Clean Coal Market Opportunities

China represents the largest market for coal technology with coal supplying 75% of China's enery needs and a projected power growth of 15 gigawatts (75,200 MW plants) per year. If U.S. clean coal technologies can capture just 20% of the new annual coal ca pacity additions in China, it would translate to well over $2 billion in annual sales with a commensurate creation of new U.S. jobs. Clean coal technologies can assure that these energy needs are met in an environmentally clean and efficient manner.


Overcoming Barriers

The primary barrier to the introduction of any new technology domestically or globally is economics and financing. Another is the risk associated with making inverstments in projects in countries with major market instability and the uncertainty associated with deploying a U.S. technology on foreign soil with foreign coals and foreign operational practices. A continuing problem is also associated with intellectual property protection.

The establishment of a Center in China that would provide information on the advantages, capability and performance of U.S. clean coal technologies could facilitate the selection of U.S. technologies and U.S. companies. DOE participation could help "open doors" for U.S. companies and assist in identifying market opportunities for U.S. firms in the clean coal and environmental sectors. It would facilitate bringing the Chinese buyers together with the U.S. sellers and assist in securing financing.



The China/US Energy and Environment Technology Center would be located in Beijing and would be cooperatively funded by U.S. industry, Chinese government agencies, and selected university participants. The Center will provide training and educational programs related to environmental policies; provide information for dissemination on the capability and performance of U.S. technologies; identify market opportunities for U.S. firms in the energy and environment sectors; and provide access to experts for assessing technology opportunities through the performance of joint Sino/U.S. studies, and information exchange in energy and environment related conferences and workshops.

The Center will provide an opportunity for the U.S. Government to have studies performed in country by members of the Center fully knowledgeable in the specific issues representatives. The U.S. Government funds provided to the Center will be used specifically for supporting defined tasks and issues of interest related to opportunities for U.S. energy and environment technology and equipment suppliers to compete in developing market opportunities in China. Before a project is pursued through the Center, a basic requirement of participation by a U.S. entity (non-federal government) and a Chinese organization must be fulfilled. Funding and/or in-kind contributions by U.S. and Chinese participants will ensure that worthwhile projects are being implemented. Activities of the Center are to be evaluated on a regular basis by the U.S. government, Chinese organizations and other participants as well as the usefulness of continuing the Center's operation after the first year.