Sustainable growth through Customer Centric
Transcription
Sustainable growth through Customer Centric
Bureau Veritas China Industry and Facilities Division March 2013 ISSUE 16 Sustainable growth through Customer Centric Service 16 Auchan We No Longer Worry About Security Because of Bureau Veritas 18 Faurecia Bureau Veritas Helps Us to Complete Outstanding Newly Built Projects 20 ArcelorMittal Bureau Veritas Offers the Highest Value Services 22 IKEA China Bureau Veritas is Our Security Guard CONTENTS Sustainable growth through Customer Centric Service Bureau Veritas Construction Services to Create “Safe, High Quality, Green and Sustainable Buildings and Facilities” Bureau Veritas Honored with 2012 Prize for Best Service Provider in China's Commercial Property Bureau Veritas Participated in MIPIM Asia 2012 Bureau Veritas Awarded New Project Management Assistance Contract for Landmark International Theme Park Project in Shanghai Bureau Veritas Took Charge of the Entire Project Management for Mecoxlane’s Operations Center Bureau Veritas Awarded Project Management Assistance Contract for Stevanato’s New Plant With Bureau Veritas beside you, nothing is left to chance Bureau Veritas Held Seminar on Integrated Management System and Fire Risk Management Practice Bureau Veritas Nominated for the “Alliance Award” for French Enterprises in China Bureau Veritas Joins China Nuclear Energy Association Bureau Veritas Held China’s First Information Meeting on EUTR Solutions Dr. Jishun Xing of Bureau Veritas China was Awarded the Prize of “China Economy New Leader” Created in 1828, Bureau Veritas is a global leader in Testing, Inspection and Certification (TIC), delivering high quality services to help clients meet the growing challenges of quality, health, safety, environmental protection and social responsibility. As a trusted partner, Bureau Veritas offers innovative solutions that go beyond simple compliance with regulations and standards, reducing risk, improving performance and promoting sustainable development. Bureau Veritas core values include integrity and ethics, impartial counsel and validation, customer focus and safety at work. Bureau Veritas is recognized and accredited by major national and international organizations. Bureau Veritas has more than 60,000 employees in 940 offices and 340 laboratories located in 140 countries. Bureau Veritas entered China in 1882 with currently more than 9,500 skilled employees in 99 offices and laboratories located in 55 cities. Bureau Veritas Starts Cooperation with Nanjing Boiler & Pressure Vessel Supervision and Inspection Institute CNOOC Signed Third Party Certification Contract for QHD32-6 Oilfield with Bureau Veritas Bureau Veritas Beijing Office Moved to a New Location Auchan: We No Longer Worry About Security Because of Bureau Veritas Faurecia: Bureau Veritas Helps Us to Complete Outstanding Newly Built Projects ArcelorMittal: Bureau Veritas Offers the Highest Value Services IKEA China: Bureau Veritas is Our Security Guard Energy Audit and Its Benefits China’s Green Building Revolution History and Culture of China’s Fire Protection www.bureauveritas.cn www.bureauveritas.com [email protected] CHIEF EDITOR Wenjiang LI EXECUTIVE EDITOR Jessie WAN ART EDITOR Polly TENG [email protected] Construction | In-Service Inspection & Verification | Industry | Certification | Marine Commodities | Consumer Products | Government Services & International Trade 7 2013 BUREAU VERITAS - 2013 BV EXPRESS 03 OPENING SPEECH OPENING SPEECH In 2012, Bureau Veritas survived the tumultuous global economic crisis which included decrease in the growth of the Chinese economy and of foreign direct investment. In such a complicated economic and market environment, we have taken thoughtful corresponding actions for each of our business sectors, and in line with our respective strategic plan. Despite the fierce competition, we clearly maintained our core strategy of "Service Excellence through Customer Orientation", obtained break-throughs in business development in strategic markets and service innovation with added value. In the meanwhile, we implemented the "Go West” strategy to expand our services’ geographic coverage following the industrial evolution in China; We further enhanced the brand building and culture building to increase brand awareness and client recognition; We materialized the organic and external combined growth pattern through the successful acquisition of Beijing Huaxia Supervision Co., Ltd. In 2012, we achieved again excellent results, with a healthy growth for both revenue and staff number, and exceeded all management KPIs for the year. With the ongoing improvement and development of the living standards in China, people have higher expectations and requirements on quality, health, safety, environment and social responsibility, similar to developed countries. China will continuously keep pace with the world level with respect to economic development and social effects, aslo, the management of the country gradually transfers from the administrative and monopoly mechanism to the market mechanism. This means that there is adequate space and high potential for our future development. We will continue to make our efforts to contribute immensely to the prosperous development of the inspection, testing, certification and technical consultation industries in China. Sustainable growth through Customer Centric Service In retrospect, regards to development of Industry & Facility Division, Greater China Region for the past decade, regardless of the world economy and market fluctuations, we have always managed to adjust our development direction, put into place the right strategy, found appropriate ways to keep our company growing and achieved or even exceeded our objectives, which shows the adaptability of our business model and the overall capability of our team and the unique competitive advantages that we possess. We strongly trust that such notable company performance come from the support and cooperation of customers during this time. We have established long-term partnerships with many customers to create more value for them and for the public in terms of quality, health, safety, environment, and social responsibility. I hereby extend on behalf of the company our sincere gratitude for the recognition and support of our customers. BV EXPRESS is a platform established by us for communication with our customers, to provide our experience in the actual projects that we serviced, to introduce the advanced concepts and best practices in the fields of quality, health, safety, environment and social responsibility. It serves a part in implementing our core competitive strategy of “Service Excellence through Customer Orientation”, further understanding the customer requirements and providing customer care. We look Mr. Jishun XING Senior Vice President, Bureau Veritas Regional Chief Executive, Greater China Region Bureau Veritas, Industry & Facilities Division forward to your support and participation. With the approaching New Year, my best wishes to all BV EXPRESS readers and your families, a happy, healthy and prosperous 2013! A New Year, a New Start, and New Heights! Move forward with confidence! Jishun XING 04 BUREAU VERITAS 2013 BUREAU VERITAS - 2013 BV EXPRESS 05 BUREAU VERITAS CHINA OPENING SPEECH INDUSTRY & FACILITIES DIVISION Industry and Facilities Division in China offers Inspection and Certification services to local and foreign clients in the large business scope of management system certification and training, construction and facilities, industrial equipments and facilities, oil and gas, power and utilities, railway and rail transit, transportation and logistics and more. Bureau Veritas Construction Services to Create “Safe, High Quality, Green and Sustainable Buildings and Facilities” Whether it is an office or apartment building, buildings and facilities are a necessity for daily life but they come at a cost. Problems arising in the planning, design, construction or operation stages can be a serious risk to the end user. These risks can lead to serious accidents such as the “Collapsed Building” incident at Lotus Riverside Garden on June 27, 2009, and the catastrophic fire in Shanghai on November 15, 2010, causing resources to be wasted, adverse social impacts and even serious personal injuries or death. How to improve the quality of buildings and facilities, prevent the accidents and risks, advocate quality, while creating harmonious, green, environmental friendly living and production environments through effective construction and operations management. This is the primary prerequisite for promoting the stable development of the construction industry. Bureau Veritas, as the world leading building and facility service institution, has been engaged in improving the quality, safety, and sustainable development of buildings and facilities since it resumed business in China in 1993. Bureau Veritas Construction Business Line provides professional solutions for construction and infrastructure projects from the planning, design and tendering, construction, test and commissioning to the final delivery and operation, and becomes the first choice for many F22,Tower B,Global Teade Center 36 North Third Ring Road East, Dongcheng District,Beijing TEL +86 (10) 5968 3888 FAX +86 (10) 5968 3777 multinational and domestic companies, and governmental agencies when seeking engineering consultants as long term partners. In the past 20 years, during this golden period for the domestic construction industry in China, Bureau Veritas Construction Business Line has developed quickly, with the business scope now covering the entire life cycle of buildings and facilities, including the traditional technical audit services to the project management, quality supervision, engineering consultancy, construction supervision, material testing, green building and energy efficiency, EHS (environment, health and safety), fire and life safety, equipment and facility in-service inspection. In addition, the range of services covers real estate, government agencies, chain industries (retail, hotel, bank and insurance) and many industrial fields, with customers including Air Liquide, ArcelorMittal, Auchan, Bosch, Carrefour, China Mobile, China Resources Land, Cummins, Danone, Faurecia, General- Electric, InterContinental Hotels Group (IHG), IKEA, Lafarge, Sanofi, Schneider Electric, Siemens, Standard Chartered Bank, Unilever, Volvo and other world famous companies. Being highly reputable and having expertise in the international engineering services, Bureau Veritas Construction Business Line has succeeded in providing engineering consultancy services for the France Pavilion, Italy Pavilion, UK Pavilion and others (totally 12 pavilions) for the World Expo 2010 Shanghai from 2007 to 2010, and project management services for the Wenchuan Earthquake Recovery Projects financed by the World Bank from 2008. With the Chongqing acquisition of Beijing Huaxia Supervision Co., Ltd by Bureau Veritas in 2012, Bureau Veritas Construction 15-2,Building 2, One Central Midtown, No.18 Jinshan Road TEL +86 (23) 6789 6861 FAX +86 (23) 6789 6862 management services for a landmark International Theme Park Project in Shanghai from 2012. All these Business Line also has been awarded a contract to provide project management assistance and safety remarkable project references solidify the leading position of Bureau Veritas in the construction market of China. Looking to the future, 2013 shall be the 2nd year for implementing our 2015 Strategic Plan and Bureau Veritas Construction Business Line will meet more challenges and opportunities than before. The uncertainty of the global economy has caused foreign investors to decrease their investment in China; however, with the continuous development of the urbanization process and implementation of the Western Development Strategy, key projects and infrastructure construction are still on the rise. Another contributing factor is the large scale expansion of business properties to Tier 2 and 3 cities giving the construction industry in China a wide development space. In addition, the global growing concerns about energy savings, environmental protection, sustainable No.1 Lianyue Road, Xiamen City, Fujian Tel +86 (592) 2039 003 Fax +86 (592) 2964 366 Hemin ZHUANG Director, Construction Business Line Industry & Facilities Division, Bureau Veritas Greater China development and the strong support from government and its policies, will align energy saving and environmental protection services to become new focuses for the construction industry. Keeping Bureau Veritas’ motto in mind “Move Forward with Confidence”, and the vision of providing better safety, more environmental and energy efficient, green sustainable building and facilities, Bureau Veritas Construction Business Line will strive to develop www.bureauveritas.cnChinese ( ) www.bureauveritas.comGlobal) ( [email protected] ever better solutions and services for the China market. BUREAU VERITAS - 2013 BV EXPRESS 07 BUREAU VERITAS – YOUR TECHNICAL ADVISOR, SERVICE PORTFOLIO ALONG THE WHOLE LIFE CYCLE OF BUILDING & FACILITIES TENDER CONSTRUCTION DESIGN 01 PLANNING - Secured Program Prior to Commencement 02 DESIGN - Design Compliance Prior to Fabrication / Works 03 TENDER - Effective Management of Project Procurement 04 TESTING & COMMISSIONING PLANNING 05 Feasibility Study Project Definition Planning & Permitting Assistance Consultancy for Green Building Certification (LEED, GBL, BREAM, HQE…) Technical Design Review Design Management / Coordination Fire & Life Safety Consulting Technical Due Diligence Optimization on Critical Elements Gap Analysis & Consultancy for LEED / GBL Security System Consulting Tender Specifications Review Supplier / Contractor Audit Environmental Due Diligence (Phase I, II) Consultancy for Safety Management Policy / Procedure Tender Management of Design Institute / Suppliers / Contractors Workshop Inspection Bill of Quantities Review Expediting & Delivery Monitoring CONSTRUCTION - Installation & Works Compliance with Approved Design & Code Construction Management 3rd Party QA / QC Client Representative / Project Monitoring Construction Supervision “Jianli” (Regulatory) On-site Safety / HSE Management Cost Monitoring Specific Installation Supervision & Inspection for Facilities (Fire Fighting System, Electrical System, HVAC, Security System, Lift, Lifting Equipment & Machinery…) TESTING & COMMISSIONING - Project Completion in Compliance with Design Standard As Built Document Management Running Test Witnessing Security System, Lift, Lifting Equipment & Machinery…) Facilities Safety Final Testing & Audit (Fire Fighting System, Electrical System, Punch List Follow-up Handover / Acceptance Inspection Move-in Assistance OPERATION - Operational Compliance and Safety Management OPERATION 06 Periodic Safety & Performance Inspection (Fire Fighting System, Electrical System, Security System, Lift, Lifting Equipment & Machinery…) Maintenance Strategy Consultancy & Maintenance Audit Workplace Health & Safety Audit Green Rating TM Operational Safety Evaluation Energy Audit Safety Management System Assistance Insurance Technical Audit Natural Hazard Risk Assessment Technical Training on Operational Safety (Regulations, Standards / Codes, Fire Safety, Electrical Safety, Lift & Equipment Safety, Behavioral Safety, Safety Management, Energy Efficiency) Bureau Veritas Honored with 2012 Prize for Best Service Provider in China's Commercial Property Bureau Veritas Participated in MIPIM Asia 2012 growing, the application of this evaluation tool will be increasing in the next few years. All these factors will encourage the tools’ development, help users and owners make decision on building The 2012 MIPIM Asia summit was held successfully in the Hong Kong Convention and Exhibition Centre on November 7-9 th Bureau Veritas Took Charge of the Entire Project Management for Mecoxlane’s Operations Center activities. 2012. The Honorable C Y LEUNG, Chief Executive of the Hong Kong Special Administrative Region, delivered a welcome keynote speech as the guest of honor during the official Opening Ceremony. Bureau Veritas Construction Business Line was invited to participate and gave a presentation on “Green & Sustainability: impacts, innovations and Bureau Veritas Awarded New Project Management Assistance Contract for Landmark International Theme Park Project in Shanghai importance”. MIPIM Asia is the Asia-Pacific Region version of MIPIM Cannes, the International Real Estate Expo in France, being fully recognized as the annual international real estate event. This year MIPIM Asia adopted a unique 3-in-1 theme to include 3 different summits: Investment Summit, the Retail Summit and the Sustainable Property Expo. This helped reflect the rapid development of the Asian retail property, promoting cooperation between real estate business, asset managers and tenants, and creating a new sustainable retail On October 30, 2012, the 2012 China Commercial Property Summit Forum and 2012 China Commercial Property Award Ceremony were held in Shanghai, Bureau Veritas was honorably awarded with the “2012 Prize for the Best Service Provider”. Meanwhile, Bureau Veritas delivered a speech on the energy-saving and safe operations of commercial property. Recently in China, with the increasing areas for commercial buildings, it is a big challenge for both commercial property developers and operators to guarantee health, high efficiency, and sustainable operations of commercial buildings. In view of this issue, Mr. Hemin Zhuang, Director of Bureau Veritas Construction Business Line in Greater China Area, said that "the integrated planning and professional engineering technology team are the prerequisites for the success of a commercial project. As the project is established, we will fully consider various challenges from the operations, including, energy-saving and safe operations. Then, a powerful professional engineering technology team will fulfill the planning, design, construction, and operation of the project, to guarantee the quality of commercial property and realize the added value ". shopping experience, while attracting 750 enterprises from 44 countries and regions. As a leading third party inspection institution in the domain of sustainable development, we shared Bureau Veritas 180 years’ history and substantial results in China's construction market in the last 20 years. Bureau Veritas has provided technical consultancy such as Project Management and Construction Management for new November 12, 2012, Bureau Veritas in China has been awarded, by one of the world’s leading international theme park, entertainment and hospitality operators, a contract to provide Project Management Assistance (PMA) from 2012 to 2015 for their landmark international theme park project in Shanghai. This new landmark international theme park project is the largest construction project in Shanghai since the 2010 World Expo and has captured the attention of the entire city of Shanghai and many parts of China. The new service contract further solidifies Bureau Veritas’ position as a market January 2013, Mecoxlane Group's Global Operations Center located leader in PMA services in mainland China. at the Wujiang Economic Development Zone of Jiangsu Province, is The landmark international theme park project was officially September, 2012. The project management of the facility during its announced in November 2009 by the Shanghai authorities to construction was undertaken by the Construction Business Line of announce the new investment in the Pudong region of Shanghai. The Bureau Veritas whom completed the project to a high degree of groundbreaking ceremony, held in April 2011, marked the start of success and ahead of schedule. initial construction works on the new theme park. operating smoothly since it was officially put into service in With a rich history in the construction industry in China and vast construction, and Inspection and Verification for existing property. In Bureau Veritas was entrusted with the Project Management the realm of sustainable development in the construction field, experience in project management, Bureau Veritas was entrusted by Assistance of two major portions of the project. Bureau Veritas’ Bureau Veritas has provided Environmental Consulting, Green Mecoxlane for a series of consulting services for the whole-of-life mission begins at this early stage of design and will carries through Building Certification, and Energy Efficiency services in China to project management at the end of 2010. These services included: to the project completion in 2015. The scope of the mission shall include: both multinational companies and local Chinese companies. At the forum, Mickael Sigda, Head of Green & Sustainability Services of Bureau Veritas, gave a speech to introduce the green TM building rating system called Green Rating an important tool to evaluate the energy saving level of existing properties. With the assistance for project examination and approval, design review and auditing the design documentation and providing pre-construction management, technical support, providing support for mock-up and sample management, field safety management, cost engineering, and fire management, permitting assistance, tendering consulting, on site protection testing. With the efforts of Bureau Veritas, the project's construction management and EHS audit. At project close-out, Bureau construction duration, safety, quality, and customer satisfaction have Veritas shall support with the monitoring of testing and commissioning reconstruction market rising, global energy consumption becoming exceeded expectations. For the duration of the project, each project and hand-over to the operations team. team had to modify the design and working plan owing to partial critical, and people’s consciousness to the environmental protection Bureau Veritas was selected by the client to provide solutions to the project challenges. Specifically, the Client’s objectives were to achieve a world class quality construction within the tight project bid invitation management, construction changes in logistics technology. Fortunately, Bureau Veritas’ management team has successfully coordinated any concerns and reduced the affected construction period by about one month. In view of the cost control after the change of technology, Bureau Bureau Veritas 20-years of experience in the building field in China timeline. The project shall introduce new construction materials and enables it to offer various standard services to land agents, methods to the Chinese construction market and shall require governmental agencies, chain industry (retail, hotel, bank, and meticulous detail and planning. In addition, with an estimated 14,000 Mecoxlane took time to express their thanks for Bureau Veritas' insurer) and most of the industrial enterprises. So far, Bureau workers on the construction site at peak time, the Client faced a efforts with a letter, highlighting Bureau Veritas' specialized project Veritas has successfully provided Auchan, Capitaland, Carrefour, challenge implementing strong health, safety, environment and management experience and skills, superior working attitude, and a China Resources Land, Greentown Group, IKEA, Shimao Group, international labor standards for the duration of the project. Veritas’management team also helped Mecoxlane save relevant costs. Sogo, Takashimaya and Tesco with various services, such as project management, quality surveillance, construction supervision, environmental / engineering consulting, material testing, technical audit, green building services and energy conservation consulting. 10 BUREAU VERITAS 2013 BUREAU VERITAS 2013 11 conscientious work style. They appreciated Bureau Veritas’ development trend of the integrated management system of finalized, many countries except a few took the initiatives to support contributions to the project, particularly pertaining to program ISO9001, ISO14001 and OHSAS18001, and analyzed how to establish the nuclear power industry. Nuclear power shows great potential in formation, risk assessment, government coordination, and efforts the integrated management system and the integrated operation the world energy development. For the Chinese nuclear power for faster examination and approval. mode based on the common points and correlation of the 3 systems market, China is ranking world No.1 in respect of numbers of nuclear and the need of the companies. He stressed “It is to obtain the power plants under construction and China has many projects in customer satisfaction with the quality management system, meet the preparation, the nuclear power service market in China is hopeful social the that it will be entering another “booming period”. Joining CNEA at environment management system, and protect the employees and this time is a great opportunity for Bureau Veritas to further reduce the safety risks with the occupational health and safety implement its localization strategy, as Mr. Zhang Wenyin, Manager of management system.” Bureau Veritas Nuclear Power Department, said when talking about Bureau Veritas Awarded Project Management Assistance Contract for Stevanato’s New Plant responsibility for environment protection with this topic, “Bureau Veritas has rich experience in the nuclear power Mr. Cai Yong, Manager of Bureau Veritas In-Service Inspection & industry and also has top ranking technologies in mechanical design, Verification Business Line, presented the requirements and metal material, NDT, etc. It is also the sole inspection agency in the challenges from a macro view for the operational safety world that provides the quality services for the both Generation 3 management, as the key to protect brand value and business continuity. He introduced the holistic management concept along the nominated for the Alliance Award for French Enterprise in China. Dr. entire 5-phase lifecycle of assets, shared the local regulations for Xing Jishun, Senior Vice President of Bureau Veritas Group and facilities management and the key points of the daily safety Regional Chief Executive of Industry and Facilities Division, Greater inspection. He also pointed out the key risks and control method at China was invited to attend the award ceremony alongside each stage of asset lifecycle with the typical cases of Bureau Veritas. representatives of French companies in China that have made Mr. Liang Hailiang, Technical Manager of Bureau Veritas In-Service outstanding achievements. Inspection & Verification Business Line, also shared his experiences in fire risk management practices, introduced the history of firefighting since ancient times, and knowledge on firefighting in In November, 2012, Bureau Veritas China was appointed by Stevanato Group S.P.A. to provide construction management services for the new plant located in Zhangjiagang Economy & Technology Development Zone. The total building area is about different scenarios with filmclips of Hollywood (e.g. The Amazing Spider-Man, Enemy of State and 007) and discussed with the audience about potential fire risks along the whole asset life cycle, including design, construction, operation, etc. 11,000 squares including workshop and office building, with total services for “life cycle of the nuclear power plant” from the feasibility Xing Jishun, pointed out that "the nomination for the Alliance Award study to dismantling. Bureau Veritas’ nuclear power services in is an honor as well as an encouragement for Bureau Veritas to offer China began in 1997, and it has been the leader of the nuclear power more professional services in future and to keep developing within services for the past 15 years. It provided the services for Daya Bay, the Chinese market". Qinshan Phase 1, Qinshan Phase 3, Ling’ao Phase 1, Ling’ao Phase 2 CCIFC, and Think Tank Premier Cercle for the purpose to introduce containers products opportunities to us for developing nuclear power in China.” certification organization, providing the inspection and assessment Management services before. glass industry. We hope the admission to the CNEA will bring more China, such as Bureau Veritas, Legrand, Air Liquide, and SEB. Dr. Consultants, Chambre de Commerce et d'Industrie de Paris (CCIP), of confident that we can develop alongside the Chinese nuclear power Bureau Veritas is a world leading third party inspection and provided Design Management, Project Application and Tendering manufacturer participated in several nuclear power projects in China. We are high as 200 million Euro and have remarkable achievements in This award ceremony was jointly organized by OC&C Strategy leading Finland EPR and China AP1000 Nuclear Power Plant and has Nominations included 17 French companies with global revenues as construction duration about 10 months. Bureau Veritas already and review French companies’ accomplishments in China and share Founded in 1949, Stevanato Group S.P.A. is one of the three world's prototype reactor projects, demonstrated successfully for the and other nuclear power stations; and is providing the quality services for Zhejiang Sanmen, Shandong Haiyang, Guangdong Taishan, Guangdong Yangjiang, Fujian Fuqing and other nuclear power stations under construction. their successful experience. Meanwhile, the organizers would take and this opportunity to change the misconception of some companies pharmaceuticals machinery with an annual production value of about that reject or neglect the Chinese market and showcase the €180 millions. Bureau Veritas Held China’s First Information Meeting on EUTR Solutions importance of the Chinese market to the future development. It is of great significance to highlight business expansion in China, which Bureau Veritas Held Seminar on Integrated Management System and Fire Risk Management Practice Department and In-Service Inspection & Verification Business Line of Bureau Veritas. This event was held at Bureau Veritas Shanghai Bureau Veritas Joins China Nuclear Energy Association Bureau Veritas Nominated for the “Alliance Award ” for French Enterprises in China Headquarters on December 21, 2012 and attended by the On November 24, 2012, the French Chamber of Commerce and DSM, Siemens, Sony, etc. th Industry in China (CCIFC) 20 Anniversary Celebration as well as the Mr. Ji Daiwen, a senior standard system registration auditor of appraisal and prize presentation of the Best French Company in Bureau China Award were successfully held in Beijing. Bureau Veritas was 12 BUREAU VERITAS 2013 introduced the international buyers in forestry, timber, and wood product industries. Mr. Hubert de Bonafos, Global Product Manager of Forestry and Sustainable Development, introduced in detail the due diligence Recently, the China Nuclear Energy Association (CNEA) admitted Bureau Veritas as a member - one of its few foreign members. representatives of nearly 100 famous companies, including Auchan, Department, Traceability Solutions for the European Union, US, and Australian by more than 50 representatives from the leading manufacturers and Management Practice was jointly organized by the Certification Certification Bureau Veritas held China’s First Information Meeting on Trade and and long-term global competitiveness. timber regulations in Shanghai on October 30, 2012. It was attended The Seminar on Integrated Management System (IMS) and Fire Risk Veritas will facilitate the enlargement of customer base as well as medium Bureau Veritas showed a positive assessment of the Chinese nuclear energy industry with its professional nuclear energy services and the trend of higher opening level of the Chinese nuclear energy industry. With the national nuclear power policies and planning gradually system required in the latest timber regulations in the world as well as “Bureau Veritas' Trade and Traceability Solutions”, by saying, “To ensure that companies can confidently conduct the trade and trace the legal sources of forests, timber, and wood products in world, Bureau Veritas has properly made preparations in the following aspects: First, Bureau Veritas has been approved as a supervision body by the EU. Second, Bureau Veritas provides companies with BUREAU VERITAS 2013 13 EU Timber Regulations (EUTR) solutions, like the proprietary due Summit. Dr. Jishun Xing was elected unanimously by the Electoral diligence procedures to ensure the effective traceability of the Commission of the 12th China Economy Top Figures Award to win this forests, timbers, and wood products in the entire supply chain and prize because of his outstanding contribution to China’s economy the legal source of timbers. Third, Bureau Veritas has developed the development. new risk review and risk mitigation procedures according to EUTR, for flexible application of companies and applicable to all risk levels. Finally, Bureau Veritas has trained and approved many forest auditors and timber inspectors in the world, to ensure the consistency of the audit and inspection”. EUTR, the compulsory regulation attracting the closest attention now, will be implemented from March 3, 2013, requiring companies in the industry, large or small, to respond in a practical and reliable manner that ensures legal sources of forests, timber and wood The China Economy Summit is a prestigious high level economic forum that has been organized annually since 2003. During each business leaders of the year. The China Economy Summit is and China Economic Herald of National Development and Reform Commission (NDRC), and is supported by the People’s Daily and Global Times. The theme of this summit was to “Focus on economic development and recognize influential business leaders”. Bureau Veritas starts cooperation with Nanjing Boiler & Pressure Vessel Supervision and Inspection Institute qualification evaluating for boilers, pressure vessels and piping to offer scientific and specialized solutions to the safety engineering of pressure equipment. Meanwhile, Bureau Veritas' Inspection Department maintains long-term and close cooperation with many major boiler manufacturers nationwide, including Shanghai Boiler requiring them to make earlier preparations, to ensure the successful Recently, the Strategic Cooperation Agreement and Welder Qualification Service Agreement were signed by Bureau Veritas Dr. Jishun Xing of Bureau Veritas China was Awarded the Prize of “China Economy New Leader” experience in design verification, supervision, product certification, assessment (QRA), chemical risk management and welder so Chinese exporters and manufacturers will face great challenges, export to Europe next year”. ability, high efficiency operation management, and rich project in-service test, nondestructive testing (NDT), quantitative risk Veritas Certification Department said, “The EUTR covers numerous second largest market for export of timbers and wood products of China, with top-rate organized by the Economic Daily, the China Economic Information unnecessary costs. Mr. Sun Changjun, new product manager of Bureau printed books, newspapers and magazines. The European market is the ability summit, the electoral commission will recognize the most influential products and also avoids excessive administrative burden or products, nearly all timber and wood products except recycled products, our Inspection Department and Nanjing Boiler & Pressure Vessel Factory and Harbin Boiler Factory. It also fosters over 1,000 qualified welders for major enterprises. Thus, its accumulated experience is basis for the cooperation with NJBPVI. Supervision and Inspection Institute (NJBPVI) to complement their individual advantages and also to facilitate their joint development. The agreements were signed by Mr. Fan Jiangfeng, Director of Bureau Veritas' Inspection Department in Greater China Area and CNOOC Signed Third Party Certification Contract for QHD32-6 Oilfield with Bureau Veritas Mr. Liang Hua, Chief Engineer of Nanjing Bureau of Quality and Technical Supervision. platform for integration and exchange of information and improve Project in Tianjin on October 21, 2012. Bureau Veritas will provide techniques, qualifications and market resources in inspection and third party certification services for the design, manufacturing, supervision. Particularly, in terms of physicochemical testing and installation, and commissioning phases of the Project. Tel: +86 (10) 5968 3888 QHD32-6 Oilfield is located in the middle of Bohai Bay, about 20km Fax: +86 (10) 5968 3777 qualification training, Bureau Veritas' Inspection Nanjing and nearby regions. Such technical services are competitive in both quality and price to maximize social and economic benefits. As indicated by both Mr. Fan Jiangfeng and Mr. Liang Hua, the strategic cooperation agreements are an important move to realize the unity of energetic enterprises, strategic interaction, resource-sharing, and complementary advantages. The influences of both companies have been enhanced. It also has practical and On January 13 2013, Dr. Jishun Xing, Senior Vice President of Facilities Division, Greater China Region, was awarded the prize of “China Economy New Leader” during the 2012 China Economy location: signed a contract for QHD32-6 Oilfield Comprehensive Adjustment Department offers "one-stop" technical services to clients in Bureau Veritas Group and Regional Chief Executive of Industry & On January 28th, 2013, Bureau Veritas Beijing Office moved to a new China National Offshore Oil Corporation (CNOOC) and Bureau Veritas Under the framework agreement, both parties will establish a welder th Bureau Veritas Beijing Office Moved to a New Location strategic significance for the development of the pressure equipment manufacturing industry. Bureau Veritas has a professional testing team, advanced technical east of NB35-2 Oilfield and 20km southeast of Jingtang harbor, with the average water depth of 20m. In the Project Bureau Veritas will provide services for the four newly-built platforms, twelve submarine pipelines, three composite cables, and six platforms for renovation of Global Trade Center F22, Tower B, No.36, North Third Ring Road East, Dongcheng District, Beijing, 100013, P.R.C. Bureau Veritas has experienced solid and fast growth in both business volume and staff number. Therefore the previous Beijing office reached its limits and we decided to move to this new office. the oilfield, including design review, supervision of fabrication, pre-commissioning, installation and commissioning, survey of all the offshore facilities and issue the certificate after completion . Cooperation between Bureau Veritas and CNOOC started from Dongfang 1-1 Gas field Project in 1998. Since the SZ36-1 Phase I Oilfield Adjustment Project in 2008, both parties have increased cooperation and Bureau Veritas’ services have expanded from shallow to deep water from fixed platform to the subsea and from CAPEX projects to OPEX projects. “We hope Bureau Veritas can continue to expand the scope of services and increase the cooperation projects for CNOOC in the future, and also hope CNOOC 14 BUREAU VERITAS 2013 BUREAU VERITAS 2013 15 Auchan: 4 We No Longer Worry About Security Because of Bureau Veritas Interview with Bruno MERCIER, Chairman of the Board, Auchan Asia Millions of customers go shopping at each Auchan store every year, so it is very important for Auchan to ensure the security of customers. Mr. Bruno MERCIER, Chairman of the Board, Auchan Asia, said while being interviewed by BV EXPRESS. “Since Bureau Veritas provides us with the excellent in-service inspection services, we no longer worry about security and I can get good nights sleep every night because of Bureau Veritas.” [BV EXPRESS]:Why did Auchan choose to cooperate with third party inspection institutions for the new projects management and the in-service store inspection? 5 Bruno MERCIER: Auchan choose to cooperate with third party inspection institutions for three reasons: First, Auchan is at the rapid expansion stage where our team manages many large hypermarkets, including the new and the existing stores, but the number of the newly-built stores is not definite, meaning we cannot have a team that is too large. So we need the support of the third party inspection institutions. Second, we are not so professional in the construction project management and the in-service inspection fields, so we need the professional knowledge of third party inspection institutions. Finally, the construction industry is a very complicated industry, and we want to ensure the most reliable and beneficial work with the assistance of third party inspection institutions. Bruno MERCIER: Bureau Veritas is very familiar with the international and national standards, and has an excellent local practice for international standards, an excellent and professional staff, transparent costs, and true and reliable reports. Millions of customers go shopping at each Auchan store every year, so the security is very important to us. We need the third party inspection institutions to conduct the strict inspection and review of our materials and equipment used and the methods for using them, to ensure the security of customers shopping at each Auchan store. Bureau Veritas provides us with the excellent services in regards to these aspects. They allow us to no longer worry too much about security at each store. In one word, I can get good nights sleep every night because of Bureau Veritas. 6 1 [BV EXPRESS]: Will you briefly introduce Auchan’s development history and current condition in China? Bruno MERCIER: Auchan entered the Chinese market on July 18, 1999 when Auchan Zhongyuan Store (Shanghai) was built and put into operation. The joint cooperation between Auchan and Ruentex Group (Taiwan) to establish the Sun Art Retail Group Limited in 2001 initiated the rapid expansion of Auchan. In 13 years, Auchan has established 54 superstores in China’s cities, including: Beijing, Shenyang, Shandong, Qingdao in the North; Shanghai, Suzhou, Kunshan, Wuxi, Changzhou, Danyang, Zhengjiang, Nanjing in the East; Chengdu in the West, and Guangzhou in the South. Auchan has developed quickly and successfully in China. Its China operation influences the development of Auchan Group, not only in Asia but globally and hence plays an important role in the company’s strategy. 2 [BV EXPRESS]:Compared with other hypermarkets, what are the competitive advantages of Auchan? Bruno MERCIER: Now our annual sales turnover is RMB15 billion in China and that of the single store is RMB300 million - the highest among all the hypermarkets in China. Such a high sales turnover comes from our 4 advantages: high product quality, low product price, good location of the stores and complete store facilities (e.g. the parking lots). 3 [BV EXPRESS]:What is the development plan of Auchan China in the future? Which challenges will be encountered and how would you like Bureau Veritas to assist you? Bruno MERCIER: In the following years, the most important goal of Auchan China is to open larger hypermarkets with area’s over 100,000m2, so the challenges in the security will be more and more prominent. The government will have higher requirements and standards for public buildings and facilities, particularly for fire fighting regulations and requirements for domestic design institutes to improve further. This means Bureau Veritas may provide us with more support in the management of the new projects, in-service equipment and facility inspection, and training services for fire fighting safety and security. In addition, we also hope, apart from the existing cooperation, to expand the cooperation in other aspects, for example food safety inspection. [BV EXPRESS]:How do you comment the rapid development of the online retail market in China, and what are the strategies of Auchan China for it? Bruno MERCIER: In fact online retail has not had a significant influence over the food industry because most customers choose to go to the hypermarkets to buy foods; but other goods, such as small electrical appliances, have an impact, so we seriously consider the online retailers as a strong competitor. On one hand, the best selling online goods, for instance the small electrical appliances, we reduce the supply and continuously introduce new products, as more people choose to shop online. On the other hand, we also made the attempt to open an online hypermarket. One that is now operating satisfactorily is Auchan Drive in Suzhou (www.auchandrive.cn). Customers can order online and pick-up after five minutes at the store, or have it delivered to their door. [BV EXPRESS]:The cooperation between Bureau Veritas and Auchan China started in 2002, what would you say about the services of Bureau Veritas after ten years of cooperation? About Auchan The first hypermarket of Auchan opened in Lille (Northern France) in 1961, it’s the first time that combined with "More Choices, Lower Price, Better Service" in business, therefore Auchan became the world's pioneer in hypermarket business. At present, Auchan is one of the most famous hypermarket chains in the world. The turnover has reached 56.2 billion Euros in 2011, Auchan has 1,421 hypermarkets and supermarkets in 12 countries, employs more than 269,000 persons and has 1.3 billion customers, it’s considered as one of the main commercial groups in France at present, and it’s the 142th of The World's Top 500 Enterprises. The first hypermarket of Auchan in China - Shanghai ZhongYuan Store opened on 18th, July 1999 in YangPu District, it covers an area of 20,000 square meters, the construction area is 15,000 square meters and the business area is 8,000 square meters. Auchan has started stable & continued development in China since 1999, Shanghai ChangYang Store, Shanghai MinHang Store, SuZhou Store, WuXi Store, Hangzhou Store, BeiJing Store, ChengDu Store… also opened successively. Now there are 54 hypermarkets in China until the end of 2012, more and more hypermarkets will open soon. 16 BUREAU VERITAS 2013 BUREAU VERITAS 2013 17 Faurecia: Bureau Veritas Helps Us to Complete Outstanding Newly Built Projects Interview with Jean-Michel Vallin, President Faurecia China - Chief Representative Bureau Veritas has successfully completed several projects for Faurecia as its global partner. Mr. Jean-Michel Vallin, President Faurecia China Chief Representative, expressed during its interview with BV EXPRESS: “Bureau Veritas has provided us with the results and the support we were expecting for our projects, especially for our Yancheng project. We can say this is the best new building project for Faurecia. Beside, I am quite impressed by Bureau Veritas staff. ” 1 plants, including the pedestrian areas in the plant, where the equipments should be placed, where the dangerous zones are, under what conditions the machines should automatically shut down, and so on. Bureau Veritas helped us to design a strict and comprehensive safety system; we have not had any serious incidents since I joined Faurecia China, five years ago: it is an outstanding performance. [BV EXPRESS]:Could you briefly introduce Faurecia’s development in China? Jean-Michel Vallin:Faurecia entered the Chinese market in 1994, by introducing emission control products, quickly followed by auto seats, interior systems and exterior systems, respectively in 2000, 2005 and 2011. Now, Faurecia has established independent R&D capabilities in China, has completed its purchase and sales system and has strengthened its position, as a global business in China. We now have 35 facilities in Shanghai, Changchun, Shenyang, Wuhan, Wuhu, Cixi, Wuxi, Chongqing, Chengdu, Nanjing, Qingdao, Yantai and Guangzhou that represent 8,000 employees, including more than 600 engineers. Our sales turnover in 2011 was of 1.2 billion € and the estimated sales will be 1.5 billion € in 2012. 2 Faurecia and Bureau Veritas signed a global contract to construct our new buildings, and Bureau Veritas has successfully completed several of our projects in China, providing us with project management services including design review, bidding & tender management, construction supervision and acceptance of the release of the new buildings, such as our new Technical Center in Minhang (a building with an area of 36,000 m2). I want to emphasize again that Bureau Veritas did deliver the expected results and support for our projects, especially for the recently completed project in Yancheng, which, as I already said, appears to be the best new building construction project for Faurecia. I am, moreover, quite impressed by many people, in Bureau Veritas staff. 5 [BV EXPRESS]:What are Faurecia’s development strategies for the next three years? How do you expect Bureau Veritas to support your development? Jean-Michel Vallin: Our estimate is that our annual sales turnover will be of 2.5 billion € in China by 2015, and China will become the country with the most numerous businesses and employees in the world. At that time, we shall have about 50 manufacturing sites all over the country, and we will pay attention to reduce the investment in newly built sites, increase the output, improve the overall quality and integrate our logistic system. We hope that Bureau Veritas will continue to deliver excellent services for our ongoing projects, and will provide us with more and complete project management services for our new projects. [BV EXPRESS]:Who are Faurecia’s main clients in China? Jean-Michel Vallin:We intended to enter China in order to follow our traditional customers like PSA, and, in parallel, we developed the North American market. Now, we set up a cooperation with Ford and GM, as well as started to cooperate with Asian companies, the main one being Nissan. In addition, we also started cooperating with some Chinese OEMs. Even though their cars are sold in low-end markets, they still have 35 to 40% of the market share, and, undoubtedly, some of them will become quite global players in the long run. 3 [BV EXPRESS]:What are Faurecia’s competitive advantages, compared with your competitors in China? 18 BUREAU VERITAS 2013 4 [BV EXPRESS]:Faurecia has cooperated with Bureau Veritas, repeatedly in the past, for safety system and construction project management; what has been the most impressive for you during your cooperation with Bureau Veritas? Jean-Michel Vallin: Safety is key to us. We have thus committed ourselves in what the chairman has defined as the top priority, as far as the global deployment of our safety system is concerned: taking safety precautions as early as possible, including our engineering and design activities, but also the machine, equipment and the working environment which should be a hundred percent safe. So we chose Bureau Veritas to help us to design a comprehensive safety system and management of our About Faurecia Faurecia is the world's sixth-largest automotive equipment supplier with four key Business Groups: Automotive Seating, Emissions Control Technologies, Interior Systems and Automotive Exteriors. In 2011, the Group posted total sales of €16.2 billion. On December 31, 2011, Faurecia employed 84,000 people in 33 countries at 270 sites and 40 R&D centers. Faurecia is listed on the NYSE Euronext Paris stock exchange. All four core businesses have been fully deployed in China. Faurecia China ‘s headquarter is located in Shanghai. It currently employs 8,000 people and operates 4 R&D centers and 35 sites. In 2011 Faurecia China’s revenue exceeds € 1.2 billion Euro. For more information, please visit www.faurecia.com or www.faurecia.cn. BUREAU VERITAS 2013 19 ArcelorMittal: safety and project construction management for cost, quality, and planning. Yes! I am impressed by the ability of Bureau Veritas staff in the adjustment and management to our project. The people involved in our project are ArcelorMittal people, Valin people, and workers who do not have any experience in the past involving project construction management companies in such a project. I’m impressed by the capability and flexibility of Bureau Veritas staff. Bureau Veritas Offers the Highest Value Services Interview with Hugues Chataigné, CEO of Valin ArcelorMittal Automotive (VAMA) Steel Co., Ltd. The VAMA Project is an important step for ArcelorMittal to enter the Chinese automotive market, so they had to be very prudent in choosing the project management company. Mr. Hugues Chataigné, CEO of Valin ArcelorMittal Automotive Steel Co., Ltd. told the reporter of BV Express: “During the construction phase, Bureau Veritas can offer us the highest value services including the highest guarantee of health and safety, the very good guarantees of planning, cost and quality.” 1 [BV EXPRESS]:When did ArcelorMittal entered China? What was your development in China like? 3 Hugues Chataigné: I believe that our advantage over our competitors is mainly in three areas. First the process: we have developed advanced production technologies based on correct understanding and rich experience. Second is the market approach: ArcelorMittal has R&D centers in Japan, Germany, France, the U.S., and has experience in cooperating with Automobile OEMs, enabling us to have a global strategic view. The third is the service, which we have proven experience in Europe and North America, so we can provide customized services to OEMs in China according to their local expectations. Hugues Chataigné: The former Mittal Company and Arcelor Company started their footprint in China at least 20 to 25 years ago. The first business was trading activity, which began when the level of the steel production in China was far behind compared to today’s levels. The exporting of medium to high end products was a big trading activity. Now it is clear that industry footprint is a concern. With that consideration, the industry footprint of ArcelorMittal has been conducted through joint ventures. Today, ArcelorMittal has two main footprints. One is through a joint venture with China Oriental for long products, and another one is through a joint venture with Valin in Central-South of China for flat products. In 2011, ArcelorMittal crude steel production reached 92 million tonnes, which represents around 6% of world steel output. 2 [BV EXPRESS]:What are the competitive advantages of VAMA Project? 4 [BV EXPRESS]:What are your criteria for choosing project management companies? Why did you choose Bureau Veritas? What impressed you most during the cooperation with Bureau Veritas? 5 [BV EXPRESS]:What is your expectation for VAMA Project? How do you expect Bureau Veritas to help VAMA and ArcelorMittal? Hugues Chataigné: ArcelorMittal is the No.1 automotive steel supplier in the world, and the VAMA Project with Valin is an important footprint for automotive steel. In terms of product, the expectation is to quickly expand the automobile steel market in China, especially the market share of the high end products, to produce 1.5 million tonnes in 2016. In terms of service, the services for automotive OEMs, Volkswagen, PSA, GM and Ford, the gap is getting very, very narrow with the current services we are providing to them in North American, Brazil and Europe. So, the expectation from VAMA is to be the leading product and service supplier. I hope that Bureau Veritas will help VAMA to successfully achieve these goals. I am sure that there will be other opportunities to carry on our fruitful relation, and continue to support our development in the automotive market in China. About ArcelorMittal ArcelorMittal is the world's leading steel company, with presence in more than 60 countries. ArcelorMittal is the leader in all major global carbon steel markets, including automotive, construction, household appliances and packaging, [BV EXPRESS]:Why did ArcelorMittal chose to cooperate with Valin for VAMA Project? Hugues Chataigné: In our industry, it is very important to bring quality, product range, and services to our automotive customers. There is a prerequisite for this: to fully integrate production chain from steel making to finished products. So our decision was to work with Valin, our historical partner, because they have key, newly invested equipments, a new upstream which performs with high standard as in Europe, North America and South America, and ensure metallurgical properties which meet our automotive customer’s requirements. 20 BUREAU VERITAS 2013 Hugues Chataigné: We have four key components and key attributes for the selection of our consultants, like health and Safety, planning, cost, and quality. Following our meetings, we selected Bureau Veritas out of four bidders, because of its combination in the four key components and it was the best offer. Bureau Veritas has a proven and extensive experience to share with our VAMA project team regarding this specific Greenfield. Thanks to Bureau Veritas, we have already implemented very specific work breakdown structure, cost breakdown structure, and health and safety measures. Bureau Veritas’ scope of responsibility is supervision and management for health and with leading R&D and technology. The Group also has a world class mining business with a global portfolio of over 20 mines in operation and development, and is the world’s 4th largest iron ore producer. With operation in over 20 countries spanning four continents, the Company covers all of the key industrial markets, from emerging to mature, and has outstanding distribution networks. Through its core values of sustainability, quality and leadership, ArcelorMittal commits to operating in a responsible way with respect to the health, safety and well-being of its employees, contractors and the communities in which it operates. It is also committed to the sustainable management of the environment. It takes a leading role in the industry's efforts to develop breakthrough steelmaking technologies and is actively researching and developing steel-based technologies and solutions that contribute to combat climate change. ArcelorMittal is a member of the FTSE4Good Index and the Dow Jones Sustainability World Index. In 2011, ArcelorMittal had revenues of $94 billion and crude steel production of 91.9 million tonnes, representing approximately 6 percent of world steel output. The Group's mining operations produced 54 million tonnes of iron ore and 8 million tonnes of metallurgical coal. For more information about ArcelorMittal visit www.arcelormittal.com BUREAU VERITAS 2013 21 IKEA China: Bureau Veritas is Our Security Guard Interview with Andreas Martiny, Property Director of IKEA China “Availability and self assembly” is what makes IKEA unique, a mix of being both a store and a warehouse in one building. However, this has presented a big challenge to IKEA in terms of safety management. “Bureau Veritas is like our third party, which guarantees the main safety installations in the store could stringently follow higher security standards”, said by Mr. Andreas Martiny, Property Director from IKEA at the interview of BV EXPRESS. 1 [BV EXPRESS]:Why did IKEA enter the Chinese market and how is it going in the Chinese market? 3 Andreas Martiny: The construction environment in China is not very favorable for a building owner. Even though many Chinese construction companies will sign on and agree to deliver IKEA quality construction, this doesn't mean that they are really committed to the level we are requesting. In many cases, maximizing profit is the primary objective of a local construction company, and coming back with a lower quality product is quite common. For this reason we need support to meet our quality requirements in China. Besides, our philosophy is that “We manage the project, but don’t want to do it by ourselves“. This means we are depending on external consultants for our project management. As a company with the international knowledge and a strong European background, Bureau Veritas has a very good understanding of what we are looking for and how it may be delivered in the Chinese market. Bureau Veritas also enjoys a great reputation concerning safety security, an area of the project that is of great importance to IKEA. So, we choose Bureau Veritas for these reasons. Andreas Martiny: With the impact of the economic crisis, IKEA’s development in the European market is slowing down, so we need to seek growth in the world’s emerging markets. China is the world’s biggest potential market at the moment with 1.3 billion people and a rapid economic growth, so we think that China will be the most important country for IKEA in the coming years. Now we have 11 stores in China, for example, in Beijing, Shanghai, Guangzhou, Chengdu, and Tianjin, and other major cities. 2 [BV EXPRESS]:Compared with other furniture retailers, what are IKEA’s competitive advantages? Andreas Martiny: First, we have the unique model. You can only buy IKEA furniture in an IKEA store. In other words, if you want to buy something with the brand IKEA in a department store, that's never going to happen. This is the most attractive point to customers and why we are successful. Second, we will have our own factory in China, so we can manufacture locally the furniture we sell in China, which saves a lot of cost for logistics, duties, etc. So here we are able to offer competitive local pricing for an international product. Finally, for the purchasing experience of customers, we combine the show room and the warehouse in the same building. The customer can visualize the product in the show room and then immediately pick up the goods at the warehouse area, without having to wait for reservation, pickup, which is common in other furniture stores. The fact that our furniture products can be assembled by the customer himself adds another unique facet to this customer experience and is their contribution to an affordable price level. 22 BUREAU VERITAS 2013 [BV EXPRESS]:Why do IKEA select Bureau Veritas to support its growth? 4 [BV EXPRESS]:What are the key challenges that you face for building new stores in China? How does Bureau Veritas help IKEA to face these challenges? Andreas Martiny: For building the new stores, the major challenges that we face relate to combining the showroom (commercial areas) with the warehouse inside the same building. First, laws and regulations in China are not applicable to such a business model and architectural style, and this hinders our application for the construction license. Second, our warehouse needs to be used for commercial purposes, but administrative rules in China for such warehouses do not exist. The existing laws and regulations for warehouses conflict our own safety standards. Therefore, the reference standards for use are unavailable. Finally, we have very strict standards for fire control, but some construction companies’ safety awareness on fire control is not strong enough. So, sometimes, we may have different viewpoints with our construction companies in terms of fire control safety. Bureau Veritas is very familiar with the fire control and safety standards in China, U.S.A. and Europe, so it is able to support us in the delivery of the highest global standard. This includes checking our designers’ compliance to such highest standards, supervising our construction companies to honor their contracts and carry out final review on the building. Relatively, Bureau Veritas is more like our internal security guard to ensure that our new stores meet our safety regulations and requirements, while we are like external consultant, just to offer comments on the project. 5 [BV EXPRESS]:What is IKEA’s development plan in China in the coming few years? What are your expectations to Bureau Veritas? Andreas Martiny: In the coming few years, China will be the most important market to IKEA. And this is a very strong commitment for us, so we are building as many stores as possible in China. Our plan is to have approx. 35 stores by 2020. That means we have to open every year more or less 3 stores for the next 8 years. At that time, our stores will be spread all over China. People in Bureau Veritas who have been allocated to IKEA projects for some time know exactly what the priorities are, what the difficulties are, and where we need to place our focus. This is a typical approach for IKEA with our consultants to ensure we can work in the most efficient way. So, in 2011 IKEA and Bureau Veritas finalized a frame agreement to provide fire life safety consulting services for all of the new stores which will be built in China. We hope that a long-term and stable cooperation will be made with Bureau Veritas, to build a fire life safety team and guarantee IKEA’s safety. About IKEA Founded in Sweden in 1943, IKEA has been striving to “create better daily life for the many people”. The IKEA brand is always associated with how to raise people’s living quality, so it offers a wide range of well-designed, functional home furnishing products at affordable prices. This is the idea at the heart of everything IKEA does. IKEA also stands fast to the business mode oriented to customer and social benefits and commits itself to environment protection and social responsibility. As of 2011, IKEA had 287 stores in 26 countries and regions around the globe, 11 of which are located in mainland China, i.e., Beijing, Tianjin, Shanghai, Guangzhou, Chengdu, Shenzhen, Nanjing, Shenyang, Dalian, and Wuxi. BUREAU VERITAS 2013 23 MOVE FORWARD WITH BUREAU VERITAS MOVE FORWARD WITH BUREAU VERITAS Energy Audit and Its Benefits ELECTRICITY INFORMATION Electricity Breakdown -2012 Year Bureau Veritas Construction Business Line, Li Hong / Leon Wang Common types / levels of energy audits are distinguished below, although the actual tasks performed and level of effort may vary with the consultant providing services under these broad headings. The only way to ensure that a proposed audit will meet specific needs is to spell out those requirements in a detailed scope of work. Taking the time to prepare a formal solicitation will also assure the building owner of receiving competitive and comparable proposals. Generally, four levels of analysis can be outlined (ASHRAE American Society of Heating, Refrigerating and Air-Conditioning Engineers, Inc.): 1 Level 0 – Benchmarking: This first analysis consists of a preliminary Whole Building Energy Use (WBEU) analysis based on an analysis of the historic utility use, costs, and on Energy Conservation Measures (ECM) Recommendations Potential Energy Savings [KWh / year] [RMB / year] Estimated Investment [RMB] the comparison of the performances of the buildings to those of similar buildings. This benchmarking of the studied installation allows determining if further analysis is required; 4 Level III – Investment-Grade audit: Detailed Analysis of Capital-Intensive Modifications focusing on potential costly ECOs requiring rigorous engineering study. Payback time [years] AHUs (Air Handling Unit) Kitchen Ventilation System 10% AHUs 9% Chiller 15% Evolution of Electricity Consumption 1500000 1400000 1300000 1200000 1100000 1000000 900000 800000 700000 600000 500000 400000 2010Y 2011Y 2012Y Month 1 2 3 4 5 6 7 8 9 10 11 12 Priority As of today, most of us are interested in energy savings but some do not have a clear plan for achieving higher energy efficiency. Consider the following: 2 The audit will not only inform you of opportunities but provide you with financial analysis. This will enable prioritization based on financial benefit and return on investment; 1 Are you aware of all beneficial efficiency measures applicable to your facility or only a few? 3 Provide you with solid, easy to understand technical information regarding the proposed energy conservation measures; 2 Are you able to prioritize your measures based on their financial benefits (ex: Change lighting or upgrade old Chillers)? 4 A good quality audit will analyze your historical energy use and find potential issues using statistical methods; 3 If necessary, do you have solid proof of why you chose one measure compared to another? 5 Provide you with emissions analysis to help you understand the benefits of your decisions from an environmental standpoint; 4 Are your decisions being fueled by unbiased, good quality facts or parties interested in selling their product? 6 Understand where energy is used and which areas are worth focusing on the most (energy hogs); Good quality energy audits will help you address the above and more. Here are some benefits of performing a quality energy audit: 7 Provide you with benchmark information to help you understand your energy use performance compared to others in your field and area. 1 Energy audits evaluate your facility “as a whole”; their goal is not to evaluate single measures but to consider a wide range of available alternatives (Electrical, Mechanical, Envelope and Water); The cost-benefit analysis of the audit report helps decision makers prioritize opportunities and evaluate them as investments. These indicators include rate of return, net present value, cash flow analysis, and payback. Immediate (ROI< 1 year) 240,000 216,000 1,000,000 4 Priority (1 year < ROI < 3years) Useful term (3 years < ROI <7 years) Long term (ROI>7 years) ECM#2: Equip Air Handling Unit (AHU) - K9, K3, K6 and Chilled water pumps, the secondary hot water pumps with Variable - Frequency Drive (VFD) 94,528 85,075 150,000 2 ECM#3: The maintenance of AHUs should be improved 21,000 18,900 No Investment Immediate Financial analysis example of Energy Conservation Measures 24 BUREAU VERITAS 2013 Chiller Analysis example of Energy Consumption Ventilation System ECM#1: Upgrade and retrofit the existing ventilation system and set up an automatic management instead of the current manual management and put in place free-cooling via the Building Management System Lifts Kitchen Ventilation System 2 Level I – Walk-through audit: Preliminary analysis made to assess building energy efficiency to identify not only simple and low-cost improvements but also a list of energy conservation measures (ECMs, or energy conservation opportunities, ECOs) and to orient future detailed auditing. This inspection is based on visual verifications, study of installed equipment, and operating data and detailed analysis of recorded energy consumption collected during the benchmarking phase; 3 Level II – Detailed/General energy audit: Based on the results of the pre-audit, this type of energy audit consists in energy use survey in order to provide a comprehensive analysis of the studied installation, a more detailed analysis of the facility, a breakdown of the energy use, and a first quantitative evaluation of the ECOs/ECMs selected to correct the defects or improve the existing installation. This level of analysis can involve advanced on-site measurements and sophisticated computer based simulation tools to evaluate precisely the selected energy retrofits; Solar Hot Water System 17% Solar Hot Water System KWh The term energy audit is commonly used to describe a broad spectrum of energy studies ranging from a quick walk-through of a facility to identification of major problem areas to a comprehensive analysis of the implications of alternative energy efficiency measures sufficient to satisfy the financial criteria of sophisticated investors. Numerous audit procedures have been developed for non-residential (tertiary) buildings. Auditing is required to identify the most efficient and cost-effective Energy Conservation Opportunities (ECOs) or Measures (ECMs). Energy conservation opportunities (or measures) consist of more efficient use or of partial or global replacement of the existing installation. Lifts 6% Lighting 43% BUREAU VERITAS 2013 25 MOVE FORWARD WITH BUREAU VERITAS MOVE FORWARD WITH BUREAU VERITAS China’s Green Building Revolution Bureau Veritas Construction Business Line, Joyne Zhou The Third Industrial Revolution-Energy Revolution One of the best sellers books in the U.S., “The Third Industrial Revolution: How Lateral Power is Transforming Energy, the Economy, and the World” by Jeremy Rifkin, explores the new topic of “Energy Network”. The book points out that fossil fuel dependence and its related technology is the root of the Global Economic Crisis. A sustainable energy production system used in conjunction with internet can create an “Energy Network” which allows people to individually generate green energy and share it through the network. In the near future, every building could be an electricity plant; every person would be self-sufficient, assisted with the network as a distributor. Globally, energy from buildings accounts for about 41% of total energy consumption. By helping to increase building’s energy efficiency, green building design will be a critical issue to avoid the energy crisis. Wind Turbine Solar Collector/Solar water heater on the roof Building Insulation Board to prevent heat loss Cork doublelayer glass Rainwater Collection System Cogeneration System to provide heating Floor heating System Ground Source Heat Pump From: www.chinajnzz.com Booming Green Building Certification As a critical part of the potential Chinese Energy Revolution, green buildings have become a major trend for high level properties. From design to construction, green buildings require low initial investment and allow for minimum operation cost. The added-value of a green building certification is to have an integrated design approach taking into account all the feasible energy saving strategies, thereby helping developers reduce initial cost and decrease maintenance fees. Currently, multiple standards coexist within China’s green building market: American LEED, British BREEAM, Japanese CASBEE, 26 BUREAU VERITAS 2013 German DGNB, Australian NABERS and Dutch Green Calc. Draft version of the Chinese green building evaluation standard was based on earlier versions of LEED, and has been revised in June 2006 to become the “Evaluation Standard for Green Building” (GB/T 50378-2006) (Green Building Label). Every standard has its unique requirements to meet. "Green Building Label" and LEED have become the two main evaluation systems in China’s domestic market. LEED or “Green Label” has become a dilemma for more and more project developers who are considering pursuing a green building certification. The two rating systems have different structures and contents, and are based on different national standards. LEED vs. “Green Building Label” Leadership in Energy and Environmental Design (LEED) was established by the U.S. Green Building Council (USGBC) in 1998. After ten years of development and growth, it has become a globally recognized evaluation system that defines and measures“green buildings”. The USGBC has developed several rating systems for different types of projects including: New Construction, Existing Building and Operation, Commercial Interior Design, Home, and Neighborhood, and others. LEED Green Building Rating Systems promote sustainability with a whole-building approach, and address 5 categories that focus on human health and environment: Sustainable Sites (SS), Water Efficiency (WE), Energy and Atmosphere (EA), Materials and Resources (MR), Indoor Environmental Quality (IEQ). Once the project is reviewed by the Green Building Certification Institute (GBCI), it receives official certification as Certified, Silver, Gold or Platinum level according to the number of points it has achieved. China’s national “Green Building Label” was developed by China Academy of Building Research (CABR), China Academy of Urban Planning & Design and Tsinghua University. “Green Building Label” applies to residential and commercial buildings such as offices, shopping centers, and hotels. Green buildings are graded on a one, two or three stars system. It addresses different categories such as Land Saving and Outdoor Environment; Energy Saving and Energy Utilization; Water Saving and Water Source Utilization; Material Saving and Utilization; Indoor Air Environment; Operation and Management (Residential building); Whole Life Cycle Approach (Commercial building). For each topic, there are “Control” credits which must be achieved, “General” credits which are optional, and “Preferred” credits which could be considered as innovation credits. Imported or Domestic? “Dual-Certificate”- Gain both Fame and Wealth Which standard is more suitable for Chinese Green Building: the more expensive one, which could bring more benefits and is recognized as an “International Standard”, or the least costly one, which is more adapted to local standards but harder to achieve? It is inevitable that more American-style offices and residential buildings will be built in China, although their energy efficiency of central HVAC are lower than split HVAC system. Therefore, LEED works for this styles of buildings to reduce energy consumption, while “Green Building Label”, is more suitable for the buildings with split system for heating. In short, both LEED and “Green Building Label” have their markets in China. Upon comparison of the two standards, LEED is more voluntary, consensus-based, and market-driven. Based on existing and proven technology, it evaluates environmental performance from a whole building perspective over a building’s life cycle and provides a definitive standard for what constitutes a green building in design, construction, and operation. “Green Building Label” is a government policy that is oriented from top-down system. It is similar to a policy tool which aims to guide the market towards sustainable development. However, “Green Building Label” is very recent, so its market participation is still relatively low. Currently, the certification is confined to government demonstration projects set as examples to the public. In the process of promoting green building, the Chinese government always considers “energy saving" as the first principle and the core concept of a “green building”. Thus, when a project is pursuing "Green Building Label", it is required to pass a certain score which focus on energy conservation and encourages the use of natural resources. On the other hand, LEED does not focus that much on energy conservation. Every new construction pursuing LEED certification must achieve at least 10% energy cost savings compared with a baseline building (defined according to ASHRAE 90.1-2007, the American Standard for Energy Efficiency). The building can get certified by having high scores in other categories non-related to energy efficiency. Basically, LEED focuses on the building occupants comfort rather than on the building’s energy efficiency, which is driven by the American market. For example, the Modern MOMA project in Beijing designed a constant temperature and humidity system to maintain comfort for 24-hour. Although it received LEED ND certificate in 2005, it is criticized because of its relative poor indoor air quality (no operable windows for ventilation) and high energy consumption. Is the “Green Building Label” better than LEED? Some evidence indicate that some of the best performing, three-star buildings’ energy performance is excellent; unit energy consumption is only 79 kWh / square meter / year, far below the LEED system average of 218 kWh / square meters / year . However, since “Green Building Label” is not as mature as LEED, these buildings couldn’t maintain a comfortable indoor temperature and humidity. Although “Green Building Label” is more adapted to the Chinese market, the rating system is not updated as frequently as LEED. Thus, some new technologies which have been applied in the building may not count as a strategy in “Green Building Label”. Both LEED and “Green Label” are not perfect. We can’t totally criticize one system while praise highly another one. Dual certification is the wisest choice. Following the Shanghai Expo Center, which became the first dual-certificate building (LEED NC Gold and “Green label” three star), the Shanghai Center Tower became a dual-certificate high-rise green building. Passing both certificates brings building not only international recognition, but User also satisfies domestic demand. This would also raise the local reputation, and helps attracting more tenants at higher rental fees. In order to evaluate energy efficiency measures and its potential environmental impact more accurately, more research should be conducted. Only if we figure out how much energy each building consumes, can we regard these rating systems as effective tools to decrease Chinese building energy consumption. As a member of USGBC, Bureau Veritas Green building consultancy team has participated in many “Dual-Certificate” projects. Successfully gathering all players in the project around one table to address environmental and sustainable issues in a holistic way, Bureau Veritas looks at both LEED and Green Building Label. Moreover, gathering information and sharing it and making a certification plan for both rating systems reduces costs and gains more time for project. Thanks to Bureau Veritas North America’s unique position as Certified Body, Bureau Veritas China has a unique position for LEED Consultancy. Similarly, Bureau Veritas is in the same position for the Green Label Consultancy in China from its Shanghai branch. Combining local experience and knowledge in the construction market, pursuing advanced computer simulation technology, holistic approach or review process. Bureau Veritas can and already have participated in the first steps of Chinese Green Building development as well as stimulate the building energy revolution. BUREAU VERITAS 2013 27 MOVE FORWARD WITH BUREAU VERITAS History and Culture of China’s Fire Protection Bureau Veritas In-Service Inspection & Verification Business Line, Eric Liang As a core business of Bureau Veritas In-Service Inspection & Verification Business Line in China, fire safety technical consulting and periodic inspection has been highly valued by many reputed multinational companies and established the leading position of Bureau Veritas in the field of facility safety management in China. It is also an important topic for Bureau Veritas internal technical development & sharing. Whilst exploring fire protection-related science & technology and the latest trends, we found that a study on the history and culture of China's fire protection would be interesting and necessary for many fire colleagues, such as: 1) Where did “Fire Protection” originate from? 2) When was the first fire engine constructed in China? 3) When was the first fire hazard recorded? 4) In ancient China, how was fire protection blended in the design of buildings? This article will seek to answer these questions. 1. Historical and cultural inspiration Fire protection enjoys a long-standing history and culture. We, as the insiders, are very proud of it. Historically speaking, no culture could be compared with that of fire protection. For human beings, fire protection came automatically with the use of fire. "Fire use and fire protection are contradicted but interdependent", said Ren Jiyu, a famous contemporary philosopher. Since fire protection focuses on fire, it is an integral part of fire culture, the earliest culture of human beings and the basis for all cultures. The use of fire is a milestone in human evolution. When using fire, humans took command of a powerful material force, distinguishing human from ape. "As the powerful material force, fire helped humans to form 'Humanity' ", said Jia Lanpo, a famous paleoanthropologist. Both the philosopher and scientist hold the same viewpoint, that fire creates and develops culture. Human society cannot get away from fire and fire protection culture, it has penetrated our everyday life. 2. Study on the history of fire protection 2.1 History of the human’s use of fire Throughout the years, fire has always been mentioned as fire protection has been promoted. However, it is still not clear when fire was first used by humans. It is universally accepted that humans were using fire throughout their evolution. The archaeological research on more than 20 ancient human sites shows that such opinion is inaccurate. As a matter of fact, the earliest human fossils, stoneware, and evidence of fire use don’t show up at the same time, but are actually apart from each other. The earliest human fossil was found in Ethiopia and dates back to 2.8-3.3 million years ago. Human footprint dates back to around 4 million years ago. Also, Tanzania had human stoneware around 2.6 million years ago. However, the earliest evidence of human's using fire dates back to 500,000 years ago, found at humanoid cave in Longgu Mountain in Zhoukoudian, Beijing. Thus it can be seen that a gap exists of 0.2~1.4 million years between the birth of humans to the fabrication of tools. 2.1 million years for the ability to use tools to make fire. So a gap of 2.3~3.5 million years exists between human evolution and the ability of humans to use fire. As per the statements above, humans were not born with the ability to use fire. Meanwhile, it was much more difficult for humans to use fire as compared with other simple tools. 28 BUREAU VERITAS 2013 MOVE FORWARD WITH BUREAU VERITAS 2.2 Origin of fire disasters 2.4 Several No.1 records in China’s history of fire protection Two basic conditions are necessary for the formation of disaster: a destructive power and human society. Before the birth of human society, regardless of the scale and intensity, the destructive power of nature, such as earthquakes, storms and volcanoes are not deemed as disasters because humans were not present to experence then. When human evolved the destructive power of nature presented harm, thus forming the disaster. Therefore, the disaster has both natural and social qualities. Fire protection is isolated from the development of history. Here, China enjoys several No.1 records in the world's history of fire protection. When humans entered caves did the cave period begin? Natural cave themselves are free from fire danger, but some firewood may be stored in the cave as fuel. Also, some withered grass or leaves may be available as mattresses. Thus, fire presented a threat to the cave inhabitants. In addition, the volcanic explosion or forest fires created a threat to humans. However, the frequency of such fires were low. The sphere of human activities at that time was very narrow. In this case, the frequency of such fire disasters was rare. So far, no archaeological data is available to demonstrate such fire disasters. Therefore, the occurrence of such fire disasters is only on a theoretic basis. 3 China is the first country in the world to make architectural Fire disasters actually occurred during the Neolithic Age when housing construction appeared. At that time, houses were built with tree branches, so it was very easy to arouse conflagration. Since entire families tended to live under the same roof, fire posed a serious and wide scale threat. This was testified after a lot of ancient human sites were excavated. The Chinese character for "Disaster" vividly indicates the burning of wall and roof. 2.3 The formation of design concept for building fire protection In 1980s, archaeological workers discovered a lot of housing sites at Dadiwan of Qin'an in Gansu Province. Such housing sites were at the late stage of Neolithic Age, which was 5000~8000 years ago. Here, No.405 housing site and No. 901 housing site are so far the earliest large-sized public buildings found in China. Many stores on the sites show that these buildings were elaborately designed. Also, a lot of fire protection measures, such as the wooden roof with mud, were adopted to substantially improve fire proofing of buildings. Also, the combustible constructional materials, such as stakes and wooden beams, were smeared with the fire retardant coating made from “Cementing Materials". Meanwhile, the grass mud was built around the stake to form fire protection with the thickness of over 10cm. In addition, the importance was attached on both fire-resisting division and fire break. So, we could see that before these buildings were constructed, designers had very strong fire protection awareness. The overall plan is important for the buildings fire protection. Found in 1972, Jiangzhai Site in Lintong, Shaanxi existed 6600 years ago. This site covers an area of over 50,000 m2. A square of 4,000 m2 is available in the center and encircled by the residential area. The 1 entire site is divided into five groups, each of which has a big house in the center and is enclosed by 10 to 30 small houses. Also, certain distance is available between the groups as well as between the houses. The entire residential area is circled by three ditches. The ceramics-making area is to the west of ditch of residential area, so that the production area is separated from the residential area. The scholar pointed out that such orderly arrangement benefits from the elaborately unified planning. Though the term of "Building Fire Protection Design" was firstly issued by China's fire protection standards for building design in 1956, the production and practice of building fire protection design existed over 5000~6500 years ago. 1 China has the earliest building conflagration sites in the world. For example, Xi'an Banpo remains which was 6,000 years ago; Qin'an Dadiwan remains which was 5,000 years ago; 2 China is the first country in the world to adopt covering for fire protection and fire retardant coating. For example, Qin'an Dadiwan had these 5,000 years ago; planning that meets modern standards. For example, Jiangzhai site in Lintong, Shaanxi which was 6,600 years ago; 4 China has the earliest written records for fire disaster. According to the inscriptions on bones or tortoise shells of the Shang Dynasty, the slaves burned three granaries at the night of Wuxu Day during the period of Wuding, i.e. 1271~1213 BC; 5 China is the world's first country where a fire disaster occured in a high-rise building. At the end of Shang Dynasty (1046 BC), King Zhou stepped on Lutai to burn himself. Lutai was a high-rise building. As recorded in the Interpretation of Historical Records, Lutai was three-li long and one thousand-chi high. One chi in Shang Dynasty was equal to 31.1cm. So, Lutai covered an area of over 2 million m2 and was 310 m high. Measured and calculated by the experts, the actual height of Lutai should be around 170m, while the modern high-rise building was first established in th Chicago in 1871, or during the 11 year of reign of Emperor Tongzhi of the Qing Dynasty; 6 China is the first country in the world to establish an urban fire brigade. In the Song Dynasty, China established the first urban fire brigade in the world to manage the public fire protection. Such urban fire brigade was almost the same as the fire brigade today regardless of its organizational form and nature. It was featured as below: 1 The city was divided into several zones. Each zone is provided with an observation tower specially used by the fire brigade; 2 Over 100 soldiers were stationed below each observation tower as the special fire brigade; 3 Provided with over 10 kinds of fire control equipment such as the bucket, fire hook, Mada(麻搭), and Tiemaoer(铁猫儿); 4 Provided with warning system; the person was specially assigned to watch the fire behavior on the fire-watch building. Also, the "Fire Watchman" was available at each lane and block. The fire alarm could be timely sent through the cavalry; 5 In case of fire hazard, the soldiers stationed below the observation tower could immediately extinguish the fire; 6 The observation tower belonged to the government. Also, the personnel stationed below the observation tower were from the state's troops, indicating that fire should be put out by the state's specialized team rather than the common people. Therefore, as pointed out by Bai Shouyi in the General History of China, this was the earliest specialized fire brigade in the world. This national fire brigade was established in Kaifeng, the capital of Northern Song Dynasty. However, it was difficult to determine the starting time thereof. Under sufficient research, this fire brigade may be established in the third year of Renzong in Northern Song Dynasty th (the year of 1056), which was 944 years ago. As of the 12 year of Chunyou in Southern Song Dynasty (the year of 1252), there were 20 teams and 7 corps of fire brigades in Hangzhou, totaling 5,100 people and 10 observation towers. BUREAU VERITAS 2013 29 MOVE FORWARD WITH BUREAU VERITAS 3. China’s fire protection in ancient times MOVE FORWARD WITH BUREAU VERITAS respected by the people for their implementation of good "Fire Protection Measures". Lin Zexu, a famous official of Qing Dynasty, was also respected by the people for his fire protection policies. According to his 16-year diary, he fought fires 12 times when he acted as the local official in Hangzhou, Xuzhou, Wuchang, Liangjiang, and Huguang. In ancient times, fire protection was always a part of social security. For example, in Han Dynasty, fire protection was under jurisdiction of such administrative organizations as "Liangqianshi Caoshangshu" and "Zhijinwu" which were responsible for flood, fire hazard and robbery". Since the Xia Dynasty in 2070 BC, past dynasties attached importance to the fire protection and established relevant management systems for over 4,000 years. In the feudal society, the emperor was concerned with fire protection and developed the relevant imperial edicts. When fire disaster broke out, the emperor would adopt such measures as wearing plain white clothes, leaving the main hall, cancelling entertainment, and moderating his eating and even issuing self-punishment to enhance introspection and good morals. Meanwhile, the emperor would encourage free expression of views. In April of the sixth year of Jianyuan in Western Han Dynasty (135 BC), Han Gaozu's mausoleum suffered from fire disaster. So, Emperor Wu immediately took off his imperial robe and put on the white clothes for five days to show his fear of fire hazard and the attitude of self-reproach. In April of the third year of Chuyuan in Western Han Dynasty (46 BC), Baihe Room at Emperor Wu's cemetery caught fire. Then Emperor Yuan issued the first "Imperial Edict for Self-reproach" which was followed by the emperors in the successive dynasties as an example. In the 18th year of Yongle in Ming Dynasty (1420 AD), three great halls in the imperial palace caught fire, so that Emperor Yongle delivered a deep and profound reflections on 12 aspects through his "Imperial Edict for Self-reproach". Also, Chinese Fire Records collected 54 "Imperial Edicts" of Emperor Qianlong whose edicts related to fire hazard were the most recent in Chinese history. On October 21 of the second year of Jiaqing (1797 AD), the Palace of Heavenly Purity caught fire. At the age of 87, the Retired Emperor Qianlong still undertook the main responsibility of "Imperial Edit for Self-reproach" which he indicated that rather than the reigning emperor would be responsible for fire hazards. Also, fire protection was the duty of magistracy at each level and they spared no efforts to implement the "Fire Protection Measures". For instance, Lian Fan, the prefecture chief of Chengdu in Han Dynasty; Du Yu, Khrom of Lingnan and Liu Zongyuan, Yongzhou Governor in Tang Dynasty; Chen Xiliang, magistrate of Hu County in Song Dynasty; and He Xin, magistrate of Huizhou in Ming Dynasty were all 30 BUREAU VERITAS 2013 In the Western Han Dynasty, there were 16 "Jieting" (街亭)in Chang'an. In Eastern Han Dynasty, there were 24 "Jieting" in Luoyang. Such "Jieting" was also called Duting. In Tang Dynasty, the organization for social security and fire protection, the "Wuhoupu" (武侯铺) was established in Chang'an. Such "Wuhoupu"was composed of 100 people in the main city gate and 30 people in the main block, and 20 people in the minor city gate and 5 people in the minor lane. "Wuhoupu" was under the leadership of left & right Yifu subordinated to left & right Jinwu to form a network system for social security and fire protection. "Junxunpu" (军巡铺) in Song Dynasty inherited "Wuhoupu" in Tang Dynasty. "Junxunpu" was composed of five people and established in each block for every three hundred steps. Though "Junxunpu" was not recorded in the official history of Yuan Dynasty, Marco Polo Travels described the "Zheyin Watchhouse" (遮荫哨所)which is the same as "Junxunpu". In Ming Dynasty, "Hongpu" (红铺)was established both inside and outside the imperial city. The number of which came to 112. Each "Hongpu" was composed of 10 soldiers. Though the name was different, Jieting, Wuhoupu, Junxunpu, Zheyin Watchhouse, and Hongpu were all the grassroots fire departments in the city, equal to today’s police stations. 4. About modern fire control Modern history begins from 1840 after the Opium War. Great changes took place during this period and so the modern history of fire control can be traced back to this moment. 4.1 The appearance of “fire control” Since the ancient times, China has placed importance on fire brigades and made great achievements, but the word "fire control" didn't exist in state administration on public affairs. The term "fire control" originated from May of the twenty-eighth year of Guangxu in Qing Dynasty (1902). Yuan Shikai, Zhili Provincial Governor, "referred to the western law and drew up the regulations", and then established the Police Headquarters and Police School. As specified in the Regulations for Police School, "the fire control law is specially formulated and fire brigade is generally applied in other countries". In August of the same year, Yuan Shikai took over the "General Yamun" in Tianjin on behalf of the Qing government, which ended the Great Powers' colonial domination in Tianjin for two years. When the Police Headquarters was established, the original fire station was renamed as the fire brigade. This was the first time the name "fire brigade" turns up in the history of China and it is also the first modern fire brigade established by the Chinese government. Before that, the modern fire brigade in the municipality was called the Fire Brigade of Shanghai Municipal Council, which was the first fire brigade established on July 20, 1866 (the fifth year of Tongzhi in Qing Dynasty), 36 years earlier than that in Tianjin. "Fire control" was borrowed from Japanese and turned up during the Edo age. As early as the ninth year of Kyoho (the twice year of Yongzheng in Qing Dynasty, 1724 AD), it was recorded that "fire control in the village arrived when fire hazard took place" in the Book of Wang in Front of Curtain of Wuzhou Xincang Prefecture. At the early days of Meiji (the twelfth year of Tongzhi in Qing Dynasty, 1873 AD), the term of "fire control" became popularized. Anyway, "fire control" was originated from China. In ancient Chinese writing, the character of Xiao originates from "water", "little" and "meat”, a lump of meat disappeared when flushing in the river. The character of Fang originates from "Fu" (阜)and "Fang"(方); the former refers to a mountain slope that looks like ladder, and the latter refers to the prisoner of war or slave tied up with rope, meaning to prevent the prisoner of war from escape. Given the fact that Japanese characters evolved from the Chinese characters, which were introduced into Japan as early as the fifth year of Taikang in Western Jin Dynasty (284 AD), the Japanese character is similar. Also, "fire control" in both Japanese and Chinese characters is the same in the shape of words and meaning. 4.2 The modernization of fire control technical equipment The modernization of fire control is embodied mainly in four aspects: 1 Replacement of the fire engine driven by manpower, animal power, and steam with motor pump fire engine powered by internal-combustion engine; 2 Fire fighting water supplied by the urban water supply network rather than the natural water stored in vat and carried by manpower; 3 Fire alarm is reported via phone rather than the observation tower, alarm bell, flag, and lamp; 4 Water is replaced by a chemical extinguishing agent for special Shanghai Yangshupu Water Plant was set up to supply water for the concession. In the wake of the underground pipe network, the Fire Brigade of Shanghai Municipal Council requested to fix fire hydrants on the roads. Fire hydrants were originally called "Hai Ting" as they were a transliteration of Hydrant, meaning intake pipe or distributing pipe, commonly called a fireplug, firehouse, or water pole in some places. In the twenty-fourth year of the Republic of China (1935), the China Fire Control, primarily edited by the Police Administration but was affiliated to the Department of the Interior of the Nationalist Government, chose to use the name "fireplug". It wasn’t renamed “fire hydrant” until 1956 when the Ministry of Construction and the Ministry of Public Security drew up the Fire Protection Standards on Industrial and Civil Architecture. On the eve of liberation in 1949, there were 3117 fire hydrants in Shanghai, ranking the first in China. At the same period, there were 542 fire hydrants in Beijing and 420 fire hydrants in Tianjin. During the summer and autumn seasons of the seventh year of Guangxu in Qing Dynasty (1887), the telephone was adopted for fire communication. At that time, Great Northern Telegraph Co. (Denmark) was approved by Shanghai Municipal Council to operate the telephone services in the concession. This became the first phone in China. At the 10th year of Guangxu (1884), Fire Brigade of Shanghai Municipal Council set up the first fire reporting phone. However, telephones were available in Tianjin, Nanjing, Beijing, Qingdao, and Guangzhou only after the Republic of China was founded. Fire-extinguishing chemicals were introduced from Japan to China in the late years of Qing Dynasty. The foam fire-extinguishing chemical was introduced into China soon after it was invented in USA in 1915. Also, carbon dioxide and carbon tetrachloride fire-extinguishing chemical entered China during the reign of the Republic of China. The home-made fire-extinguishing chemical was invented in Tianjin in August, 1918. The above fire-extinguishing chemicals were mainly used in the small-sized fire extinguishers to put out the flaming at the very beginning. The emergence of fire-extinguishing chemical should be a revolution of extinguishment for the past thousands of years. fire hazard. A scholar once made the following evaluation: China's modern fire protection could date back to the end of Qing Dynasty and was developing during the reign of the Republic of China. Also, Shanghai is the origin of China's modern fire control, and Shanghai’s modern fire control stemmed from concessions. The first motor pump fire engine driven by internal-combustion engine in China was purchased from the United States by the Fire Brigade of Shanghai Municipal Council at the 34th year of Guangxu in Qing Dynasty (1908). Before the dominance of the People's Republic of China in 1949, there were altogether 707 fire engines nationwide. Specifically, Shanghai was equipped with 188 fire engines, while Jiangsu Province, second to Shanghai, had 99 fire engines; Jilin and Heilongjiang had 60 fire engines each; Liaoning had 50 fire engines; and Hubei had 41 fire engines. 5. Conclusion China has a history of fire protection of over 6,000 years, which is long standing, extensive and profound. As the leader in fire safety consulting and management, Bureau Veritas insist on developing and expanding this precious heritage. Reference: Chinese Fire Records Chief Editor: Li Caiqin; Subeditor: Li Chunhao and Ren Kan; A General History of China’s Fire Protection Chief Editor: Li Caiqin. The first fire hydrant in China was placed in a concession of Shanghai at the ninth year of Guangxu in Qing Dynasty (1883). At that time, BUREAU VERITAS 2013 31