“We insisted on implementing the contract energy management project in 2007. In order to allow the government and the Chinese LED market to accept the contract energy management model, we have used more than 2,200 LED street lights for free to make traditional street lamps for multiple roads in a certain district of Beijing. A comprehensive upgrade, costing more than 1.7 million, not counting other expenses." Li Ruhai, general manager of Zhongguang Hi-Tech told reporters.
Contract energy management, referred to as “EM†mode in foreign countries, is a new type of market-oriented energy-saving mechanism. Its essence is to save energy consumption investment methods with the reduced energy costs to cover the full cost of energy-saving projects, so as to eliminate backward production capacity. EMC can help the government achieve energy-saving emission reduction targets, reduce the owner's production costs, obtain government policy support and owners' favor, and in the economic downturn, EMC's advantages are more obvious.
Among the LED lighting projects, qualified enterprises generally provide energy-saving services such as energy audit, project design, equipment procurement, engineering construction, etc. for the government and cooperative customers in the form of pre-payments. The time for signing the contract is generally 5-10. In the year, after the energy-saving renovation, the purchaser received the energy-saving benefits and then recovered the profits. This is the way both parties and the banks benefit.
In the past two years, China's LED industry market is in a hot stage, and the chaos of the industry has caused the LED companies to survive and die. The survival of the fittest is the rule of survival of the enterprise in the market, and the lack of industry standards, the messy price, the lag of technological innovation of small and medium-sized enterprises and so on have surfaced, and this year's LED industry is facing a situation that must be reshuffled.
In the face of the entire industry environment, the economy is not very optimistic. The “12th Five-Year Plan†energy conservation and environmental protection industry development plan clearly proposes that the contract energy management should be vigorously promoted, and the EMC project is still making slow progress in the Chinese market. There are still fewer LED companies doing EMC, and the EMC model looks very beautiful, but for many LED companies, it is necessary to have certain strengths and risks to try such an emerging industry. Because of the large capital investment and long recovery period, for the energy-saving company, strong sustainable financing ability is the prerequisite for its expansion and strengthening. Due to the current lack of national incentive policies and the lack of awareness of energy conservation in domestic enterprises, although the government has a high degree of support for the project, its implementation has hindered many cases. The status quo of EMC is “satisfied but not a seatâ€.
It is gratifying that the National Development and Reform Commission issued a notice stating that China will gradually ban the import and sale of ordinary lighting incandescent lamps in five stages according to the power level from October 1, 2012, and prohibit the import and sale of ordinary lighting incandescent lamps of 100 watts or more. Lamps, import and sale of general-purpose incandescent lamps of 60 watts and above are banned from October 1, 2014. Import and sale of general-purpose incandescent lamps of 15 watts or more are prohibited from October 1, 2016, or adjustments are made based on the results of the mid-term evaluation.
The elimination of incandescent lamps will bring a broad market space for LEDs, and this new energy-saving policy of the country can further bring the LED industry back on track. Many LED companies have called on the state to pay great attention to the promotion of lighting energy-saving projects, pay attention to the EMC model, and promote the rapid development of China's LED lighting industry.
Contract energy management, referred to as “EM†mode in foreign countries, is a new type of market-oriented energy-saving mechanism. Its essence is to save energy consumption investment methods with the reduced energy costs to cover the full cost of energy-saving projects, so as to eliminate backward production capacity. EMC can help the government achieve energy-saving emission reduction targets, reduce the owner's production costs, obtain government policy support and owners' favor, and in the economic downturn, EMC's advantages are more obvious.
Among the LED lighting projects, qualified enterprises generally provide energy-saving services such as energy audit, project design, equipment procurement, engineering construction, etc. for the government and cooperative customers in the form of pre-payments. The time for signing the contract is generally 5-10. In the year, after the energy-saving renovation, the purchaser received the energy-saving benefits and then recovered the profits. This is the way both parties and the banks benefit.
In the past two years, China's LED industry market is in a hot stage, and the chaos of the industry has caused the LED companies to survive and die. The survival of the fittest is the rule of survival of the enterprise in the market, and the lack of industry standards, the messy price, the lag of technological innovation of small and medium-sized enterprises and so on have surfaced, and this year's LED industry is facing a situation that must be reshuffled.
In the face of the entire industry environment, the economy is not very optimistic. The “12th Five-Year Plan†energy conservation and environmental protection industry development plan clearly proposes that the contract energy management should be vigorously promoted, and the EMC project is still making slow progress in the Chinese market. There are still fewer LED companies doing EMC, and the EMC model looks very beautiful, but for many LED companies, it is necessary to have certain strengths and risks to try such an emerging industry. Because of the large capital investment and long recovery period, for the energy-saving company, strong sustainable financing ability is the prerequisite for its expansion and strengthening. Due to the current lack of national incentive policies and the lack of awareness of energy conservation in domestic enterprises, although the government has a high degree of support for the project, its implementation has hindered many cases. The status quo of EMC is “satisfied but not a seatâ€.
It is gratifying that the National Development and Reform Commission issued a notice stating that China will gradually ban the import and sale of ordinary lighting incandescent lamps in five stages according to the power level from October 1, 2012, and prohibit the import and sale of ordinary lighting incandescent lamps of 100 watts or more. Lamps, import and sale of general-purpose incandescent lamps of 60 watts and above are banned from October 1, 2014. Import and sale of general-purpose incandescent lamps of 15 watts or more are prohibited from October 1, 2016, or adjustments are made based on the results of the mid-term evaluation.
The elimination of incandescent lamps will bring a broad market space for LEDs, and this new energy-saving policy of the country can further bring the LED industry back on track. Many LED companies have called on the state to pay great attention to the promotion of lighting energy-saving projects, pay attention to the EMC model, and promote the rapid development of China's LED lighting industry.
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