency: Since the Energy Efficiency Law No. 5627 of May 2007, Turkey has been actively trying to develop strategies and action plans to reduce the country’s energy intensity by improving energy efficiency, including in industry sectors.  
  Efficient use of energy with improved focus to energy efficiency, renewable energy as captive power and resource efficiency will enhance environmental quality and reduce GHG emissions. Efficient management of resources and energy will boost productivity within selected sectors. From improved policies and raised awareness on the opportunities to implement ISO 50001 and other EMS systems across sectors, the project will achieve below given figures: - Energy use expected to be avoided 36,000 MWh/year by 2020; and - GHG emissions expected to be avoided 21,780 tCO2/year by 2020. 
• Greater resilience: In Turkey, industries are exposed to various resource risks (e.g. unplanned power outages, fluctuating resource costs and water scarcity). Projected impacts of climate change will be elevating these risks by creating further stress on the availability of resources (e.g. droughts) and by altering the normal operating conditions (e.g. increase in mean temperatures). Cases already exist in which competition over resources with other uses (e.g. cities, agriculture) during periods of scarcity puts industries at a disadvantage, occasionally leading to temporary closures. Therefore, industries need to find ways to mitigate climate change related risks which may jeopardize their present day and future operations. The proposed project will enable industries to reduce their operating resource demands and costs, and to adapt greener practices, hence scaling up resilience of industries in Turkey.  
• Increased competitiveness: The project will add value on adaptation of institutional strategies / action plans to promote greener manufacturing at both institutional and sector level so as to increase competitiveness of the selected sectors. At a broader perspective, replication of the sector level greener manufacturing model will increase mitigation projects and cost competitiveness of the sectors’ pertaining goods in global market place.  

Collaboration with K-Partners and Others:

• Korea Energy Agency (KEA)
• Turkey Cement Manufacturers Association
• Turkish Steel Producers Association
• Turkish Ministry of Science, Industry and Technology, Productivity DG
• Izmir Ataturk Organized Industrial Zones