Asian Development Bank Partners Singapore Cooperation Enterprise and Three Singapore-Based Water Companies to Secure an Annual US$150 Million Worth of Public-Private Partnership Water Projects in the People’s Republic of China
1. Asia Infrastructure Project Development Pte Ltd announced its official launch today with the signing of a Shareholders Agreement, witnessed by Guest of Honour, Mrs Lim Hwee Hua, Senior Minister of State for Finance and Transport; and Dr Bindu Lohani, Vice President for Finance and Administration of Asian Development Bank. AIPD is a joint venture company incorporated in Singapore by Asian Development Bank (ADB) and a consortium of three Singapore-based companies, namely, Crest Spring Private Limited, The Konzen Group and United Engineers (Singapore) Private Limited. Together, the parties intend to invest up to US$10 million in the company.
2. AIPD will assist developing countries in Asia to develop commercially viable public-private partnership (PPP) projects in water supply, sanitation and wastewater treatment. It will initially focus on projects in People’s Republic of China (PRC) but also explore business opportunities in India and Vietnam in a subsequent phase.
3. Singapore Cooperation Enterprise (SCE) played a key role in bringing ADB and the Singapore consortium together to conceptualise and initiate the formation of AIPD. This initiative is part of SCE’s larger efforts to export Singapore’s public sector expertise to encourage PPP, and foster long term collaboration with International Organizations (IOs) such as ADB. Through AIPD, Singapore public and private sector water players will be able to share their experience in integrated water resource management, and operation and management of water and wastewater treatment plants.
4. The consortium of Singapore-based companies will extend their valuable experience in the water sector, particularly in technical and financial prefeasibility assessments and structuring investment projects such as BuildOperate-Transfer projects, Transfer-Operate-Transfer projects and project packaging. Crest Spring Private Limited has extensive experience and expertise in engineering, construction, and project management in municipal wastewater treatment in PRC. The Konzen Group is a pan-Asian water technologies system integrator and incubator, with strong financial engineering capabilities in the water sector. United Engineers (Singapore) Private Limited is a wholly owned subsidiary of United Engineers Limited which has a reputable track record and end-to-end capabilities for water and environmental projects.
AIPD brings an annual US$150 million worth of PPP projects in PRC
5. It is envisaged that AIPD will bring an annual US$150 million worth of PPP projects for private companies, including Singapore-based and other international water players. Both PRC Government and ADB look forward to collaborating with more water companies, as well as infrastructure project financiers, to manage and invest in the PPP projects that are developed by the AIPD.
6. To kick start the initiative, the Harbin and Kunming Municipal Government has signed a Memorandum of Understanding (MOU) with ADB and SCE for AIPD to assist them in developing PPP projects exclusively in municipal waste water collection and treatment, water recycling, sludge treatment and solid waste management.
AIPD is an innovative PPP between ADB and Singapore
7. AIPD represents a pioneer PPP initiative in the water sector. It aims to address the changing needs and expectations of developing countries in attracting private investment. AIPD offers a single-window to support municipalities by providing relevant public and private sector expertise to develop projects from the time they are conceptualised until they are completed and are being considered for PPP. AIPD will provide advisory services that include feasibility studies, planning, design, financial structuring, and other tender preparation activities that will result in the successful awarding of a tender.
8. Mr Seethapathy Chander, Deputy Director General of ADB and Chairman of AIPD said,
“There is a huge demand for urban infrastructure investment in PRC. ADB estimates that about US$140billion in new investments are needed in water and wastewater treatment plants and recycled water. However, the municipalities often lack capacity to develop detailed plans needed to attract private investors. Investors also face challenges in identifying bankable projects. AIPD is an innovative one stop shop that aims to assist municipalities in the PRC to develop and manage bankable PPP projects that will attract private capital.”
9. On behalf of the Singapore consortium, Mr Jackson Yap, Group Managing Director and Chief Executive Officer of United Engineers Limited said,
“The three Singapore-based companies value this opportunity to partner ADB and SCE. This is an area where we can readily contribute to PRC through sharing our expertise in the water sector. The support from ADB and SCE will greatly boost the consortium’s overall capabilities, credibility and profile, which will in turn open doors to new business opportunities and networks in PRC.”
SCE will support AIPD through an MOU
10. SCE has been working closely with ADB and the Singapore consortium to shape the formation of the AIPD and secure its first partnership projects with municipal governments of PRC. Under a framework agreement signed today by Mr Alphonsus Chia, Chief Executive Officer of SCE and Mr Seethapathy Chander, SCE will support AIPD’s activities in the following areas:
(a) To assist AIPD in identifying PPP projects in PRC and build Government to Government partnerships with municipal governments;
(b) To coordinate and pool necessary public and private sector expertise to partner AIPD in developing PPP projects. Specifically, the PRC government has expressed keen interest to leverage on the AIPD to tap on Singapore’s public and private sector expertise in water resources management, efficient operations and management of utilities, and environmental management; and
(c) To bring Singapore public and private sector companies and project financiers to manage and invest in downstream PPP projects successfully developed by AIPD.
11. On the strategic partnership, Mr Alphonsus Chia said,
“We are pleased to partner ADB and the Singapore consortium in this new initiative. To deepen our engagements with IOs such as the ADB and World Bank, SCE has set up a dedicated International Partnerships unit to spearhead collaborations with these organisations. We hope to leverage on AIPD to share with key policy makers in the developing countries the competencies of Singapore’s public and private sector in urban environment and water resource management, while exploring partnerships as well as new business opportunities.”
13. This initiative has also received strong support from Singapore’s Ministry of Finance and Economic Development Board, in line with the Singapore Government’s overall strategy of positioning Singapore as an International Organisation (IO) hub by actively engaging established organisations such as the ADB to deepen their presence in Singapore. Other notable examples of premier IOs based in Singapore include the setting up of the International Monetary Fund-Singapore Regional Training Institute in 1997 and the establishment of the World Bank Group Office in 1999.
Jointly Issued by Asian Development Bank, Crest Spring Private Limited, The Konzen Group, Singapore Cooperation Enterprise and United Engineers (Singapore) Private Limited.
Annexes
Annex 1: About Asian Development Bank, Crest Spring Private Limited, The Konzen Group, Singapore Cooperation Enterprise and United Engineers (Singapore) Private Limited
Annex 2: Opening Address by Mrs Lim Hwee Hua, Senior Minister of State for Finance and Transport
Annex 3: Speech by Dr Bindu Lohani, Vice President for Finance and Administration, Asian Development Bank
Annex 4: Speech by Mr Jackson Yap, Group Managing Director and Chief Executive Officer, United Engineers Limited
ANNEX 1
About Asian Development Bank
Asian Development Bank (ADB) is dedicated to poverty reduction in Asia and the Pacific, a region that is home to two thirds of the world’s poor. Established in 1966 and headquartered in Manila, ADB is owned and financed by its 67 member countries, of which 48 are from the region and 19 are from other parts of the globe.
It contributes low interest loans, guarantees, grants, private sector investments, and knowledge and advice to help build infrastructure and improve essential services such as health and education to boost quality of life, particularly for the nearly 1.9 billion people in the region still living on $2 or less a day.
ADB’s focus is on encouraging economic growth, social development, and good governance, while promoting regional cooperation and integration in partnership with governments, the private sector, and nongovernment and international organizations.
Although most lending is in the public sector – and to governments – ADB also provides direct assistance to private enterprises of developing countries through equity investments, and loans. In addition, its triple-A credit rating helps mobilize funds for development.
About Crest Spring Private Limited
Crest Spring Private Limited (CS) provides water treatment services in the Chinese municipal wastewater Build-Operate-Transfer market in the People’s Republic of China. It has also been actively involved in the design, engineering, procurement and construction of projects supplying ultra pure and ultra filtration solutions mainly to industry throughout China. CS prides itself in being in the forefront of membrane technology applications.
About The Konzen Group
The Konzen Group (Konzen) is headquartered in Singapore and has evolved from an organisation which has more then 25 years of operating history in Southeast Asia, and 15 years in People’s Republic of China.
It is mainly engaged in industrial water projects, providing high quality ultra-pure water as well as treating highly polluted wastewater to meet discharge standards. It is s technological leader in many subsectors of water treatment, through the deployment of leading edge technologies in a joint venture with Beijing Gaia, established by top researchers from Peking University, and created by a number of other independent inventors through its incubation and technology commercialisation business.
In technology incubation, Konzen is working closely with various Singapore government agencies to identify new solutions for Asian urban infrastructure. Konzen is the first specialised water technologies incubator in Asia.
About Singapore Cooperation Enterprise
Singapore Cooperation Enterprise (SCE) is a government agency formed by the Ministry of Trade and Industry and the Ministry of Foreign Affairs of Singapore to respond effectively to the multitude of foreign requests to tap on Singapore’s development experience.
SCE works closely with Singapore’s 15 ministries and over 60 statutory boards to tailor possible solutions to match foreign parties’ needs. Where necessary, SCE will invite participation from relevant private sector players, including representatives from trade and industry associations.
SCE’s main objective is to export our public sector expertise to foreign ministries, agencies or parties interested to enhance or adapt their system using Singapore’s model as a reference. In so doing, SCE aims to build long-term partnerships with foreign parties and to generate business opportunities for Singapore’s private sector through public-private partnerships.
The International Partnerships Division (IPD) is a dedicated unit set up within SCE to spearhead cooperation with International Organisations (IOs) such as Asian Development Bank and World Bank. IPD works closely with IOs who share SCE’s interest in promoting development, and can provide complementary expertise and financing solutions for our projects.
Please visit www.sce.gov.sg for more information
About United Engineers (Singapore) Private Limited
United Engineers (Singapore) Private Limited (UES) is one of Singapore’s pioneer engineering companies. It provides a wide range of civil, mechanical and electrical, and process engineering services in Singapore and overseas – specialising in property and environmental-related projects. UES is the principal subsidiary of United Engineers Limited, a Mainboard-listed group of companies with core strengths in Engineering, Construction and Integrated Facility Management. Today, UES has operations in Singapore, China, Vietnam and Middle East.
ANNEX 2
OPENING ADDRESS BY MRS LIM HWEE HUA, SENIOR MINISTER OF STATE FOR FINANCE AND TRANSPORT
Dr Bindu Lohani, Vice President for Finance and Administration, Asian Development Bank
Mr Li Ming Lin, Minister Counsellor (Economic and Commercial), Embassy of People’s Republic of China to Singapore Distinguished Guests Ladies and Gentlemen
1. A very good morning to all of you, especially our friends from the Asian Development Bank (ADB) who have travelled to Singapore for this occasion.
2. It gives me great pleasure to be here today to deliver the opening address for the official launch of the Asia Infrastructure Project Development Private Limited, or AIPD.
Challenges to Urban Infrastructure Investment in Asia
3. This is a very opportune time to set up an initiative like the AIPD as there is a huge demand for urban infrastructure investment in Asia. Urbanization in Asia revolves around the challenge of meeting the needs of some 44 million people being added to the population of cities annually, or the equivalent of an additional 120,000 people each day. This translates into the construction of more than 20,000 new dwellings, 250 kilometres of new roads, and the supply of more than six million litres of potable water every year1. However, there is a lack of urban infrastructure investment to feed this burgeoning demand due to two important factors.
4. Firstly, at the municipal level, there is a shortage of technical and financial capabilities to package commercially viable infrastructure projects that can attract funding from commercial banks and private sector investors. Even if the necessary funding were obtained, there would still be a lack of public and private expertise to independently manage and bring these projects to fruition.
5. Secondly, private sector investors and financiers often face challenges in identifying suitable projects in a timely manner because of insufficient information. They also have limited access to local governments to gather and develop data for screening and evaluating potential projects. This information gap is an impediment to private sector participation in the region’s infrastructure development projects.
AIPD: A Pioneering Initiative
6. Set against this backdrop, AIPD aims to proactively facilitate the development of Public-Private Partnership (PPP) projects, particularly in the water sector. The formation of AIPD is both a timely and innovative approach conceptualized jointly by ADB and Singapore Cooperation Enterprise or SCE to address the key constraints that I have just mentioned. AIPD will offer a single window to integrate the necessary public and private sector expertise to address the deficit in capabilities. It will also leverage on the ADB’s strong regional networks to closely engage municipal governments in the development of infrastructure projects so as to minimise information gaps.
Sharing Singapore’s Expertise in Water and Environmental Management
7. The initial focus on water and environmental management fits very well with what Singapore can offer. Over the past few decades, Singapore’s public and private sector water players have played significant roles in tackling the challenges faced by water-scarce Singapore. They have developed valuable expertise in the process. For example, our wastewater treatment rate is 100%. All wastewater is collected and treated with membrane and ultraviolet (UV) technologies to produce high quality NEWater.
8. We are fortunate to have achieved good results in water and environmental management thus far, having invested significantly in research and development. In 2006, Singapore committed S$300 million over 5 years to promote R&D in the field of water and environmental management. In recognition of the progress and achievements that Singapore has made in integrated water resources management, our national water authority, the Public Utilities Board (PUB), was awarded the prestigious Stockholm Industry Water Award in August 2007.
Business Opportunities for Singapore’s Water Industry
9. In terms of business opportunities, the AIPD is expected to generate US$150million worth of PPP projects for private companies annually, including Singapore and other international water companies. I understand that the AIPD will initially focus on projects in China, in line with the Chinese Government’s urban sector priorities on resolving water pollution and scarcity of water under its 11th Five-Year Plan (2006-2010). I am heartened to note the strong and positive response from the Chinese government towards this initiative. The Kunming and Harbin Municipal Governments have already signed a Memorandum of Understanding (MOU) with ADB and SCE for AIPD to assist them in developing projects in municipal waste water collection and treatment, water recycling, sludge treatment and solid waste management.
Singapore’s Long-Term Strategic Partnership with the ADB
10. The AIPD is an important part of the Singapore Government’s larger efforts to deepen collaboration with the ADB. In March 2007, the ADB and International Enterprise Singapore (IES) launched the Asia Training and Research Initiative for Urban Management or ATRIUM in short. It is a joint collaboration to pool resources to deliver capacity development programmes supporting urban management. ATRIUM has seen encouraging successes even at this early stage. For example, ATRIUM’s first official project, the Singapore-ADB-PRC forum on Urban Water and Environmental Management, garnered positive feedback from its Chinese participants.
11. The location of the AIPD in Singapore thus reflects the growing partnership between Singapore and the ADB, and our shared commitment to Asia’s development. Indeed, I look forward to our continued partnership in the years ahead, building on the strong foundations that we are laying.
Conclusion
12. In conclusion, I would like to congratulate the management and staff of ADB, SCE, Crest Spring Pte Ltd, The Konzen group and United Engineers (Singapore) Pte Ltd, on the successful launch of AIPD. On behalf of the Singapore Government, I would also like to thank Dr Bindu Lohani of the ADB for taking time off to officiate the launch of AIPD.
13. With that, it only leaves me to wish all involved in this project many fruitful outcomes!
14. Thank you.
- ADB. 2006. Urbanization and Sustainability in Asia: Good Practices Approaches in Urban Region Development. Philippines. ↩︎
ANNEX 3
ADDRESS BY DR BINDU LOHANI, VICE-PRESIDENT FOR FINANCE AND ADMINISTRATION, ASIAN DEVELOPMENT BANK
Boosting Investments in the Water Sector and Strengthening Collaboration between ADB, People’s Republic of China, and Singapore through the Asia Infrastructure Project Development Private Limited
1. Honourable Mrs Lim Hwee Hua, Senior Minister-of-State for Finance and Transport, Excellencies, Ladies and Gentlemen, Good morning. On behalf of the Asian Development Bank, I extend greetings, congratulations and sincere thanks to our partners from Singapore government and the three shareholding companies on the launch of the Asia Infrastructure Project Development Company (AIPD). ADB initiated discussions with IE Singapore on the Asia Training and Research Initiative for Urban Management (ATRIUM) in August 2006. In March 2007, we signed the memorandum of understanding. I personally had the privilege of contributing to the MOU in my earlier role as Director General of ADB’s Regional and Sustainable Development Department. I thank Ms. Siew Juan Aw, Alternate Executive Director at ADB, who played a significant role in finalising the MOU, and Mr. Alphonsus Chia, CEO of Singapore Cooperation Enterprise (SCE) for his untiring support in the activities leading to the formation of AIPD.
2. I am honoured to represent ADB at the inauguration of the first joint venture company, which corresponds to the third arm of ATRIUM, on innovative demonstration projects. Under the first two arms of ATRIUM, which focus on knowledge transfer and capacity development, forums were held last year on urban water management for senior policy makers in the People’s Republic of China and India. Both were very well received. Another similar forum was held early this year for senior government officials and urban utility operators from Gansu province in the PRC. We also partnered with the Singapore Public Utilities Board to set up a regional network of knowledge hubs on water, under the auspices of the Asia Pacific Water Forum. I thank Mr Khoo Teng Chye and his colleagues from PUB who have worked untiringly to take this forward. We will be partnering with the Lee Kuan Yew School of Public Policy to deliver an executive leadership program on urban and water management for local government representatives from the Asian region.
3. The equity investment in AIPD by ADB and the three Singaporean companies will catalyze private sector participation in China’s water supply and wastewater treatment sector. AIPD will provide services ranging from feasibility assessment and planning to preliminary design. This will enable successful identification of water supply and wastewater treatment projects among private sector investors. By expediting the delivery of urban water supply, sanitation and wastewater services in our developing member countries, AIPD will also accelerate the achievement of target 10 under the Millennium Development Goals which aims at halving the proportion of the population without access to water supply and sanitation by 2015.
4. ADB’s recently approved long-term strategic framework – “Strategy 2020” – identifies infrastructure as one of the most important core priority areas, and water and urban development are reflected as high priorities in our program for our developing member countries. For China, whose urban population is forecast to exceed 800 million in 2015, this is a major challenge. Increased urbanization has already placed pressure on water supply and wastewater treatment, and had a negative impact on water quality. Inadequate facilities for treating municipal wastewater have led to pollution of already scarce water sources. In 2006, drinking water coverage reached 83% of China’s population, and sanitation coverage 56%, and only about 56% of China’s urban wastewater was treated.
5. The Chinese government is doing a lot in this sector. The national government accords priority in the 11th Five-Year Plan (2006–2010) to resolving water pollution and improving water supply, especially in urban areas. This is integral to the government’s plan to develop small- and medium-sized cities to absorb surplus rural labour. The targets are ambitious: by 2010, extending water supply coverage to 95%, and wastewater treatment coverage to 70%. Particular attention will be paid to investments in wastewater treatment plants and recycled water facilities. Estimated total investment in the sector is expected to be $140 billion by 2010.
6. The responsibility for developing water and wastewater infrastructure falls on local municipalities. However, funding in municipalities can be constrained by limited budgets and overall infrastructure needs, lack of direct access to multilateral or other external financing sources, or inability to meet the Government’s counterpart funding requirements.
7. The AIPD will help municipal governments attract private investments with minimum budget spending to deliver better services to the public. It will link infrastructure financiers to projects in urban water supply, wastewater, and sanitation, thus accelerating China’s overall economic development process. The projects will meet international standards, thereby expanding and diversifying the investor base for local governments and municipalities, and lowering their capital costs. I am confident that the involvement of the Singapore-based companies and Singapore public sector through SCE will give AIPD a firm footing for it to achieve these goals given Singapore’s credibility and track record in water and environmental management. The initiative ties in well with ADB’s strategic agenda, which identifies infrastructure a core area of operations, and emphasizes private sector participation as one driver of change.
8. In this context, ADB’s Water Financing Program 2006-2010 is also highly relevant to ATRIUM and specifically the AIPD. As we announced in March 2006, the Water Financing Program aims to double investments in the water sector. We envisage boosting the total investments in urban water supply and sanitation from $8.7 billion as of December 2007 to $13.2 billion by end of 2010—more than a $1 billion annually. The Water Financing Program seeks concrete outcomes, such as providing access to safe water and sanitation to 200 million people. Already, we are seeing measurable progress. The new water investments made in 2006-2007 will provide such access to 54.2 million people. Last year, ADB also established the Water Financing Partnership Facility, to provide grants up to $100 million, to mobilize co-financing and investments from development partners, including the private sector, to support the program.
9. ADB’s partnership program with China includes financing and knowledge transfer, and assistance in establishing public-private partnerships. We believe there is tremendous potential for the private sector to invest in urban infrastructure, with strong returns fuelled by China’s strong and sustained economic growth as well as increasing urbanization. China’s private sector now accounts for more than 40% of gross domestic product, 60% of growth, and 75% of the new jobs being generated. Private sector funding can help to overcome some of the limitations facing China in both the water supply and wastewater treatment sectors. Private sector participation can also lead to more use of new technology, and enhance efficiency. Thus, the continued expansion of the private sector is vital to alleviating poverty among China’s remaining poor people.
10. Clearly, the partnership of the Singapore government and Singaporean companies in AIPD will be of significant value. Singapore is a success story in many ways, especially demonstrating the importance of cities and dynamic urban areas to the economies of nation states and to future economic growth. For example, despite a lack of sufficient internal water resources, Singapore provides top quality drinking water to its population, and its non-revenue water is among the lowest in the world at 5%. It has developed not only desalination, but most importantly, what is known as “NEWater”, water of great quality obtained from purification of recycled water. Singapore brings tremendous experience in water supply and wastewater management systems which will be extremely useful to the region.
11. Before closing, I would like to draw your attention to two large, upcoming events that ADB will support as a strategic partner: the World Cities Summit and the Singapore International Water Week, both to be held in Singapore in June. It is heartening to know, and we at ADB are very pleased, that water provision remains an utmost priority throughout the international community.
12. I hope the activities catalyzed by AIPD will also result in opportunities that will further expand collaboration between ADB, the People’s Republic of China, and Singapore. We look forward to continuing our important work with you to resolve water issues for people across the Asia and Pacific region.
13. Thank you.
ANNEX 4
ADDRESS BY MR JACKSON YAP, GROUP MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER OF UNITED ENGINEERS LIMITED
1. Guest-of-Honour, Ms Lim Hwee Hua, Senior Minister-of-State for Finance & Transport; Dr Bindu Lohani, Vice President for Finance & Administration for Asian Development Bank; Mr Li Ming Lin, Minister Counsellor of the Embassy of the People’s Republic of China in Singapore; Mr Alphonsus Chia, CEO of Singapore Cooperation Enterprise; and ladies and gentlemen – a very good morning.
2. I first would like to thank SCE for its leadership in bringing ADB and the consortium of Singapore private-sector companies – being Crest Spring, The Konzen Group and United Engineers – together to form AIPD. I also congratulate SCE on the successful formation of AIPD, which to some extent, will revolutionise the concept of PPP in Asia.
3. AIPD is indeed a unique PPP where it is not just between the Singapore government and a consortium of Singapore private-sector companies, but also with ADB, an inter-government organisation that seeks to improve the welfare of the people in Asia and the Pacific. This collaboration in AIPD will further promote PPPs with the PRC government in water projects.
4. Just like water which is characteristically fluid, we also hope that AIPD will smoothly navigate its journey in establishing PPP with other developing countries in Asia in commercially-viable projects in water supply, sanitation and wastewater treatment.
5. The Singapore consortium is not foreign to participating in PPP projects in Singapore and China. In Singapore, UE can be considered one of the key players in property-related PPP projects. To date, our PPP portfolio includes the UE Print Media Hub at Tai Seng Avenue, which is a built-to-suit industrial development; the Vista Exchange@ one north, which is a mixed development that includes a hotel, condominium and shopping mall; and Centric Singapore out at the Changi Business Park, which is also a mixed development that includes a hotel, office tower and shopping mall.
6. Crest Spring also provides water treatment services in the municipal wastewater Build-Operate-Transfer market in the People’s Republic of China. It has also been actively involved in the design, engineering, procurement and construction of projects supplying ultra pure and ultra filtration solutions mainly to industry throughout China.
7. In the PRC, UE also participated in a unique PPP model involving Chinese municipal governments and the International Finance Corporation, which is a subsidiary of the World Bank, to design, construct and operate about 32 new medical waste treatment plants throughout the PRC by 2011.
8. Earlier in 1995, UE was also involved in a PPP project that built a 700 MW power plant in Anhui, Hefei in the PRC together with KFW, which is a Germany development bank.
9. Therefore, we hope to be able to offer our PPP experience to AIPD, apart from our project management and engineering skillsets.
10. In return, we also believe that our participation in AIPD, and its subsequent water-related projects, will further enrich and strengthen our existing PPP track record.
11. In addition, there are also other likely positive spinoffs arising from our role in AIPD. The most tangible and visible would be the extensive co-branding opportunities with an established multilateral development finance institution like ADB; two cutting-edge water companies like Crest Spring and The Konzen Group; and SCE, which is an exemplary model of Singapore’s innovative public sector. Overall, this will result in an enhanced corporate profile for each of AIPD’s founding organisations, and AIPD will also inherit all the positive brand attributes from its founding organisations.
12. We also believe that the formation of AIPD, apart from being a commercial enterprise, is also a sustainable vehicle to improve water quality in Asia and boost the region’s water industry. By achieving the above, AIPD will also play a role in solidifying Singapore’s status as a regional water hub. The Singapore consortium -has always taken an interest in promoting Singapore’s water industry. In this regard, UE and Konzen are also the founding member of the inaugural Singapore International Water Week, which will take place in June this year.
13. AIPD will also likely present substantial learning opportunities for us. Through working with the other founding organisations, we believe we can also learn from their vast expertise, extensive knowhow and broad business contacts in the respective fields.
14. Like H2O, which is a compound of elements, we believe that UE can never contribute alone in this PPP endeavour; which is why we are happy to work with the consortium of Singapore private-sector companies – being Crest Spring and The Konzen Group – in contributing to the future success of AIPD.
15. Crest Spring Pte Ltd is a company well known for its extensive experience and expertise in engineering, construction and project management of municipal wastewater treatment projects in the PRC.
16. The Konzen Group is a pan-Asian water technologies system integrator and incubator with strong financial engineering capabilities. It is a technological leader in many subsectors of water treatment, through the deployment of leading edge technologies in a joint venture with Beijing Gaia, established by top researchers from Peking University.
17. These three companies will work seamlessly in offering their technical expertise and business experience to AIPD’s future customers.
18. In closing, I would like to articulate the Singapore consortium’s goals set for AIPD. First and foremost, AIPD must at least be successful from a commercial angle. It must fulfill what it set out to do – which is to assist Singapore-based and other international water players to secure water projects in the PRC, and subsequently in India and Vietnam – and execute it profitably.
19. Second, AIPD has a role to play in enhancing water quality in the PRC and Asia at large. To a large extent, these parts of the world have progressed too rapidly, and often at the expense of the physical environment. We must do our part in partially reversing the adverse environmental impact due to urbanisation and economic progress.
20. Last but not least, I hope that AIPD will become an inspiring blueprint for PPPs in the other segments of the environmental industry – be it air, waste or energy.
21. If every drop makes an ocean, I hope that the signing ceremony today marks the first drop of effort in helping AIPD forge ahead to achieve its goals and vision.
