We highlight the investment of the company Master Paints & Chemical Corp. of Puerto Rico in a power generation system through photovoltaic panels for its paint plant and its administrative headquarters.
by Duván Chaverra Agudelo
The paints and coatings industry is beginning to demonstrate that it is no stranger to the slow but constant evolution of companies in Latin America that seek to invest in technologies that not only generate operational benefits but also contribute to the care of the environment.
This is the case of a company located in Puerto Rico, manufacturer of paints and ceiling sealants, which made a significant investment in a photovoltaic panel system that allows it to generate its own energy for the operation of the plant and all facilities; in addition to contributing to the reduction of the carbon footprint.
INPRA LATINA interviewed Mr. Ricardo Cardona, president of Master Group, the company that generated this initiative classified as a pioneer in the sector, to learn the details of the installation and the benefits that the company has achieved so far with this investment.
INPRA: How did the idea of changing the way energy production to solar energy came about? How long did it take to execute the project?
Ricardo Cardona: The idea arose looking for a way to reduce our carbon footprint in the environment and save electricity costs. Add to that our interest in producing sustainably, eliminating dependence on fossil fuels was a logical step. The project took less than a year to be executed, from the planning part to the installation and construction part. It was installed on the roof of our new warehouse that was under construction for the same time.
INPRA: How much investment was made to install this new system?
RC: The system was installed at a cost of $828,000.
INPRA: What are the results achieved to date in terms of energy savings and other costs in general?
RC: This system became operational last June of this year. We expect the total dollar savings per year to be approximately US$100,000.
INPRA: What were the biggest obstacles presented during the change process and now in the operation of the company?
RC: It was a smoother transition than we expected, because we had the construction of a new warehouse in process. The change posed no additional hurdles outside of what we already had, which included having to close our loading and unloading gates for several months and having to unload and load through a temporary area on the side of the building. Of course, we were also several months without parking. Once the system starts operating, it does not require major changes or much maintenance.
INPRA: In terms of paint production and administrative, what are the differences from working with conventional energy to moving to solar energy?
RC: As for the use of clean energy in the production phase at the operational level there is no difference, because the "kilowatts" generated are interchangeably used to produce. However, the change has a positive impact on corporate philosophy and the way we communicate and educate the consumer to protect the environment. Administratively there is a saving of money that can be reinvested in other operational areas.
INPRA: What are the technical characteristics of the installation?
RC: They were a total of 772 photovoltaic panels of 185 kilowatts each generating approximately 286,000 kilowatts per year.
INPRA: What is the budgeted time to get the return on investment in this project?
RC: We estimate that the return on investment will be achieved within two to two and a half years.
INPRA: What have been the reactions of your colleagues or competitors in the industry with the execution of this project?
RC: We are the first roof paint and sealant plant in the world operating 100% solar energy. This has allowed us to solidify business relationships with customers and suppliers that support sustainability, and also gives us an unparalleled competitive advantage in the market.
Buying Master paints and/or sealants now means that we are also helping to generate cheaper energy for Puerto Rico, as the surplus generated by our plant is sold to the Electric Power Authority and part of that surplus goes to an economic fund to improve the public education system on the island.
INPRA: What are the reasons why you believe that these kinds of projects are not yet widespread in our region?
RC: It is not an economic system, as it requires a rather expensive initial investment. To date, we have also seen no way to finance the project other than through third parties that build and resell solar as an alternative to what we did (called the "Power Purchase Agreement").
INPRA: What advantages and disadvantages have you observed when comparing the before and after of working with solar energy in your company?
RC: Apart from the obvious savings in energy costs, it gives us a huge surplus value in the market and allows us to position ourselves above the competition in that regard. As a disadvantage, primarily it would be the wait of two to two and a half years to recover the investment. In the event that the capacity of the plant expands, we would have to consider expanding the number of solar panels as well, which would entail an additional investment.
INPRA: After the start-up of this solar project, what's next for Master Paints & Chemical?
RC: We are in a period of great changes, innovations and improvements in Master Paints, always looking for ways to produce the best quality and durability paints and sealants in the market. We are looking to innovate and we have achieved this by launching the first zero VOC and 2-in-1 paint on the market (Eco Pure) that achieved the international accreditation of Green Seal. We have also achieved eight awards of excellence in quality and our exclusive Bio-Pruf technology was endorsed by the University of Puerto Rico (Medical Sciences Campus), as effective against the most common fungi on the island in the paint layer.
INPRA: What is the current state of the paint and coating industry in Puerto Rico?
RC: Puerto Rico is a market that despite the economic recession of the last 6-8 years, the paint segment is large, remains relatively stable and has begun to grow during the last year. This has caused competition to become more aggressive and more reactive towards our initiatives. We have been breaking our previous sales records for more than a year. We are perhaps the youngest brand in the market, but at the same time, the most innovative and aggressive in terms of technology, sales and marketing.
