On November 20, the 27th Conference of the Parties to the United Nations Framework Convention on Climate Change (hereinafter referred to as “COP27”) was concluded in Sharm El-Sheikh of Egypt. The conference was attended by about 40,000 delegates from over 190 countries, regions, and international organizations. It was the second time NewLink, China’s leading digital enterprise of energy, received an invitation to attend the United Nations Climate Change Conference. Dai Zhen, Founder & CEO of NewLink, and Wang Yang, Founder & CEO of NaaS, gave a keynote speech at the China Pavilion - Enterprise Day and the COP27 Side-event respectively, who elaborated on China's solutions to energy digitization.
For two sessions in a row, NewLink presented information regarding China’s practice in energy digitization
In 2021, NewLink was invited to COP26 in the UK for the first time. By making presence at COP27, it was the second time for NewLink to attend the international event, in which NewLink Founder & CEO Dai Zhen gave a keynote speech entitled China’s Practice in Energy Digitization.
(NewLink Founder & CEO Dai Zhen made a keynote speech about the philosophy of “two mountains”)
In the era of traditional fossil energies, Dai Zhen said in his speech, China was significantly dependent on crude oil imports, traditional fuel vehicle technology was mostly controlled by foreign countries, and the digitization level of the energy industry was low; In the era of new energies, China not only ranks the first place in the world in UHV power and renewable energies such as hydropower, wind power, and photovoltaic power but also takes the leading position in NEV development and application.
Dai Zhen emphasized in his speech, “With a well-established market of digitization and a mammoth market, China is creating business models in an innovative way to reduce carbon emissions; the transportation industry is responsible for about 10% of the total carbon emissions in China. To ensure a reduction in carbon emissions, it is necessary to focus on emission reduction in existing fossil energies and replace them with new energies incrementally. NewLink’s vision is to improve the transportation energy efficiency by 10% and help reduce carbon emissions in China by 1%.”
In her keynote speech Energy 2.0: New Structure, New Technology, and New Experience, Wang Yang said it is inevitable to replace fuel vehicles with EVs. As of September 2022, the number of NEV in China had reached 11.49 million, accounting for more than half of the world’s total, making China the world’s largest NEV market for seven consecutive years.
Wang Yang said: “Green finance is an accelerator that promotes the healthy growth of the new energy industry. We would like to work with professional financial institutions to provide diversified forms of financial services for energy asset holders such as gas station and charging station operators, to facilitate the promotion of the green and efficient development of the energy industry, and contribute to carbon emission reduction.” These services include supply chain finance, asset securitization, REITs, zero carbon funds, etc.
(NaaS Founder & CEO Wang Yang addressed at the COP27 Side-event, Green Finance and Response to Climate Change)
NaaS is from Anji, Zhejiang Province, the origin of the “two mountains” philosophy. Chairman Dai Zhen of NaaS said: “Lucid waters and lush mountains are invaluable assets. The ‘two mountains’ philosophy belongs to both China and the world, which will undoubtedly have a significant positive influence on carbon emission reduction and sustainable development in the world. It is not only part of human universal values, but also our biggest consensus and common goal.”
Focus on “reduction and replacing” to contribute to carbon neutrality
China is the largest carbon emitter, it accounts for about 1/4 of the world’s total carbon emissions. The transportation industry is the third largest source of carbon emissions. As the number of auto owners increases, carbon emissions in the transportation industry still face great pressure and challenges.
On the journey of technological innovation and green development, NewLink is a steadfast “doer”. It applies cloud computing, big data, AI, and other technologies in the transportation energy industry, builds a “reduction and replacing” two-wheel drive scheme to reduce existing fossil energy emissions and replace fossil energy with new energy incrementally, and contributes to carbon neutrality in transportation.
For the existing market, NewLink relies on its business divisions, such as Tuanyou, NewLink Technology, and Newlinks, to link various parts ranging from refineries to intermediate transportation, oil depots, oil stations to downstream users by using digital technologies to upgrade the operation efficiency of the industry, and effectively reduce the delivery cost and energy consumption in the physical space of the transfer process.
For the incremental market, NaaS provides “butler” services for charging pile manufacturers, operators, OEMs, enterprises, fleets, and other participants in the new energy industry chain to accelerate the switch from fuel vehicles to EVs. According to the research report released by CICC recently, emerging business models such as EPC, optical storage & charging, and virtual power plants are expected to take over the charging service market. Thanks to gas station resources of Tuanyou, NaaS can gain access to local SOEs that have high-quality land resources in hand and provide all-inclusive services which combine one-stop construction, operation and maintenance, and online charging services. At the same time, NaaS can provide a one-stop upgrading service of optical storage and charging to service charging stations, become a member of local load aggregators and develop virtual power plant business due to its superior technological proficiency, rich historical experience, and other advantages.
In 2021, NewLink will reduce 1.04 million tons of carbon dioxide in total, accounting for 0.13% of the total road traffic energy emissions in the year; NaaS provides users with travel charging services through Kuaidian and other partners, reducing 896,800 tons of carbon emissions. The 2022 half-year ESG report of NaaS shows that in the first half of 2022, the carbon emission reduction of NaaS will reach 700,400 tons, which is close to 80% of the total reduction from last year.
At the COP27, NewLink on behalf of all Chinese energy digitization enterprises, took the global stage to share the story of China’s carbon neutrality, offer innovative solutions to green and low-carbon development, and serve as a resource for enterprises in other countries to promote green change and explore sustainable development models. Mode innovation and technology upgrading will propel NewLink to a “zero carbon” green future.