International Trade Press Conference Frankfurt, March 1, 2007
Does industry have the air it needs to breathe? Environmental technology is accelerating the transformation in production.
Joergen Ole Haslestad, President Siemens Industrial Solutions and Services (I&S) Protection notice / copyright notice
Industry's estimated share of the worldwide emission of gases affecting the climate in 2004
19.4% Estimated share of the worldwide emission of gases affecting the climate in 2004 Seite 2 Page
March 1, 2007
164 % Increase in emissions between 1970 and 2004 Protection notice / copyright notice Industry Press Conference 2007
Waste water is becoming an industrial raw material
By 2025, one third of the world‘s population will be affected by water shortages and by 2050, 60 percent. There will be a 40% increase in water consumption by 2025. Water is used in steel industries up to eight times Seite 3 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
June 2005: Prohibition on dumping untreated municipal solid waste
The dumping of municipal solid waste is scheduled to cease completely by 2020. The storage of non-pretreated municipal solid waste has already been prohibited since June 1, 2005. This has meant, for example, that the paper industry can no longer dump its residual materials. Seite 4 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Best available techniques (BAT) are mandatory under the Directive for authorizing installations
According to the IPPC Directive, industrial installations that are particularly relevant to the environment must be authorized on the basis of the best available techniques (BAT). Older (existing) installations must be run in compliance with BAT by October 30, 2007. Seite 5 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Megatrends are driving the transformation in production and are demanding new approaches to solutions Consequences Megatrends
Increased competition about resources
Water: Consumption in agriculture will increase to up over 80 % of the worldwide resources until 2020. Global production and availability of resources make competition fiercer at industry sites everywhere.
Demographic change
Increasing need for environmental protection
Urbanization
Increasing number of environmental laws to protect human beings, to conserve nature and preserve resources. Ecobalance and Lifecycle considerations are more and more factors for expenses, products and production Seite 6 Page
March 1, 2007
Measures
Stricter conditions for operation and production Energy efficiency - use of regenerative energy Strengthening of the cost position Development of new production processes
Protection notice / copyright notice Industry Press Conference 2007
Prerequisites for "green solutions"at I&S •Process knowledge •Sector knowledge •Competitive solutions
I&S
•Standardization •Products/systems •Automation competence
•Adaptation to •Installed basis country-specific standards •Customer access •Presence in 62 countries
I&S achieved sales of approximately 1,5 billion euros in fiscal 2006 with industrial and infrastructural installations, products and systems for protecting the environment and resources I&S membrane technology treats more than 1.3 billion gallons of water per day. Signal chambers in new LED technology reduce power consumption up to 90 per cent Optimization of production processes within modernization save power, water consumption und raw material Seite 7 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Comparison of the Corex/Finex process technology with the conventional blast furnace route Finex route Coal
Export gas for gas and steam power plant
Iron ore Coal
Finex fluidized-bed + gasifier Pelleting plant
Iron ore
Corex stack + gasifier Pellets
Corex route Export gas for gas and steam power plant
Coal
Conventional blast furnace route
Coking plant Coke Sintered ore Pelleting or sintering plant Seite 8 Page
March 1, 2007
Convent. blast furnace
Export gas for gas and steam power plant
Protection notice / copyright notice Industry Press Conference 2007
Industrially and environmentally-friendly alternative to conventional hot metal production
Seite 9 Page
March 1, 2007
Key features
COREX is an industrially and commercially proven direct smelting reduction process that allows for cost-efficient and environmentally compatible production of hot metal and export gas directly from iron ore and non-coking coal.
Environmental value
Reduction of gas and and suspended particle emissions Reduction of pollutants in effluents
Customer value
Reducing agent and energy source Reduction of operating costs Compliance to legal directives Iron ore can be directly and feasibly charged to the process in form of lump ore, pellets and sinter Protection notice / copyright notice Industry Press Conference 2007
Geothermal Plants: Electricity + heat from the depths Emission free generation of electrical power and heat
Key features
Environmental value
Customer value
Uses naturally available geothermal resources Base load operation for generation of electrical power and heat
Permanent reduction of CO2 and other greenhouse gases Efficient utilization of non-fossil energy source for electrical energy and district heating
Securing sustainable use of naturally available energy source over many decades Investment in energy source independent of economic cycles Low operating costs
Seite 10 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Innovative Technology for sustained energy use Pressure 34 bar
Separator
Pressure 22 bar
Turbine
Thermal efficiency rate approx. 10% *
Thermal efficiency rate Siemens approx. 14% * Innovation
Brine
More efficient arrangement of heat exchangers. Higher temperature difference in cycle.
AmmoniaWater
1
Cooling Water
The thermal efficiency rate of the Siemens cycle is higher than the Kalina Cycle KCS 34.
The use of a mixture of ammonia and water as working fluid represents the most efficient type of heat transmission. Instead of the conventional water-steam cycle, this mixture already vaporizes at considerably lower temperatures.
The pressure in the Siemens cycle is lower than in the Kalina cycle. Therefore the plant design is less complex. * Depending on parameters of heatnotice source Protection notice / copyright Seite 11 Page
March 1, 2007
Industry Press Conference 2007
Waste Heat Recovery in energy intensive industries like cement, glass, metals Generation of electrical energy and steam from industrial waste heat Generation of electrical power and heat for the production process
Key features
Emission free Use of industrial waste heat seamless integration of waste heat plant in industrial production processes
Environmental value
Customer value
Reduces energy use for cooling of waste gas Generation of additional energy for the production process without additional CO2 emission
Reduction of energy costs by generating supplemental electrical power with no additional fuel Lesser exposure to rising energy prices due energy efficiency
Seite 12 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Reject Power: Energy instead of disposal
Key features
Environmental value
Instead of disposal combustion of paper reject and biomass to generate heat and electric power for use in plant operation and for district heat.
Due to new guidelines landfill of rejects is not longer allowed Saving of fossil primary energy
Reduction of the waste disposal costs
Customer value
Seite 13 Page
March 1, 2007
Better energy efficiency by cogeneration Short Return of Invest (ROI)
Protection notice / copyright notice Industry Press Conference 2007
SIPAPER Reject Power: Power and process steam from paper reject
Bio gas from anaerobe
Bio-sludge Power Generation
Reject Power
Rejects; Fiber sludge
Seite 14 Page
March 1, 2007
Reject Boiler
Protection notice / copyright notice Industry Press Conference 2007
Waste Heat Recovery System Economical and clean ship power generation
Exhaust gas boiler
Key features
Ship service steam
Turbocharger Power Turbine
Main engine
Power Management System (PMS)
Steam Turbine Generator G
M/G
Environmental value
Ship service power
G
Aux. engine
G
Aux. engine Aux. engine
Customer value
The SISHIP WHR system offers clean and economic power generation from the exhaust gas onboard of vessels. The energy surplus, which is available from the exhaust gas flow in addition to what is required for the turbo charger, will be utilized to drive a turbo generator set
Reduction of emissions (CO2,NOX) Better use of energy
Reduction of energy costs by approx. 10 % Less engine and auxiliary generator maintenance Amortization within 3-6 years (depending on fuel cost) Transportation with “green ship label”
Seite 15 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Exhaust gas boiler
Waste Heat Recovery: Exhaust gas drives a turbo generator
Ship service steam
G
Turbocharger Power Turbine
M/G
Seite 16 Page
March 1, 2007
Main engine
Power Management System (PMS)
Steam Turbine Generator Ship service power
G
Aux. engine
G
Aux. engine
G
Aux. engine
Protection notice / copyright notice Industry Press Conference 2007
Prevention of marine pollution by ballast water treatment
Key features
Environmental value
Development of new technologies for water treatment on board Separation of water and oil resulting from ship operation
Prevention of import alien organisms and pathogens in harbors and costal areas New regulations to discharge ballast waterships constructed in or after 2009 No limitations to ports und seaways
Customer value
With treatment option no need to exchange ballast water (off shore, deep water) before reaching port Ö no loss of time and power Green Ship reputation for the ship owner
Seite 17 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Standardization helps Siemens, the industries and the environment worldwide • • • •
Fast application of solutions Worldwide available High reliability Economic security
Seite 18 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Portfolio for industry and infrastructure Industrial Solution and Services (I&S) Industry
Infrastructure
Metals Technologies
Oil, Gas, Marine Solutions
Industrial Services
Water Technologies
Intelligent Traffic Systems
Postal Automation
Linz (Austria)
Oslo (Norway)
Erlangen (Germany)
Warrendale (USA)
Munich (Germany)
Constance (Germany)
Nuremberg (Germany)
3
-
1
1
1
1
World wide market position
1
Airport Logistics
I&S is a global provider of innovative solutions with proprietary standardized products for industry and infrastructure Seite 19 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Our range of products and services is grouped under sector-specific product families
Mining
Oil & Gas
Marine
Postal
Road Traffic
Metals
Pulp & Paper
Water Treatment
Airports
Cement
IT-Management Life Cycle
Industry Solutions
Seite 20 Page
March 1, 2007
SITRAFFIC
SIBAG
SICARGO
SILOG
SIWA
SINAVY
SISHIP
SIPAPER
SISOG
SIROLL
SIMETAL
SIMINE
TIA / TIP Products Components Prozesse
Protection notice / copyright notice Industry Press Conference 2007
Standardization Taking the example of iron and steelmaking
Mining Excavation
Transport
Metals Beneficiation
Raw Reduction materials
Steelmaking
Secondary metallurgy
Casting
Hot Cold Surface Rolling Rolling treatment
Water treatment
Melting Process Product Family SIMINE
Seite 21 Page
March 1, 2007
Product Family SIMETAL
Rolling Process Product Family SIROLL
Protection notice / copyright notice Industry Press Conference 2007
I&S business development: The demand for investment and equipment goods is holding up
2005*
2004
2006
In comparison to 2005
Q1 2007
New orders
4“356
7“191
9“025
+26%
3“057
Sales
4“290
6“309
8“819
+40%
2“073
Profit
95
167
289
+73%
90
2.2%
2.6%
3.3%
30,300
35,200
36,200
as a % of sales Employees
*
4.3% +2,9%
36,083
with AL / PA
in EUR
The international proportion of I&S business grew again in 2006 to 82% Seite 22 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007
Thank you for your attention ! Seite 23 Page
March 1, 2007
Protection notice / copyright notice Industry Press Conference 2007