French connection

Noel Girard still remembers the global oil crisis in 1973 that also swept France, a country which imports virtually all of its oil.

"The skyrocketing oil prices compelled consumers and industries to lower energy consumption," says Girard, China marketing director of Schneider Electric (China) Investment Co Ltd.

People began to drive low-powered economy vehicles. As a result, the average fuel consumption per vehicle in France dropped half in a short period.

"Moreover, we made alternative efforts for home heating, which originally totally relied on oil and electricity. After using energy -saving solutions, the energy consumption in this segment was only 30 percent of the primary one," Girard says.

Therefore, compared with 35 years ago, China is now facing the need for energy conservation and that signifies huge potential for Schneider Electric to "help China with its energy saving and emission control issues", says Girard.

"We are confident: our products as well international experiences and practices can satisfy Chinese customers' different requirements for energy efficiency with customized energy solutions," says Girard.

As one of the world's leading providers of power distribution and industrial control solutions, Schneider Electric believes that the energy can be saved in three segments.

"Firstly we can help the power generation plants to improve their productivity and efficiency. Secondly, reducing waste during the power distribution is significant. However, the most potential lies in the end users, such as hotels, factories, and residents," says Girard.

The average power generation rate is about 30 percent in China, which means that if Schneider can reduce 1 watt power usage from end users, the company has successfully saved energy to generate 3 watt of electricity.

According to Girard, users can improve their energy efficiency by 20 to 30 percent. "And some industrial enterprises in China have much more potential."

"Through our four service steps and our products, our customers can easily achieve their target of energy conservation," says Girard.

Firstly the company has to audit the energy consumption of its customer, then frame a tailored power solution and help the customer carry it out. Lastly it provides a long-term service to improve and guarantee the energy saving effect through management.

Schneider Electric is now helping French retailer Carrefour to be the first energy efficient super market model in China.

The Ministry of Commerce has required Carrefour to reduce the energy consumption of its new stores to 20 percent less than the existing stores. And Carrefour came to Schneider for a solution.

"We have successfully helped Carrefour set up two green flagship stores which save around 20 percent of total energy consumption, one in Beijing and the other in Wuhan, capital of Hubei province," says Yang Xuefeng, strategic planning manager of Schneider Electric China.

Moreover, Schneider will further cooperate with Carrefour's new stores to guarantee its 20 percent energy-saving target, as well as improve the energy expenditures in its old stores by at least 15 percent.

Carrefour has more than 100 stores across China and opens 15 to 20 super markets per year.

Another successful case is Shuozhou Anjialing Coal Washery, a State-owned energy consumer in Shanxi province, China's largest coal producing region.

After four of the company's engineers' audited its power distribution system for four days, it designed a solution to optimize the facility's capacitor and improve the output of the power distribution equipment. The result is that Schneider helped the coal washery save 12 million kWh per year, valued at 4.5 million yuan.

"In the industrial and infrastructure facilities field, improving equipment, 10 to 20 percent of the energy consumption can be saved," says Yang.

"In big- and medium-sized commercial buildings our solutions for heating, ventilating and air conditioning, lighting and intelligent building systems can lower energy use by 30 percent," says Yang. "Furthermore, our solutions help the residential housing and small commercial buildings cut 10 to 40 percent of their electricity usage," he adds.

The energy solution business accounts for 10 percent of Schneider's Electric operations in China and is becoming more important for the company, says Girard.

"And we believe that our solution business will double in the coming year in China," says Girard.

(China Daily 05/12/2008 page5)