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Chicago Hamburg Business Forum 2011

Green Technology: Cooperation Perspectives for the US Midwest Region and Northern Germany

(Green Building)

(Renewable Energy)

(Green Building) (Green Technology)

(Renewable Energy)

(Green Technology)

Chicago June 23-24, 2011 Hamburg Chamber of Commerce German American Chamber of Commerce of the Midwest

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Hamburg has been awarded European Green Capital 2011. www.hamburggreencapital.eu

Presented by

In cooPeratIon wIth

event suPPorters

Imprint: HAMBURG CHAMBER OF COMMERCE Innovation and Environment Department Tobias Knahl Adolphsplatz 1 20457 Hamburg Germany

Phone: +49 40 - 36138267 Fax: +49 40 - 36138270 E-Mail: tobias.knahl@hk24.de www.hk24.de

Design: zwei:c Werbeagentur GmbH, Hamburg

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table of contents

Table of Contents
Welcome Addresses Conference Program Green Technology in Hamburg Green Technology in Chicago Renewable Energies Green Building Environmental Technology and Green Infrastructure 4 8 10 11 12 20 28

Photos: p. 1: Shutterstock p. 3: www.mediaserver.hamburg.de/R.K. Hegeler Spengler Wiescholek Hamburg Wasser p. 4: Christian Stelling Roland Magunia p. 10: www.mediaserver.hamburg.de/ Aufwind-Luftbilder.de p. 11: Mark Mahaney/Redux/laif p. 12: www.mediaserver.hamburg.de/C. Kalk www.mediaserver.hamburg.de/R.K. Hegeler p. 13: www.mediaserver.hamburg.de/R.K. Hegeler p. 14: www.mediaserver.hamburg.de/ Landkreis Rotenburg (Wmme) BMU/Udo Paschedag

p. 15: p. 16: p. 17: p. 18: p. 19: p. 20: p. 21:

BMU/Udo Paschedag Nordex SE Scott Olson/Getty Images Robert Ruggiero/Dreamstime.com Alamy/mauritius images www.mediaserver.hamburg.de/R.K. Hegeler Arnd Dewald Spengler Wiescholek p. 22: Hegger Schleiff Planer + Architekten AG p. 23: Unilever Deutschland www.mediaserver.hamburg.de/R. Hegeler p. 24: Sally Ryan/The New York Times/Redux/laif p. 25: Jeff Millies/Hedrich Blessing/Arcaid/Corbis p. 26: ddp images/AP Photo/M. Spencer Green p. 27: ddp images/AP Photo/M. Spencer Green

p. 28: p. 29: p. 30: p. 31: p. 32:

SRHH Hamburg Wasser Stefan Malzkorn Hamburger Hochbahn Scott Boehm/Getty Images Raymond Boyd/Michael Ochs Archives/ Getty Images p. 33: Jim Prisching/ddp images/AP Images p. 34: ddp images/AP/M. Spencer Green p. 35: Stockbyte/Getty Images

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welcome addresses

Dr. Jens Peter Breitengross


Vice-Chairman Hamburg Chamber of Commerce

Prof. Dr. Hans-Jrg Schmidt-Trenz


Chief Executive Officer Hamburg Chamber of Commerce

On behalf of the Hamburg Chamber of Commerce, we wish to extend a warm welcome to all the participants of the Chicago Hamburg Business Forum 2011. With its more than 160,000 member companies, our Chamber of Commerce is one of the largest and most influential Chambers of Commerce in Europe. As a customerfocused provider of services and as a political lobbyist, we contribute to shaping a market-based legislative and regulatory environment that is conducive especially to smalland medium-sized enterprises. 700 entrepreneurs currently serve as elected representatives on the Chambers committees, helping with their expertise to boost the prosperity of Hamburgs business sectors. Hamburg is Germanys second-largest city and one of Europes largest container ports. With Airbus, Lufthansa Technik AG and their suppliers Hamburg is the worlds third largest location for the aviation industry. It is also one of the largest industrial centers in Europe, by hosting among others Europes biggest copper producer Aurubis AG. Hamburg is also home of the International Tribunal of the Law of the Sea and worldfamous brands like Nivea and Montblanc. Since the opening of the markets of Eastern Europe and the EU expansion in 2004, Hamburg has regained its role as a hub for trade and transport with the rest of the world. In recent years, the green technology sectors in our city have been growing most rapidly. This development has gained momentum by Hamburgs election as European Green Capital in 2011.

With the Chicago Hamburg Business Forum our Chamber of Commerce pursues three goals: First, the Green Capital Award is a great opportunity for us to present products and services from the green technology sectors made in Hamburg. In the fields of renewable energies, green building and environmental technologies our city hosts the market leaders. Second, we wish to intensify the business connections between companies from Northern Germany and the U.S. Midwest. As both regions feature similar economic structures they provide the basis for cooperation. Furthermore, Chicago and Hamburg are regarded in their countries as role models in the field of climate and environmental protection. Third, we would like to foster the sister-city relationship between Chicago and Hamburg. The close tie that has always existed between Chicago and Hamburg eventually led to the signing of a sister-city agreement in 1994. Both cities are close to the water and have a similar reputation as economic, media and cultural centers. We firmly believe that the Chicago Hamburg Business Forum 2011 is the ideal vehicle for reaching these aims and will serve as a platform for dialogue among companies from the two economic regions!

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Simone Pohl
President & CEO German American Chamber of Commerce of the Midwest, Inc. (GACCoM)

It is our pleasure to welcome you to the Chicago Hamburg Business Forum. As traditional trade and logistics hubs, the Sister Cities Chicago and Hamburg not only have a similar economic history, they also share a common vision for the future. Both are trailblazers in the creation of a sustainable, liveable, and attractive cityscape. Hamburg, as the 2011 European Green Capital is a role model in Europe, and Chicagos considerable investments in green buildings and in addressing the effects of climate change are widely recognized as pioneer efforts in the United States. The German American Chamber of Commerce of the Midwest is proud to co-host this program that will allow leaders from both cities to engage in intensive dialogue on topics vital to shaping the future of Hamburg, Chicago, or any other modern city for that matter: Today, we will speak about advances and challenges in Renewable Energies, Green Architecture, and Environmental Technologies. Here in Chicago, we can say that this program is right up our alley. GACCoM places a heavy focus on the Renewable Energy and Energy Efficiency industries, particularly given the significant investment flows between Germany and the US in these fields. Germany can offer cutting-edge technologies and our Chamber seeks to deep en the transatlantic dialogue by regularly bringing innovative German expert delegations, such as this one from Northern Germany, to the US.

Through these initiatives, we want to provide what we think are the key ingredients to business opportunities: information, expertise, and service, combined with the right contacts. Drawing on our network of over 850 members in the Midwest and more than 2,500 nationwide, as well as a bilingual team of industry experts, this is what our chamber delivers. The greatest strength of our organization, however, lies in its international dimension. Over 80 chambers in Germany, such as the Handelskammer Hamburg, work with 120 German Chambers Abroad in 80 different countries, like our office in Chicago, to create opportunity both at home and in our host countries. Todays event therefore represents our mission and network at its best it goes beyond national borders to bring together two economic regions bustling with opportunity. I would like to sincerely thank the Handelskammer Hamburg, our local partners, and, most importantly, our guests and attendees from near and far for bringing the Chicago Hamburg Business Forum to life.

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welcome addresses

Frank Horch
Minister Ministry of Economy, Transport and Innovation Free and Hanseatic City of Hamburg

The Free and Hanseatic City of Hamburg is the secondlargest city in Germany. Its metropolitan region, home to more than 4.3 million inhabitants, is Germanys most important trading centre and the heart of European trade with China. Thanks to the Port of Hamburg, which is the third-largest port in Europe, the city has developed into the central logistics hub between northern and eastern Europe, Asia as well as North and South America. The citys ideal strategic location at the crossroads of Europes most important transport axes and its excellent hinterland connections contribute largely to our economic success. Although being an economically successful city, Hamburg is still a very green city with many park and waterfront areas. The citys efforts in environmental protection and its expertise in renewable energies were recently rewarded by the EU Commission which has granted Hamburg the title of European Green Capital 2011. The citys economic strengths are the maritime sector, including the port, logistics and transport. Being home of Europes second largest Airbus construction facility, the city is one of the most important places for aviation worldwide. Besides great expertise in life sciences as well as media and information technologies, Hamburg is one of Europes hot-spots in the renewable energies sector. This sector is growing rapidly twice as fast as the average growth in the rest of Germany. Hamburg is home to many national and international headquarters, to specialized financial institutions as well as to excellent research and science institutions. Cutting edge technologies with an international reputation, especially in the wind energy sector, are emerging in the metropolitan region. Altogether, companies from the wind, solar as well as biomass sectors generate 5 billion Euros turnover annually. We are very optimistic about the

future in the field of renewable energies and do expect an increasing export share in the years to come. In order to strengthen Hamburgs position on the national as well as international level in the sector of renewable energies, we established a cluster organization which allows companies from the renewable energy sector to become highly linked. Moreover, we also place emphasis on the education and training of young academics in this field. Two universities and a research facility in Hamburg focus on environmental technology, thus improving research and training. Both in economic and in cultural terms Hamburg and Chicago have much in common. Just like Hamburg, Chicago is a very important transport hub and has a diverse economy, which offers great potential for further cooperation between our two cities. Over the last twenty years Chicago has turned into the most environmentally friendly city in the United States. Both cities have put a strong emphasis on the growing green economy. The sister city agreement between Hamburg and Chicago, which dates back to 1994, is indeed a firm basis for future initiatives. Achieving the ambitious environmental goals both Hamburg and Chicago have identified will further strengthen our cities competitive advantages and ensure our leading economical positions. I am looking forward to exchanging experiences and engaging in fruitful discussions at the Chicago Hamburg Business Forum 2011.

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Rahm Emanuel
Mayor City of Chicago

Dear Participants of the Chicago Hamburg Business Forum, As Mayor and on behalf of the citizens of Chicago, I am pleased to extend greetings to all those attending the Chicago Hamburg Business Forum 2011. Bringing together civic and business leaders from Germany and the United States, united by a shared commitment to green technology, this forum offers a wonderful opportunity to forge new partnerships in this important sector and promote the growth of new and existing businesses. Chicago is proud of its history of family and friendship we share with Germany and the sister city relationship we have enjoyed with Hamburg since 1994. We look forward to working together to continue to promote even stronger ties of trade and investment between our cities in renewable energy and many other fields. I extend a special welcome to the German companies that have traveled to Chicago for this event. While in Chicago, I hope you will experience all our city has to offer,

from a dynamic business community, to vibrant neighborhoods, world renowned cultural institutions, breathtaking architecture and much more. I invite you to make Chicago your regional home in North America. With our premier location as a global transportation hub, our dynamic workforce, and our business-friendly attitude, our city offers an unrivaled setting for you to grow and expand your business. I offer my best wishes to all for an enjoyable and productive exchange of ideas during the forum. I look forward to the new economic opportunities this dialogue will bring to enhance the quality of life for citizens in the great cities of Chicago and Hamburg.

Sincerely,

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ConferenCe Program

Thursday, June 23, 2011


09:15 10:00 am Introduction Simone Pohl, President & CEO, German American Chamber of Commerce of the Midwest Opening Statement Dr. Jens Peter Breitengro, Vice-Chairman, Hamburg Chamber of Commerce Words of Welcome Rahm Emanuel, Mayor, City of Chicago Frank Horch, Minister of Economy, Transport and Innovation, Free and Hanseatic City of Hamburg John Carpenter, Vice President, Government Division, Chicagoland Chamber of Commerce Green Technology: Challenges in the US Midwest Region and Northern Germany Jonathan Feipel, Deputy Director, Illinois Department of Commerce and Economic Opportunity; Chief, Illinois Energy Office Prof. Dr. Michael Bruninger, Research Director, Hamburg Institute of International Economics (HWWI) Coffee Break and Registration for Panel 1

10:00 10:30 am

10:30 11:00 am

11:00 am 12:10 pm Panel 1: The Renewable Energy Sectors in the US Midwest Region and Northern Germany Both Northern Germany and the US Midwest Region are strongholds for renewable energies, mainly wind energy. The speakers will give an overview of the sector in their country with reference to the political framework, e.g. the German Renewable Energy Act. Speakers: John Dunlop, Senior Engineer, American Wind Energy Association (AWEA) Thomas S. ONeill, Senior Vice President, Regulatory and Energy Policy and General Counsel, ComEd Jan Rispens, Managing Director, Erneuerbare-Energien-Hamburg GmbH (Renewable Energies Hamburg) Ralf Sigrist, President & CEO, Nordex USA Inc. Pieter Wasmuth, Chief Representative Hamburg and Northern Germany, Vattenfall Europe AG (Holding) Moderator: Mark Tomkins, Vice President, German American Chamber of Commerce of the Midwest 12:10 01:25 pm 01:25 02:35 pm Lunch Break and Registration for Panel 2 Panel 2: Green Building in the US Midwest Region and Northern Germany Green building is a key factor for reducing greenhouse gases. This includes architectural and technical matters. In Germany, Hamburg with its emerging Harbor City is known as a playing field for modern building projects. In the US, the world`s most important trade fair in this sector, the Greenbuild, took place in 2010. Speakers in this panel will therefore focus on the projects realized in their countries. Speakers: Deputy Commissioner Aaron Durnbaugh, Department of Environment, City of Chicago (invited) Frank Glcklich, CEO, Hamburg Chamber of Crafts Uli Hellweg, Managing Director, International Building Exhibition Hamburg 2013 GmbH Lois Vitt Sale, American Institute of Architects (AIA), Leadership in Energy and Environmental Design (LEED), Faculty, Senior Vice President Chief Sustainability Officer, Wight & Company, US Green Building Council - Chapter Chicago Moderator: Prof. Dr. Hans-Jrg Schmidt-Trenz, CEO, Hamburg Chamber of Commerce

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02:35 03:05 pm 03:05 04:15 pm

Coffee Break and Registration for Panel 3 Panel 3: Environmental Technology and Green Infrastructure in Chicago and Hamburg Major Cities play a central role with regard to the climate changing process. The key challenge is to keep urban infrastructures working while adjusting them to climate and environmental needs. Thus, innovative products and business solutions referring to the energy networks (smart grids) and to energy efficiency, but also to waste and water management perfectly combine economy and ecology and are essential for the cities of tomorrow. Speakers of this panel will discuss recent developments in their countries. Speakers: Anil Ahuja, President, C.C. Johnson & Malhotra, P.C. Paul Pabor, Vice President of Renewable Energy, Waste Management, Inc. Dr. Rdiger Siechau, CEO, Stadtreinigung Hamburg AR (Department of Streets and Sanitation) Michael Westhagemann, CEO Region North Germany, Siemens AG Moderator: Brad Klein, Staff Attorney, Environmental Law & Policy Center Conclusion and Prospects Speakers: Simone Pohl, President & CEO, German American Chamber of Commerce of the Midwest Prof. Dr. Hans-Jrg Schmidt-Trenz, CEO, Hamburg Chamber of Commerce Transfer to Dana Hotel, Vertigo Sky Lounge Chicago Hamburg Networking Reception, Dana Hotel, Vertigo Sky Lounge Speakers: W. David Braun, Chairman, German American Chamber of Commerce of the Midwest Dr. Jens Peter Breitengro, Vice-Chairman, Hamburg Chamber of Commerce Frank Horch, Minister of Economy, Transport and Innovation, Free and Hanseatic City of Hamburg Rolf Achilles, Hamburg Ambassador and Head of Chicago Hamburg Sister City Committee

04:15 04:45 pm

06:30 07:00 pm 07:00 09:30 pm

Friday, June 24, 2011


Company Visits and Matchmaking Company visits and meetings are subject to individual arrangements, assisted by the German American Chamber of Commerce of the Midwest and the Hamburg Chamber of Commerce. The organizers also offer the following parallel program: 08:00 am 02:00 pm Company visit at Siemens / Winergy, Elgin, Illinois (incl. Lunch) Presentation and factory tour led by Martin Lubahn, Sales Manager 02:00 05:00 pm Cultural city tour led by Rolf Achilles, Hamburg Ambassador and Head of Chicago Hamburg Sister City Committee End of official program

05:00 pm

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green technology

clearly illustrates the excellent qualifications in Germany. One in three companies works in planning and consultation. Other key areas are production and plant construction.

Green Technology in Hamburg


There is also outstanding growth potential for companies in the well-established environmental technology industry in Hamburg where this sector is already well-positioned against other industrial sectors. In the past few years, green technology has recorded growth rates of as much as 20 percent. The citys geographical position and transport connections in all four directions are to its great advantage in business and trade. New technologies and services provide an opportunity for Hamburg to live up to its slogan Growth with Foresight and to profit economically from the transformation to a resource-saving society. An estimated 800 or more companies directly or indirectly connected to the Green Technology Sector are located in and around Hamburg. Two-thirds of them are small- or medium-sized and total less than EUR 10 million in sales. In Hamburg the green technology sector encompasses in particular renewable energy, energy efficiency and supply, green building and environmental technology. It is a growing sector with a high potential and Hamburg is the main location for wind energy in Germany. The City of Hamburg has many locational advantages for the advanced development of renewable energies: Highly qualified and specialized employees, streamlined processing and an excellent logistic infrastructure enable successful technology export. Furthermore Hamburg has an internationally recognized green profile and was named European Green Capital 2011. This award was conveyed by the European Commission after the city had successfully completed a challenging competition with several European cities, among them some regarded as classical green cities, e.g. Copenhagen, Amsterdam and Stockholm. Hamburg was elected for its above-average achievements in all of the ten indicator areas with top scores in the fields of climate protection, water management and the linkage between economy and ecology. In a nutshell, one can say that the European Commission was courageous enough to choose not one of the mentioned green cities, but an economic metropolis that in the past decades has managed to complete a profound structural change profiting both the economy and the ecology.

In Hamburg
A Dynamic Sector in Germany
Green technology is a sector that has gained considerable significance in light of the public perception of climate change and resource conservation. Environmental engineering and technologies are already enormously important in Germany; from an economic standpoint their potential can even exceed that of classic industrial sectors. Traditional industries are under pressure to change and adapt by employing new technology and services in their industrial structure. Green technology has also brought about a shift in the perception of the economic importance of environmental protection, which is no longer viewed as a competition between economic and ecological interests, but rather as an opportunity to develop new areas of business and increase the number of persons employed. Meanwhile the market for environmental products and services has developed into a growth industry that carries considerable importance for the economy as a whole. The German Federal Ministry of the Environment estimates that the GDP share of environmental technologies in Germany will rise from eight percent in 2007 to 14 percent by 2020. The boom in environmental industries in Germany is particularly due to the technology of renewable energies, environmentally friendly energy storage and the recycling industry. A world market share between six and 30 percent

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(Green Building)

(Renewable Energy)

(Green Building) (Green Technology)

(Renewable Energy)

(Green Technology)

In Chicago
A Dynamic Sector in the US
As the need to create a sustainable society becomes more accepted by the public, the United States has recognized this need and has developed into a leading international market for green technologies. Embracing green technology is a practical response to a variety of challenges like increasing energy prices, waning water resources, and changing weather patterns. By supporting green technologies, companies, communities and municipalities in the United States incorporate environmental considerations and resource efficiency into their everyday decision-making to minimize environmental impact. Powerful companies in the United States, such as Google and Intel, are investing large sums of money into green technology for the many benefits it brings their company, notably the savings they see in their overall energy bills. Since 2009, through the Advanced Research Projects AgencyEnergy and the US Department of Energy, the US has already spent $363 million in federal stimulus dollars toward 121 clean technologies projects; that spending is about to increase another $550 million this year. These investments have also had a positive economic impact by creating jobs in the green technology sector. Recent growth in the renewable energy sector occurred within a challenging overall macroeconomic environment, which illustrates the flexibility and attractiveness of the US market for solar and wind companies. The US Environmental Protection Agency also lists 510 new landfills that are planning to implement landfill gas-to-energy technologies. Federal initiatives are mandating a 20 percent increase in building efficiency by 2020 that is forecasted to reduce companies and business owners energy bills by approximately $40 billion per year. These are just a few examples that show how the renewable energy, environmental technology and green building sectors in the United States are poised for continued growth.

government, residents and businesses. The Chicago Climate Action Plan (CCAP) has played a large role in expanding the renewable energy, waste management, and green building sectors in Chicago. From city-wide incentives to small community programs implemented through CCAP, the green technology sectors in Chicago are growing at a remarkable pace. One of these programs is the Chicago Clean Energy Project, a $3 billion green technology investment to Chicagos southeast side to bring jobs, economic development, clean technology and consumer savings to Illinois. Specifically, the City of Chicago has become a global player in the wind industry; as the main wind hub of the United States, Chicago has offices for many of the worlds leading international wind companies located here, including many with ties to Hamburg, such as Nordex, Suzlon, and PNE Wind. The solar market in Illinois launched in 1999 when the Chicago Solar Partnership was founded, and is now set to expand considerably since 6 percent of the states Renewable Portfolio Standard is to be obtained from PV sources by 2015. There is a huge opportunity in Illinois and Chicago for the environmental services to expand the current programs in waste and water management, and this can already be seen in the plan to build the nations largest waste-to-energy plant in Illinois. The City of Chicago has been an extremely influential city in the green building movement and currently boasts 71 million square feet of certified green buildings, the most of any city in the world. Based on the recent past, Chicago will continue to be a green technology leader within the United States, providing many new opportunities for cooperation.

Green Technology in Chicago


The opportunities for growth and investment in green technologies in the City of Chicago are promising. Chicago has embraced green technologies to become one of the greenest cities in the US, due to strong partnerships between

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renewable energIes

Abstract
While Hamburg is not a location for large wind farm installations and extensive production capacities, most of the wind energy market leaders have based their (European) headquarters or central services units in the city. The renewable energy sector in Hamburg is characterized by strong competences in the fields of management, administrative functions, sales & marketing and an equally substantial services and research sector. Hamburgs renewable energy sector is growing faster than the German national average. Recently, a renewable energies cluster was founded and will lead to further development.

Current Situation: Facts and Figures


Between 1998 and 2010 renewable energy sources in Germanys gross power consumption have more than tripled from 4.8 to 16.8 per cent. Based on total final energy consumption the percentage of renewable energy sources has risen from 3.1 to some 11.0 per cent during the same period of time. Renewable energy sources were used to generate approximately 275 TWh of electrical power, heating and fuel in the year 2010, which means savings of close to 120 million tons of greenhouse gases. This development was significantly influenced by the Renewable Energy Sources Act and the Renewable Energies Heat Act both of which promote and help to fund the generation and feed-in of renewable energies. Northern Germany is special when it comes to renewable energy as some resources come naturally, so to speak. For example, compared to other regions in Germany, there is far more wind due to its proximity to the North and Baltic Seas and to the relative dearth of woodlands and forests. These natural characteristics are the reason for the above-average significance of wind power in the federal states bordering the coast. At an estimated 19.1 percent, the percentage of net energy consumption relying on wind power is far higher in the northern federal states than the national German average of approximately 8.25 per cent.

In the metropolitan region of Hamburg, more than 5,000 employees in almost 500 companies generate about 5 billion Euros in sales. This includes small- and medium-sized as well as large companies, ranging from producers to suppliers of the services, financial and insurance sectors.

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(Green Building)

(Renewable Energy)

(Green Technology)

Sub-Sectors and Main Players


Wind Energy
Wind power clearly is the strongest sector in the renewable energies industry in Hamburg. Hamburg is not so much a location for extensive production capacities in renewable energy sources as it is for the headquarters of green companies. Most of the leading wind energy manufacturers and operators are present in Hamburg with their headquarters or central departments, among them: Nordex SE (Headquarters) PowerWind GmbH (Headquarters) REpower Systems (Headquarters) RWE Innogy (Branch Office) Siemens (European Headquarters Wind Energy) Vestas Offshore Germany GmbH (Headquarters Central Europe) Vattenfall (Headquarters Wind Energy) While companies like Nordex, PowerWind, Repower and Vestas are specialized in the production of wind energy plants, this sub-sector is also gaining importance among the classical energy providers like Siemens and Vattenfall. Recently, Nordex SE relocated its headquarters from the outskirts into central Hamburg. General Electric Wind decided to locate its Competence Center for offshore wind energy in the Hamburg HafenCity and Broadwind Energy opened up its German headquarters there, with plans to further develop the site into its European headquarters.

Solar Energy
Leading manufacturers in the solar power energy sector are also based in Hamburg, either with their head offices or departments such as Administration and Sales & Marketing. These include: BP Solar (Sales & Marketing) Centrosolar AG (Administration) Colexon Energy AG (Headquarters) Conergy (Headquarters) SHARP Electronics (Headquarters Sales Europe) SunEnergy (Headquarters) Velux (Headquarters) Voltwerk Electronics (Headquarters)

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renewable energIes

Conergy AG ranks among the worlds leading solar energy companies. It manufactures the full range of renewable energy systems for the production of electricity, heating and cooling from sunlight, but also wind energy and biomass. Voltwerk is part of the Conergy group and a leading manufacturer of power components for photovoltaic systems. Sharp Solar is the European head office of the Sharp Group, the worlds leading manufacturer of solar cells. Hamburg is home to the companys European sales, marketing, communication and service operations. The Centrosolar Group AG produces photovoltaic modules and sells grid-connected solar power systems as well as standalone systems for mobile homes, sailing boats and buoys. The Hamburg office of BP Solar, a subsidiary of Deutsche BP AG, specializes in the distribution of photovoltaic modules, project planning and implementation, as well as concept development for photovoltaic units as building materials. SunEnergy GmbH develops and implements photovoltaic projects. It provides all the necessary components and photovoltaic modules, as well as planning services, training and marketing support. In the solar thermal segment, VELUX Deutschland GmbH provides solar water heating systems that mirror skylights and roof windows in terms of design and method of installation.

Energy Efficiency and Green Energy Supply


Hamburg-based LichtBlick GmbH and GREENPEACE energy eG are Germanys two largest suppliers of 100 percent eco-friendly electricity. Based on Volkswagen motors, Lichtblick has also started to sell as many as 100,000 combined heat and power units (CHP) that are centrally coordinated. By being able to switch numerous units on and off quickly, the company wants to balance the strong fluctuation in energy supplied by renewable sources such as wind and solar. Under the name Callux, E.ON Hanse and Baxi Innotech operate a similar CHP project. In 2009, the city of Hamburg founded the wholly-owned subsidiary Hamburg Energie, which also supplies green energy. In 2013, the International Building Exhibition (IBA) will take place on the Elbe island. Within this context, there are various projects in the field of innovative energy supply on the way (see also section on Green Building).

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(Green Building)

(Renewable Energy)

(Green Technology)

Research and Development


The rapid growth of Hamburgs green technologies is creating enormous local demand for R&D services. Around 30 Hamburg-based companies currently undertake R&D work either in their own facilities or in partnership with universities and research institutes. In 2009 the Hamburg University of Applied Sciences (HAW) founded the Competence Center for Renewable Energies, which pools together activities in apprenticeship, applied science and transfer of knowledge. The HAW is also home to the Lifetec Process Engineering unit, which specializes in research into the fermentation of wet biomass and the direct liquefaction of dry biomass. The Hamburg-Harburg Technical University (TUHH) is currently conducting research into the use of biomass in thermal power stations and into foundation systems for offshore wind turbines. Research into the integration of renewable energy production plants into the power grid is currently under way at the Helmut Schmidt University.

Future Developments
In 2010, the Renewable Energy Sources Hamburg GmbH was founded. Its task is to function as a cluster management and to further develop the industrial cluster in the city and the metropolitan region. In the shortest possible time, well above 100 firms became members of the supporting association. After the nuclear disaster of Fukushima, there is a broad consensus among all political parties in Germany to stop nuclear energy and to strengthen renewable energy sources. Offshore wind energy production therefore is the hope for the future. Seventy offshore wind parks with more than 5,200 production plants have already applied for permits.

Key Challenges and Opportunities for Bilateral Cooperation


The key challenge in Germany is to connect the offshore wind energy production plants to the energy networks and to cope with the greatly varying amounts of energy produced by renewable sources. Smart or intelligent networks and storage possibilities will therefore play a key role. The North American market, especially the Midwest, is a very interesting region for companies from the renewables energy sector in Northern Germany. The flat countryside and the Great Lakes provide high potential for the production of wind energy. With Chicago being a logistics and transportation hub, the city could easily serve as a springboard for the national market. With Hamburg being the capital of wind energy in Germany, the U.S. market could profit from the experience and expertise gathered.

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renewable energIes

Abstract
Over the past several years the United States has developed into a leading international market for both the solar and wind energy industries. Based on total installed power generation capacity, the US now ranks second internationally for wind energy with 41,000 MW of capacity and fourth for solar energy with a total of roughly 2,600 MW. The recent strong growth rates in installed capacity have created economic benefits for organizations along the entire respective industry value chains, from manufacturers of turbines, solar modules and balance-of-system components and their suppliers to project developers, installers, financing companies and related support services providers. Much of this growth occurred within a challenging overall macroeconomic environment in the United States.

Current Situation: Facts and Figures


According to the American Wind Energy Association (AWEA), roughly three-quarters of existing wind energy capacity has been installed since the beginning of 2007. 5,116 MW were added in 2010, compared to 10,010 MW in 2009 and 8,366 MW in 2008. In regards to 2011, 1,100 MW were added in Q1 and another 5,600 MW is currently under various stages of construction. After a drop in installed wind energy in 2010, 2011 is projected to be an increased growth year. Illinois currently ranks 7th among the states in overall capacity at 2,046 MW and is gaining steam it ranked second in new capacity added in 2010 (498 MW) and currently has another 389 MW under construction. The demand for new wind parks in the state is largely due to its access to the PJM electric grid, a regional transmission organization serving a market of over 50 million people in 13 states. Illinois has the strongest winds in the PJM market, as well as large tracts of open land and close proximity to the required product and service providers, making Illinois wind projects very attractive to utilities in several states. According to the Solar Energy Industries Association (SEIA), the United States solar market experienced a banner year in 2010, growing 67 percent in value to become a roughly $6 billion market (up from $3.6 billion in 2009). This

recent remarkable industry expansion spanned market segments, technologies and geographic regions. While the Concentrating Solar Power (CSP) and Solar Heating and Cooling (SHC) sectors have performed solidly, the main driver of industry growth has been the photovoltaic (PV) sector. A record 878 MW of grid-connected photovoltaic systems were installed across the US market last year (out of 956 MW total), a growth rate of 102 percent over 2009 (435 MW).

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(Green Building)

(Renewable Energy)

(Green Technology)

Sub-Sectors and Main Players


Wind Energy
Although utility-scale wind farms have sprung up across the country, large geographical discrepancies persist. While there are now utility-scale wind parks in 38 states, only 14 states generate over 1,000 MW of wind power and the five leading states (Texas, Iowa, California, Minnesota and Washington) account for over half of all wind power capacity in the country. Many of the economic benefits of these wind parks naturally accrue where they are sited for instance increased tax revenues, payments on land leases, short-term employment gains during construction and long-term Operations and Maintenance jobs. However, the steady growth in installed wind park capacity has benefited project developers and manufacturing companies located across the country, particularly in Midwestern states such as Ohio, Michigan, Illinois, Minnesota, Wisconsin and Iowa. There are currently over 400 facilities dedicated to manufacturing wind turbines and their constituent components located across the United States. The development and expansion of manufacturing facilities has allowed for a reduction in the proportion of imported wind turbine components from approximately 75 percent in 2005 to less than 50 percent currently. The state of Illinois stands in a strong competitive position to benefit economically from the national increase in utility-scale wind installations. Besides being a prime destination for wind installations, Illinois is home to a range of manufacturing and service companies that support wind energy developments across the rest of the Midwest and the country at large. The growth in wind energy across the United States supports an estimated 5,000-10,000 direct and indirect jobs in Illinois. This includes over 1,000 manufacturing jobs at the 28 facilities in the state which manufacture components for wind turbines, most of which are clustered in the greater Chicago area. The city of Chicago has become the de facto wind capital of the United States and boasts offices for many of the worlds leading international wind companies. The city also frequently hosts wind industry trade shows, conventions and other events. Prominent wind companies with North American headquarters, branch offices and/or manufacturing

facilities in the greater Chicago area include Nordex, SiemensWinergy, Suzlon, Invenergy, Vestas, PNE Wind, E.ON Climate and Renewables, Broadwind, and Wind Capital Group. Another major player in the wind industry is AWEA, the national trade association representing wind power project developers, equipment suppliers, services providers, parts manufacturers, utilities, researchers, and others involved in the wind industry. AWEA represents over 2,500 members and advocates in the wind energy industry from around the world. Every year, AWEA hosts WINDPOWER, the largest wind energy conference in North America. The conference provides presentations that highlight the latest industry trends, technology developments, and renewable energy policy developments.

Solar Energy
Over the past several years, the growth rates for the residential and utility-scale PV segments have outpaced those for commercial/public sector installations, historically the major market driver in the United States. In 2010, each of these three segments accounted for over a quarter of nationwide new PV installations: 30 percent for residential systems, 42 percent for commercial-scale and 28 percent for utility-scale. The resulting diversified segmentation of the US PV market reduces the markets reliance on individual segments and business models. Furthermore, PV markets have been developing rapidly in new states such as Arizona, Nevada, New Mexico and Pennsylvania while continuing to expand strongly in traditional leading markets such as California,

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United States are currently located in the Midwest. However, the near-term growth prospects for the PV solar industry are highly positive for Illinois, as Governor Pat Quinn passed a RPS requiring 6 percent of the RPS to be obtained from PV sources by 2015. A range of statewide incentives and regulations have been enacted in Illinois to encourage the growth of PV installations, such as favorable net-metering rules; property tax exemptions for on-site commercial, industrial and residential systems; a bond program for renewable energy projects (which also covers other renewable energy technologies); and a solar rebate program funded by the Illinois Department of Commerce and Economic Opportunity worth up to 30 percent of project costs. A notable milestone was the installation of the first utility-scale PV installation in Illinois in 2010, Exelon City Solar, in Chicago. This 10 MW installation was built on a 41-acre brownfield site and is currently the largest urban solar installation in the country with over 32,000 PV panels. There are also another 52 MW of utility-scale projects currently under development in the state. On the solar manufacturing front, Illinois has already attracted Chinese investment from Wanxiang America Corporation, which celebrated the opening of a new $12.5 million, 40,000 square-foot solar module plant in Rockford last year. In addition, the company has agreed to partner with Chicago-based New Generation Power to supply modules for a 62 MW system near Rockfords airport in which has received $4 million in state funding. New Generation is slated to construct the first 10MW of the project in 2011. Another PV manufacturer already operating in the state is SolarBridge Technologies, which maintains an R&D facility for its inverter technologies in Champaign. The city of Chicago has long played an active role in encouraging new solar installations around the city. In 1999, the Chicago Solar Partnership was born under the leadership of Mayor Daley. This public-private partnership among Chicago, Spire Solar and ComEd, (the regional public utility) was at the time the most expansive solar project the US had witnessed. The Chicago Solar Partnership installed a citywide portfolio of 28 independently-operating commercialscale solar power systems collectively generating over 1.2 MW of power. These systems were installed on a range of buildings, including museums, schools, courthouses, parks, and affordable housing developments. The city currently offers grants of up to $150,000 from a Small Business Improvement Fund to commercial and industrial clients for solar system installations (PV and SHC) as well as a range of energy efficiency upgrades.

New Jersey and Colorado. The geographic diversification of the US PV market is evidenced by the fact that in 2007 only four US states had over 10 MW of installed capacity; in 2010, the number had grown to 16, with five states accomplishing levels of over 50 MW. This expansion can be partly contributed to a majority of states in the US establishing a Renewable Portfolio Standard (RPS) that requires utilities to supply a specified percentage of electricity used from renewable resources, which is an important way to expand state solar markets. The Midwest has historically underperformed when compared to other regions of the country in terms of PV installation figures. Apart from Colorado, none of the top ten states nationally in terms of totaled installed capacity in the

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(Green Building)

(Renewable Energy)

(Green Technology)

Future Developments
The utility-scale wind energy industry has experienced a substantial boom in the United States in recent years and the US Department of Energy has proposed a scenario of reaching a 20 percent wind energy contribution to national supply by 2030. Achieving this goal will require double digit growth in the sector over the next 20 years and over 250,000 MW of additional capacity. Illinois has stimulated in-state demand for wind energy by enacting a Renewable Portfolio Standard (RPS) in 2007 which mandates that 25 percent of all electricity generated by investor-owned electric utilities (EUs) and alternative retail electric suppliers (ARES) come from renewable sources by the year 2025. Within the 25 percent renewable portion, EUs and ARES will be required to generate 75 and 60 percent of the total via wind energy respectively. In regard to solar energy in Illinois, in late 2010, Governor Quinn signed the states so-called Solar Ramp Up bill, HB6202, which sets the state on a clear path to developing 750 MW of solar energy projects by 2016. The bill expands the states Renewable Portfolio Standard target to new electricity providers and amends it to include a solar carve-out mandating that 6 percent of the RPS come from PV sources by the year 2015. The bill sets annual interim targets of 40, 100 and 180 megawatts of new PV installations in 2012, 2013 and 1014 respectively, which should serve as a critical framework to help electricity producers and consumers ease into the solar market. The favorable policies recently enacted by state politicians have sent a clear signal to the solar business community that Illinois is committed to aggressively advancing the PV market in the state. The spike in demand for PV installations should subsequently influence many of the industrys leading project development/installation companies to open new branch offices in Illinois as well as lead to the emergence of new regional players in the sector. Furthermore, the strong growth in installations may also lead to increased solarrelated manufacturing activities in the state, as manufacturers tend to situate themselves near end markets.

Key Challenges and Opportunities for Bilateral Cooperation


The State of Illinois and the City of Chicago have demonstrated their commitment to renewable energies with significant incentives to encourage investment in wind and solar projects and have in the process created market opportunities for experienced renewable energy companies from Northern Germany. Chicago is already considered the countrys wind capital and provides an existing North American hub for several companies in the wind energy industry. In addition, there have been a number of high-profile solar developments in recent years and solar energy is expected to expand rapidly in the region in the near future. The US renewable energy market still lacks a cohesive regulatory framework and stable, long-term economic incentives and financing structures at the federal level. This has led to a disjointed marketplace that is characterized by significant state-bystate differences related to renewable energy regulations, incentive policies and financing structures. Wind and solar companies that are active in or interested in entering the US market must therefore strive to understand the varying state and regional-level variables that affect demand and develop corresponding segmented strategies.

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Abstract
In Hamburg, the new HafenCity district in the heart of town and the upcoming International Building Exhibition 2013 provide numerous possibilities for projects with reference to green building and innovative ways of energy supply. The first highlight was to be found at the World Exhibition Expo in Shanghai 2010 where the Hamburg House set new standards. But also when it comes to the reconstruction and modernization of buildings, Hamburg is among the front runners.

Current Situation: Facts and Figures


Buildings account for almost half of the total energy consumption in the federal states of Western Germany and about one third of the CO2 emissions. About 75 percent is caused by heating, another 15 percent by hot water. Thus, on the one hand modern and innovative concepts for new buildings are needed. On the other hand, by carrying out reconstruction or refurbishing measures individual energy savings of up to 90 percent are possible, however, they usually average about 50 percent. Three quarters of the existing buildings in Germany were built before the First Heat Insulation Ordinance was passed in 1979 and have only undergone minimal or no renovation at all as regards energy supply. Therefore, in Europe and Germany there is plenty of room and a large need for improvements. As a result, a number of political strategies and measures for energy-efficient building are in the process of being carried out. The German federal government is aiming for a climateneutral building stock by 2050 with energy consumption reduced by 80 percent and, the remaining 20 percent supplied by renewable energy sources. Various loan programs, tax reduction measures and regulatory action have been enacted to this end. In Hamburg, the Masterplan Climate Protection is a hotly debated subject. This development on a national and regional scale leads to the rapidly growing importance of all sectors connected to the building industry in some way architects, construction companies, energy providers and technical equipment firms.

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Sub-Sectors and Main Players


Hamburg stands six meters above sea level not much, especially when faced with the threatening impact of climate change and good reason to pursue a far-sighted urban development policy and press ahead with climate protection and preventive measures. Thus it is not surprising that Hamburg boasts a concentration of expertise in ecofriendly construction and sustainable urban development. the building. It was recently awarded the Building Exchange Award (BEX) by the World Green Building Council. Other examples in the HafenCity of best practices include the SAP Business Center, the H20 Building and the new HafenCity University building. The most important Hamburg-based architecture firms and city planning offices are: Bothe Richter Teherani (architects) Dittert & Reumschssel (architects) Drees & Sommer (project management) von Gerkan, Marg und Partner (architects) Spengler & Wiescholek (architects) wph Wohnbau und Projektentwicklung Hamburg GmbH (project management)

Architecture and Urban Planning


In the last decades, a fundamental structural change has taken place in our city: The container conquered the port. Thus, modern facilities and less space were needed. In the heart of city were some 160 hectares of undeveloped land and plans to build a whole new district the HafenCity. In addition, Hamburg is hosting the International Building Exhibition IBA in 2013. These two projects alone provided various possibilities for modern, energy-efficient building but also for renovating the existing housing stock. The first masterpiece was Hamburgs contribution to the World Expo 2010 in Shanghai: a passive house that consumes less energy than any other building in the world was the only direct contribution by a German city and is one of the few buildings to remain on site for long-term use. It was planned and built by the architectural firms Dittert & Reumschssel and Spengler & Wiescholek. It guarantees high living comfort with less than 15 kWh/(ma) energy required for heating and a total of less than 50 kWh/(ma) primary energy needed. This was rendered feasible by optimizing architectural matters, the building frontage and the energy equipment used. A geothermic heat pump was installed. The central air conditioning unit on the roof is fitted with a highly efficient heat recovery unit whose efficiency measures 90 percent (heating) and 80 percent (cooling). A photovoltaic plant measuring 450 square meters provides about 80 percent of the energy needed for operating the building. The Hamburg House is modeled on buildings in Hamburgs HafenCity. The most important example is the new German headquarters of the Unilever group. The Unilever Building is seven floors high. A special foil frontage made of synthetic materials protects it against wind, cold and strong solar influences. Daylight-controlled LED light is used throughout

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Construction Companies
The construction industry is a traditional sector of Hamburg. It has set standards with building projects such as the worlds largest warehouse complex (Speicherstadt), which was built on oak piles in 1883, or the first tunnel under a river (Old Elbe Tunnel) in 1911. The Hamburg-based construction industry currently employs 9,000 persons who generate sales of EUR 1.3 billion. The sector is strongly networked by the Construction Industry Federation of Hamburg (Bauindustrieverband Hamburg e.V.). Some of the leading companies include: Becker bau GmbH & Co. KG Bilfinger Berger GmbH Hochtief Solutions AG Max Bgl Bauunternehmung GmbH & Co. KG AUG. PRIEN Bauunternehmung (GmbH & Co. KG)

Technical Equipment
When it comes to technical equipment in buildings, the German market leader has its headquarters in Hamburg: Imtech Germany with almost 5,000 employees located in 60 branch offices is part of the Dutch Imtech Group. By aiming to reduce energy consumption of buildings in the long term, Imtech plans buildings and operates technical equipment for industry plants, airports, IT centers, hospital and office buildings. This includes fire protection, building automation, air conditioning, heating and cooling as well as sanitary engineering. Pretty much the same is done by Siemens AG whose headquarters in Northern Germany with some 1,500 employees are based in Hamburg. Besides these large companies several highly specialized Hamburg firms are operating in this sector, such as D+H Mechatronik AG, a world market leader in ventilation, or the highly specialized engineering office Trinius, a company highly specialized in planning sustainable buildings.

The International Building Exhibition IBA


What will the city of the future look like? Architecturally exciting, livable and as climate neutral as possible. How this is to be achieved can be observed at the International Building Exhibition (Internationale Bauausstellung, IBA), open until 2013 on Hamburgs Elbe island in the heart of the city. One of the key themes of the International Building Exhibition is Cities and Climate Change. Based on an energy atlas, city planners and organizers demonstrate that the electricity needed by 2025 and the heat power needed by 2050 can be provided by renewable and locally produced energy sources. The exhibition takes a new approach to improve energy efficiency by implementing a networked energy system in the quarter: new buildings are not only energy-optimized, but also intelligently linked.

Research and Development


There is a variety of universities and organizations in Hamburg doing research and consulting in the green building sector. The HafenCity-University is focused on building and urban planning and offers a Master study program in Ressource

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Efficiency in Architecture and Planning. The Hamburg Chamber of Crafts provides wide expertise in its Center for Energy, Water and Environment, combined with a large training unit. ZEBAU GmbH (Center for Energy, Building, Architecture and the Environment) is a joint project of the Hamburg University of Applied Sciences HAW, the Technical University Hamburg Harburg TUHH and the Hamburg University of Fine Arts (HfbK). ZEBAU provides consulting services on architecture and technical building systems, such as solutions for the integration of solar energy systems into building structures.

Future Developments
As shown in the first part of this chapter, green building is one of the most dynamic sectors in Germany. The German Energy Agency (dena) assumes that until 2030, 50 percent of the building stock in Germany will have to be renovated solely for static and physical reasons. By 2050, almost every building will have undergone renovation. This provides a world of opportunities for the implementation of green building concepts and measures, including the planning, construction and technical equipment of buildings. Based on the experiences in the HafenCity and the IBA, Hamburg architects and companies are ready to apply their knowledge worldwide.

Key Challenges and Opportunities for Bilateral Cooperation


The key challenge in Germany is to employ the potential of green building for climate and environmental protection and at the same time provide affordable living conditions for all societal groups at the same time. Thus, innovative financing models and substantial public funding is needed. Additionally, consulting and support for house owners, tenants and consumers will need to be intensified. Architecture and building have a long tradition in Chicago. The names of German-based architects such as Mies van der Rohe or Helmut Jahn are synonymous with substantial contributions to the city`s architecture. There is a major interest in Chicago to share experiences made in Hamburg and Northern Germany. As early as 2009, the two cities signed a memorandum of understanding in this field. Having hosted the world`s largest exhibition on green building, the GreenBuild in 2010, the infrastructure for further development exists.

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Abstract
As the recognition of the need to create a more sustainable society grows in the United States, there is increasing attention given to the built environment as a whole. The movement has grown slowly but surely and new buildings are significantly more energy and resource efficient than they were even 20 years ago. The City of Chicago has been an extremely influential city in the green building movement. This section explores its history and major players in the United States, while highlighting the City of Chicago and its recent programs and pioneering initiatives promoting green building. Environmental Design (LEED) Green Building Rating System and Greenbuild, the premiere green building conference and expo that promotes the green building industry in the United States. Although LEED has become the most publicized benchmark for green building innovation in the US, it is also important to highlight other, complementary rating systems, building standards and certifications. ASHRAE (American Society of Heating, Refrigerating and Air-Conditioning Engineers) standards and the EnergyStar program administered by the US Department of Energy are the other two top certification processes that are used and accepted in the United States. Due to the lack of a single, standardized green building code, the three of these often build off and reference each other. As an example of this cooperation, USGBC and ASHRAE developed the ASHRAE Standard 189.1, the Standard for the Design of High Performance Green Buildings, in conjunction with the Illuminating Engineering Society of North America. Published in 2010, Standard 189.1 is to provide significant energy reduction and essentially replace the older Standard 91.1-2007.

Development of Green Building


Unlike in Germany, the United States does not have a national, standardized building code. Building codes are set by state and local authorities and often considerably differ from city to city. To further the green building movement however, the US Green Building Council (USGBC) was founded in 1993. This non-profit trade organization that promotes sustainability in building design is best known for the development of its voluntary Leadership in Energy and

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Current Situation: Facts and Figures


Green building offers an immense challenge and opportunity in the United States. Per the USGBC and the US Department of Energy, buildings are responsible for approximately 40 percent of the total energy consumption in the United States, including 75 percent of electricity and 1/8th of the water. Buildings are also responsible for 39 percent of total carbondioxide emissions given off by the United States. However, the building sector represents 15 percent of GDP per year, making green building a source of significant economic and environmental opportunity. According to the USGBC, improvements in building efficiency can meet 85 percent of future US demand for energy, and a national commitment to green building has the potential to generate 2.5 million American jobs. The USGBC has achieved tremendous success in recent years, with its LEED Green Building Rating System driving green building market. Nationally, the amount of square feet of space certified under LEED for Existing Buildings: Operations and Maintenance grew by 72 percent from 2009 to 2010. The EnergyStar program has also seen growth on a national level, with the number of Energy Star certified buildings and plants growing 43 percent from 2009 to 2010. Chicago, a city known for iconic American architecture, was one of the first cities to adopt the LEED Green Building Rating System. On May 19, 2011, a press release from the USGBC announced that Chicago now has the highest number of square feet of LEED certified green building projects of any city nationally with 71 million square feet. Of that total, there are 736 LEED projects that are either already certified or currently in the certification process in Chicago. Chicago will most likely continue to stay at the forefront of the city rankings, as it was mandated in 2004 through the Chicago Standard, that all city funded construction and large renovations must meet the requirements for a minimum of LEED Silver certification. Illinois has been a longtime supporter of green building initiatives and legislation. Overall in Illinois, LEED for Existing Buildings projects account for 13 percent of the 440 LEED certified and 960 registered projects across the state. In Illinois, the amount of square feet of space certified under LEED for Existing Buildings: Operations and Maintenance grew faster than the national rate, nearly quadrupling from 2009 to 2010. As a state, Illinois is currently ranked 6th in LEED project rankings, following after California, Texas, New York, Florida and Pennsylvania respectively.

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Main Players and Initiatives


The main players within the US green building sector are the institutions and organizations that offer accepted green building certification, many of which have already been referenced above. The LEED Green Building Rating System is arguably the most influential measure that has been instituted in the green building movement because it provided a voluntary, market-driven and consensus-based rating system that is nationally accepted. For the LEED scoring system, buildings receive a score based on many different factors, and depending on how many points the building receives, it is certified as one of the following levels: Certified, Silver, Gold, or Platinum (with Platinum as the highest level of certification awarded). EnergyStar is a US labeling system, which offers an award system for energy efficient appliances and building materials, as well as an energy efficient building rating system for commercial and private buildings. EnergyStar is a joint program developed by the US Environmental Protection Agency (EPA) and the US Department of Energy (DoE). ASHRAE aims to advance the sciences of heating, ventilating, air conditioning and refrigerating, providing standards ensuring sustainable practices for these systems; thus, ASHRAE takes an important position in the impacting building standards in the US. The International Code Council uses ASHRAE standards as the basis for developing and updating the International Energy Conservation Code, therefore ASHRAE standards also provide important guidance for the US building sector. Building codes are generally developed at state and city level; for example, the state of Illinois has the Illinois Building Energy Codes, and the City of Chicago uses the Chicago Energy Conservation Codes, which are both based on ASHRAE standards. The Chicago Climate Action Plan (CCAP) and the Chicago Standard have played a large role in expanding the green building sector in Chicago. CCAP, an initiative launched in 2008 with a comprehensive and detailed strategy for lowering the citys greenhouse gas emissions, focuses on green building as one the most important aspects of lowering the citys green house gas emissions. As one of the CCAP initiatives, the Chicago Department of Buildings Green Permit Program provides developers and owners with expedited permitting and discounted consultant fees as an

incentive to build green. Residential projects are usually enrolled in the Chicago Green Homes Program, a voluntary certification program for Chicago homeowners which in 2010 had over 250 homes enrolled. The first passive house built in Darmstadt, Germany in 1990, was led by the German Passive House Institute. Many of the low-energy techniques used in the design of the passive houses widely accepted in Germany are only just beginning to gain awareness in the US. The US Passive House Institute (PHIUS) was founded in 2008 in Urbana, IL and is the certified Passive House authority for the United States. The founding of this institution was a major step forward in the development of passive design techniques and the expansion of the passive house market in the United States. Especially the tremendous growth rates of PHIUSs Passive House Consultant Training programs all over the country show the sincere interest in green building innovation and development. One of Chicagos most prominent buildings has played a significant role in raising awareness of green building techniques. Chicagos City Hall building features a rooftop garden, a building strategy that is awarded points by LEED. First planted in 2000 after an inspirational visit of Mayor Daleys to Germany, the City Hall rooftop garden was constructed as a demonstration project. As a result, Chicago now has more square feet of green roofs than any other city in the United States with over 500,000 square feet currently installed. In both 2007 and 2010, the City of Chicago hosted USGBCs annual Greenbuild International Conference & Expo. Greenbuild features three days of extensive green building educational sessions and workshops, a vast exhibition floor

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(Green Building)

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(Green Tech

of over 1,000 exhibitors, and numerous networking events. Attendees come from around the world, and include architects, engineers, facilities managers, developers, contractors, builders, interior designers, product manufacturers, and government representatives. From 2007 to 2010, Greenbuild experienced a 40 percent growth in attendance with 20,000 attendees in 2007 and more than 28,000 in 2010. The fact that Chicago has hosted the premiere green building conference twice within the last 5 years shows how influential the city is within the green building sector.

building efficiency and more financing opportunities for commercial retrofits. The Better Buildings Initiative complements initiatives the President had already launched for government and residential buildings, including the $20 billion in funding for building energy efficiency in the American Recovery and Re-investment Act (ARRA). ARRA provided the US General Services Administration $5.5 billion to improve the energy performance of existing buildings and to start building a new generation of energy efficient buildings. Through ARRA investments in programs like the Weatherization Assistance Program, Better Buildings, and the Energy Efficiency and Conservation Block Grant, there is a plan for the retrofitting of 600,000 residential homes. Notably, on a federal level, the President also signed an Executive Order directing federal agencies to achieve zero net energy by 2030 and employ high-performance and sustainable design principles for all new construction and alterations. This includes every existing federal building undergoing an energy audit, which is a huge potential market for service providers. Government owned or occupied LEED buildings make up 28 percent of all LEED projects. The federal government has 398 certified projects and another 3,713 pursuing certification. State governments have 589 certified projects and 1,982 pursuing certification. Local governments have 877 certified projects and 3,221 pursuing certification.

Future Developments
The federal government has begun to play a more prominent role in the green building sector through new legislation and stimulus packages. In his February, 2011, State of the Union address, President Obama announced the Better Buildings Initiative. The President proposed new efforts to improve energy efficiency in commercial buildings across the country. The Presidents Better Buildings Initiative aims to make commercial buildings 20 percent more energy efficient over the next decade by catalyzing private sector investment through a series of incentives to upgrade offices, stores, schools and other municipal buildings, universities, hospitals, and other commercial buildings. This 20 percent increase in efficiency by 2020 is forecasted to reduce companies and business owners energy bills by approximately $40 billion per year. This plan includes new tax incentives for improving

Key Challenges and Opportunities for Bilateral Cooperation


Even with the recent growth in green building, achieving sustainability on a large, nation-wide scale is still very far off. Green buildings and other green products remain very small percentages of total market shares and the wide array of existing building codes offers ample opportunity for cooperation and consolidation. As described in the USGBC: Strategic Plan 2009-2013, only 3 percent of new commercial buildings in 2007 met at least a minimum green standard and only 0.2 percent of new residential construction was built green.

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envIronmental technology and green Infrastructure

Current Situation: Facts and Figures


As a city-state Hamburg will depend on resource-efficient infrastructures and sustainable environmental technology in the future. The effects of climate change and limited resources will have an impact on this city. Innovative advances from the applied environmental technology sector are helping to address these vital issues and meet the challenges of our times. A sustainable lifestyle, and active climate and environmental protection require the responsible, careful and efficient use of the earths natural resources, sustainable water management, comprehensive waste recycling and waste-to-energy. Although the recycling industry is comparatively small this sector offers great potential for climate protection and has accounted for a 25-percent reduction of CO2 in Germany in the last 15 years. In addition, the recycling industry links sound management to important ecological aspects.

Abstract
As the second largest city in Germany, Hamburg is home to several businesses in all fields of environmental technology. The waste and recycling industry is based on a traditional division of labor between public and private companies allowing sustainable growth. Hamburg Wasser is Germanys largest municipal supplier of drinking water and waste water removal owned by the state. Hamburg is also one of the model regions in Germany for electric mobility. Highly specialized small- and medium-sized enterprises are among the market leaders in their sub-sectors, e.g. for producing filtration systems.

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Sub-Sectors and Main Players


Waste Management and Recycling
Hamburg is a center of waste and recycling management in Germany with public and several private companies working well together. The Hamburg Waste Management (SRH) is Hamburgs largest service provider in this sector. With some 2,450 employees it operates as a full-service partner for municipal, commercial and residential customers collecting residual, organic and residential waste in an estimated 900,000 households. A public institution since 1994, Hamburg Waste Management operates the biogas plant Stellinger Moor with an output of two megawatts and the connected combined heat and power unit (CHP) as well as 14 recycling centers. Buhck and Otto Drner are two family-run, traditional Hamburg waste management groups specialized in the removal of commercial waste and construction debris. Veolia Umweltservice, with over 10,000 employees and based in Hamburg, offers firsthand individual strategies and customized solutions for the collection, removal and sorting of all kinds of waste including recycling and recovery. By not relying on landfills Hamburg committed itself to climate-friendly waste management at an early stage. Promoting and optimizing waste recycling and waste-toenergy add up to further savings potential. The generation of heat and power by waste-to-energy facilities has helped reduce the use of fossil fuels. Thus, energy recovery and a reduced use of primary resources go hand in hand. In the interest of increasing resource efficiency the City of Hamburg started a recycling awareness campaign this year. By strictly separating waste and recyclables the city aims at reducing CO2 by an annual 100,000 tons until 2012. In 2009, up to 13 percent of the raw material needed was met through recycling and waste-to-energy. Thus, the secondary raw materials sector has become one of the leading suppliers of raw materials for domestic industry. The recycling industry is gaining increasing importance for major companies in the primary industrial sectors, to mention one, Aurubis AG, Europes largest copper mill.

Water Management
In addition to waste and recycling management sustainable water management is an important area of applied environmental technology in Hamburg. Application ranges from planning and servicing water supply mains and wastewater disposal to employing technologies for efficient and effective water use, treatment and purification, and

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developing modern water management concepts. Hamburg Wasser is Germanys largest municipal supplier of drinking water and wastewater removal owned by the city-state. Within the scope of its Competence Network Future Technology Hamburg Wasser is carrying out pilot projects in the recovery of water and the generation of heat from wastewater.

battery-powered vehicles in public and commercial transportation. Last November Daimler AG introduced the use of battery-powered electric vehicles, which with the aid of Hamburg Energie, Vattenfall and Deutsche Bahn can be recharged at one of 100 charging stations. The Hamburger Hochbahn AG (operators of the Hamburg underground system and large parts of the bus system) and Mercedes-Benz have been operating the worlds largest fuel cell bus fleet in Hamburg for years. Karabag is a Hamburg-based company that is already successfully marketing electric vehicles. Care-Energy, an energy provider and part of the MK Group Holding GmbH, is another supplier of electric vehicles and smart charging stations.

Electric Mobility and Fuel Cell Usage


To a growing extent, major cities will be measured by how successfully they confront urban traffic congestion and implement sustainable mobility. In this area Hamburg has set international standards for years whereby the international hub for trade and transport has made climate-friendly urban commercial transport top priority. Hamburg companies have also discovered that sustainable mobility constitutes an economic factor. A survey conducted by the Chamber of Commerce revealed that almost 79 percent of the respondents can well imagine using hydrogen- or electricpowered transportation for getting around, even if greater cost is involved at present. The founding of hySOLUTIONS GmbH as a public private partnership in July 2005 was an important step towards promoting the use of fuel cell and hydrogen technology in Hamburg. Today, the company coordinates a large number of projects in urban transportation, air traffic and shipping in close coordination with policymakers and various partners from the business and academic communities. After Hamburg was named one of eight model regions for electric mobility hySOLUTIONS was able to extend its scope of tasks entailing the coordination of several pilot projects for the use of

Other Sub-Sectors
Lufthansa Technik is one of the leading manufacturerindependent providers of maintenance, repair, overhaul and modification services in the civil aviation industry. Mahle Industriefiltration GmbH and Rochem UF-Systeme GmbH are two companies headquartered in Hamburg and specialized in industrial process filtration of residential, industrial and marine wastewater treatment. Verewa Umwelt- und Prozessmesstechnik GmbH develops beta emission and ambient monitors, and total mercury analyzers. Eppendorf AG provides equipment for the field of biotechnology. It develops, produces and distributes systems for use in life science research labs worldwide. MTG Marinetechnik GmbH is specialized in all areas of maritime technology.

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NBB NORD Bohr und Brunnenbau GmbH offers measuring and pumping systems and specialized drilling for the water and energy industries. In addition, companies specialized in technical building services such as Imtech Deutschland and D+H Mechatronik (see chapter Green Building), offer products and services for measurement and control systems, ventilation and heating technology also for other areas of use.

Future Developments
leaps and bounds in the next few years. Given the growing shortage of raw materials worldwide the waste management and recycling sectors are key growth areas for the society of tomorrow calling for an integrated product policy that uses all the options of recycling and refurbishing. Electric mobility will gain particular awareness and interest in Germany. The federal government has set its focus on becoming the worlds lead market in this area and plans on putting 100,000 electric vehicles on the road by 2014 and 500,000 by 2017. By 2020 the product is expected to be ready for marketability.

Research and Development


The Department of Environmental Technology at the Hamburg University of Applied Sciences (HAW) offers Bachelor and Master study programs. The Technical University Hamburg Harburg (TUHH) also operates several departments related to environmental technology, including the Institutes of Environmental Technology and Energy Management, Wastewater Management and Water Protection, Thermal Process Engineering and Energy Management. The Helmut Schmidt University offers a Master study program in energy and environmental technology. Every two years the TUHH organizes a symposium on waste disposal technology in Hamburg. The Hamburg Waste Management launched a new series in 2011 entitled Hamburg T.R.E.N.D. The Waste Management Association North with headquarters in Hamburg is the industrial federation for the waste management industry in northern Germany.

Key Challenges and Opportunities for Bilateral Cooperation


The Hamburg metro area is one of the most successful industrial bases in Europe offering wide industrial diversity. However, many of the energy- and raw material-intensive companies, particularly in the primary industry, are in a strong competitive environment. Therefore, the main challenge for these companies is to hold onto their positions as trailblazers in environmental technology without causing too many companies from this sector to relocate. Given the political conditions in Germany and a keen environmental awareness, environmental technologies are to a large extent far more advanced in the German market than in the U.S. market. Companies, authorities and citizens alike can profit from the experiences of German companies in virtually all sub-sectors waste, water, and mobility. As the second largest city in Germany, Hamburg has specific know how and special expertise in this field.

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envIronmental technology and green Infrastructure

Current Situation: Facts and Figures


The Municipal Solid Waste (MSW) sector involves the collection, disposal and recycling on non-hazardous solid waste and is comprised of five general lines of business: waste collection, landfills, transfer stations, recycling and wasteto-energy. In the US market, smaller industry players tend to focus on only one of these activities while the larger companies in the MSW space tend to be vertically integrated along these business lines. According to a 2011 Industry Survey by Standard & Poors, the MSW industry generated revenues of roughly $54 billion in 2010 from an estimated 243 million tons of waste. The relatively fragmented and highly competitive MSW industry continues to consolidate on a national level. Two major players Waste Management, Inc. and Republic Services lead the industry with a combined 37 million customers. Only 17 percent of the $54 billion in 2010 industry revenues were accrued by the 4,000 smallest, privately-held companies operating in the space.

Abstract
The environmental services industry in the United States encompasses four major segments which combined generate annual revenues of over $200 billion: Solid Waste Management, Water Supply and Treatment, Air Pollution Control and Environmental Remediation and Consulting. This section discusses the national and local markets for the Solid Waste Management and Water Supply and Treatment industries.

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The United States water supply and treatment market is comprised of multiple segments, with the major areas of activity being water supply systems and wastewater treatment. At this time, roughly 98 percent of wastewater systems in the country are municipally owned and operated. Municipalities are responsible for water supply systems accounting for a combined total of approximately 85 percent of all water industry revenues, with investor-owned utilities accounting for around 15 percent. The non-municipal water utilities market has consolidated over the past decades in 2010, there were only 11 publicly-traded, non-municipal water utilities compared to 23 during the 1990s. The EPA estimates that there are approximately 52,000 community water systems located throughout the country, of which only 404 are considered very large and serve more than 100,000 citizens while 83 percent of these systems serve fewer than 3,300 people.

Sub-Sectors and Main Players


Solid Waste ManagementRecycling Programs
There are several noteworthy long-term trends related to the greening of the MSW industry. A steady rise in recycling and other waste diversion programs nationwide has significantly lowered the percentage of trash that ends up in traditional landfills. In 2009, only 54 percent of the countrys combined waste was disposed of in landfills, while 34 percent was recycled or composted and 12 percent was incinerated to generate energy. In comparison, only 6 percent of all waste was recycled in 1960, 10 percent in 1980, 16 percent in 1990 and 29 percent in 2000. This dramatic rise in recycling rates is in large part fueled by the growing number of municipalities offering curb-side recycling programs and/or drop-off sites as well as the commitment of many businesses to lower amounts of waste produced. Single-stream recycling programs, whereby mixed recyclables are sorted at a recovery center rather than by households before collection, are rapidly growing in popularity. High international commodity prices for recovered materials ensure industry profitability. China is the largest target market for the United States recycled materials and currently purchases over two-thirds of Americas recovered paper, roughly half of recovered plastics and roughly $7 billion worth of scrap metal annually in recent years. The recycling of discarded electronic products (or e-waste) is a rapidly-growing niche market. While there are currently no federal regulations regarding the disposal of e-waste, 23 states (including Illinois) currently have legislation requiring electronics manufacturers and/or retailers to either implement their own take-back programs or pay for their recycling. Furthermore, the composting industry is growing at roughly 20 percent annually, with a growing number of cities implementing centralized composting programs for their residents food and yard waste. A wide range of stakeholders are active in the thriving recycling industry in Illinois. The non-profit Illinois Recycling Association (IRA) was formed in 1980 and currently counts 250 diverse members from the businesses, governmental and non-profit sectors. One of the IRAs aims is to promote market development that encourages sound recycling initiatives. To this end, the IRA co-hosts an annual Recycling and Waste Management Conference and Trade Show that

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envIronmental technology and green Infrastructure

more units. These private companies are legally required to offer residents recycling services in addition to standard waste collection. For its part, Chicago manages 33 recycling drop-off centers around the city and in 2008 introduced a single-stream curbside recycling collection program (the so-called blue cart program) for residents who are served by city trash collectors.

Solid Waste ManagementWaste-to-Energy


The other major green facet of the solid waste management industry is the use of advanced technologies to convert waste into usable forms of energy, either through incineration (waste-to-energy, or WTE) or by capturing the methane gases that emanate from landfills (landfill gas-to-energy, or LFGTE). There are currently 89 operational WTE plants in the United States, the majority of which are owned by Covanta Energy Corp (45 facilities) and the Wheelabrator Technologies unit of Waste Management Inc (16 facilities). According to EPA data, there are currently 551 LFGTE projects in operation nationwide that generate the equivalent of 1,697 MW of electricity. The EPA also lists an additional 510 candidate landfills that have expressed interest in or are actively planning LFGTE projects, which combined would increase capacity by another 1,165 MW. The persistence of high fuel and electricity costs and growing interest in alternative energy sources should lead to increased demand for additional WTE and LFGTE projects in the future.

brings together hundreds of industry attendees from Illinois and the greater Midwest region.

Individual sectors of the statewide waste recycling market have benefited from legislation mandating the recycling of certain materials. For instance, the state government passed an e-waste law in 2008 which has strengthened the demand for e-recycling and led to the growth of innovative Illinois businesses such as Advanced Technology Recycling, Belmont Trading Company, Creative Recycling Systems and Great Lakes Electronics Corporation. Furthermore, a 2005 Chicago city ordinance requiring the recycling of Construction & Demolition waste has led to a high rate of recovery for materials such as concrete, steel and other building materials and has benefited a number of companies focused on this market niche such as C&D Recycling LLC, Cornerstone Material Recovery, Inc. and MBL Recycling. The national increase in recycling rates has also benefited manufacturing organizations in Illinois such as Crystal Lake-based General Kinematics, a leading international producer of recycling processing equipment such as sorters for single-stream recovery facilities around the world. The city of Chicago currently operates a hybrid waste collection system whereby city workers collect trash for roughly 600,000 low-density residential buildings while private companies serve high-density buildings of four or

Water Management
As the water supply industry directly impacts public health, municipal and investor-owned water supply and treatment companies operate in one of the most heavily regulated industries in the country. Moreover, the high level of required capital constitutes a significant market entry barrier for new industry players. However, a large number of non-regulated supporting companies are also active in the sector in fields such as equipment manufacturing, infrastructure construction, consulting, chemicals supply and operations and maintenance.

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The water infrastructure construction segment is a relatively fragmented market comprised of some 3,000 smaller consulting, design and construction firms which cater to utilities in the water supply and water treatment markets. Even more fragmented is the water treatment equipment market, which consists of companies that design, manufacture and sell various types of related equipment including purification and filtration systems, desalination systems, pumps and filters. This market segment is made up of over 10,000 small companies, while there are now only five large publicly-traded companies operating in the space following several notable acquisitions. Chicagos Department of Water Management delivers close to 1 billion gallons of fresh water to the residents of Chicago and 125 suburban communities every day. The Department of Water Management maintains the sewer system infrastructure which delivers waste water and storm water to the Metro-

politan Water Reclamation District of Greater Chicago. The Department of Water Managements primary responsibility is to maintain the integrity of the water distribution system, which includes over 47,000 fire hydrants, 48,000 water control valves, 56,000 sewer structures and a combined total of over 9,000 miles of water and sewer mains. The Metropolitan Water Reclamation District operates seven modern treatment plants for residential and industrial waste water that process roughly 1.4 billion gallons of waste water each day.

Future Developments, Key Challenges and Opportunities for Bilateral Cooperation


Chicago has not yet been able to extend the blue cart recycling program to all city neighborhoods, resulting in a significant discrepancy in recycling rates between Chicago residents who have city waste management services and those with private sector service (only 8 percent of all waste was recycled by those with city service compared to 19 percent with private service). The recent announcement that Chicago will privatize all municipal waste services should therefore create significant opportunities for local private-sector companies in the recovered materials industry as recycling rates are anticipated to rise following privatization. In the waste-toenergy sector, Illinois is currently the focus of negotiations to build a plant in Gibson City which would be the nations first large-scale facility converting hazardous industrial waste into energy using plasma-gasification technology. According to a 2009 study by the American Society of Civil Engineers, the water and wastewater market nationwide will require investments of over $390 billion over the next twenty years in terms of upgrades to existing systems and the erection of new infrastructure in order to maintain adequate conditions. The need for capital-intensive improvements and expansions to these systems coupled with tight local government budgets has already led to a rise in privatization of wastewater systems as well as a marked increase in the rise of various forms of public-private partnerships. This level of required investment in the coming years indicates sizable opportunities for companies operating in the space.

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