Phnom Penh, 19 December 2023 – In collaboration with the Ministry of Information, Science, Technology and Innovation (MISTI) and the Ministry of Environment (MoE), the United Nations Industrial Development Organization (UNIDO) has successfully implemented an environmental project called Low-carbon Development for Productivity and Climate Change Mitigation through the Transfer of Environmentally Sound Technology Methodology (TEST), aiming to address pollution issues and promote sustainable Industry in the country.

The TEST project had the objective of addressing pollution problems that arise from the industry sectors, namely air, water, solid or liquid materials, and toxic chemical wastes. The project was supported financially by the Global Environment Facility (GEF) and technically by the UNIDO Headquarters (HQ). It made use of various integrated tools such as Resource Efficiency and Cleaner Production (RECP), Environmental Management System (EMS), and Environmental Management Accounting (EMA) to reduce greenhouse gas emissions while reducing production costs, increasing productivity, and creating a healthier and safer workplace. Additionally, it aimed to encourage the adoption of supportive policies or regulations.

The project supported 55 beneficiary factories and small and medium-sized enterprises (SMEs) and provided them with a green Industrial framework that made sustainable practices accessible and scalable. "By doing so, the project contributed to improving the manufacturing conditions at these factories and SMEs and supported their transition towards green Industry. As a result, the 55 factories and SMEs were able to save resources and increase productivity by 10-20%, leading to an annual saving of around US$10 million per year. Additionally, it facilitated reaching US$10 million in investments.  Also, the success of the TEST project is the concrete example of the greening industry for other developing countries,” said Dr. Rana Pratap SINGH, UNIDO TEST Project Manager.

“The project also benefited approximately 130,000 workers, with over 80% of them being women, of the beneficiary factories and SMEs by assisting these factories in meeting sustainability and compliance standards. It built the capacity of factory key staff, improved the health and safety of workers, reduced negative impacts on the surrounding community, and fostered a shift in mindset towards green activities and practices. Aside from the economic and social benefits of the green industry resulting from the TEST project intervention, the environmental impact was also noteworthy. The project can potentially contribute directly to the CO2 reduction with an average of 40,000 tons per year during the period of 2018-2028 while also contributing to a sustainable reduction in the discharge of wastewater, solid waste, and GHG emissions," said Mr. Narin SOK, UNIDO Cambodia Country Representative.

“The project also supported the National Determined Contribution (NDC) especially the Industrial Processes and Product Uses (IPPU) with its carbon avoidances. Also, it helped to increase the awareness of Resource Efficiency and Cleaner Production (RECP) as a part and TEST Methodology as a whole. Further, the MoE will commit further to the Long-Term Strategy for Carbon Neutrality (LTS4CN) 2050, and updated NDC42,” said H.E. Dr. HENG Chanthoeun, Deputy Director General of Directorate General of Policy and Strategy, MoE. 

“With the success of this TEST Project, he would like to thank all stakeholders for your strong collaborations especially to MoE as a co-implemented partner, UNIDO for the technical assistance, GEF for the project funding, and the factories and SMEs for commitments in implementation. Also, the TEST project helped the factories and SMEs strengthen Resource Efficiency and Cleaner Production (RECP), Environmental Management System (EMS) and Environmental Management Accounting (EMA), Increasing Productivity, Reducing the production cost, and increasing competitiveness of manufacturing sectors for local, regional and international markets,” said H.E. HEM Vanndy, Minister ofMISTI. "We could scale up and encourage more initiatives and commitment as outlined in the 100 Days campaign toward a green and sustainable industry sector in Cambodia and he urges all developers, public and private sectors, and institutions under the MISTI to commit and continue to support the above initiatives, especially among 60,000 SMEs, and 2,000 Factories. Also, to support further with an advanced level of TEST for bigger impact in the greening industry such as Eco-Industrial Park (EIP) initiatives which target to strengthen Special Economic Zones (SEZs) or Industrial Parks (IP) in Cambodia," added the Minister, following the TEST project's successful outcome.

The TEST project is a significant step towards promoting industry practices and mitigating climate change in Cambodia, marking a positive development in the country's industrial landscape.


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