Mr S Iswaran at the Official Launch of the EWT Centre of Innovation & Envirotech Capability Development Programme

SPEECH BY MR S. ISWARAN, SENIOR MINISTER OF STATE FOR TRADE AND INDUSTRY, AT THE OFFICIAL LAUNCH OF THE ewt CENTRE of innovation & ENVIROTECH CAPABILITY DEVELOPMENT PROGRAMME AT THE NGEE ANN POLYTECHNIC AT 10AM ON TUESDAY, 1 JULY 2008

Mr Chia Mia Chiang, Principal, Ngee Ann Polytechnic

Distinguished Guests,

Ladies and Gentlemen,

Good morning,

Introduction

I am happy to join you today for the launch of two new initiatives in environmental technology.These initiatives aim to enable SMEs to exploit environmental technologies and thereby seize the immense opportunities in the global market in this field.

Growth Opportunities

The global focus on environmental issues and the industry is at unprecedented levels and attributable to mounting concerns over climate change and rising energy prices. In response, some countries are developing sustainable eco-friendly communities, such as the town of Hammerby in Sweden and the Sino-Singapore Tianjin eco-city in China. Governments are taking significant measures to secure alternative energy resources for the future. For example, the United States is building one of the world’s largest solar fields in the Mojave Desert to supply clean energy to California over the next decade.

Companies too are exploiting technology to go green and boost their revenue. Automobile makers like Toyota and General Motors are seriously looking into hydrogen and fuel cell technology as alternative fuel for vehicles. General Electric has directed all its business units towards “Ecomagination”, a business initiative to produce eco-friendly products. Through Ecomagination, GE has tripled its clean products portfolio and achieved 15% revenue growth in 2007 over the previous year.

According to a survey by EnviroAsia, an Asian trade event for the environmental industry, the Asian market for environmental goods and services is expected to reach a value of US$50 billion in just two years’ time[1].

Singapore Environmental Industry

In Singapore, the environmental industry consists of 3,000 companies, generating an output of $7 billion and employing 35,000 people. It is a key strategic growth area in our economy as Singapore certainly has the potential to become an “Eco-Hub” for environmental sustainability.

Last week, Singapore hosted the first Singapore International Water Week. It showcased the capabilities of our water industry in developing the latest water recycling and treatment technologies, and placed us on the global stage alongside other major players in the water industry. We have the potential to do the same for the other emerging environmental sectors.

Launch of the EWTCOIandEnviroTech CDP

To help enterprises tap into the growth opportunities in this sector, I am pleased to announce the launch of two new initiatives. The first is the official opening of the Environmental and Water Technology Centre of Innovation or EWT COI. Ngee Ann Polytechnic, with support from SPRING Singapore, has set up this $7.6 million applied research facility to help local enterprises leverage on technology to develop commercially viable solutions. The industry’s response to the EWT COI has been encouraging. To date, the centre has undertaken more than 35 projects, 25 of which are with SMEs. Twenty more projects are in the pipeline.

Recognising that technology development involves a certain degree of cost and risk, SPRING is launching a second initiative today - the EnviroTech Capability Development Programme or ETCDP to provide financial support for environmental SMEs to develop new capabilities, ranging from product development to commercialisation. Together, these two initiatives, the EWT COI and the ET CDP, provide a comprehensive solution for our SMEs in the environmental sector to upgrade their capabilities in new product and process development.

Industry Projects using both EWTCOI & EnviroTech CDP

Several companies have successfully developed innovative technology solutions by leveraging on both initiatives. Amongst them is an industry collaboration project. Resorts World at Sentosa, two local SMEs - Etha Engineering and Prima Research - and the EWT COI teamed up to develop a first-of-its-kind eco-cooling hybrid system for the outdoor areas of the Sentosa integrated resort. This special climate control system revolutionalises the way outdoor areas are cooled. Through the use of solar energy, special canopies and water, it is able to cool the outdoor areas with 40 per cent less energy consumption as compared to normal air-conditioning. Resorts World at Sentosa estimates that it will save some $1.3m per year in terms of energy costs.

Dayen Aqua-Blu is another environmental SME that has tapped on the new initiatives to develop a unique water disinfection system that uses ultraviolet (UV) light to purify large amounts of water for industrial and home use. This system has the potential to replace current water disinfection technologies that use chlorine and ozone, both of which can be hazardous to public health and the environment. Test results from NUS show that this system is one and a half times more efficient than similar models from the US and Europe.

I urge all of you to draw inspiration from these two successful SMEs - to develop niche solutions through technology innovation to improve your capabilities and sharpen your competitive edge.

Conclusion

On this note, I congratulate Ngee Ann Polytechnic for its leadership in setting up the EWT COI to support our local enterprises. This is a significant step in developing Singapore into a hub for environmental sustainability solutions. I would also like to thank the three environmental associations – the Sustainable Energy Association of Singapore, the Singapore Water Association, and the Waste Management & Recycling Association of Singapore - for the strong support they have rendered to the EWT COI. They have been playing an active role in the COI advisory committee in guiding the centre to support SMEs keen on innovating and adopting technology.I wish all of you much success in this exciting, promising and important field.

Thank you.

[1]The Asian market in 2007 accounted for $37 billion of the environmental industry. Source: EnviroAsia 2007