58
report scope
This report is intended for all stakeholders who have an interest in CLEEN Limited (Oy) operations and the drivers behind. The report reviews the year 2011; the third operational year of CLEEN Ltd. It focuses on the current status and future plans of the operational principles, research and development activities, as well as communications and stakeholder relationships. Due to the nature of the company only minor emphasis is put on the financial analysis.
This annual report is not the Annual Report (Toimintakertomus) pursuant to the Finnish Limited Liability Companies Act (Osakeyhtiölaki 624/2006).
index
Introducing Cleenceo review 06cleen in brief 08shareholders 09board of directors 10
Research & Developmentr&d council 14cleen operational principles 16cleen programs & processes 17cleen r&d council members 18cleen management 19cleen portfolio & overview 20cleen program portfolio status 21science council & scientific advisory boards 22cleen research 24
Research Programscleen research programs 28sgem 30fcep 32mmea 34ccsp 36efeu 40
Network Activities & Communicationcleen selected activities 44stakeholders 46communications 48
Financialsincome statement 52balance statement 53contact information 54
INTRODUCING
CLEEN
6
The first three years of CLEEN Ltd have been a period of impressive growth. This has been driven by the demand for a solid forum for cross-industrial joint research to utilise opportunities emerging from the rapid changes in the field of energy and environment. The progress is highlighted by the rise of annual research volume up to 38.4 M€ carried out on CLEEN platform and the company’s revenue hitting the 1.4 M€ mark. The increased demand is met by ten employees working for CLEEN including five outsourced program managers. Though not all of them are working full-time for CLEEN, they form a powerful human resource by sharing the same vision of where we are aiming to and how we will get there.
In addition it has been crucial that the shareholders have maintained their commitment and interest in the development of the company. This has been demonstrated by our active Board of Directors, R&D Council and the recently-established Science Council as well as the preparation of new research program initiatives. Based on the work of the R&D Council, the Strategic Research Agenda (SRA) has been updated and Science Council has finalised and implemented CLEEN’s internal scientific excellence advisory process. As a conclusion, CLEEN has reached the first and at least in the few years perspective a solid platform from where to take a leap to the next.
CLEEN’s core activity is research. The forerunner programs SGEM, FCEP and MMEA have reached their middle ages and tangible results are emerging at an ever increasing rate. At the same time the finish line is in sight and the challenge to renew CLEEN’s model for joint research is already there. The younger programs CCSP, EFEU and DESY follow the path made clear by their predecessors yet forming wide and well-integrated consortiums and securing public funding causes some delay to the program start-ups. Anyway, CCSP has been moving ahead at full speed throughout 2011 and EFEU – the most significant theme for climate change mitigation - was granted 50% public funding by the Finnish Funding Agency for Technology and Innovation (Tekes) over the next five years. We are expecting a positive funding decision for DESY in March 2012.
As time moves on, the originally distant looking research themes of smart grids, environmental measurement and monitoring, engine power plants, distributed energy and energy efficiency approach each other: program interfaces are forming and the common goal of future’s sustainable energy system becomes evident but from program specific scientific and business angles. Increasing the share of renewable energy sources means inevitable increased mismatch in electricity generation and its use. In addition to renewable energy sources, their integration into the energy system and the consequent increase in system instability has to be compensated by levelling out peak loads, facilitating local generation, dynamic system management, dispatch power, energy storage, reliable indoor and outdoor measurements and forecasts as well as overall efficient energy use. All of which are the focuses of the SGEM, DESY, FCEP, MMEA and EFEU programs. Complemented by renewable energy sources such as wind, solar and bio an exceptionally comprehensive approach with a clear focus on providing the knowledge required for the future’s sustainable energy system would be in place.
In CLEEN some important pieces of the portfolio - like bioenergy, solar energy and energy storage - are still missing but they have been identified in the updated SRA. Concrete actions have been taken in close cooperation with Forestcluster Ltd to launch a bioenergy focused research program (SBES) in the last quarter of 2012. The SBES program aims to create a comprehensive vision of the future bioenergy ecosystem including identification of various sustainability measures and the most sustainable value chains. In addition, evaluation of the industry’s needs for new knowhow and information in solar energy, energy storage and related energy system implementation was started at the end 2011. The first goal is to be able to decide the start-up of the appropriate program development and its tentative focus during the first quarter of 2012. Favourably, CLEEN would be in a unique position having on the same platform a research portfolio addressing the most important global challenges of the future energy system.
ceo review
INTRODUCING CLEEN
7
CLEEN’s mission still requires creating a similar portfolio for global material cycle including water, especially focused on environmental aspects and recycling. The on-going ARVI program development is a modest beginning.
After the intensive period of growth, it is good practice to evaluate if we are still on the right track to meet the expectations of our investors, namely, CLEEN’s shareholders and Finnish society as CLEEN’s primary public sponsor. Certainly there will be number of scientific publications (291/2011) indicating new scientific discoveries, PhD dissertations (13/2011) on new expertise and notifications of inventions (7/2011). However it is doubtful, if these numbers will ever be adequate to reason the investment made and to be made but there has to be wider impact.
During the last three years companies, various research organisations and Tekes have invested more than 50M€ in CLEEN’s operations, which is roughly estimated 500 full time equivalent man years. No doubt that there are tangible results for that investment but their value to various stakeholders may not be obvious or discovered. The fair and reasonable questions are: what are the deliverables, what is their relevance and value proposition to each stakeholder.
Industry, academia, shareholders and local society are the four most important stakeholders of CLEEN. In the short term, the value added to the industry can be evaluated by the volume and global significance of the enterprises’ committed to carry out their strategic research on CLEEN’s platform. For the time being and with these measures, the pace of industry’s involvement has been impressive. This is underlined by bearing in mind that CLEEN will not serve industry’s all R&D&I needs but serves merely a platform for joint research and matchmaking to form new cross-industrial ecosystems. If these high value added industrial activities take place in Finland it must also have positive impact on the local society although the resulting businesses, services and production are truly global.
Academia is driven by curiosity to be met by scientific excellence. In CLEEN’s context, excellence comprises relevance and quality. The evaluation and advices to increase the quality of the research will be provided by CLEEN’s Scientific Council (SC) and independent program specific Scientific Advisory Boards (SAB) in particular.
During 2011, three SABs were staffed for SGEM, FCEP and MMEA each including three to four internationally recognised experts. The plan is to finish the first scientific quality assessment during 2012. The interest and enthusiasm of SAB members towards CLEEN’s programs has been very encouraging at least from the point of view of Finnish innovation system appeal.
CLEEN is part of the Finnish innovation system due to its status as a Strategic Centre for Science, Technology and Innovation (SHOK) granted by the Finnish Prime Minister’s lead Research and Innovation Council. Complemented by the estimated 21 M€ annual (2012) public funding to CLEEN’s research programs by Tekes, CLEEN is expected to deliver significant value to Finnish society. One of the core objectives set for the SHOKs was “increasing the global appeal of Finland”, which is increasingly valid today. Measuring the contribution of CLEEN in that respect is a challenge that the independent evaluators of the SHOK-concept set by Tekes and the Academy of Finland will face during 2012. CLEEN’s role would be to dig out and highlight the nationally relevant and potentially valuable results delivered by program consortiums. Reasonable and meaningful evaluation is vital for all our stakeholders in order to know CLEEN’s present standing and in which direction to steer CLEEN in to the next intensive phase of change. Succeeding in this is one of the CLEEN’s most important goals for 2012.
Tommy Jacobson, CEO21st of March 2012
INTRODUCING CLEEN
8
cleen in brief
CLEEN was established in 2008 to promote industry’s competitiveness by initiating, facilitating and managing wide, deep and shared R&D&I between various industries and academia in the field of energy and environment. By complementing its mission CLEEN has a vision that the world’s leading companies and research institutes, that consider energy and environment aspects as a major success factor, will realise their joint R&D&I on CLEEN platform and that the R&D&I operations carried out within CLEEN have created and will create breakthrough innovations with a global impact.
CLEEN has 44 shareholders including several international companies which are technology and market leaders globally and have significant R&D activities or interests in Finland, as well as the most relevant national research institutes.
The status of Strategic Centre for Science, Technology and Innovation (SHOK) for energy and environment was granted to CLEEN in 2008 by the Finnish Prime Minister lead Research and Innovation Council.
INTRODUCING CLEEN
9
shareholders
Aalto University
ABB Oy
Agrifood Research Finland, MTT
Andritz Oy
Centre for Metrology and Accreditation, MIKES
Ekokem Oy Ab
FCG Finnish Consulting Group Oy
Finnish Environment Institute, SYKE
Finnish Forest Research Institute, Metla
Finnish Meteorological Institute, FMI
Fortum Oyj
Foster Wheeler Energia Oy
Gasum Oy
Geological Survey of Finland, GTK
Helsingin Energia
Hollming Oy
Kemira Oyj
Kumera Oy
Kuusakoski Oy
Lassila & Tikanoja Oyj
Metso Oyj
Neste Oil Oyj
Outokumpu Oyj
Outotec Oyj
Pohjolan Voima Oy
Rautaruukki Oyj
Stora Enso Oyj
Technical Research Centre of Finland, VTT
Technical University of Tampere
Technical University of Lappeenranta
The Switch Engineering Oy
University of Eastern Finland
University of Helsinki
University of Jyväskylä
University of Oulu
University of Vaasa
UPM-Kymmene Oyj
Vaisala Oyj
Vantaan Energia Oy
Vapo Oy
Vattenfall Verkko Oy
Wärtsilä Finland Oy
Åbo Akademi University
ÅF-Consult Oy
INTRODUCING CLEEN
10
board of directors
CLEEN’s Board of Directors was elected at the annual general meeting held on 24th March 2011. Mr. Mikael Hannus (Stora Enso Oyj) was selected as Chairman of the Board in the board meeting 3/2011 held on April 19th.
The board held seven meetings and a two-day strategy seminar during 2011. A total of five “gate meetings” (one Gate III and four Gate IV) were held to keep the board in touch with CLEEN’s core activities and to ensure that our programs fulfil their expectations right from initiation through to final reporting. In addition, updates on CLEEN’s research activities and financial status were presented and discussed at every board meeting.
The chairman and board members were remunerated for their attendance at meetings to the sum of €250 and €150 for each meeting attended, respectively.
INTRODUCING CLEEN
11
BOARD mEETINGs
1/2011 01.02. Bank
(Action plan and budget 2011)
2/2011 11.03. CLEEN
(Financial statement 2010,
MMEA gate IV)
3/2011 19.04. CLEEN
4/2011 13.06. Bank
(Setting up Science Council,
Review of 2011 targets)
5/2011 02.09. CLEEN
(Review of SRA)
6/2011 24.10. Restaurant Hvitträsk
(FCEP gate IV, DESY gate III)
7/2011 19.12. Helsingin Suomalainen
Klubi
(CCSP gate IV, SGEM gate IV
BOARD mEmBERs
Kimmo Forsman (ABB Oy)
Mikael Hannus (Stora Enso Oyj), chair
Riitta Keiski (University of Oulu)
Markus Lehtonen (Helsingin Energia)
Kauko Isomöttönen (Vapo Oy)
Ilkka Kojo (Outotec Oyj), vice chair
Jarmo Partanen (Lappeenranta University of Tech.)
Arto Hotta (Foster Wheeler Energia Oy)
Antero Vattulainen (Kuusakoski Oy)
DEPUTy BOARD mEmBERs
Toni Hemminki (Rautaruukki Oyj)
Kari Kolsi (Neste Oil Oyj)
Pertti Järventausta (Tampere University of Tech.)
Jarmo Tervo (Pohjolan Voima Oy)
Sari Siitonen (Gasum Oy)
Jouni Rantanen (Vaisala Oyj)
Outi Krause (University of Aalto)
Juha Kytölä (Wärtsilä Finland Oy)
Toni Andersson (Ekokem Oy)
INTRODUCING CLEEN
REsEARCH &
DEVELOPmENT
14
CLEEN’s R&D Council is our most important forum for information distribution and acts shareholders’ channel to influence the R&D activity in CLEEN. The council has a central role in preparation CLEEN’s strategy and supports the management and the Board of Directors, among others, in updating the Strategic Research Agenda (SRA), developing the processes and practices.
The objective of the council is also to initiate discussions of new research programs and to follow up the realisation of the SRA by giving feedback on ongoing research projects.
In 2011, the R&D Council’s two general assemblies were arranged in June and November (17th of June 2011 and 10th of November 2011). The two-year term of Professor Kai Sipilä, who had acted as the chair of the council since 2009, ended in autumn 2011. Professor Mikko Hupa from Åbo Akademi was elected as the new chair at the general assembly held in November. He holds the position until November 2013. It was decided to elect a deputy chair of the council as well. Professor Kaarle Hämeri from the University of Helsinki was elected as the deputy chair of the council for the period 2011–2013.
The key iniTiaTives by Working groupsThe R&D Council incorporates annually confirmed working groups which support CLEEN’s development targets. The work of the four working groups established in 2010 continued through 2011, during which their term and work was completed. The chairs of the working groups, in addition to the
chair of the R&D Council and the CTO of CLEEN, formed the core team of the R&D Council. Core teams tasks were to prepare, on the basis of the working groups’ final results, the council’s proposals to the Board of Directors and the management of CLEEN.
The working groups for 2010-2011 were the following:
1. Business Objectives, chair: Jukka-Pekka Nieminen (Neste Oil Oy)2. National Goals, chair: Jussi Palola (Helsingin Energia)3. Quality and Scientific Excellence, chair: Peter Lund (Aalto University)4. CLEEN Policies and Procedures, chair: Kai Sipilä (VTT)
Based on the proposals of the working groups, focus areas for the research activity for the years 2012–2014 and a new internal scientific excellence advisory process were established during the year 2011. In addition, the variety of project and funding models required for the implementation of the research strategy were clarified as well as models for international research collaboration.
updaTed sra - The focus areasof research for 2012–2014The objective of working groups 1 and 2 was to evaluate the research activity of CLEEN with respect to the current Strategic Research Agenda (SRA) and to propose new and better operational methods to prepare and execute research initiatives based on it. The outcome of the working groups was that attaining CLEEN’s objectives requires several R&D programs and instruments with different financial structures and IPR-principles. Strengthening cross-industrial and multidisciplinary R&D collaboration between industrial and academic research was considered CLEEN’s highest added value. Interdisciplinary R&D collaboration crossing the traditional industry clusters and therefore actually forming new ones, promotes good conditions for the development of new innovations and expertise, which are of benefit both to industry and academia.Working groups 1 and 2 also proposed that CLEEN’sSRA should be updated to better address the changes in the business environment and the progress of science.
r&d council
RESEARCH & DEVELOPMENT
15
In spring 2011, the working groups merged in order to make better use of each other’s visions because they approached the same substance from different points of view. As an outcome, the focus areas for CLEEN’s research for the period 2012–2014 were identified. Five new focus areas form two wider research themes: Future Efficient Energy Chains and Future Comprehensive Material Chains. The themes were considered to have globally significant market potential and considerable Finnish know-how.
The focus areas for research on the first theme are sustainable bioenergy solutions and decentralized and flexible energy production systems. In both of these, special attention is paid to energy and environmental effectiveness, land use and overall profitability. The second research theme comprises of the energy and materials efficiency of products, processes and services, as well as waste management and the beneficial use of materials and water treatment and recycling. In all of these, the aim is to optimise production processes and industrial operations comprehensively from the energy and materials efficiency point of view.
scienTific excellence advisory process The target of working group 3 was to create an internal process to propose measures to ensure and improve the scientific excellence in the research carried out in CLEEN. As a starting point each research program must be both relevant in terms of business objectives and of high scientific ambition. The aspect of relevance is well integrated into CLEEN research programs, so the working group concentrated on developing the process for the assessment and development of the scientific quality.
As a conclusion the group proposed setting up the prepared scientific excellence advisory process for all research programs. CLEEN Board of Directors decided to implement the process in the last quarter of 2011. According to the process independent and internationally recognised Scientific Advisory Boards (SAB) should be established to each research program. To supervise the implementation of the process, a new function in CLEEN, the Science Council (SC), was appointed by the Board of Directors at the end of 2011.
New instruments to implement the sRA
The starting point for the work of working group 4 was to review various existing public funding instruments available both nationally and internationally and their suitability for realising CLEEN’s SRA. The task of the working group was to develop practices and procedures for international collaboration by CLEEN, the possibilities for participation by small and medium-sized businesses and for collaboration with other SHOK companies.
The working group identified three levels for the international co-operation within CLEEN: strategic, operational and communicational. On the strategic level, the EU was seen as the main target area for actions aiming to procure further funding for R&D on themes of importance to Finnish actors. The main challenge was to bring together the views of companies, research institutes and governmental organisations so as to form joint statements to be submitted to the EU, which would be aligned with CLEEN SRA. To address the challenge, CLEEN and Tekes arranged a workshop in November 2011 where up-to-date information about the EU SET-Plan was provided and where opportunities for influencing EU financing of the energy area were discussed. As a concrete outcome the working group suggested that a plan for international collaboration should be prepared for each research program at an earliest possible stage. At the communicative level, the most essential issue would be to strengthen the recognition of CLEEN and its shareholders and further to improve Finland ‘s appeal as a competitive and preferred environment for R&D&I investments.
In 2012 two new working groups, set by the general assembly in November, will continue further the development of CLEEN and its operations on the basis of previous working groups. The targets of the working groups are focused on more real time and continuous update of the SRA as well as finding out the most applicable public funding instruments and their deployment plan to speed up the implementation of the SRA.
RESEARCH & DEVELOPMENT
CLEEN operational principles
16
fig.1
WORk GROUP 1
sRA
WORk GROUP 2FUNDING
ccsp
efeu
mmea
fcep
sgem sgemsAB
mmeasAB
fcepsAB
communi-cations finance legal adminis-
tration
REsEARCHR&D
COUNCILsCIENCE COUNCILREsEARCHsCIENCE COUNCIL
R&DCOUNCIL
BACk OFFICE
* PsG = Program steering Group* sAB = Scientific Advisory Board* WG = Work Group
CLEEN programs & processes
PUBLIC FUNDING SOURCES
CEO
CTO
STAGE & GATEPsG
AGREEMENTS & IPRPsG
PROGRAM MANAGEMENT
FUNDING & FINANCEPsG
SCIENTIFIC EXCELLENCE
COMMUNICATIONSCOMMS TEAM
SHAREHOLDERS’ GUIDANCE
WORKING COMMITTEE
PLANNING TEAM
PLANNING TEAM
LEADER
PROGRAM MANAGER
TEAM
LEGAL COUNSEL
CONTROLLER/ FUNDING
DEVELOPER
COMMSMANAGER
PROGRAM MANAGER
CHAIR OFSCIENCECOUNCIL
SCIENCECOUNCIL
CHAIR OFR&D
COUNCIL
R&D COUNCILWORKINGGROUP /SRA/
CONTROLLER/FUNDING
DEVELOPER
R&D COUNCILWORKING
GROUP / FUNDING
PROCEss WORkINGGROUP mANAGER OWNER
17
fig.2
sAB
18
cleen r&d council members
RESEARCH & DEVELOPMENT
COmPANy REPREsENTATIVEs
ABB Oy Jukka Tolvanen Andritz Oy Seppo HulkkonenEkokem Oy Ab Toni AnderssonFCG Planeko Oy Yrjö HalttunenFortum Oyj Marja EnglundFoster Wheeler Energia Oy Reijo KuivalainenGasum Oy Sari SiitonenHelsingin Energia Jussi PalolaHollming Oy Hannu LepomäkiKemira Oyj Kaj JanssonKumera Oy Jyri TaljaKuusakoski Oy Antero VattulainenLassila & Tikanoja Oyj Mikko TalolaMetso Oyj Matti RautanenNeste Oil Oyj Jukka-Pekka NieminenOutokumpu Oyj Juha YlimaunuOutotec Oyj Satu Jyrkönen Pohjolan Voima Oy Jorma IsotaloRautaruukki Oyj Toni HemminkiStora Enso Oyj Mikael HannusThe Switch Engineering Oy Jari KemppiUPM-Kymmene Oyj Antti RaukolaVaisala Oyj Mikko Laakso Vantaan Energia Oy Pertti SahiVapo Oy Kauko IsomöttönenVattenfall Verkko Oy Sauli AntilaWärtsilä Finland Oy Erkko FontellÅF-Consult Oy Pekka Järvinen
REsEARCH INsTITUTE REPREsENTATIVEs
Aalto University Peter Lund University of Helsinki Kaarle Hämeri, vice chair from 11/2011Geological Survey of Finland Jarmo KallioFinnish Meteorological Institute Jouni PulliainenUniversity of Eastern Finland Timo Jääskeläinen, Jorma JokiniemiUniversity of Jyväskylä Jouko Korppi-TommolaLappeenranta University of Technology Timo HyppänenAgrifood Research Finland Markku JärvenpääFinnish Forest Research Institute Leena PaavilainenCentre for Metrology and Accreditation Heikki IsotaloUniversity of Oulu Riitta KeiskiFinnish Environment Institute Harri JuvonenTampere University of Technology Seppo ValkealahtiUniversity of Vaasa Erkki AntilaTechnical Research Centre of Finland (VTT) Kai Sipilä, chair until 11/2011Åbo Akademi University Mikko Hupa, chair from 11/2011
INVITED mEmBERs
Energy Technology Cluster Program Kari LuomaCleantech Cluster Program Mari Pantsar-KallioFinnish energy industries Jukka LeskeläChemical Industry Federation of Finland Sami NikanderFinnish Forest Industries Jouni ValtanenThe Federation of Finnish Technology Industries Pirjo KaivosFinnish Funding Agency for Technology and Innovation (Tekes) Teija Lahti-NuuttilaTekes Teija Lahti-Nuuttila
status 31st of December, 2011
19
cleen management
RESEARCH & DEVELOPMENT
CLEEN ADmINIsTRATION AND BACk-OFFICE
Chief Executive Officer Tommy Jacobson, D.Sc.(Tech.)Chief Technology Officer Jatta Jussila-Suokas, D.Sc. (Tech.)Finance and Funding Antti Tumelius, M.Sc. (Econ.)Communications and Administration Karoliina Peippo, M.Sc. (Econ.)Legal and IPR Essi Heinänen, Master of Laws
Program management Carbon Capture and Storage Program (CCSP) Antti Arasto, M.Sc. (Tech.)Efficient Energy Use (EFEU) Jussi Manninen, Ph.D. (Tech.)Future Combustion Engine Power Plants (FCEP) Matti Kytö, L.Sc. (Tech.)Measurement., Monitoring and Environmental Efficiency Assessment (MMEA) Tero Eklin, Ph.D. (Chem.)Smart Grids and Energy Markets (SGEM)
Jani Valtari, M.Sc. (Tech.)
20
The allocated resources of the companies and research institutes to the five ongoing research programs (2011) represented the costs of 20.6 and 17.8 million euros, respectively. A detailed breakdown of the program partners contributions in the form of total costs is found in diagrams 4 and 5. During the year CLEEN programs were granted public funding totaling 21.3 million euros from Tekes, the Finnish Funding Agency for Technology and Innovation.In addition to ongoing research programs, three new programs were under preparation during 2011:
- Distributed Energy Systems (DESY)- Sustainable Bioenergy Solutions (SBES)- Material Value Chains (ARVI)
Alongside with the preparation of the ARVI program, a separate research project Advanced Solutions for Recycling Complex and New Materials (NeReMa), was executed (2010-2011) by the research institutes belonging to the CLEEN network. In NeReMa project, the evaluation of the prerequisites for a more extensive SHOK level program was set as a target. Based on close cooperation of NeReMa and ARVI preparation the research needs and themes have been identified. In addition, in 2011 preliminary preparations were initiated for a new program related to solar energy and/or to energy storage.The overall status of CLEEN’s program portfolio, i.e., development and execution stages of various CLEEN’s programs is presented in figure 3.
In the end of 2011 CLEEN managed five research programs with a total annual research volume of 38.4 million euros:
- Smart Grids and Energy Markets (SGEM), 12.0M€- Future Combustion Engine Power Plants (FCEP), 9.6 M€- Measurement, Monitoring and Environmental Efficiency Assessment (MMEA), 11.7 M€- Carbon Capture and Storage Program (CCSP), 3.2 M€- Energy Efficient Use (EFEU), 1.9 M€
CLEEN portfolio & overview
21
G V
G IV
AGREEMENTS
RESEARCH
REPORTING
FINALASSESSMENT
CONSORTIUM MEMBERS
G I
G II
G III
SRA INITIATIVES
EXECUTION PLANNING
TARGET SETTING
ARVI
SBES
MM
EACC
SPSG
EMFC
EPNE
REM
A
DESY
EFEU
fig.3
G = gateSGEM = Smart Grids and Energy Markets FCEP = Future Combustion Engine Power Plant mmEA = measurement, monitoring and Environmental Assessment NEREMA = Advanced Recycling of Complex and New materials
CCsP = Carbon Capture and storage Program EFEU = Efficient Energy Use DESY = Distributed Energy Systems SBES = Sustainable Bioenergy Solutions ARVI = material value chains
CLEEN program portfolio status Q1/2012
22
Based on the proposal of R&D Council’s working group 3 CLEEN’s Board of Directors nominated the members of the Science Council for the first period of three years. CEO invited and nominated the members of Scientific Advisory Boards (SAB) for SGEM, FCEP and MMEA programs based on the proposals of the respective program steering groups (PSG). The roles of SC and SABs are defined so that the Science Council as the owner of the process is responsible for the implementation and further development of the scientific excellence advisory process and the SABs carry out the actual assessment supported by Science Council.
The role of Science Council is supportive, advisory and instructive: the council assists CLEEN management to ensure that the SAB candidates proposed by program PSGs are independent and scientifically recognised, acts as an observer member and supports at the SAB meetings, draws executive conclusions of SABs’ findings and refines them to concrete proposals for CLEEN and PSGs to enhance scientific excellence.
Science Council also makes a pre-assessment of the research programs in their early preparation phase to support program development team and Board of Directors in appropriate decision making at gate II. In addition, it is responsible for communication with the Academy of Finland, developing collaboration with doctoral education programs in the field of energy and environment, and planning new kinds of doctorate/post-doctorate programs in order to increase scientific excellence and to promote breakthroughs.
Science Council members are nominated by Board of Directors for a period of three years based on open call. The core criterion for the qualification is experience on scientific evaluation practices. Secondly, the composition of Science Council should cover various disciplines.
Although the emphasis is clearly on academia, experience in industrial R&D&I should also be present. As the chair for the first three-year period 2011–2014, the Board of Directors appointed Professor Peter Lund from the Aalto University. In addition to the chairman four members were appointed to Science Council, namely, Professor Lassi Linnanen from Lappeenranta University of Technology, Professor Jouko Korppi-Tommola from the University of Jyväskylä, Professor Heli Jantunen from the University of Oulu and technology director and Adjunct Professor Markku Karlsson from UPM. The Science Council met twice in 2011 (in October and December).
During 2012, the aim is to increase the number of Science Council members up to eight. Science Council is expected to make the proposal for three new members to the board based on the complementing disciplines and expertise. From the process development point of view Science Council will focus on developing the pre-assessment of research programs so that the criteria for scientific excellence are taken into account already at the very early preparatory stage of research program initiatives.
The program specific SABs are responsible for the implementation of the three-phase scientific excellence assessment process: the initial assessment and final assessments of the research program and, for long programs, an intermediate assessment. The SAB makes an overall assessment of the research program, including recommendations, which will be reported to Science Council and to Program Steering Group.
The first three SABs appointed during 2011 for SGEM, FCEP and MMEA will start their work in April 2012 by getting familiar with the comprehensive material on the appropriate program followed by a three day long in-situ evaluation in May and September 2012.
science council & scientific advisory boards
RESEARCH & DEVELOPMENT
23
sCIENCE COUNCIL mEmBERs
Prof. Peter Lund, chair Aalto UniversityProf. Lassi Linnanen Lappeenranta University of TechnologyProf. Jouko Korppi-Tommola University of JyväskyläProf. Heli Jantunen University of OuluTechnology director, adjunct prof. Markku Karlsson UPM
sCIENTIFIC ADVIsORy BOARD mEmBERs
smarT grids and energy markeTs (sgem)
Prof. Ronnie Belmans (Power Systems Research) Katholieke Universiteit LeuvenProf. Antonello Monti (Power Utility Aspects) E.ON / RWTH Aachen University Prof. Lennart Söder (Integration and Interfacing Research) Kungliga Tekniska Högskola
fuTure combusTion engine poWer planTs (fcep)
Prof. Marcus Alden (Combustion Physics and Diagnostics) Lund University Prof. Konstantinos Boulouchos (Modelling, Simulation and Energy Systems) ETH ZürichProf. Nikolaos Kyrtatos (Engine Emissions) National Technical University of Athens
measuremenT, moniToring and environmenTal efficiency assessmenT (mmea)
Dr. Andreas Ciroth (Environmental engineering,LCA error calculation, sustainability consulting) GreenDeltaTC GmbH Prof. Kostas Karatzas (Informatics Systems & Applications) Aristotle University of ThessalonikiDr. Michel Matti Maricq (Impact of biofuels and “designer” fuels on engine emissions, PM measurements) Ford Motor CompanyProf. H.W.J. Russchenberg (Environmental Remote Sensing, Mathematics and Computer Science) Delft University of Technology
RESEARCH & DEVELOPMENT
24 24
fig.4 fig.5
abb 7.9 %aerial 0.1 %agco sisu 7.4 %agnico eagle finland 0.2 %aidon 0.2 %a-lab 0.4 %alstom 0.8 %andritz 0.4 %anturikeskus 1.0 %cubio 1.4 %cybersoft 0.5 %da-design 0.8 %dekati 0.5 %digiecocity 1.1 %ecocat 0.2 %eigenor 0.9 %elektrobit 1.3 %empower 2.5 %emtele 0.9 %fatman 0.7 %fingrid 1.7 %fortum 5.4 %foster Wheeler energia 0.2 %gasmet 0.5 %
gasum 1.7 % green net finland 0.5 %harp Technologies 0.5 %helen 2.6 %hiQ finland 1.6 %helsinki region environmental services authority (hsy) 0.3 %indmeas 0.6 %Jyväskylän 0.2 %kemira 0.3 %kumera 0.3 %luode consulting 0.2 %measurepolis development 0.3 %metso 5.0 %modulight 0.7 %neste Jacobs 0.5 %neste oil 0.7 % nordkalk 0.2 %nokia siemens networks 11.5 %numerola 0.3 %osakeyhtiö skf aktiebolag 0.3 %oulun energia 0.1 %outokumpu 0.3 %
outotec 0.2 %pegasor 1.3 % proventia 0.4 %ramboll finland 0.7 %rautaruukki, ruukkimetals raahe 0.7 %space systems 0.5 %suur-savon-sähkö 0.8 %stora enso 1.2 %Tapojärvi 0.2 %Tekla 1.4 %Teliasonera 0.2 %The switch 1.0 %There corporation 1.5 %vaisala 9.6 %vantaan energia 0.2 %Wapice 0.2 %vattenfall verkko 1.1 %vibrometric 0.8 %viola systems 0.7 %Wärtsilä 11.6 %Åf-consult 0.3 %Total 100.0 %
aalto university 15.5 %finnish meteorological institute 3.7 %geological survey of finland (gTk) 0.9 %university of helsinki 1.3 %university of Jyväskylä 0.5 %lappeenranta university ofTechnology 8.9 %helsinki metropolia university of applied sciences 1.0 %
centre for metrology and accreditation (mikes) 2.5 %mTT agrifood research finland 0.5 %university of oulu 4.2 %finnish environment institute (syke) 3.4 %university of Tampere 0.4 %Tampere university of Technology 18.1 %
Turku university of applied sciences 0.9 %university of eastern finland 2.4 %university of vaasa 2.8 %vTT Technical research centre of finland 30.9 %Åbo akademi 2.0 %Total 100.0 %
fig 4. Allocated resources made by industry to CLEEN’s programs in 2011
fig 5. Allocated resources made by research institutes to CLEEN’s programs in 2011
CLEEN research
25 25
fig.6 fig.7
fig 6. smE contribution in CLEEN programs in 2011
fig 7. Funding
sme 10.9 %largecap 42.8 %research institutes 46.3 %Total 100.0 %
Tekes 55.5 % companies (incl dif) 33.0 % research organisations 11.5 % Total 100.0 %
REsEARCH
PROGRAms
28
Carbon Capture &Storage program
ccsp04
Future CombuStion enginepower plantS
fcep02
meaSurement, monitoring &environmental eFFiCienCy
aSSeSSment
mmea03
energy eFFiCient uSe
efeu05
Smart gridS &energy marketS
sgem01
RESEARCH PROGRAMS
29
diStributed energySyStemS
desy
material value ChainS
arvi
SuStainable bioenergySolution
sbes
RESEARCH PROGRAMS
SMART GRIDS & ENERGY MARKETS
sgem01
The aim of the Smart Grids and Energy Markets (SGEM) research program (2010-2014 with five Funding Periods) is to develop globally applicable smart grid solutions that can be demonstrated in full scale utilising Finnish infrastructure. At the same time, an internationally networked research environment will accumulate the know-how of the world-leading ICT and smart grid providers in Finland.
STATISTICS OF PUBLICATIONS
Journal Articles 39 | Conference papers 101 | BSc Thesis 6 | MSc Thesis 45 | PhD Thesis 5 |
Technical Reports 94 | Other 17 | Total 307
31
The core elements of the research are: 1 | smart grid drivers and scenarios, market integration and new business models2 | future infrastructure of power systems, 3 | active resources of the smart grid, 4 | customer interface for the smart grid, and5 | intelligent management and operation of smart grids
The SGEM program consortium consists of 20 industrial and 8 research partners. The industrial partners consist of 6 technology providers, 5 local Distribution System Operators (DSOs), Finnish national Transmission System Operator (TSO) Fingrid Oy, and 8 companies operating in the ICT sector. The program is scheduled for 5 years with a total budget of 56 M€.
The SGEM program structure was reviewed for the 2nd Funding Period (FP), and the original 27 Work Packages (WPs) were merged into seven larger WPs. A separate WP leader was nominated for each WP to strengthen the internal management of WPs. The restructuring enhanced the collaboration between partners. When comparing with the 1st 1FP and 2FP had more common activities and deliverables. In general and according to the original plan, the deliverables of the 2nd FP include more practical and concrete results than the 1st FP. Many practical results were also demonstrated with real world pilots, which in the program are called Proof-of-Concepts.
In WP1 the smart grid roadmap was revised based on the large web survey, which provided valuable information for the future planning of the program.
In WP2 the research around the LVDC network continued, and the first Proof-of-Concept is currently in the installation phase in the network of Suur-Savon Sähkö Oy. In phase earthing systems research, the first invention disclosure of SGEM was filed.
The research on regional high voltage networks in WP3 focused on fault current limiting technologies and the capacity of demand response in mitigating the reserve requirements, and indicated the large impact of smart grid technologies on the outage and sag costs.
In WP4 Demand Response (DR) was on the focus. The technical infrastructure for achieving DR is now more closely specified and the first Proof-of-Concepts are expected during the 3rd FP. In the 2nd FP smaller piloting was already carried out on the required intelligent customer gateway device.
Active resources were investigated in WP5, and laboratory setups enabling micro-grid operation with generation units and energy storages connecting to the same DC link were tested.
Intelligent management and operation of smart grids is on the focus of WP6. The key achievements include a clearer vision of the wireless communication concept for smart grids utilising the 4G/LTE technology. In addition to Proof-of-Concepts in Self-Healing networks, continuation of the islanding operation in the island of Hailuoto, improved application of Automatic Meter Reading (AMR) measurements in both network planning (more accurate estimations on network losses) and in network operation (fault identification in LV networks).
In WP7 energy market research focused on the conflicting interests of different market players in the smart grid environment. Novel network tariffs and business models have been drafted and their feasibility investigated.
In international venues most of the activities were related to the European Electricity Grid Initiative (EEGI). SGEM program participated in the preparation of EEGI by defining the requirements for EEGI functional project families, and the criteria for EEGI projects. Concerning international cooperation, the target of SGEM program is to create scientifically high quality new information and practical Proof-of-Concepts, that would enable program parties to have significant role in future large scale smart grids demonstrations e.g. within EEGI.
Financially the program is slightly behind the budget of the 2nd FP. Till the end of October 2011 54% of the 2nd FP budget was spent, and 48% of the planned resources used, although 67% of the 2nd FP was elapsed. This is partially due to late approval of the public funding for the 2nd FP. However, the intention is to catch up with the budget by the end of the 2nd FP that is the end of February, 2012.
RESEARCH PROGRAMS
32
FUTURE COMBUSTION ENGINEPOWER PLANTS
fcep02
STATISTICS OF PUBLICATIONS
Scientific Articles 22 | Internal Deliverables 26 | BSc Thesis 2 | MSc Thesis 10 | PhD Thesis 3 | Lic Thesis 2 |
Patent Applications 4 | Notifications of inventions 2 | Total 71
The Future Combustion Engine Power Plants (FCEP) research program (2010-2014 with four Funding Periods) is focused on reciprocating engine and related power plant technologies. The objective of the program is to improve energy efficiency and the environmental impacts of combustion engine power plants to meet future market requirements.
33
The main research topics are combustion process, energy efficiency of the engine and auxiliaries such as heat recovery systems and power conversion technologies, emission control, fuel flexibility as well as automation and control for optimised power plant usage. In addition there is an important national objective to establish unique and world class research facilities in Finland for the energy producing combustion engines and their auxiliary systems.
The duration of the FCEP program is 1.1.2010 – 31.12.2013 with a total program volume of 37.8 M€. The research is conducted by 8 industrial partners and 9 research partners. There have been no changes in the consortium during the first two years. In the following the key achievements of 2011 will be briefly highlighted.
During 2011, 300bar cylinder pressure was reached at the Aalto University. This means that about 50% more power can be obtained from the same size of engine compared to normal operating conditions. In the field of engine research numerical modelling and optimisation tools used for combustion chamber shape optimisation allowed for a reduction in fuel consumption and emissions in medium-speed gas engines. To complete mathematical modelling of an engine an optical single cylinder research engine is being constructed utilising best available techniques. The engine will be used to study fuel injection and engine combustion in real time and using accurate laser techniques.
In the area of energy efficiency, substantial efforts were made in turbocharger design and new solutions for electric motor rotor and stator cooling were presented.
A smart fuel pump was tested on a rig. According to the test bench measurements the efficiency of the smart pump is high i.e. approximately 91% at full displacement and maximum pressure.
A low temperature Organic Rankine Cycle (ORC) process will be tested on a Wärtsilä Vasa 4L32 engine. Design work for prototyping was completed and a call for tenders for the most critical components has been initiated. The model of diesel-electric offshore vessel power network was developed in Simulink/MATLAB environment. By using the voltage level control in DC-links without any extra power electronics, the energy savings can be remarkable.
New vanadium-free catalyst materials were designed and prepared for high temperature NOx reduction. Also a test bench was designed and constructed to study Selected Catalytic Reduction (SCR) catalysts’ long term effects in high sulphur conditions. For SOx removal a new solution offering unique benefits was invented, and the appropriate patent application filed. The test system was installed in a test container and is waiting for on-board tests.
New methods were developed to predict diesel engine performance on various fuels. However, it appeared that calibration is required for each case, thus still making engine testing a necessity.During the 2nd FP significant progress has been made towards the set targets on improving process control, for example, regarding novel sensor technologies, faults diagnostics and controls of internal combustion engines.
Financially, the program has proceeded according to the original budget.
The key areas of the research are:1 | energy efficiency2 | emission reduction 3 | alternative energy sources 4 | the application of new concepts, designs, and materials.
RESEARCH PROGRAMS
34
MEASUREMENT, MONITORING &ENVIRONMENTAL EFFICIENCY
ASSESMENT
mmea03
The aim of the Measurement, Monitoring and Environmental Efficiency Assessment (MMEA) research program is to develop new technologies, methods, tools and services for environmental observation systems both in industrial processes and in the surrounding environment. The program started in May 2010 and is planned for five years (2010-2015) comprising of five Funding Periods (FP) with a total budget of 54.5 M€.
STATISTICS OF PUBLICATIONS
Journal Articles 25 | Conference papers 29 | MSc Thesis 10 | PhD Thesis 5 |
Technical Reports 27 | Other 6 | Total 102
35
MMEA consortium consists of 44 partners out of which 31 are companies including 20 small and medium-sized enterprises (SME). The contribution of the SME companies represents about one quarter of the total volume. By the end of the first funding period (FP) four partners have withdrawn. However, three new partners including two SMEs joined for the 2nd FP and two more will join for the 3rd FP in 2012. The Tekes eligible budget for the 1st FP was 9.3 M€ and for the 2nd funding period 11.6 M€, the TEKES eligible budget planned for the 3rd FP is 12.0 M€. Total TEKES eligible budget for the period 2010-2015 is 54.5 M€.
Achievements in 2011 include a cooperation model between MMEA program and collaborative enterprise group projects which has been finalised 2011. The model was demonstrated in the first MMEA linked collaborative enterprise project (LähEK). One1 Ltd lead LähEK project and MMEA program cooperation started in June 2011 with the aim to provide MMEA generated environmental information and systems for distributed and local energy system developed in LähEK project. This is an important opening to enable the deployment of program’s results in wider context and especially to provide access to SMEs to the newest scientific information. Additionally, Green Net Finland (registered association) is coordinating a CLEEN and Finnish Competence Cluster co-operation project funded by the Finnish Ministry of Employment and Economy. The target of the project is to inform and commit SMEs nationally to CLEEN’s programs including MMEA, which will improve SMEs opportunities to benefit the research results obtained in CLEEN’s programs.
In November 2011, Finnish Academy funding was granted for a project PATHWAY which has direct links to Work Packages 1, 3 and 5. PATHWAY will also utilise the MMEA Platform for environmental monitoring. In addition the positive funding decision by the Academy of Finland to the research area close to and scientists working both for MMEA and PATHWAY is an important recognition of the scientific quality of MMEA. In the coming FPs MMEA will significantly benefit from the fundamental research of the analysis and utilisation of large environmental data masses, which will be carried out in PATHWAY project.
MMEA consortium continued the development and related research of the MMEA Platform technology and the concept of environmental information market place, EnviTori. While the platform provides interoperable data management technology for the development of environmental monitoring applications, the market
place facilitates the connection of various data providers and end-user applications on commercial basis. MMEA Platform creates not only a backbone for MMEA but also a new kind of innovation environment. An important milestone was achieved early 2012 through the release of version 1.0 of the MMEA Platform.
An indoor air quality pilot has been implemented and demonstrated. The data of Finnish buildings, satellite images and topographic data has been uploaded into a 3D navigation model. The pilot is based on the MMEA Platform’s environmental data services. Through this pilot, the energy use and comfort index of dedicated buildings can be illustrated in a 3D visualisation application. The pilot concept is combining the results of several Wps thus indicating strong internal integration of the program.
New discoveries were made in the area of environmental radars. Through advanced algorithms, a wealth of new information and knowledge made available through brand-new radar data schemes and applications to enable environmentally effective activity and decision making. Examples of new applications are sand storm analysis and a system to detect and visualise bird migration for airline industry to improve the safety of air traffic.Novel particle sensors such as ELPI+ and PPS-M have been developed, including simulation and various calibration schemes. During the next FPs, these results will be applied in the industrial and international pilot cases, hence further increasing the cooperation within the program
The internationalisation activities of the program during the 2nd FP are highlighted by the China Testbed pilot initiative. The first official meeting with the main Chinese partner ZTE corporation was held in June 2011 and the Chinese funding corresponding the 50% of pilot costs was secured. The memorandum of understanding concerning the cooperation with CLEEN Ltd and Green China Livinglab representing the Chinese parties is scheduled for the first second of 2012. In China Testbed pilot the utilisation of various data sources and the business potential of the environmental monitoring services will be explored both in Finland and China. The testbed concept enables Finnish companies to promote their latest technologies in emerging markets. The execution of China Testbed is scheduled for 2011-2013.
The primary areas of the research are: 1 | Interoperable environmental measurement systems 2 | Environmental efficiency management system 3 | New online and remote sensing technologies 4 | SME program.
RESEARCH PROGRAMS
CARBON CAPTURE & STORAGE PROGRAM
ccsp04
The main objective of the Carbon Capture and Storage (CCSP) research program is to achieve technological and conceptual breakthroughs in know-how, development and commercialization of CCS for participating companies and research organizations - and at the same time building up novel collaboration coalitions between the parties.
37
CCS technology is in the early demonstration phase. Therefore, intensive and focused research in CCSP program offers remarkable opportunities for creating breakthrough solutions, which may significantly reshape the energy industry.
The length of CCSP program is five years dived to five Funding Periods (FP) with a budget of 20 M€. The program consortium consists of the leading Finnish research institutes (9) and enterprises (17) having significant competence and experience their specific part of the CCS value chain. The industrial partners comprise the leading boiler manufacturers, power plant operators, CO2 intensive industries, equipment and instrument providers. In addition, extensive international networking is an essential element of the program. National participation in various international networks will be organised via the program. The program is linked to the related on-going international projects in order to strengthen and assure the international exchange of information and to avoid overlapping of activities.
Through the close mutual cooperation the consortium forms a strong basis for comprehensive research, development and demonstration activities as well as for the commercialisation of CCS. Industrial partners of the consortium are familiar with operating in international markets and all participating R&D organisations have extensive international contacts and cooperation networks.
The rather poor cost efficiency of the present CCS seems to be a barrier to the commercial deployment of CCS technology. New solutions – not only technological but also business concepts - are needed for the commercially viable CCS applications.
The sustainability of CCS will be on the focus of the program. Especially new knowledge on the long term environmental impacts of various CO2 storage options is needed for the public acceptance of CCS. This is crucial because the wider application of CCS is heavily dependent on political decision making.
The main target of the CCSP is to develop technologies and concepts, which would enable industry pilots and demonstrations by the end of the program and further commercial applications emerging from 2020. The program will create world class know-how, concepts and commercial solutions for Finnish companies on the road to the carbon neutral energy production. The program contributes efficiently to climate change mitigation, enforces versatile heat and power production structure, promotes resource efficiency and enhances the security of energy supply.
RESEARCH PROGRAMS
Main research topics of the program are:1 | CCS in process industry,2 | CCS in Combined Heat and Power (CHP) with BioCCS as a specific topic,3 | Acceptability of CCS4 | Chemical Looping Combustion (CLC) and5 | Mineral carbonation
38
CARBON CAPTURE & STORAGE PROGRAM
ccsp04
39
RESEARCH PROGRAMS
Potential for the geological storage of CO2 in the Baltic Sea region will be more deeply studied in the program. Carbon Capture and Storage (CCS) is seen as a vital technology to achieve CO2 emission reduction by 80-95% till 2050, as agreed upon by the EU Heads of State. This requires a rapid deployment of CCS throughout the member states, which necessitates a well-coordinated effort. Because Baltic Sea connects several member states together and functions as an important transportation route for trade and commerce, the feasibility of the geological formations of the sea bed for the underground storage of CO2 will be investigated in more detail.
This will be covered in the following two sub-topic of the program:
1| Establishment of an international Baltic Sea CCS network2| Estimate the actual geological storage potential in Baltic Sea based on previously determined seismic data.
In 2011, work has been undertaken to extract previously recorded seismic data for the geological storage potential assessment of the geological formations under the Baltic Sea. Oil exploration data generated over the period of several years provides data for the assessment of the geological formations. Work for establishing a Baltic Sea CCS network has also been started. The network will strengthen the collaboration between Finnish, Swedish, Estonian, Latvian, Lithuanian and Polish geological surveys and the relevant R&D organisations and industries.
BioCCS enables a CO2 sink in energy production. In general the technologies developed for the capture of the CO2 emerging from the use of fossil fuels would be applicable to the biomass based processes. Biomass binds carbon dioxide by photosynthesis, the capture of CO2 from biomass fired installations would lead to negative emissions on a life cycle basis and further the removal of CO2 from the atmosphere.
If BioCCS were to be deployed on a large scale, this would enable and speed-up systemic change from carbon neutral to carbon negative energy production and industrial processes.
Appealing processes for applying CCS to Biomass based production include:
- Biomass to Liquid (BTL) via Fischer-Tropsch processes- Bio-Synthetic Natural Gas (SNG) - Pulp and papermaking- Biomass power generation: e.g. biomass fired boilers and bio IGCC- Biomass co-firing with fossil fuels
If the total Green House Gas (GHG) effect of the negative CO2 emissions by BioCCS is taken into account, the profitability of BioCCS would increase with higher fossil fuel prices compared to the fossil CCS. However, as with all bio based industries, the same constraints such as sustainable resource management are dominant.
Based on the current status of the research, BioCCS could account for a larger share of carbon mitigation in 2030 than the current CCS deployment scenarios in Europe project. Next generation biofuels propose a larger potential for BioCCS than co-firing of biomass yet the capture potential from 1st generation biofuels is limited. BTL production is the easy target for applying the capture of CO2, both from logistics and a cost point of view; whilst the pulp and paper sector is not seen as a major contributor to BioCCS in Europe.
40
EFFICIENT ENERGY USE
efeu05
41
The Efficient Energy Use (EFEU) research program (2011-2016) was launched in the last quarter of 2011. The main objective of the EFEU program is to build knowledge and competence to enable future economic growth in new energy efficiency product and service innovations.
The program partners are from organisations, which represents high-level technical and scientific excellence in the area of energy efficiency technologies. The EFEU consortium consists of 13 partners of which eight are industry representatives and five from research organisations. The aim is to enlarge consortium for 2nd FP. In addition to the cooperation within the program, the consortium members are connected to an extensive network of partners, suppliers, and international research institutes that participate in the work without direct membership in the program. Planned budget for the program duration 7.9.2011–31.12.2016 is 12 M€. The EFEU program is focused on providing methods, tools and technologies to enable step-wise increase in energy efficiency beyond what can be achieved by continuous improvement and application of Best Available Technologies (BAT) - ultimately to move economical and technical efficiency boundaries of process and energy systems through system integration, optimisation and technology development.
The research program has four work packages focusing on the following themes: defining and measuring energy efficiency, analysis and optimisation of complex systems, technology research, and energy efficiency services and solutions. In addition, the analysis of future scenarios and their effects on long-term knowledge needs of energy efficiency and related businesses is selected as fifth theme for the research program. The application areas for the research emerge from industry covering energy services, energy chains and industrial systems.
The objective of the program is to advance the formation of novel international energy efficiency based business and reformation of the existing business. The research forms Finnish energy efficiency research network, which consists of strategically oriented researchers and contacts to the best international energy efficiency experts in the world. Within the program a roadmap is formed which can be used to assess the future significance of energy efficiency and required future actions for industry, research, and society.
RESEARCH PROGRAMS
42
NETWORk ACTIVITIEs
43
COmmUNICATION
44 44
CLEEN selected activities in 2011
05.01 Smart Grid journalists visit to Helsinki, SGEM program19.01 CLEEN development day
01.02 CLEEN Board meeting09.02 CCSP Program Steering Group (PSG) meeting16.02 HE Huang Xing, research co-operation possibilities between CLEEN and China with ambassador of China for Finland17.02 Program preparation kick-off of the bioenergy program (SBES)18.02 MMEA Program Steering Group (PSG) meeting
11.03 CLEEN Board meeting24.03CLEEN Annual General meeting, Helsinki31.03 Reseach co-operation possibilities between CLEEN and Canada, HE Finnish Ambassador to Canada
05.04SHOKing the Finnish Innovation Landscape EU-seminar, Brussels, Belgium06.04FCEP Program Steering Group (PSG) meeting 06.04SGEM Program Steering Group (PSG) meeting06.04MMEA Program Steering Group (PSG) meeting06.-07.04First CLEEN Annual Seminar, Helsinki. 19.04CLEEN Board meeting
12.05Finnish-IrishInnovation co-operation in bioenergy, Helsinki16.05 Research co-operation possibilities with the Trade Representation of the Russian Federation of Finland, Helsinki26.05MMEA seminar
13.06CLEEN Board meeting17.06CLEEN R&D Council meeting22.06China Testbed, MMEA and CLEEN co-operation meeting
JAN FEB MAR APR MAY JUN
45 45
09.-12.08Cleantech Business Forum Event in San Diego, CA17.08Program preparation kick-off of the material value chains program (ARVI)31.08SGEM Program Steering Group (PSG) meeting
02.09CLEEN Board meeting06.09CCSP kick-off seminar
07.10MMEA Program Steering Group (PSG) meeting12.10FCEP Program Steering Group (PSG) meeting12.-13.10Lahti CleantechExpo Fair25.10CLEEN Board meeting and strategy workshop
01.11CLEEN/Tekes seminar on EU research activities, Helsinki08.11CLEEN activities, Nordic Green, Japan10.11CLEEN R&D Council meeting15.11MMEA seminar16.-17.11 SGEM seminar17.11CCSP Program Steering Group (PSG) meeting22.11FCEP seminar
01.12 Research co-operation possibilities between CLEEN and USA, U.S. Embassy in Copenhagen, Environment, Science and Technology Office, Helsinki08.12SGEM Program Steering Group (PSG) meeting19.12CLEEN Board meeting
JUL AUG SEPT OCT NOV DEC
46
parTners:
SHOK companies: Fimecc Oy, Forestcluster Oy, Tivit Oy, Rym Oy, Salwe OyCleantech FinlandFinnish Environmental Cluster for China, FECCEnergy Technology Cluster Program, Teknologiakeskus Oy Merinova AbCleantech Cluster Program, Lahti Science and Business Park LtdEERA
governmenTal organisaTions:
Tekes – The Finnish Funding Agency for Technology and InnovationAcademy of FinlandMinistry of Employment and the Economy Ministry of the EnvironmentMotiva Finpro
non-governmenTal organisaTions:
Confederation of Finnish Industries (EK)The Federation of Finnish Technology IndustriesFinnish Energy IndustriesChemical Industry Federation of FinlandFinnish Forest IndustriesThe British Embassy in Helsinki, FinlandEmbassy of the United States in Helsinki, FinlandEmbassy of the People’s Republic of China in Helsinki, FinlandEmbassy of the Russian Federation in Helsinki, Finland
Nordic Energy Forskning (TFI)Finnfacts (part of TAT Group)Research Institute of the Finnish EconomyFinnish Water ForumFinnfundGerman-Finnish Chamber of CommerceFinnish-Russian Chamber of Commerce
service providers:
Inno-W Oy Web pages and research portalEntre Marketing Oy Event organizersKuudes Kerros Oy Corporate image and brandingNetprofile Oy CommunicationsPohjoisranta Oy CommunicationsRamboll Network and management consultingTalenom Oy Accounting and financeVisualweb Oy Web pages and portalZeeland Branding Oy Web pages and portal
NETWORK ACTIVITIES
stakeholders
47
cooperaTion WiTh shoks
The companies having the SHOK status (Forestcluster Oy, Fimecc Oy, Tivit Oy, Salwe Oy, Rym Oy, Cleen Oy) have arranged several meetings in various compositions in order to share and review best practices, to explore cooperation opportunities and to coordinate research efforts to avoid any possible overlapping. Frequent meetings have been arranged with
- Chairmen of boards and CEOs, - CEOs and CTOs- CTOs- Communication and administration personnel
The intensive cooperation has realised in the form of joint marketing efforts (e.g. SHOK-summit, material, common web pages etc.) and shared resources (e.g. legal counsel). Besides several SHOK companies use the same accounting, ICT and WEB portal service providers.
An example of a concrete cooperation with SHOKs is a joint program preparation with Forestcluster Ltd to launch a bioenergy focused research program (SBES) during 2012. The SBES program aims to create a comprehensive vision of the future bioenergy ecosystem including identification of various sustainability measures and the most sustainable value chains. The gate II meeting for SBES was held on 8th of March, 2012.
cooperaTion WiTh finnish compeTence clusTers (oskes)Mr. Kari-Matti Sahala (Finnish Cleantech Cluster) was appointed in 2011 to promote cooperation between small and medium-sized enterprises (SMEs) and CLEEN’s research activities. This has included to facilitate participation of SMEs in to CLEEN’s research programs as well as to leverage the utilisation of the program’s results in SMEs’ businesses. The project is jointly coordinated by Green Net Finland ry, Lahti Science and Business Park Ltd, the four OSKEs (Nanotechnology, Ubiquitous Computing, Cleantech and Energy Technology Clusters) and CLEEN. Mr. Sahala’s work is funded by the Finnish Ministry of Employment and Economy.
In addition Green Net Finland and CLEEN have cooperated in MMEA program to enhance SMEs participation and contribution in the program. The outcome has comprised of establishing reciprocal change of information between MMEA and LähEK-project lead by One1 Ltd. The project is utilising the results of MMEA and will demonstrate renewable energy based distributed energy system in Lappeenranta, Rauha (Saimaa Gardens). The total costs of the project (600 000€) is partly covered by Tekes.
NETWORK ACTIVITIES
48
The primary goal of CLEEN’s communication function in 2011 was to make CLEEN a recognised and preferred platform for joint research in the field of energy and environment both nationally and internationally. This goal was supported by publicising systematically the results of our research programs. The same approach will continue during 2012.
The aim is also to promote openness, innovation and modern ways of thinking throughout CLEEN’s operations, by the most suitable communication channels and media.
The primary channels for communication between CLEEN and our stakeholders have been our renewed website and research program workspaces (CLEEN portal), CLEEN eNewsletter, various other publications and articles as well as presentations. In social media CLEEN LinkedIn group has been active for interactive information and opinion sharing. The number and activity of the members in CLEEN group has grown remarkably during 2011 exceeding 350 members. An informative Wikipedia site has been created and the intention is to broaden the site by adding more information about the research programs. A significant communication effort was the first ever CLEEN annual seminar held in April 2011, which attracted more than 250 national and international experts and leaders in the field of energy and environment.
In order to communicate more efficiently the results achieved from the research programs, dedicated communication teams have been established for each on-going program. The communication teams for CCSP and EFEU programs will be set-up during 2012.
The renewal of CLEEN web pages and portal was launched in late 2011. The purpose was to meet the needs of our shareholders and research program consortiums to make our website and portal more interactive and user-friendly especially for document sharing and commenting.
CLEEN’s communication with the media have mainly been channelled through our website, press releases, special publicity events, through CLEEN’s annual seminar and through research programs’ public seminars. Articles covering CLEEN have appeared in Finnish newspapers and magazines.
In response to our stakeholders’ needs, we have produced various materials including CLEEN brochures, research program factsheets and marketing materials. A new brochure called Tutkimustoiminnan painopisteet 2012-2014 (research focus areas for 2012-2014) was introduced in late 2011. The brochure was created based on a large survey addressed to our stakeholders.
We continued to build up close cooperation with Cleantech Finland to coordinate the message of the Finnish Cleantech competence and to join forces for enhanced international visibility. Cooperation with other SHOK companies, Tekes and with the Academy of Finland has continued and strengthened through regular cooperation.
COMMUNICATION
communications
49
relaTed links:
CLEEN web pages: http://www.cleen.fi/
CLEEN Linkedin group: http://www.linkedin.com/groups?gid=2889884&trk=hb_side_g
CLEEN in Wikipedia: http://fi.wikipedia.org/wiki/CLEEN
CCSP portal (requires login):http://portal.cleen.fi/ccsp
EFEU portal (requires login): http://portal.cleen.fi/efeu
FCEP portal (requires login): http://portal.cleen.fi/fcep
MMEA portal (requires login): http://portal.cleen.fi/mmea
SGEM portal (requires login): http://portal.cleen.fi/sgem
SHOK web pages: http://www.shok.fi/en/
COMMUNICATION
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FINANCIALs
NET TURNOVER 1 403 378.51 848 508.66Other operating income 245 333.02 276 600.88Raw materials and services External services -1 060 705.65 -629 622.10 -629 622.10Staff expenses Wages and salaries total -343 080.79 -299 285.90 -299 285.90Other operating expenses -171 809.92 -112 174.27OPERATING PROFIT (LOSS) 73 115.17 84 027.27Financial income and expenses Other interest and financial incomeFrom others 58 202.73 37 333.96Interest and other financial expenses For others -133.39 -1 313.77 36 020.19
PROFIT (LOSS) BEFORE EXTRAORDINARY ITEMS 131 184.51 120 047.46
PROFIT (LOSS) BEFORE APPROPRIATIONS AND TAXES 131 184.51 120 047.46
Income taxesTaxes during accounting period -34 313.41 -15 098.87 -34 313.51 -15 098.87 PROFIT (LOSS) FOR THE FINANCIAL YEAR 96 871.10 104 948.59
Currency EUR 1.1.2011-31.12.2011 1.1.2010-31.12.2010
INCOmEsTATEmENT
“NET TURNOVER” includes CLEEN Commission (643 223.33€), Program Management Cost (245 338.44€) and Direct Industrial Funding (514 816.74€). For Program Management Cost and Direct Industrial Funding CLEEN Ltd has exactly the same amount of liabilities towards Program Parties to cover the budgeted program management costs and Industrial Partners’ direct funding to Research Partners. Therefore these amounts do not have any effect on “OPERATING PROFIT” except possible credit losses (see below) guaranteed by CLEEN Ltd. “Other operating income” (245 333.02€) consists of public funding by Tekes due to internal Tekes-project CLEENDEVEP.“Wages and salaries total” comprises the staff expenses of the permanent personnel including Controller since August 2011 as well as the remuneration paid to the members of Board of Directors and Science Council.
“Other operating expenses” comprises three outstanding Program Management Cost and Direct Industrial Funding accounts (6 916.50€) filed as credit losses.
From the income point of view the financial position of CLEEN Ltd is only satisfactory but sustainable from the perspective of the next couple of years. Significant investments have to be made continuously to communications, internal R&D and program development in order to maintain competitiveness and recognition of CLEEN platform. This is crucial to maintain annual research program volume and further CLEEN commission when the first programs (FCEP and SGEM) end in 2013-2014. In addition the CLEENDEVEP-project is expected to end 2012 after which “Other operating income” will decrease essentially. However in 2012 “Other operating income” is still expected to rise moderately as CLEEN participates in the ERDF-funded project concerning innovative public investments in energy and environment.
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ASSETS
CURRENT ASSETSDebtorsShort-term Trade debtors 379 740.36 195 306.35Loan receivables 0.00 491.21Other debtors 6 236.39 13576.19Prepayments and accrued income 134 673.89 107 560.72 520 650.64 316 934.47
Cash and cash equivalents 3 420 881.41 3 276 901.42
ASSETS TOTAL 3 941 532.05 3 593 835.89
LIABILITIES
CAPITAL AND RESERVESSubscribed capital 1 002 500.00 1 002 500.00Subscribed capital 1 002 500.00 1 002 500.00
Other reservesFree invested equity reserve 1 537 500.00 1 537 500.00 1 537 500.00 1 537 500.00Retained earnings (loss) 41 329.91 -63 618.68Profit (loss) for the financial year 96 871.10 104 948.59
2 678 201.01 2 581 329.91
CREDITORS Short term Advances received 973 323.67 643 971.17Trade creditors 167 884.76 273 096.58Other creditors 36 464.97 12 583.76Accruals and deferred income 85 657.64 82 854.47 1 263 331.04 1 012 505.98
1 263 331.04 1012 505.98
LIABILITIES TOTAL 3 941 532.05 3 593 835.89
Currency EUR 1.1.2011-31.12.2011 1.1.2010-31.12.2010
BALANCE sTATEmENT
“Advances received” comprises of CLEEN Commission (113 794.68€) Program Manager Cost (60 519.47€) and Direct Industrial Funding (799 009.52€) invoiced by CLEEN in advance. The same applies to “Trade creditors”, which mainly consists of Direct Industrial Funding invoices filed in 2011 but not paid.
The relatively high “Free invested equity reserve” ensures flexibility to adjust and develop company’s operations due to possible unexpected or sudden changes in its environment.
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CONTACT INFORMATION
contact information
Tommy Jacobson, CEO+358 40 828 [email protected] Jatta Jussila-Suokas, CTO+358 40 825 [email protected] Karoliina PeippoCommunications Manager+358 40 542 [email protected] Antti TumeliusController+358 40 722 [email protected] Essi HeinänenLegal Counsel for SHOKs+358 400 469 [email protected]
Kari-Matti SahalaDevelopment Manager Finnish Cleantech Cluster +358 50 383 [email protected]
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CONTACT INFORMATION
Jani ValtariSGEM Program Manager,+358 50 335 [email protected]
Matti KytöFCEP Program Manager+358 40 502 [email protected]
Tero EklinMMEA Program Manager+358 50 374 [email protected]
Antti ArastoCCSP Program Manager,+358 400 159 [email protected] Jussi ManninenEFEU Program Manager+358 40 535 [email protected]
Distributed Energy (DESY)Kari Sipilä+358 400 44 8713 [email protected]
Sustainable Bioenergy (SBES)Jatta Jussila-Suokas+358 40 825 [email protected]
Material Value Chains (ARVI)Jatta Jussila-Suokas+358 40 825 [email protected]
fcepFuture Combustion Engine Power Plant
sgemSmart Grids and Energy Markets
mmeaMeasurement, Monitoring and Environmental Assessment
ccspCarbon Capture and Storage Program
efeuEfficient Energy Use
CLEEN Ltd., Eteläranta 10, 00131 Helsinki, Finland Business Identity Code: 2200705-1
www.cleen.fi
