Impact Report - Fundación Chile 2012

2012

Index Introduction 9 Move the boundary of possibility 10 International networks 18 International Advisory Board

Entrepreneurial experience 23 Pioneering drive 25 Transformational initiatives 27 We believe in innovative ideas and we bet on them 28 Entrepreneurship platform 30 Angel Investment Network 31 Converting good ideas into companies

Education, expanding opportunities 37 Innovation in education 38 Better education, less poverty 41 By creating community we empower education 42 Better management, more learning 45 A good leader helps to attain goals 47 Education without borders 48 Equal opportunities 50 School entrepreneurship 53 Contributing to the public debate

Closing the labor gap with training Innovation in human capital We empower human capital Innovation journey We develop professionals We built a bridge between the labor market and the world of training 66 Anticipating future needs in mining 70 World class suppliers 57 58 61 62 63

Water and environment

Energy and Climate Change

Food

75 77 79 80 82 83 84 85

99 100 103 104 106 108 110 113

121 122 125 127

87 89 90 92 93 94 95

With eco-innovation at heart Acknowledgements Water for the planet Assessing environmental risk Improving water Reusing water for irrigation For the conservation of wetlands Sludge management in mining and water companies Water in Atacama A company’s environmental brain Prevention and prediction of acid leaching in mining How to produce copper with less water?

Sustainability until the end Recovering the coastline of Viña del Mar Preserving the beauty of the Patagonia

Chile: sustainable and competitive In search of consensus We add value with skilled technicians Towards better energy efficiency Hacia una mayor eficiencia energética Sustainable from beginning to end Green initiatives The carbon bond virtous circle 114 First private Climate Exchange in the Southern Hemisphere 117 Sustainable wood for the world

Food & Biotechnology Pioneers in food innovation For more efficient farming Salmon + copper, the perfect combination 128 Food of the future 129 Worldwide entrepreneurship 131 Recovering the diversity of our ocean 132 133 134 137

We export knowledge and technology Biodiversity for export Boosting competitiveness From subsistence to oasis

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Dear friends, partners, collaborators and allies of Fundación Chile, This Impact Report seeks to transmit, through a graphic presentation of concrete cases and initiatives, how Fundación Chile works daily to move the boundary of possibility. The purpose of such an endeavour is to contribute to making Chile a more developed country, an example emerging economy that grows sustainably and competitively, a country that transforms into a regional pole for entrepreneurship and innovation, a nation that offers opportunities, provides tools and fosters a culture of innovation, which enables people to attain a better quality of life in a more dynamic and global world, with complex challenges ahead.

This compendium will provide examples as diverse as fostering the development of renewable energies, models to mitigate global warming, initiatives that aim to optimize a resource as scarce as water or functional foods. It also includes actions that seek to improve the quality of education or to cover the enormous challenges in the field of human capital, such as those faced by the mining sector today.

Although these initiatives are quite diverse in content, all respond to real problems or opportunities that can only be solved or leveraged through open innovation and entrepreneurship, with joint knowledge participation of multiple actors, both public and private, national and international, and the flexibility and conviction of different combinations of agents, business and technology models, in conjunction with Fundación Chile’s ”do-tank” know-how that its developed over the years.

Our organization has transitioned through different phases, responding to a dynamic environment and maturity level reached by Chile’s national innovation ecosystem. In its first stage, FCh was marked by technology transfer, mainly aimed at natural resources and industry export promotion, through a model of demonstrative company development.

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In a second stage, the concept of innovation broadened without losing its focus on industries in which Chile exhibits comparative advantages, while incorporating transversal technologies such as environmental and information technologies, biotechnology, energy and human capital.

Today, we participate in a more complete and developed innovation ecosystem, with multiple interconnected actors, dynamic and globalized, that led us to a new stage we call “Fundación Chile 3.0”. Characterized by the complex articulation of this ecosystem, it connects numerous agents and fosters new possibilities for technology and entrepreneurship, taking advantage of our reputation and credibility built over 36 years of history. As an honest broker, with only society’s best interest to defend, we work to incorporate more innovation into the national production system while creating greater wealth for Chile.

We take this opportunity to share part of this new vision through Fundación Chile’s Impact Report, inviting you to jointly continue working on this journey that reconciles passions and dreams, while doing more and theorizing less, as we continue moving the boundary of possibility.

Alvaro Fischer Abeliuk Chairman of the Board

Marcos Kulka Kuperman CEO

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2012

36 years of innovation

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Move the boundary of possibility Fundación Chile knows that moving beyond the talk of innovative practices is a challenging job. It requires a lot more than a good laboratory or an imaginative and successful entrepreneur.

Through these 36 years, Fundación Chile has learned this well, consolidating itself as a “do tank”, pioneering new sectors through a portfolio of capacity building initiatives, demonstrative companies, and enabling technology services.

Best known for jumpstarting the farmed salmon industry in the 1980s, launching Chile’s first venture capital funds in the 1990s, moving into renewable energies in the 2000s, and currently launching Latin America’s first Climate Exchange. The organization’s dynamic response to the country’s ever changing needs speaks of the challenges faced to remain competitive in a global context.

Since its inception, Fundación Chile understood that technology transfer (usually from abroad) has given the country the opportunity to leapfrog in many aspects. By mandate, every endeavor it takes on must be in collaboration with other partners i.e technological, financial or potential clients, being the acid test that an innovation is required.

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International transversal networks

Institute for Large-Scale Innovation (ILSI) Network for Teaching Entrepreneurship (NFTE) Rad BioMed Fundaci贸n Sonora

NXTP Labs Per煤 Capital Network National Endowment for Science Technology and the Arts (NESTA) SITRA-Fondo de Innovaci贸n Finland茅s

Alaya Business Accelerator S.A Club Business Angels (IAE) Babson College Banco Mundial | InfoDev

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“In the past, in a slower and less global world, our innovations searched for the right answer. In the future, in a world of complex challenges, totally interconnected and dynamic, we have to start by addressing the right question. Without a doubt, the only way of achieving this is through a significant active global network based on trust.

Marcos Kulka, CEO of Fundación Chile.

Spinno Tech Ranch Austin UC Berkeley University of California · UCLA Fondo Multilateral de Inversiones · BID-FOMIN University of Sydney

Centre for Educational Research and Innovation CERI-OECD Georgia Institute of Technology Fundación Jalisco Fundación Leia

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International sustainable networks Alliance for Water Stewardship · AWS | LAC Alliance to Save Energy Battelle Ben Gurion University of the Negev Bioplanta Bundesanstalt für Geowissenschaften und Rohstofle · BGR Cape Breton University DIBANET Ecoreg EcoSecurities Edge Environment Embrapa Soils · EM European Comission · RALCEA Fundación FEMSA FOSS Analytical Fundación ZERI Internacional

U.S Geological Survey · USGS Vertified Carbon Standard · VCS Veticon Consulting Waikato University Water Footprint Network · WFN Weizmann Institute of Science

Center for Research and Technology · Hellas | CERTH Centro de Tecnología Canavieira · CTC Centro Nacional de Energías Renovables · CENER Collaborative Labeling and Appliance Standards Program · CLASP Colorado School of Mines Council for Scientific and Industrial Research · CSIR Deutsche Investitions- und Entwicklungsgesellschaft mbH · DEG

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CSIRO University Jiao Tong Shanghai Fundación AVINA First Solar TNO Fundación Perú VTT Technical Research Centre of Finland

Global Environmental Innovation in Mining · GEIM GTZ (Deutsche Gesellschaft für Technische Zusammenarbeit Infinia Corporation International Copper Association Ltd. ICA Lawrence Berkeley National Laboratory Mannvit Engineering MIYA

Oficina Internacional del Agua · OIA Programme for the Endorsement of Forest Certification · PEFC South American Network for Acid Prevention Sustainability Consortium The Laboratory of Catalytic Process · LPC Universidad de Buenos Aires The Nature Conservancy · TNC The Nucleus of Catalysis NUCAT · University of Rio de Janeiro The Theoretical and Applied Chemometrics Laboratory · University of Campinas | UNICAMP

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International food networks Fraunhofer | Gesellschaft Fundación Cerrejón Institut français de recherche pour l’exploitation de la mer · IFREMER Instituto Tecnológico de Embalaje, Transporte y Logística · TENE ISOMER- Universidad de Nantes Marine Bioproduct AS Syngenta Novartis Universidad de Sao Paulo Universidad Rio Grande do Sul

4Cs Breeding Technologies ANFACO | CECOPESCA Aqua Health Ltda.

Archimex SAS Biotech Marine Centro Oceanográfico de Vigo Chill-On Clean Seas Limited CONACYT Centro Nacional de Metrología · CENAM

Virginia Institute of Marine Science · VIMS ALCUE-FOOD Centro Regional de Productividad y Desarrollo Tecnológico de Tolima · CPT Centro Tecnológico Agroalimentario Extremadura · CTAEX Cornell Research Foundation Inc-Cornell University Food and Agriculture Organization · FAO

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Instituto Tecnológico y de Estudios Superiores de Monterrey · ITESM | Tec de Monterrey Interlink Associates LLC | Interlink Biotechnologies LLC Institut De Recerca I Tecnologia Agroalimentaries IRTA RUTGERS, THE STATE UNIVERSITY OF NEW JERSEY SKANES LIVSMEDELSAKADEMI | SKANE Food Innovation Network Labein-Tecnalia Nutreco TEKNIKA Universidad de Génova University of California · Davis National Institute of Standards and Technology · NIST National Measurement Institute · Australia | NMI National Measurement Institute Japón · NMI University of Florida National Reneweable Energy Laboratory · NREL University of Illinois Red Internacional de Metrología BIPM Vinnova Sistema Interamericano de Metrología · SIM BIPM The National Research Council · NRC Inmetro Rikilt Institute of Food Safety Institute for Reference Materials and Measurements · IRMM National Institute for Public Health Korea Research Institute of Standards and Science · KRISS and Environment · RIVM Laboratory of Government Chemists · LGC

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International education and human capital networks Administración Nacional de Educación Pública (ANEP) Centro Nacional de Educación para el Trabajo (CENET) Fundación Calidad Fundación L’Hermitage Hanyang University Harvard University Laboratorio Tecnológico del Uruguay (LATU) Think X

Governa Instituto Mexicano de Tecnologías del Agua · IMTA International Development Research European Computer Driving License Foundation · ECDL-F

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Department of Education and Training Queensland Government Centre for Research in Innovation Management · Centrim | University of Brighton SUSSEX Consejo Nacional de Normalización y Certificación de Competencias Laborales · CONOCER Centre · IDRC International Youth Foundation · IYF Queensland Mining Industry Skills Centre · MISC Red Latinoamericana de Competencias Laborales y Certificación Réseau des Cités des Métiers Trade & Investment Queensland Vocational Education and Training · VET Export Office · EO Ministerio de Educación de Bolivia Ministerio de Educación de Colombia Ministerio de Educación de Costa Rica Red Latinoamericana de Portales Educacionales (RELPE) Ministerio de Educación de Ecuador Stanford University Min. de Educación de República Dominicana University of Toronto (OISE) Plug and Play Tech Center Secretaria Educación del Estado de Goias Pontifícia Universidade Católica do Rio de Janeiro Fundación Siemens Qtar Foundation

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International Advisory Board In our fields of action, counting on world renowned experts in innovation, human capital and entrepreneurship is fundamental to achieving our proposed objectives. To this end, in 2011, Fundación Chile created an International Advisory Board. The task at hand of this team is to advise, guide and share their expertise on foresight, open innovation, organizational development and benchmarking.

Marcela Pérez de Alonso

Mikko Kosonen

Dan Breznitz

Marcela worked as Global VP of Human Resources at Hewlett-Packard, with a prior extensive career at Citigroup. A specialist in developing high-performance culture programs, Marcela is also member of Start-Up Chile’s Advisory Board in Silicon Valley.

President of Sitra, The Finnish Innovation Fund, Kosonen worked as Senior VP at Nokia, in the area of Strategy and Business Infrastructure. He has authored several books, including his most recent book “Fast Strategy – How Strategic Agility Will Help You Stay Ahead of the Game”.

Associate professor at the Georgia Institute of Technology and co-author of the award-winning book s “Innovation and the State” and “Run of the Red Queen: Government, Innovation, Globalization, and Economic Growth in China”, on the Chinese innovation ecosystem and what this experience unveils for emerging markets.

Udaya Patnaik

Dan Isenberg

Co-founder of Jump, a US-based consulting company on strategy and innovation. Over the years, he has had the privilege of working with industry leaders such as General Electric, Harley Davidson, Target, Hewlett-Packard and Nike.

Professor at Babson College, founder of the Entrepreneurship Ecosystem Project.

Recognized by Fortune, The Economist and BusinessWeek, Isenberg is also an entrepreneur and venture capitalist, and has taught at Harvard, Columbia, Insead, Reykjavik, Theseus and Technion.

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Transferring knowledge International leaders with FCh

Entrepreneurial experience

“Chile’s most entrepreneurial company is a privately owned, non-profit corporation: Fundación Chile...” (World Bank)

Pioneering drive “Entrepreneurship is in our DNA: it’s in everything we do. We witness the energy and passion of entrepreneurs that work with us as a transformational force for the country” Andrés Pesce, VP of Business and Investments FCh

“There are three proven models worldwide that are examples for emerging economies: The industrialization model of China, the outsourcing model of India and the Fundación Chile model“ (OECD)

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85 companies, in 36 years, that created industries in Chile

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Transformational initiatives At FCh, we created companies that changed the face of the country. Some were born as internal start-ups, others welcomed entrepreneurs, while transferring international technologies according to the needs of our industries. This experience consolidates our expertise in developing innovative companies.

Our business initiatives are present across the country: • Citric fruit production in semi-desert area (Region IV)

• Vacuum-packed meat processing and distribution (Region IX)

• Oyster seed production (Region IV)

• Furniture production for export (Region IX)

• Chilean abalone and sole production (Regions IV and V)

• Berries production (Region IX)

• Gourmet goat cheese production (Region IV and Metropolitan)

• New feed for Salmon (Oleotop) (Region IX)

• Farm and agricultural management / Cattle production chain (Regions V and IX)

• Salmon farming (Region X)

• Forest securitization (Regions VI, VII and VIII)

“Entrepreneurship is a highly complex task.

Thanks to Fundación Chile, we were an organized and well-structured company from the beginning,enabling us to better face scale-up and the acquisition processes.”

Marcos Almendras, Co-founder of AxonAxis.* * Web services company, sold to a multinational after 5 years of operation.

“We have the best solar radiation on the planet and we want to convert it into a competitive and reliable source that helps decarbonize our energy grid, especially in the North. This is all part of a Fundación Chile initiative to transform the country into a worldwide reference in solar energy.”

• Fruit quality control (Central Valley) • Consortium of forestry technology (Region VIII)

Cristián Sjögren, Co-founder and CEO of Solar Chile.* *Developer of large-scale solar energy projects; recipient of the 2011 Global Forum, Access to Market and Finance Award, given by the World Bank, Nokia and the Government of Finland.

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We believe in innovative ideas and we bet on them “After 35 years of forming companies we open Fundación Chile’s doors to all entrepreneurs, providing support at the earliest and most difficult phase of their projects. With their innovate ideas and our expertise and networks, we are successful in numerous cases.”

Alejandro Valencia, Director of Fundación Chile’s Entrepreneurship Platform

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EmprendeFCh Platform EmprendeFCh

This area attracts, selects and supports early stage-entrepreneurs in order to develop new projects in Chile and the world.

We seek to empower innovation by supporting a large number of start-ups, catalyzing the energy and ideas of the entrepreneurs.

With this new platform, created in January 2012, we analyzed 481 ventures, selecting 30 for investment phases.

Applications in 2012 3 proposals

1 proposal

1 proposal

1 proposal

along with:

along with:

along with:

This platform is supported by CORFO

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30 projects selected to start the development and investment phase

Angel Investment Network ChileGlobal Angels is an international network of angel investors focused on dynamic start-ups that require funding for their scale-up and globalization.

International network with

360 venture Investments from

projects evaluated.

US$100,000

For each dollar invested, private investors.

Nominated as Web.

27 active investors.

US$2.30

up to

$800,000

per project.

were leveraged from other

2012 Investor of the Year

by The Next

www.chileglobalangels.cl

ChileGlobal Angels is part of the Entrepreneurship Platform of Fundaci贸n Chile and is supported by

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Converting good ideas into companies

“Fundación Chile accelerated our development process. With its commercial outlook and expertise in developing innovative projects, it helped us design our strategy and clarify the steps necessary to materialize and transform the project into a company. It also helped us raise our first funds from a private corporation, a construction company that decided to participate in this project.”

Marcelo González, Co-founder of TetraBuild.*

“The worst barrier for an entrepreneur is himself. Many times, things don’t go the way you want them to and you have to know how to get up and keep going. Fundación Chile believed in Aventones and is willing to bet on it. As entrepreneurs, this means everything.

Having them as clients and investors opens up the market. A client told us, “If Fundación Chile is present, it’s a guarantee.”

Cristina Palacios Goddard, Co-founder of Aventones* *Company that develops an internet platform for carpooling.

*Manufacturer of concrete molds made from TetraPack packaging.

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Companies: Zyght Corporate social network that prevents accidents in the mining industry with geolocalization warning tools through. smartphones.

“Fundación Chile gave us confidence, support and accompanied us; all vital to undertake a new business. A staff of professionals with ample knowledge in innovation and entrepreneurship accompanied, guided and counseled us. They helped us generate our brand identity and a price fixing strategy, contacted a network of entrepreneurs to generate synergies, and helped to obtain initial funding”.

Nicolás Dell’Orto, Executive Director of Pegas Con Sentido* *Recruitment and specialized selection consultancy in CSR areas.

Dietamedida Mobile application to promote healthy eating and exercise through different mechanisms.

Maquintel Robot that explores and detects defective ducts in mining.

PayParrot Web application that obtains discounts when contracting web services based on the user’s influence on digital media.

Kedzoh Mobile application to create and perform 3-5 minute instruction classes.

I-GAT Device that uses augmented reality and voice commands for mining machinery maintenance, complemented by analysis software.

Bufys The best platform in the world to give love.

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Jogabo Mobile application that seeks to join organizers, players and sports premises to create games in any place, at any time.

GPB Platform to produce commercial biofuel from low-cost micro algae.

Solar Chile Medium to large scale solar energy project development.

Junar Platform to share topics on innovation, collaboration and legal information.

Welcu Platform for managing events.

Gled Software to generate 3D images for publicity.

Upgrade3D 3D platform for real estate developments.

Ganeselo Platform for online bids.

Altodot Technology to manage social networks.

Miniclinic Family health services.

Tech-k InStoreView is a technological platform for strategic planning between the point of sales and the company.

Tetrabuild Manufacturer of flexible mold system for concrete using recycled plastic and aluminum.

MeritusPro The first virtual market for the exchange of global services 2.0 and 3.0 in Latin American.

Orange ICT management system to implement a fidelization program for retail customers.

VOZ Luxury, ethical and ecological fashion.

Izit Connects the supply of exhibited products with people.

Motion Display Software to support and train salespeople in the retail sector.

Mercado Transporte Improves logistic services for e-commerce in Latin America.

Visual Nacert A world geo-reference and information system on crops and farms, which operates through the Internet.

Mar-a-villa Seeks to professionalize artisanal fishing through an inclusive work with large fishing villages in Chile.

Tip2u Platform for data sharing.

U-Planner Mathematical optimization model for the academic scheduling process in higher education and technical institutions.

Polisofía An open space where organizations can outsource part of their innovation needs.

Aventones Social platform that seamlessly promotes and organizes carpooling.

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“Fundación Chile helped by counselling us on entrepreneurship, legal advice, resources and connecting us to international and investment networks.”

Mercedes Montalva, Partner of Made By Voz* *Designs haute couture fashion on artisanal looms, with Mapuche master weavers and 100% natural materials.

Education, expanding opportunities

Innovation in education “Our obsession is to improve the quality of elementary and high schools in Chile, while convinced that innovative programs can make the difference” José Weinstein, Head of FCh`s Center for Innovation in Education

Use of ICTs in elementary and high schools

+

Effectiveness in vulnerable schools

+

Over the last 10 years, the Center for Innovation in Education has transferred knowledge and innovative practices that contribute to improving the quality of the Chile`s education system.

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Education management and leadership

Better education, less poverty Better schools and better technical high schools 70,000 students 2,038 teachers 72 schools 29 technical high schools In 6 regions, 15 municipalities

Technical assistance programs that help teachers and principals to implement improvements in institutional and educational management that endure over time.

Results Improves learning in children living in vulnerable areas.

Improves learning in youth, increasing their job opportunities or to continuing education.

Establishments participating in the Better School program improved up to 57 points in the Simce language test and 54 points in math.

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Boost for a better educated Chile

Schools that innovate in a poverty context and seek to make a difference

By creating community we empower education Network of leading schools 85 schools connected from Ollag端e to Punta Arenas

Portal that enables schools in poor areas across the country to share best practices, access relevant and updated information, learn from success stories in similar conditions, and to communicate and organize learning exchange meetings among others. www.educarenpobreza.cl

High performance

+

Integral formation

Effective School

=

41

Better management, more learning Quality school management

4

8

Quality management system in education applicable to schools, nursery schools and school administrators.

III

3

The model is free of charge and for self-application, leading to Fundaci贸n Chile`s School Management Quality Certification.

3 IV 7 V

www.gestionescolar.cl

2,300

II Model exported 90 schools in Brazil apply the Quality School Management model www.gestaoescolardequalidade.org.br

42 RM 7 VI

Establishments are undergoing Fundaci贸n Chile`s school management improvement process model.

12 VII 22 VIII

130

4 IX 5 XIV 5 X

Establishments have Fundaci贸n Chile`s seal of quality State-subsidized private school Private school Public school

I

4 XI

57% 23% 19%

42

4 XII

FCh is implementing two educational projects on Easter Island Promoting bilingual intercultural education

Innovative, efficient and focused school management in pedagogy has a direct effect on learning

A good leader helps to attain goals

AVONNI Awards finalist

Improving educators and administrators Programs that support the development of leadership skills, including postgraduate studies in Chile and abroad. They also provide resources, tools and services aimed at human capital management, through diagnosing and development of teaching and administrative skills. Good human capital management is a key factor to successful schools.

102

OISE interns in Toronto, Canada

+

471

Administrators trained in skill management

+

1,800 People trained in different programs

Education programs: •Masters in Quality School Management and Direction, along with • Consultancy Course in School Management (Chile and Brazil) • Diploma in Quality Management for Nursery Schools • Course on Leading for Understanding Wide World Harvard • Course on induction for Principals to the Chilean School System

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Technologies in the service of education

Education without borders EducarChile The largest Spanish educational portal containing pedagogical material covering the full national curriculum, specialized sites for teaching and updated information on national education events. It also offers an online college prep-course for high school students, PSU. www.educarchile.cl

Portal that knows no frontiers

Awards

+ 1,2 million • Bicentennial National Congress Medal for 10-year contribution to education (2011) • OAS Award for best ICT initiative • UNESCO Honorable Mention King Hamad Bin Isa Al Khalifa (2009)

single visits per month

65%

of Chilean teachers registered

300,000 registered students

2,500

• Chile Internaut Award (Chilean Association of Internet Users) to the best educational initiative in ICTs (2010)

registered school administrators

• Digital Challenge Chile Award (2003)

free online access

• 1st place in Chile`s Best Internet sites: Diario Financiero newspaper

PSU

+ 27,000

pedagogical content

Developed in conjunction with the Ministry of Education

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Equal opportunities PSU EducarChile 1,200,000 students More than 57,000 questions, answers and online tests In 2011, 156 students obtained top scores Of all users, 89% are public school students and 62% connect from regions Reaches out to

50% increase PSU users

Government: Funding and guidelines

Corporate: Mobile application + free navigation scholarships

June 2012

Press: Mass dissemination

June 2011

200 schools on line student motivation

June 2010

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The online college prep-course of EducarChile eliminates university access barriers due to geographical distance, socioeconomic class or quality of the establishment.

Evaluation Study of the EducarChile Portal: • 76.3% of teachers stated that it helped them improve performance of their students on the PSU. • 63.7% of students stated that it helped them improve their performance on the PSU. • In 2009-2010, high schools using the PSU EducarChile increased their score by 12 points.

School entrepreneurship Program that develops entrepreneurial skills in grade 11 and 12 students in public schools.

20

Technical / Vocational high schools (Ovalle, Puerto Montt, Puerto Aysen, Puerto Natales)

5,000

Young people impacted in Grade 11 and 12

150

Young Entrepreneurs from Puerto Montt to New York

Teachers working to develop entrepreneurial skills

50

Fundación Chile, Endeavor and the Network for Teaching Entrepreneurship (NFTE) organized the first Entrepreneurial Camp for Youth, attended by 24 students and six teachers from public technical/vocational schools from the municipality of Puerto Montt. The winning project, “Mi Tierra Gourmet”, presented by students of the Miramar Business School, consisted of canning morchella, a native mushroom of the Llanada Grande area in southern Chile.

The award consisted of representing Chile at the April Annual Gala for Young Entrepreneurs in New York.

“Now that they’ve grown, they’ve developed and have a new energy and desire to learn more, to take on new challenges. It’s fantastic to see what they’ve achieved.”

Tales Urrutia, teacher at Miramar Business School, who travelled to New York along with the winners.

More than 9,000 people attended debates on education improvement over the last 2 years

Contributing to the public debate Fundaci贸n Chile`s Center for Innovation in Education systemizes and disseminates best practices for teachers and principals through mass media, publications, meetings and workshops.

23 publications 18 studies ICSEI 2013: The most important congress on school improvement and effectiveness will be held for the first time in Latin America, being organized by Fundaci贸n Chile.

53

Closing the labor gap with training

workers have participated in organizational development projects

4,000

accredited instructors under our employability model

50,000

15

productive sectors placed their trust in us

young people oriented their future employment

leading organizations chose us

150

90,000

400

30,000

companies worked with us developing their human capital

56

workers certified their skills

12

years old

Innovation in human capital “We believe that development and productivity in Chile depends on trained, efficient and motivated human capital. This is why we are committed to developing innovative systems that have a high impact on people management.”

Hernán Araneda, Head of FCh`s Center for Innovation in Human Capital · Innovum

Solutions for companies to reach their goals for growth, development and sustainability.

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Solving challenges in human capital gaps present in key sectors of the country.

Defining labor standards for organizations to maximize earnings.

We empower human capital Human Capital and Future Productivity Program Implementation of innovative high-impact systems for people development and management in order to increase productivity and competitiveness.

We impacted more than

60 large Chilean corporations today have human resources management systems that include services offered

by Innovum

100,000 Workers

300 companies

Sectors Forestry Mining Government Energy Retail Services

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60% of production growth is attributable to investments for innovation, largely explained by new organizational designs and talent development (NESTA, UK, 2012).

Innovation journey Innovation Management Model To innovate is to optimize potential benefits of a new idea. Innovation is a journey through which ideas are searched, explored, developed and exploited.

The journey begins with a strategic intention and seeks to create value.

Ten large corporations made the innovation journey with FCh, defining an innovation strategy and developing specific projects to increase their competitive edge in products and services.

“One of the main points this program established was developing a culture of innovation, to foster a way of seeing innovation as a relatively formal process that includes all people working in the company. The program has been very successful for us. We’ve developed a methodology and intend to lead this to a process where all areas consider innovation as something already installed.”

Sebastian Bernstein, Manager of Development, Market and Large Clients at Metrogas.

“Ideas are in the air, you just have to catch them and do something with them. Arauco can do that now.”

Ricardo Busch, Manager of Development, Environment, Safety & Occupational Health, Paneles Arauco.

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“The true value of the program consisted of being able to create an instance to understand that regardless of the company, innovation is a manageable dynamic that, when well-administrated, can bring effective, concrete and very promising results.”

Matias Concha, Business Development Hendaya Group.

We develop professionals Programs aimed at supporting the development of abilities in the areas of negotiation, change management, skills management and innovation management.

10,000

people developed their skills with Fundacion Chile

Negotiation Change Management Innovation Management

We built a bridge between the labor market and the world of training In 2009-2010, we worked with

We have supported curricular innovations with six of the largest technical formation higher education institutions, representing over 70% of national enrollment.

344 higher education institutions,impacting

In 2004-2008, we supported more than 80 Technical Training Centers in redesigning careers based on occupational profiles in seven sectors with a high demand for employment. This pilot served as a starting point to formulate and publish the first regulation on the accreditation of new careers.

1,769,009 students

Developed the first qualification framework for higher education with Inacap (110,000 students)

We worked with vocational and training institutions, supporting them in the preparation of a more permanent,

flexible and quality offer, adjusted to the new demands

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Chile spends US$200 million every year on training and, up until now, no quality model had been implemented

Project Amplía An initiative of Fundación Chile, in conjunction with the National Service for Training and Employment, SENCE, and the Inter-American Development Bank, to strengthen the job training industry through the creation of a quality framework.

Connecting companies with to the supply of quality and flexible vocational training

215

OTECs in Metropolitan, Valparaíso and Bío-Bío regions

1,148

100

administrators and teachers

professionals certified in training skills in conjunction with the Inter-American Centre for Knowledge Development in Vocational Training (OIT- Cinterfor)

250

administrators - owners of OTECs participate in the Administrative Skills program

OTECs with FCh counseling and follow-up as part of the Amplía Quality Framework

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Anticipating future needs in mining Labor Force in the Large Mining Industry of Chile Mining investments are expected to reach US$45.0 billion over the next decade, representing a 23% increase in national production, requiring the additional hiring of more than 44,000 skilled workers.

“In order to assure the sustainability of large-scale mining over the next decade, it is indispensable to implement structural changes in human resource practices of mining companies and contractors as well as in the practices of the vocational training system” Labor Force in the Large Mining Industry of Chile Diagnosis and Recommendations 2011 · 2020

Fundación Chile defines the gaps and draws a proposal to develop human capital in the Chilean mining industry

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Increasing the training coverage of mining professions: 20,000 people over the next 4 years.

Joint agenda A joint agenda of the mining sector was constituted through the Chilean Mining Council, with the objective to define the necessary human capital training standards for the sector.

FCh leads the methodology, development and validation of: • A qualifications framework • Development of high technology training packages • Training program accreditation • Mining workforce studies • Labor competency certification

Eliminating the gaps of human capital 2012 · 2015 Over the next few years, FCh will coordinate the strategy to address the high demand for human capital, increasing the training coverage of the mining professions.

The program covers more than 20,000 people over the next 4 years • Attraction to the industry • Scholarships for professional training • Training under international standards • Labor mediation • Maintenance scholarships

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Qualification framework and human capital observatory

World class suppliers Cluster of mining industry suppliers The Chilean mining industry needs to have a sector of suppliers with high innovation potential, capable of adding value to mining companies, while addressing technological challenges in a sustainable way.

Study on mining industry suppliers Establishes the profile of companies that supply large-scale mining companies: the scenario today, and how it should be in the future, to support the growth of the mining sector.

Outsourced Employees 723,053 Own employees and Mining contractors

220,000

Map on challenges in mining Study that systemizes and prioritizes the challenges of the mining industry over the next 20 years, especially with regards to energy, water and human capital.

Orients suppliers and contractors on new technologies and processes that need to be developed providing a compass to the sector’s growth.

Map of challenges, from the core to the required technologies Mining Industry Challenges Operational efficiency

Energy

Water

Innovation

Sustainability

Human capital

Suppliers

Monitoring

Use of renewable energy resources

Efficient use

Technology transference

Reducing carbon footprint

Attraction to the sector

Quality service and delivery of suppliers

Modeling

Energy efficiency

Sources and location

National and international collaboration of research centers

Relationship with the community

Labor availability

Developed in partnership with VTT Finland

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Mutual understanding of business logic

We empower the agenda for technological innovation in the mining industry

Water and environment, key factors for sustainability

With eco-innovation at heart “At FCh we live and breathe sustainability; with passion, conviction and perseverance we incorporated eco-innovation and sustainability at the heart of our work, and in the heart of our people. We believe that day-by-day we are contributing to a better Chile,” Juan Ramón Candia, Head of Water and Environment, FCh.

One of the goals of Fundación Chile is to diminish the water footprint of our country, ensuring its availability, quality and access for industries and communities.

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Acknowledgements Fundación Chile and its environmental innovation model for companies was selected by the United Nations from among 100 sustainable initiatives around the world, thanks to its contribution to promoting a green economy, highlighted in the “Bright Green Book”.

Chile Verde highlighted three technology developments as one of the best initiatives in environmental protection and conservation of the Water and Environment Unit.

Recognized in 2011 by the European Union as part of the Latin American Network of Knowledge Centers for Water Resource Management (RALCEA).

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Water for the planet This worldwide certification seeks to guarantee that a product complies with a recognized standard of water management in its manufacturing process.

Pilot project implemented by FCh at Vi帽a Montes.

Host to 4 regional seminars with 17 speakears and 170 highly specialized participants.

Of the 15 members of the International Committee for the Development of the Standard, two of them are Latin American, and one of them is Fundaci贸n Chile.

organizations on the Board working in 8 regions 10 World around the world.

1 International Committee for the Development of the Standard draft with 4 principles: 1 Initiative governance, quantity, quality and critical water areas.

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WATERSTEWARDSHIP

Certification for sustainable water management

Certificaci贸n para la Gesti贸n Sostenible del Agua

Assessing environmental risk ERA methodology Since the 1990s, Fundación Chile studies, transfers, adapts and applys different methodologies for environmental risk assessment.

Main contributions • Implements labor standards and practices

Introduced in our country by Fundación Chile, this tool is accepted by the authority for contaminated site management, expressed as such in the National Policy for the Management of Sites with the Presence of Pollutants (2009), considered in Law 20.417 that modified Environmental Law 19.300.

• Trains dozens of public and private entities • Used as a scientific base for public-private debate and decision-making

1,314

sites in Chile assessed for environmental risk

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What is ERA? Risk assessment methodology estimating potential adverse effects on human health and ecosystem resulting from exposure to toxic substances.

Improving water ABARÂŽ: technology that removes 99.9% of boron from water Innovative and cost-effective FundaciĂłn Chile technology, capable of removing all boron from drinking and irrigation water, in cities and rural areas.

ABARÂŽ is commercialized in partnership with a multinational engineering company.

WHO recommends a boron limit of 0.5 mg/L and Chile has areas with boron concentrations of 78 mg/L.

More than 60 treatability studies performed in mining, agro-industrial and water companies.

Solution exported to remove boron and arsenic in contaminated water in El Salvador, Central America, for

400,000 people

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Reusing water for irrigation State-of-the-art biotechnology for water recycling InBiotreat庐: Novel system that removes organic and non-organic pollutants by using a purifying process that is capable of reducing up to 90% of pollutants present in wastewater.

This system, developed by Fundaci贸n Chile, has been implemented in the Montes, Matetic and Vercellino vineyards, treating up to 120 m3/day of liquid waste from wine cultivation, recycling it into irrigation water.

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For the conservation of wetlands EMA Based on methodology used by the U.S. Environmental Protection Agency (EPA), Fundación Chile developed EMA, enabling to visualize the general trend of each wetland’s health status, incorporating a monitoring and assessment system with the use and interpretation of satellite images.

Financed by the Agriculture and Livestock Service

10

wetlands assessed and monitored in Chile

Wetlands are highly diversified depending on their origin, geographical location, water regime, vegetation and soil characteristics.

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35

public service technicians and professionals trained

Sludge management in mining and water companies

Smelters can save up to US$1.4 million per year.

Increases the life-use of secure landfills by 10 years.

Reduces the use of lime by 20% to neutralize acid water.

MILAF庐 Technology

LA+庐 Technology

Mining Industry: A copper smelter can generate up to 18,000 tons of arsenical sludge, one of the most hazardous residues to human health and the environment.

Water Industry: In conjunction with the Jiao Tong University of Shanghai, Fundaci贸n Chile developed technology that reduces by 50%-70% the sludge generated in the treatment of wastewater.

MILAF technology diminishes 90% of sludge generation, generates water that can be reused in industrial processes and recovers gypsum with 99% purity.

Developed by Fundaci贸n Chile and recognized as one of the best technology innovations in Chile by the University of Texas, USA.

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This program enabled a project in China and a pilot testing program for important water companies in Chile.

First R+D technology transfer between China and Chile, as part of the free trade agreement.

Water in Atacama Integrated water resource management We search for the best technologies available worldwide, and transfer the best practices: technological missions to Brazil, USA and Mexico + visit of 12 international experts to the region.

Water resource management is one of the critical factors in developing the Atacama region and has become a central issue for the regional government.

Fundación Chile supports this process through: • First observatory of basins in Latin America, www.observatoriocuencas.cl, a knowledge management platform on water in the Atacama and Arica regions.

• Developing support documents for management processes: Action Plan for Water Tables; Dispute Resolution Mechanisms; Water Banks and Water Governance.

• Technical assistance for Water Tables of Copiapó and Huasco • Training for more than 350 people of the public and private sector, on integrated water resource management.

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Cofunded by Innova Chile of CORFO With the support of the Regional Government of Atacama, the Directorate General of Water and Water Working-Group of Huasco and Copiapó.

mRisk simplifies and improves environmental management processes in companies

A company’s environmental brain mRISK® mRisk (Environmental Risk Assessment, Monitoring & Management) is a company created by Fundación Chile, that provides services in risk management and environmental monitoring, to visualize the company’s socio-environmental information and to manage risks through a web platform. It currently assists 70% of the Chilean mining industry.

mRisk clients: • Ministry of the Environment • ENAP • CODELCO • Minera Los Pelambres • Minera Esperanza • Anglo American • BHP Billiton • Antofagasta Minerals • Compañía Minera doña Inés de Collahuasi

Exporting to Peru In June 2012, mRisk set up an office in Lima, Peru, to attend the mining industry demand in that country.

www.mrisk.cl

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Prevention and prediction of acid leaching in mining DAZA Program

Environmental Geochemistry

GEOTEST® Tecnología

DAZA (National Program for the Integrated Management of Acid Leaching in Arid and Semi-arid Zones) for the prevention and management of acid leaching in mines.

A public-private initiative to support industry and authorities in facing the challenge in a cost-effectively manner. The goal is to foster knowledge and analyze the main deficiencies and challenges.

Laboratory with technological capacities to assess and predict problems.

The Fundación Chile laboratory can determine the geochemistry behavior of the material and potential risk of generating acid/neutral/alkaline leaching and study pollutants’ mobility. It also has the capacity to undertake studies adapted to the needs and conditions of each operating mine.

Developed by Fundación Chile to facilitate monitoring the potential generation of acid leaching. It implements in situ geometric tests and incorporates telemetry technology.

14 courses and dissemination activities More than 150 people trained Member of the Latin American Network for Acid Leaching

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Acid leaching is one of the most relevant environmental problems faced by the national and international mining industry.

How to produce copper with less water?

Efficient water use in mining With this challenge, Fundaci贸n Chile is designing a system to reduce the amount of water used in leaching processes for the mining industry.

Technology transfer from Ben-Gurion University in Israel.

Potential water savings: 5 lts/s in the leaching process, with 90 minutes of irrigation per day, translates into an annual saving of 9,855 m 3 of water.

Equivalent to 1,000 water tank trucks

Sustainability until the end

Environmental assistance for mine closures FundaciĂłn Chile implements environmental technologies for closing operations, including water treatment, reservoir stabilization, dust control, monitoring and assessing acid leaching, area remediation, environmental risk analysis and procedure design for a sustainable closure, among others.

Looking at the world

• International technical visits to over 20 sites to learn best practices in mine closure.

• Creation of the International Technical Advisory Committee (TAC), an advisory board composed of worldwide experts from institutions such as the University of Queensland, the University of British Columbia, and the Colorado School of Mines.

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Recovering the coastline of Viña del Mar For years, the Las Salinas grounds, along the coastline of Viña del Mar, was used by the oil industry, affecting the quality of land and groundwater. In 2006, the companies occupying these grounds started the project “Recovering Las Salinas”, so that the population would no longer be exposed to health risks.

Since October 2009, Fundación Chile participated as Independant Environmental Auditor (AAI).

The sanitation phase will be finished in 2012 and a final verification sampling will be performed.

17 hectares of coastal areas recovered in Viña del Mar

From oil industry to gardens and parks 94

Preserving the beauty of the Patagonia Largest environmental sanitation program in conjunction with ENAP By the end of 2005, the National Petroleum Company of Chile (ENAP) voluntarily committed to remediating 1,010 wells created from oil drilling and explotation.

Fundaci贸n Chile supported this project with technical assistance, know-how and its network of international strategic partners.

The first sanitized and certified wells were ready in November 2011

376 95

Energy and Climate Change: For an efficient country

Chile: sustainable and competitive “We are motivated to contributing to the country’s sustainability and competitiveness, through innovative solutions and influencing public policy on energy and climate change.

We want a Chile that is low in carbon emissions, a solar Chile, an efficient Chile in the use of energy.”

Nicola Borregaard, Head of Energy and Climate Change, FCh

The challenge is for 20% of electricity generation to come from NCREs by 2020. * Non-Conventional Renewable Energy

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In search of consensus Energy scenarios 2030 Initiative to help generate, through dialogue, a shared view of the electrical energy grid and its economic and environmental impacts, the role of renewable energy, energy efficiency and other key issues, on solid and consensual technical basis, reducing information asymmetries.

Contributions of the program: Conflict prevention Access to information for decision-making Analysis of different interests with technical criteria Reveals costs involved in each energy option Identifies and discusses public policy instruments

Towards a concerted energy public policy definition for the country.

Comprised of more than 20 institutions representing different societal views on the future development of the energy sector FCh is the Executive Secretariat Partners: FCh, Empresas Eléctricas A.G., AVINA, Fundación Futuro Latinoamericano, Asociación de Generadores de Chile and Programa Chile Sustentable Technical Committee: FCh, Universidad de Chile, Empresas Eléctricas AG and Pontificia Universidad Católica de Chile.

Model exported to Argentina and Uruguay, introduced in Rio +20 and highlighted by the UN in its report, Climate Action 2010-2011

100

Turning the Atacama Desert into a competitive and sustainable source of energy www.solar-chile.com

Hub for world-class renewable energies Creating demonstrative companies to generate new industries To create the first non-subsidized large-scale solar plant in the world

A joint partnership between FCh and a group of private investors.

Its goal is to harness the best technology, financial structure and local knowledge to accelerate, expand and produce competitive solar energy in Chile.

Strategic partnership with First Solar (Nasdaq: FSLR), leading world supplier of photovoltaic solution systems, First Solar expects to build two plants of 50-100 MW in the short term.

Winner of the World Bank’s Access to Market & Finance Award at the 4th Global Forum on Innovation and Technology Entrepreneurship in 2011.

103

“We want the solar energy sector to show as much growth as the salmon industry experienced, which was also promoted by this foundation.”

Alvaro Fischer, Chairman of the Board of Fundación Chile. (El Mercurio, Economía y Negocios, March 2012).

The cost of photovoltaic solar projects in the world has dropped 50%. Solar energy is competitive with diesel and gas plants.

We add value with skilled technicians Skills certification for solar panel installers FCh created the standard for the skills certification of solar panel installers and validated it with industry. Today, this profile is a public good, available to the sector at ACESOL (Chilean Solar Energy Association). Moreover, Fundaci贸n Chile implemented a pilot program where it accredited installers in the Antofagasta, Atacama, Bio Bio and Metropolitan regions.

Winner of the Chile Verde 2011 Award

Participants: Fundaci贸n Chile, Ministry of Energy, ACESOL, GORE Atacama and the Universidad Cat贸lica del Norte

To promote the entry of solar energy into the electricity market, the quality of small-scale solar facilities must be ensured.

GOBIERNO REGIONAL

Estimated needs:

1000

installers by 2020

Subsole With the support of Fundaci贸n Chile and funding from the Inter-American Development Bank (IADB), Subsole is the first fresh fruit producer that uses photovoltaic energy. The company developed a 1 MW self-sustainable solar plant which laid the foundations for creating the company, Solar Chile. The solar plant has 1,280 solar panels that generate energy for 265 hectares of fruit. www.subsole.com

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Towards better energy efficiency GTN LA A company that offers engineering and geology services, it is dedicated to generating projects with innovative solutions for the direct use of geothermal energy. Founded in conjunction with GTN, a German company, and joined later by Mannvit, world leader in geothermal services from Iceland.

Climatization Project of Hotel & Spa Termas de Puyehue First geothermal project in the Chilean hotel sector, paving the way for low enthalpy geothermal applications in other areas.

The hotel is currently in the process of reconverting 100% to NCREs. www.gtnla.cl

Copper for Energy (C4E) Technology business consortium that develops ways of using copper in the energy, energy efficiency and renewable energy areas.

It developed a system to desalinate water, fed with solar energy, and implemented a pilot system in the city of El Salvador in Region III in order to validate the technology.

Formed by Fundación Chile, the International Copper Association, Codelco and the Universidad de Chile, with the support of Innova Chile of CORFO.

106

en.lighten, initiative of the United Nations Fundación Chile implements a program that accelerates the market’s conversion to a more efficient and environmentally sustainable lighting technology. It established minimum EE standards and provides technical support to improve systems and discontinue inefficient lighting technology. This project is part of the en.lighten initiative of the United Nations Environment Program.

Previously, from 2005 to 2008, FCh in conjunction with the Country Program for Efficient Energy, SEC and SERNAC, implemented the National Program for Efficient Energy Labelling in order to promote better purchasing decisions among Chilean consumers.

Developing clean energy markets To implement energy efficient (EE) projects and non-conventional renewable energies (NCRE), Fundación Chile transferred the ESCO (Energy Services Companies) model to the country and supported engineering companies wanting to convert to ESCOs in their business plan development.

National Association of ESCOs ANESCO Chile, an association that seeks to create and foster energy efficient companies, was created under the auspices of the Clean Energy Program of Fundación Chile and financed by the Inter-American Development Bank and CORFO.

Fundación Chile participated in: • 42 audits with projects valued at US$5 million.

• Training courses for 300 people and 20 regional seminars.

• EE market study.

• Engaged by the IADB to replicate the experience in Jamaica.

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Sustainable from beginning to end Product life cycle program The Sustainability Consortium is an international organization comprised of more than 80 companies, universities, NGOs and government agencies working for a more sustainable world through better products, services and consumer habits.

As regional hub FCh leads this initiative, working with the supply chain, consumers and other actors. This helps suppliers visualize and implement opportunities for innovation, improving their environmental and social performance along with their potential for exporting.”

• FCh implements Measuring Systems and Sustainability Reports (SMRS).

• Defined sustainability profiles for 20 product categories and their processes.

•More than 50 environmental critical points and innovation opportunities identified to improve production processes and reduce their impact.

Fundación Chile performs numerous activities to measure and communicate the sustainability of products throughout their life cycle. The end purpose is to provide clear information for consumers to make informed decisions.

www.consorcioporlasustentabilidad.cl

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Green initiatives Massive neutralization of greenhouse gas (GHG)

Zero Carbon: iPhone app measures user’s footprint

Compensation for a

Application developed by FCh to raise awareness on carbon footprints and informs users on different actions that can be followed to preserve the environment.

fleet of 100 Metrogas trucks with carbon credits of the Lircay hydropower plant in the Maule Region.

Annual energy production of 130 GWh ontributes to a reduction of 53,000 tons of GHG.

Amount of carbon generated by people during their house chores.

Nearly 24,000 people uploaded this application to their mobile phones.

Total Metrogas emissions neutralized: 439 tons of CO2 –eq

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Searching for leaders in climate change Fundación Chile and Revista Capital Survey to promote climate change management in companies and disseminate the best environmental projects. We seek companies and organizations that are committed to continuously improving their processes and implementing innovative actions that foster sustainability.

Winners 2010 – Unilever 2011 - Natura

Nearly 200 companies participated in 2010 and 2011 www.liderescambioclimatico.cl

Platform for Sectorial Carbon Emissions Fundación Chile supported the country in adopting the practice to measure carbon footprints. More than 50 projects were implemented, mostly in the retail, agro-industrial and financial sector.

Over the last few years, FCh changed the concept of “measurement” to “integrated management” of carbon footprint which includes measurement, reduction, compensation and communication.

The carbon bond virtous circle Sociedad Inversora Forestal (SIF) A Latin American pioneer in financial innovation, SIF, a Fundaci贸n Chile subsidiary, created the forestry securitization bond, a fixed income instrument, with the backup of the usufruct of radiata pine and eucalyptus forests planted in Regions VII and VIII. The goal of this project was to support small land-tenants, while generating environmental benefits in southern Chile.

First forestry initiative to receive UNFCCC (United Nations) registration as a carbon sink initiative.

In 1999, the first bond for US$13 million was placed. In Chile today, there are five funds operating under a similar model, with over US$500 million in investments.

The initiative generated over U$40 reforestation of 15,000 hectares.

million in investments and

In 2009, FCh sold SIF with more than 1,564 hectares of eucalyptus and 4,333 hectares of radiata pine.

Thanks to this project, small land tenants increased their annual earnings by 25% to 30%.

Estimated social benefit: US$184

Project developed with support from Corfo and the Ministry of Agriculture.

Forest was harvested by Masisa and Mininco under the certification for sustainable forestry management (CERTFOR).

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million.

First private Climate Exchange in the Southern Hemisphere SCX, Santiago Climate Exchange Fundación Chile and Celfin Capital created the Climate Exchange, implementing a “Green Market” to reduce greenhouse gases (GHG) in Chile and Latin America.

Contributions: • Channels operations for people and companies interested in implementing CO2 reduction projects that generate carbon credits.

• Makes the market for CO2 emissions in Chile more transparent and creates a traceability record of the traded reduction certificates.

First entity of its kind to voluntarily adopt the criteria and methods to trace greenhouse emission reductions.

Important initiatives: • Chilean mission to the UN, measured and compensated its carbon footprint.

• “Neutralize your car” in Vitacura 2010 and 2011.

• Vitacura, first carbon neutral municipality in Latin America.

• Chilean National Soccer Team, carbon neutral in South Africa 2010.

• Chilean pavilion at Expo Shanghai 2010, the only carbon neutral exhibitor at the event.

• Neutralization Corpbanca, Sunrise wine of Concha y Toro.

• Neutralization Peter Senge event (Seminarium); Second National Communication on Climate Change; Seminar on Key Factors and Challenges for the Sustainable Energy Market in Chile.

Innovation Award, Diario Financiero 2011 (newspaper)

Partners: Celfin Capital, Fundación Chile, Copec, CGE, SK Enaex, Arauco, Concha y Toro, Sodimac, Vapores y Unimarc.

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As part of FCh’s early stage innovation participation model, this project was successfully transferred to the forest corporation, CERTFOR Chile, in August 2012.

Sustainable wood for the world Certification for Sustainable Forestry Management – CERTFOR Fundación Chile was one of the founding partners of the CERTFOR in Chile, a certification system for sustainable forestry management, standardized by PEFC (Programme for the Endorsement of Forest Certification Schemes). The system shows that by-products from forest operations are the result of environmentally-friendly management.

Today, the system has 1.9

Program for the endorsement of a forestry certification

million

hectares under certification, making it the most important seal of certification in Chile.

Administrates the Certification System through the Executive Secretariat

It has 49 Chains of Custody (CoC), mainly companies for graphics supplies, paper manufacturer and printing presses.

8 companies whose forests are under certification for Sustainable Forestry Management.

National accrediting agency.

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CERTIFYING AGENCIES

CERTIFIED COMPANIES

Agencies that are authorized to certify.

Their leading auditors are accredited before the INN.

Organization that wishes to certify its MFS or CoC, obtaining its certificate from the certifying agency.

Food: Greater competitiveness and productivity

Food & Biotechnology High impact, sustainable technological innovations “It’s urgent today to generate new food sources that are healthier and come from a sustainable industry.”

Andrés Barros, Head of Food and Biotechnology, FCh

We seek to improve competitiveness and productivity in our national food sector by developing and transferring high impact solutions grounded in sustainable technology innovation.

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Pioneers in food innovation FCh set milestones through the introduction of new species that enabled the generation of new sectors and fostered their competitiveness.

Agriculture: Introduction of berries, citrus production in semi-desert areas (Region IV), new species for olive oil production and the first to implement quality control of fruit, as well as opening rice exports.

Marine resources: Creation of the first salmon, production plant, introduction of new salmon feed from agribusiness (Oleotop), added value to production, opened up exports and introduction of technology to improve production and health, highlighting the SRS vaccine, among others. It also helped professionalize the marine resources industry with breeding farms for abalone y flounder, triploid scallops and oyster seeds for exports.

Livestock: Processing and distribution of vacuum-packed meat, beef exports, and gourmet goat cheese production; developed regional livestock rearing such as lamb in Magallanes.

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Biotechnology: Genetic material for flowers, disease-resistant grapes that are larger and seedless, stone fruit resistant to browning and mealiness.

Plants: Developed botanical products from native, unique and proprietary plants,with high added value for the pharmaceutical, nutraceutical and cosmetic industries.

Wine: High-quality wine production in the south and grape must concentrate for pisco production.

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For more efficient farming CropCheck Model

5,000

CropCheck, Australian model to improve production quality and yields of traditional crops (rice, corn, wheat and alfalfa)

Average

hectares

of rice, corn, alfalfa and wheat

23% increase in crop productivity.

7% increase in harvest

400

producers committed to change

Average estimated production increase with and without cropcheck for wheat, rice and corn crops

Accumulated growth rate

Average (7,000 tons)

Without Cropcheck With Cropcheck

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Improves productivity, reduces sanitary problems and operational costs in breeding centers

Salmon + copper, the perfect combination EcoSea Farming, copper mesh for aquaculture EcoSea Farming S.A., a joint venture between Codelco, The International Copper Association the Universidad de Concepción and the Pontificia Universidad Católica de Valparaíso, Fundación Chile, and Sitecna.

Copper alloys are used to improve aquaculture productivity and sustainability.

Australia

EE.UU.

Chile Panamá

Japón

Financing: Innova- Corfo, Conycit

Ultra-resistant Environmentally-friendly Antimicrobial, fungicidal and virucidal 100% recyclable

Used in more than

60

centers in Chile and

300

centers around the world

+

15%

improvement in the feed conversion rate (FCR) and feed costs

127

+

Only producers

of rigid UR30 copper alloy mesh in Chile

=

AVONNI 2011 Award Best Industrial Innovation and contribution to the sector

Food of the future Microalgae, developing healthy food What are they? Microorganisms with high nutritional value and Omega3 content for mass consumption

Creating new food industry

Developing technologies for sustainable food production

Innovating for a more competitive food industry

• New food with high nutritional value.

• Source of protein, fatty acids, food supplements.

• Capacity to synthesize biocomponents (antioxidants, antibiotics, vitamins, pigments).

• Potential new biofuel.

• Immune to the effects of climate change (increase in temperatures and water shortages).

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Why in Chile?

The desert offers excellent growing conditions: Unpolluted water and high solar radiation

Worldwide entrepreneurship Alimtec, natural pigments for salmon.

Alimtec is a consortium comprised of Fundaci贸n Chile, Inversiones PSI, Bayer, and supported by the Chilean Economic Development Agency (Corfo).

Located in the Elqui Valley (Coquimbo Region), it supplies local industry with natural astaxanthin produced in Chile, a substance that colors salmon flesh.

Its pioneering technology developed in Chile is based on the cultivation of microscopic algae, Haemotococcus pluvialis.

Company transferred to Bayer. Today, its use is intended for human consumption as a nutraceutical.

Until 2009, astaxanthin was manufactured synthetically in European laboratories and represented 20% of fish feed costs.

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Two experimental aquaculture centers in Tongoy and Quillaipe and two business units: Aquadvise and Cultimar

Recovering the diversity of our ocean Aquaculture Projects Fundaci贸n Chile is committed to developing innovative businesses to promote an industry with value added products, benefitting from the wealth and biodiversity of our natural resources.

Over the last 30 years, FCh has been involved increating the salmon industry in southern Chile and restocking flounder in Coquimbo, the only producer in the world of triploid scallop and exports Pacific oyster seeds, among others.

Restocking flounder

Exporting

70,000

Only producer

juveniles released last year in Coquimbo to benefit artisanal fishing

Today, we are empowering the industry with new species for Chile and the world

breeding sea bass, hake, butterfish, conger eel and flounder for export.

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Pacific oyster seeds

in the world of triploid scallop seeds

We export knowledge and technology Aquadvise Laboratory is a business unit that provides bio-testing services to the national aquaculture industry for fish health and feed.

Bio-testing laboratory

More than

30

national and international clients

Biological assessment for health, pathologies, diets, nutrition, ingredients, additives and other inputs for the aquaculture industry

Almost

150

Exports biotechnology knowledge to developed countries such as Norway, Germany and the US.

bio-tests over the last 6 years

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Biodiversity for export Cultimar Fundación Chile plant, produces and sells oyster and scallop seeds.

Harvests

260 million

scallop larvae in the Tongoy Aquaculture Center, the largest in its history, thanks to T3 technology developed by the Center’s R&D team.

Produces nearly Japanese oyster seed

2 billion eyed larvae and 45 million oyster seeds per year for the domestic, South American and African markets.

Also advises first-time farmers or those facing challenges in the breeding process.

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Boosting competitiveness Chemical Metrology Center for Water and Food “We have international recognition of what we are technically capable of doing, and the highest standard in all activities we develop with laboratories across the country.”

Gabriela Massiff, Director of the Chemical Metrology Center for Water and Food and chair of the Chemical Metrology Working Group of the Americas

The Chemical Metrology Center’s mission is to ensure the traceability and international comparability of chemical residue measurements in food and water, in order to prevent risks to consumer health and provide the necessary support to the Chilean export sector.

• Represents Chile in the International Council on Chemical Metrology • Nominated as National Reference Center for Water and Food (Decree Min. Economy 2007)

16

development projects to improve measuring capacities in trace metals and residue in food and different types of water.

41

performance assessment trials, with the participation of approximately 120 Chilean and 20 foreign laboratories.

500

chemists trained in metrology, quality assurance, measuring techniques.

Supports public agencies (Sernapesca, SAG, Dirección General de Aguas)

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84

reference materials in cations, anions, wines and antibiotics in different matrices, in accordance with international requirements.

Unic center in Chile

that implements chemical metrology according to international standards (Peer Review 2006 and 2012)

Evaluation of water analysis laboratories for the water industry and environmental impact assessments

From subsistence to oasis Agro-livestock development in desert areas We work with 60 families in MamiĂąa, Quipisca and Parca in diversifying and increasing their economic activity and commercializing it in surrounding markets.

The idea is to foster entrepreneurship in the communities and their capacity to develop businesses. “Innovating and adding value to what the communities produce, as well as transferring technology, implies working with the people and changing how they perceive their model of livelihood to one as a business, sustainable over time,that will improve their quality of life.�

Cristina Castillo, Program Coordinator

Improving income and quality of life of families, motivating them to continue living in these locations

QUIPISCA

Promoting sustainable economic and social development through a professional support network

Increasing productivity and generating added value Project started by Cerro Colorado Mine in January, 2012

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At FCh we are not spectators of events, but active builders of the future.

Production MTA Asesorías Estratégicas Ltda.

Design Valeria Alarcón Needham Macarena Cisternas González

Printed by Salesianos Impresores S.A.

©Fundación Chile August 2012 Santiago · Chile Limited edition of 1.000 copies Total or partial reproduction of this publication is prohibited.