Cooperation Agreements reached at the Fourth Japan-China Energy Conservation Forum

At the Fourth Japan-China Energy Conservation Forum held in Beijing on November 8, 2009, the Japanese and Chinese sides agreed to cooperate on 42 projects in the fields of energy saving and environmental protection, including 22 "Japan-China Energy Conservation and Environmental Business Promotion Model Projects".

Geographically, previously agreed projects were concentrated on coastal areas, while some of the projects agreed at the present forum extend to inland areas. Regarding the area of cooperation, many projects focus on the circulation of resources, such as recycling, in addition to energy conservation and water treatment. This suggests the wide-ranging scope of Japan-China business-based cooperation on energy saving and environmental protection.

1. Cooperation agreements on Japan-China Energy Conservation and Environmental Business Promotion Model Projects

(1) Project for energy-saving renovation and ESCO operations at spinning factories (dye works)

Japanese side	Kyushu Electric Power Co., Inc.
Chinese side	China National Textile and Apparel Council, Greenensign (Beijing) New Energy and Technology Co., Ltd., Zhejiang Hangmin Stock Co., Ltd.

- Through energy-saving diagnosis, the two sides will jointly search for a renovation method (including ESCO operations) that is feasible at dye works and that is applicable to other facilities.

(2) Project for energy saving and environmental diagnosis and equipment improvement at coal fired thermal power stations

Japanese side	Japan Coal Energy Center (JCOAL) Japan Bank for International Cooperation, Japan Finance Corporation
Chinese side	China Electricity Council

- Both sides will discuss the possibility of business-based cooperation in projects to improve the efficiency and the environment at coal fired power generation facilities in China and the possibility of establishing these projects as CDM projects.

(3) Promotion of business partnerships in the coal field

Japanese side	Japan Coal Energy Center (JCOAL)
Chinese side	China Coal Industry Association

- Both sides will discuss the possibility of cooperation to foster business partnerships between members of the China Coal Industry Association and those of JCOAL on energy conservation and environmental protection.

(4) Study on the auto recycling pilot project in Tianjjin Ziya Environmental Protection Industry Park

Japanese side	Yoshikawa Kogyo Co., Ltd.
Chinese side	Tianjin City Guolian End-of- Life Vehicles Collection and Disassembly Co., Ltd.

- In light of the results of discussion on the Japan-China Recycling-oriented City Cooperation Project by Kitakyushu City and Tianjin City, both sides will study ways to cooperate in the auto recycling pilot project conducted by Tianjin City.

(5) Waste home appliances recycling project in Tianjin City

Japanese side	Sumitomo Corporation, Dowa Eco-System Co., Ltd.
Chinese side	Tianjin City Green Angel Collection and Reuse of Recyclable Resources Co., Ltd.

- With the entry into force of the Chinese law for the recycling of home appliances in 2011 in view, both sides will examine the possibility of operations to collect, disassemble and recycle waste home appliances in Tianjin City.

(6) Demonstration project to recycle fly ash from urban waste incineration into cement material

Japanese side	Taiheiyo Cement Corporation, Dailian Onoda Cement Corporation
Chinese side	Dailian Dongtai Industrial Wastes Disposal Corporation

- To make Dalian City a recycling-oriented society, a demonstration project to recycle incineration ash from Dalian’s urban waste incineration plant into cement material will be conducted. After adapting technologies to the requirements of China’s waste management and environmental regulations, the project aims to spread them to other cities.

(7) Joint development of inverter air conditioners that can be widely accepted in the global market

Japanese side	Daikin Industries, Ltd.
Chinese side	Zhuhai Gree Electric Appliances, Inc.

- Using core parts and molds to be produced by a joint venture between the two companies from April 2010, each company will manufacture jointly developed products at its own production site.

(8) Establishment of a joint venture to conduct energy saving and environmental projects that take advantage of Japan’s cutting edge technologies

Japanese side	The Sumitomo Trust & Banking
Chinese side	Qualisys Consultancy Services Co., Ltd. of Hong Kong, Mr. Chen Zili

- A joint venture to conduct energy saving and environmental business will be established in China for the purpose of matching the needs of Chinese companies, especially leading state-run companies, with Japan’s cutting edge energy saving and environmental technologies, as well as providing assistance based on Japan’s know-how on finance.

(9) Promotion of a comprehensive ESCO project and application of technologies to improve coal fired boiler combustion efficiency at China’s major state-run locomotive manufacturing plant

Japanese side	The Sumitomo Trust & Banking Co., Ltd., Idemitsu Kosan Co., Ltd. Karassn Environmental Energy Conservation Corporation
Chinese side	Beijing Feb.7th Railway Transportation Equipment Co., Ltd.

- The joint venture established in project (8) mentioned above will conduct a comprehensive ESCO project at a state-run railcar manufacturing plant. The project will include Idemitsu’s technology to improve coal-fired boiler combustion efficiency.

(10) Lake Dianchi water purification project

Japanese side	JGC Corporation and Marubeni Corporation
Chinese side	China Energy Conservation Investment Corporation, Kunming

- Both sides will jointly conduct a demonstration test in Lake Dianchi in Yunnan Province, one of China’s most polluted lakes, to verify the validity of purification technologies and the cost efficiency of purification business. The goal is to establish a lake water purification program.

(11) Strategic partnership concerning water treatment business in China

Japanese side	Nihon Pure Water, Inc.
Chinese side	Beijin Ding Chuang Yuan Membrane Technology Corporation

- The project aims to introduce Japan’s cutting edge membrane technologies to water treatment facilities, especially water filtration plants for water supply, in China and thereby contribute to modernizing equipment and solving China’s energy saving and environmental problems.

(12) Improvement of energy-saving technologies at a food packing materials production plant

Japanese side	Mitsubishi Electric Automation (Shanghai) Ltd.
Chinese side	HuangShan NOVEL Co., Ltd.

- The project aims to improve the efficiency of production processes and the operating efficiency of equipment by visualizing and analyzing energy consumption, and thereby conserving energy.

(13) Project for technical cooperation on micro hydropower generation utilizing flow hydraulics

Japanese side	Seabell International Co., Ltd.
Chinese side	China Boqi Environmental Solutions Technology (Holding) Co., Ltd.

- The project aims to establish a new energy power generation business that uses micro hydropower generation systems utilizing flow hydraulics that can efficiently generate power without the building or use of dams from water stream energy in agricultural channels and flumes at power plants where large amounts of coolant are used.

(14) "Rugao Eco-City" Project

Japanese side	NTT Facilities Inc., NEC Electronics (China) Co., Ltd., SAFE Software Co., Ltd.
Chinese side	Rugao City (Jiangsu Province), Rugao High and New Technology Park Development Co., Ltd.

- The project aims to establish "Rugao Eco-City" a highly eco-friendly and energy efficient district, by introducing control systems and eco-friendly products incorporating the latest information technologies to public facilities and buildings in the "Software Industry Park" to be developed by Rugao City.

(15) Energy saving, emissions reduction and energy management projects for SMEs

Japanese side	Re-Tem Corporation
Chinese side	Liaoning Sheng Environmental Protection Industries Association

- Through energy saving diagnosis, both sides will conduct projects for energy saving, environmental improvement, energy management, and pollutant emissions reduction at SMEs in the region with a view to helping local SMEs nurture specialists in energy and environmental management.

(16) Pilot project concerning automatic coke oven combustion control

Japanese side	Mitsubishi Chemical Engineering Corporation
Chinese side	Shanxi Yangguang Coke Group Co., Ltd.

- The project aims to introduce an automatic coke oven combustion control system that prevents excessive fuel input and thereby helps improve the energy efficiency of coke oven operations.

(17) Recycling-oriented sewage treatment project

Japanese side	Sojitz Corporation
Chinese side	Tangshan City Caofeidian Industrial District Administrative Commission

- This sewage treatment project in Caofeidian Industrial District aims to produce high-quality recycled water through advanced processing using Japan’s water treatment membrane technology and put it to industrial use.

(18) Project to promote the construction of a platform for energy conservation technology services for Ningbo City

Japanese side	Hitachi, Ltd., Hitachi (China), Ltd.
Chinese side	China Center for Business Cooperation Coordination Ningbo city Energy Conservation Technology Service Management Center

- By conducting energy saving diagnosis under a system that allows the collection of diagnosis fees from energy savings that have been achieved, both sides will help local factories to save energy and reduce emissions. Both sides will also cooperate on the construction of a platform that enables Ningbo City to carry out energy saving diagnosis independently.

(19) Launch of a pilot program for home appliance recycling and a demonstration of materials recycling

Japanese side	Dowa Eco-System Co., Ltd.
Chinese side	Suzhou Gaoxin District Economic Development Group Co., Ltd.

- Both sides will launch a pilot program for home appliances recycling. They will collect waste products designated by China’s home appliances recycling regulations for the recovery and recycling of ferrous and nonferrous materials and for appropriate disposal of CFCs and other hazardous materials at advanced recycling facilities.

(20) Project to develop chlorine bypass technology for cement production with carbide slag

Japanese side	Taiheiyo Cement Corporation, Taiheiyo Cement Investment Corporation In China
Chinese side	Xinjiang Tianye Group Corporation

- The project aims to increase waste usage, save energy, reduce energy consumption, and improve productivity by developing chlorine bypass technology for cement production lines that use calcium carbide slag as a raw material.

(21) Establishment of Tangshan Dunshi (NKG) Blowers Manufacturing Corporation

Japanese side	NKG Corporation
Chinese side	Hebei sheng Jidong Cement Group Co., Ltd.

- The project aims to establish a joint venture to manufacture high-efficiency blowers that contribute to reducing power consumption and saving energy, and sell them to factories in China’s key industries.

(22) Project to recycle industrial effluent from electronic parts production

Japanese side	Astec Irie Co.
Chinese side	Shanghai Jiading Industrial Area Administrative Commission, Shanhai Jiading District Development and Reform Commission

- Both sides will conduct a recycling project aimed at recovering waste etchant from the electronic parts production process, removing chrome and other metals from it, and use the recycled etchant in the etching process in the electronic industry.

2. Other agreements on cooperation

(23) Activities to promote eco-driving in China

Japanese side	Japan Automobile Manufacturers Association, Inc. (JAMA)
Chinese side	China Association of Automobile Manufacturers (CAAM)

- Both sides will set up their own special working groups for reducing fuel consumption and CO2 emissions in China, and jointly conduct activities to promote eco-driving in China. JAMA will cooperate by providing know-how and dispatching instructors.

(24) Promotion of cooperation between energy conservation centers

Japanese side	The Energy Conservation Center, Japan (ECCJ)
Chinese side	China National Energy Conservation Center

- The energy conservation centers in both countries will establish a framework for their comprehensive cooperation with the aim of improving the capability of the Chinese center, which has just been established.

(25) Japan-China joint research in energy conservation policy

Japanese side	The Institute of Energy Economics, Japan
Chinese side	Energy Research Institute, National Development and Reform Commission

- Based on three-year joint research in energy conservation policy, both sides will conduct studies on systems that have significant effect on energy conservation (e.g. the Top Runner Program).

(26) Cooperation on the comprehensive use of by-products of coal fired thermal power generation plants

Japanese side	Japan Coal Energy Center (JCOAL)
Chinese side	China Building Material Federation

- China Building Material Federation and JCOAL will jointly promote technical cooperation and exchange between their member companies concerning the effective use of by-products of coal fired thermal power generation plants (e.g., fly ash).

(27) Technical cooperation on energy conservation and environmental protection concerning oil and gas boiler burners

Japanese side	Miura Co., Ltd.
Chinese side	China Special Equipment Inspection and Research Institute

- The project aims to conduct research in the suitability of oil and gas burners to boilers and that of oil and gas fuels available in China to burners.

(28) Comparative testing and study of total energy efficiency and eco-friendliness of oil-burning boilers

Japanese side	Miura Co., Ltd.
Chinese side	Dalian Boiler and Pressure Vessel Inspection Institute

- The project aims to conduct a comprehensive study of typical oil burning boilers available in Japan and China, including not only their energy efficiency and eco-friendliness but also their overall operations, including auxiliary equipment and water treatment.

(29) Project for dezincification of steelmaking waste in rotary hearth furnaces

Japanese side	Nippon Steel Engineering Co., Ltd.
Chinese side	Maanshan Iron & Steel Co. Ltd.

- The project aims to introduce for the first time in China a rotary hearth furnace that removes zinc from dust and sludge generated in the steelmaking process and reduces them to metalized pellets and zinc oxide for recovery, and to promote technical exchange concerning this technology.

(30) Japan-China cooperation on CCS-EOR

Japanese side	Research Institute of Innovative Technology for the Earth (RITE)
Chinese side	China National Petroleum Corporation

- The two institutes will conduct technical exchanges in broad fields, including CCS-EOR and other technologies for energy conservation, greenhouse gas emissions reduction, and environmental protection, with the aim of launching projects in these fields.

(31) Technical cooperation in resources and waste recycling projects in Guangdong Province

Japanese side	Daiei Inter Nature System, Inc.
Chinese side	Guangzhou Wanluda Group Co., Ltd.

- Both sides will discuss the possibility of a business partnership in resources and waste recycling projects, while Daiei Inter Nature Systems will provide cooperation by offering technical know-how and other information, dispatching experts, and accepting trainees.

(32) Promotion of Japan-China cooperation in establishing a recycling-oriented city between Kitakyushu City and Dalian City

Japanese side	Kitakyushu City
Chinese side	Dalian City

- By providing its experience and know-how in developing a recycling-based society, Kitakyushu City will cooperate with Dalian City in its efforts to establish a recycling-oriented city, including the development of a construction plan for various industrial zones.

(33) Memorandum of cooperation between the Kansai region and Liaoning Province on the environment and energy conservation

Japanese side	Kansai Bureau of Economy, Trade and Industry
Chinese side	Liaoning Sheng Economic and Informatization Commission

- Both sides agreed to mutually cooperate in fostering business partnerships between the Kansai region and Liaoning Province in the fields of energy conservation and the environment in order to promote activities to conserve energy and reduce greenhouse gas emissions in Liaoning Province.

(34) Cooperation framework agreement on the construction of Binhai Low Carbon Promotion Center

Japanese side	Re-Tem Corporation
Chinese side	Tianjin Economic-Technological Development Area Administrative Commission

- Both sides will enter into a strategic partnership through which the Japanese side will offer advice on the design and construction of the Binhai Low Carbon Promotion Center Building and discuss the total management of the building with the Chinese side.

(35) Greening, reforestation and ecological conservation activities in western China

Japanese side	World Desert Reclamation Association
Chinese side	China Green Foundation

- By planting sea-buckthorn in arid areas in Gansu Province, the project aims to prevent desertification of the land, conserve the local ecology, and mitigate poverty suffered by local people through the processing of sea-buckthorn.

(36) Promotion of exchange between the Osaka ESCO Association and Shandong Sheng Energy Conservation Service Industries Association

Japanese side	Osaka ESCO Association
Chinese side	Shandong Sheng Energy Conservation Service Industries Association

- Both sides agreed to exchange information on energy conservation programs.

(37) Feasibility study of a comprehensive project for water environment management in China’s metropolitan fringes (Chaohu Lake, Anhui Province)

Japanese side	Japan-China Economic Association
Chinese side	Municipal People’s Government, Heifei City

- To address water pollution in China’s urban fringes, the project will conduct a feasibility study of the demonstration of a new water circulation system that uses Japan’s constituent technologies to treat sewage sludge, raw garbage from restaurants, and highly organic waste water produced by the food and beverage industries and large-scale livestock farms.

(38) Enhancement of exchange between the Japan-China Economic Association and Shandong Province in the fields of new energy, energy conservation, and the environment

Japanese side	Japan-China Economic Association
Chinese side	Municipal People’s Government, Shandong Province

- Both sides agreed to further their exchange and cooperation in the fields of new energy, energy conservation, and the environment, including the establishment of a framework for dialogue and the construction of a network to promote business partnerships in the private sector.

(39) Enhancement of exchanges between the Japan-China Economic Association and the Tianjin Economic -Technological Development Area Administrative Commission in the fields of energy conservation and the environment

Japanese side	Japan-China Economic Association
Chinese side	Tianjin Economic -Technological Development Area Administrative Commission

- Both sides agreed to further their exchange and cooperation in the fields of energy conservation and the environment, including the mutual referral of needs and seeds and practical matching assistance.

(40) Enhancement of exchanges between the Japan-China Economic Association and Tianjin City in the fields of energy conservation and the environment

Japanese side	Japan-China Economic Association
Chinese side	Municipal People’s Government, Tianjin City

- Both sides agreed to further their exchange and cooperation in the fields of energy conservation and the environment, including the promotion of business cooperation in actual projects related to the establishment of a recycle oriented economic cities.

(41) Enhancement of Japan-China cooperation in energy conservation and environmental businesses between the Secretariat of the Subcommittee on the Promotion of Exchange on Energy Saving and Other Technologies Conservation (Japan-China Long-Term Agreement Committee) and General Technology Consulting Corporation

Japanese side	Secretariat of the Subcommittee on the Promotion of Exchange on Energy-Saving and Other Technologies Conservation, Japan-China Long-Term Agreement Committee
Chinese side	General Technology Consulting Corporation

- Both sides agreed to work toward deepening their cooperative relationship and promoting business matching, based upon technical exchange on sludge treatment that they have been conducting since 2008.

(42) Friendly collaboration project between the National Development and Reform Commission and Hitachi for the establishment of a low-carbon society and resources recycling

Japanese side	Hitachi, Ltd., Hitachi (China), Ltd.
Chinese side	National Development and Reform Commission

- Both sides aim to contribute to reducing greenhouse gas emissions and establishing a recycling-based economy by co-hosting technical exchange sessions, selecting model projects, and discussing joint research opportunities, in the fields of the establishment of a low-carbon society and resources recycling.

Note:
The English names of Chinese corporations mentioned in this press release are provisional.

Reference

- Background of Japan-China Energy Conservation and Environmental Business Promotion Model Project

This program is a part of efforts to enhance mutually beneficial partnerships between Japan and China in the fields of energy saving and the environment and was established with the aim of disseminating Japan’s technologies and management systems in these fields in China, on a commercial basis.

The program was proposed by Prime Minister Shinzo Abe to Mr. Hu Jintao, the President of the People’s Republich China, at the Japan-China Summit Meeting in November 2006. The framework for implementation was agreed on in April 2007 by the then Minister of Economy, Trade and Industry Akira Amari and China’s NDRC Chairperson Ma Kai, who signed the "Memorandum on the Implementation of Japan-China Energy Conservation and Environmental Business Promotion Model Project".

Under this program, Japanese and Chinese companies cooperate on carrying out model projects that focus on energy saving diagnosis, feasibility studies and/or, introduction of equipment. The Committee for Japan-China Energy Conservation and Environmental Business Promotion Model Project (consisting mainly of representatives of METI and the NDRC) is responsible for designating projects and improving the business environment by working to prevent and resolve intellectual property problems.

Release Date

November 8, 2009

Division in Charge

For projects other than those listed below
International Cooperation Office, Policy Planning Division, Energy Conservation and Renewable Energy Department, Agency for Natural Resources and Energy

For projects (2), (3), (26), and (30)
Coal Division, Natural Resources and Fuel Department, Agency for Natural Resources and Energy

For projects (10), (11), (17), (35), and (37)
Environmental Protection Guidance Office, Industrial Science and Technology Policy and Environment Bureau

For projects (4), (5), (6), (19), (22), (31), (32), and (34)
Recycling Promotion Division, Industrial Science and Technology Policy and Environment Bureau

For project (23)
Automobile Division, Manufacturing Industries Bureau

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