Call for Application to Participate in the CAPRED’s ESCO Pilot Demonstration Program
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Description & Project Overview
About CAPRED The CAPRED Facility is Australia's flagship bilateral economic development program in Cambodia, focusing on economic recovery and resilience over the next five years, with a possible three-year extension. The Facility supports Cambodia in implementing a range of important economic reforms to support the country's economic transition. These interventions and reforms aim to encourage more productive and inclusive public and private investment, promoting a resilient, inclusive, and sustainable economy (RISE). CAPRED interventions fall under three technical components, including Agriculture and Agro-processing; Trade, Investment and Enterprise Development and Infrastructure Development; and three Cross-Cutting components: Gender Equality, Disability and Social Inclusion (GEDSI); Climate Resilient initiatives, and policy support. About the ESCO Pilot Demonstration In 2023, the Cambodian government released the National Energy Efficiency Policy (NEEP). One of the key strategies within NEEP is fostering the development of the Energy Service Company (ESCO) market. ESCOs offer a unique and attractive business model in which they guarantee a specific level of energy savings over a contracted period. While ESCOs are a well-established concept globally, Cambodia currently lacks a developed ESCO market. Recognising the potential of ESCOs to contribute to Cambodia's energy efficiency goals, CAPRED aims to pilot potential investment models between ESCOs and businesses. In late March 2024, CAPRED launched a Call for Applications (CFA) or Express of Interest (EOI) from interested businesses or project owners in the rice milling, food processing, and animal farming sectors. Building on the positive response to the initial call, CAPRED is extending the deadline for receiving the applications until 31 December 2026 . This is to expand the demonstration of ESCO business model in other high-energy-consuming industries, particularly ice-making factories and hotels .