1. Beautiful Beijing-Business OpportunitiesEero Siitonen, Cleantech Finland for ChinaHelsinki, June 19, 2013
2. Content– What is Cleantech Finland for China-project ?– Key Figures of Emission Sources in China– Key Figures of Emission Sources in Beijing– CFC`s Role in Beautiful Beijing –Project– Business Opportunities– How the Companies Can Participate20.6.2013 Beautiful Beijing- Business Opportunities2
3. Cleantech Finland for China (CFC)– China will become the major market area for cleantechbusiness within the next 10 years– Thus it is utmost important for Finland to develop a closeand active business and innovation partnership with Chinain the fields of environment protection, energy efficiency,clean process and renewable energy– Cleantech Finland and Finpro launched its CleantechFinland for China project on March 1, 2013 to strengthenand promote business and cooperation between Finlandand China in the cleantech sector20.6.2013 Beautiful Beijing- Business Opportunities3
4. Cleantech Finland for China (CFC)– Cleantech Finland for China project operates as a part ofthe Cleantech Finland Program, which brings together thebest cleantech expertise and supports Finnish cleantechbusiness internationally– The CFC project is founded partially by Ministry ofEmployment and the Economy and partially by companies,and the first phase will continue until May 31, 2014– Beautiful Beijing-program is the main platform to CFC20.6.2013 Beautiful Beijing- Business Opportunities4
5. Main Causes of Air Pollution in ChinaThree main causes to increasing air pollution problems inChina:– Continued economical growth (GDP) based on domesticinvestments causing increasing energy demand– Most of energy use is based on coal (around 70 % incountry level)– Urbanization and urban population growth20.6.2013 Beautiful Beijing- Business Opportunities5
6. Key Figures of Emissions Producers in China20.6.2013 Beautiful Beijing- Business Opportunities6
7. Some Key Figures of Emissions Producersin China20.6.2013 Beautiful Beijing- Business Opportunities7
8. Energy Supply and DemandZones in China20.6.2013 Beautiful Beijing- Business Opportunities8Beijing
9. Some Key Figures of Emissions Producersin Beijing– There are about 5,2 milj. cars and annual registerations stillgrowing with 20 %– Buildings under construction around 180m m2, completed40m m2, of which housing 21m m2 (2011)– Total energy consumption around 490 TWh/a , around 1,7*whole Finland (2011)– Heating energy by district heating (DH) 99 TWh/a (inHelsinki around 35 TWh/a)’– Lenght of DH network 12 000 km– Coal consumption is around 23 m tons /a20.6.2013 Beautiful Beijing- Business Opportunities9
10. Major Sources and Air Pollutants inBeijing20.6.2013 Beautiful Beijing- Business Opportunities10Major Sources ofPollutants• Motor vehicles• Industrial facilities• Burning coal for heatingand electricitygeneration• Chemical solvents• Construction dust• Air pollution caused byemissions (1/3-2/3) inthe surroundingprovincesMajor Pollutants• The primary air pollutants• CO• CO₂• SO• NOₓ• PM₂.₅• VOC• Secondary air pollutants• NO₂, O₃
11. The Project Has Five Sectors20.6.2013 Beautiful Beijing- Business Opportunities11EnergyProduction &DistributionBuildings &ConstructionTraffic &TransportationIndustry Air QualityMonitor &AnalysisThe production anddistribution of heat,gas, electricity andother types ofenergy which areused for industry,agriculture, living,transportation, etc.The energy andemission for buildingconstruction andconsumption whichare including buildingmaterial production,building materialtransportation,heating & coolingsystem in buildings,supply air and indoorair filtration andpurification recyclingwaste materialefficiency.The energyconsumption andemission by trafficand transportindustry includingfuel standard,emission standardetc.Energy andemission byindustrialenterprises in/surround Beijing.Water, waste andenergy efficiency.And materialefficiency recycling.Air qualitymonitoring &measuringstandard, system,and equipments,data analyzingsystem andcontrolling system,etc.
12. Project Structure and CFC‘s Role20.6.2013 Beautiful Beijing- Business Opportunities12EnergyProduction &DistributionBuildings &ConstructionTraffic &TransportationIndustry Air QualityMonitor &AnalysisExisting technologies, solution and innovations “CFC`s main object”Solutions and technologies that need further developmentScientific research areaRegulation and policiesCategory ICategory IICategory IIICategory IVFinal report of the study, Common workshop, Delegation visitActionPlan IActionPlan IIActionPlan IIIActionPlan IV
13. Business Opportunities20.6.2013 Beautiful Beijing- Business Opportunities13Existing technologies, solution and innovationsCategory IICategory IIICategory IVChinaDemands• Willing• Needs• Capabilities(finance,opportunities etc.)• PartnersDecision Makers& Decision MakingProcessFinlandOfferings• Technologies• Services• Solutions• Policy andRegulations• Research• Regulation & StandardsBUSINESS & PROJECTOPPORTUNITIES• Matchmakings• Pilot Projects• Demonstration Projects
14. Main Actions and Schedule for CFC Companies 1/220.6.201314Activities (2013-2014) 2013JUN JUL AUGSEP OCT NOVDEC2014JAN FEB MAR APR MAY1. WS and Seminar inFinland, 19.06.20132.Beijing’s current airquality situation and shortterm/middle term targets.3.basic data collectionfrom Chinese Part4.Company confirmation,phase 1 ,by 13.09.20135.Participating in analysisand reporting done byexperts, action plandevelopment, Category 16.Separate company /sector specific studiesfinanced by CFC,development of concreteprojects / demosXXXAction plan of Category 1= Tekes -project = activities of CFC and Companiesstudies financed by CFC
15. Main Actions and Schedule for CFC Companies 2/220.6.2013 Beautiful Beijing- Business Opportunities15Phase 1 Autumn 2013Together with the leading Chinese experts and decisionmakers participate in preparation of the action plan for Beijingcity.– At the same time influence in specifications of technical solutions andproducts.Phase 2 January 2014 – May 2014Based on action plan:– Opportunities to implement demo and pilot projects in short term.These can lead to big projects in Beijing and even bigger in whole China.– Separate group projects will be implemented matching the need andcompany spesific offering.
16. Main Reports– Report on improving Beijing air quality (August2013):– Beijing’s current air quality situation and short term/middle termtargets.– Data report on each focus sectors (September2013):– Energy production & distribution, building & construction, traffic &transportat, industry and air quality monitorin & analysis– Sectors specific action plan reports from Category1(December 2013):– Energy production & distribution, building & construction, traffic &transportat, industry and air quality monitorin & analysis20.6.2013 Beautiful Beijing- Business Opportunities16
17. Window is Open –Next Two Years Are Crucial !– During 12th Five Year Program (FYP) period Beijing will implement manyprojects– Especially during 2013-2015 the city will achieve the emission reductiontargets– 13th Five Year Plan’s planning will start– “Success stories” from using new technologies and solutions will beutilized in plan when setting guidelines and targets– New leadership in Central Government and also in Beijing City have justcome to power– They need quick & concrete actions + success cases– There is increasing public anger about pollution in Beijing and also in Chinaas a whole20.6.2013 Beautiful Beijing- Business Opportunities17
18. Concrete Actions (1/2)Ming Dengli, Director , Beijing Minicipal Environmental ProtectionBureau:– Central Government will invest in air quality improvement about 1trillion RMB (125 billion EUR) until 2020– Beijing will be one of the main focus areas of investments at the firstphase– During the next two years concrete actions are needed:– Pilot and demo projects– Successful implementation of projects to prove technology & solutionssuitable for national use20.6.2013 Beautiful Beijing- Business Opportunities18
19. Concrete Actions (2/2)– Beijing has the numerical target to reduce emissions by 2 % (SO2, Nox,COD, NH3-N and will use 760 million euro for energy efficiency andenvironmental protection just in 2013– For example coal boilers of 44 000 old residences and all coal boilers incentral area residence will be replaced– Beijing has decided to cut coal consumption from 23.3 million tons in2012 to 15 million tons (- 35 %) in 201520.6.2013 Beautiful Beijing- Business Opportunities19
20. Benefits to Companies (1/2)– Beijing is megalopolis with over 20 million habitants– Government is in a hurry, projects are big, innovative technologyand solutions are needed, opportunities is now!– With a small input utilize 1 million euro project– Get an overview of real business opportunities– Find project opportunities for your products and services– Know who are and network with decision makers in China20.6.2013 Beautiful Beijing- Business Opportunities20
21. Benefits to Companies (2/2)– Have the opportunity to implement demo and pilot projectsin short term– These can lead to big projects in Beijing and even bigger in wholeChina– Explore financing opportunities from Finland and China– Participate in preparation of the action plan for Beijing city– Influence specifications of technical solutions and productstogether with the leading Chinese experts and decisionmakers20.6.2013 Beautiful Beijing- Business Opportunities21
22. Supersized Cities China`s 13Megalopolises20.6.2013 Beautiful Beijing- Business Opportunities22Beautiful Beijingproject isgateway toopportunitiesalso in othermegalopolises ofChina in additionto opportunitiesin Greater Beijingregion!
23. Example of Potential Business Sectors forFinnish Companies– Energy efficiency improvement– Buildings, industry, energy production and distribution, traffic, etc.– Energy production and distribution– District heating and cooling, renewable energy, CHP, etc.– Indoor air quality– Air condition, ventilation, supply air purification technologies, etc.– Air quality monitoring & analyzing– Waste management– Water and waste water treatment technologies, waste to energy,etc.20.6.2013 Beautiful Beijing- Business Opportunities23
24. Summary– Beijing is a megalopolis with massive opportunities– Air pollution is not only a Beijing’s local problem– Great opportunities to expand business to other cities– China will be in few years the biggest cleantech market- now is theperfect timing to Companies to grasp it!– Possibility of rapid establishment in Chinese market through BeautifulBeijing-project– With a small input the opportunity to reach big output– Cleantech technology and solutions for whole China are tested andchosen now in Beijing– It is not only the best time but last moment to get in!20.6.2013 Beautiful Beijing- Business Opportunities24