Funding for Green Growth Piloting and Demonstration Green Kokkola Kari Herlevi Tekes 24.9.2014
Contents 1. What is green growth? 2. Tekes Green Growth program 3. Funding for Green Growth Piloting and Demonstration 4. Summary
1. What is green growth?
Green growth does not have an unambiguous definition cleantech ecosystem services bioeconomy rebound social economy resource-efficiency natural resource economy resilience sustainable development degrowth green growth transitions life cycle thinking services low-carbon
...but most of the time, green growth means economic growth based on low carbon use and resource-efficiency, a kind of economic growth that promotes wellbeing and social justice. Green growth is seen to have considerable global potential, which is reflected today especially in rapid growth of demand for cleantech. Lähde: Vihreän kasvun mahdollisuudet, VNK 4/2013
DM 2013 Shortage of resources is a global challenge... Source: Resource revolution, McKinsey 2011
DM 2013...creating business opportunities for players in the innovative green economy Prevention Most sustainable Reuse Product Waste Recycling Recovery (including waste-toenergy) Disposal Source: Waste-to-Energy Research and Technology Council (adapted after Five-step waste hierarchy in the EU directive 2008/98/EC and Zunft and Fröhlig, 2009) Least sustainable
2. Tekes Green Growth program
DM 1269240 2014 Green Growth The Green Growth programme funds companies and value networks which have growth potential in the area of a resourceefficient and sustainable economy. During the five-year programme, projects are funded to the tune of about EUR 80 million, half of which comes from Tekes, and half from the companies Companies can apply for funding continuously. The focus areas of Green Growth Energy and material efficiency Bioeconomy and biomaterials Recycling, recovery of raw materials, and waste processing Business models, service concepts, and comprehensive solutions
Energy and material efficiency Bioeconomy and biomaterials Recycling, recovery of raw materials, and waste processing Green Growth - Innovations and joint projects The Green Growth programme funds companies and value networks which have growth potential in the area of a resource-efficient and sustainable economy. Funding so far 30 m, 72 funded companies Business models, service concepts, and comprehensive solutions
3. Funding for Green Growth Piloting and Demonstration
What benefits can be gained from pilots and demonstrations? Piloting and demonstrating a product or service helps your customers get a practical understanding of what you are offering. Get important customer feedback before beginning the commercial production phase. You can develop credibility in the eyes of your potential customers. Catalyst for market entry Facilitate commercialisation Involving clients in development work and piloting is beneficial in all business sectors Piloting can be quick, as is often the case in the software development sector, or it can involve long development processes, such as those in the energy or processing industries Tekes funding is available for even the largest of projects.
What kind of companies are eligible for funding? SMEs and large enterprises can apply Open for all industries Digitalization, bioeconomy and cleantech are important areas Also service business has a lot of potential Demonstration and pilot could also happen abroad
Tekes financing is pilot loan Loan funding for SMEs reach 50-70 % funding share of project s overall costs, large enterprises typically 25-35% For the most part, Tekes provides funding retrospectively. In other words, it reimburses companies for actual costs. In contrast, loans can be obtained in advance. The loan has a low rate of interest (now 1%) Does not require separate collaterals If, for some reason, a project falls short of its goals, a proportion of the loan may be retroactively converted into a grant. Opportunity to share risk very close to commercialisation, not only during the R&D phase
What kind of pilots? Different names can be used: pilots, demonstrations, testbeds, test environments, livinglabs, learning environments What are they in practise? Testing of a new product, production method, process or technology in e.g. a production facility Development of a model or a system and testing it in real environment e.g. in cities, in trafic, or in customer facilities Development of a service with customers and making sure that it works in customer facilities and processes
Apply for funding Applications for funding are submitted via Tekes online services. New Tekes customers can use the Test your idea service to get more information on funding and making applications. You will be contacted within one week of submitting the Test your idea form Read more! http://www.tekes.fi/en/funding/c ompanies/piloting/
Examples of pilots part 1 Örum Oy:n ajoneuvojen online-huoltopalvelujen kehitys. Pilotissa uusilla laitteilla varustellut autot lähettävät tietoja auton kunnosta pilvipalveluun. Liikennevirta Oy:n sähköautojen latausalustan kehitys ja pilotointi. Nollaenergiatalon konsepti. Yritykset demonstroivat tarjoamiaan osaratkaisuja nollaenergiatalossa. Tietoa toteuttamismahdollisuuksista, ympäristövaikutuksista ja kustannuksista. Areva Solar Oy:n aurinkoenergian ratkaisut ja aurinkovoimala. Karves Energia & Valvonta Oy:n energiatehokkuuspalvelun kehitys ja pilotointi. Palvelu on suunnattu pk-yrityksille ja kiinteistökeskittymille. Welmu Oy:n konseptin pilotointi, jossa haetaan parhaat prosessit, toimijat ja materiaalit biopohjaisen kalvon edelleen kehittämiseksi. www.tekes.fi/pilotointi
Examples of pilots part 2 10monkeys.com pilotoi pelimaailman ansaintalogiikoiden hyödyntämistä pelillisissä oppimateriaaleissa. DealDash suorittaa käyttäjä- ja käytettävyystestit markkinoiden ensimmäistä ensisijaisesti mobiilikäyttäjiä palvelevaa verkkohuutokauppaa varten. SkillPixelsin pelit ja muut virtuaalikoulun ratkaisut yhdistävät leikin ja oppimisen. Kekkilä Valmispiha -konsepti. Koko piha ja puutarha yhdeltä luukulta, Avaimet käteen -periaatteella. Kalevala Korun uusi myymäläkonsepti ja muut asiakkaiden kanssa kehitetyt palvelut. Hidaskassa-kokeilu. Kaupassa oma kassa hitaasti liikkuville ja muille kiireettömyyttä arvostaville. Pilotti Ison Omenan K-Citymarketissa Espoossa. Ahkera Smart Techin robotiikkaa hyödyntävä, maailman ensimmäinen täysin automaattinen matkatavaran pakkausjärjestelmä lentokentille. www.tekes.fi/pilotointi
Summary 1. What is green growth and a green economy? There is no allencompassing definition for green economy Green growth links global megatrends with key challenges of sustainable economy 2. Tekes Green Growth program Green growth potential of Finnish companies can be promoted by removing bottlenecks, supporting pilots and experimental projects and by working closely with partners. 3. Funding for Green Growth Piloting and Demonstration Piloting and demonstrating a product or service helps your customers get a practical understanding of what you are offering Involving clients in development work and piloting is beneficial in all business sectors
DM 2013
Eligible costs Depreciation costs for land, buildings, machinery and equipment associated with the project Material and supplies costs Design costs associated with the subject of the pilot or demonstration Costs associated with the use of premises R&D costs associated with the pilot or demonstration projects Commericialisation costs The recipient must inform Tekes, if it sells the pilot or demonstration or other results developed in the project either during the project or within 5 years after finishing it. Substantial income will decrease the amount of the eligible costs. For more information, see cost models.