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WORLD INVESTORS MAGAINE JULY 2010 8 DEEP CONCERN W hile the low-carbon is becoming the game focus of the world, new energy approached the people from a variety of media. The solar power technology was widely employed in applications in Shanghai World Expo. More than 1,000 vehicles of new energy ran as demonstration... The technologies of new energy of our country are maturing. Utilization of new energy in our country has a long history. Ways of the utilization continued to be innovated. The unveiling at the Beijing auto show of concept cars of new energy with hot disputes and the rolling current generated by Tongxing waste plant in Beibei Chongqing are suggesting a new boom on the development of new energy in China. New energy: emerging mingled hope and fear Staff reporter Jiang Jianhua Shanghai World Expo opened successfully. While lingering in technological achievements of different countries and experiencing wonderful culture of the world, visitors from all over the world are also touching various achievements of the utilization of new energy. New boom emerged after basic phase Shanghai World Expo opened successfully. While lingering in technological achievements of different countries and experiencing wonderful culture of the world, visitors from all over the world are also touching various achievements of the utilization of new energy. In the Expo area, we can see roofs and external walls with solar photovoltaic technology everywhere; more than 1,000 vehicles of new energy move between inside and outside the area transferring visitors; more than 200 pieces of LED lights illuminate the World Expo Axis... the concentrated demonstration running of various ways for utilization of new energy indicated that the development of new energy in China had entered a new stage. While the scale of new energy in China is gradually expanding, ways of the utilization continued to be innovated. The development of new energy in China has already begun since the early days of new China. At that time, the government concentrated efforts on the development and utilization of hydropower, especially on the construction of small hydropower facilities. Complete pattern of development has been formed now. Since the reform and opening up, the scale of utilization of methane in China has been expanding and even ushered in a new peak after the proposing of the strategy for the development in central and western China. In 2001, the

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www.taidemedia.comWORLD INVESTORS MAGAINE JULY 20108 9

DEEP CONCERN

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While the low-carbon is becoming the game focus of the world, new energy

approached the people from a variety of media. The solar power technology was widely employed in applications in Shanghai World Expo. More than 1,000 vehicles of new energy ran as demonstration... The technologies of new energy of our country are maturing. Utilization of new energy in our country has a long history. Ways of the utilization continued to be innovated. The unveiling at the Beijing auto show of concept cars of new energy with hot disputes and the rolling current generated by Tongx ing was te p lan t i n Be ibe i Chongqing are suggesting a new boom on the development of new energy in China.

New energy: emerging mingled hope and fear

Staff reporter Jiang Jianhua

Shanghai World Expo opened successfully. While lingering in technological achievements of different countries and experiencing wonderful culture of the world, visitors from all over the world are also touching various achievements of the utilization of new energy.

New boom emerged after basic phaseShanghai World Expo opened successfully. While lingering in technological achievements of different countries and experiencing wonderful culture of the world, visitors from all over the world are also touching various achievements of the utilization of new energy. In the Expo area, we can see roofs and external walls with solar photovoltaic technology everywhere; more than 1,000 vehicles of new energy move between inside and outside the area transferring visitors; more than 200 pieces of LED lights illuminate the World Expo Axis... the concentrated demonstration running of various ways for utilization of new energy indicated that the

development of new energy in China had entered a new stage.While the scale of new energy in China is gradually expanding, ways of the utilization continued to be innovated. The development of new energy in China has already begun since the early days of new China. At that time, the government concentrated efforts on the development and utilization of hydropower, especially on the construction of small hydropower facilities. Complete pattern of development has been formed now. Since the reform and opening up, the scale of utilization of methane in China has been expanding and even ushered in a new peak after the proposing of the strategy for the development in central and western China. In 2001, the

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Ministry of Science and Technology held a seminar on the feasibility of the major projects of electric vehicles in the “863” program of the “Tenth Five-year Plan”, which indicated that the major project of electric vehicles that has great strategic signifi cance to the industry has been offi cially launched. After nearly 10 years’ development, China's new energy concept cars were unveiled on Beijing auto show. China's new energy concept cars have been in rapid development… Till now, China has formed a new pattern that the hydropower, wind power and solar energy dominated and other new mode of energy use supplemented. Recently, with the introduction of new energy development plan and the publishing of the talk in which President Hu Jintao promised to reduce in carbon emission, the promotion of new energy by the state will usher in another peak.U.S. Department of Commerce predicted that the clean energy market of China would reach 100 billion U.S. dollars by 2020. In the face of enormous market potential of new energy, different parts of China urged to build industrial parks for new energy to play a significant role in the future new energy fi eld. Entering a search in Baidu for industrial parks of new energy, we will see that the construction of industrial parks for new energy in Hangzhou, Changchun, Yan'an and many other areas is now under intense construction. China's industrial parks of new energy jointly developed. On the one hand, it can help to produce the new combined effects of energy companies to form industrial development mode; on the other hand, it is beneficial for the Government to strengthen the guidance of new energy companies to fully exploit regional advantages. With the construction of a number of industrial parks for new energy, the gathering effect of China's new energy will be further strengthened.

Excellent achievement with insidious threats While the environmental commitment date of “WTO” is approaching, China's new energy industry moves into climax. In recent years,

news of victory of development in new energy kept pouring in, situation of the utilization of new energy is excellent. According to statistics, by the end of 2009, China's wind power accounts for 1/3 of the world's wind power capacity. During 2004 - 2009, China's wind power achieved 100% growth rate for 4 years in a row. It is predicted that with such pace of development, by 2010, China’s wind power will overtake Germany and Spain to be the second largest wind power state in the world. To promote the development of wind energy, the draft of "New Energy Industry Promotion Plan" planned that the total installed capacity of wind power in China will reach 150 million kilowatts by 2020 and seven wind power bases on 10-million-kilowatt-level would be built at the same time. The development of wind energy will be leaps and bounds.While the scale of wind power in China continues to expand, new energy vehicles in China began to obtain favoritism. In 2001, China offi cially started the new energy vehicle program. In 2009, the unveiling of China's new energy concept cars at the Beijing auto show triggered tremendous response. New energy vehicles will soon enter people's lives. With the release of the "Notice on the subsidies for private purchasing of new energy vehicles" on June 1st 2010, the prospects of new energy vehicles will be more extensive. New energy vehicles are at your fi ngertips.While the crisis of traditional energy continues to deepen, with the implementation of China's new energy strategy, China's development in photovoltaic industry entered the best period and attracted attention of the world. After years’ development, China's optoelectronic industry has formed a more complete development system. In 2009, Ministry of Finance issued the "Interim Measures on Administration of Financial Subsidies for Construction of Solar Optoelectronics" to give subsidies to photovoltaic construction. Photovoltaic industry of China welcomed new opportunities for development.China’s achievements on development of new energy attracted worldwide attention, but the insidious threats beneath the development

are also becoming apparent. While the scale of China's wind energy is expanding, the "network merging" problem has not been effectively resolved, which extremely restricted the promotion and utilization of wind power in China. New energy vehicles are already in use in China, but the lagging behind construction of infrastructure became the largest constraints. Optoelectronics industry boomed, but mostly are low-end processing factories, which has been easily knocked off by a financial crisis… Zhou Fengqi, vice president of the Association of Energy said: "Development of new energy in China still has a long way to go."

China’s achievements on development of new energy attracted worldwide attention, but the insidious threats beneath the development are also becoming apparent. While the scale of China's wind energy is expanding, the "network merging" problem has not been effectively resolved, which extremely restricted the promotion and utilization of wind power in China.

Tortuous road, bright futureThe utilization of new energy in China has a broad prospect and the development of new energy can be described to be rapid. However, such situation does not mean that the development of new energy in China will have a smooth road. Zhou Fengqi, vice president of the Association of Energy said: "The utilization of new energy in China is still in the primary level. There is a certain gap with the developed countries." Therefore, we should worry about the dilemma facing China's new energy while feeling proud of the achievements. Only with effective

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DEEP CONCERN

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elimination of numerous restrictions on the use of new energy in China, we can usher in a new era of new energy.Balance of quantity and quality. There has been a close connection between China's rapid economic development and scale effect, but the shortcoming of redundant construction with scale began to hinder the economic development of China in recent years; Therefore, our new energy development need to achieve balance of quality and quantity. Zhou Fengqi, vice president of the Association of Energy said: "Our utilization of new energy need to achieve quality and velocity. It was pernicious to care about the velocity only."Caution to large-scale. Large-scale is a "double-edged sword". The development of China's new energy industry shall be cautious to low-end large-scale. With the expanding of new energy markets in China, many companies jumped into the new energy area. But low-end of duplication will only cast a shadow on the future of China's new energy. We should beware of low-end large-scale development of new energy in

China and avoid the disadvantages to the long-term development of new energy.Reduction on costs. The biggest constraint on the development of new energy in China is still the price. Zhou Fengqi, vice president of the Association of Energy said: "The reduction in price is necessary to develop new energy in China. Only the effective implementation of cost reduction can truly open a new energy

era." The State gave price subsidies to new energy, which is, however, only a temporary catalyst for promoting new energy, not for the long run. Only with realization of price advantage, new energy of our country can dominate in the future.Improvement on technology. Improvement on technology of new energy depends on, on the one hand, active introducing foreign advanced technology; on the other hand, continuing to improve the level of our technology of new energy. Only introducing will push our country into a technological trap, which will make our country never reach the advanced level in the world. Zhou Fengqi, vice president of the Association of Energy said that China should increase investment in the development of technology of new energy at this stage to rapidly increase the technological level of China avoiding the emergence of technical barriers. He also said that China should increase investment in the education for new energy professionals. Only in this way, we could occupy a favorable position in the future competition of new energy.

The utilization of new energy in China has a broad prospect and the development of new energy can be described to be rapid. However, such situation does not mean that the development of new energy in China will have a smooth road.

Left: Solar power and wind power has become important patterns of the utilization of new energy

Right: Low-carbon life in German family

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After four-year absence, the World Cup roused ardent passion of the funs once

again and temporarily changed their lives. They are now living the time of South Africa and reveling in the exciting expectation for the outcome. Such temporary changes are also rare opportunities for business, thus bringing severe competition. The World Cup has become a feast of business.It is the first time that the World Cup holding in an African country - South Africa. According to the official announcement of South Africa, the World Cup will bring 10 billion Rand income to South Africa. However, economic benefits created by the World Cup around the world cannot be easily calculated. The World Cup is a carnival involving over 3 billion people around the world. Funs of the World Cup all over the world are now in connection with business activities of the World Cup in various forms. The World Cup has higher-level ability to collect gold than any other “parties”. China is also in fever of the World Cup even though it is not eligible for the World Cup. Previous expected statistics suggested that there would be as least 200 million - 300 million funs watching the games during the World Cup.In the world, once the retail business such as food, beverage, beer, sports commodities and televisions is bound with the World Cup, the dealers could surely make a great hit. It is reported that each goal in South Africa by the team of England will be able to bring 126 million pounds to the UK retail

sales. If the St. George's flag could wave in the fi eld of the fi nal, the income of retail sales will hit staggering 2.01 billion pounds, which also means that the entire UK retail revenue in that month will be "kicked" by 4 percentage points higher. Over 100 million, the amount of transactions in other related sports commodities has also increased by 200% from last month by chain.Meanwhile, the gambling business has also been stimulated by the passionate whirlwind of the World Cup. Other places that could provide service to the funs for the entertainment of the World Cup, such as clubs, hotels, taprooms and pubs are also grabbing the opportunities to make a great hit.The World Cup is also an arena for international marketing. Any enterprise related to the World Cup could gain at tent ion because the World Cup is a concentrated group activity. Within certain period of time, the programs on the World Cup will be very intensive and the audience is also highly concentrated, which would make relatively better effects to inserted advertisements. Therefore, many enterprises chose to utilize the World Cup as their platforms for publicity and promotion. During the World Cup, marketing by internet searching has taken a large share of the marketing activities. According to reports, many international and domestic famous enterprises such as Nike and Coca-Cola utilized key words accurate delivery, video association and other forms to bind

Arena of the World Cup: Short-term Business Opportunities and Severe Competition

Staff Reporter Zhulanggerile

their products with the World Cup.In this battle for marketing, media-providers of marketing platform and channels could also share the benefits of the World Cup economy. Whether the World Cup special, webcast or the live television show ... all major media are mobilizing their own resources to maximize the functions of integration and serve the audience with an exquisite feast of World Cup. With the releasing of various "Feasts", the media themselves also benefi t.Although every previous World Cup was bustling, sales of vast majority of goods could not be possible to get a substantial increase due to the impact of the World Cup. According to the basic characteristics of "confrontation" and "unification" in the philosophy of contradiction, the World Cup, as an economic entity is a double-edged sword. Industries without much association with the World Cup might not only get a ride, but also suffer from the World Cup.However, the economic prosperity of the World Cup complies with the laws of economic development and accords with the need of modern economic and social development. It will be an irreversible trend that there would be more merchants joining and sharing the market of the World Cup. It can be imagined that there will be more enterprises joining this battle field without smoke from guns in more innovative forms in the future. We are looking forward to a more exciting economic battle in the next World Cup.