preeti malhotra - technology transfer in emerging
TRANSCRIPT
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
1/23
Technology Transfer in EmergingEconomies: Role of Business
Preeti Malhotra,Power & Environmental Policies, Alstom
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
2/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 2
Agenda
About Alstom
Conditions for business investment & collaboration
Tech transfer: enabling policies & funding
Tech transfer: UN mechanism
Role of business: working models of Tech transfer
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
3/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 3
Alstom Group
in high
& very highspeed
in
urban transport(metros & trams)
N1
integratedpower plants
air qualitycontrol
systems
hydro power* services forelectricity
utilities
* through Alstom Hydro, a 50/50 joint venture between Alstom and Bouygues set up in 2006
N1 N2
worldwide
worldwide
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
4/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 4
Efficiency: Plantoptimisation &
retrofit
First CO2 capturedemo plant in theworld
Alstom is the world leader in clean integrated solutions
Alstom CO2 strategy
Wind, solar and
geothermal
N1 nuclear(conventional
islands)& biomass
N1 hydro
Emissions CO2(Gt/y)
2005 Ref 20301000 ppm
+6oC
Stabilizeemissions550 ppm
+30C
Neededpath
450ppm+20C max
TechnologyMix
Efficiency
CCS
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
5/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 5
Scale of funds
IEA (Blue Map scenario 2010) estimates additionalglobal investment of $46 trillion will be needed by 2050in order to keep within 450 ppm scenario.
Indias Solar mission of 20 GW by 2020 at estimated
cost of ~950 million USD.
Massive levels of funding will be needed
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
6/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 6
Role of Business: Conditions for investment
Understanding of what technologies might be needed inindividual country/regional circumstances
Absorptive capacity in the country/region
Existence of free markets (e.g. no imposition of perverse
subsidies or trade tariffs)
Protection for intellectual property
Carbon markets help to meet some of these conditions
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
7/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 7
Drivers for collaboration (e.g. R&D)
For Alstom: To perform world-class R&D To drive innovation
To identify and secure the recruitment pipeline
For universities:
perform real, industrially relevant research Easier access to government funding Route to secure employment for their graduates Income
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
8/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 8
Policies: National
Capacity building & skills development
Carbon markets-Cap and trade
Targets and product standards
Infrastructure development
Regulations requiring use of BAT
Feed-in tariffs
Portfolio standards
IPR protection
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
9/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 9
Policies: National
Govt. funding demonstration projects
Public-private partnerships to share RD&D risk e.g. CoEs
Govt. sponsored RD&D
Tax credits to invest in RD&D
Needs assessment e.g. The Expert Group on Low Carbonstrategies for Inclusive Growth (Interim report, May 2011)
Govt of India to fund the countrys first 700 degree C800 MW steam plant
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
10/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 10
Carbon market-a policy option for enablingTech transfer & investments
Help create demand
Provide long term price signal
Facilitate the appropriate regulatory environment e.g.Amendments to Indias Energy Conservation Act, 2001 toaccommodate ESCerts
Give boost to innovative financial instruments (e.g. Venture
capital, Partial risk guarantee)-e.g. Indias ESCerts
Facilitate Public-Private Partnerships
Need to expand global carbon markets by linking regional cap& trade systems
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
11/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 11
Putting a price on carbon
Options: taxes or emission trading
Carbon taxes likely to operate nationally
Emission trading systems can be applied nationally &
globally
Strict GHG reduction targets required
Trading periods should be long enough
A strong, stable and predictable carbon price is the best way of attracting lowcarbon investment
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
12/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 12
Pricing carbon-Indias recent marketinitiatives
Levy on coal ESCerts under NMEE RECs
All developments post March 2010
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
13/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 13
Indias Carbon tax
levy on domestic and imported coal$1 per tonne
NCEF (National Clean Energy Fund)Announced in Annual budget 2010-11In operation since July 2010To support innovation in low carbon technologiesGuidelines announced in April 11
Generated ~500 million USD in Year 1
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
14/23
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
15/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 15
NMEE
Framework for Energy-Efficient Economic Development (FEED)Providing comfort to lenders by provision of Risk Guarantee for performance contract-Partial Risk Guarantee
Fund (PRGF) Venture Capital Fund for EE Initial seed capital from Government
Performance, Achieve & Trade (PAT)Create market for EE through
Specific energy consumption (SEC) reduction targets for
industrial units (fixed % reduction of current SEC within sect oral
bandwidth) ESCerts can be traded and used for compliance purposes
1 ESCert = 1 Metric tonne of oil equivalent (MTOE)
Total saving objective = 10mMTOE
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
16/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 16
Sources of funding
Direct fiscal transfers from governments and throughmultilateral financing routes
Expansion of carbon markets and the flexiblemechanisms
Domestic investment by developing countrygovernments
The private sector, through Foreign Direct Investment
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
17/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 17
Funding options
Government: Research grants, Grants for pilots(Technology centre of excellence/innovation centre),Feed-in tariffs and other market measures to favour
cleaner technologies Multilateral lenders: Higher risk funds to support pilots,
Loans/finance to developing countries for large scale
deployment Carbon markets: CDM; international offsets to fundclean energy projects in emerging/developing countries(for large scale deployment)
Commercial finance: Equity; Debt
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
18/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 18
Public funding for near commercial techs-Carbon Capture and Storage
Source: McKinsey& Company CCS
assessing theeconomics for thecost numbers; policyimplications drawnby ZEP
/ tonne CO2
Demo phase Early commercial phase Mature commercial phase
0
10
20
30
40
50
60
70
80
90
Public
funding
Estimatedcostsof
CCS
Indias answer: NCEF
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
19/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 19
Policy uncertainty (e.g. Indias national solarprogramme)
Lack of clarity in policy beyond 2013
PPAs structure-?
States setting lower FiTs than Centre Cap on project size End customers (distribution utilities) dis-engaged Limited ground meteorological data (DNI, no. of cloudy
days) High interest rates for long term debt No non-recourse based project financing
Limited interest from big players
Off setting some risk: ADB guarantee, GoIs Payment Security Fund
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
20/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 20
Tech transfer & UN Tech mechs
Operating principles:- Build endogenous capacity of developing countries by linking govt,
business & research
Enable communities to develop their own solutions Take practical approach
Outputs:-
Help set right regulatory and market framework Assistance in planning & delivery of clean infrastructure Facilitation of PPPs
- Risk sharing (valley of death issues for new techs)- Access to multinationals expertise
-Help local firms compete in consortia
- Development of key supporting mechs (MRV, liability frameworks,training etc)
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
21/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 21
What we can do
Bring tech expertise (to help with needs assessments) International business and management experience in
70 countries worldwide Experience of building presence in new markets and
developing regional manufacturing and export hubs
Bring an expert policy team well-versed in policy-makingas well as business Give feedback to governments on what works for
business and what doesn't-risks, incentives, market
sentiment
Business will provide the vast majority of the financial & human
resources needed to deliver clean energy
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
22/23
ALSTOM 2009. All rights reserved. Information contained in this document is provided without liability for information purposes only and is subject to change without notice. No representation or warranty isgiven or to be implied as to the completeness of information or fitness for any particular purpose. Reproduction, use or disclosure to third parties, without express written authority, is strictly prohibited.
P&EP Alstom - 17/06/2011 - P 22
Alstoms Business Models in India
Partnership with Bharat Heavy Electricals Ltd (BHEL) - Thepartnership is based on a license and business co-operationagreement to provide BHEL with super-critical boiler technology,engineering expertise and components.
Joint Venture with Bharat Forge Ltd (BFL) - The JV involvessetting up two companies to design, engineer, manufacture anddeliver turbine and generator islands and their auxiliary equipment.
Alstom Global Technology Centre for hydroelectricity, Vadodara The Technology centre established in 2008 at an existing Alstommanufacturing site, this centre will develop highly innovative hydro
products and technologies, focused on the Indian market
-
8/6/2019 Preeti Malhotra - Technology Transfer in Emerging
23/23