Cleantech – The Impact on Key Sectors in Europe – 2
Our OpinionClean technology: The revolution has begun
Cleantech is at the heart o a huge global revolution, drivenby many actors. Individually each o these actors issignicant but cumulatively they are immensely powerul.These actors include (1) protection o the environment(especially environment degradation, resource eciency andconsumption and climate change), (2) energy security,(3) security o commodities (or instance water, ood, scarcemetals, oil, etc.), (4) nancial movement towardsinternalisation o the external costs o environmentdegradation, and (5) a global population increasing at atremendous pace coupled with increasing human longevity.Dened as technology which is specically designed toaddress environment issues (such as remediation o harmulemissions) or is designed to lessen the impact on the planeto current products or services (or instance renewal energy orecient motors and other products), Cleantech is becomingcentral to many businesses today: waste management, watermanagement, road transport and consumer goods, to name just a ew (the appendix sets out examples o currentclean technologies). CMS believes that over the coming years,Cleantech will pervade virtually all commercial sectors. Thisinnovative and ast growing industry could be worth manytrillion Euros globally by 2015.
CMS commissioned Oxord Analytica, an international andindependent consulting frm, to produce a orward-lookingreport on Cleantech and its impact on key commercial sectorsin Europe. We believe that this report can help to rame thecurrent discussion about the enormous market opportunitiesCleantech provides, the potential risks and structural barriersthat it aces and the potential impacts that it will have on othercommercial sectors.
Much o the growth in Cleantech is being driven bygovernment policy and legal regulations. The EuropeanUnion (EU) and its Member States have set clear targets orinstance in clean energy generation, waste managementand road transport. The EU is currently, in our opinion, theglobal thought leader in this area and will continue tobe so in the near uture but the US, Japan and China arecatching up ast.Despite the recent economic crisis, Cleantech and morestringent environment regulations have remained high onthe political agenda. We believe that the ongoing economiccrisis will not dampen the take up o Cleantech any morethan it is dampening other commercial sectors. In act wesuspect that the economic crisis will stimulate the uptake oCleantech, not only because the policy makers in almost allthe major economies view this sector as a sector o potentiallyhuge growth but also because business managers will seekinnovative Cleantech as a means to help increase eciencyand control costs.