OTTAWA, Jan. 24, 2012 /CNW/ - Export Development Canada (EDC) today announced that it has provided China Everbright Environmental Energy (CEEE) with USD 10 million in financing for the development of a series of solid waste-to-energy plants with clean technologies.
EDC's involvement is predicated upon the strong potential for Canadian supply and services into the various projects, and the interest demonstrated by CEEE for Canadian expertise in the clean technology sector.
"China Everbright has earned a leading position in the environmental sector in China, which matches up well with Canada's burgeoning cleantech companies and their leading-edge capabilities," said Benoit Daignault, Senior Vice-President and Global Head, Financing and Investments, EDC. "Given the importance of this sector to China's five-year plan, EDC hopes to introduce to China Everbright a strategic mix of Canadian companies that can help them build and operate world-class waste-to-energy facilities."
EDC participation is part of a larger USD 100 million commercial bank tranche in an Asian Development Bank loan facility to China Everbright. The bank group was jointly led by Mizuho Corporate Bank and Hang Seng Bank, which also includes Bank of Kaohsiung, Cathay United Bank, Chang Hwa Commercial Bank.
EDC has permanent representations in China, located in Shanghai and Beijing. In 2011, 560 Canadian companies used EDC products and services to help undertake more than CAD 8.5 billion in trade with the Chinese market.
Canadian merchandise exports to China for the period January to October 2011 were up 33 per cent year-on-year, reaching CAD 12.8 billion. This equals the total merchandise export trade to China from Canada for all of 2010.
Clean technology, or Cleantech, is a sector of corporate priority for EDC. Growing global demand has led to faster commercialization of new environmental technologies, and as a result, EDC's own engagement with the sector has grown by 55 per cent since 2007, reaching 222 transactions in 2010 when compared to 135 four years ago.
Through its participation in international financing facilities, EDC is able to leverage its financial capacity towards raising awareness of Canadian suppliers and influencing procurement decisions. Over time, these foreign companies tend to purchase more than the amount of the original loan. At the end of 2010, these types of loans in place for four or more years had, on average, generated exports equal to 139 per cent of the original loan value, or CAD 9.7 billion in exports compared to CAD 7 billion in loans.
EDC is Canada's export credit agency, offering innovative commercial solutions to help Canadian exporters and investors expand their international business. EDC's knowledge and partnerships are used by more than 8,200 Canadian companies and their global customers in up to 200 markets worldwide each year. EDC is financially self-sustaining and a recognized leader in financial reporting and economic analysis.
For further information:
Chief Representative, China
Tel: (011) 86-21-3279-2832
Blackberry: [email protected]
Export Development Canada
Tel: (613) 598-2904
Blackberry: [email protected]