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What are the advantages of targeting the "the Belt and Road" environmental protection enterprises to go global?
Date: 2016-06-16Read: 0

With the continuous introduction of a series of policies related to the environmental protection industry, it has expanded the broad market prospects for China's environmental protection industry, and also provided opportunities for the development of environmental protection enterprises and some enterprises that have entered the environmental protection industry from other industries. In terms of regional development, some environmental protection enterprises have targeted the foreign markets involved in the "the Belt and Road" strategy. Whether it is large enterprises or small and medium-sized enterprises, how to innovate in technology and business models has become a focus of attention for industry insiders at the summit.

Innovative development will become a strong driving force for environmental protection, mainly reflected in the innovation of environmental protection systems, such as third-party governance, PPP models, government procurement of environmental services, socialization of environmental monitoring, whoever pollutes pays, regional control, etc. ”Xu Shufan, Deputy Inspector of the Science and Technology Standards Department of the Ministry of Environmental Protection, recently said at the 2015 China Environmental Protection Listed Companies Summit held in Zhaoqing City, Guangdong Province.

At this summit, the reporter learned that with the continuous introduction of a series of policies related to the environmental protection industry, it has expanded the broad market prospects for China's environmental protection industry, and also provided opportunities for the development of environmental protection enterprises and some enterprises that have entered the environmental protection industry from other industries.

In terms of regional development, some environmental protection enterprises have targeted the foreign markets involved in the "the Belt and Road" strategy. Whether it is large enterprises or small and medium-sized enterprises, how to innovate in technology and business models has become a focus of attention for industry insiders at the summit.
"The Belt and Road" attracts the attention of enterprises

Chinese enterprises have cost advantages in environmental engineering construction and other fields, and it is not difficult for the environmental protection industry to "go global".

At the summit, Qidi Holdings became a highlight among enterprises. This is not only due to its non environmental enterprise background, but also due to a series of mergers and acquisitions of environmental protection enterprises. The most significant reason is undoubtedly its 7 billion yuan controlling stake in Sande Environment with three other Tsinghua affiliated enterprises this year, and its massive entry into the environmental protection industry.

Qidi Holdings has signed contracts with the Zhaoqing Municipal Government for projects such as Qidi (Zhaoqing) Environmental Protection Industry Fund and Qidi Science and Technology City (Zhaoqing). Wang Jiwu, President of Qidi Holdings Co., Ltd., stated that Qidi Holdings will make investments and significant transformations in the field of environmental protection.

Not only cross-border enterprises value the potential market brought by the "the Belt and Road". As an environmental protection comprehensive service enterprise that started with water affairs, such as * Co., Ltd., it has also laid out this market and made attempts. This year, * Corporation acquired the equity of Singapore ECO Industrial Environmental Protection Engineering Private Limited for 1.1 billion yuan. Regarding this, Liu Yongzheng, the CEO of * Corporation, stated that * Corporation hopes to expand into the Southeast Asian market through this significant strategic acquisition.

Corresponding to these fields is the market demand for solid waste and hazardous waste treatment in some Southeast Asian countries. The reporter learned that in some Southeast Asian countries, it is difficult to dispose of hazardous waste, and there are even situations such as open-air stacking. Some countries are eager to seek technologies and projects that have relatively low processing costs and can be effectively handled. The huge market demand is not limited to the solid waste field, and similar demands also exist in countries such as sewage treatment and artificial wetlands. Industry insiders told reporters that some Chinese companies can already provide artificial wetlands and artificial rapid infiltration technologies with core competitiveness and cost advantages.

In addition, some experts have stated that Chinese companies have cost advantages in environmental engineering construction and other fields, especially in the areas of atmospheric treatment equipment for desulfurization, denitrification, and dust removal, sewage pipelines, and remote monitoring and unmanned gas stations with enhanced gas. These technologies have reached a high level, and the cost is lower than some developed countries. Therefore, with such advantages, it is not difficult for the environmental protection industry to "go global".

Innovate to build the core competitiveness of enterprises

Enterprises are making use of Internet plus, represented by big data and cloud computing, to carry out model innovation. Facing the transformation of full chain data, they need to realize intelligent manufacturing, management and service.

The reporter learned that the output value of energy conservation and environmental protection in China has reached 4.5 trillion yuan, and the added value accounts for about 2% of GDP. Under the pressure of economic downturn, stabilizing growth, adjusting structure, transforming and upgrading, and reducing costs and increasing efficiency are the main tasks of all enterprises, including environmental protection enterprises. Zhao Penggao, Deputy Inspector of the Environmental Resources Department of the National Development and Reform Commission, stated that stable growth is not only about quantity, but also about quality. The development and growth of green industries require the construction of an industrial structure with high technological content, resource consumption, and low environmental pollution, and the cultivation of new economic growth points

At the same time, the Ministry of Environmental Protection is accelerating the formulation of the "13th Five Year Plan" for environmental protection, with the strategic goal of improving environmental quality. According to Wen Yibo, Chairman of Qidi Sound, it is estimated that the investment demand for the environmental protection industry will reach 10 trillion yuan during the 13th Five Year Plan period. The market is huge, but in addition to policy guidance and financial innovation, the innovation of enterprises from technology to business models is the key to building core competitiveness in industrial development.

Regarding this, Wang Jiwu stated that the environmental protection industry is still in its infancy and can be developed through technological innovation incubation. Qidi Holdings will establish an environmental protection industry alliance and build a platform. We hope to drive the entrepreneurship of environmental protection enterprises, especially to assist small and medium-sized enterprises in technology incubation. Qidi Holdings will jointly establish a 2 billion yuan environmental protection industry fund with the Guangdong Provincial Government and the Zhaoqing Municipal Government for the incubation of environmental protection enterprises. At the same time, Qidi Holdings can also rely on the advantages of science and technology parks to help enterprises with technological innovation go global

At the summit, Internet plus has become a hot topic in the industry, and some enterprises are also seeking to use Internet plus represented by big data and cloud computing to achieve business model innovation. Wen Yibo stated that enterprises are facing a transformation towards full chain digitization and need to achieve intelligent manufacturing, management, and service. Tus Sound is digitizing, online and intelligentizing all links of environmental sanitation through the Internet, and then placing the data on the cloud platform to realize automatic management through online. We use environmental sanitation as an entry point to develop related businesses, form an environmental sanitation industry cluster, and expand the logistics, renewable resources and other industrial chains