Israel NEWTech Israel’s National Program for Promoting the Country’s Water Industry I srael NEWTech (Novel Efficient Water Technolo o ogies) is Israel’s national program for promoto o ing the country’s water industry and deepening vising program implementation. In addition to the Ministry of Industry Trade and Labor itself, the committee includes representatives of the Prime Minister’s Office, Ministry of Foreign Affairs, Ministry of Finance, Ministry of Science, Ministry of National Infrastructures, Ministry of Environo o mental Protection, Water Authority, Water and Sewage Corporations, Council for Higher Education and the Israel Export and International Cooperation Institute. cooperation with multinational bodies. A compreheno o sive government program formulated in 2005, Israel NEWTech has three main aims: to double the value of exports of Israel’s water technology products and solutions; attract overseas investment; and nurture R&D with international partners. In particular Israel NEWTech is tapping into a window of opportunity and enabling approximately 70 Israeli startoups to leverage their advantages and become major players in the $450 billion annual global water market. Israel NEWTech’s PROGRAM Advanced Training 1) Backing Academic Studies and Providing A) Academia Academic programs and courses have been formulated in the water technologies sector. The programs will be devised from the budget allocated for new course development until 2008. B) Scholarships for Advanced Degrees The Ministry of Science and Ministry of Finance are each granting $125,000 a year in scholarships for students undero o 2 0 0 7 / 2 0 0 8 PROGRAM IMPLEMENTATION Israel NEWTech is being implemented between 2006o2008 and by encouraging research and development, project development and marketing is helping transform Israel into a global leader of innovative water technology solutions. The Director General of the Ministry of Industry, Trade and Labor has appointed a steering committee, which is supero o 34 A d v a n c e d W a t e r S o l u t i o n s taking advanced degrees in water technologies. Once a year a report is given to the Steering Committee on progress in professional training. C) Advanced Professional Training The Ministry of Industry, Trade and Labor’s Institute for Technological and Scientific Training is examining integrato o ing specialization in water technologies into its programs for professional traino o ing and technological manpower develo o opment. Once a year a report is given to the Steering Committee on progress in professional training. the promotion of academic research that has potential for industrial applications. The program is operated by the Chief Scientist of the Ministry of Industry, Trade and Labor. C) Applied Research Grants and Investment in R&D The Water Authority’s budget is granting $2 million worth of applied research grants over three years for academic research in the water technologies sector. 2) Supporting Industrial R&D Industrial Applications Incubators and Academic Research With A Water-Technology Orientated Within the framework of the government program to privatize technological incubao o tors, the Kinarot and Ashkelon Incubators have become orientated towards water The Water Authority is granting $2 million for academic research in the water technologies sector 3) Promoting Technology Implementation and Application A) Promoting Wastewater Purification Technologies Implementation Over the next three years $3.3 million is being allocated by the Water Commission for the promotion of wastewater treatment technologies for the reclamation of water for agriculture and industry. B) Innovative Processes in the Water Infrastructure technologies. Each “water technology incubator” is nurturing about five advanced water technology solutions per year, while four other incubators have water technology projects. After the location of private buyers, The Office of the Chief Scientist, which currently operates the incubators, has allocated $2.2 million to these incubators during 2007/08. B) Katamon (Promoting Water Technology and its Exploitation) This project has been allocated $3.3 million a year for A d v a n c e d W a t e r The Ministry of Interior’s municipal corporations budget is allocating $6.7 million over the next three years for the encouragement of innovative processes in the country’s urban water infrastructure and the use of innovative Israeli technologies in such areas as water saving, control and diso o tance meter reading, water quality control etc. Municipalities must cover at least 60% of these investments. Within the framework of joint ventures preference are given to international infrastructure partners who will use poteno o tial technologies overseas. 2 0 0 7 / 2 0 0 8 35 S o l u t i o n s 4) Marketing Israel’s Proven Abilities Worldwide A) International Marketing Program The Ministry of Foreign Affairs and the Ministry of Industry, Trade and Labor are promoting the water technologies seco o tor at the highest level including bringing major delegations to Israel for visits during 2007 and 2008. The plan is being implemented by the Commercial Attaches in Israeli embassies around the world. B) International Conference in Israel and Conferences Abroad The Ministry of Industry, Trade and Labor (MOITAL), the Ministry of Finance and the Israel Export and International Cooperation Institute allocated $2.5 milo o lion for the major conference on water technologies in Israel – WATEC 2007, as well as the participation of Israeli water technology companies in leading exhibitions and conferences overseas. MOITAL’s Commercial Attaches overseas are responsible for the exhibition’s international exposure. C) Recognition in Buy-Back Agreements Investment in water technologies by overseas companies is recognized as having 150% of the value of their obligation within the framework of buyoback agreements from Israeli government entities. Once a year a report is given to the Steering Committee on progress in professional training. D) Water Sector Standards The Ministry of Industry, Trade and Labor is allocating $240,000 for the budget of the Israel Standards Institution 36 A d v a n c e d W a t e r of Israel to promote internationally accepted standards in the water technologies sector. E) Business Mentoring for Start-Up Companies Within the framework of the Ministry of Industry, Trade and Labor’s budget for business mentoring $220,000 per year over three years is being allocated for mentoro o ing and accompaniment for water technolo o ogy startoups. An annual report is prepared for the Steering Committee on progress in applying this part of the program. F) Insurance The Comptroller General of the Ministry of Finance together with the Ministry of Industry, Trade and Labor and ASHRA The Israel Export Insurance Corporation are investigating the possibility of insuro o ance for credit transactions and investo o ments in longoterm overseas projects in the water technologies sector. They are also promoting financial protocols with such countries as China, Vietnam and India. G) Focal Point Ministry of Industry, Trade and Labor’s Investment Promotion Center serves as a focal point for entrepreneurs visoàovis all government bodies regarding assistance and speeding up procedures and a focus of information for entrepreneurs in the water technologies sector. Investments by overseas companies has 150% of the value of a buyback obligation WHAT HAS BEEN DONE SO FAR • Activities in this sector with water authorities and sero o vice companies in over 40 countries. 2 0 0 7 / 2 0 0 8 S o l u t i o n s • Activities with multionational corporations to encourage investment and cooperation with Israeli water technolo o ogy companies. • Activities with international standards bodies and authorities in four target countries. • Developing unique study tracks at Ben Gurion Universio o ty of the Negev for advanced degrees in the water sector. • Preparations for the opening in early 2008 of a training course in water technologies for engineers. • Increasing the applied research budo o get of the Water Authority. • Approval by the Water Administrao o tion (Water and Sewage Authorities) for the support of five innovative projects. • Publication of calls for proposals from the R&D Encouragement Proo o gram which is expected to lead to the approval of projects by the end of 2007. • Publication of calls for proposals from the Water and Sewage Administration which is expected to lead to the approval of projects by the end of 2007. • Sector activities by technological incubators in water technologies including privatization and dedicated activities at the Kinarot Incubator. • Exposing Israel’s water technologies industry to dozens of international media organizations. • Promoting the WATEC exhibition in Israel and abroad – participation of water and environmental enterprises in the WATEC exhibition and the expected arrival of ministers, delegations and 1,500 visitors from overseas. A d v a n c e d W a t e r • Sector activities in international training by MASHAV, the Center for International Cooperation of the Ministry of Foreign Affairs. ACHIEVEMENTS Initial Achievement: an expected increase of 28% in Israel’s water technology exports in 2007. The government’s promotion and assiso o tance program for the water industry has mapped out the companies operating in the sector, encouraging new ventures and attracting additional investors to enter the sector. Since the program’s inception in 2006 and during 2007 a range of achievements have been recorded by making international cono o tacts that provide an infrastructure for water industries activities. • Cooperation with the Chinese governo o ment via the Beijing Water Authority. • Cooperation with the Australian government via the Melbourne Water Authority. • Cooperation with the Argentinean government via the Buenos Aires Water Authority. • Cooperation with the Spanish government via the Madrid Water Authority. The potential embedded for further investment in the water industry is reflected in the expected 28% increase in water technology exports in 2007 compared to 2006. This rapid growth supports the hope that Israel NEWTech’s targets can be reached. Israel’s water technology exports have increased by an expected 28% during 2007 S o l u t i o n s 2 0 0 7 / 2 0 0 8 37