Sino-German Metal Eco-City develops a creative and pragmatic way

 

    During the visit to Germany, Chinese President Xi Jinping and German Chancellor Angela Merkel made a joint statement about establishing a comprehensive strategic partnership between China and Germany, and witnessed the signing of several cooperative agreements involving automobile, informatization, finance, energy conservation and environmental protection. Among the ten signing economic projects, Sino-German Resources Regeneration Base is the only one that belongs to Guangdong.

 

    As the only one project involving energy conservation and environmental protection, Sino-German Resources Regeneration Base is co-constructed by ZhongDe Metal Group Co., Ltd., Guangdong Rising Assets Management Co., Ltd. and ALBA Group.As for the construction of Sino-German Metal Eco-City, Secretary of the CPC Guangdong Provincial Committee Hu Chunhua proposes to create Sino-German Metal Eco-City as an important platform for cooperation between Guangdong and Germany. Governor Zhu Xiaodan requires developing key exploratory projects with innovative management system, innovative international cooperation approach and innovative mode of transformation and upgrading of the traditional superior industries. As the key project of Sino-German Metal Eco-City and the international cutting-edge project in circular economy, this project is funded by state, private and foreign capital, which is rare.

 

    Some industry insiders think that this project is of demonstration significance in Guangdong and China under the background that ecological civilization construction and development of the mixed ownership economy are stressed at the Third Plenary Session of the 18th CPC Central Committee. 

 

    Relying on Sino-German Metal Eco-City

 

    Several “the first” in various areas in China after the completion

 

    According to the introduction of vice president of ZhongDe Metal Group Co., Ltd Liu Feizhou, Jieyang, as the national important metal production base, raw material distributing center and scrap metal recycling center, produces scrap steel (including stainless steel) over 30 million ton. However, no standard metal resources regeneration market and processing base can be found in Jieyang. Waste material recycling is done by self-employed workers and social idlers, and some problems become prominent including outdated processing method, scattered and disorder operation, environmental pollution and potential risk.

 

    Last year, Sino-German Metal Eco-City started construction aiming at the comprehensive transformation and upgrading of the metal industry in Jieyang and even in Guangdong. Jieyang wishes to build resources regeneration base in the park on the platform of Sino-German Metal Eco-City, with the help of governmental planning and policy guidance, relying on the whole metal industrial chain of Sino-German Metal Eco-City. It is an important project of “six industrial platforms”(metal raw material and metal products trading platform, R&D and design platform, metal products production and machinery manufacturing platform, human resources platform, scrap metal recycling platform and financial services platform).

 

    Therefore Jieyang municipal government, ZhongDe Metal Group, GRAM and ALBA Group jointly develop Sino-German Resources Regeneration Base with a total investment of 3 billion RMB aiming at building a resources regeneration base, a distributing center of solid waste treatment, a demonstration project of the third-generation household waste treatment technology and a demonstration base of environmental protection and resources regeneration cooperated between China and Germany.

 

    It is known that after the completion, Sino-German Resources Regeneration Base will be the first qualified recycling center in metal and electronic products, which is capable of the treatment of discarded automobiles, waste electronics, scrap nonferrous metal, waste paper, hazardous waste, and the third-generation household waste treatment technology.

 

    CEO of ALBA Group Axel Schweitzer introduces that ALBA Group invests and holds shares in the project and focuses on providing German advanced technologies during the project cooperation.

 

    According to the introduction, ALBA Group, as one of the ten international environmental service and resource regeneration companies, has more than 200 places of business in Germany, America, and Asia with an annual turnover of 2.9 billion euros. The business of the enterprise covers the whole area of environmental service and resources regeneration, providing household waste treatment service for most European cities. ALBA Groupadopts the standard process of “recycling-treatment-trade” to make comprehensive recycling and utilization of the resources including scrap metal, industrial waste, electronic waste, scrap cars, plastic and wrappage, as well as household waste. “In the future, these advanced modes will be promoted in China through Jieyang.”

 

    Through this project ALBA Group will bring the third-generation household waste treatment technology Refuse Derived Fuel（RDF）to China. Concerning the contribution to environmental protection, the third-generation household waste treatment technology has distinct advantages compared to the first-generation (landfill) and the second-generation (direct incineration). It will be the first demonstration project of Chinese third-generation household waste treatment technology.

 

    Circular economy leads the industrial upgrading

 

    Settle in Jieyang and set an example in China

 

    As the signing project witnessed by leaders of both China and Germany, the project makes the contracting parties excited and proud.

 

    As one of the contracting parties, CEO of Guangdong Rising Assets Management Co., Ltd Zhu Wei expresses that German chancellor Angela Merkel introduces them as youngsters from Guangdong, which makes him more inspired and excited.

 

    Dr. Axel Schweitzer says that he is proud that the contract is signed under the witness of leaders from both countries, and he is prouder of the only one involving green industry among all projects. “We have chance to contribute to the industrial upgrading and the environmental renovation of China and believe that the Sino-German cooperation could bring enormous changes and opportunities in China.

 

    Deputy Secretary of the CPC Jieyang Municipal Committee, Mayor of Jieyang City Chen Dong thinks that at the crucial time of controlling pollutions in China, ALBA Group brings new environmental protection technologies “urban mineral” and “Green Coal” to participate in the pollution control, changing waste materials into new ones, municipal waste into green energy with a hope of creating a new way for the environmental management in Guangdong and even in China. In the meantime, at the critical time of the transformation and upgrading of traditional industries, “urban mineral” perfects the whole metal industrial chain, makes resources regeneration as a necessary part of the industry, promotes the economical and intensive production and the green production, and strengthens the industrial competitiveness, which have a model significance for the transformation and upgrading with clear direction and method.

 

    Chen Dong also thinks the project innovate the industrial concept. That is, the products are given new lives through recycling and the industry should be based on the present development and look forward to the future, thus strengthening the vitality of the industry and even quickening the industrial revolution.

    Each party of the project thinks that though the project settles in Jieyang, it will serve Guangdong and even China, and has demonstration significance in China. “It is a pioneer in the way that circular economy leads the transformation and upgrading.”

 

   Researcher of Guangdong Research Institute for International Strategies, professor of Guangdong University of Foreign Studies Li Yongning thinks that “settling in Jieyang, setting an example in China” could be an important reason for this project being one in the high-level visit. As for him, because Guangdong is a coastal city in southern China, the international development of industries in Guangdong is higher than that in inland cities. In the next step, circular economy will be improved in Guangdong. Resources regeneration and environmental protection technologies in Europe, especially in Germany, are quite mature, as Germany has the most advanced technologies in waste biological treatment and resources regeneration including water, waste and air. Guangdong has industries with high openness and high sensitivity of markets, and focuses on the development of the international industries in a shortest time, through cooperating with foreign capital to achieve its own development.

 

    Li Yongning thinks in the crucial time when the sustainable development of ecological resources is highly valued by the CPC Central Committee, the successful signing of the project is a good thing for Guangdong Province and China. As a pioneer in the transformation and upgrading of the industries, Guangdong plays an exemplary role in leading the national industries to green sustainable production.

 

    The rare combination of state, private and foreign capital

 

    High appreciation and steady cooperation

 

    Among the signing projects, the mixed operation of private, state and foreign capital also arouses great attention. “State, private and foreign capital form a golden partnership.” says Zhu Wei.

 

    The development of the mixed ownership economy is stressed at the Third Plenary Session of the 18th CPC Central Committee. The mixed ownership economy involving state-owned capital,collective capital and non-public capital is the important form to realize the basic economic system. It is beneficial for the magnification effect, the maintenance and appreciation of values, the competitiveness improvement of the state-owned capital, and it is of help for mutual complementation, promotion and development of capitals of all forms of ownership.

 

    Zhu Wei says “ALBA Group as a world-class environmental protection enterprise has advanced technologies. Guangdong Rising Assets Management as a large state-owned enterprise has capital and basic advantages. ZhongDe Metal Group as a private enterprise has a flexible mechanism. In this way the project is beneficial to mutual complementation, promotion and development.”

 

    Zhu Wei expresses that as a state-owned large enterprise in metal resource exploitation Guangdong Rising Assets Management is aware of the resources limitation. “Mining resources are limited but every year a large quantity of metal and electronic products are discarded, which not only results in a waste of resources but also causes environmental pollution.” Therefore, Guangdong Rising Assets Management has been trying to go into the field of resources regeneration in the resource development, that is the development of urban mineral, but it could not find a chance all the time because of inadequate technologies.

 

    “Knowing the cooperative intention between Jieyang and ALBA Group, Guangdong Rising Assets Management reaches an agreement on cooperation through careful research, which will bring mutual benefits.”

 

    Dr. Axel Schweitzer cannot agree more with the system of combination. It is their first tripartite cooperation project, and he considers it as an interesting and significant attempt. State capital, private capital and the support form municipal and provincial government give full play to their advantages, which convinces him of the bright prospect of the project.

 

    Sino-German Resources Regeneration Base had a great impact and was supported by many German parties in just a few days. Foreign policy spokesman for the CDU/CSU parliamentary group in the Bundestag Philipp Missfelder highly appreciates the significance of the visit of President Xi Jinping, and thinks that Sino-German Metal Eco-City is a successful model because it sets an example in ecology and technology and provides an important chance for German enterprises to expand Chinese market.

 

    Cheng Dong expresses that the construction of Sino-German Resources Regeneration Base is a small step of the long-term cooperation between China and Germany and the construction of Sino-German Metal Eco-City. Jieyang exchanges views with DIHK (Association of German Chambers of Commerce and Industry) and gains high recognition of president of DIHK to jointly co-construct Sino-German environmental protection industrial park within Sino-German Metal Eco-City. WISTA, the management institution of Adlershof, also signs an agreement on operating and managing Sino-German Metal Eco-City in a new mode. “We are building an important platform to cooperate with Germany in Guangdong in a creative and pragmatic way.”