Envirolink Northwest 2008/09 08/080/099 Section 1 04 We’re in great shape 05 Foreword 06 Envirolink Northwest 07 An overview of the global market 08 The Northwest ETS sector 09 Envirolink Northwest’s strategy 12 Looking to the future 13 A special relationship Section 2 14 Energy efficiency 18 Land remediation 22 Recycling and waste 27 Northwest Biomass Project 30 Renewable energy 34 Water and wastewater treatment 38 Useful contacts 02/03 We’re in great shape England’s Northwest continues to compete at the forefront of the energy and environmental technologies and services (ETS) sector, remaining The Northwest’s environmental technologies and services confident within an increasingly competitive market. (ETS) sector has 3,500 businesses, employs more than 50,000 England’s Northwest boasts state-of-the-art research people, contributes more than £6 billion to the region’s facilities, market-leading companies and a highly- economy and is continuing to grow. skilled workforce, all of which contribute to our expertise in the field and a global reputation for technological and commercial excellence. As part of the Regional Economic Strategy, the Northwest Regional Development Agency (NWDA) works alongside Envirolink Northwest to focus its attentions on those actions that will have the greatest impact on our economy. The ETS sector is a lucrative global growth market that will provide numerous opportunities for Northwest businesses within the sector. Regional manufacturing organisations can also benefit from the increased opportunities ETS industries provide, with the added potential to diversify into the sector. As well as being a vital factor for business continuity and everyday life, energy and ETS are key sectors for the future, making important contributions to the region’s economy. The NWDA will maintain its work with Envirolink Northwest and partners to provide continued support to developing the sector – not only England’s Northwest for the direct economic benefits which it will provide, but also to support the region’s efforts at mitigating and adapting to climate change. Steven Broomhead, Chief Executive, Northwest Regional Development Agency (NWDA). 04/05 Envirolink Northwest An overview of the global market Envirolink Northwest is a not-for-profit organisation which supports the Currently valued at £1,600 billion, the global ETS market is forecast to more development and growth of the energy and environmental technologies than double in value by 2015 to £3,414 billion, indicating growth of more and services (ETS) sector in England’s Northwest. It is funded by the than £1,800 billion (113% growth). 98% of this growth, £1,765 billion, Northwest Regional Development Agency (NWDA), central government is forecast in the top four sub sectors: departments, the region’s local authorities and industry. The environmental technologies and services sector is diverse, representing businesses which provide environmental solutions. Predicted growth 2005/6 – 2014/15 Renewable energy 170% Water and wastewater treatment 33% Waste management, recovery and recycling 43% Energy efficiency (including building technologies) 106% The environmental technologies and services sector in the Northwest region Noise & vibration £5bn Environmetal Environmental consultancy monitoring £18bn £3bn Land remediation Marine pollution £21bn £3bn Air pollution £33bn Energy efficiency (inc building technologies) £375bn Renewable energy £713bn 1500 2000 2500 3000 3500 4000 1000 Waste management recovery & recycling £283bn Global Market Value (£billion) Value Global Market 0 500 Water & wastewater 2005/6 Market Value £bn Projected 2014/15 Market Value £bn treatment £190bn 06 /07 The Northwest ETS sector Envirolink Northwest’s strategy The Northwest ETS sector is worth £6 billion and represents 10%of the UK Envirolink Northwest’s vision is for the ETS sector in England’s Northwest to market for ETS products and services; third only to London and the Southeast. become a world leader in turning new ideas and emerging technologies into The Northwest sector’s share of UK ETS exports is comparatively low, however, profitable businesses in the high growth markets for environmental services. at only 7% of all UK ETS exports. Specifically, its goal is to assist the Northwest ETS sector to outpace the global market growth rate up to 2015 – increasing gross value added (GVA) and employment within the region. This model of the Northwest ETS sector and sub-sectors explains the strategic approach to this goal: each bubble represents a sub-sector – the size of the bubble indicates the relative market value of each sub-sector. Marine pollution Contaminated land Air pollution Energy effi ciency (inc Waste management Environmental Monitoring The strongest ETS sub sectors in England’s building technologies) (inc recovery & recycling) Renewables Water & wastewater Environmental consulting Northwest reflect the key global ETS markets: treatment Noise & vibration control 11 Sub sector Market value 10 in £million Diversification, spin-outs 9 & inward investment Renewables 2,543 8 Energy management (including building technologies 1,704 Waste management (including recovery and recycling) 1,064 7 Water and wastewater treatment 641 6 Air pollution 221 5 Contaminated land 138 Increased innovation & productivity Environmental consulting 99 4 Noise and vibration control 18 3 Environmental monitoring 15 Improve growth through increased increased through growth Improve the region exports from Marine pollution 13 2 £6,456 million 1 Projected annual growth over the next 3 years (%) the next 3 years over annual growth Projected 0 0100 200 300 400 500 600 700 800 900 1000 1100 1200 1300 1400 1500 Number of companies 08/09 The position of each sub-sector in the model is important, four sub-sectors To achieve this the Northwest’s ETS sector must be innovative, productive and stand out as the largest by value: suitably skilled. The objectives for Envirolink Northwest’s sector development strategy are to: — Large number of businesses — Increasing growth can only — stimulate and support businesses; — Relatively small predicted growth be achieved through growth — encourage innovation and product development; in market share — improve productivity and Water & — Domestic market is saturated wastewater and growth limited. International — increase the level of knowledge and skills in the sector workforce. markets are a key way to increase growth To achieve these objectives Envirolink Northwest has developed a suite of — Large number of businesses — Growth in the region can be sector support initiatives and services that complement other public sector — Medium growth predicted achieved by utilising waste Waste general and specialist business support services. Envirolink Northwest acts management, diverted from landfill to increase as a strategic lead organisation for the Northwest’s ETS sector, ensuring that recovery value added recycling and by the business support provided to the sector is appropriate. & recycling increasing export and investment opportunities. — Relatively few businesses — Growth in the region can be — Higher predicted growth achieved by increasing the number of businesses in the Renewables region through diversification Energy efficiency of indigenous businesses, spin- outs from indigenous businesses and research organisations and attracting inward investment 10/11 Looking to the future A special relationship From April 2009 Envirolink Northwest will be enhancing its services to To increase the profitability of Northwest ETS companies it is crucial that the Northwest’s ETS sector. We will be offering a wider range of services they compete effectively and access opportunities overseas. To support to ensure that the Northwest’s ETS sector takes advantage of the growing this Envirolink Northwest hosts an International Trade Manager, seconded low carbon economy. from UK Trade & Investment (UKTI), with specific responsibility for the delivery of the international element of Envirolink Northwest’s ETS strategy. This process includes: — contacting commercial teams overseas to research markets; Our services can best be described as: — undertaking scoping visits; Innovation and Research and Development Support — identifying business opportunities; Stimulating and supporting innovation in the Northwest’s ETS sector — organising trade missions to priority markets; Technology Commercialisation and Demonstration Support — promoting the Northwest’s ETS sector overseas; Overcoming the barriers to the commercialisation of innovative low carbon technologies — promoting regional, national and international events; — attracting inward delegations and Sector Development Promoting and building the Northwest ETS sector’s capabilities — leading sector specific trade missions. and capacity to serve the low carbon economy Market Development Overcoming the barriers to the implementation of low carbon technologies and so stimulating regional market and sector growth These services will be focused on businesses in our four key sub-sectors: Energy efficiency Recycling and waste management Renewable energy Water and wastewater treatment These services and activities are funded by the Northwest Regional Development Agency, Northwest local authorities and the European Union. 12/13 Energy efficiency Case study Invisible Systems offers innovative, simple and effective wireless Envirolink Northwest supports the energy efficiency sector by: Invisible Systems energy management and condition monitoring solutions to help