Clean Technology Industry Capability TeamsDesign Workshops

November 2011

ProgramWorkshop introduction

Team formation and operations

Customer Perspectives - What customers are looking for from cleantech solutions and why they are not buying more of them.

Role of integrators

Break

Cleantech Case Study

Discussion on barriers and team design

Summary, next steps and team formation

Networking

4

Two Views of Cleantech1. Increases resilience and productivity of

existing industry– Enables the ‘greening’ of old industry

2. Builds the industries of the future– Creates a different future

5

6

Clean Technology Industry Capability Teams

Ryan Herbert & Sean McDonald, Supplier Advocate program

Supplier Advocate program

Leadership in targeted sectors

Industry development strategies:

Address key challenges

Raise competitiveness and capability

maximise opportunities on basis of value for money

Build on existing industry and government initiatives

Practical activities with real benefits to firms

Supplier Advocate Sectors

Rail Bruce Griffiths

Clean Technologies

Water Bob Herbert

Information Technology Don Easter

Steel Dennis O’Neill

Textile, Clothing and Footwear Tony Quick

Built Environment John Gaskin

Australian Clean Technologies Ideas Competition

Launched by Innovation Minister Senator Kim CarrSeeks to identify innovations to address climate change and sustainabilityAssist Cleantech SMEs connect with venture capital and business development servicesWinner competing in international competition in San Francisco in November 2011Finalists received a range of mentoring and business services to develop their business idea

Wayne Ryan, SMAC Technologies

Sectoral Development Strategies

Clean technologies covers many sectorsFocusing on Lighting and Construction DemolitionIdentify key barriers to accessing opportunitiesCustomer engagement strategies

INITIATIVES TO BENEFIT SUPPLIERS

Cleantech capability portal on ICNL database

cleantech.icn.org.au

www.enterpriseconnect.gov.au

Free Business Review- Tailored Advisory Services (TAS) provide matched-funding

grants (of up to $20,000), to implement recommendations from the Business Review.

CAPABILITY TEAMSHelping companies work together to tackle opportunities and promote capabilities.

Ongoing initiative assisting Australian water firms take a concerted approach to local and global markets.

Water Teams delivered in partnership with waterAUSTRALIA

Clean Technologies Teams delivered in partnership with Australian CleanTech

CAPABILITY TEAMS – WHAT?

Industry Capability Teams will…

Operate in up to five different market segments for each the cleantech and water sector

Unite companies with complementary products and services

Be industry-driven and chaired by industry members

Pursue opportunities and develop and market members capabilities as a group

CLEAN TECHNOLOGIES CAPABILITY TEAMS

Target Customer Groups such as:

the Built Environment, Mining/Resource and Minerals Processing, Food Processing, SME Manufacturing, International Aid Development.

Contact cleantech-teams@auscleantech.com.au for more information

Or see www.auscleantech.com.au

CAPABILITY TEAMS – WHY?

Capability Teams members will have the opportunity to…Participate in joint promotions, marketing visits and trade fairs

Contribute to joint communications, advertising and promotional literature

Engage with domestic and international customers

Collaborate to bid for projects and packages

Establish networks and connections with other suppliers

Participate in forums to discuss new opportunities

CAPABILITY TEAMS – HOW?

Membership

Voluntary

Australian-based cleantech related company or organisation

Need commitment and active participation

Members will participate in showcasing events and meet to -Discuss opportunities

Determine promotional activities

Network

DEPARTMENT OF INNOVATION, INDUSTRY,SCIENCE AND RESEARCH

Industry House10 Binara StreetCanberra City, ACT 2601, AustraliaTelephone +61 2 6213 6000

Clean Technologies Supplier Advocatewww.innovation.gov.au/SupplierAdvocatescleantechadvocate@innovation.gov.au

Introductions and Practicalities

John O’Brien

INTRODUCTIONS

Possible Capability Team Activities

Sharing Market intelligenceBuilding customer awareness and trustComplementary products and services - big companies buy systems not componentsCollaborating on channels to market – joint pitching to big companiesSharing sales expertiseSharing costs of market expansionLocal presence & rapid responseTrusted partners

PROCESS

Team Formation Process

November 2011 – National workshops

Dec/Jan 2012 – Team Design

Feb/Mar – Team Formation Workshops

Apr 2012 – Teams operational

SPEAKERSClick on links on speakers’ names to download slides

City Customer Speakers Cleantech Speaker

Perth• Stevan Green, MD,SUSOP • Karen Boyce, Manager Environment & Sustainability, Tiwest JV• Carl Barratt, Sustainability Manager, BGC (Australia)

Michael McCann, Managing Director, UniFlow Energy

Melbourne• Dexter Clarke, Manager Cleantech, Futuris Automotive Interiors • Scott Bocskay, CEO of Sustainable Melbourne Fund

Colin Knowles, HySSIL

Dandenong• Dexter Clarke, Manager Cleantech, Futuris Automotive Interiors • Matt Nettleton, Corex Australia,

Gary Bertuch, HySSIL

Adelaide• Dexter Clarke, Manager Cleantech, Futuris Automotive Interiors • Ros de Garis, Sustainability Manager, Adelaide Brighton• Angie Stokes, Sustainability Manager, OneSteel

James DiLiberto, AZZO

Canberra• Darren Doogan, CEO, Hindmarsh Construction • Marcus Dawe, GreenMag Group

Sylivia Tulloch, Director, Dyesol, EcoQuest, Uniflow

Sydney CBD• Victoria Rose, IHG• Melanie Koerner, ARUP

Colin Fisher, MD, AquaCell

Newcastle• Peter Bergin, Group Manager Business Improvement, Centennial Coal• David Cork, MD, Corky's Group

Jim Grant, CEO, EcoFlex

Brisbane• Dexter Clarke, Manager Cleantech, Futuris Automotive Interiors • Mike Duggan, Eco-specifier global

Steve McRae, MD, Ingenero

Sunshine Coast• Dexter Clarke, Manager Cleantech, Futuris Automotive Interiors • Peter Kelly, GM, Technical Services, Ritek Building Solutions

David Lumb, MD, ClearmakeBruce Napier, Napier and Associates

Darwin• Shenagh Gamble, Sustainable Programs Coordinator, LGA NT• Mark Wiltshire, Manager of Sustainable Development, Water Services

Power and Water Corporation

Rabindra Shrestha, Strategy and Corporate Affairs, Power & Water Corporation

INTEGRATOR PERSPECTIVE

© Siemens 2011 Innovation for generations.

Role of Integrators in Packaging and Selling

CleanTech Solutions

Jürgen Schneider

Regional General ManagerSiemens Ltd.

© Siemens 2011 Innovation for generations.

Revenue by region

Key figures

Revenue by Sector

Revenue and employees

7,7%

Healthcare€12.4 billion

Energy€25.5 billion

49%

29%Industry€34.9 billion

Cross-SectorBusinesses€4.9 billion

Americas

Germany

Europe, CIS,Africa, Middle East (excl. Germany)

15%

40%

18%Asia, Australia

Location of customer

(in millions of euros) FY2009 FY2010Revenue 76,651 75,978New orders 78,991 81,163Income 2,457 4,112Free cash flow 3,786 7,111Employees 405,000 405,000

The Company

Total Revenue Sectors and Cross-Sector Businesses

6%

45%

33%

16%

100.000

80.000

60.000

40.000

20.000

500

400

300

200

100

2000

Employees in thousands

1985 1990 1995FY 2010

Revenue in millions of euros

18%

27% 40%

15%

As of September 30, 2010

© Siemens 2011 Innovation for generations.

Energy

DivisionsFossil Power GenerationWind PowerSolar & HydroOil & GasEnergy ServicePower Transmission

Healthcare

DivisionsImaging & Therapy SystemsClinical ProductsDiagnosticsCustomer Solutions

Infrastructure & Cities

DivisionsRail SystemsMobility and Logistics Low and Medium VoltageSmart GridBuilding Technologies

Industry

DivisionsIndustry Automation Drive TechnologiesCustomer Services

Sectors and Divisions

* In March 2011, Siemens announced its intention to publicly list OSRAM and, as an anchor shareholder, to hold a minority stake in OSRAM AG over the long term

© Siemens 2011 Innovation for generations.

Major innovationsMajor R&D investments

Our patent position in fiscal 2010: Germany: No. 3Europe: No. 2USA: No. 13

Most recent innovations:Biograph mMR: World’s first integrated whole-body MR-PET for precise measurements of position, type and activity of tumorsWorld’s most powerful gas turbine: With a 60-percent efficiency rating, the turbine drastically cuts fuel consumption and CO2 emissionsVelaro high-speed train travels up to 350 kilometers per hour, consumes 0.33 liters of fuel per seat and 100 km

€3.846 billion in fiscal 2010, or 5.1% of revenue30,100 R&D employees worldwide 18,000 software engineers178 R&D locations in over 30 countries around the world8,800 inventions in FY 201057,900 active patents

Innovation is our lifeblood

FY2010FY2007 FY2008 FY2009

5.1%

4.7% 4.9%5.1%

R&D spending in% of revenue

Innovation for generations.© Siemens 2011

Global megatrends and Australia’s most pressing issues

2008 CEDA Trends

© Siemens 2011 Innovation for generations.

Picture The Future ResearchA Vision for Australia

Siemens Engaged in The Discussion

www.picturethefuture2030.com.au

© Siemens 2011 Innovation for generations.

Role that integrators can play in packagingand selling clean technology solutions?

Understand Industry Drivers – Megatrends, Local Issues

Market Education (Picture the Future)

Collaboration - Siemens and Windesal

Understand the Economics of Your Offering - Modelling

Offer Turnkey Solutions

Maintainability – Essential

Confidence

© Siemens Pacific Cluster 2011 Innovation for generations.

What future do we want to create?

Leadership in CleanTech investment is an engine for growth, leaving a smaller footprint for future generations

BREAK

Enterprise Connect

Enterprise ConnectClean Technology Innovation Centre

www.enterpriseconnect.gov.auwww.cleantechnologyinnovation.net.au

Enterprise ConnectA quick overview

• $50 million per year Aust Govt program designed to assist eligible SMEs maximise their potential

• Services offered:

Business review, including Tailored Advisory Service (TAS)Researchers in Business (RiB)Technology and Knowledge Connect (TKC)Enterprise Learning and Mentoring (ELM)Workshops, Industry, Intelligence and Networking (WIIN)Others

Enterprise ConnectProgram structure

• Six Manufacturing Centres – one in each state• Six Innovation Centres:

Clean TechnologyResources TechnologyCreative IndustriesDefence TechnologiesRemote EnterprisesInnovative Regions

Enterprise ConnectThe business review (1)

• Delivered by network of business advisers - all engaged from industry/commerce, have real world business backgrounds

• Costs of service fully absorbed by program – no cost to company• Advice and services tailored specifically to needs of individual companies• Entitlement program – tick the eligibility boxes and you're in – 24 hour

turnaround• Eligibility criteria for CTIC:

Company – i.e. have an ACNLodged BAS forms for 3 yearsSolventTurnover or expenditure between $1.5mil and $100mil in current year or either of preceding two yearsInvolved in clean technology

Enterprise ConnectThe business review (2)

• High level overview of the business• Look at strategic, operational, financial and other issues• Identify challenges and opportunities• Report – series of recommendations• Internal – company to deal with• External – up to $20,000 provided on 50/50 basis to engage professional

assistance (TAS)• No "white list" of issues to be covered or advisers to engage

Enterprise ConnectTAS – typical issues covered

• Strategic planning• Business/operational planning• Marketing• Market research• New products, new markets• Development and implementation of corporate systems• Financial analysis and advice• Funding strategy – debt V equity• Financial modelling• Development of ecommerce strategy, including website back-end development

Clean Technology Innovation CentreTypes of companies covered• Solar PV – domestic, commercial, remote (RAPS)• Solar hot water• Wind• Hybrid systems• Waste to energy (W2E) – industrial, agricultural• Software for energy management systems• Energy efficiency – e.g. LED lighting, building design, energy management• Water efficiency – harvesting, recycling, treatment, management• Recycling• Geothermal• RECs trading

Clean Technology Innovation CentreTypical stage of development• Many are relatively early stage – rapid growth issues• Many started in response to ad hoc influences – e.g. SEQ water shortages, govt

incentives for solar PV• Some are gaining traction in line with increasing sustainability consciousness

Clean Technology Innovation CentreTypical market focus• Most tend to be domestically focused• BUT a number are looking to export markets• Austrade service – in-country research• Some already have a significant international profile, exporting to dozens of

countries

Clean Technology Innovation CentreSome specific issues• Technology validation• Need for demonstration/reference site• Ability to demonstrate full life cycle cost advantages• Difficulties selling to utilities and other major corporates• Compliance with industry standards, or even absence of standards• Resistance of decision makers to new ideas and technologies – low-risk

approach• Effort devoted to tender responses• Access to bigger projects – opportunities for collaboration

Clean Technology Innovation CentreContact details

www.enterpriseconnect.gov.au

www.cleantechnologyinnovation.net.au

DISCUSSION

Barriers & Solutions

PROPOSED TEAMS1. Built Environment

2. Mining/Resource and Minerals Processing

3. Food Processing

4. SME Manufacturing

5. International Aid Development.

DISCUSSION

Team Design & Operations

NEXT STEPS

Clean Technology Industry Capability TeamsDesign Workshop