Cnews 46 english

CPL CONOCORDIA Group Newsletter

46

Postal subscription with special rates for periodicals issued more than twice a year and no more than 70% advertising content. Business Sales Management Department. Modena

n.

Year XII - n.3 September 2014

NEW ROOM FOR GROWTH

New warehouse and workshop facilities built after earthquake in 2012 open at CPL headquarters in Concordia sulla Secchia.

CPL CONCORDIA Group financial statements approved and report upward trends in revenue and employment

THAILAND OFFERS OPPORTUNITIES FOR CPL GROUP IN SOUTHEAST ASIA CPL Energy Thailand working on the construction of trigeneration plant (CHP plus cooling) to serve the Honda Automobile manufacturing plant in Ayutthaya, Thailand’s historic capital CPL CONCORDIA IS ISO 50001-COMPLIANT Energy Management System implemented reinforces company’s commitment to energy efficiency and environmental sustainability issues

New Knight of Industry at CPL

Maurizio Rinaldi, Head of Administration at the cooperative for over 30 years has received recognition of his services to industry in the form of the Italian knighthood Ordine al Merito del Lavoro.

CPL now enjoys a newly appointed

now. After gaining a master’s degree in

including the chairmanship of CO.gas

Knight of Industry among its members.

Economics and Business at the University

S.p.A., deputy chairmanship of Meta

After receiving recognition in 2011 from

of Modena, Mr Rinaldi was hired by CPL

Modena S.p.A. and the chairmanship of

CPL chairman Roberto Casari, Maurizio

CONCORDIA in 1974 as an administrative

Modena F.C. He also counts a spell on

Rinaldi has now been honoured with

worker, from where he worked his

the Concordia Town Council among his

a knighthood. The prestigious award,

way up, in 1990, to the position of

experiences, during which time he was

signed by President of the Italian Republic

Head of Administration, Finance, and

responsible for the authority’s financial

Giorgio Napolitano, was presented to the

Management Control. He has also

statements. A registered auditor, he is

CPL member by prefect Michele di Bari.

held major roles in various companies,

currently on the boards of directors of several companies, most of which belong

On 2nd June - Italy’s Republic Day - the annual ceremony for the presentation of

to the CPL Group. The director expressed

awards conferred by the Italian Republic

his pleasure at the award newly

was held in the reception room at the

granted to him with discretion, stating

Prefecture of Modena, located on Corso

“I am honoured to receive such acclaim,

Canalgrande. Among the awardees was

especially because it was obtained as a

Maurizio Rinaldi, who has served first

result of my work within a cooperative,

the cooperative and then CPL Group as

and I am particularly proud to have built

Head of Administration for over 30 years

my entire career at CPL CONCORDIA”.

CPL CONCORDIA is associated with

Editor-in-chief FRANCESCO MANICARDI

The quarterly newsletter brought to you by CPL CONCORDIA Group Year XII - n. 3 September 2014 Registered with the Court of Modena on 26.05.2003 under n. 1673

Editors GABRIELE BATTISTI SAURO CORSI MARCO DAL DOSSO MARIO GUARNIERI EMANUELE MALAVASI E-mail: redazione@cpl.it Design and Layout Gabriele Greco - Communications Manager CPL CONCORDIA Marco Maini - kina.it Printed by TIPOLITO SALVIOLI - salvioli.it

CNews online - http://en.cpl.it/cnews

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Partner

Have contributed to this issue: GABRIELE BATTISTI LUIGI BISASCHI GIULIO CACIOLO SARA CAVAZZA ALESSANDRO CONTI MASSIMO CONTINATI DIEGO GANZERLA GABRIELE GRECO ANGELO GUERRIERI ANDREA MANNI ANDREA MANTOVANI MARCO MANTOVANI CRAIG JOSLOFF FAUSTO RICCO’ STEFANO STRAZZI ALESSANDRO TRALLI RITA VILLA TIZIANO ZOCCHI

Published by CPL CONCORDIA Soc. Coop.

Via A. Grandi, 39 41033 Concordia s/Secchia (MO) Phone: +39.0535.616.111 Fax +39.0535.616.300 Website:: www.cpl.it Mail: info@cpl.it

LEADING ARTICLE

Restructuring today to reinvent tomorrow

Even amidst such a devastating economic climate, CPL Group has managed to respond to the circumstances, delivering positive results as usual in 2013. Reacting to the macroeconomic stimuli, the cooperative’s management embarked on an internal reorganisation process, which will also involve areas such as internationalisation and efficiency improvement and will lay the foundations for the CPL of the future, starting with the youth element of the organisation.

poignant reminder of the former deputy chairman, the recently deceased Severo Barotto, and the many battles he had headed with our cooperative. Both as a manager and a member, Mr Barotto devoted a large part of his life to his CPL. The discussion then moved on to cover the facts and figures of the 2013 financial statements, whose positive final results included the resources to provide rebates amounting to €1.5 million and dividends to its shareholders, be they cooperative members (5%) or institutional shareholders (7%). The Cooperative’s financial statements closed with a net profit amounting to €5 million after recognising €1.5 million as rebates to members among personnel costs.

The value of production totalled €335.8 million, reporting a slight downturn over the previous year. The Cooperative’s net worth has reached €144 million. The gross operating margin (GOM) amounted to €18.7 million and impacted on the value of production by 5.6%. The Cooperative’s net debt, meanwhile, totalled €75.3 million euro, making a debt to GOM ratio of 4.02.

The consolidated financial statements closed with a Group profit of €4.5 million against a production value of €415.4 million. The Group’s net worth totalled €137.1 million. The gross operating margin amounted to €42.7 million and impacted on the value of production by 10.3%. The Group’s net debt, meanwhile, totalled €129.3 million euro, making a debt to GOM ratio of 3.02. These figures provide an extremely pared down view of the financial statements and the consolidated financial statements for the year ending 31st December 2013, but the relative facts need to be outlined too. First, it is should be stressed that these numbers have to be contextualised, taking into account the current harshness

Massimo Continati (aged 53) - mcontinati@cpl.it Director of Administration and Information Systems, CPL CONCORDIA

Here at CPL, the annual meeting to approve the financial statements usually has a party-like atmosphere about it. Better still, I’d say it was The Party. This past June though, there was a different feel to the occasion. The decision to cut down on the number of guests and reduce the amount of time spent on the podium was unarguably the right one, as the extra time was well spent focusing on the financial statements. Among the speeches, however, mention should be made of the Secretary for Transport’s contribution, as the Hon. Riccardo Nencini addressed the large audience with clear and insightful language, touching on sensitive issues such as recession, development, infrastructure, and growth. His speech closed the first part of the meeting, which had been fittingly opened with a sincere,

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CNews n. 46 - September, twenty fourteen

of the macroeconomic situation, to which both the Co-operative and the entire CPL Group have managed to respond positively in 2013, producing the results stated above. It should also be noted that the final figures in the financial statements are - net of the rebate - better than estimated in both the budget and the interim statements. The decrease in the parent company’s GOM over the past few years (which, when reported in the final statements, proved to be less than originally budgeted for) is attributable to three key factors: a) the crisis that has hit the national and international markets; b) the spending review; c) the transfer of some activities from the Cooperative to the Group.

The worldwide recession, which has impacted even more heavily on the domestic market, has led to a decline in demand for products and services, and the opportunities that have arisen over recent years require cash and cash equivalents for funding and also generate less profit than in the past. Public works contracts have made up a significant part of the Cooperative’s portfolio for some time and the spending review implemented recently by public authorities has imposed higher quality services at lower prices, thereby significantly reducing operating margins.

Back in 2009, the Cooperative began a process (still underway) of transferring certain activities from the parent company to the Group in order to streamline these areas. The upshot of this process - among others – was better access to credit which could be used to finance investments in specific sectors, such as gas distribution, for example. In this regard, a major transaction completed in 2013 involved the establishment of a sub-holding - EGN S.r.l. - which included the contribution of all the shares in the CPL Distribuzione S.r.l, Ischia Gas Srl, Marigliano Gas S.r.l., Fontenergia S.r.l. and CPL Filiala Cluj Romania S.r.l. into the newly established sub-holding. Once the contribution was complete, the Cooperative sold a minority shareholding in the company EGN to two major national investment funds. This transaction was designed to diversify the Group’s sources of funding, by bringing institutional investors in, and resulted in around €20 million being added to the corporate coffers. The Group held the same course in 2014, creating a single production hub for the marketing and sale of its AEEG 155/2008–compliant meters and correctors. This pole arises from the joint venture between CPL CONCORDIA, Coop Bilanciai di Campogalliano and Sacofgas 1927 S.p.a.. The consolidated group data clearly has to be examined much more carefully, therefore, than the facts and figures concerning solely the Cooperative, which will – nevertheless - always be the benchmark for the whole Group.

To this effect, it should be noted that the decrease in GOM reported by the parent company with respect to previous years has therefore been recovered in the consolidation, and stands at 10.29%. As regards the parent company, significant income consisting of earnings from shareholdings (largely made up of dividends received during the year, from subsidiaries’ and

affiliates’ operations) was reported for 2013, amounting to €6.2 million. The Executive Committee, working on the basis of interim data and within a sluggish macroeconomic climate, embarked some months back on an internal reorganisation process intended to underpin the future of CPL. As in 2005, this process involved a team of top managers and figures with strategic capabilities and roles for the development of our cooperative. This reorganisation process, coordinated by external consultants, will centre on four fundamental issues: organisational framework, internationalisation processes, efficiency improvement processes, and business intelligence. The restructuring of the organisation is unquestionably the area where we have to tread most carefully, as it concerns the decision-making procedures and the various bodies, starting with the executive committee (member and proxies) and going onto to the organisation and management of the sales and production facilities, and ending with the creation of staff frameworks. No less important is the standardisation of internationalisation processes. It’s time to find an effective, clearly defined, shared method for penetrating foreign markets, especially in relation to the specific nature of our business model, which focuses much more heavily on providing services than on supplying products. While there are various best practices applicable to product supply, there are no standardised practices concerning exporting services into areas that are very different from our own. Another equally important issue is improving efficiency. At times when demand falls, we have to respond by reducing costs, doing so by optimising the use of the material, financial, and above all human resources at the Cooperative’s disposal. In practical terms, this will be another crucial step for the success of the entire process. Finally, we need to work on business intelligence, which involves more than just identifying performance indicators, and should be seen as an incubator of ideas, projects and talents on which to base the CPL of the future.

Over eight years have passed since the last reorganisation, during which time our turnover and staff have almost doubled and the economic situation has changed entirely. The Cooperative Movement is losing important pieces of its heritage (with the structural crisis of a few giants such as CESI and UNIECO) and other large cooperatives are suffering too, as are our competitors.

We have to transform this time of stagnation in ideas and market into opportunities. I believe whole-heartedly in this restructuring process. I believe in it because I believe that for the machine to work, it has to be kept well oiled and in sync with the times. I believe in it most of all though because I see and hear young people with innovative ideas and proposals. This process cannot be separated from them, these young people with their ideas and their vision of the CPL to come. Restructuring today to reinvent tomorrow - it’s the only way we can rise to the challenges thrown down by today’s difficult market.

CNews n. 46 September, twenty fourteen

In this issue

BUSINESS AREA

BUSINESS NEWS

06

CPL makes its entry in Thailand

28

09

Appeal grows for Urbino thanks to CPL Energy Service

CPL Group issues impressive financial statements

30

The words of the guests at the meeting

12

Ozieri landfill site generates clean power

32

CPL obtains ISO 50001-certification

14

Italian engineering in Tunisian wells

16

From the States to Italy for specialised maintenance training

18

Pesaro and Urbino - Best Practice award at the Forum PA

19

Global Service: over 300,000 activities

20

A “synergistic” service station in Este

23

AEMME Linea Distribuzione latest to adopt eSAC

CSR 33

COOPERATIVE WORLD 34

MARKETING 24

A full range of products for gas metering

25

Meter Italia makes its debut at Milan’s Forum CIG

26

“Everyday stories”

Training institute set up to mould future gas engineers

5

Real support for Friuli cooperatives

CPL makes its entry in Thailand

CPL Energy Thailand joins the Southeast Asia market with the construction of a tri-generation (CHP plus cooling) plant to serve the Honda car production site in Ayutthaya

The CPL Energy Thailand stand at Renewable Energy Asia 2014 at the BITEC in Bangkok. (below and on next page) The Honda Automobile plant in Ayutthaya, with details of the CHP plant featuring a GE Jenbacher module.

Stefano Strazzi (aged 36) - sstrazzi@cpl.it Chief engineer, foreign department

Marco Mantovani (aged 43) - mmantovani@cpl.it Business developer manager, Asia/Pacific

A

lready in late 2012, CPL CONCORDIA had decided to probe the Southeast Asian market, exploring not only the opportunities for buying but also for investing and procuring contracts. Initial investigations were made, covering Thailand, Malaysia, and Singapore, by shadowing our current buying partners. At the end of this scouting phase, we chose Thailand as the country in the region most open to importing technology, and without any substantial energy resources to support the country’s considerable consumption, making it able to appreciate the concept of efficiency offered by CPL. During the first mission to examine the business opportunities available, we earned ourselves the opportunity to get involved in a specific project.

Thanks to a local trading partner, we formulated an initial technical/economical offer in July 2013 and - following private negotiations - secured the order confirmation in October 2013.

The subcontract – worth €1.4 million - concerns the design and construction of a trigeneration plant (CHP plus cooling) to serve the Honda Automobile plant. The plant is under construction at the Honda production works in Ayutthaya, which is both Thailand’s historical capital and the location of a major industrial hub bringing together mainly foreign firms (Japanese and European) which have invested capital in the country.

The contract consists partly of the engineering work and partly the supply and installation of materials. CPL has designed various aspects of the tri-generation plant, including the electrohydraulic connections, the logistical positioning, the supply of a range of devices, and the final system testing. The client had already purchased the cogeneration unit (featuring a 3,349 MW General Electric engine) and the cooling units; CPL has

purchased cooling towers, pumps, electrical panels, ventilation systems, connections and piping for the cooling section, etc.

Unlike CPL’s usual approach – i.e. supplying ”turnkey” systems this kind of experience has proved useful for us in order to carry out a detailed analysis of the local market (in terms of materials, labour, logistics, price policies, etc.) and to establish a reference.

With the ink still wet on the Honda plant subcontract, we set about opening CPL Energy Thailand with an Thai operating partner called KNH. KNH, which is based in Bangkok, has been in business since the sixties, and has considerable experience in the sales and maintenance of engines and units for CHP. As dealer in Thailand for Jinan engines (produced by major group China Petroleum), KNH appreciated how CPL CONCORDIA could help it to expand the scope of its activities from than the sale and maintenance of engines to systems and plants.

KNH has provided the logistics and accounting facilities, as well as the sales and the maintenance personnel. This means the company (CPL Energy Thailand) was established unburdened by costs, as it is only actually operational when orders come in and then the proceeds are divided between the shareholder providing the logistics (KNH) and the shareholder providing the engineering and operational governance (CPL). The Honda contract also means

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CNews n. 46 - September, twenty fourteen

that the company is already fully capitalised. The engineering work began in November 2013 and deliveries on site in March 2014. At the beginning of June, we sent a team of three engineers from CPL (Messrs Bianchi and Annichiarico for the mechanical part, and Mr Spelta for the electrical part) to provide details and carry out working surveys in order to go on with the work.

Conceptwise, the system is similar to those built by CPL CONCORDIA for the Telecom Italia headquarters. i.e. a CHP unit with an absorption chiller. However, the engineering also features a more complex aspect, namely the water-cooled electrical units which the client wanted to work alongside the absorption unit.

It also required the absorption refrigeration unit to be enhanced using two other machines, including an absorber which makes direct use of the engine exhaust gas.

With this set-up, the efficiency obtained corresponds to 110 litres of cold water for every 100 litres of hot water, thanks to a hot/cold conversion factor (Coefficient of Performance) of 1.1.

The electricity produced will be used to run machinery, presses,

robots, and automation systems. The plant under construction is located in the new CHPC station, in a purpose-built reinforced concrete enclosure integrated in the new production plant. It also provides energy, in particular, to the painting and paintwork drying department.

The pant produces a range of different Honda brand models.

Following this ‘sudden and unexpected’ entry into the Thai market with such an important contract, in June this year we committed further resources to publicising the new company. So, from 4th 7th June, CPL Energy Thailand exhibited at the Renewable Energy Asia 2014 fair at the BITEC in Bangkok, with the involvement of two partners Sun-Earth (supplier of photovoltaic modules) and LG (manufacturers of the Tyfon absorption units). We also found out that there is a market for the combined natural gas CHPC plants and that biogas might offer further opportunities thanks to government incentives. Attendance by major international players from China and Japan has confirmed the idea that there are attractive prospects in this industry for Thailand.

Appeal grows for Urbino thanks to CPL Energy Service Urbino University and ERSU have achieved their goal of owning new, efficient heating stations that comply with the CONSIP SIE 2 standards.

CPL CONCORDIA has refurbished the facilities at its own expense, to improve energy efficiency by introducing plants and technologies to reduce fuel consumption and emissions.

Andrea Manni (aged 41) - amanni@cpl.it Construction Project Manager, Fano Umbria Area

Alessandro Conti (aged 44) - aconti@cpl.it Management Project Manager, Fano Umbria Area

I

n the months spanning late 2011 and early 2012, CPL CONCORDIA was awarded two major contracts, whose importance stems from both their financial nature and their prestige. Both Urbino University and ERSU (the regional organisation which promotes the right to higher education) have subscribed to the CONSIP SIE 2 (Service for Integrated Energy 2) Convention. Both are also located in the city centre’s old town, which is considered one of the most important sites of the Italian Renaissance, has been declared a UNESCO World Heritage Site and is regulated by the Monuments and Fine Arts Office. The Energy Service that CPL provides to these two renowned customers can be summed up as the fully integrated management of the heating system, in order to ensure optimal comfort within the buildings.

In terms of the size of the area covered and density of the student population, as well as the technological complexity of the work involved, makes the ”Il Colle” hall of residence unarguably the most significant project, as this building alone houses 150 single bedrooms. In addition to Il Colle, the same ERSU-managed complex includes other halls known as ”Vela”, ”Tridente”, ”Aquilone” and ”Serpentine”, making a total of 1132

rooms. Apart from the bedrooms, the complex also offers study rooms, conference rooms, and canteens and other forms of catering facilities. Even before starting the Energy Service proper, CPL took on, at its own expense, all the energy efficiency upgrade and regulatory compliance works for almost all the facilities managed (10 ERSU plants and 36 University plants). The main works included the conversion of diesel-powered plants to natural gas, the remote monitoring of all the plants, installation of piping insulation, the replacement of outdated generators and the installation of a new CHP plant.

Work carried out included the conversion ofdiesel-powered plants to natural gas, installation of piping insulation, replacement of outdated generators, and the remote monitoring of all the plants.

The old heat generators which had a total capacity of 7 MW (including two steam boilers) have been replaced with three new reverse-flame boilers, each with a capacity of 1650 kW (95% performance), plus three low NOx- and CO-emission of modulating burners, featuring inverters and internal combustion control, a Jenbacher CHP unit (637 kWe output, 1620 kWt input), a soundproof, free-standing enclosure equipped with soundproof casing and forced ventilation, as well as a Sailer technical water storage system with a total capacity of 12,500 litres of domestic hot water. The Sailer technique is based on the storage of heat and the production of domestic hot water through instant heat

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CNews n. 46 - September, twenty fourteen

FIBRE OPTICS FOR REMOTE MONITORING Over 2.5 km of fibre optic cable laid, linking up heating station and substations for remote control. Fibre optic links mean all the facilities’ functions can be monitored and controlled online from a remote work station.

exchangers. The domestic hot water is produced on demand only, exploiting the energy stored in the heating accumulator and thereby preventing the need to store it in the boiler. This means it does not have to be heated up to the high temperatures usually required in order to rid the water of bacteria. This has two advantages: the first is the quality of the hot water and the second concerns energy use.

Fibre optic cabling (over 2.5 km long) has also been laid for remote monitoring purposes, which links up the heating station and the substations.

Fibre optic links mean all the facilities’ functions can be monitored and controlled online from a remote work station. Based on assumed operation of 3,000 hours/year, the CHP plant will ensure production of 1,800,000 kWh, with a saving of 400 tonnes of oil equivalent (TOE) per year. Replacing the generators alone will lead to a saving of 129 TOE/year. For the duration of the CONSIP contract, CPL will be benefiting by selling the electricity produced, but at the end of the contract the customers will benefit in the form of discounts on their electricity bills.

On Thursday 15th May, at the Il Colle halls of residence, the new heating station was opened with a ceremony attended by director of Urbino ERSU Massimo Fortini, ERSU energy manager Gabriele Giglioni and head of the Fano area for CPL CONCORDIA Luca Marchegiani.

Another very important customer is definitely the Science Campus formerly known as Sogesta, which is owned by the University of Urbino. The campus houses both a teaching area, complete with teaching rooms, workshops and educational environments (with dedicated heating station), and a residential area, consisting of

116 rooms and a dedicated heating station. Significant regulatory compliance and energy upgrading work has been carried out in both stations. And the outcome? Urbino University and ERSU now have new efficient, regulatory-compliant, and remote monitored heating stations without spending anything, and they have even reduced their historical expenditure for heating. An excellent example of forward-thinking on a technical and political level and an equally great example of public/private partnerships.

(opposite page) The opening of the new heating station at the Il Colle halls of residence, with a ceremony attended (from right) by director of Urbino ERSU Massimo Fortini, ERSU energy manager Gabriele Giglioni and head of the Fano area for CPL Luca Marchegiani.

The entrance to the former Sogesta Science Campus, at the University of Urbino, which includes both teaching rooms and student accommodation.

A panoramic view of the Il Colle halls of residence, which houses over 150 single bedrooms within a single accommodation facility.

11

Ozieri landfill site generates clean power Biogas-fuelled CHP plant started up which use gas produced by the “Coldianu� landfill site in Sassari, run by Chilivani Ambiente S.p.A.. Major returns from electricity production (2.8 million kWh per year) and reduction of CO2 emissions.

(opposite page) Overview of the new CHP plant designed for the Sardinian company Chilivani Ambiente S.p.A..

The landfill site for non-hazardous household waste located in Coldianu, Ozieri.

A detail of the plant, complete with flue gas treatment system for the reduction of pollutant emissions.

Fausto Riccò (aged 43) fricco@cpl.it Sardinia Area Manager

O

n 11th July 2014, CPL CONCORDIA completed the construction and commissioning of the landfillgas-fuelled electricity production plant commissioned by the Sardinian company Chilivani Ambiente S.p.A..

The contract, which was signed in July 2013, concerned energy recovery from the biogas generated by the landfill for non-hazardous household waste located in Coldianu, Ozieri (Sassari).

The site is owned by the Consortium for the Industrial Development Zone of Chilivani-Ozieri and managed by the company Chilivani Ambiente S.p.A, whose registered office is located in the Chilivani-Ozieri industrial district, at the Ozieri Council Service Centre.

The energy will be recovered from the biogas (50-55% natural gas) by a 330 kWe CHP unit, which CPL CONCORDIA has supplied, installed, and commissioned.

The site is located about 3 km south-west of the village of Ozieri, a short distance from the trunk road S.S. 128 Bis, on the stretch connecting Ozieri with the towns in south-central Logudoro.

The landfill is situated on the northern slope of Mount Coldianu, between the quarry road and the mountain’s summit plateau, spreading over its sides.

The site is completely fenced in and covers an area of over 100,000 m2. It consists of two modules, one of which is in the post-filling stage and has a net volume, excluding the final covering, of approximately 256,000 m3 and 10 extraction wells drilled, and the second with a net volume of about 426,160 m3 and 16 wells.

The plant, complete with a flue gas treatment system for the reduction of pollutant emissions, a storage system for the lubricating oil, and a biogas cooling system, will operate

continuously 24/7, all year round, except for the planned stoppage time required for routine maintenance (oil changes, oil and air filter replacement, etc.) and any unplanned downtime caused by special maintenance and cut-outs due to problems with the ENEL grid.

It is estimated that the plant will be in use for about 8500 hours/ year, with an energy production of approximately 2,800,000 kWh per year, and an estimated useful life of 20 years. It will also be eligible for the incentives envisaged by the Italian Ministerial Decree dated 6th July 2012 since it is powered by a renewable energy source, i.e. biogas. The environmental benefit should also not be overlooked, as every cubic meter of natural harnessed and used for cogeneration is equivalent to 21 cubic feet of CO2 not emitted into the atmosphere.

As well as starting up the plant, CPL will be providing 30 days’ training for the staff at the company running the landfill, followed by a two-year service arrangement and warranty.

As one of the systems that survived the Emilia earthquakes in 2012, the CHP plant now ”living” (technically speaking) in Chilivani also embodies a significant symbolic rebirth.

And now, after experiencing the massive tremors that rocked Modena’s Bassa area, hitting the CPL premises, the plant has roared into life, at the peak of its powers and performance.

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CNews n. 46 - September, twenty fourteen

Italian engineering in Tunisian wells

Hi-tech CPL supplies keep on coming at the El Borma desert oil field. After the water bath heater, the natural gas division has built double-device skids featuring a three phase separator and a scrubber for treating fluids and gas extracted from the deposits owned by Italian-Tunisian company SITEP.

Diego Ganzerla (aged 32) - dganzerla@cpl.it Project Engineer, Natural Gas Division

A

t the beginning of 2013, we built a heating and gas pressure reduction system for natural gas installed directly onto the wellhead, for SITEP, a Tunisian-Italian company owned fifty-fifty by the Tunisian government and by Italian utilities company ENI. The client, SITEP, was established half a century ago for prospecting and mining hydrocarbons in the south-west of the North African country, under the El Borma concession. At the beginning of 2014, a tender was called for the supply of equipment to replace the equipment (downstream of the heating system) leased for the well start-up phase. The contract, concerning equipment for separating water and oil from the gas extracted and worth approximately €660,000, was won

by CPL. The plant supplied consists of two skids. The separator (a threephase model) is designed to separate the fluid extracted from the well into its three basic elements, i.e. water, oil, gas, measuring the amounts of the individual elements and showing these readings on the control panel.

The second system (the scrubber) was installed immediately downstream of the first separation device, provides a finer separation of the gas phase from the possible aerosol oil mist and controls the output pressure of the gas which will be injected directly into Tunisia’s national gas grid.

Every day, the plant can separate 15,000 litres of water, 20,000 litres of oil, and 500,000 standard m3 of natural gas at a pressure of 80 bar. During the tender, the client had proposed preliminary engineering produced by a Tunisian company, which was then implemented by CPL CONCORDIA. The engineering of the two

separation systems was created entirely by the design engineers in the engineering department of the natural gas division, who examined the process in detail, drew up data sheets for every single device, and scoured for the most suitable equipment for the job and the harsh environment in which it was due to be installed (desert).

CPL had never designed and built filtration systems of this kind before, but all the stages of the contract ran smoothly, without drawbacks, from the design to the construction of the main pressure vessels in the Italian province of Bergamo, through to final assembly, which took place in the province of Venice, on time, to the client’s satisfaction, and in confirmation of our capacity for development and innovation.

In addition to myself, as project manager and process designer, colleagues who worked on the contract included Mr Ripoli (instrument designer), Mr Faraldi (electrical designer), Mr Zapparoli (mechanical designer) and Mr Mambrini (project manager). TIPOWER, CPL Group’s Tunisian member company, liaised with the client, working alongside us on the tender submission and providing the logistical support during the trip to Tunis for the initial kick-off meeting, at which we met the SITEP engineers to define the technical aspects and propose improvements to the preliminary design. Member of the sales team, Raouf Zaroui accompanied the client’s engineer on his trip to Italy for the final testing of the equipment and the signing of the construction approval certificate, followed by the importation of the skids into Tunisia.

Some interesting facts: the first trials on growing melons and tomatoes in greenhouses were begun in 1989 using lightly salted water extracted from deep underground. Next, due to product transportation problems, the trials were switched to date palms, which are currently gown in 50 hectares of farmland.

A FINE CRUDE El Borma (which translates as ”the big pot”) is the largest oil field ever discovered in Tunisia; prospecting activities started in 1961 and production began in 1966, with a top quality crude oil, marketed under the name ”Zarzaitine Blend”.

15

From the States to Italy for specialised maintenance training The CHP maintenance division has organised a training course for certain CHP plant maintenance engineers from foreign CPL Group companies. Let’s hear what American engineer Craig Josloff had to say about it.

A moment during a technical training course onsite at the CHP plant on the SABAR landfill site in Novellara, Reggio Emilia: (from left) CPL engineer Davide Calciolari with American colleague Craig Josloff.

The engineers check the plant operating parameters from the control room at CPL Concordia (MO), which allows us to remote monitor customers’ facilities.

Francesco Manicardi (aged 44) fmanicardi @cpl.it Head of Press Office

I

t could be said that training for maintenance engineers at CHP is without frontiers. The biogas maintenance and CHP after-sales division at CPL has organised a training course for maintenance engineers working in CPL companies abroad. The course was part theory-based and part practical, with on-site visits to the plants handled by the cooperative, with the help of CPL engineers, with special focus on the GE Jenbacher engines. We asked American colleague Craig Josloff for his thoughts on the training experience in Italy. As maintenance engineer currently employed at CPL Distributed Generation Group, Craig works for the company that operates in the United States through the brand New York Generator. very advanced and was a lot to comprehend in a short period of time.

How was the impact with Europeans in everyday communication and at work? Did technical terminology help you interact with colleagues?

There were some Jenbacher engineers and technician who spoke both English and Italian and this helped greatly. I was always with a CPL employee who spoke both English and Italian.

Could you describe the experience you’ve gained thanks to this traineeship, both at a personal and at a professional level? Is there anything you would like to say to your ”tutors” and to your colleagues of the Cogeneration Department?

On a personal level I felt that everyone was very friendly, helpful and went out of their way to help me understand the Jenbacher engines and cogeneration plant that CPL operates. On a professional level, I understand the basic foundation of Jenbacher engines and the electronic controls that are used on the engines. I would like to thank my tutors and colleagues of the cogeneration department for a wonderful, friendly and informative experience.

I look forward to returning for more training in the future.

Hi Craig, could you tell us a bit about yourself?

My name is Craig Josloff. I am 52 years old. I have a Bachelor of Science degree in Industrial studies from Montclair State University and a degree from Engine City Technical Institute. I have been working on emergency power and cogeneration for 25 years. I am now a senior field service technician for New York generator.

Why did you accept to do this traineeship on cogeneration organised by CPL? At this time there are very few Jenbacher cogeneration plants in the New York area. In order to get the technical training and skills I would need to work on them, I went to learn from CPL in Italy who are experts in cogeneration.

How did the training take place? Where have you been? Of all the activities carried out, what was easy to do and what was difficult?

There was a three day training class which was taught by a Jenbacher instructor and consisted of classroom and onsight training followed by two days of training by CPL engineers and technicians at different CPL cogeneration sites.

The engines were easy to work on. The Jenbacher electronics are

17

CNews n. 46 - September, twenty fourteen

Pesaro and Urbino Best Practice award at the Forum PA Through its global service package, the public administration of the Marche province was held up a national example of good practice in the management of publicly-owned properties (owner of 51 buildings spread over 9 towns and cities), with particularly reference to educational buildings.

Alessandro Conti (aged 44) - aconti@cpl.it Project Manager, Fano Umbria Area

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s part of the eighth ”National forum on urban real property owned by local government” (held on the last day of the FORUM PA 2014 conference, at Palazzo dei Congressi in Rome, on 29th May this year), the ”Best Practice Award for Public Property” was presented. The award was intended to celebrate the most innovative experiences promoted and developed in partnerships between public authorities and private-sector companies concerning the management and enhancement of urban and rural property owned by the provincial government.

Winner of the ”Urban Heritage Management” section was the Pesaro and Urbino Provincial Council, for its 51 buildings spread over 9 towns and cities, with a special mention for the comprehensive management project covering all the educational buildings assigned to CPL CONCORDIA (along with partner firm Gambini S.r.l.) from 2002 to 2016. The provincial council was recognised for its decision to adopt a global service approach to its school building maintenance activities. This method, which envisages standardised management of all the work (see ‘focus’ section), makes it easier to coordinate the activities and, above all, relations with customers, who can contact a single company for all their needs and are guaranteed an appropriate response. This management approach geared towards user satisfaction (rather than simply carrying out works) is what the assessment committee wanted to acknowledge and bring to the attention of the other authorities. The Marche Provincial Council is

responsible for monitoring and guidance, while specialist companies are entrusted with the task of organising resources and response times. Whether carrying out building maintenance, reporting on the maintenance needs situation, or providing quotes for problemsolving work, the works management team always has the situation under control in terms of both maintenance requirements and the necessary expenditure to remedy critical issues. The properties managed are kept in excellent condition through an extensive plan of scheduled and predictive maintenance which concerns all the systems in the buildings. All maintenance jobs already carried out are noted down in the building register, with what will need to be done in the future already known. Each maintenance job is recorded in the register in both paper and digital format, thereby ensuring accurate and readily available information on the maintenance status. Each school has direct access to the management information system and can use this tool to find out the status of their service requests (whether they have been accepted or rejected), and likewise the status of work carried out. Pleasure at receiving the award was expressed by Claudio Uguccioni, Director of Works for the Pesaro and Urbino Provincial Council, along with Luca Marchegiani and Andrea Ambrogi, FanoUmbria area manager and CPL CONCORDIA sales director.

FOCUS ON

Global Service: over 300,000 activities With an old contract running from 2002 until 2011 and then a new five-year contract running from 2011 to 2016, CPL CONCORDIA has been handling and continues to handle the maintenance for all the properties owned by Pesaro/Urbino Provincial Council, working alongside Gambini s.r.l.. The contract envisages the provision of services and works, although mainly services, and covers 51 school and council buildings. The service most often required involves routine and special maintenance for both the buildings and all equipment housed within them, with system functionality and safety the ultimate goal. The most important service is undoubtedly the technical management service, which involves the preparation of safety plans, the organisation of all the activities, the structural monitoring of buildings, as well as asbestos risk assessments and master data updating.

The other three services consist of heating management, building management,

and the management of special systems (telephones, CCTV, lifts, fire suppression, etc.) which ensure the client around 25,000 cyclical maintenance activities per year.

Given that CPL has been managing the same properties since 2002, the activities it has carried out to date amount to approximately 300,000. The main advantages obtained by the local authority from the global service method can be broken down as follows: 1. Precise knowledge of the properties’ condition, which, combined with the cyclical nature of the scheduled maintenance, guarantees highly efficient plant/system engineering; 2. Reduction of staff costs relating to the management of the properties, brought about through a single management system with a single call centre; 3. Reduction of red-tape costs linked to problem-solving. Before the introduction of the Global Service method, the provincial council published around 60 calls a year to

solve all the problems that arose, which obviously involved expenditure in terms of money, staff, and resources, without the council being able to set up a program of activities. By outsourcing the service and establishing a partnership with a privatesector company, the most significant result the council has achieved is, unarguably, innovation, i.e.:. process innovation (master data completely updated, remote monitoring of all heating stations and drop in the number of non-standard jobs); energy innovation (introduction of natural gas usage among all customers, energy selfsufficiency at the council’s administrative headquarters, with a 20 kWp photovoltaic system, and thermal insulation cladding on 18 roofs); technological innovation (removal of asbestos from all the schools, seismic compliancy measures on three properties, 15 fire prevention certificates obtained, district heating system for two school complexes, serving about 5,000 pupils). .

CNews n. 46 - September, twenty fourteen

A “synergistic” service station in Este

CPL FUEL is currently working on the construction of multi-fuel garage in the Padua area, with LNG fuel a possible option. The complex - whose services will be managed by two local services cooperatives - will also offer drivers and passengers food and rest facilities.

Petrol Petrol Diesel

LPG

Natural Gas Electricity 1,500,000

LNG vehicles in Europe in 2013

Carwash

Restaurant

13%

market share attributable to passenger transportation with LNG by 2050

33%

market share attributable to goods transportation with LNG by 2050

Cafe

General store

10,000 m surface area of

2

CPL FUEL

400m

2

surface area of shop, café, ect.

(on the next page) The multi-fuel g opened last August in Este: the chosen location offers great prospects, due to the traffic flow expected over the coming years..

Gabriele Battisti (aged 37) - gbattisti@cpl.it Production Services Manager

To complement and support the garage area, the project also envisaged the construction of a 400 m2 rest and refreshment complex, including café and retail spaces and a 40-seater restaurant, as well as a car wash area complete with related services.

Last of all, the project was further enhanced by the decision to guarantee a natural gas fuel supply through the construction of an LNG system, which was brought about by the excessive cost of connecting up to the supply grid and the current drive in Italy towards developing products of this kind. The LNG project, which is pending the relative authorisation, includes the possibility of supplying both natural gas (with a LNG regasification) and LNG directly for the new-generation engines featured on HGVs weighing over 7.5 tonnes (the standard goods vehicles). The development of an LNG grid is a priority for the European Union, which has set a target of reducing greenhouse gas emissions in the industry by 60% (in relation to 1990 levels) by 2050.

At present (2013 data) the number of LNG vehicles in circulation in Europe has grown from 500,000 in 2003 to 1.5 million in 2013, but the market share is still low, at around 0.5%. It is estimated that this figure will rise to 13% for passenger transport and 33% for goods transport by 2050.

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aintaining a single theme that links all activities and ideas but allows diversification is standard business procedure. It was in pursuit of this line of strategy that CPL CONCORDIA, in early 2013, embarked on a new project through its member company Immobiliare della Concordia S.r.l.. The construction and management of the vehicle service station was achieved by establishing CPL FUEL S.r.l. together with FEN Energia, an industrial group owned by the Gheza family, which has been involved for years in devising innovative services in both integrated services (facility management, building management) and in energy management. The first stage of the project was the construction of a fuel garage on the trunk road S.R. 10 (precise location: km 369 + 680 bypass) in the town of Este, Padua, in the direction of Este-Monselice on the new road running between Monselice and the coast. The 10,000 m2 service area provides all kinds of fuel, ranging from conventional fuels (petrol and diesel) to gas (LPG and natural gas), as well as the possible installation of a charging post for electric cars.

At present, the factors determining the success of a service station include: • Availability of other services in addition to fuel, in order to increase customer loyalty. Fuel, then, becomes incidental to the carwash, the food service facilities, and the retail facilities (general shop or otherwise).

• Marketing of the network using a logo and no national brands.

• Station management must be assigned to entities with sound financial capacity and high business acumen.

• Stations located on high-traffic stretches of road which are nevertheless close to built-up areas, to ensure success with the carwash facilities and food service areas.

The Este service station will meet all the criteria outlined above, representing the ideal model for new service stations.

The development of an LNG grid is a priority for the European Union, which has set a target of reducing greenhouse gas emissions in the industry by 60% by 2050.

The service station will offer a latest-generation natural gas fuelling system with faster service and equipment that allows both attendant-assisted and self-service fuelling, as required by the latest regulations in Italy.

The desire to pursue a business project that takes into account the local area and its characteristics and traditions led the two partners to choose Coop 80 Soc. Coop to run the entire complex.

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CNews n. 46 - September, twenty fourteen

A cooperative consisting of 40 employees, approximately 25 of whom are members, Coop 80 had previously concentrated on landscape maintenance and sports facilities management and taking on CPL FUEL meant taking on significant investments in order to ensure the project high-potential facilities. There will be another cooperative working alongside Coop 80, namely Coop La Ragnatela, which is dedicated to value and quality in

the carefully prepared antithesis to fast food known here in Italy as ‘slow food’.

The station has been up and running since the end of August 2014 for the fuelling side, while the rest and refreshment areas will be operational from October. CPL FUEL provides a significant example of synergy between business concerns that differ in terms of industry, size and tradition who have found the right partner and project opportunities to pool their skills and resources, thereby exponentially increasing their offerings.

AEMME Linea Distribuzione latest to adopt eSAC Automated reports, interoperability, and ease of use are just some of the features that have led the service companies in AMGA Legnano S.p.A. Group to choose CPL’s central acquisition software for automatic meter reading for gas metering units.

developed by CPL (now Meter Italia), providing customers with the additional assurance that the product is always aligned with their needs. eSAC is a Meter Data Management (MDM) system used to manage devices in the field as specified by UNI TS 11291.

Among other features, eSAC allows users to massively reprogram metering units monitored by AMR systems, update firmware, managing shut-offs, customise AMR parameters (in terms of both type and frequency of information required), set alarms to signal outliers or missing values, reconstruct consumption curves based on historical consumption profiles or profiles prepared by authorities, manage the paperwork required by Italian Ministerial Decree n. 75/2012, interface with household meters (classes G4 and G6) to close solenoid valves, and more. There will also be an online reporting function allowing users to mine the data provided by the AMR systems, as well as any system operation alarms or information, and attach it to automated emails addressed to the various staff members concerned with such matters. The future of eSAC is oriented towards research and innovation. CPL will use its own software for experimental projects, defined by the AEEGSI, to develop new multi-service AMR systems, demonstrating just how important it is - not least from an international perspective – to secure a leading position in technology for smart metering.

Andrea Mantovani (aged 45) - amantovani@cpl.it Sales Manager, ICT Department

C

PL CONCORDIA has passed the supplier selection procedure implemented by AEMME Linea Distribuzione S.r.l. for its purchase of a CAS (Central Acquisition Software) package, which will be used for automatically reading natural gas meters.

The AMGA Legnano S.p.A. Group service company had specified the following requirements: AMR of commercially available electronic devices, compatibility with existing distribution management software, ease of use, guaranteed regulatory compliance measures if required in future, installation on their server (already appropriately sized to accommodate the new software) and, of no less importance, appropriately priced. For CPL, this project offers recognition for the group’s work over the years. eSAC is designed to manage intensive AMR for natural gas meters, as proposed by AEEGSI resolution n. 155/08 (subsequently replaced by AEEGSI resolution n. 631/13), and, since its design particular attention has been focused on data organisation, the provision of features to manage different types of equipment, drivers, the need to automatically read a large number of devices, concentrators, GSM and 169MHz bands, and CTR and DLMS/COSEM protocols. All these aspects have been devised with innovative new concepts compared to the conventional AMR software used for monitoring a wide range of different measurements but with few devices required onsite. Over time, therefore, eSAC has grown, both to adapt to regulatory and technical developments, and to respond to clients’ needs. This means we can now automatically read a large part of the devices installed in Italy, including, obviously, those

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CNews n. 46 - September, twenty fourteen

A full range of products for gas metering From the G4 conventional mechanical meter through to smart meters with prepayment options, the product portfolio that Meter Italia offers the national and international gas markets is extensive, and the company has already received orders for over 100,000 units.

Tiziano Zocchi (aged 52) - tzocchi@cpl.it Managing Director, Meter Italia S.p.A.

A

portfolio of classic and innovative products, ranging from the G4 conventional mechanical meter through to smart meters featuring prepayment options, this is the dowry brought by new company Meter Italia (formed from the merger of Sacofgas 1927 Coop Bilanciai and CPL CONCORDIA Soc. Coop.) to the international gas metering market.

The range of conventional industrial diaphragm meters, i.e. those which show the volumes through the classic mechanical totaliser, which comes from Sacofgas, has long been known and appreciated by customers in Italy and abroad and goes up to the G100 - a huge 135 kg model which is a true heavyweight among meters.

By adding an electronic device that performs totalising functions, displays net volumes and automatically transmits metering data, the same meters become what are known as MID approved (European Measuring Instruments Directive) ‘smart meters’.

Meter Italia has installed tens of thousands of these meters on their customers’ premises in order to meet the requirements of AEEGSI Resolution n. 631/13 (which replaced the older and better known Resolution n. 155/08).

In much the same way, the range of household meters consists of two large families, i.e. the conventional mechanical family, with the M4 meter built by Sacofgas 1927 (of which there are over a million units in stock at the plant in Città di Castello (PG) and

which are still in great demand) and then the electronic family, equipped with an electronic totaliser, integrated management valve, and modular data transmission system. The latter includes two products, namely the EF4, featuring Sacofgas 1927 parallel chambers technology (produced in Città di Castello) and the EG4, built in Campogalliano (Modena) using a highly automated robotic production line and featuring advanced rotating valve technology.

Both products are based on electronics designed and manufactured entirely in Italy by Meter Italia engineers, which include advanced techniques for energy-saving (the devices are powered solely by non-rechargeable batteries), diagnostics, and fraud and tampering protection. One unique feature on the market is the modular nature of the data communication system; The meters can be provided with a communication card (GPRS, or 169 MHz or 868 MHz radio link) or, at the customer’s discretion, without any card, leaving freedom of choice for retrofitting. Also for this product family, Meter Italia has procured a number of major national and international contracts, surpassing the goal of 50,000 smart meters household.

In 2014, orders were received for over 100,000 electronic meters overall (household and industrial). Substantial investments have recently been approved by the Meter Italia board of directors for research and development of new products; and some exciting new products are due to emerge during 2015. Designed to complement the existing range, these new offerings are also intended to meet the needs of an increasingly demanding market, both nationally and internationally.

FOCUS ON

Meter Italia makes its debut at Milan’s Forum CIG Sara Cavazza (aged 29) scavazza@cpl.it Sales Management Assistant, Natural Gas

On 10th June 2014, Meter Italia made its public debut at the Forum UNI-CIG conference with an event titled ”The future that counts”. The new, Italian born and bred company designs, manufactures, and sells gas meters, ranging from conventional mechanical models to electronic smart meters.

The presentation, which was held in Milan at the Cariplo Foundation Conference Centre, included contributions by leading members of the three companies involved in the merger, namely Mario

Guarnieri, deputy chairman of CPL Concordia Soc. Coop., Lorenzo Petrogalli, chairman of Sacofgas 1927, and Boris Vadnjal Ferraresi, managing director of Meter Italia S.p.A., and former CEO of Sacofgas 1927. Chairman of Coop.

Bilanciai Roberto Vezzelli was unable to attend, but was kind enough to send the newly formed company a missive offering his best wishes. Tiziano Zocchi, Head of Sales for natural gas plants, services, and systems at CPL CONCORDIA, led the streamlined, dynamic presentation in a room set aside for the event, before an appreciative audience of gas distributors.

The speakers began by retracing the three companies’ history and outlining

Meter Italia, an introduction to our company Watch Meter Italia’s orporate video, which showcases its Italian-made gas metering products.

the drivers behind the merger and consequent creation of a new operator in the gas market. They then illustrated the new company’s administrative, operative, production, and sales frameworks, to provide an overview. Last but not least, the speakers profiled the latest generation of products available on the market. The final picture that emerged was of a young company with the energy and the desire to pursue a challenging project, and which is ready to tackle the new needs of the gas market. At the end of the presentation, welcome drinks and snacks were served, marking the end of the workday and offering an opportunity for everyone to toast the new project.

Summary of the presentation at the Forum CIG The Meter Italia management illustrate the new company to potential customers at the ”The future that counts” presentation.

25

CNews n. 46 - September, twenty fourteen

“Everyday stories” The new advertising campaign adopted by COOPGAS - the company which sells CPL Group’s services - focuses on people’s everyday life to offer a cost-attractive alternative for household gas, electricity, landline phone and Internet services.

Gabriele Greco (aged 43) - ggreco@cpl.it Communications Manager, CPL CONCORDIA

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ousehold electricity and gas customers are increasingly aware of and careful about the financial and service aspects of their power supplies and are likely to become even more so in the future. Faster communications and social networks help people build a more independent and realistic view of the services market. Gone are the days of one-way communication from the brand to the customer; nowadays, people read up. More and more of them want to be able to compare living costs and bills, to be able to analyse all their household overheads. The boom of travel and holidays such as Trivago or Tripadvisor are one obvious example. Before making a purchase, the under-fifties tend to build their opinions based on information found online in dedicated blogs or websites.

This means the way in which the services are conveyed is also changing, away from the traditional self-referential approach towards a more down-to-earth style. Not only have the communication standards and media changed (internet, social media), but the language has also evolved significantly. The promises made and values promoted need to correspond better to the customer’s needs, expectations, and real aspirations.

For the 2014/2015 campaign, COOPGAS decided to model its communications and actions according to these aspects, committing not only to giving customers clear information but also endeavouring to focus on people’s everyday lives and their daily power needs, be they in homes or workplaces. In the advertising campaign that has been running from July and will end in October 2014, Coopgas uses a storytelling technique to show customers how it is worth their while to check out their

options, that there is a cost-attractive alternative for household services, and that our company intends to enter the arena, to provide them with a high-quality service at appealing prices.

With facilities already operational in many towns in southern Italy, COOPGAS has just opened a new branch in Mirandola (in the province of Modena) to be closer to its customers and provide electricity, telephone and internet services, in addition to gas.

Another branch is also due to open shortly in Bologna in Piazza G. Galilei.

“Everyday stories”

View the advert at www.coopgas.it

Andrea Barbi, COOPGAS’ celebrity endorser

27

CNews n. 46 - September, twenty fourteen

CPL Group issues impressive financial statements Members’ meeting - held in the new facilities built following the earthquake - to approve the financial statements for the year 2013.

Value of production totalling €415 million (+ 1%) reported for the Group and net consolidated profit of €4.5 million. An impressive turnout from members and guests included Deputy Minister for Infrastructure Rita Villa (aged 43) rvilla@cpl.it Budget and Reporting Area Manager, Controlling Department

T

he annual members’ meeting to approve the financial statements held at the CPL headquarters in Concordia on 21st June, offered a welcoming occasion for a large number of the over 800 members (from all over Italy) to meet up. The event was housed in “Block L”, i.e. the name on the CPL premises plan labelling the new complex comprising warehouse, laboratory and workshop facilities, which was built after the earthquake and fitted out in record time, just ready for the meeting. Lighting and audio equipment were set up, forming the backdrop to an event eagerly awaited by those who appreciate the opportunities offered to exchange greetings, ideas, impressions, and thoughts on the future of our company. The meeting was opened at 9.45 a.m., by deputy chairman Mario Guarnieri, with a greeting to those present, including the numerous representatives of the

cooperative and banking world. The meeting began with the screening of a video commemorating a dearly missed colleague, the recently deceased former deputy chairman Severo Barotto. The film was followed by a long parting applause and the heartfelt emotions of those who had come to know and appreciate Severo’s deep bond with the company (to which he had devoted much of his own life), as well as his great professional and personal qualities.

Next on the list of events was the screening of the Financial Statements video, which presented the main figures from the 2013 business year.

The Group’s value of production has grown since 2012, rising to over the €415 million mark. The gross operating margin (GOM) experienced a downturn but still reached around €43 million and a rate of 10.3%. The number of employees had risen since 2012, confirming the cooperative’s mission of creating and providing jobs. Group profit amounted to €4.5 million, while a substantial balance was maintained among all the performance indicators

and financial ratios that demonstrate a healthy company. Prospects for the current year are positive and include a continually increasing Group value of production, but the approach remains prudent, with attention focussed on the macroeconomic environment and the ongoing recession. Afterwards, speeches from the Director of Administration and Information Services, Massimo Continati, and the Chief Financial Officer Pierluigi Capelli both emphasised the satisfaction felt for the results achieved during these harsh times. Chairman of the board of directors Roberto Casari presented the annual management report, highlighting the crisis in the building industry (which has even hit the cooperatives), without whose driving force prospects of sustainable development for the country are nonexistent. Mr Casari went on to outline the results of 2013, the acquisitions and the activities in which CPL was engaged last year.

Important news for 2014 so far includes the establishment of Meter Italia (which manufactures electronic meters and

The highlights of the 2014 members’ meeting

Watch the video highlights of the speeches during the meeting to approve the company’s final financial statements and the consolidated financial statements.

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CNews n. 46 - September, twenty fourteen

FOCUS ON

The words of the guests at the meeting The Hon. Riccardo Nencini

Raoul Arroyo

Deputy Minister for Infrastructure and Transport “As a successful Italian brand with a propensity for export, CPL is the proof that tradition and innovation can and must go hand in hand. I believe that the upcoming Italian Presidency of the European Semester and the review of the Stability and Growth Pact (which envisages that 3% of investments in infrastructure be excluded from the Pact parameters) can revitalise the role of businesses and the Italian system.“

Secretary of Energy for the Entre Rios Province (Argentina) “I spent time here with you in 2012, just a few days after the earthquake, and I am impressed to see how there are almost no signs of the event now within the company.

The partnership with CPL CONCORDIA - and more specifically with the Group company Redengas - has enabled us to draw up the first national agreement with the trade union for a vocational training centre focussing on gas grid business and safety.”

Luciano Vecchi

Emilia Romagna Regional Councillor for Production Activities “It is essential to maintain the commitment to reconstruction of which CPL provides such a good example today, not least with the facilities and workshops whose opening we are celebrating today. Also at regional level, a law needs to be introduced to free up investments by local authorities, in order to proceed with the European industrial development planning.”

The Hon. M. Carmela Lanzetta

Minister for Regional Affairs (From a letter sent to members’ meeting) “I’d like to start by thanking you for inviting me to take part in your meeting. Aware as I am that your Group is one of Italy’s - and the world’s business success stories, I would like to express my deep appreciation of the commitment and ability you have shown in tackling the dire economic circumstances suffered by the country

and the skill with which you have seized every opportunity for revival or to bring added value to our production system.

I hope that the example of those who are competent in fostering worthy initiatives, aimed primarily at encouraging energy saving, the use of renewable energy sources, and the involvement of human resources, will motivate others to adopt good practices nationwide.”

Debora Serracchiani

Chairman of the Friuli Venezia Giulia Regional Council (From a letter sent to the members’ meeting) “I appreciate your offering me the opportunity to enter into discussion with your members and those involved in this public event and to explore the current and future activities of an important business group such as yours. I hope there will be other such opportunities to meet up with you.”

correctors), membership of TEA Acque di Mantova water company, and the CHPC contract for Lamborghini. The chairman of CPL stressed how important the capacity for technological innovation would become in all industries, but also how attention needs to be placed on the financial resources used and on profit margins. He ended by emphasising the importance of employees and members as CPL’s main resource and expressing his hope that the members also feel that the cooperative is central to their lives. Next, contributions from

a handful of speakers from local and national authorities (see opposite) were followed by three short presentations.

Tiziano Zocchi showcased the latest offerings from Meter Italia, the company created in association with Sacofgas 1927 and Coop Bilanciai; Loredana Spotti and Paolo Barbieri discussed the development plans for Coopgas, the CPL Group company that handles the sale of gas, electricity, and telephone services.

In the meantime, voting is underway to replace part of the members of the cooperative’s board of directors. Finally,

31

the proposal to approve the financial statements was passed unanimously by the members present.

A backdrop for the day was provided by two Coopgas outdoor stands for the new campaign for the new electricity, gas and landline voice and internet services. Thanks for the event’s success is undoubtedly due to the 16 members of the team of volunteers who helped organise the 2014 members’ meeting, the election commission which ensured a smooth, fast voting process, and the Corporate Activities Group

CNews n. 46 - September, twenty fourteen

CPL obtains ISO 50001-certification Energy Management System implemented complements 11352 (ESCo) and 11339 (EGE) certification. New system enables energy performance monitoring at headquarters in Concordia (MO), optimising energy use and consumption.

Alessandro Tralli (aged 30) atralli@cpl.it Energy Management System Manager Giulio Caciolo (aged 28) gcaciolo@cpl.it Quality Department

O

n 1st August 2014, the Energy Management System implemented by CPL CONCORDIA was certified for UNI EN ISO 50001:2011 by independent authority GL DNV Business Assurance Italia.

This certification supplements others already held by CPL, consolidating and strengthening the company’s commitment to energy efficiency and environmental sustainability, while also placing the cooperative among the most qualified companies in these areas and increasing business competitiveness. 50001, 11352 and 11339 are the numbers that have been appearing for some time now in public tender specifications, as technical and professional requirements, and attention to such credentials is on the rise, with businesses and individuals looking for increasingly competent and skilled professionals.

For CPL, implementation of the Energy Management System offers practical confirmation of the decision to pursue a strategy of continuous improvement in terms of building and system energy performance, achieved by defining a specific set of indicators, using renewable energy sources, and by adopting procedures for the design, purchase, and use of energy-efficient systems. The operational start-up kicked off in January 2014, with the preparation of the first energy analysis, which detailed usage and consumption in terms of the electricity, natural gas, and diesel fuel used at the company headquarters in Concordia sulla Secchia (MO). Once it had been established what work was needed to improve the company’s energy performance, the projects were put to the management for examination, which then selected, approved and scheduled them for implementation.

To apply the policies, objectives, and activities established, the Energy Management Group was set up, which brings together a set of internal multidisciplinary CPL specialists and is responsible for the system’s maintenance and development.

The group – headed by the

management representative for the energy management system (chief operating officer Claudio Bonettini) and coordinated by the head of the energy management system and expert in energy management certified for UNI CEI 11339:2009 (Alessandro Tralli) will meet quarterly to examine energy performance, plan future progress, and discuss any suggestions and proposals received, in order to ensure continuous improvement. As the standard itself says, “Successful implementation depends on the commitment” and on the involvement “of everybody”. This is why education and awareness are two key tenets of the system, as is the belief that communication should not be one-sided, but rather open to dialogue and guidance. From this thinking, we called for the involvement of members, employees, and all those external professionals and suppliers with whom we work and who influence – either directly or indirectly - our energy consumption. A suggestion form has been drawn up for people to provide information or propose ideas and can be downloaded from our website www. cpl.it and then either emailed to sge@ cpl.it or posted to us, f.a.o. the system manager Mr Tralli.

Training institute set up to mould future gas engineers

Agreement signed between Entre Rios Province (Argentina), workers’ union and the Redengas gas company to create Provincial Gas Institute. The first ever nationwide, the institute will provide training for young workers wishing to join the gas industry (natural and biogas) and will involve the participation of both the Department of Engineering of the University of Paranà and the CPL Group company.

Luigi Bisaschi (aged 65) lbisaschi@cpl.it Redengas director

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n 16th June in Paranà, capital of the Argentine province of Entre Rios, the governor of the Province Sergio Urribarri, jointly with Undersecretary for Energy Raoul Arroyo, Secretary General of the Gas Industry Workers’ Union Oscar Mangone, Regional Secretary Ruben Bessi and Alberto Gutierrez, chairman of Redengas s.a. (a CPL CONCORDIA Group company), has signed an agreement for the creation of the PROVINCIAL INSTITUTE OF GAS which trains young workers wishing to join the gas distribution industry and, more generally, areas involving the use of natural gas and gas derived from renewable sources (biogas). Through development and training for workers, the venture aims to improve both professional skills and the quality and safety of service offered to users, not only in Parana - a city of over 350,000 inhabitants where Redengas operates directly in the field – but also in the entire

Entre Rios province and, in the future, in the Mesopotamia region (the area of north-east Argentina, comprising the provinces of Misiones, Entre Rios, and Corrientes, thus named because of the location between the Paraná River and the Uruguay River and therefore its likeness to the Mesopotamia regent in present-day Iraq). CPL CONCORDIA Group has been operating in Paraná since 1998 through subsidiary Redengas S.A., which manages the distribution and sale of natural gas to over 55,000 homes and businesses. The program will provide trainees with the opportunity to get involved, either directly or indirectly, in all stages of work relating to the gas market, including distribution, sale, industrialisation, handling, production, pipeline laying, installation of reduction, metering and safety equipment, inhome systems engineering, as well as learning about legal and technical issues relating to safety control for accident

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prevention purposes. There are also specific courses for qualifications relating to welding (steel and polyethylene) and the use of specific equipment when working in the presence of gas (drilling and plugging equipment). During the courses, the regulatory and legal topics will be handled by the University of Paranà (engineering department) while the technical/operational topics will be covered by Redengas, demonstrating the high skills level reached by its workers.

The company will offer students use of its own training room, equipped with audio-visual media, and the adjoining industrial shed, where they field tests will be carried out on the plants and systems.

CNews n. 46 - September, twenty fourteen

Real support for Friuli cooperatives In agreement with ANCPL and Legacoop FVG, CPL CONCORDIA offers support to the IDROTEL Impianti cooperative, in Monfalcone (Gorizia), by becoming a funding member. The funding will contribute to a renewal project aimed at a group of expert workers operating within an industry showing signs of recovery.

Angelo Guerrieri (aged 42) aguerrieri@cpl.it Sales Department, Area Manager, Italy North East Area

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DROTEL Impianti was established in 1994 by a group of workers from a systems engineering company in the Monfalcone area that had fallen on hard times. The area is one known for its major shipyards and for its pool of extremely reputable subcontractors for systems engineering (electrical and mechanical system in particular).

IDROTEL gathers together workers with all this experience and acts as a central contact point for the customer Fincantieri for electrical system engineering issues, specialising greatly in the construction of systems and plants for ships which will remain the cooperative’s core business for the next fifteen years. In addition to the system engineering for ships, IDROTEL is also developing collaborations with other customers and other partners including, in particular, another systems engineering cooperative from the area, called OEMC Impianti, which reached significant size and technical/production levels in the area in the early 2000s.

Legacoop FVG and ANCPL had always focused their attention on the systems engineering cooperatives in this area of the Friuli Venezia Giulia region, which was almost unique in north-east Italy, especially given that another historic cooperative of this kind, ITE, also exists in Gorizia, which operates primarily in telecommunications. Essentially, the cooperatives in the systems engineering sector have set themselves up as the hub that people look to.

As of 2008/2009, the effects of the recession have hit hard. OEMC Impianti,

which was the leading name in the industry, began experiencing difficulties when one of its funding members (CMR Filo d’Argenta) withdrew its support and ended up entering into in an arrangement with creditors in 2011 (with the proceedings due to close in the coming months). While remaining one of the industry’s national operators, with all the certifications required to work in telecommunications, I.T.E. has nevertheless been suffering from the slump in the market and the overhaul of the telecommunications industry. As

well as enduring the current downturn in the shipbuilding industry (although less dramatic), IDROTEL was also hit severely by the loss of a major client, which sent the cooperative into serious financial difficulties. Its members therefore agreed to downsize to ride out the economic storm, diverting their ventures to a consortium of small businesses.

For the management of Legacoop and ANCPL, there is a real possibility of salvaging the cooperative’s key human resources so as to start investing again to gain a new hold on the systems engineering sector.

For the management of Legacoop and ANCPL, there is a real possibility of salvaging the cooperative’s key human resources so as to start investing again to gain a new hold on the systems engineering sector.

Within this scenario, the management of Legacoop and ANCPL (in 2011) glimpsed a possibility of gathering up the pieces torn apart by the recession and salvaging the cooperative’s key human resources, so as to start investing again to gain a new hold on the systems engineering sector. This thinking was based on an examination of the public and private markets, which have been severely reduced in the construction industry in Friuli Venezia Giulia, as in the rest of Italy. The experience accrued and resources available (both human and professional) in this moment of corporate crises have enabled the cooperatives to: 1. intensify their presence in the telecommunications sector, where investments have been stepped up (broadband, networks, etc.); 2. re-establish their presence on the ship systems engineering market, based

on the knowledge that Fincantieri plans to invest over €8 billion in new construction up to 2020; 3. rebuild their relationship with the local community, which had always been a strong point, so as to offer jointly with an important national partner - the public-sector market the opportunity to invest in the energy efficiency of buildings and public lighting systems.

Despite everything, there remain significant growth prospects in these three areas, albeit to varying degrees.

Legacoop and ANCPL therefore agreed to rebuild the former “systems engineering hub” formed of regional cooperatives, by reorganising the remaining concerns.

Among these, IDROTEL Impianti was identified as pivotal to the revitalisation, as it would provide both the means of funding and the human resources.

So a revival plan was devised (a “restartup” of IDROTEL), as part of which ANCPL through CFI and soon also through Coopfond - decided to contribute to a recapitalisation.

The cooperative members of IDROTEL have already embarked on this funding operation, contributing significantly.

Within this context, and with a view to developing the part most compatible with CPL CONCORDIA’s operations – i.e. the relationship with the local community and the energy efficiency measures - CPL decided

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to get involved (at the cooperative’s request and in agreement with ANCPL and Legacoop) as a funding member of IDROTEL Impianti.

Summing up, CPL’s new role in IDROTEL will bring our cooperative a variety of options: a) we can help to increase and consolidate CPL’s presence, in terms of sales and operations, in an area where we are already operational; b) we can participate in a process to revitalise the cooperative movement in that area, establishing a positive economic countertrend; c) we can also open up to new industries, such as telecommunications and ship systems engineering. This opportunity could open up an interesting, new field of action for our cooperative.

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With 114 years of history and 1,800 employees, CPL CONCORDIA operates in Italy and Abroad in the whole energy sector.