Transcript Slide 1

Mexico City
17 September 2014
Israel’s Water Technology and Industry
Roots, Growth, Sustainability
Raanan Adin
IPN Representation in Israel
CEO, Adin Holdings, Israel
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[email protected]; [email protected]
Outline
 Introduction
 Roots of Israel’s water industry
 Innovation and start-ups
 Conclusions
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Israel
 Area: 22,000 sq. km.
 Population: 8 million (2013)
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Source: Google Maps, http://maps.google.com
Population growth
Israel's Population 1948-2013
Thousands
9,000
9,000
8,107
8,107
8,000
7,419
6,748
7,000
6,041
6,000
5,328
5,000
4,477
4,119
3,738
4,000
3,338
2,841
3,000
2,430
2,032
2,000
919
919
1,669
1,000
00
1948
1948
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1953
1958
1963
1968
1973
1978
1983
1988
1993
1998
Year
Sources:
Central Bureau of Statistics, Israel, http://www.cbs.gov.il;
Mexico: http://www3.inegi.org.mx/Sistemas/temas/Default.aspx?s=est&c=17484
2003
2008
2013
2013
Initial Technology Drivers
The need for survival resulted in rapid growth:
Military Industry
Hi-Tech
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Medical
Equipment
Agriculture
Biotechnology
Water
Trade Challenges
 Trade destinations in a distance: Require being more
attractive and more effective.
Export from Israel in 2012
N. America
30%
S. America
3%
Europe
34%
Africa
2%
Others
5%
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Mexico
0.7%
Asia
25%
Oceania
1%
Source: Central Bureau of Statistics, Israel, http://www.cbs.gov.il
Water
Balance (1)
Yearly precipitation (mm)
Average 1981-2010
 Climate
Yearly precipitation (mm)
Average 1941-2000
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Source: http://mapasdemexico.org/maps/rain.html
Source: Israel Meteorological Service
http://www.ims.gov.il/
Water Balance (2)
Water balance (MCM/y @ 2010):
 Fresh water resources available - 1,200
 Demand - 2,131
 Deficit - 44% 2500
60
143
120
2000
1500
1,044
Other 60
Regional support 143
Industry 120
Agriculture 1,044
1000
1,200
500
764
0
Natural resources
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Demand
MCM - Million Cubic Meters
Source: Israel Water Authority - Water Sector Master Plan v4
Urban 764
Israel’s Major
Water Works
Water Resources
 40% Ground water
Lake
Kinneret
Tel
Aviv
 20% Surface - Lake Kinneret
 20% Reuse 450  500
 20% Desalination 430  750
Israel’s Major Water Works
Black: Water Red: Reuse
Milestones:
 National water carrier: 1964
 Shafdan WWTP: 1969
 Ashkelon desalination plant: 2005
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Jerusalem
Dead
Sea
Water Reuse in Industry
 Challenges:
 Water quality requirements are high
 Treatment of industrial pollutants is difficult
 Drivers:
 Regulation+enforcement: Discharge quality restrictions; Tight
quotas
 Cost: Fresh water consumption; Wastewater discharge
 Solutions:
 Flow source separation
 Equalization tanks
 Match the right technology
 Ex.: Intel Israel, Kiryat Gat factory reuse over 50%. Goal: 80%
 Government support: Loans for establishing reuse systems
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Source: Israel Water Authority - Water Sector Master Plan v4
Main State Institutions
Ministry of Energy and
Water - Legislator
Ministry of Health - Water
Quality - Legislator,
Regulation
National Water Authority Regulation, Pricing,
Supervision
Ministry of Environmental
Protection - Pollution
Control
Mekorot National Water
Company - Water supply
Municipal water
authorities - Distribution
to consumers
Ministry of Economy Water industry
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Ministry of Agriculture Regulator, Legislator
Israel’s Water Industry
Main segments
 Irrigation
 Treatment
 Management
 Flow control
 Security and safety
 Consulting, design offices
Challenge: Develop locally, operate globally
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Innovation and Technology
Evolution paths:
 Universities research -> Incubator -> Private
investor-> Productization
 "Back yard" -> Incubator -> Private investor ->
Productization
 Industry in-house development
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Innovation and Technology
Evolution paths:
 Universities research -> Incubator -> Private
investor-> Productization
 "Back yard" -> Incubator -> Private investor ->
Productization
 Industry in-house development
The gaps are hard to cross . . .
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Nurturing Innovation
 Knowledge and research
 Capacity building
 R&D encouragement
 Leveraging the local market and infrastructure
 Helping global expansion
NEWTECH - National program aimed at promoting
Israel’s water and sustainable energy sectors
 Under the Ministry of Economy
 “First round” for start-ups: 2006
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R&D Encouragement
 Office of the Chief Scientist tools to assist new
technological initiatives:
 Tnufa - EUR 40,000 grant
 Incubators - EUR 700,000 investment/2 years
 Support of research institutions
 Magnet - Collaborative R&D in Industry
 ISERD - EU R&D programs support (Ex.:
HORIZON2020)
 Numerous bi-lateral agreements
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Leveraging the Local Market
 Implementation of new water technologies with:
 Local water utilities
 Mekorot National Water Company
 Openness in the private sector to support startups
and allow beta and pilot testing
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Helping Global Expansion
 Utilize commercial attaches’ network abroad
 Sign joint ventures with international partners &
institutes
 Funding for marketing efforts
 Leverage standardization;
Active participation of IIS in ISO
 Participation in international events
 Promote local conferences
 Government guaranteed insurance
for oversees project
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WATEC Exhibition & Conference
 Bi-Yearly water industry promotion event
http://www.watec-israel.com/
 150 exhibitors, including Israel’s leading companies,
startups, institutions and several international
companies
 Delegations from over 100 countries, including
ministers, investors and procurement officers
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Private Incubators (1)
 Kinrot Ventures
 Founded in 1993; Privatized in 2006
 Main operation model: PPP - Private-Public-
Partnership combining the owners and Chief
Scientist incubator program
 Portfolio: 14 companies, 10 in water:
 TA Count - Near real time sensor for detection of
reproducible microorganisms
 Diffusaire - Energy saving aeration technology
 FiltofleX - Fine filtration flexible media
 and more . . .
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Private Incubators (2)
 L.N. Green Technological Incubator
 Operating almost 20 years
 Established more than 70 companies
 Focused on environment since 2007
 Portfolio: 9 companies, 3 in water:
 JP AquaKnit - 3D flexible biomass carrier for WWT
 AgRobotics - Anerobic process for high organic load
 Accurate Watering - Sprinklers for irregular areas
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Success Stories
 Treatec 21 Industries
 A.R.I.
 Diffusaire
 Applied CleanTech
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Treatec 21 Industries
 Sector: Wastewater treatment
 1996: Academic research at the Hebrew University
in Jerusalem
 2000: IP registration by “Yissum”
 2002: Ashkelon incubator supported
by the Chief Scientist of
the Ministry of Economy
 2004: Private investor - Solor
 2010: Merged into a public company, traded in Tel
Aviv Stock Exchange - Yaad Industries
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A.R.I.
 Sector: Water metering
 Challenge addressed: Low flow metering at homes
 Collaboration with Jerusalem’s local water company
(Hagihon) to install at “neighborhood scale” of 5,000
homes
 Support budget: EUR 200,000
 Success boosted
international sales !
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Diffusaire
 Sector: Aeration - Wastewater treatment
 Challenge addressed: Reduce
aeration energy cost
 Collaboration with a municipal water
company to install in their WWTP
 Support budget: EUR 50,000
 Project started: 2012
 Success in reducing energy cost
dramatically - Company ready for the
next step - private investment
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Applied CleanTech
 Sector: Wastewater treatment
 Challenge addressed: Reuse of solids
 Newtech: Collaboration with a municipal water
company; ACT decided to use private investment.
 Support budget: None
 Key issue: Newtech’s support brought the partners
together
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Conclusions
 Motivation: Survival . . .
 Focus = Dedicated program NEWTECH
 Support from pure R&D to global expansion,
Connecting the pieces of the puzzle
 Private initiatives strengthened by state policy
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WATER IS LIFE
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Raanan Adin; IPN Representation in Israel; [email protected]
CEO; And Holdings; [email protected]