Industry Opportunity in Inventorying Fog Breakthrough

Since 2013, haze has spread to 25 provinces, more than 100 large and medium-sized cities, and many cities have become “mist fog”. The average number of smog days in the country is 29.9 days, the highest in 52 years.

Facing the almost normal trend of smog weather in the country, the national level has attached great importance and has issued the “Circular of the State Council on Issuing Action Plan for Prevention and Control of Atmospheric Pollution” and “Monitoring the health impact of air pollution (fog and haze) in 2013 and rural areas. The "Notice of Work Program on Environmental Hygiene Monitoring" and "Notice on Printing and Distributing Beijing-Tianjin-Hebei and Surrounding Areas Implementation Rules for the Implementation of the Air Pollution Prevention Action Plan" and other documents cover the total amount of pollutants, pollution source control measures, and monitoring systems. Aspects.

According to the plan, the total investment in China's "12th Five-Year Plan" for prevention and control of atmospheric pollution amounts to about RMB 350 billion. Under the strong promotion of policies, it will bring tremendous investment opportunities to air pollution control equipment, desulfurization and denitration catalysts, and environmental monitoring instruments.

The direct cause of haze and haze formation in the smog subdivision area is the increase in the number of fine particles in the air, which exceeds the self-purification capacity of the atmospheric environment. The fine particulate matter in the ambient air includes both solid and liquid forms. It mainly originates from two aspects. The first is the fine particulate matter released directly from the air by various sources and sources, including soot, dust, dust, fumes, and oil mist. Pollen, etc.; Second, fine particulate matter produced by the reaction of some chemically active gaseous pollutants in air. These precursor pollutants include sulfur dioxide, nitrogen oxides, volatile organic compounds (VOCs), and ammonia.

The areas that control the emission of fine particulate matter and precursor pollutants include industrial pollution sources, mobile pollution sources, domestic pollution sources, agricultural pollution sources, various construction sites, various powdery material storage sites, and so on.

Looking at the situation, the investment opportunities brought about by the haze management process are concentrated in front-end control and back-end governance. Front-end controls include flue gas dust removal, desulfurization, denitration, and environmental monitoring. Back-end management includes air purifiers. And new energy vehicles and other content.

Dust removal field. Dust removal is the earliest field of development in the air pollution control industry, with mature technologies and abundant products. Dust removal equipment has a wide range of applications, including not only the power industry and the steel industry, which are concentrated in the field of desulfurization and denitrification, but also the cement industry, feed processing industry, flour industry, and other dust-producing industries. At present, China's dust removal industry has formed a situation in which large-scale engineering integrated companies are leading and a large number of small and medium-sized product equipment companies and engineering integrated companies coexist.

Desulfurization and denitrification. In the initial stage of desulfurization and denitrification, domestic companies basically adopt the technology model of cooperation with foreign countries. The desulfurization and denitrification technologies are mostly purchased from foreign companies. For example, Longyuan Environmental Protection has introduced the limestone-gypsum wet desulfurization technology of Germany-based Tamil Miller, Zhejiang Feida. Environmental Protection has introduced Swedish dry flue gas desulphurization (NID) method from ABB in Sweden. Afterwards, domestic desulfurization and desalination companies rely on strong channel resources to conduct business independently.

Taking the desulfurization market as an example, in the capacity of the flue gas desulphurization units of thermal power plants that have been put into operation in China by the end of 2012, the environmental protection companies affiliated to large-scale power plants have obtained a large market share, followed by large-scale environmental protection companies that have been active in the field of desulfurization. Comparing the capacity of the flue gas desulphurization units that have been put into operation in the three major desulphurization companies in 2010, 2011 and 2012, the ranking of the top ten major desulfurization companies shows little change, indicating that the desulphurization market has formed a stable competitive landscape, and the entry threshold for emerging companies is relatively low. High, less chance of entering.

Environmental monitoring. China started work on environmental monitoring in the 1970s and started late compared with foreign countries. In terms of atmospheric environmental monitoring equipment, domestic instruments are concentrated in low-end and middle-end products, and there are fewer types of instruments with independent intellectual property rights; in addition, the average time between failures of domestic instruments is short and the stability and reliability of the instruments are insufficient, resulting in users’ The trust of the instrument is not high; foreign manufacturers basically monopolize high-end monitoring and analysis instruments.

Air purifier field. Different from the popularization and application of air purifiers in developed countries in Europe and America, the application of air purifiers in China is still in its infancy, and the air purifier product market continues to show an upward trend. In terms of market participants, there are more foreign-funded enterprises than domestic-funded enterprises. Foreign-funded enterprises have higher brand awareness than domestic-funded enterprises. Of the top ten brands of air purifiers in China in 2012, six of the top ten companies were foreign-funded enterprises. Considering that the current annual sales volume of air purifiers is only about 2 million units and is mainly concentrated in North China, East China, and South China, the development of the purifier market is far from mature.

New energy automotive field. Vehicle exhaust emissions are considered to be one of the important causes of hazy weather. According to the new energy automobile industry development plan, by 2020, the production capacity of pure electric vehicles and plug-in hybrid vehicles will reach 2 million, and fuel cell vehicles and automotive hydrogen energy industries will develop in parallel with the international market. With a huge market potential, there are many opportunities for industry entry.

Multiple Opportunities Under the Policy Under the backdrop of breaking through the “deep” volatility, the original linear economic growth model featuring “high pollution, high consumption, and high emissions” will surely change. If local governments and enterprises can take the initiative and actively use various policies to control haze at all levels of government, they will be able to obtain multiple benefits at the park, industry, and corporate levels, effectively increase the region’s resource output rate, and enhance overall competitiveness.

At the park level: The establishment and recycling of eco-industrial parks will be carried out to help promote low-carbon economic development. As of the end of 2013, 76 industrial parks in China have entered the list of approved construction and acceptance of national-level eco-industrial parks. Among them, 20 parks such as the Beijing Economic and Technological Development Zone passed the acceptance check and approval of the national-level eco-industrial park, and 56 parks such as Qingdao Xintiandi Vein Industrial Park passed the approval of the national-level eco-industrial park. Through the creation of eco-industrial parks, optimizing and improving the eco-industrial chain network, improving infrastructure construction, and continuously improving environmental monitoring and supervision capabilities.

The circularization reform is aimed at increasing the rate of resource output, and in accordance with the requirements of “layout optimization, industrial chain formation, enterprise clustering, material circulation, innovation management, and intensive development”, and overall planning of the spatial layout of the park to build a circular economy industrial chain. And optimize the allocation of resources to build the park into a path for circular economy parks with rapid economic development, efficient use of resources, clean and beautiful environment, and a virtuous circle of ecology.

As of the end of 2013, the National Development and Reform Commission and the Ministry of Finance jointly initiated the application for three batches of national pilot demonstration parks for recycling reform, including a total of 50 parks including Baiyin Hi-Tech Industrial Development Zone, Beijing Economic and Technological Development Zone, and Xiangyang Economic and Technological Development Zone. The district was approved.

These parks through a number of key circular recycling economy projects and the implementation of public infrastructure construction projects, will be in the industrial transformation and upgrading, efficient recycling of resources, recycling industry construction and management mechanism innovation and other aspects to achieve a major breakthrough in promoting the park From resource-consuming industries to innovation-driven industries. The efficiency of resource utilization has been significantly improved, emissions of “three wastes” have dropped substantially, and the level of clean production of key enterprises has reached or approached the industry level.

Industrial level: Intensify pollution control and adjust industrial structure to improve overall competitiveness. In the aspect of increasing pollution control, the total amount of sulfur dioxide, nitrogen oxides, smoke dust, and volatile organic compounds will be reduced as the overall goal, and the related industries such as thermal power, steel, and cement will be actively promoted.

Combined with CCID Consulting's project experience, the industrial structure in many regions (parks) is currently unreasonable and reliant on resource-consuming companies, while the development of high-tech industries and modern production services is slow. The adjustment of industrial structure includes two aspects: the rationalization and the advanced level of the industrial structure. The advanced industrial structure is also called the upgrading of the industrial structure. In order to adjust the industrial structure of a region, we must consider the comparative advantages of industry and resources in the region, consider the environmental carrying capacity of the industrial zone, focus on improving the rate of resource output and improving the overall competitiveness of the industrial zone, and use the dominant industry as the basis and the backbone enterprises as the basis. Leading companies, extending the industrial chain, making excellent and leading industries, actively nurturing energy-saving and environmental protection industries, and accelerating the development of productive service industries.

At the corporate level: the combination of new business development and clean production, and enhancement of sustainable development capabilities. Affected by the government's policies related to haze and haze, electric power, iron and steel, and cement industries have a greater impact, which poses some difficulties to the existing business conditions; while other emerging industries, such as air purifiers, new energy vehicles, and ground source heat pumps, etc. However, it has ushered in explosive growth.

Taking an air purifier as an example, in 2010, the sales volume of air purifiers in China was about 1.01 million units, the total sales amount was about 581 million yuan, and the price of a single air purifier was about 576 yuan; in 2013, the sales volume of China's air purifiers increased dramatically. It increased to 2.4 million units, an increase of 90.48% year-on-year, and total sales reached 2.6 billion yuan, an increase of 160% over the same period last year. Under such circumstances, enterprises should take the initiative to adapt to the new environment, actively explore new businesses and enhance their capacity for sustainable development.

For existing industrial enterprises, we must actively guide them to carry out clean production, increase the level of resources and energy use, and reduce the discharge of pollutants. Cleaner production refers to the reduction of pollution from the source, improvement of resource utilization efficiency, and reduction or avoidance of pollutants in the production process through continuous improvement of design, use of clean energy and raw materials, adoption of advanced process technologies and equipment, and improvement of management measures. emission.