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NEDO helps upgrade Indonesian textile industries

22 Nov '07
2 min read

The New Energy and Industrial Technology Development Organization (NEDO) of Japan has agreed to lend a hand to Indonesia with water and energy conservation in the textile sector.

According to the agreement signed on Wednesday, NEDO is to finance nearly 95 percent of US $6.69 million pilot project for improving greater energy and water efficiency in the textile dyeing and finishing industry.

The remaining 5 percent of the project will be contributed by private firm PT Daliatex Kusuma that hosts the pilot project.

While the NEDO assistance will be required in areas of designing, manufacturing, shipping of project requisites as well as supervision; PT Daliatex will largely be responsible for inland transportation, installation and utility costs.

If the technology is successfully applied to a dyeing and finishing plant with a capacity of 2,000 tons per year, it is expected that the consumption of electricity can be reduced by 40 to 70 percent while that of fuel and water can be lowered by 30 to 60 and 15 to 30 percent respectively.

Moreover, if the technology application outcome stands up to the expectations, the government is likely to encourage other units to adopt the technique by means of incentives like import duty exemptions and tax reductions.

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