Many small and medium-sized enterprises (SMEs) in Vietnam work with outdated and inefficient technology. As energy and water prices escalate, this inefficiency renders a high cost to business, as well as to the environment. Cost-saving technologies that enhance the energy and water efficiency of SMEs exist, but technology suppliers lack knowledge of market opportunities in the SME sector, and staffs are not trained for SME sales. Furthermore, they lack capacity to transform technical solutions into business-smart, costsaving products for SMEs. At the same time, SMEs often are not aware of the benefits of investing in cleaner technology and they lack the capital, or access to finance, to invest in cleaner technology.
The project Mainstreaming Energy Efficiency Through Business Innovation Support (MEET-BIS) promoted sustainable production of urban-based SMEs in Vietnam by ensuring their access to affordable water and energy efficiency technologies.
The specific objectives included:
- To develop eight SME business innovation packages for energy and water efficiency;
- To partner with technology suppliers based in Hanoi to target the SME sector, and building their capacity to address the local market;
- To support financial institutions in developing financial products for SMES;
- To communicate the commercial viability of the technologies to SME managers.
The Way Forward
- Formal cooperation is established with 11 local technology suppliers. By July 2013, 9 of those suppliers successfully generated sales;
- Some 70 Technology suppliers participated in events or activities of MEET-BIS. A database of approximately 278 local suppliers of energy and water saving products has been created;
- Market research is done on the SME challenges and bottlenecks;
- Research is performed on access to finance for SMEs and potential solutions;
- A toolkit of sales & marketing practices and support packages with tested Vietnamese illustrations is made;
- Energy and water saving technologies have been promoted among 3,852 SMEs. 1364 SMEs showed their interest in EE/WS products & services. 423 SMEs of these SMEs have invested in the technologies;
- Total value of energy and water saving products sold since 2011 is EUR 2.43 million (VND 65.66 billion);
- The reduction of CO2 emission is an estimate of 9,842,559 kg - CO2e between the first sales in January 2011 and end of June 2013;
- The present investments in energy and water saving products & services will contribute to mitigating climate change with an estimated annual emission reduction of 9,788,636 kgCO2e.