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Establishing a Regional Water Technology Innovation Cluster. Captain Anthony T. Zimmer, PhD, PE, CIH National Risk Management Research Laboratory, EPA. Overview. Background Establishing a cluster Results to date Conclusion. What’s an Technology Innovation Cluster?.
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Establishing a Regional Water Technology Innovation Cluster Captain Anthony T. Zimmer, PhD, PE, CIH National Risk Management Research Laboratory, EPA
Overview • Background • Establishing a cluster • Results to date • Conclusion
What’s an Technology Innovation Cluster? • Clusters foster innovation through dense knowledge flows and spillovers • Strengthen entrepreneurship by boosting: • New enterprise formation • Enhancing start-up survival • Enhance productivity and income-levels • Positively influence regional economic performance (Brookings Institute, 2010)
Technology Innovation Cluster examples • Most famous domestic example is “silicon valley” • Intel, IBM .. Apple, Adobe, Google • Another example is Israel • Declared water a top priority • Implemented a highly coordinated inter-ministerial program • Annual government budget of $300 million • Predicted 2011 exports of $2.5 billion • Top-down versus bottom-up
What’s in it for the EPA? • Not a one way street of EPA helping the RTIC • Pooling EPA’s limited resources with others to increase efficiency and to maximize our impact • Research that moves beyond literature to societal use • Innovations in small water system technologies
Why water (global)? • Half of the world’s population will suffer from severe water shortages by 2050. (Maxwell, 2010) • 40% of the world’s population does not currently have access to basic sanitation and clean running water. (Maxwell, 2010)
Why water (domestic)? • Dilapidated infrastructure – 17% of treated water is lost to leaking pipes (EPA, 2010) • 40% of US waters are characterized as “heavily polluted” (versus 70% of Chinese waters) • Universal presence of “xenobiotics” in US waterways (i.e., manmade chemicals not typically treated in a modern plant) • Unsustainable depletion of underground aquifers (e.g., 50 to over 200 foot drop in parts of southwest) (USGS, 2003) • Loss of natural wetlands – over 50% loss in lower 48 US states since the 1600s (EPA, 2010)
So why try this in Cincinnati? • Water research started by USPHS officers in the early 1900’s • Crucial ingredients for a cluster (business, academia, government, support organizations) • Large degree of “intellectual property” w/in the region
Overview • Background • Establishing a cluster • Results to date • Conclusion
Federal Support • Supported by President Obama and Congress • Supported by Administrator Jackson, EPA • Supported by Administrator Mills, SBA • Cincinnati selected as the test bed
Plan of attack • Workforce • Assigned as co-lead with 4 federal employees on detail and laboratory support • Funding • Student contractor • Contract support • Building the case for a Water Technology Innovation Cluster • Meet regional leaders
Water trends • Water has been frequently referred to as the “petroleum of the next century” (Goldman Sachs, 2008) • Global water consumption is doubling every 20 years, more than 2 times population growth • Growth outlook (Goldman Sachs, 2008): • 3-5% for developed markets • 10+% for developing markets • US expenditures for drinking and wastewater estimated at $480 billion over the next 20 years (Maxwell 2010 & EPA, 2010)
Water trends (cont) • Scarcity could impair economic growth • North America has access to 15% of the global water supply while supporting just 8% of the world’s population • In contrast, China has only 7% of the renewable water supply, but 21% of the population • Scarcity & geopolitical conflicts • Interestingly, drinking water within the US is greatly undervalued (Maxwell, 2010)
Cluster Creation Process Overview • Stakeholder engagement, social capital building and requires: • Involvement of the leaders from the key cluster sectors • Inventory of regional assets • Agreement by leaders to form the cluster • Grassroots formation of a steering committee • Development of an operating structure & organization by the committee
Overview • Background • Establishing a cluster • Results to date • Conclusion
Results to date WTIC formation announced January 2011
Results to date • Series of meetings ranging from technology to research grants • Announcement by both EPA and SBA Administrators on the WTIC formation • EPA research/SBIR funding of $5M • Fully functioning WTIC entity (http://watercluster.org/wordpress/)
Overview • Background • Establishing a cluster • Results to date • Conclusion
Conclusions • Personal development • The “win-win” associated with a regional cluster