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Small and Medium Business (SME) NAMA

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Mexico

Description

Overview
Sector Energy
Focus area Energy efficiency
Type of action Strategy/Policy
Scope National
Stage Under development
Submitted to UNFCCC registry No
Start of initiative 2012
Financing and support details
Financing status Seeking financing
Total cost EUR 70 mln
Financing requested
(no data)
Financing received to-date
(no data)
Principal source of financing Private
Principal type of financing Grant
Capacity building required Yes
Technology transfer required Yes
Additional information
Proponent(s) Ministry of Energy (SENER) and GIZ
International funder(s) UK and Germany
Organization providing technical support GIZ
Contact GIZ - German International Cooperation

Adrian Ruiz Carvajal
T +52 (55) 3000 1000 x 1312
adrian.ruiz@giz.de

Objective:

The objective of the NAMA is to improve energy efficiency in SMEs as a contribution to a Low Carbon economy.

Activities: (2012
In November 2015, Mexico established ambitious INDCs committing to reduce its GHG emissions by 22% by 2030 relative to business-as-usual (BAU) levels.

Small and Medium Enterprises (SME) are often described as the backbone of the Mexican economy since they represent 98% of all businesses, 75% of employment and produce 50% of its GDP. They are responsible for around 12% of total GHG emissions in Mexico with a total emission reduction potential close to 6.91 MtCO2e/y.

This NAMA already provided publicly funded concessional loans to 17,501 companies for standardized EE measures such as the substitution of obsolete equipment. Nevertheless given the basic technological focus adopted, it produced rather modest impacts with regards to GHG emission reductions.

The United Kingdom and Germany have pre-selected 7 NAMA Support Projects, including this NAMA in Mexico, from the NAMA Facility’s 4th Call. These projects will receive funding by Germany and the UK of up to € 60 million to prepare their preparation development phase. Decisions on funding for implementation will be taken after the assessment of these proposals.

This support aims to offer technical and financial assistance to SME-NAMA, to considerably extend its scope by starting the implementation phase. It will focus on developing a dynamic and robust market for EE in SMEs by optimizing energy systems performance in selected SMEs’ sub-sectors (i.e. hotels, chemical industry, food processing industry, etc.).

Impact and MRV

No Data Available.png
Cumulative GHG reductions: 0.421 MtCO2e
Mitigative capacity:

In addition to energy savings, equipment such as refrigerators and air conditioners are to be properly scrapped and their refrigerant gases (mainly R-22) properly disposed of. These savings are additional and will be quantified, but will be thoroughly addressed in a separate F-Gas NAMA being developed by GIZ."In addition to energy savings, equipment such as refrigerators and air conditioners are to be properly scrapped and their refrigerant gases (mainly R-22) properly disposed of. These savings are additional and will be quantified, but will be thoroughly addressed in a separate F-Gas NAMA being developed by GIZ." cannot be used as a page name in this wiki.

Co-benefits:

Social:
  • Improved incomes/livelihoods
  • Capacity building & training
  • Institutional development
  • Social inclusion, by bringing informal SMEs into the formal economy
Economic:
  • Reduced energy subsidies
  • Liberated grid capacity
  • Increased competitiveness
  • Increased tax base, by formalising SMEs that currently do not pay for electricity
Environmental:
  • Improved local air quality
  • GHG mitigation
  • Increased efficiency in natural resource use

MRV Framework: (2012 - 2015)

An IT platform embodies the MRV system, and tracks all equipment substitutions (commercial refrigerators, air conditioners, lighting, etc.) taking place nationwide. Standard energy/GHG savings calculations are based on equipment catalogues, so that once the obsolete and new units (brand, model, capacity) are entered into the system, it estimates the average savings to be realised from the substitution, taking into account the working hours and climatic region of the SME. This system is currently being calibrated through field measurements in various regions of the country.


References

Financial cooperation will be provided to set up a guarantee fund (7 mEUR) as well as a small-scale grant subsidy scheme (2.5 mEUR) to finance EE measures in SMEs. A leveraging effect of at least 70 mEUR of private capital is expected for clean technology financing.