Status Quo and Development Trend of Sewage Treatment Market

- Oct 24, 2020-

1. Current status of sewage treatment market
Water is a precious resource for human survival and development. The 21st century is called "the century of water." China's water resources per capita are small and their spatial distribution is uneven. With the acceleration of China's urbanization and industrialization, the demand for water resources is also increasing. The severity and importance of the water problem has increasingly become the consensus of all sectors of society. The central and local government departments at all levels have put the water problem in an important position. In this context, the sewage treatment industry will become the fastest growing emerging industry in China in the future one.
As the state and governments at all levels pay more attention to environmental protection, China's sewage treatment industry is growing rapidly, the total amount of sewage treatment is increasing year by year, and the urban sewage treatment rate is continuously increasing. However, China's sewage treatment industry is still in the initial stage of development. On the one hand, China's current sewage treatment capacity cannot keep up with the rapid expansion of water use, and the construction of supporting facilities such as pipe networks and sludge treatment is seriously lagging behind. On the other hand, compared with developed countries, China's sewage treatment rate still has a significant gap, and the load rate of treatment facilities is low. Therefore, China should improve sewage treatment policies and regulations, establish a supervisory system, create a reasonable sewage treatment fee system, support the development of the domestic environmental protection industry, and promote the industrialization and marketization of the sewage treatment industry. The sewage treatment industry is a sunrise industry with very broad development prospects. China will invest huge sums of money to promote urban sewage treatment and utilization, and China's sewage treatment industry will usher in a period of rapid development
In 2010, my country's sewage treatment development achieved remarkable results, and the urban sewage treatment industry entered the fast lane of development. In 2010, a total of 1993 urban sewage treatment plants were built in cities, counties and some key organizational towns nationwide, with a total treatment capacity of more than 1 100 million cubic meters per day; there are 2,360 urban sewage treatment projects under construction, with an additional sewage treatment capacity of approximately 64 million cubic meters per day, and the total processing capacity of projects under construction and existing projects is expected to reach 160 million cubic meters. Since 2010, my country’s urban water services investment and financing structure environment has undergone favorable changes. The restart of IPOs has enabled a group of traditional water companies to choose their own restructuring and listing for development. Domestic companies have begun to fully realize the huge potential of China’s sewage treatment market and the industry itself. With its low-risk and stable characteristics, it actively participates in competition and has achieved certain results. In particular, listed companies and private enterprises have continued to enter the construction and operation of water plants and sewage treatment plants in recent years.

2. Development trend of sewage treatment market
In response to major challenges to the water environment, China will continue to increase investment in urban infrastructure. With the ever-increasing energy-saving and environmental protection requirements of the government, the continued opening of municipal public utilities, the promotion of environmental industry policies and the improvement of the investment and financing environment, my country's sewage treatment and recycling business will usher in historical development opportunities. It is predicted that my country's sewage treatment industry in 2013 The sales revenue will be close to 30 billion yuan, and the sales scale of the sewage treatment industry will reach 45 billion yuan by 2015.
Urban sewage is one of the main causes of regional water pollution in my country. At present, there are more than 640 cities in the country, more than 16,000 organized towns, and a population of about 270 million. In 2000, the sewage discharge was about 48 billion cubic meters per year, most of which were not treated, which constituted a serious impact on water resources. Threatened. There are 900 million people living in the countryside in our country. With the comprehensive construction of a well-off society, the construction of small towns will develop rapidly. It is predicted that by 2010, there will be about 1,200 cities in the country, 25,000 to 30,000 organic towns, and 65% of the country’s villages and towns tap water penetration rate. Obviously, the construction of centralized sewage treatment facilities in small towns in my country will show a rapid growth trend.
In terms of management system, a water industry management and legal guarantee system based on the combination of market mechanisms and government macro-control is being established and gradually improved; the functions and roles of the government and enterprises are being repositioned, and institutions are being reorganized; in recent years, the " A series of regulations and policies, including the Administrative Measures for the Reform of Urban Water Supply Price, and the Notice on Increasing the Collection of Wastewater Treatment Fees.
 In terms of operating mechanism, water supply and drainage have begun to be integrated, and investment, construction, and operation mechanisms that adapt to the socialist market economy are gradually established.
In terms of investment, a multi-channel, multi-level, and diversified funding system is adopted. In addition to the sewage treatment fees collected by the central and local finances, encourage the absorption of external funds from international financial institutions, foreign governments, international non-governmental organizations, and domestic non-governmental organizations, and use methods such as BOT to invest in the construction of urban sewage treatment plants.

3. The rapid development of sewage treatment promotes the formation of a sludge treatment and disposal market
According to general forecasts, China’s population will peak between 2020 and 2025, and the amount of sewage will also reach its peak around 2020. As of the end of 2009, the national urban sewage treatment volume reached 28 billion cubic meters, and the wet sludge (water content 80%) produced exceeded 20 million tons. According to the survey results, 80% of the sludge produced by my country's sewage treatment plants has not been properly treated. The random stacking of sludge and the pollution and re-pollution problems caused by it have become prominent and have attracted social attention. The attention of the society has forced the country to pay more attention to the treatment and disposal of sludge, and the attention of the country has prompted the formation of the sludge treatment and disposal market.
The "Urban Sewage Treatment Plant Sludge Treatment and Pollution Prevention Technical Policy (Trial)" jointly issued by the Ministry of Housing and Urban-Rural Development, the Ministry of Environmental Protection, and the Ministry of Science and Technology on February 18, 2009 (hereinafter referred to as "Technical Policy"), The discussion on sludge treatment and disposal has been pushed to a climax. The promulgation of this "technical policy" will effectively guarantee and promote the development of sludge treatment and disposal. At the beginning of 2010, Qiu Baoxing, Vice Minister of the Ministry of Housing and Urban-Rural Development, stated that during the "Tenth Five-Year Plan" period, my country will mainly carry out sewage treatment plant work. During the "Eleventh Five-Year Plan" period, the focus will be on supporting the pipeline network. In terms of sludge disposal. We should "do everything possible to dispose of the sludge" and encourage comprehensive land use after the sludge is harmless. It can be seen that during the "Twelfth Five-Year Plan" period, the sludge treatment and disposal market will be further developed and it will also become the next investment hot spot after sewage treatment.