[Federal Register Volume 76, Number 241 (Thursday, December 15, 2011)]
[Notices]
[Pages 77977-77979]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-32131]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
U.S. Clean Energy and Energy Efficiency Trade Mission to Saudi
Arabia Riyadh and Dhahran, Saudi Arabia April 14-18, 2012
AGENCY: International Trade Administration, Department of Commerce.
ACTION: Notice.
-----------------------------------------------------------------------
Mission Description
The United States Department of Commerce (DOC) International Trade
Administration's (ITA) U.S. and Foreign Commercial Service (CS) and
Manufacturing and Services (MAS) units are organizing an Executive-Led
Clean Energy and Energy Efficiency Trade Mission to Saudi Arabia from
April 14-18, 2012.
Saudi Arabia offers abundant opportunities to U.S. companies that
can contribute to its ambitious plans to improve energy efficiency and
reduce reliance on hydrocarbons for power generation. The trade mission
will target products, technologies and services in the clean energy
sector, with an emphasis on solar power; electricity transmission and
smart grid; and green building in residential, commercial and
industrial settings. This mission will contribute to the National
Export Initiative (NEI, www.export.gov/nei) and the Renewable Energy
and Energy Efficiency Export Initiative (RE4I, www.export.gov/reee/re4i), and it supports ITA's mission of assisting U.S. businesses in
entering or expanding in international markets, and enhancing U.S.
exports. Saudi Arabia was selected as a Next Tier market for the NEI
because it is the largest economy in the Middle East and is a political
and economic leader in the region.
The mission will help participating firms gain market insight, make
industry contacts, solidify business strategies, and identify or
advance specific projects with the goal of increasing U.S. exports to
Saudi Arabia. The schedule will include one-on-one business
appointments with pre-screened potential buyers, agents, distributors
and joint venture partners; meetings with national and regional
government officials; and networking events. Participating in an
official U.S. Government delegation, rather than traveling to Saudi
Arabia individually, enhances each company's ability to secure desired
meetings.
Commercial Setting
Saudi Arabia has identified an urgent need to reduce its reliance
on petroleum-generated power; as a result it is both developing
alternative energy sources, principally nuclear and solar power, and
promoting more efficient generation and use of energy. While Saudi
Arabia possesses one-fifth of global oil reserves, it meets almost 60%
of its domestic power needs from petroleum. The growth of domestic
electricity demand--and thus domestic petroleum consumption--is cutting
deeply into exports. Domestic consumption is growing at an estimated 8-
9% annually, and is projected to almost triple in the next two decades,
from 3.4 million barrels per day oil equivalent in 2009, to 8.3 million
barrels per day in 2028. Peak power demand is expected to increase from
43 gigawatts in the summer of 2010 to more than 120 gigawatts by 2030.
Oil used domestically is heavily subsidized by the Government resulting
in not only reduced export income, but enormous opportunity costs as
there is less feedstock for development of downstream petrochemical
industries and the jobs that go with them. Saudi Arabia hopes to reduce
by half the crude and natural gas it burns now to generate electricity,
in part by developing solar power generation capacity, an area where it
has clear climatological advantages. As Saudi Arabia expands its energy
supply and integrates renewable energy, further investment will be
required in grid modernization and smart grid technologies that enable
[[Page 77978]]
utility management of variable energy sources.
On the demand side, residential air conditioning consumes as much
as 50% of total power during Saudi Arabia's long, hot summers. Saudi
Arabia plans to construct 1.65 million new homes over the next six
years and will be looking closely at products, materials and
technologies that reduce energy use and loss. Saudi Arabia also relies
on desalination plants to produce 70% of its potable water, using as
much as 1.5 million barrels per day of oil equivalent to do so; Saudi
Arabia hopes to start up its first solar-powered desalination plant in
2013.
Renewable Energy: The Saudi Arabian Government has made a
commitment to invest $100 billion dollars over the next ten years to
develop clean, non-hydrocarbon energy sources focused primarily on
nuclear and solar technologies. Its plans call for the creation of
Saudi Arabia's first 5 gigawatts of solar power by 2020. Demand for
power in Saudi Arabia has been continuously increasing due to rapid
industrialization, economic development and population growth.
Importantly, Saudi Arabia's abundant solar resources, combined with an
energy intensive industrial base that uses electricity at a steep
economic cost, strengthens the economic case for solar generation.
Electricity Transmission and Smart Grid: High incomes and rising
electricity demand have driven both electricity consumption and
investment in transmission infrastructure in Saudi Arabia. In 2010,
Saudi Arabia was the 15th largest market for U.S. transmission and
distribution technology exporters and the market saw a 13% compound
annual growth rate over the previous decade, with U.S. grid equipment
exporters sustaining a relatively high market share throughout. As
Saudi Arabia expands its energy supply and integrates renewable energy,
further investment will be required in grid modernization and smart
grid technologies that enable utility management of variable energy
sources. As the country's transmission and distribution infrastructure
is modernized, commercial and industrial-scale consumers will also seek
to capitalize on potential energy efficiency gains through investments
in smart grid and smart building technologies and services.
Greenbuilding/Energy Efficiency: Saudi Arabia is among the highest
per capita energy users in the world. To reach its goal of reducing the
amount of crude and natural gas it burns to generate electricity, all
consumers--residential, commercial, industrial, government--must become
more efficient users of electricity. The market potential for
residential and industrial energy efficiency products and services is
projected to grow rapidly and open up a wide range of opportunities for
U.S. companies in the green building and energy efficiency subsectors.
Companies will have the opportunity to meet major buyers and end-
users, prospective partners and government officials at the following
stops:
Riyadh, the seat of government and many non-governmental
organizations and educational institutions devoted to the development
of alternative energies and green technologies, including the King
Abdullah City of Atomic and Renewable Energy (KA-CARE). It is also
Saudi Arabia's largest city, with a population of 5 million; and
Dhahran-Dammam-Khobar, with a population of over 1 million is the home
of Saudi Aramco, which will likely be a primary customer for renewable
energy technology providers.
Mission Goals
The goal of the Clean Energy and Energy Efficiency Trade Mission to
Saudi Arabia is to promote the export of U.S. goods and services by:
(1) Introducing U.S. companies to industry representatives and
potential clients and partners; (2) advocating to Saudi officials
regarding policies that would limit U.S. export opportunities and
inhibit the development of renewable resources and energy efficiency
projects; and (3) introducing U.S. companies to Saudi Arabian
government officials to learn about policy initiatives that will impact
the implementation of renewable energy projects, improving energy
efficiency, and developing a domestic manufacturing base for renewable
energy products using U.S. goods and services.
The Clean Energy and Energy Efficiency Trade Mission to Saudi
Arabia will advance the priorities of the Renewable Energy and Energy
Efficiency Export Initiative (www.export.gov/reee/re4i).
Mission Scenario
In Riyadh, mission members will participate in an Embassy briefing,
meet with Saudi Government officials and take part in one-on-one
business appointments with private-sector organizations. In addition,
they will enjoy a networking reception with Saudi private sector
managers, government officials and representatives of key multipliers.
In Dhahran, mission members will attend a networking event, have
customized one-on-one business appointments, meet and receive a
briefing from senior managers of Saudi Aramco, and visit the industrial
city of Jubail.
Matchmaking efforts will involve trade organizations and
associations such as the Riyadh and Eastern Province Chambers of
Commerce, the Council of Saudi Chambers of Commerce and Industry, and
the U.S.-Saudi Arabian Business Council. U.S. participants will be
counseled before and after the mission by CS Saudi Arabia staff and
other federal agencies actively involved in clean technology trade
promotion activities in Saudi Arabia.
A representative of the Export-Import Bank of the United States
will be invited to participate to discuss opportunities for export
finance.
Proposed Timetable
----------------------------------------------------------------------------------------------------------------
Date Location Activity
----------------------------------------------------------------------------------------------------------------
Saturday, April 14--Day 1............ Riyadh................. Arrive Riyadh.
Check in at hotel.
Ice-breaker with FCS Staff/Q&A.
Sunday, April 15--Day 2.............. Riyadh................. U.S. Embassy Briefing.
Sectoral briefings/discussion hosted by Council
of Saudi Chambers of Commerce.
One-on-one matchmaking meetings.
Evening: Networking reception hosted by Amb.
Smith.
[[Page 77979]]
Monday, April 16--Day 3.............. Riyadh-Dhahran......... KA-CARE visit and policy roundtable.
Call on Minister of Water and Electricity.
Discussion panels on: (1) Legal Aspects of Doing
Business in Saudi Arabia; (2) Financing
Projects/Sales.
Evening: Fly to Dhahran.
Tuesday, April 17--Day 4............. Dhahran................ Morning: Visit to Saudi Aramco, with briefing on
renewable energy projects.
One-on-one matchmaking meetings.
Evening: Networking reception.
Wednesday, April 18--Day 5........... Dhahran-USA............ Optional morning site visit to Jubail Industrial
City.
Departure for the U.S.
----------------------------------------------------------------------------------------------------------------
(NB: The precise schedule will depend on the availability of local government officials and business managers,
and the specific goals of mission participants.)
Participation Requirements
All parties interested in participating in the trade mission must
complete and submit an application package for consideration by the
DOC. All applicants will be evaluated, on a rolling basis, on their
ability to meet certain conditions and best satisfy the selection
criteria as outlined below. A minimum of 15 and maximum of 25 companies
will be selected to participate in the mission from the applicant pool.
U.S. companies already doing business with Saudi Arabia as well as U.S.
companies seeking to enter to the Saudi Arabian market for the first
time may apply.
Fees and Expenses
After a company or organization has been selected to participate on
the mission, a payment to the Department of Commerce in the form of a
participation fee is required. The participation fee for the Trade
Mission will be $3,020.00 for a small or medium-sized firm (SME),\1\
and $3,502.00 for large firms. The fee for each additional firm
representative (large firm or SME/trade organization) is $500. Expenses
for travel, lodging, meals, and incidentals will be the responsibility
of each mission participant. Delegation members will be able to take
advantage of U.S. Embassy rates for hotel rooms.
---------------------------------------------------------------------------
\1\ An SME is defined as a firm with 500 or fewer employees or
that otherwise qualifies as a small business under SBA regulations
(see http://www.sba.gov/services/contracting opportunities/
sizestandardstopics/index.html). Parent companies, affiliates, and
subsidiaries will be considered when determining business size. The
dual pricing reflects the Commercial Service's user fee schedule
that became effective May 1, 2008 (see http://www.export.gov/newsletter/march2008/initiatives.html for additional information).
---------------------------------------------------------------------------
Conditions for Participation
An applicant must submit a completed mission application signed by
a company officer, together with supplemental application materials,
including adequate information on the company's products and/or
services, primary market objectives, and goals for participation. If
the Department of Commerce receives an incomplete application, the
Department may reject the application, request additional information,
or take the lack of information into account when evaluating the
applications.
Each applicant must also certify that the products or services it
seeks to export through the mission are either produced in the United
States, or, if not, marketed under the name of a U.S. firm and have at
least 51 percent U.S. content of the value of the finished product or
service.
Selection Criteria for Participation
Selection will be based on the following criteria:
Suitability of the company's products or services to the
market
Applicant's potential for business in Saudi Arabia and in
the region, including likelihood of exports resulting from the mission
Consistency of the applicant's goals and objectives with
the stated scope of the mission
Diversity of company size and location may also be considered
during the review process.
Referrals from political organizations and any documents containing
references to partisan political activities (including political
contributions) will be removed from an applicant's submission and not
considered during the selection process.
Timeframe for Recruitment and Applications
Mission recruitment will be conducted in an open and public manner,
including publication in the Federal Register, posting on the Commerce
Department trade mission calendar (http://export.gov/trademissions) and
other Internet Web sites (including the Renewable Energy & Energy
Efficiency Exporters Portal at www.export.gov/reee), press releases to
general and trade media, direct mail, notices by industry trade
associations and other multiplier groups, and publicity at industry
meetings, symposia, conferences, and trade shows.
Recruitment for the mission will begin immediately and conclude no
later than March 1, 2012. The U.S. Department of Commerce will review
applications and make selection decisions on a rolling basis beginning
February 1, 2012. Applications received after March 1, 2012 will be
considered only if space and scheduling constraints permit.
Contacts
Jennifer Derstine, Manufacturing and Services, Office of Energy and
Environmental Industries, Washington, DC, Tel: (202) 482 3889, Email:
[email protected].
Elnora Moye,
Trade Program Assistant.
[FR Doc. 2011-32131 Filed 12-14-11; 8:45 am]
BILLING CODE 3510-FP-P