Report 2020 - Environmental Industry Overview Table of ...Report 2020 - Environmental Industry...

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Report 2020 Site Remediation & Industrial Services © Environmental Business International, Inc., 2013 Page iii Report 2020 - Environmental Industry Overview Table of Contents 1. The U.S. Environmental Industry .................................................................................6 1.1. Acknowledgements............................................................................................................................... 6 1.1.1. Authors and Sources ...................................................................................................................... 6 1.1.2. EBJ’s Market Research Method .................................................................................................... 6 1.1.3. Company Databases ...................................................................................................................... 8 1.1.4. Survey Instruments ........................................................................................................................ 8 1.1.5. Disclaimer........................................................................................................................................ 9 1.1.6. Copyright ...................................................................................................................................... 10 1.2. The U.S. Environmental Industry Overview ................................................................................... 11 1.2.1. Definition of the Environmental Industry ................................................................................ 11 1.2.2. Environmental Industry Segments ............................................................................................ 13 1.2.3. Environmental Industry Customers and Buyers ..................................................................... 21 1.2.4. Private Sector Buyers ................................................................................................................... 23 1.2.5. Historical Framework of the Environmental Industry............................................................ 31 1.2.6. Impact of Recession and Regulatory Uncertainty on a Maturing Industry ......................... 35 1.2.7. Transition to Sustainability and a Value-Based Environmental Industry ............................ 37 1.2.8. The Great Recession ..................................................................................................................... 40 1.2.9. 2011 Report and Trend Analysis ................................................................................................ 40 1.2.10. 2010 Report and Trend Analysis ................................................................................................ 45 1.2.11. 2009 Report and Trend Analysis ................................................................................................ 47 1.2.12. 2008 Report and Trend Analysis ................................................................................................ 50 1.2.13. Perspective from 2008-2009 ........................................................................................................ 59 1.2.14. 2007 Report and Trend Analysis ................................................................................................ 60 1.2.15. 2006-2007 Trends in the Environmental Industry.................................................................... 62 1.3. Segment Review .................................................................................................................................. 69 1.3.1. Environmental Service Segments ............................................................................................... 69 1.3.2. Environmental Testing and Analytical Services ...................................................................... 70 1.3.3. Solid Waste Management............................................................................................................ 77 1.3.4. Hazardous Waste Management ................................................................................................. 83 1.3.5. Remediation and Industrial Services ......................................................................................... 90 1.3.6. Environmental Consulting & Engineering ............................................................................. 100 1.3.7. Environmental Equipment Segments ...................................................................................... 110 1.3.8. Water & Wastewater Treatment Equipment and Chemicals ............................................... 110 1.3.9. Environmental Instrumentation & Information Systems ..................................................... 115 1.3.10. Air Pollution Control Equipment ............................................................................................. 121 1.3.11. Waste Management Equipment ............................................................................................... 126 1.3.12. Process and Pollution Prevention Technology ....................................................................... 129 1.3.13. Environmental Resource Segments ......................................................................................... 131 1.3.14. Water Utilities ............................................................................................................................. 131 1.3.15. Resource Recovery ..................................................................................................................... 134 1.3.16. Clean Energy Systems & Power ............................................................................................... 139 1.3.17. Climate Change Industry Definition and Context ................................................................. 144 1.3.18. Healthy Products, Healthy Planet (HP2) Market................................................................... 147 1.4. Exports and International Business ................................................................................................ 151

Transcript of Report 2020 - Environmental Industry Overview Table of ...Report 2020 - Environmental Industry...

Page 1: Report 2020 - Environmental Industry Overview Table of ...Report 2020 - Environmental Industry Overview Table of ... ... Report 2020 –

Report 2020 Site Remediation & Industrial Services

© Environmental Business International, Inc., 2013 Page iii

Report 2020 - Environmental Industry Overview

Table of Contents

1. The U.S. Environmental Industry .................................................................................6

1.1. Acknowledgements ............................................................................................................................... 6 1.1.1. Authors and Sources ...................................................................................................................... 6 1.1.2. EBJ’s Market Research Method .................................................................................................... 6 1.1.3. Company Databases ...................................................................................................................... 8 1.1.4. Survey Instruments ........................................................................................................................ 8 1.1.5. Disclaimer........................................................................................................................................ 9 1.1.6. Copyright ...................................................................................................................................... 10

1.2. The U.S. Environmental Industry Overview ................................................................................... 11 1.2.1. Definition of the Environmental Industry ................................................................................ 11 1.2.2. Environmental Industry Segments ............................................................................................ 13 1.2.3. Environmental Industry Customers and Buyers ..................................................................... 21 1.2.4. Private Sector Buyers ................................................................................................................... 23 1.2.5. Historical Framework of the Environmental Industry ............................................................ 31 1.2.6. Impact of Recession and Regulatory Uncertainty on a Maturing Industry ......................... 35 1.2.7. Transition to Sustainability and a Value-Based Environmental Industry ............................ 37 1.2.8. The Great Recession ..................................................................................................................... 40 1.2.9. 2011 Report and Trend Analysis ................................................................................................ 40 1.2.10. 2010 Report and Trend Analysis ................................................................................................ 45 1.2.11. 2009 Report and Trend Analysis ................................................................................................ 47 1.2.12. 2008 Report and Trend Analysis ................................................................................................ 50 1.2.13. Perspective from 2008-2009 ........................................................................................................ 59 1.2.14. 2007 Report and Trend Analysis ................................................................................................ 60 1.2.15. 2006-2007 Trends in the Environmental Industry.................................................................... 62

1.3. Segment Review .................................................................................................................................. 69 1.3.1. Environmental Service Segments ............................................................................................... 69 1.3.2. Environmental Testing and Analytical Services ...................................................................... 70 1.3.3. Solid Waste Management............................................................................................................ 77 1.3.4. Hazardous Waste Management ................................................................................................. 83 1.3.5. Remediation and Industrial Services ......................................................................................... 90 1.3.6. Environmental Consulting & Engineering ............................................................................. 100 1.3.7. Environmental Equipment Segments ...................................................................................... 110 1.3.8. Water & Wastewater Treatment Equipment and Chemicals ............................................... 110 1.3.9. Environmental Instrumentation & Information Systems ..................................................... 115 1.3.10. Air Pollution Control Equipment ............................................................................................. 121 1.3.11. Waste Management Equipment ............................................................................................... 126 1.3.12. Process and Pollution Prevention Technology ....................................................................... 129 1.3.13. Environmental Resource Segments ......................................................................................... 131 1.3.14. Water Utilities ............................................................................................................................. 131 1.3.15. Resource Recovery ..................................................................................................................... 134 1.3.16. Clean Energy Systems & Power ............................................................................................... 139 1.3.17. Climate Change Industry Definition and Context ................................................................. 144 1.3.18. Healthy Products, Healthy Planet (HP2) Market................................................................... 147

1.4. Exports and International Business ................................................................................................ 151

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1.5. Employment ....................................................................................................................................... 154 1.6. 2011 Snapshot Survey ....................................................................................................................... 156 1.7. Conclusion

.............................................................................................................................................................. 173

List of Exhibits

Exhibit 1-1 Environmental Industry Segments ....................................................................................... 13 Exhibit 1-2 Environmental Industry Segments and Numbers of Companies..................................... 14 Exhibit 1-3 The U.S. Environmental Industry in 2010 ($bil) ................................................................. 15 Exhibit 1-4 The U.S. Environmental Industry: Share of Small Companies 2010 ................................ 16 Exhibit 1-5 The U.S. Environmental Industry: Segment Detail 2006-2010 .......................................... 17 Exhibit 1-6 Jobs in The U.S. Environmental Industry 2005-2010 .......................................................... 18 Exhibit 1-7 The U.S. Environmental Industry 2009 ($bil) ...................................................................... 19 Exhibit 1-8 The U.S. Environmental Industry 2010 ................................................................................ 19 Exhibit 1-9 U.S. Environmental Industry Segments by Competitor .................................................... 20 Exhibit 1-10 U.S. Environmental Industry and Forecast ......................................................................... 21 Exhibit 1-11 U.S. Environmental Industry Segments by Customer Type ............................................. 22 Exhibit 1-12 U.S. Environmental Industry Revenues from Industry Clients ........................................ 23 Exhibit 1-13 Client Sectors Rated by 2011 Survey Respondents for Growth in 2011-2013 ................. 25 Exhibit 1-14 2008: Best Rated Client Markets for Growth ....................................................................... 26 Exhibit 1-15 Customer Markets Ranked for 2009-2010 ............................................................................ 26 Exhibit 1-16 Service Categories Rated by Growth by Survey Respondents in 2009 ............................ 28 Exhibit 1-17 Service Sectors Rated by Survey Respondents for Growth in 2010-2012 ........................ 29 Exhibit 1-18 USA Geographic Regions Rated by Respondents for Growth in 2011-2013 ................... 30 Exhibit 1-19 Geographic Regions Rated by Survey Respondents for Growth in 2010-2012 ............... 30 Exhibit 1-20 U.S. Environmental Industry vs. U.S. GDP Gowth ............................................................ 31 Exhibit 1-21 Historical and Projected Size of U.S. Environmental Industry ......................................... 32 Exhibit 1-22 Historical Growth of the U.S. Environmental Industry, 1988 – 2010 ............................... 34 Exhibit 1-23 The U.S. Environmental Industry 1970-2010 ....................................................................... 35 Exhibit 1-24 U.S. Environmental Industry: Revenues by Function ........................................................ 37 Exhibit 1-25 U.S. Environmental Industry: Revenues by Function 1997-2010...................................... 38 Exhibit 1-26 Historical and Projected Growth in the Environmental Industry in Services,

Equipment and Resources, 1970-2020 .................................................................................. 39 Exhibit 1-27 Historical and Projected Growth in the Environmental Industry in

Infrastructure & Non-Infrastructure Segments, 1970-2020 ............................................... 39 Exhibit 1-28 Importance of the Stimulus Package .................................................................................... 52 Exhibit 1-29 Ranking of Contract Vehicles for ARRA Funds .................................................................. 56 Exhibit 1-30 Ranking of Company Types Most Likely to Benefit from the ARRA .............................. 57 Exhibit 1-31 Ratings of Stimulus Package Programs ............................................................................... 58 Exhibit 1-32 U.S. Environmental Industry: Revenues by Media in 2010 ............................................... 68 Exhibit 1-33 The U.S. Environmental Industry as a Percent of GDP, 1980-2010 .................................. 69 Exhibit 1-34 Historical and Projected Growth in Environmental Testing & Analytical

Services ..................................................................................................................................... 72 Exhibit 1-35 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 1993 ........................................................................................................ 72 Exhibit 1-36 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 2003 ........................................................................................................ 73 Exhibit 1-37 Leading Companies in Environmental Testing & Analytical Services, 2001 .................. 73 Exhibit 1-38 Leading Companies in Environmental Testing & Analytical Services, 2006 .................. 75 Exhibit 1-39 Leading Companies in Environmental Testing & Analytical Services, 2008 .................. 76 Exhibit 1-40 Leading Companies in Environmental Testing & Analytical Services, 2010 .................. 77

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Exhibit 1-41 Size of the Solid Waste Market by Industry Segment, 2009 .............................................. 78 Exhibit 1-42 Distribution of Solid Waste Management Revenues, 2009 ............................................... 79 Exhibit 1-43 Historical and Projected Growth in Solid Waste Management ........................................ 79 Exhibit 1-44 Size of the Solid Waste Market by Industry Segment, 2007 .............................................. 80 Exhibit 1-45 Distribution of Solid Waste Management Revenues, 2006 ............................................... 80 Exhibit 1-46 Existing and Projected Solid Waste Market by Participant (in Billions $)....................... 81 Exhibit 1-47 Leading Companies in Solid Waste Management, 2001.................................................... 81 Exhibit 1-48 Leading Companies in Solid Waste Management, 2007.................................................... 82 Exhibit 1-49 Leading Companies in Solid Waste Management, 2004-2009 .......................................... 83 Exhibit 1-50 Hazardous Waste Management Market, 2000 - 2010 ......................................................... 84 Exhibit 1-51 The U.S. Hazardous Waste Management Market 1987-2010 ............................................ 85 Exhibit 1-52 Historical and Projected Growth in Hazardous Waste Management ............................. 86 Exhibit 1-53 Distribution of Companies in Hazardous Waste Management, 1995 .............................. 86 Exhibit 1-54 Leading Companies in Hazardous Waste Management, 1995 ......................................... 87 Exhibit 1-55 Leading Companies in Hazardous Waste Management, 2001 ......................................... 88 Exhibit 1-56 Leading Companies in Hazardous Waste Management, 2005 ........................................ 89 Exhibit 1-57 Leading Companies in Hazardous Waste Management, 2010 ........................................ 89 Exhibit 1-58 Distribution of Revenues from Remediation and Industrial Services, 1998-

2013 ........................................................................................................................................... 90 Exhibit 1-59 Remediation and Industrial Services Revenues 1988-2013 $bil ........................................ 91 Exhibit 1-60 Distribution of Site Remediation Companies, 2003 ............................................................ 93 Exhibit 1-61 Historical and Projected Growth in Remediation & Industrial Services ......................... 93 Exhibit 1-62 Leading Companies in Remediation, 1999 .......................................................................... 94 Exhibit 1-63 Leading Companies in Remediation, 2003 .......................................................................... 96 Exhibit 1-64 Leading Companies in Remediation, 2006 .......................................................................... 98 Exhibit 1-65 Leading Companies in Remediation, 2008 .......................................................................... 99 Exhibit 1-66 Historical and Projected Growth in Environmental Consulting & Engineering .......... 101 Exhibit 1-67 Environmental Consulting and Engineering: Annual Growth Rate, 1975 -

2012 ......................................................................................................................................... 101 Exhibit 1-68 Environmental Consulting & Engineering Revenues by Media, 2004-2009 ................. 103 Exhibit 1-69 Distribution of Companies in Environmental Consulting & Engineering, 2009 .......... 103 Exhibit 1-70 Distribution of Companies in Environmental Consulting & Engineering, 2008 .......... 103 Exhibit 1-71 Distribution of Companies in Environmental Consulting & Engineering, 2005 .......... 104 Exhibit 1-72 Top 20 Companies in Environmental Consulting & Engineering, 2001-2005............... 104 Exhibit 1-73 Leading Companies in Environmental Consulting & Engineering, 2008 ..................... 106 Exhibit 1-74 Leading Companies in Environmental Consulting & Engineering, 2009 ..................... 107 Exhibit 1-75 Leading Companies in Environmental Consulting & Engineering, 2010 ..................... 109 Exhibit 1-76 Historical and Projected Growth in Water & Wastewater Treatment

Equipment and Chemicals ................................................................................................... 111 Exhibit 1-77 Water & Wastewater Treatment Equipment and Chemicals Industry, 2002-

2010 ......................................................................................................................................... 112 Exhibit 1-78 Water Equipment & Chemicals Company Revenues, 2010 ............................................ 113 Exhibit 1-79 Leading Companies in Water & Wastewater Treatment Equipment, 2006 .................. 114 Exhibit 1-80 Leading Companies in Water & Wastewater Treatment Equipment, 2010 .................. 115 Exhibit 1-81 U.S. Environmental Instruments & Information Market by Product, 1998-

2006 ......................................................................................................................................... 116 Exhibit 1-82 Environmental Software & Information Service Companies, 2006 ................................ 116 Exhibit 1-83 Top Environmental Software & Information Service Companies in 2010: USA

Sales in $mil ........................................................................................................................... 117 Exhibit 1-84 Top 30 Analytical and Life Science Instrument Companies, 2005 ................................. 118 Exhibit 1-85 Leading Companies in Environmental Instrumentation, 2000 ....................................... 119

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Exhibit 1-86 Historical and Projected Growth in Environmental Instruments & Information ............................................................................................................................ 120

Exhibit 1-87 Mobile Source vs. Stationary Source, 2000-2010 ............................................................... 122 Exhibit 1-88 Historical and Projected Growth in the APC Segment: Air Pollution Control

Equipment .............................................................................................................................. 124 Exhibit 1-89 Distribution of Companies in Air Pollution Control Equipment, 2004 ......................... 125 Exhibit 1-90 Leading Companies in Air Pollution Control Equipment, 2005 ..................................... 126 Exhibit 1-91 Historical and Projected Growth in Waste Management Equipment ............................ 127 Exhibit 1-92 U.S. Waste Management Equipment Industry: 2001-2009 ($mil) ................................... 128 Exhibit 1-93 Historical and Projected Growth in PPT ............................................................................ 130 Exhibit 1-94 Historical and Projected Growth in Water Utilities ......................................................... 132 Exhibit 1-95 Historical and Projected Growth in Water Treatment Works ......................................... 134 Exhibit 1-96 Sales of Recovered Materials in/from U.S., 2000-2010 ($bil) .......................................... 135 Exhibit 1-97 Sales of Recovered Materials in the U.S., 2007 ($bil ) ....................................................... 135 Exhibit 1-98 Historical and Projected Growth in Resource Recovery .................................................. 138 Exhibit 1-99 Leading Companies in Resource Recovery, 2002 ............................................................. 139 Exhibit 1-100 Historical and Projected Growth in Clean Energy Systems & Power ............................ 140 Exhibit 1-101 Low-Carbon Power: Renewable & Conventional Power Sales; Specialty

Equipment & Services: 2008-2010 ($mil)............................................................................ 141 Exhibit 1-102 Leading Companies in Wind Energy in 2009 .................................................................... 143 Exhibit 1-103 Leading Companies in Solar Energy in 2009 ..................................................................... 143 Exhibit 1-104 The U.S. Healthy Products, Healthy Planet Market 2006-2009 ...................................... 149 Exhibit 1-105 The U.S. Healthy Products, Healthy Planet Market ($bil) ............................................... 151 Exhibit 1-106 Global Environmental Market by Region, 2002 - 2012 ..................................................... 151 Exhibit 1-107 Global Environmental Market by Segment, 2002 – 2012 ................................................. 152 Exhibit 1-108 U.S. Environmental Trade Balance, 2009 ........................................................................... 152 Exhibit 1-109 U.S. Environmental Industry Export Performance, 2000-2008 ....................................... 153 Exhibit 1-110 Companies and Exporters in the U.S. Environmental Industry ..................................... 153 Exhibit 1-111 The U.S. Environmental Industry 2009 .............................................................................. 154 Exhibit 1-112 Employment in the U.S. Environmental Industry 2004-2007 .......................................... 155 Exhibit 1-113 The U.S. Environmental Industry 2009 .............................................................................. 155 Exhibit 1-114 Please classify your firm by type?....................................................................................... 156 Exhibit 1-115 Please classify your company by size? ............................................................................... 157 Exhibit 1-116 Please estimate your gross revenue growth rate in 2009? ............................................... 158 Exhibit 1-117 Please report your gross revenue growth rate for 2010? ................................................. 159 Exhibit 1-118 Please forecast your gross revenue growth rate for 2011? .............................................. 160 Exhibit 1-119 Mean Growth by Environmental Service Sector ............................................................... 160 Exhibit 1-120 Median Growth by Environmental Service Sector ........................................................... 160 Exhibit 1-121 Please rate the following customer areas in terms of sales growth over the

past year in 2010: For these questions, feel free to respond only to areas that apply to your company. ....................................................................................................... 161

Exhibit 1-122 Customer Trends: Please rate the following customer areas in terms of prospects for sales growth in the next two to three years: .............................................. 162

Exhibit 1-123 Geographic Trends: If applicable, please indicate the following regions in terms of sales growth over the past year in 2010. ............................................................. 163

Exhibit 1-124 Please rate the following regions in terms of prospects for sales growth in the next two to three years: ........................................................................................................ 163

Exhibit 1-125 Geographic Trends: If applicable, please indicate the following regions in terms of sales growth over the past year in 2010. ............................................................. 164

Exhibit 1-126 Geographic Trends: Please rate the following regions in terms of prospects for sales growth in the next two to three years: ................................................................ 165

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Exhibit 1-127 Environmental Services Trends: Please rate the following media or service market areas in terms of sales growth in 2010 .................................................................. 165

Exhibit 1-128 Please assess the expected impact of market drivers in 2011 on your company's ability to generate revenues. ............................................................................ 167

Exhibit 1-129 Relative importance of the stimulus package and resulting programs to business in 2009-2011 ........................................................................................................... 167

Exhibit 1-130 When do you think will be the low point of residential property values in the USA? ....................................................................................................................................... 168

Exhibit 1-131 When do you think will be the low point of Commercial property values in the USA? ................................................................................................................................ 168

Exhibit 1-132 When do you think was/will be the low point of unemployment in the USA? .......... 169 Exhibit 1-133 When do you think the Dow Jones Industrial average will return to its high

point of around 14,000 from October 2007? ...................................................................... 169 Exhibit 1-134 When do you think spot crude oil prices will hit $140+ like they did in July

2008? ....................................................................................................................................... 169 Exhibit 1-135 When do you think the USA will institute a carbon cap-and-trade system

similar to the EU-ETS system in Europe? .......................................................................... 170 Exhibit 1-136 US DOE says non-hydro renewable sources were responsible for 2.4% of U.S.

electricity generation in 2006 and 3.6% in 200. What percentage of U.S. electricity generation do you believe non-hydro renewable sources will represent in 2020? ................................................................................................................. 170

Exhibit 1-137 What do you think is the likelihood of Barack Obama getting re-elected in 2012? ....................................................................................................................................... 171

Exhibit 1-138 What do you think is the likelihood that Congress will succeed in preventing EPA from regulating greenhouse gas emissions under the Clean Air Act? ................. 171

2. Environmental Market Drivers and Barriers

2.1 Global Industry Evolution ................................................................................................................ 2-3 2.2 Economic Influences ......................................................................................................................... 2-5

2.2.1. Continued Recession ..................................................................................................................... 2-5 2.2.2. Resource and Waste Disposal Prices ............................................................................................. 2-5 2.2.3. Cleanup of U.S. Government Facilities / Technology Transfer .................................................... 2-6 2.2.4. Defense Conversion ....................................................................................................................... 2-7 2.2.5. North American Free Trade Agreement (NAFTA) ...................................................................... 2-7

2.3 The Emerging Circular Economy .................................................................................................... 2-8 2.4 United States Legislation and Regulations .................................................................................. 2-10

2.4.1. Overview of Environmental Regulations .................................................................................... 2-12 The Resource Conservation and Recovery Act (RCRA) ......................................................... 2-12 The Comprehensive Environmental Response, Compensation and Liability Act .............. 2-17 The Clean Air Act (CAA) ............................................................................................................ 2-21 The Federal Water Pollution Control Act (a.k.a. Clean Water Act) ...................................... 2-27 Other Federal Environmental Regulation ................................................................................ 2-31

2.4.2. Enforcement, Civil/Criminal Liability Issues & Land Transfer Regulations.............................. 2-32 Liability a Major Driver .............................................................................................................. 2-32 Property Transfer Liability ......................................................................................................... 2-33 Right-To-Know Laws .................................................................................................................. 2-33

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List of Exhibits Exhibit 2-1 Global Phases of Environmental Industry Evolution ....................................................... 2-4 Exhibit 2-2 Environmental Industry and the Emergence of a Circular Economy .......................... 2-10 Exhibit 2-3 Summary of Penalties under Section 3008 of RCRA ...................................................... 2-15 Exhibit 2-4 Summary of Superfund Sections ...................................................................................... 2-19 Exhibit 2-5 Summary of Clean Air Act Amendment Sections .......................................................... 2-22 Exhibit 2-6 1992 Median Penalties ........................................................................................................ 2-34

3. Environmental Buyers

3.1 Indroduction ...................................................................................................................................... 3-3 3.2 Private Sector Buyers ...................................................................................................................... 3-10

3.2.1 Current Growth and Forecast by Environmental Buyer Categories in 2007 ............................. 3-10 3.2.2 Historical Background on Industrial Buyers .............................................................................. 3-14 3.2.3 Sources of Data ........................................................................................................................... 3-15 3.2.4 Industry Profiles – Contents ....................................................................................................... 3-20 3.2.5 Manufacturing Industries ........................................................................................................... 3-22

3.3 Profiles of Industrial Buyers........................................................................................................... 3-89 3.3.1 Characterization & Survey of Environmental Managers ........................................................... 3-90 3.3.2 Hewlett Packard .......................................................................................................................... 3-96 3.3.3 Xerox Corp. ................................................................................................................................. 3-99 3.3.4 Baxter International .................................................................................................................. 3-102 3.3.5 Exelon Corp. .............................................................................................................................. 3-104 3.3.6 General Motors ......................................................................................................................... 3-108 3.3.7 Raytheon ................................................................................................................................... 3-111 3.3.8 Polaroid ..................................................................................................................................... 3-115 3.3.9 Corporate Responsibility & Sustainability ............................................................................... 3-119 3.3.10 Strategic environmental management (SEM): A practice area? .............................................. 3-137

3.4 Public Sector Buyers ...................................................................................................................... 3-145 3.4.1 Federal Government Markets .................................................................................................... 3-147 Superfund ................................................................................................................................................... 3-178

List of Exhibits

Exhibit 3-1 U.S. Environmental Industry Segments by Customer Type 2005 .................................. 3-3 Exhibit 3-2 U.S. Environmental Industry Revenues from Private Clients 2005 ............................... 3-4 Exhibit 3-3 U.S. Environmental Spending by Industry Clients .......................................................... 3-5 Exhibit 3-4 U.S. Environmental Consulting & Engineering Revenue ($ millions) ........................... 3-6 Exhibit 3-5 U.S. Remediation Markets By Customer 1995-2006 ......................................................... 3-7 Exhibit 3-6 Total U.S. Stationary Source Air Pollution Control Market ($mil) ................................. 3-8 Exhibit 3-7 U.S. Environmental Testing Revenue ($mil) ..................................................................... 3-9 Exhibit 3-8 Global Environmental Instruments Sales ($mil) 1995-2005 ........................................... 3-10 Exhibit 3-9 Client Sectors Rated by Survey Respondents in 2007 .................................................... 3-11 Exhibit 3-10 Service Sectors Rated by Survey Respondents in 2007 .................................................. 3-14 Exhibit 3-11 Composition of Pollution Abatement and Control (PAC) Spending by Sector

1987-1991 .............................................................................................................................. 3-15 Exhibit 3-12 Environmental Spending by U.S. Industries in 1993 ...................................................... 3-18 Exhibit 3-13 Breakdown of Environmental Capital Spending by U.S. Industries in 1993 by

Media .................................................................................................................................... 3-19

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Exhibit 3-14 Breakdown of Environmental Operating Expenditures by U.S. Industries in 1993 by Media ..................................................................................................................... 3-19

Exhibit 3-15 Breakdown of Total Environmental Expenditures by U.S. Industries in 1993 by Media .............................................................................................................................. 3-20

Exhibit 3-16 Composition of 1991 Pollution Abatement and Control Spending .............................. 3-22 Exhibit 3-17 Estimates of Composition of Business Plant & Equipment Operating and

Capital Expenditures .......................................................................................................... 3-22 Exhibit 3-18 1991 Manufacturing Sector Pollution Abatement Expenditures .................................. 3-23 Exhibit 3-19 Industrial Pollution Abatement Expenditures and Toxic Chemical Releases

and Transfers ....................................................................................................................... 3-24 Exhibit 3-20 TRI Chemical Disposal and Other Releases, by Industry 2005 ..................................... 3-28 Exhibit 3-21 Total 1991 Industrial Pollution Abatement Spending By Sector .................................. 3-29 Exhibit 3-22 TRI Mercury Air Releases by Industry, 2005 .................................................................. 3-29 Exhibit 3-23 Manufacturers’ 1991 Air Pollution Abatement Spending By Sector ............................ 3-30 Exhibit 3-24 Manufacturers’ 1991 Water Pollution Abatement Spending By Sector ....................... 3-30 Exhibit 3-25 Manufacturers’ 1991 Solid Waste Management Spending By Sector .......................... 3-31 Exhibit 3-26 Manufacturers’ 1991 Hazardous Waste Management Spending By Sector................ 3-32 Exhibit 3-27 Manufacturing Industries With the Fastest Growing Pollution Abatement

Expenditures ........................................................................................................................ 3-33 Exhibit 3-28 2005 RCRA Hazardous Waste Generation ...................................................................... 3-34 Exhibit 3-29 Breakdown of Chemical Industry Spending in 1993 ..................................................... 3-40 Exhibit 3-30 TRI Chemical Disposal and Other Releases, Top 20 Facilities 2005 ............................. 3-44 Exhibit 3-31 Chemical Industry Historical Pollution Abatement Expenditures by Media ............. 3-45 Exhibit 3-32 Distribution of Chemical Industry 1991 Pollution Abatement Expenditures

by Media .............................................................................................................................. 3-46 Exhibit 3-33 Year-to-Year Growth in Chemical Industry Environmental Spending ....................... 3-47 Exhibit 3-34 Percentage of Air & Water Pollution Abatement Capital Expenditures for

Changes in Processes .......................................................................................................... 3-49 Exhibit 3-35 TRI Dioxin Air and Water Releases by Industry, 2005 .................................................. 3-49 Exhibit 3-36 TRI Air and Water Releases of Carcinogins, by Industry 2005 ..................................... 3-50 Exhibit 3-37 Chemical Manufacturers’ Largest Environmental Expenditures (% of Firms

Identifying Each Category as Their Largest Environmental Expense) ........................ 3-55 Exhibit 3-38 Chemical Manufacturers’ Capital Spending Plans for Environmental

Protection Projects .............................................................................................................. 3-56 Exhibit 3-39 Breakdown of the Petroleum Industry ............................................................................ 3-58 Exhibit 3-40 Decline of TRI Volume and Facilities 1988-2005 ............................................................. 3-60 Exhibit 3-41 Petroleum Industry Historical Pollution Abatement Expenditures by Media ........... 3-62 Exhibit 3-42 Distribution of Petroleum Industry 1991 Pollution Abatement Expenditures

by Media .............................................................................................................................. 3-62 Exhibit 3-43 Year-to-Year Growth in Petroleum Industry Environmental Spending ..................... 3-64 Exhibit 3-44 Petroleum Companies’ Largest Environmental Expenditures (% of Firms

Identifying Each Category as Their Largest Environmental Expense) ........................ 3-67 Exhibit 3-45 Breakdown of the Food Industry ...................................................................................... 3-69 Exhibit 3-46 Breakdown of the Paper & Allied Products Industry ($Millions) ................................ 3-70 Exhibit 3-47 Power Industry Environmental Expenditures 2007, By Fuel Type .............................. 3-71 Exhibit 3-48 Polaroid Corporation Environmental Performance Indicators .................................. 3-119 Exhibit 3-49 Environmental Industry Segments by Customer Type ............................................... 3-146 Exhibit 3-50 DOD Environmental Budgets 2004-2007 ....................................................................... 3-150 Exhibit 3-51 DOE Environmental Budgets 2004-2007 ........................................................................ 3-155 Exhibit 3-52 EPA Environmental Budgets 2004-2008 ........................................................................ 3-157 Exhibit 3-53 DOI Environmental Budgets 2004-2007 ......................................................................... 3-157 Exhibit 3-54 Forcasted Growth by Government Client Type 2006 .......................................................... 3-162

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Exhibit 3-55 WERC Contract Winners ..................................................................................................... 3-167 Exhibit 3-56 GSA Environmental Service Schedules ............................................................................... 3-177 Exhibit 3-57 Superfund by the Numbers ................................................................................................... 3-187 Exhibit 3-58 Historical and Projected Growth in Superfund-Related Market, 1988 – 2010 .................... 3-188 Exhibit 3-59 FY 1992 Defense Environmental Restoration Program (DERP) Expenditures

by Service ........................................................................................................................... 3-190 Exhibit 3-60 DOE Environmental Management Spending Estimates ($ Billions) ......................... 3-191 Exhibit 3-61 DOE Environmental Management Funding Flow ........................................................ 3-194 Exhibit 3-62 Potential Advantages of Innovative Treatment Technologies .................................... 3-195 Exhibit 3-63 Civilian Federal Agencies ................................................................................................ 3-196

RESOURCES

4 Water Utilities ............................................................................................................... 4-3

4.1 Introduction: The Ownership or Utility “Layer” of the Water Industry ................................... 4-3 4.1.1 Industry Structure ........................................................................................................................ 4-3 4.1.2 Important Utility Discontinuities ................................................................................................ 4-5 4.1.3 Resolving Discontinuities as Water Business Strategy ................................................................ 4-7

4.2 Water Utility Overview .................................................................................................................... 4-9 4.2.1 Five Broad Sub-Elements ............................................................................................................ 4-12 4.2.2 Users Becoming Providers .......................................................................................................... 4-12 4.2.3 Increasingly Price Driven ........................................................................................................... 4-12 4.2.4 Service/Product Foundation........................................................................................................ 4-23

4.3 Water Utilities Market Overview .................................................................................................. 4-24 4.4 Water Utilities’ Market Segments.................................................................................................. 4-26

4.4.1 Water Markets by End User ....................................................................................................... 4-27 4.4.2 Water Markets by Revenue Type ................................................................................................ 4-28

4.5 Geographic Distribution of Water Utilities’ Markets.................................................................. 4-30 4.6 General Market Trends and Growth Areas for Water Utilities ................................................. 4-31

4.6.1 User Fee Growth ......................................................................................................................... 4-31 4.6.2 On-Site Recycling/Reuse ............................................................................................................ 4-32 4.6.3 Privatization vs. Leveraging the Private Sector .......................................................................... 4-33

4.7 Leading Water Utility Companies ................................................................................................ 4-34 4.7.1 Changing Strategy of Private, Investor-Owned Water Utilities ................................................ 4-34 4.7.2 Intrinsic Price and Investor Perception ...................................................................................... 4-36 4.7.3 Q&A with Leading US Water Utility ........................................................................................ 4-36

List of Exhibits Exhibit 4-1 Water Commerce Map .......................................................................................................... 4-4 Exhibit 4-2 The Circular Flow of Water Resources ............................................................................. 4-10 Exhibit 4-3 The Flow of Revenues in the Emerging Water industry ................................................ 4-11 Exhibit 4-4 Rate of Increase in Water and Wastewater Charges vs Inflation .................................. 4-13 Exhibit 4-5 AMSA sewerage index: Annual service charge change for sewer rates ...................... 4-15 Exhibit 4-6 Community Water Systems in the United States ............................................................ 4-24 Exhibit 4-7 Total Water Withdrawal By Users and Approximate Numbers of Users ................... 4-26

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Exhibit 4-8 Water Utilities’ Revenues by User Group ........................................................................ 4-27 Exhibit 4-9 Total Water Utility Revenues By End-User ..................................................................... 4-28 Exhibit 4-10 Water Utilities’ Revenues ................................................................................................... 4-29 Exhibit 4-11 Elements of Other Water and Non-Water Related Revenues........................................ 4-29 Exhibit 4-12 U.S. Water Utility Revenues by Revenue Type ............................................................... 4-30 Exhibit 4-13 Public & Industrial Water Consumption by State ........................................................... 4-30 Exhibit 4-14 Top Ten States by Number of Facilities in AWWA Water Industry Database ........... 4-31 Exhibit 4-15 Major Publicly-Traded Water Utilities, 2000 ................................................................... 4-35 Exhibit 4-16 Major Publicly-Traded Water Utilities, 2004 ................................................................... 4-35

5. Clean Energy Systems & Power

5.1. Definition and Scope ......................................................................................................................... 5-3 5.2. Market Overview .............................................................................................................................. 5-4

5.2.1. 2001 Market Update ..................................................................................................................... 5-5 5.3. Growth in Renewable Energy in the United States .................................................................... 5-10

5.3.1. Market Drivers/Barriers ............................................................................................................. 5-10 5.3.2. Market Size and Structure .......................................................................................................... 5-13

Wide Opportunities Abroad ...................................................................................................... 5-15 Reductions in Costs ..................................................................................................................... 5-15 Utilities Are Critical to Renewables’ Success ........................................................................... 5-16

5.4. Future Growth ................................................................................................................................. 5-17 Market Driver of the Future: The Clean Development Mechanism ..................................... 5-19

5.5. Types of Clean Energy .................................................................................................................... 5-21 5.5.1. Geothermal Energy ..................................................................................................................... 5-21

Overview ....................................................................................................................................... 5-21 Market Size and Structure .......................................................................................................... 5-22

5.5.2. Wind Power ................................................................................................................................ 5-22 Overview ....................................................................................................................................... 5-22 Resources ...................................................................................................................................... 5-22 Revenues ....................................................................................................................................... 5-23 1999 Wind Power Market Update ............................................................................................. 5-24 2002 Update: Wind Power Starts to Fulfill Potential .............................................................. 5-28

5.5.3. Solar Energy ............................................................................................................................... 5-35 Overview ....................................................................................................................................... 5-35 1999 Solar Market Update .......................................................................................................... 5-36 PV Company Rankings and Marketshare in 1999 ................................................................... 5-37 Technology Advances (Photovoltaics) ...................................................................................... 5-38 Utility Photovoltaic Group (UPVG) .......................................................................................... 5-39 PV for Utility Scale Applications (PVUSA) .............................................................................. 5-39 Solar Thermal Electricity ............................................................................................................. 5-40 Solar Experts Promise Continued Growth ............................................................................... 5-40

5.5.4. Fuel Cells..................................................................................................................................... 5-45 Market Overview & Company Profiles .................................................................................... 5-45 Fuel Cell Market Size .................................................................................................................. 5-53

5.5.5. Demand Side Management (DSM) ............................................................................................ 5-54 Overview ....................................................................................................................................... 5-55 Market Growth ............................................................................................................................. 5-56 Market Size and Structure .......................................................................................................... 5-56

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Leading DSM Providers .............................................................................................................. 5-57 5.6. Nuclear in the Climate Change Era: One Man’s Opinion .......................................................... 5-57

List of Exhibits Exhibit 5-1 2000 Fuel Sources for U.S. Electricity Generation ............................................................. 5-3 Exhibit 5-2 U.S. Sales of Renewable Energy Systems & Power, 1990 - 2004 ..................................... 5-5 Exhibit 5-3 Effect of Key Market Drivers ............................................................................................. 5-13 Exhibit 5-4 Commercial Markets for Clean Energy Systems & Power, 2000 .................................. 5-14 Exhibit 5-5 U.S. Sales of Renewable Energy Systems & Power, 1990 - 2004 ................................... 5-15 Exhibit 5-6 Comparative Costs of Generating Electricity .................................................................. 5-16 Exhibit 5-7 Leading Companies in Environmental Energy, 1999 ..................................................... 5-17 Exhibit 5-8 Historical and Projected Growth in Clean Energy Systems & Power .......................... 5-18 Exhibit 5-9 U.S. Wind Power – Capacity by End of 2001 (MW) ....................................................... 5-23 Exhibit 5-10 Cost of Wind-Generated Energy in Levelized Cents/kWh .......................................... 5-31 Exhibit 5-11 Top Wind Energy Markets (by installed capacity, in MW) ........................................... 5-33 Exhibit 5-12 World PV Cell/Module Production, 1988-2000 (Megawatts) ....................................... 5-41

6. Resource Recovery ....................................................................................................... 6-4

6.1. Resource Recovery Market ............................................................................................................... 6-4 6.1.1. 2012 Data & Trend Review .......................................................................................................... 6-7 6.1.2. 2010 Trend Review ..................................................................................................................... 6-10 6.1.3. 2008 Trend Review ..................................................................................................................... 6-20 6.1.4. 2006 Trend Review ..................................................................................................................... 6-24 6.1.5. 2004 Trend Review ..................................................................................................................... 6-28 6.1.6. 2002 Trend Review ..................................................................................................................... 6-37

6.2. Niche Markets .................................................................................................................................. 6-41 6.2.1. Photo Waste Recycling ................................................................................................................ 6-41

6.3. E-Waste ............................................................................................................................................. 6-45 6.3.1. Responsible Management ............................................................................................................ 6-46 6.3.2. Lamp Recycling ........................................................................................................................... 6-54

6.4. Paper Recycling ............................................................................................................................... 6-57 6.5. Plastics Recycling ............................................................................................................................. 6-59 6.6. Aluminum Recycling ...................................................................................................................... 6-63 6.7. Steel Recycling ................................................................................................................................. 6-68 6.8. Glass Recycling ................................................................................................................................ 6-70 6.9. Tires ................................................................................................................................................... 6-71 6.10. Construction & Demolition Recycling .......................................................................................... 6-71

List of Exhibits Exhibit 6-1 Historical and Projected Growth in Resource Recovery .................................................. 6-4 Exhibit 6-2 Sales of Recovered Materials in/from the U.S., 1995-2005 ($bil) ................................... 6-4 Exhibit 6-3 Sales of Recovered Materials in/from the U.S., 2005-2009 ($bil) ................................... 6-4 Exhibit 6-4 Exports of Recovered Materials from the U.S., 1995-2005 ($bil)..................................... 6-5 Exhibit 6-5 Sales of Recovered Materials in the U.S., 2004 ($bil ) ....................................................... 6-5

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Exhibit 6-6 Sales of Recovered Materials in the U.S., 2007 ($bil)........................................................ 6-5 Exhibit 6-7 Generation, Materials Recovery, Composting, Combustion With Energy

Recovery, and Discards of MSW, 1960 to 2010 (in millions of tons) .............................. 6-6 Exhibit 6-8 Generation and Recovery of Materials in MSW, 2010* (in millions of tons and

percent of generation of each material) ............................................................................. 6-7 Exhibit 6-9 Generation and Recovery of Products in MSW, 2010* (in millions of tons and

percent of generation of each product) .............................................................................. 6-8 Exhibit 6-10 Waste Paper - Exports and Domestic, 1994-2004 ............................................................ 6-57 Exhibit 6-11 Waste Paper - Exports and Domestic, 2005-2007 ............................................................ 6-58 Exhibit 6-12 Waste Paper - Exports and Domestic 2008-2010 ............................................................. 6-58 Exhibit 6-13 Plastic - Exports and Domestic, 1994-2004 ...................................................................... 6-60 Exhibit 6-14 Plastic - Exports and Domestic, 2008-2010 ...................................................................... 6-61 Exhibit 6-15 Plastic - Exports and Domestic, 2005-2007 ...................................................................... 6-61 Exhibit 6-16 Aluminum Cans- Exports and Domestic, 1994 - 2004.................................................... 6-63 Exhibit 6-17 Aluminum Cans- Exports and Domestic, 2005-2007...................................................... 6-64 Exhibit 6-18 Aluminum Scrap - Exports and Domestic, 1994-2004 ................................................... 6-65 Exhibit 6-19 Aluminum Scrap - Exports and Domestic, 2005-2007 ................................................... 6-66 Exhibit 6-20 Steel/Ferrous Scrap - Domestic and Exports 1994 - 2004 .............................................. 6-68 Exhibit 6-21 Steel/Ferrous Scrap - Domestic and Exports 2005-2007 ................................................ 6-69 Exhibit 6-22 Steel/Ferrous Scrap - Domestic and Exports, 2008-2010 ............................................... 6-69 Exhibit 6-23 Leading Companies in Recycling ..................................................................................... 6-72

SERVICES

7. The U.S. Environmental Consulting & Engineering Industry

7.1 About This Report ................................................................................................................................. 9 7.1.1 Report Objective and Purpose ........................................................................................................... 9 7.1.2 Scope and Methodology .................................................................................................................. 10 7.1.3 About EBI ....................................................................................................................................... 12

7.2 Executive Summary ............................................................................................................................ 13 7.2.1 C&E from the Sixties to the 21st Century ....................................................................................... 14 7.2.2 Growth Drivers from 2000 to the Present ...................................................................................... 18

7.2.1.2 Growth Drivers in the C&E Market, 2004-2007 ........................................................... 18 7.2.2.2 Growth Drivers in the C&E Market, 2007-2009 ........................................................... 20 7.2.3.2 Growth Drivers in 2010 - From Compliance to Sustainability ................................... 20

7.3 Year-by-Year Market Review ............................................................................................................ 23 7.3.1 2009-2010: Year in Review ............................................................................................................. 23 7.3.2 2007-2008: Year in Review ............................................................................................................. 30

7.3.1.2 The Credit Crunch: Impacts On Deal Flow, Valuations .............................................. 34 7.3.2.2 The Credit Crunch & The Environmental Due Diligence Market ............................. 36

7.3.3 2006-2007: Year in Review ............................................................................................................. 41 7.3.4 2004 - 2005: Year in Review ........................................................................................................... 50

7.3.1.4 C&E Executives Give Their Take on 2005 ..................................................................... 55 7.3.5 2003 - 2004: Year in Review ........................................................................................................... 59 7.3.6 2002 - 2003: Year in Review ........................................................................................................... 68 7.3.7 2001 Year in Review ....................................................................................................................... 75

7.3.1.7 Paul Zofnass Reflects on the Financial Roller-Coaster ................................................ 78 7.3.8 21st Century Trends: Back to Private Ownership ........................................................................... 81 7.3.9 Historical Review from 1970-2005 ................................................................................................. 83

7.3.1.9 Central Business, Old & New Market Drivers ............................................................. 84

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7.3.10 Dynamic Markets Require Dynamic Strategies .............................................................................. 90 7.4 The U.S. Environmental C&E Market ............................................................................................... 91

7.4.1 Environmental C&E Markets by Client Type ................................................................................ 91 7.4.2 The Overall C&E Market ................................................................................................................ 92

7.4.1.2 BY CUSTOMER TYPE .................................................................................................... 92 7.4.2.2 BY FIRM TYPE ................................................................................................................. 94 7.4.3.2 BY ECONOMIC SECTOR AND FIRM TYPE .............................................................. 95

7.4.3 The Public Sector ............................................................................................................................ 96 7.4.1.3 BY LEVEL OF GOVERNMENT..................................................................................... 96

7.4.4 Federal Share of Revenues Rises for C&E Firms in 2009 ............................................................... 96 7.4.1.4 The Private Sector .......................................................................................................... 105 7.4.2.4 Intra-Industry Clients ................................................................................................... 106

7.4.5 Environmental C&E Markets by Service Type ............................................................................. 109 7.4.6 Environmental C&E Markets by Environmental Media .............................................................. 113 7.4.7 Geographic Distribution of U.S. Environmental C&E Market .................................................... 117 7.4.8 Projections for Growth in Environmental C&E Markets ............................................................. 123

7.4.1.8 Public Sector Markets ................................................................................................... 126 7.4.2.8 Private Sector Markets .................................................................................................. 130 7.4.3.8 Environmental Work for Energy & Power Industry ................................................ 132 7.4.4.8 Environmental Media Markets .................................................................................... 133 7.4.5.8 Environmental Service Markets .................................................................................. 135

7.4.9 Trends in Media and Service Markets .......................................................................................... 140 7.5 Generator Trends and Spending Data ............................................................................................ 143

7.5.1.1 Historical Spending Trends ......................................................................................... 144 7.5.2.1 Buying Habits Develop Strong Business Bias ............................................................ 148

7.5.2 EH&S Function For Industrial Buyers ........................................................................................ 149 7.5.1.2 Hewlett Packard ............................................................................................................ 150 7.5.2.2 Xerox Corp. .................................................................................................................... 153 7.5.3.2 Baxter International ....................................................................................................... 155 7.5.4.2 Exelon Corp. ................................................................................................................... 157 7.5.5.2 General Motors .............................................................................................................. 160 7.5.6.2 Polaroid Corp. ................................................................................................................ 163 7.5.7.2 National Grid ................................................................................................................. 167 7.5.8.2 Raytheon Corp. .............................................................................................................. 170 7.5.9.2 Dow Chemical ................................................................................................................ 173 7.5.10.2 P&G ................................................................................................................................. 175 7.5.11.2 DuPont ............................................................................................................................ 178

7.6 International C&E Markets .............................................................................................................. 180 7.6.1 Market Drivers .............................................................................................................................. 185

7.6.1.1 Regulation and Enforcement ....................................................................................... 185 7.6.2.1 Reputation and Risk ...................................................................................................... 186 7.6.3.1 Infrastructure rehabilitation and expansion .............................................................. 187 7.6.4.1 The Energy Transformation ......................................................................................... 188 7.6.5.1 Sustainability & Resource Economics as Environmental Market Drivers ............. 190

7.6.2 Global Market & Regional Review ................................................................................................ 191 7.6.1.2 Latin America................................................................................................................. 204 7.6.2.2 Western Europe ............................................................................................................. 212 7.6.3.2 Russia: A Question of Commitment and Attitude .................................................... 225 7.6.4.2 Asia: China Remains The Top Target ......................................................................... 226 7.6.5.2 India ................................................................................................................................ 230

7.6.3 Case Studies of C&E Firms in Global Markets ............................................................................. 232 7.6.1.3 ERM ................................................................................................................................. 232 7.6.2.3 ICF International ............................................................................................................ 237

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7.6.3.3 Inogen Alliance ............................................................................................................... 240 7.6.4.3 SCS Engineers ................................................................................................................. 243 7.6.5.3 Louis Berger Group ........................................................................................................ 245 7.6.6.3 MWH Global ................................................................................................................... 248 7.6.7.3 International Resources Group ..................................................................................... 251 7.6.8.3 EnSafe .............................................................................................................................. 254 7.6.9.3 Earth Tech........................................................................................................................ 257 7.6.10.3 Mabbett Group ............................................................................................................... 260 7.6.11.3 ARCADIS ........................................................................................................................ 263 7.6.12.3 ENSR ................................................................................................................................ 266 7.6.13.3 Haley & Aldrich’s Global EHS Practice ...................................................................... 269

7.7 Environmental C&E Management Analysis .................................................................................. 272 7.7.1 Meeting the Leadership Challenge (2008)..................................................................................... 272 7.7.2 Challenges Ahead for Environmental Consulting Firms: ZweigWhite Outlook .......................... 273 7.7.3 Market Pressures Challenge Environmental CEOs on Leadership ............................................... 281 7.7.4 Management Priorities ................................................................................................................. 288

7.7.1.4 Management Priorities in C&E Firms .......................................................................... 289 7.7.5 Financial Management of C&E Firms .......................................................................................... 291

7.7.1.5 Profitability Benchmarks ............................................................................................... 291 7.7.2.5 Overhead and Costs ....................................................................................................... 294

7.7.6 Business Planning Practices ......................................................................................................... 295 7.7.1.6 Tactical Planning ............................................................................................................ 295 7.7.2.6 Strategic Planning........................................................................................................... 296

7.7.7 Risk Management and Contract Vehicles ..................................................................................... 297 7.7.1.7 Fixed-Price Pressures ..................................................................................................... 299

7.7.8 Human Resources ......................................................................................................................... 304 7.7.1.8 After Layoffs, C&E Firms Work To Retain Key People For Rebound .................... 304 7.7.2.8 Recruitment & Retention: The “War for Talent” in 2008 .......................................... 309 7.7.3.8 Recruitment and Retention (Winter 2007) .................................................................. 314 7.7.4.8 Q&A with Executive Recruiter Graziano (Summer 2003) ........................................ 321 7.7.5.8 Recruiting Sources .......................................................................................................... 322 7.7.6.8 Personnel ......................................................................................................................... 322 7.7.7.8 Retention Strategies ........................................................................................................ 323 7.7.8.8 Turnover .......................................................................................................................... 323

7.7.9 Sales, Marketing, and Business Development .............................................................................. 324 7.7.1.9 In Business Development, It’s The Seller/Doer Model and Client Retention for C&E Firms (Winter 2003-2004) .............................................................................................. 324 7.7.2.9 Executives Weigh In on Business Development Practices (Winter 2004) ............... 331 7.7.3.9 Q&A with Doug Hall: Effective Client and Employee Retention Are the Hallmarks of Profitable Firms ...................................................................................................... 334 7.7.4.9 Operating Expenditures for Marketing ....................................................................... 339 7.7.5.9 Changes in Marketing Practices ................................................................................... 339 7.7.6.9 Marketing/Sales Methods and Effectiveness ............................................................. 340 7.7.7.9 Marketing Structure ....................................................................................................... 341 7.7.8.9 Marketing Strategy ......................................................................................................... 342 7.7.9.9 Market Research Tactics ................................................................................................ 342

7.7.10 Operations and Service Development ........................................................................................... 342 7.7.11 Strategic Planning ........................................................................................................................ 343

7.7.1.11 New Business Model for Small Professional-Services Firms.................................... 347 7.8 M&A and Consolidation in the C&E Industry .............................................................................. 358

7.8.1 Consolidation Overview ................................................................................................................ 358 7.8.2 Upswing in 2010 .......................................................................................................................... 360

7.8.1.2 Big C&E Deals of 2010 ................................................................................................... 364

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7.8.2.2 “Boomer” Owners Look to ESOPs .............................................................................. 366 7.8.3 SRI Looks Forward to Growth Through Acquisition .................................................................... 371 7.8.4 As The Environmental Industry Consolidation Turns ................................................................. 378 7.8.5 2008: Valuations Down Slightly .................................................................................................. 381 7.8.6 Summary of 2006 M&A Activity ................................................................................................. 385 7.8.7 Big Merger & Acquisition Deals................................................................................................... 390

7.8.1.7 ARCADIS NV ................................................................................................................ 390 7.8.2.7 AECOM-ENSR ............................................................................................................... 392 7.8.3.7 ARCADIS-BBL ............................................................................................................... 396 7.8.4.7 Kleinfelder Acquisition Of GSC .................................................................................. 398

7.8.8 Summary of 2004 M&A Activity ................................................................................................. 400 7.8.9 M&A Perspective with EFCG ...................................................................................................... 410 7.8.10 Lessons Learned from C&E Consolidation Plays of the Past ........................................................ 412 7.8.11 Management Buyouts Highlighted 2001 Activity ....................................................................... 419 7.8.12 Summary of 1999 M&A Activity ................................................................................................. 423

7.8.1.12 C&E M&A Statistics in the 90s .................................................................................... 426 7.9 Analysis of Competition ................................................................................................................... 430

7.9.1.1 The Top Firms by Environmental Media ................................................................... 452 7.9.2.1 The Top International Firms ........................................................................................ 459

7.10 Niche Markets .................................................................................................................................... 461 7.10.1 Climate Change Consulting & Engineering ................................................................................. 461

7.10.1.1 Consultants Report Surge in Business as Clients Grapple With Climate Change 461 7.10.2.1 Climate Change a Distinct Practice for SAIC ............................................................. 463 7.10.3.1 ICF Sees North American Market Shift into High Gear ........................................... 466 7.10.4.1 At ERM, Global Network Supports Core Climate Change Team ........................... 468 7.10.5.1 ENVIRON’s Carbon Management Practice Picks Up Steam ................................... 472

7.10.2 Solar Engineering Markets ........................................................................................................... 473 7.10.3 Sustainability Consulting & Engineering .................................................................................... 474

7.10.1.3 2010 Review.................................................................................................................... 481 7.10.2.3 Corporate Responsibility Salary Survey Finds Sustainability Entrenched as a Profession ....................................................................................................................................... 484 7.10.3.3 Equator Priciples Finanacial Institutions (EPFI) ........................................................ 485 7.10.4.3 Environmental Industry Has A Critical Role To Play In Fostering Real Sustainability ................................................................................................................................. 490 7.10.5.3 Strategic Environmental Management & Sustainability Remains an Elusive Objective for Firms ........................................................................................................................ 494 7.10.6.3 Through Supply-Chain Management, Sustainability Leaders Wield the Big Stick on Vendors ........................................................................................................................... 504 7.10.7.3 Sustainable Development: Is it a Market Driver? ..................................................... 508 7.10.8.3 Profile: Sinclair Knight Merz (SKM) ........................................................................... 513 7.10.9.3 SSOE ................................................................................................................................ 516 7.10.10.3 Profile: ENVIRON ......................................................................................................... 521

7.10.4 Air-Quality Consulting & Engineering ....................................................................................... 522 7.10.1.4 Air Quality C&E Review 2010 ..................................................................................... 527 7.10.2.4 Rules Drive Power AQ Projects For B&V ................................................................... 529 7.10.3.4 Air Quality Standards ................................................................................................... 533 7.10.4.4 Air Market Rides on Power Industry’s Thirst For Coal; Lags On New Regs ........ 537 7.10.5.4 China’s Air Market ........................................................................................................ 540 7.10.6.4 SCS Aquires Tracer Environmental Sciences & Technologies Inc. (Tracer ES&T) 543 7.10.7.4 Trinity Consultants APC Acquisitions ....................................................................... 546 7.10.8.4 ERM’s Air Quality Practice .......................................................................................... 548

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7.10.9.4 Black & Veatch: Perspective on APC Jobs ................................................................... 551 7.10.10.4 Addressing Air-Quality Issues At Ports Spurs a Growing Air Consulting Practice at ENVIRON .................................................................................................................... 554 7.10.11.4 Air Consulting & Engineering: Four Leaders Discuss Turn of the Century Trends 556

7.10.5 Emissions Trading ........................................................................................................................ 567 7.10.1.5 Markets for Emissions Credits Showing Strength On All Fronts ............................ 569 7.10.2.5 Pieces in Place for Credits Trading in a “Carbon-Constrained” Future ................. 574 7.10.3.5 E+Co Sees Carbon Trading as a Tool for Clean Energy to Developing Nations ... 581

7.10.6 Toxic Mold & Indoor Air Quality ................................................................................................ 582 7.10.1.6 Growth Continues in Indoor Air-Quality, But “Toxic” Mold Segment Stumbles .......................................................................................................................................... 582

7.10.7 Contract Operations ..................................................................................................................... 585 7.10.1.7 Leader USFilter Maintains Confidence In Contract Operations Market ................ 589

7.10.8 Disaster Response: Hurricanes Katrina And Rita ........................................................................ 593 7.10.9 Remediation & Brownfields Market .............................................................................................. 597

7.10.1.9 Assessment Standards: EPA’s All Appropriate Inquires (AAI) Rule ..................... 601 7.10.2.9 EPA Cleanup Programs Emphasize Land as an Asset .............................................. 605

7.10.10 Is The Superfund Program Winding Down? On The Contrary, Says EPA ................................ 609 7.10.1.10 Renova Partners Aligns Stakeholder Interests in Brownfields Work ...................... 610 7.10.2.10 For TRC, Back-End Remediation Work is Becoming Connected to Front-End Development Tasks ....................................................................................................................... 612 7.10.3.10 LFR Finds That Remediation and Redevelopment Consulting Now Entails Facilitating the Deal ....................................................................................................................... 615 7.10.4.10 Former Landbank Principals Set Up Brownfield Partners ....................................... 618

7.10.11 Rad Waste Management ............................................................................................................... 620 7.10.1.11 Safety And Ecology Opens Offices To Pursue Growing Opportunities In Rad-Waste Management ....................................................................................................................... 620

7.10.12 Ecological Restoration ................................................................................................................... 623 7.10.13 Homeland Security ....................................................................................................................... 626

7.10.1.13 Homeland Security Funds Begin Finding Their Way to Engineering, Instrumentation and Alternative Energy ................................................................................... 626 7.10.2.13 Homeland Security Market Takes Shape, But Private Sector Lags Federal Facilities 632

7.10.14 Outsourcing .................................................................................................................................. 638 7.10.1.14 Firms Push Trend to Outsourcing ................................................................................ 638 7.10.2.14 C&E Firms Target Design/Build/Operate Projects as Outsourcing Entry Point 641 7.10.3.14 Hi-Tech Opportunities in Outsourcing ....................................................................... 646

7.10.15 Community Planning & Smart Growth ....................................................................................... 647 7.10.1.15 Community & Infrastructure Development and Dam Inspection Sustain Growth for Tighe & Bond ............................................................................................................. 654

7.10.16 Natural Resource Management .................................................................................................... 655 7.10.1.16 Overview ......................................................................................................................... 655

7.10.17 Natural Resource Management Growth: 2010 Review ................................................................ 664 7.10.1.17 Natural Resources Management Rides High on Energy Development Boom....... 668 7.10.2.17 Stream Rehabilitation: Watershed Management and Restoration .......................... 673 7.10.3.17 Wetlands Engineering Moves Beyond Mitigation; Designers Stay With Projects 677 7.10.4.17 Florida’s Everglades ....................................................................................................... 682 7.10.5.17 Natural Resources & Energy Development ................................................................ 687 7.10.6.17 Profile: Jones & Stokes ................................................................................................... 689 7.10.7.17 Profile: David Evans and Associates, Inc. (DEA) ....................................................... 691

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7.10.8.17 Profile: Aarcher, Inc. ..................................................................................................... 696 7.10.9.17 Profile: JFNew ................................................................................................................ 700 7.10.10.17 Profile: ARCADIS ..................................................................................................... 706 7.10.11.17 Profile: Parametrix ................................................................................................... 712 7.10.12.17 Urban Planning ......................................................................................................... 715 7.10.13.17 Fisheries Management Work Mixes Planning with Restoration ........................ 721

7.10.18 Cultural Resources ........................................................................................................................ 726 7.10.19 Environmental Information Systems ............................................................................................ 730

7.10.1.19 Instruments & Information Technology Coming of Age ......................................... 730 7.10.2.19 Enviance On Forefront Of Reliance On “Software As A Service” Model To Deliver Ehs Management Solutions ........................................................................................... 735

7.10.20 By-Products Reuse ........................................................................................................................ 738 7.10.21 Pollution Prevention ..................................................................................................................... 741 7.10.22 Green Design ................................................................................................................................ 745

7.10.1.22 Tighe & Bond Focus on Growth in Green Design ..................................................... 745 7.10.2.22 Green Buildings ............................................................................................................. 746

7.10.23 Environmental, Health & Safety Services (EH&S) ...................................................................... 748 7.10.1.23 Keys to EH&S Service Firm Success in The 21st Century ........................................ 748

List of Exhibits

Exhibit 7-1 The U.S. Environmental Industry 2008-2009 ....................................................................... 14 Exhibit 7-2 Historical and Projected Growth in Environmental Consulting & Engineering ............ 15 Exhibit 7-3 Environmental Consulting and Engineering: Annual Growth Rate, 1975 -

2012 ........................................................................................................................................... 17 Exhibit 7-4 U.S. GDP Growth vs. Environmental Industry Growth, 1970-2010 ................................. 20 Exhibit 7-5 U.S. Environmental Industry Revenues by Function, 2009 ............................................... 22 Exhibit 7-6 The U.S. Environmental Industry 2008-2009 ....................................................................... 24 Exhibit 7-7 Client Sectors Rated by Survey Respondents in 2009 ........................................................ 27 Exhibit 7-8 Client Sectors Rated by Survey Respondents in 2009 for 2010-2012 ................................ 28 Exhibit 7-9 Service & Media Sectors Rated by Survey Respondents for 2009 Growth ...................... 29 Exhibit 7-10 Service & Media Sectors Rated by Survey Respondents in 2009 for 2010-2012 ............... 30 Exhibit 7-11 Client Sectors Rated by Survey Respondents in 2007 .......................................................... 43 Exhibit 7-12 Service Sectors Rated by Survey Respondents in 2007 ........................................................ 46 Exhibit 7-13 Geographic Regions Rated by Survey Respondents in 2007 ............................................... 48 Exhibit 7-14 Geographic Regions Rated by Survey Respondents in 2007 ............................................... 49 Exhibit 7-15 The US C&E Industry: Average Profitability vs. Industry Growth, 1995 - 2009 .............. 62 Exhibit 7-16 Average Profitability of U.S. C&E Market, 1999 - 2009 ....................................................... 62 Exhibit 7-17 Revenue Distribution of U.S. C&E Market, 2009 .................................................................. 65 Exhibit 7-18 Revenue Distribution of U.S. C&E Market, 2008 .................................................................. 66 Exhibit 7-19 Revenue Distribution of U.S. C&E Market, 2007 .................................................................. 66 Exhibit 7-20 Revenue Distribution of U.S. C&E Market, 2004 .................................................................. 67 Exhibit 7-21 Consolidation of U.S. C&E Market, 1990-2009 ..................................................................... 67 Exhibit 7-22 U.S. C&E Companies’ International Revenues, 1996 - 2008 ................................................ 68 Exhibit 7-23 Environmental Consulting and Engineering Revenues Annual Growth Rate,

1987 - 2008 ................................................................................................................................ 70 Exhibit 7-24 U.S. C&E Industry: Median Profit Margin 1994 - 2010 ($Million) ..................................... 79 Exhibit 7-25 Environmental Consulting and Engineering: Annual Growth Rate, 1975 - 2012 ............ 84 Exhibit 7-26 U.S. C&E Market by Customer, 2009 ..................................................................................... 84 Exhibit 7-27 Environmental Consulting & Engineering Market by Client, 2008 ................................... 85 Exhibit 7-28 Environmental Consulting & Engineering Market by Client, 2003 ................................... 86 Exhibit 7-29 Environmental Consulting & Engineering Market by Client, 1999 ................................... 86

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Exhibit 7-30 Environmental Consulting & Engineering Market by Media, 2008................................... 87 Exhibit 7-31 Environmental Consulting & Engineering Market by Media, 2003................................... 87 Exhibit 7-32 Environmental Consulting & Engineering Market by Media, 1999................................... 88 Exhibit 7-33 Environmental Consulting & Engineering Market by Service, 2008 ................................. 88 Exhibit 7-34 Environmental Consulting & Engineering Market by Service, 2003 ................................. 89 Exhibit 7-35 Environmental Consulting & Engineering Market by Service, 1999 ................................. 89 Exhibit 7-36 Environmental Consulting and Engineering Client Categories ......................................... 92 Exhibit 7-37 U.S. C&E Market by Customer, 2009 ..................................................................................... 92 Exhibit 7-38 U.S. C&E Market by Customer 1996 – 2008 ($Million) ........................................................ 93 Exhibit 7-39 U.S. C&E Market by Customer 2009-2012 ($Million) .......................................................... 94 Exhibit 7-40 The C&E Market by Firm Type 2000-2008 ............................................................................ 94 Exhibit 7-41 The C&E Market by Firm Type 1997 - 2001 .......................................................................... 94 Exhibit 7-42 Public and Private Sector Shares of the C&E Market, 1995 ................................................ 95 Exhibit 7-43 Public Sector Markets for C&E Services, 2001, 2004 and 2008 ........................................... 96 Exhibit 7-44 Private Sector Markets for C&E Services, 2001, 2004 and 2008 ........................................ 105 Exhibit 7-45 C&E Firms’ Private Sector Revenue by Client .................................................................... 106 Exhibit 7-46 Environmental Industry Segment Interactions ................................................................... 108 Exhibit 7-47 U.S. C&E Market by Service Type, 1997 - 2008 .................................................................. 111 Exhibit 7-48 U.S. C&E Market by Service Type, 2008-2012 .................................................................... 113 Exhibit 7-49 U.S. C&E Market by Media Type, 1997-2008 ...................................................................... 115 Exhibit 7-50 Total Market for C&E Services (By Media), 2001, 2004 and 2008 .................................... 116 Exhibit 7-51 U.S. C&E Market by Media Type, 2008-2012 ...................................................................... 117 Exhibit 7-52 Markets for Environmental C&E Services by EPA Region ............................................... 119 Exhibit 7-53 U.S. Environmental Consulting & Engineering By State: 2006 ($ mil) ............................ 119 Exhibit 7-54 State Markets for Environmental C&E Services by Media in 2006 .................................. 122 Exhibit 7-55 Geographic Performance: 2003-2010 .................................................................................. 123 Exhibit 7-56 Percentage Growth of Environmental C&E Markets: 2010-2012 ..................................... 124 Exhibit 7-57 Growth of Environmental C&E Markets, 2000 - 2012........................................................ 125 Exhibit 7-58 Growth of Environmental C&E Markets by Media, 1999 - 2008 ...................................... 133 Exhibit 7-59 Growth of Environmental C&E Markets by Service, 1999 - 2009..................................... 135 Exhibit 7-60 Annual Growth in C&E Service Categories, 2008 .............................................................. 139 Exhibit 7-61 2006 U.S. C&E Market Matrix by Media by Service ($mil) ............................................... 140 Exhibit 7-62 U.S. Environmental Industry Segments by Customer Type, 2008 ................................... 143 Exhibit 7-63 U.S. Environmental Industry Revenue from Manufacturing Industry by Media

................................................................................................................................................. 144 Exhibit 7-64 Manufacturing Industries' Pollution Control Expenditures and Emissions

Volumes, 1988 - 1992 ............................................................................................................ 145 Exhibit 7-65 Manufacturing Industry Top Spenders on Pollution Abatement, 1992 .......................... 146 Exhibit 7-66 Manufacturing Industry Top Spenders on Pollution Abatement, 1993 .......................... 146 Exhibit 7-67 Manufacturing Industry Top Spenders on Pollution Abatement, 1994 .......................... 147 Exhibit 7-68 The Global Environmental Market ($Billion U.S.): All Segments .................................. 180 Exhibit 7-69 The Global Consulting & Engineering Market 2003-2009 ($bil) ....................................... 181 Exhibit 7-70 International Breakdown of U.S. C&E Firm Revenues ($mil) 1997-2008 ...................... 181 Exhibit 7-71 The Global Environmental Market 1993-2010 ($Bil) .......................................................... 183 Exhibit 7-72 2008 US Environmental Industry Exports ........................................................................... 183 Exhibit 7-73 Global Environmental Industry Trade Flows ..................................................................... 184 Exhibit 7-74 The Global Consulting & Engineering Market ($Mil) 2003-2009 ..................................... 185 Exhibit 7-75 Global Environmental Market by Region, 2008 .................................................................. 192 Exhibit 7-76 U.S. Environmental Trade Balance, 2008 ............................................................................. 193 Exhibit 7-77 U.S. Environmental Industry Exports Performance, 1998 - 2008 ..................................... 194 Exhibit 7-78 Companies and Exporters in the U.S. Environmental Industry ....................................... 194 Exhibit 7-79 Water and Wastewater Markets of 12 "Best Prospect" Countries .................................... 195

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Exhibit 7-80 Global Environmental Market by Region and by Segment, 2005 - 2009 ......................... 196 Exhibit 7-81 Environmental Markets in Asia-Pacific, 2001-2009 ............................................................ 197 Exhibit 7-82 Consulting and Engineering Markets in Asia-Pacific, ($bil) 2003-2009........................... 197 Exhibit 7-83 Environmental Markets in Latin America, 2001 - 2010...................................................... 197 Exhibit 7-84 Consulting & Engineering Markets in Latin America ($bil) 2003-2009 ........................... 198 Exhibit 7-85 Environmental Markets in Western Europe, 2001 - 2010 .................................................. 198 Exhibit 7-86 Consulting & Engineering Markets in Western Europe ($bil) 2003-2009........................ 198 Exhibit 7-87 Top Global Environmental Companies, 2001 ..................................................................... 199 Exhibit 7-88 Environmental Industry Competitiveness .......................................................................... 203 Exhibit 7-89 ERM Services: Global Distribution ....................................................................................... 237 Exhibit 7-90 CEO Priorities and Concerns, 2006....................................................................................... 280 Exhibit 7-91 C&E Firm Management Priorities ........................................................................................ 289 Exhibit 7-92 Environmental C&E Revenue Growth by Firm Type ........................................................ 291 Exhibit 7-93 Selected Financial Statistics 1995-2001 ................................................................................. 292 Exhibit 7-94 Selected Financial Statistics 1993 and 1996.......................................................................... 293 Exhibit 7-95 Selected Financial Statistics 1993 and 1996.......................................................................... 294 Exhibit 7-96 Overhead Costs as a Percentage of Net Revenues ............................................................. 294 Exhibit 7-97 Implementation of Cost Cutting Measures ......................................................................... 295 Exhibit 7-98 Average C&E Industry Pay Raises ....................................................................................... 295 Exhibit 7-99 Short Term Tactical Planning Priorities ............................................................................... 296 Exhibit 7-100 Midterm Strategic Planning Priorities ................................................................................ 297 Exhibit 7-101 Contract & Pricing Apporaches .......................................................................................... 298 Exhibit 7-102 A/E Principals' Base Salary (medians) .............................................................................. 315 Exhibit 7-103 Effectiveness of Recruitment Sources (Rated 1-10, 10 being highest) ............................ 322 Exhibit 7-104 Difficulty of Recruiting Staff (Rated 1-10, 10 being highest) ........................................... 323 Exhibit 7-105 Historical Personnel Analysis: Compensation 2000-2006 ................................................ 323 Exhibit 7-106 Effectiveness of Staff Retention Strategy (Rated 1-10, 10 being highest) ....................... 323 Exhibit 7-107 Average Yearly Employee Turnover Rates ....................................................................... 323 Exhibit 7-108 Employee Turnover Analysis .............................................................................................. 324 Exhibit 7-109 Environmental Consulting Firms' Total Marketing Spending as a Percentage

of Net Service Revenue, 1998-2003 (Medians) .................................................................. 325 Exhibit 7-110 Marketing Expenditure as Percentage of Operating Budget .......................................... 339 Exhibit 7-111 Marketing Practices .............................................................................................................. 340 Exhibit 7-112 Marketing Methods and Effectiveness ............................................................................... 341 Exhibit 7-113 Marketing Structure .............................................................................................................. 341 Exhibit 7-114 Marketing Strategy ............................................................................................................... 342 Exhibit 7-115 C&E Firms’ Market Research Tactics ................................................................................. 342 Exhibit 7-116 C&E Operations & Service Development .......................................................................... 343 Exhibit 7-117 13 Steps to Effective Strategic Planning ............................................................................. 345 Exhibit 7-118 Consolidation of U.S. C&E Market, 1990-2008 ................................................................. 359 Exhibit 7-119 Distribution of U.S. C&E Market, 2008 .............................................................................. 359 Exhibit 7-120 Distribution of U.S. C&E Market, 2009 .............................................................................. 360 Exhibit 7-121 Distribution of U.S. C&E Market, 2007 .............................................................................. 367 Exhibit 7-122 Revenue Distribution of U.S. C&E Market, 2005 .............................................................. 367 Exhibit 7-123 Revenue Distribution of U.S. C&E Market, 2004 .............................................................. 367 Exhibit 7-124 Revenue Distribution of U.S. C&E Market, 2003 .............................................................. 368 Exhibit 7-125 Revenue Distribution of U.S. C&E Market, 2002 .............................................................. 368 Exhibit 7-126 Revenue Distribution of U.S. C&E Market, 2001 .............................................................. 368 Exhibit 7-127 Revenue Distribution of U.S. C&E Market, 1999 .............................................................. 369 Exhibit 7-128 Revenue Distribution of the U.S. C&E Market, 1998 ....................................................... 369 Exhibit 7-129 M&A Activity in the Environmental C&E Engineering Industry: 2000-2010 ............... 370 Exhibit 7-130 EBJ Stock Index- C&E Performance 2/13/07- 2/12/08* ................................................. 384

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Exhibit 7-131 Prominent M&A Activity in the C&E Sector in 2006 ....................................................... 390 Exhibit 7-132 Success Rates in M&As for C&E Firms .............................................................................. 404 Exhibit 7-133 M&A in Environmental C&E: Selected Deals, 2004 ......................................................... 406 Exhibit 7-134 Significant M&A Transactions in 1999 (Revenues of Acquiree in $Million)................. 424 Exhibit 7-135 C&E Industry M&A Activity .............................................................................................. 426 Exhibit 7-136 Top 450 Environmental Consulting & Engineering Firms, 2009 ($ mil) ........................ 431 Exhibit 7-137 Top 200 Environmental Consulting & Engineering Firms, 2008 ($ mil) ........................ 439 Exhibit 7-138 Top Environmental Consulting & Engineering Firms, 2001 – 2004 .................................. 443 Exhibit 7-139 Top Environmental Consulting & Engineering Firms in 1999: Major Mergers &

Acquisitions and Revenue Growth 95-99 .......................................................................... 449 Exhibit 7-140 The Top Hazardous Waste Consulting Firms, 2008 ($ Mil) ............................................... 452 Exhibit 7-141 The Top Remediation Consulting Firms, 2007 ($ Mil) ........................................................ 453 Exhibit 7-142 The Top Water/Wastewater Consulting Firms, 2008 ($ Mil) ............................................ 454 Exhibit 7-143 The Top Air Consulting Firms, 2008 ($ mil) ......................................................................... 455 Exhibit 7-144 The Top Solid Waste Consulting Firms, 2008 (Mil)............................................................. 456 Exhibit 7-145 The Top Natural Resources Consulting Firms, 2008 ($ Mil) .............................................. 458 Exhibit 7-146 The Top International C&E Firms, 2009 ( $ Mil) .................................................................. 459 Exhibit 7-147 The Top International C&E Firms, 1999 ............................................................................... 460 Exhibit 7-148 U.S. Climate Change Industry Consulting & Engineering Market ($Mil) 2008-

2009 ......................................................................................................................................... 461 Exhibit 7-149 U.S. Solar Energy Consulting & Engineering and Construction ($mil) ............................ 474 Exhibit 7-150 The U.S. C&E Market .............................................................................................................. 496 Exhibit 7-151 Sustainability Leaders by Market Sector .............................................................................. 499 Exhibit 7-152 EBJ’s Top SEM Companies 2007 ............................................................................................ 503 Exhibit 7-153 U.S. Water/Wastewater Contract Operations: Top Companies 2001-2004 ..................... 593 Exhibit 7-154 Homeland Security: Framework of Opportunities ............................................................. 633 Exhibit 7-155 Top Natural Resources Management Firms ......................................................................... 659 Exhibit 7-156 Core National Ecosystem Extent (Lower 48 States) ............................................................ 664 Exhibit 7-157 EBJ’s Top Consulting & Engineering Firms in Natural Resources 2009 ........................ 664 Exhibit 7-158 Fish Facts ................................................................................................................................... 724

8 Environmental Testing and Analytical Services

8.1 Acknowledgements ............................................................................................................................... 9 8.1.1 Authors and Sources ......................................................................................................................... 9 8.1.2 EBJ’s Market Research Method......................................................................................................... 9 8.1.3 Company Databases ........................................................................................................................ 10

8.2 Survey Instruments ............................................................................................................................. 11 8.2.1 Disclaimer ....................................................................................................................................... 11 8.2.2 Copyright ........................................................................................................................................ 12

8.3 Executive Summary ............................................................................................................................ 13 8.4 Overview of Environmental Lab Services ........................................................................................ 21 8.5 Development of the Environmental Testing Industry .................................................................... 23 8.6 Annual Trend Review ......................................................................................................................... 25

8.6.1 2011 Trend Review ......................................................................................................................... 25 8.6.2 2009 Trend Review ......................................................................................................................... 32 8.6.3 2008 Trend Review ......................................................................................................................... 44 8.6.4 2007 Trend Review ......................................................................................................................... 47 8.6.5 2005 Trend Review ......................................................................................................................... 55 8.6.6 2004 Trend Review ......................................................................................................................... 66 8.6.7 2003 Trend Review ......................................................................................................................... 71

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8.6.8 2002 Trend Review ......................................................................................................................... 80 8.6.9 Lab Executives Discuss the Market in 2002 ................................................................................... 85 8.6.10 Profile: 2002 Lab Leader STL .......................................................................................................... 90

8.7 Market Segmentation for Environmental Testing & Analytical Services .................................... 92 8.7.1 Market Segmentation by Client Type ............................................................................................. 94 8.7.2 Government Markets ...................................................................................................................... 99

Federal Markets ................................................................................................................................ 99 State Government Markets ........................................................................................................... 101 Local Government Markets .......................................................................................................... 101

8.7.3 Environmental Industry Markets ................................................................................................. 102 Environmental Consulting & Engineering Firms ...................................................................... 103 Remediation Firms ......................................................................................................................... 104 Hazardous Waste Management Firms ........................................................................................ 104 Solid Waste Firms .......................................................................................................................... 105 Other Environmental Companies ................................................................................................ 105

8.7.4 Direct Industrial Markets ............................................................................................................. 105 Petroleum Marketing and Distribution ....................................................................................... 106 Petroleum Exploration and Refining ........................................................................................... 107 Chemicals and Plastics .................................................................................................................. 107 Electric Utilities .............................................................................................................................. 108 Other Industrial Markets .............................................................................................................. 108

8.7.5 Market Segmentation by Sample Media ....................................................................................... 108 8.7.6 Market Segmentation By Service .................................................................................................. 112 8.7.7 Geographic Distribution of US Environmental Testing & Analytical Services Markets ............. 112 8.7.8 Projected Growth in Markets for Environmental Testing and Analytical Services...................... 114

8.8 Competitive Structure of the Industry ............................................................................................ 115 8.8.1 Lessons Learned: Capacity Adjustments and Trends in the late 1990s ........................................ 119

Failed Attempts to Reorganize under Bankruptcy Laws ......................................................... 119 Alleged Data Integrity Problems ................................................................................................. 120 Closures due to Economic and Competitive Pressures ............................................................ 121

8.8.2 The 1990s: Large Environmental Lab Companies in Transition .................................................. 122 8.8.3 Large Environmental Lab Companies 2003 - 2006: Survey and Analysis ................................... 135 8.8.4 Market Drivers: Executive Comments .......................................................................................... 146 8.8.5 Survey Comments: Key Industry/Market Issues .......................................................................... 146 8.8.6 Survey Comments: Key Business Issues ....................................................................................... 147

8.9 Large Company Profiles ................................................................................................................... 148 Environmental Science Corp. ....................................................................................................... 148 Alpha Analytical ............................................................................................................................ 150 TestAmerica (2004) ........................................................................................................................ 152 Accutest (2004) ............................................................................................................................... 155 Severn Trent Laboratories (2003) ................................................................................................. 157 Severn Trent Laboratories (2002) ................................................................................................. 160 Core Laboratory (1997) ................................................................................................................. 164 Quanterra (1997; Acquired by STL in 2000) ............................................................................... 166 Savannah Laboratories & Environmental Services, Inc. (1997; Acquired by STL in 1999) ................................................................................................................................................. 167 American Environmental Network (AEN; 1997)....................................................................... 169 Sequoia Analytical (1998; Acquired by TestAmerica in 2004) ................................................. 172

8.9.1 Medium-Sized Environmental Testing Companies ...................................................................... 175 8.9.2 Medium Size Company Profiles .................................................................................................... 177

Continental Analytical Services Inc. (1995) ................................................................................ 177 Hydrologic Inc. (1995) ................................................................................................................... 179 En Chem (1997) .............................................................................................................................. 180

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Montgomery Watson (1997) ......................................................................................................... 183 AXYS Analytical Services (2004).................................................................................................. 185

8.9.3 Small Environmental Testing Companies .................................................................................... 188 8.9.4 Small Company Profiles ................................................................................................................ 188

Metropolitan Laboratories Inc (2004) .......................................................................................... 188 8.9.5 New Entrants in the 90s ............................................................................................................... 191

8.10 Technological Developments ........................................................................................................... 192 8.10.1 Categorization of Technical Change .............................................................................................. 193 8.10.2 Gains in Lab Productivity in Instrumentation ............................................................................. 193 8.10.3 Going Paperless ............................................................................................................................. 196 8.10.4 Corporate Attitudes Towards Automation ................................................................................... 200 8.10.5 Field Sampling and Collection ...................................................................................................... 200 8.10.6 Sample Shipment and Handling ................................................................................................... 201 8.10.7 Sample Preparation ....................................................................................................................... 202 8.10.8 Data Management and Analysis .................................................................................................. 203 8.10.9 Immunoassay Techniques ............................................................................................................. 203 8.10.10 Long-Term Impact of New Technology ........................................................................................ 204 8.10.11 Company Profiles in Technology .................................................................................................. 206

8.11 Mergers and Acquisitions ................................................................................................................ 208 8.11.1 Merger and Acquisition Trends in The Analytical Laboratory Business: Early History ............. 208 8.11.2 What's Driving Consolidation?.................................................................................................... 209 8.11.3 Valuation Trends .......................................................................................................................... 209 8.11.4 Deal Structures ............................................................................................................................. 211 8.11.5 M&A Activities: 2007 Update...................................................................................................... 212 8.11.6 M&A Activities: 2003 - 2004 Update .......................................................................................... 220 8.11.7 What Does the Future Hold? ........................................................................................................ 221

8.12 Operations Management and Success Factors .............................................................................. 222 8.12.1 Analytical Reporting and Business System Automation.............................................................. 222 8.12.2 Professional Business Management Systems ................................................................................ 223 8.12.3 Exploitation of New Instrumentation Technologies ..................................................................... 223 8.12.4 Creative and Flexible Labor Force Management ........................................................................... 224 8.12.5 Professional Marketing and Sales ................................................................................................. 226 8.12.6 Sales and Marketing Budgets ....................................................................................................... 226 8.12.7 Sales and Marketing Staff ............................................................................................................. 229 8.12.8 Sales and Marketing Reporting Structure .................................................................................... 230 8.12.9 Sales and Marketing Focus ........................................................................................................... 230 8.12.10 Compensation of Sales and Marketing Staff ................................................................................. 231

8.13 . Summary of Management Challenges ......................................................................................... 232 8.13.1 Results of the 2008 and 2010 Snapshot Surveys .......................................................................... 234

List of Exhibits Exhibit 8-1 Historical Growth in the US Analytical Services Market, 1988 - 2012 ............................. 13 Exhibit 8-2 Historical and Projected Growth in the US Analytical Services Market, 1970 -

2020 ........................................................................................................................................... 14 Exhibit 8-3 Environmental Lab Pricing: Survey Responses 2005-2006 ................................................ 16 Exhibit 8-4 Environmental Lab Pricing: Survey Responses: 2000-2006 ............................................... 16 Exhibit 8-5 The Importance of Various Competitive Factors in Environmental Testing .................. 18 Exhibit 8-6 Range of Profitability by 2007 Survey Respondents .......................................................... 21 Exhibit 8-7 Historical and Projected Growth in Environmental Testing & Analytical

Services, 1970 - 2020 ............................................................................................................... 25 Exhibit 8-8 U.S. Environmental Testing Market: 2005-2012 ($mil) ...................................................... 26 Exhibit 8-9 List of Top Environmental Labs in 2010 .............................................................................. 30

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Exhibit 8-10 Top 20 Environmental Laboratories in 2010........................................................................ 42 Exhibit 8-11 Top 21-50 Environmental Laboratories in 2010 .................................................................. 43 Exhibit 8-12 Top Five Environmental Labs— Productivity* ................................................................... 44 Exhibit 8-13 Top 20 Environmental Testing & Analytical Services Firms, 2006 ................................... 48 Exhibit 8-14 Size Distribution: EBI Lab Survey Respondents in 2007.................................................... 49 Exhibit 8-15 Top 20 Environmental Testing & Analytical Services Firms, 2004 ................................... 58 Exhibit 8-16 Top Environmental Testing & Analytical Services Firms by Productivity,

2004 ........................................................................................................................................... 62 Exhibit 8-17 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 2003 ........................................................................................................ 67 Exhibit 8-18 Top 20 Environmental Testing & Analytical Services Firms, 2003 ................................... 69 Exhibit 8-19 Top 20 Environmental Testing & Analytical Services Firms, 2002 ................................... 75 Exhibit 8-20 Other Major Environmental Testing & Analytical Services Firms, 2002 ......................... 76 Exhibit 8-21 Top Environmental Testing & Analytical Services Firms, 2001 ........................................ 84 Exhibit 8-22 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 2001 ........................................................................................................ 84 Exhibit 8-23 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 1993 ........................................................................................................ 84 Exhibit 8-24 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 1996 ........................................................................................................ 85 Exhibit 8-25 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 2002 ........................................................................................................ 85 Exhibit 8-26 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services, 2008 ........................................................................................................ 85 Exhibit 8-27 Total Environmental Lab Market by Customer, 2006-2009 ............................................... 93 Exhibit 8-28 Total Environmental Lab Market by Customer, 2006-2009 ............................................... 93 Exhibit 8-29 2006-2010 U.S. Total Environmental Lab Market by Customer ....................................... 95 Exhibit 8-30 Environmental Lab Market: Survey Response Ranking of Growth by

Customer 2010-2010 ................................................................................................................ 96 Exhibit 8-31 Market Breakdown by Client Type, 1997 ............................................................................ 96 Exhibit 8-32 Market Breakdown by Client Type, 2000 ............................................................................ 97 Exhibit 8-33 Market Breakdown by Client Type, 2004 ............................................................................ 97 Exhibit 8-34 Market Breakdown by Client Type, 2006: Total Environmental Testing &

Analytical Revenues in 2006 = $1.84 Billion ........................................................................ 98 Exhibit 8-35 Total Environmental Testing & Analytical Revenues in 2009 = $1.86 Billion ................. 98 Exhibit 8-36 Distribution Government-Related Revenues, 2009 ............................................................ 99 Exhibit 8-37 Distribution of Revenues from Environmental Services Companies, 2010 ................... 103 Exhibit 8-38 Distribution of Revenues from Industrial Markets, 2010 ................................................ 106 Exhibit 8-39 Distribution of Revenues by Sample Media, 2010 ............................................................ 109 Exhibit 8-40 Estimated Number of Sites and Remediation Cost, 2004-2033 ....................................... 110 Exhibit 8-41 Environmental Lab Market: Survey Response Growth Forecast by Sample

Type 2007-2010 ...................................................................................................................... 110 Exhibit 8-42 Environmental Testing and Analytical Services Markets by Sample Media,

1997-2012 ................................................................................................................................ 111 Exhibit 8-43 Distribution of Revenues by Service .................................................................................. 112 Exhibit 8-44 Markets for Environmental Testing & Analytical Services by State .............................. 114 Exhibit 8-45 Annual Growth of Environmental Testing Business, 2000-2012 .................................... 115 Exhibit 8-46 Distribution of Companies and Revenues in Environmental Testing &

Analytical Services: 1993, 1996, 2003 and 2004 ($ million) .............................................. 116 Exhibit 8-47 Distribution of Industry Revenues by Firm Size, 1996 and 2004 .................................... 118 Exhibit 8-48 Fate of The Top Environmental Lab Firms at Year-End, 1993 ........................................ 124 Exhibit 8-49 The Top U.S. Environmental Labs, 1995 ............................................................................ 126

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Exhibit 8-50 Typical Revenues Declines: 1992 vs. 1996 ......................................................................... 127 Exhibit 8-51 The Top U.S. Environmental Labs, 1996 ............................................................................ 128 Exhibit 8-52 The Top U.S. Environmental Labs, 1997 ............................................................................ 130 Exhibit 8-53 The Top U.S. Environmental Labs, 1998 ............................................................................ 131 Exhibit 8-54 The Top U.S. Environmental Labs, 2000 ............................................................................ 132 Exhibit 8-55 The Top U.S. Environmental Labs, 2001 ............................................................................ 133 Exhibit 8-56 The Top U.S. Environmental Labs, 2002 ............................................................................ 134 Exhibit 8-57 Top 20 Environmental Labs Companies 2006 ................................................................... 135 Exhibit 8-58 Environmental Lab Productivity: Lab Survey Responses 2005-2006 ............................. 136 Exhibit 8-59 Environmental Lab Productivity: Survey Responses 2000-2006 .................................... 137 Exhibit 8-60 Lab Productivity: Top 5 ....................................................................................................... 138 Exhibit 8-61 The Top U.S. Environmental Labs, 2003 ............................................................................ 139 Exhibit 8-62 Productivity of the Top Labs, 2003 (Revenues per Employee) ....................................... 140 Exhibit 8-63 Environmental Lab Productivity: Lab Survey Responses 2005-2006 ............................. 143 Exhibit 8-64 Environmental Lab Productivity: Survey Responses 2000-2006 .................................... 144 Exhibit 8-65 The Top U.S. Environmental Labs, 2004 ............................................................................ 145 Exhibit 8-66 Productivity of the Top Labs, 2004 (Revenues per Employee) ....................................... 145 Exhibit 8-67 STL Flurry of Acquisitions, 1998-2001 ............................................................................... 164 Exhibit 8-68 Selected Mid-Sized Environmental Lab Firms at Year-End 1995 ................................... 177 Exhibit 8-69 Environmental Lab Productivity Top Ten, 2005 (Revenues per FTE

Employee) .............................................................................................................................. 199 Exhibit 8-70 Relative Importance of Technological Changes to the Lab Business ............................. 204 Exhibit 8-71 Environmental Laboratories: Valuation Trends ............................................................... 210 Exhibit 8-72 Selected Recent Key Lab Mergers and Acquisitions 1996-1998 ...................................... 212 Exhibit 8-73 Significance of Labor Force Management by Lab Size .................................................... 224 Exhibit 8-74 What Steps are You Taking to Increase Flexibility and Control (Percentage of

All Responses) ....................................................................................................................... 225 Exhibit 8-75 How Much Environmental Lab Firms Spend on Sales & Marketing ............................ 227 Exhibit 8-76 Percent of Gross Revenues Spent on Sales and Marketing at Environmental

Firms ....................................................................................................................................... 228 Exhibit 8-77 Breakdown of Sales and Marketing Budgets at Labs ....................................................... 228 Exhibit 8-78 Expected Growth in Sales and Marketing Budget ........................................................... 229 Exhibit 8-79 Size of Sales & Marketing Staff at Environmental Lab and Testing Firms ................... 230 Exhibit 8-80 Sales Reporting Structure .................................................................................................... 230 Exhibit 8-81 Focus of Sales Force at Environmental Lab Firms ............................................................ 231 Exhibit 8-82 Lab Firms’ Sales Compensation Programs (Percentage of All Responses) ................... 232 Exhibit 8-83 Key Elements of Success ...................................................................................................... 233 Exhibit 8-84 Testing & Analytical Services Sales Growth in 2007 ........................................................ 234 Exhibit 8-85 Testing & Analytical Services Forecasted Sales Growth Over Next 2-3 Years ............. 235 Exhibit 8-86 Prospects for Sales Growth in next 2 Years ....................................................................... 236 Exhibit 8-87 Testing & Analytical Services Forecasted Sales Growth Over Next 2-3 Years ............. 237 Exhibit 8-88 Testing and Analytical Services Sales Growth By Region in 2007 ................................. 238 Exhibit 8-89 Testing and Analytical Services Forecasted Sales Growth By Region over next

2-3 Years ................................................................................................................................. 238 Exhibit 8-90 Sales Growth by Region 2007 .............................................................................................. 239 Exhibit 8-91 Forecasted Sales Growth Over Next 2-3 Years ................................................................. 239 Exhibit 8-92 Environmental Services: Forecasted Sales Growth in 2-3 Years ..................................... 240 Exhibit 8-93 Impact of Market Drivers on Revenues in 2008 ................................................................ 241 Exhibit 8-94 Impact of Market Drivers on Revenues ............................................................................ 242 Exhibit 8-95 Opinion Question .................................................................................................................. 243 Exhibit 8-96 Opinion Question .................................................................................................................. 243 Exhibit 8-97 Opinion Question .................................................................................................................. 244

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9. Solid Waste Management ........................................................................................... 9-7

9.1. Market Size ......................................................................................................................................... 9-7 9.1.1. 2012 Update ................................................................................................................................ 9-19 9.1.2. 2011 Report on Recycling, MSW and WME .............................................................................. 9-25 9.1.3. 2008 Update ................................................................................................................................ 9-38 9.1.4. 2006 Update ................................................................................................................................ 9-44 9.1.5. Waste Generation and Disposal in 2001 ..................................................................................... 9-47

9.2. Solid Waste Management Markets ............................................................................................... 9-49 9.3. Collection Markets........................................................................................................................... 9-52 9.4. Processing Markets .......................................................................................................................... 9-55 9.5. Disposal Markets ............................................................................................................................. 9-57 9.6. Geographic Distribution of Solid Waste Management Markets ............................................... 9-65 9.7. Other Solid Waste Management Segments .................................................................................. 9-74

9.7.1. Recycling ..................................................................................................................................... 9-74 9.7.2. Landfill Gas ................................................................................................................................. 9-77 9.7.3. Composting ................................................................................................................................. 9-77

9.8. Emerging Markets in Solid Waste Management ......................................................................... 9-79 9.8.1. Waste Conversion 2012 .............................................................................................................. 9-79 9.8.2. Waste Conversion Projects Coming Online in North America in 2012-2013 ............................ 9-81 9.8.3. Waste-To-Energy & Landfill Gas in 2012 .................................................................................. 9-83 9.8.4. Food Waste & Organic Waste Management ............................................................................... 9-93 9.8.5. Profile: Dirt Huggers: Barriers Beyond Shovels ....................................................................... 9-100 9.8.6. Profile: AI Organics: End Markets Tough ................................................................................ 9-102 9.8.7. Profile: Harvest Power: Energy Is Now .................................................................................... 9-103 9.8.8. E-Waste Management ............................................................................................................... 9-104

9.9. Competition in Solid Waste Management ................................................................................. 9-116 9.9.1. Top Solid Waste Management Companies ................................................................................ 9-119 9.9.2. Profile: Republic Services .......................................................................................................... 9-129 9.9.3. Profile: Veolia Environmental Services: Innovations in Waste-to-Resource ............................ 9-132 9.9.4. Banker Observations: Morgan Joseph ....................................................................................... 9-136 9.9.5. Leading Firms in Waste to Energy ........................................................................................... 9-140 9.9.6. Biomass on the Frontier ............................................................................................................ 9-141 9.9.7. Municipal Solid Waste Authorities........................................................................................... 9-147

Source Separation Of Organics Advances Slowly ................................................................. 9-147 Compostable Organics out of Landfills by 2012; COOL 2012 .............................................. 9-156

9.10. Strategies for Success .................................................................................................................... 9-158 9.10.1. Casella Waste ............................................................................................................................ 9-159

9.11. SCS Engineers ................................................................................................................................ 9-163 9.12. WIH Resource Group .................................................................................................................... 9-167 9.1. Waste Management Equipment Market ..................................................................................... 9-169

9.1.1. Mobile Refuse Transportation Equipment: Types of Garbage Trucks ....................................... 9-173 9.1.2. 2008 Update .............................................................................................................................. 9-175 9.1.3. 2006 Update .............................................................................................................................. 9-178 9.1.4. 2004 Trend Review ................................................................................................................... 9-179 9.1.5. 2003 Trend Review ................................................................................................................... 9-181

9.2. WME Company Profiles ............................................................................................................... 9-183 9.2.1. Compaction America ................................................................................................................. 9-183

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9.2.2. Heil Environmental Industries ................................................................................................. 9-186 9.2.3. Morbark Inc. ............................................................................................................................. 9-188 9.2.4. Rehrig Pacific Company ........................................................................................................... 9-191 9.2.5. Leach Company ......................................................................................................................... 9-194 9.2.6. Wastequip ................................................................................................................................. 9-196

9.3. Leading Companies in Waste Management Equipment.......................................................... 9-199 9.3.1. Selected Companies in Waste Containers ................................................................................. 9-199 9.3.2. Selected Companies in Liners .................................................................................................... 9-199 9.3.3. Selected Companies in Recycling Equipment ........................................................................... 9-200 9.3.4. Companies in Waste Vehicles and Bodies ................................................................................. 9-201

List of Exhibits Exhibit 9-1 U.S. Solid Waste Management Market: 2005-2012 ($bil) ................................................. 9-6 Exhibit 9-2 Size of the Solid Waste Market by Business Type, 2010 .................................................. 9-6 Exhibit 9-3 Size of the Solid Waste Market by Business Type, 2010 .................................................. 9-7 Exhibit 9-4 Size of the Solid Waste Market by Business Type, 2007 .................................................. 9-7 Exhibit 9-5 Size of the Solid Waste Market by Business Type, 2004 .................................................. 9-8 Exhibit 9-6 Size of the Solid Waste Market by Business Type, 2001 .................................................. 9-8 Exhibit 9-7 Size of the Solid Waste Market by Industry Segment, 2007-2009 .................................. 9-9 Exhibit 9-8 Size of the Solid Waste Market by Industry Segment, 2004 .......................................... 9-10 Exhibit 9-9 Size of the Solid Waste Market by Industry Segment, 2001 .......................................... 9-11 Exhibit 9-10 Structure of the U.S. Solid Waste Industry: 2006 ............................................................ 9-13 Exhibit 9-11 Structure of the U.S. Solid Waste Industry: 2009 ............................................................ 9-13 Exhibit 9-12 Structure of the U.S. Solid Waste Industry: 2010 ............................................................ 9-13 Exhibit 9-13 Number of Landfills in the United States, 1988 - 2010................................................... 9-14 Exhibit 9-14 Existing and Projected Solid Waste Market by Participant (in Billions $)................... 9-15 Exhibit 9-15 Composition of U.S. Waste Stream 2012 .......................................................................... 9-17 Exhibit 9-16 Generation of MSW, 2010 ................................................................................................. 9-17 Exhibit 9-17 Republic 2011 Revenue Factors ........................................................................................ 9-18 Exhibit 9-18 Solid Waste Market Volume in 2007 ................................................................................ 9-39 Exhibit 9-19 Trends in Waste Generation & Disposal in the U.S., 2000 - 2001 ................................. 9-47 Exhibit 9-20 Number of Operating Waste Disposal Operations, 2001 .............................................. 9-47 Exhibit 9-21 Volumes, Average Prices & Revenues from Landfilling MSW, 2001 & 2000 ............. 9-47 Exhibit 9-22 2000 to 2001 Materials Recovery Volumes ...................................................................... 9-48 Exhibit 9-23 Disposition of Municipal Solid Waste 1989-1998 ........................................................... 9-48 Exhibit 9-24 Size of the Solid Waste Market by Industry Segment, 2007 .......................................... 9-49 Exhibit 9-25 Size of the Solid Waste Market by Industry Segment, 2004 .......................................... 9-49 Exhibit 9-26 Historical and Projected Growth in Solid Waste Management ($bil) .......................... 9-50 Exhibit 9-27 Historical and Projected Growth in Solid Waste Management .................................... 9-51 Exhibit 9-28 Solid Waste Collection Markets, 2007 .............................................................................. 9-52 Exhibit 9-29 Solid Waste Collection Markets, 2006 .............................................................................. 9-52 Exhibit 9-30 Solid Waste Collection Markets, 2005 .............................................................................. 9-53 Exhibit 9-31 Solid Waste Collection Markets, 2004 .............................................................................. 9-53 Exhibit 9-32 Solid Waste Collection Markets, 2001 .............................................................................. 9-54 Exhibit 9-33 Growth in the Number of U.S. Recycling Facilities and Programs .............................. 9-55 Exhibit 9-34 Number of Landfills by Region and Ownership, 2001 .................................................. 9-57 Exhibit 9-35 Number of Landfills by Region and Ownership, 1991 .................................................. 9-57 Exhibit 9-36 Average Landfill Monthly Tipping Fees by Region 2007-2008 .................................... 9-57 Exhibit 9-37 Waste Disposal Pricing by Type of Facility, State, and Region, 2008 .......................... 9-58 Exhibit 9-38 Tip Fees: 2008-2011 ............................................................................................................. 9-59 Exhibit 9-39 U.S. Solid Waste Industry: Average Tip Fees: 2003 – 2010 ........................................... 9-59

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Exhibit 9-40 Average Tip Fees for MSW Charged by Landfills by Region and Ownership, 2001 (in $/Ton) .................................................................................................................... 9-59

Exhibit 9-41 Average Tip Fees for MSW, 1991 (in $/Ton) .................................................................. 9-60 Exhibit 9-42 Number of Landfills in the United States (1989-2004) ................................................... 9-60 Exhibit 9-43 Number of Landfills in the United States, 1988 - 2010 ................................................... 9-61 Exhibit 9-44 2009 Number of Landfills .................................................................................................. 9-61 Exhibit 9-45 Municipal Waste-To-Energy Projects ............................................................................... 9-61 Exhibit 9-46 Number of Incinerators in the United States (1989-96) .................................................. 9-62 Exhibit 9-47 Materials Recovery Facilities ............................................................................................. 9-63 Exhibit 9-48 NUMBER AND POPULATION SERVED BY CURBSIDE RECYCLABLES

COLLECTION PROGRAMS, 2009 ................................................................................... 9-64 Exhibit 9-49 Average landfill tonnage and price per day in SW collection/processing

2007-2008 .............................................................................................................................. 9-66 Exhibit 9-50 Waste Disposal Volumes by Type of Facility, State, and Region, 2008 ....................... 9-67 Exhibit 9-51 Trends in Waste Generation & Disposal by State, 2000 - 2001 (in Millions of

tons) ...................................................................................................................................... 9-69 Exhibit 9-52 Number of Operating Waste Disposal Operations by State in 2001 ............................ 9-70 Exhibit 9-53 Volumes, Average Prices & Revenues from Landfilling MSW by State, 2001

& 2000 ................................................................................................................................... 9-71 Exhibit 9-54 Year-to-Year Materials Recovery Volumes by State (in Millions of Tons) .................. 9-72 Exhibit 9-55 Management of Used and End-Of-Life Electronics in 2009 ........................................ 9-104 Exhibit 9-56 Global E-Scrap and E-Waste Generation (million tons) ............................................. 9-106 Exhibit 9-57 Chemical Substances of Concern and Priority Items in E-Waste .......................... 9-109 Exhibit 9-58 State Laws and Programs for Electronic Waste ............................................................ 9-114 Exhibit 9-59 Forecast of U.S. Solid Waste Industry: Shares by Company Type: 2003-2012 .......... 9-115 Exhibit 9-60 Forecast of U.S. Solid Waste Industry: Shares by Company Type: 2003-2010 ......... 9-115 Exhibit 9-61 Market Share in Solid Waste Management by Competitor Type, 1999 - 2008.......... 9-116 Exhibit 9-62 Shares of U.S. Solid Waste Industry: 2005 ..................................................................... 9-117 Exhibit 9-63 Shares of U.S. Solid Waste Industry: 2010 ..................................................................... 9-118 Exhibit 9-64 Top 100 Firms in the Solid Waste Industry: 2010 ......................................................... 9-119 Exhibit 9-65 Top 75 Firms in the Solid Waste Industry: 2007 ........................................................... 9-121 Exhibit 9-66 Top Firms in the Solid Waste Industry: 2004-2009 ....................................................... 9-123 Exhibit 9-67 Top 75 Firms in the U.S. Solid Waste Industry: 2005 ................................................... 9-124 Exhibit 9-68 Leading Companies in Solid Waste Management, 2004 .............................................. 9-126 Exhibit 9-69 Leading Companies in Solid Waste Management, 2001 .............................................. 9-127 Exhibit 9-70 Distribution of Revenues in U.S. Solid Waste Industry, 2006 ..................................... 9-127 Exhibit 9-71 Distribution of Revenues in U.S. Solid Waste Industry, 2001 ..................................... 9-128 Exhibit 9-72 Waste Management Business Breakdown ..................................................................... 9-128 Exhibit 9-73 Republic Services by the Numbers ................................................................................ 9-131 Exhibit 9-74 Largest Waste-to-Energy Companies Ranked by Total Capacity .............................. 9-140 Exhibit 9-75 Waste Management Equipment Market by Equipment Type 2000-2010 .................. 9-168 Exhibit 9-76 Waste Management Equipment Market by Major Equipment Category 2003-

2009 ..................................................................................................................................... 9-170 Exhibit 9-77 Waste Management Equipment Breakdown: 2003 - 2009 ........................................... 9-171 Exhibit 9-78 Historical Sales of Waste Management Equipment, 1991-2001 .................................. 9-172 Exhibit 9-79 Growth in Waste Management Equipment 1988-2010 ................................................ 9-176

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10. Site Remediation & Industrial Services ....................................................................11

10.1 Acknowledgements ............................................................................................................................. 11 Authors and Sources ........................................................................................................................................ 11 EBJ’s Market Research Method ........................................................................................................................ 11 Company Databases ......................................................................................................................................... 13 Survey Instruments ......................................................................................................................................... 13 Disclaimer ........................................................................................................................................................ 14 Copyright 15

10.2 The U.S. Environmental Industry Overview ................................................................................... 15 Definition of the Environmental Industry ....................................................................................................... 16 Environmental Industry Segments .................................................................................................................. 19

10.3 Remediation & Industrial Services .................................................................................................... 22 Introduction ..................................................................................................................................................... 22

10.4 Industrial Services ............................................................................................................................... 27 Competition in Industrial Services .................................................................................................................. 29 Hydraulic Fracturing Or ‘Fracking’ ................................................................................................................ 32 Spears Says Fracking Market Grew 19% to $37 Billion Worldwide in 2012 .................................................. 38

10.5 Abatement Services ............................................................................................................................. 39 Asbestos Abatement ......................................................................................................................................... 40 Lead Paint Abatement ...................................................................................................................................... 44 Radon Abatement ............................................................................................................................................. 45 Toxic Mold ....................................................................................................................................................... 45

10.6 Site Remediation Markets & Data Review ....................................................................................... 48 Markets for Site Remediation Services ............................................................................................................. 50 Market Growth in Site Remediation ................................................................................................................ 66

10.7 EBJ Remediation Survey Results ....................................................................................................... 70 2008 Survey Results ........................................................................................................................................ 70 2010 Survey Results ........................................................................................................................................ 75 2011 Survey Results ........................................................................................................................................ 86 2013 Survey Results ........................................................................................................................................ 98

10.8 U.S. Remediation Market Analysis ................................................................................................. 103 2012 Trends and 2013 Outlook ..................................................................................................................... 103 2010 Trends and 2011 Outlook ..................................................................................................................... 107 2009 Trends and 2010 Outlook ..................................................................................................................... 113 2008 Trends and 2009 Outlook ..................................................................................................................... 116 2008 Remediation Review .............................................................................................................................. 124 2006- 2007 Trend Review .............................................................................................................................. 128 2004-2005 Review ......................................................................................................................................... 133

10.9 Federal Markets ................................................................................................................................. 137 2013 Federal Market Review .......................................................................................................................... 137 2010 Federal Market Review .......................................................................................................................... 143 2008 Federal Overview .................................................................................................................................. 149 EPA 2010 Budget Update.............................................................................................................................. 150 Department of Defense ................................................................................................................................... 176 Base Realignment and Closure (BRAC) ........................................................................................................ 179 Department of Energy.................................................................................................................................... 198 GSA Schedule Contracts ................................................................................................................................ 209 Other Federal Agencies .................................................................................................................................. 213 Superfund 221 RCRA-Related Remediation........................................................................................................................... 232

10.10 Demolition & Decommissioning (D&D) ........................................................................................ 233 Nuclear Demolition & Decommissioning (D&D) ......................................................................................... 233 Coal Plant Decommissioning ......................................................................................................................... 239

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10.11 State Markets 2013 ............................................................................................................................. 241 Pennsylvania .................................................................................................................................................. 241 Florida 245 State Superfund.............................................................................................................................................. 248

10.12 Brownfields ........................................................................................................................................ 249 2013 Brownfields Review ............................................................................................................................... 249 Private Market Overview ............................................................................................................................... 258 State Budget ................................................................................................................................................... 261 Brownfields Business Evolves Despite Depressed Real Estate Market .......................................................... 273 Auto Brownfields ........................................................................................................................................... 285 Brownfields Redevelopment: 2010 ................................................................................................................. 291

10.13 Other Private Markets ....................................................................................................................... 368 Abandonded Mining Sites.............................................................................................................................. 368 Underground Storage Tank Remediation ...................................................................................................... 377 Manufactured Gas Plant (MGP) Sites .......................................................................................................... 383

10.14 Remediation Business Issues ............................................................................................................ 394 Market Drivers ............................................................................................................................................... 394 Pricing and Contracts .................................................................................................................................... 399 Insurance For Remediation ............................................................................................................................ 401 Insurance Matures for Redevelopment ........................................................................................................... 408 HR and Personnel: Phase I Professionals ....................................................................................................... 410 Green or Sustainable Remediation ................................................................................................................. 415

10.15 Competitive Factors for Success ...................................................................................................... 422 Key Buying Factors ........................................................................................................................................ 422 Technology Applications ................................................................................................................................ 425 Operating and Financial Benchmarks ............................................................................................................ 438 Competition in Site Remediation ................................................................................................................... 442

10.16 2013 Profiles of Remediation Companies ....................................................................................... 485 Haley & Aldrich ............................................................................................................................................. 485 AMEC plc ...................................................................................................................................................... 488 Paragon Environmental Construction ........................................................................................................... 491 Weiss Associates ............................................................................................................................................. 494 TerraTherm, Inc ............................................................................................................................................. 497 Group Delta Consultants ............................................................................................................................... 500

10.17 2011 Profiles of Remediation Companies ....................................................................................... 503 Weston Solutions ........................................................................................................................................... 503 Goldberg-Zoino & Associates, Inc. ................................................................................................................ 506 Gannett Fleming ............................................................................................................................................ 509 Hull & Associates .......................................................................................................................................... 512 COLUMBIA Technologies ............................................................................................................................. 516 Geotechnology ................................................................................................................................................ 519

10.18 2010 Profiles of Remediation Companies ....................................................................................... 522 Stantec, Inc. ................................................................................................................................................... 522 ARS Technologies, Inc. .................................................................................................................................. 525 Delta Consultants .......................................................................................................................................... 528 Environmental Resolutions, Inc. .................................................................................................................... 531

10.19 2008 Profiles ....................................................................................................................................... 535 Thermal Remediation Survices, Inc. (TRS) ................................................................................................... 535

10.20 ARCADIS NV .................................................................................................................................... 538 Geosyntec Consultants, Inc. ........................................................................................................................... 541 KEMRON Environmental Services ............................................................................................................... 546

10.21 2007 Profiles ....................................................................................................................................... 550 ENSR 550 REGENESIS .................................................................................................................................................. 554

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TERRATHERM, Inc. .................................................................................................................................... 557 URS CORP. ................................................................................................................................................... 560 VERUTEK ..................................................................................................................................................... 564 LFR, Inc. 566 BAY WEST, Inc. ............................................................................................................................................ 569

10.22 2006 Profiles ....................................................................................................................................... 572 TETRA TECH ............................................................................................................................................... 572 O’NEILL 575 TERRACON .................................................................................................................................................. 579 PDG 582 CREAMER ENVIRONMENTAL ................................................................................................................ 586 ATWELL-HICKS .......................................................................................................................................... 589 BROWNFIELD ASSOCIATES INC. ........................................................................................................... 592 TRIHYDRO................................................................................................................................................... 595 MASER CONSULTING ............................................................................................................................... 599 TERRASURE ................................................................................................................................................ 602

10.23 2000-2005 Profiles .............................................................................................................................. 605 ARCADIS ...................................................................................................................................................... 605 Renova Partners ............................................................................................................................................. 608 TRC Companies Inc. ...................................................................................................................................... 611 LFR Levine-Fricke .......................................................................................................................................... 614 Brownfield Partners ....................................................................................................................................... 617 Panther Technologies ..................................................................................................................................... 621 AMEC Earth & Environmental .................................................................................................................... 624 Environmental Waste Management Associates ............................................................................................. 627 Parametrix ..................................................................................................................................................... 629 SWCA Environmental Consultants .............................................................................................................. 632 Shaw Environmental & Infrastructure .......................................................................................................... 635 TolTest Inc. .................................................................................................................................................... 638 Sullivan Consulting ....................................................................................................................................... 642 FPM Remediations ......................................................................................................................................... 646 Duratek Inc. ................................................................................................................................................... 649 S. M. Stoller ................................................................................................................................................... 651 Small Environmental Business Action Coalition .......................................................................................... 655 American Council of Engineering Companies ............................................................................................... 659 LVI Services ................................................................................................................................................... 662 Environmental Quality Management Inc. (EQM)........................................................................................ 665 SLR International Corp. ................................................................................................................................ 668 Sub-Surface Waste Management Inc. (SSWM) ............................................................................................ 671 The Whitman Companies Inc. ........................................................................................................................ 674 Weston Solutions Inc. .................................................................................................................................... 676 The Forrester Group ....................................................................................................................................... 679 Portage Environmental Inc. ........................................................................................................................... 682 TRC Companies Inc. ...................................................................................................................................... 685 Pacific Northwest National Laboratory (PNNL) ........................................................................................... 687 Clean Earth .................................................................................................................................................... 691 ERM 2003 ...................................................................................................................................................... 695 Wasatch Environmental................................................................................................................................. 699 Conestoga-Rovers Associates ......................................................................................................................... 701 O’Brien & Gere .............................................................................................................................................. 703 Bitterroot Restoration Inc. ............................................................................................................................. 706 Clayton Environmental Consultants ............................................................................................................. 709 Locus Technologies ......................................................................................................................................... 716 Lexicon Environmental Services .................................................................................................................... 722

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Ensafe 725 Handex Environmental .................................................................................................................................. 727 Applied Earth Sciences ................................................................................................................................... 737

10.24 Appendix ............................................................................................................................................ 740 Opinion Survey Results ................................................................................................................................. 740

Table of Exhibits Exhibit 1-1 The Global Environmental Market by Segment: USA Share ............................................ 17 Exhibit 1-2 Environmental Industry Segments ....................................................................................... 19 Exhibit 1-3 Environmental Industry Segments and Numbers of Companies: USA .......................... 21 Exhibit 1-4 The U.S. Environmental Industry in 2011 ($bil) ................................................................. 22 Exhibit 1-5 U.S. Environmental Industry: Revenues by Media ($bil) 2011 ......................................... 24 Exhibit 1-6 Remediation/Industrial Services Revenues ($mil) 2003-2011 ........................................... 26 Exhibit 1-7 Growth in US Remediation/Industrial Services, 1988 – 2015 ............................................ 26 Exhibit 1-8 Industrial Services Market, 1996-2006 ($billions) ............................................................... 28 Exhibit 1-9 Industrial Services Market, 2006-2015 ($billion)................................................................. 28 Exhibit 1-10 Top Industrial Services Firms, 1993 ..................................................................................... 30 Exhibit 1-11 Top Industrial Services Firms, 1997 ..................................................................................... 30 Exhibit 1-12 Top Industrial Services Firms, 2003 ..................................................................................... 31 Exhibit 1-13 Top Industrial Services Firms, 2009 estimates .................................................................... 31 Exhibit 1-14 Ranking of Top Client Sectors for Environmental Industry in 2013 ................................ 33 Exhibit 1-15 Abatement Services Market 1988-2006................................................................................. 40 Exhibit 1-16 Abatement Services Market 2006-2015................................................................................. 40 Exhibit 1-17 Asbestos Abatement Revenues, 1993 ................................................................................... 42 Exhibit 1-18 Asbestos Abatement Revenues, 1996 ................................................................................... 43 Exhibit 1-19 Asbestos Abatement Revenues, 2002 ................................................................................... 43 Exhibit 1-20 Asbestos Abatement Revenues, 2008 ................................................................................... 43 Exhibit 1-21 Asbestos Abatement Revenues, 2010 ................................................................................... 44 Exhibit 1-22 Total and Shares of the U.S. Remediation Market, 2006-2013 .......................................... 48 Exhibit 1-23 Historical and Projected Growth in US Remediation Market, 1988 – 2013 .................... 49 Exhibit 1-24 Estimated Number of Sites and Remediation Costs 2004-2033 ........................................ 50 Exhibit 1-25 Remediation Market Subsectors Breakdown, 2006-2013 ................................................... 51 Exhibit 1-26 U.S. Site Remediation Market, 1995 – 2003 in Review ....................................................... 53 Exhibit 1-27 Forecasted U.S. Site Remediation Market, 2004 – 2013...................................................... 54 Exhibit 1-28 Public vs. Private Revenues in Site Remediation, 1993 - 2006 .......................................... 55 Exhibit 1-29 Public vs. Private Revenues in Site Remediation, 2006-2014 ............................................ 55 Exhibit 1-30 Site Remediation Market by Customer, 2006-2010 ............................................................. 56 Exhibit 1-31 U.S. Site Remediation Market by Service Type, 2010......................................................... 57 Exhibit 1-32 U.S. Site Remediation Market by Service Type, 1995-2006 ............................................... 57 Exhibit 1-33 U.S. Site Remediation Market by Service Type, 2006-2013 ............................................... 58 Exhibit 1-34 US Remediation Market: Redevelopment Portion, 1988 – 2013 ....................................... 58 Exhibit 1-35 U.S. Site Remediation Market by Competitor Type from 1993-2006 ............................... 60 Exhibit 1-36 U.S. Site Remediation Market by Competitor Type from 2006-2013 ............................... 60 Exhibit 1-37 U.S. Site Remediation Market by Competitor Type, 2010 ................................................. 61 Exhibit 1-38 US Remediation Competitors, 1999 – 2013 .......................................................................... 62 Exhibit 1-39 Top Remediation Companies, 2010 ...................................................................................... 63 Exhibit 1-39 Distribution of Site Remediation Companies, 2010 ........................................................... 64 Exhibit 1-40 US Remediation Market by Service, 1988 – 2012 ................................................................ 64

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Exhibit 1-41 U.S. Site Remediation Market by Project Size, 2008 ........................................................... 65 Exhibit 1-42 Historical and Projected Growth in US Remediation Market, 1988 – 2013 .................... 67 Exhibit 1-43 U.S. Site Remediation Market, 2006-2013 ............................................................................ 69 Exhibit 1-44 Growth By Market Category 2006 ........................................................................................ 70 Exhibit 1-45 Growth By Market Category: 2008 ........................................................................................ 71 Exhibit 1-46 Ranking of Market Drivers in order of importance in stimulating remediation

expenditure by clients: 2008 .................................................................................................. 72 Exhibit 1-47 Ranking of Remediation Revenue Growth by market category: 2008-2010 ................... 73 Exhibit 1-48 Ranking of Remediation Revenue Growth by Public Sector Clients: 2008-2010 ............ 73 Exhibit 1-49 Ranking of Remediation Revenue Growth by Private Sector Clients: 2008-

2010 ........................................................................................................................................... 74 Exhibit 1-50 Importance of the following Market Drivers in stimulating remediation

expenditure by your clients: .................................................................................................. 75 Exhibit 1-51 Growth in Gross REMEDIATION Revenues in 2009: ........................................................ 76 Exhibit 1-52 Forecasted Gross REMEDIATION Revenue Growth Rate for 2010 ................................ 77 Exhibit 1-53 FORECAST: Growth Rate for the entire REMEDIATION Industry in 2010 ................... 78 Exhibit 1-54 Forecast for Client Sectors in Remediation: 2010-2012 ...................................................... 78 Exhibit 1-55 Rate the following categories in terms of prospective REMEDIATION

Revenue Growth in the next two to three years. ................................................................ 79 Exhibit 1-56 Rate the following categories in terms of prospective REMEDIATION

Revenue Growth in the next two to three years. ................................................................ 79 Exhibit 1-57 Estimated percentage of contracts that are structured as Time & Materials: ................ 80 Exhibit 1-58 Estimated percentage of contracts that involve portfolios, or "bundles" of

sites (v. single-site contracts). ................................................................................................ 80 Exhibit 1-59 Private sector remediation projects that companies bid on AND WON in

2009. .......................................................................................................................................... 80 Exhibit 1-60 Number of GOVERNMENT remediation projects bid on AND WON in 2009. ............ 80 Exhibit 1-61 Level of risk clients are expecting on remediation projects: ............................................. 81 Exhibit 1-62 Percentage of sites that used the following Site Characterization Methods. .................. 81 Exhibit 1-63 Percentage of active projects using SOIL TREATMENT methods during 2009: ............ 81 Exhibit 1-64 Percentage of active projects using GROUNDWATER TREATMENT

methods 2009: .......................................................................................................................... 82 Exhibit 1-65 Most important challenge facing the Remediation Industy in 2010? ............................... 83 Exhibit 1-66 What is the most important business challenge facing your company in 2010? ............ 85 Exhibit 1-67 Gross REMEDIATION Revenue for 2010 ............................................................................ 86 Exhibit 1-68 Ranking of Remediation Market Drivers in 2011 ............................................................... 86 Exhibit 1-69 Growth in Gross REMEDIATION Revenues in 2010 ......................................................... 88 Exhibit 1-70 FORECAST: Gross REMEDIATION Revenue Growth Rate for 2011 .............................. 89 Exhibit 1-71 FORECAST: Growth Rate for the entire REMEDIATION Industry in 2011 ................... 90 Exhibit 1-72 Ranking of Remediation Client Categories by Growth Prospects for 2011-

2012 ........................................................................................................................................... 91 Exhibit 1-73 Ranking of Remediation Market Categories by Growth Prospects for 2011-

2012 ........................................................................................................................................... 91 Exhibit 1-74 Ranking of Remediation Project Phases by Growth Prospects for 2011-2012................. 92 Exhibit 1-75 Percentage of gross remediation revenues in 2010 derived from outside the

U.S. ............................................................................................................................................ 93 Exhibit 1-76 Clients Expecting Remediation Firms to Share More Risk ................................................ 93 Exhibit 1-77 Revenue Growth in Remediation: Company vs. Segment Response............................... 98 Exhibit 1-78 Ranking of Market Drivers in Remediation Business in 2013 ........................................... 99 Exhibit 1-79 Rating of client markets ....................................................................................................... 100 Exhibit 1-80 Rating of Project or Service Markets in Remediation: 2013-2015 ................................... 100 Exhibit 1-81 Remediation Bid Win Rates: 2013 ....................................................................................... 101

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Exhibit 1-82 EBJ 2013 Remediation Survey Comments ......................................................................... 102 Exhibit 1-83 2010 Survey Forecast for 2010 ............................................................................................. 116 Exhibit 1-84 Impact of the current economic downturn on site assessment and

remediation business in the following categories: ............................................................ 117 Exhibit 1-85 Environmental Protection Agency Budget: 2004-2008 .................................................... 151 Exhibit 1-86 Environmental Protection Agency Budget: 2002-2009 .................................................... 152 Exhibit 1-87 Environmental Protection Agency Budget: 2009-20011 .................................................. 153 Exhibit 1-88 Environmental Protection Agency Budget: 2004-2013 .................................................... 154 Exhibit 1-89 DOD Budget: 2001-2016: 2012 Version .............................................................................. 155 Exhibit 1-90 Department of Defense Budget: 2004- 2007..................................................................... 159 Exhibit 1-91 DOD Environmental Budget, 2004 – 2010 ......................................................................... 161 Exhibit 1-92 DOD Environmental Budget, 2010 – 2012 ......................................................................... 164 Exhibit 1-93 DOE FY2011 Budget Request: $28.4B ................................................................................ 165 Exhibit 1-94 DOE FY2012 Budget Request .............................................................................................. 165 Exhibit 1-95 Department of Energy Budget: 2005-2008 ......................................................................... 167 Exhibit 1-96 Department of the Interior Budget: 2004-2008 ................................................................. 168 Exhibit 1-97 Forcasted Growth by Government Client Type 2006 ....................................................... 168 Exhibit 1-98 Forecasted Growth by Government Client Type 2008 ..................................................... 169 Exhibit 1-99 Forecast for Client Sectors in Remediation: 2010-2012 .................................................... 169 Exhibit 1-100 WERC Contract Winners ..................................................................................................... 175 Exhibit 1-101 Department of Defense Remediation Spending by Service, 1995-2005 ......................... 177 Exhibit 1-102 Top Ten DOD Clean-Up Facilities, 1995’s “$100 million club” ...................................... 178 Exhibit 1-103 Historical and Projected Growth in DOD Market, 1988 – 2013 ...................................... 178 Exhibit 1-104 BRAC V ROUND Major Closures ...................................................................................... 186 Exhibit 1-105 BRAC V ROUND Major Realignments .............................................................................. 187 Exhibit 1-106 Historical and Projected Growth in DOE Market, 1988 – 2013 ...................................... 199 Exhibit 1-107 U.S. Department of Energy Budget FROM 2002-2003 .................................................... 202 Exhibit 1-108 Major DOE-EM Contracts .................................................................................................... 203 Exhibit 1-109 DOE Waste Management Contractors, 2001 ..................................................................... 203 Exhibit 1-110 DOE Waste Management Contractors, 2006 ..................................................................... 204 Exhibit 1-111 DOE Waste Management Contractors, 2008 ..................................................................... 205 Exhibit 1-112 The Changing DOE Contractor Base: The 1970s & 1980s versus 2000s ......................... 207 Exhibit 1-114 GSA Environmental Service Schedules ............................................................................. 212 Exhibit 1-115 Civilian Federal Agencies .................................................................................................... 221 Exhibit 1-116 Superfund by the Numbers ................................................................................................. 232 Exhibit 1-117 Historical and Projected Growth in Superfund-Related Market, 1988 – 2013 .............. 232 Exhibit 1-118 Historical and Projected Growth in RCRA-Related Market, 1988 – 2013 ..................... 233 Exhibit 1-113 Scheduled and Projected D&D of Commercial Reactors................................................. 239 Exhibit 1-119 Historical and Projected Growth in State Superfund Market, 1988 – 2010 ................... 249 Exhibit 1-120 Historical and Projected Growth in Private/Non-Regulatory Remediation

Market, 1988 – 2013 .............................................................................................................. 259 Exhibit 1-121 Forecasted Growth in 2006 by Private Client Type .......................................................... 259 Exhibit 1-122 Forecasted Growth in 2008 by Private Client Type .......................................................... 260 Exhibit 1-123 Forecast for Client Sectors in Remediation: 2010-2012 .................................................... 260 Exhibit 1-124 Forecast for Client Sectors in Remediation: 2013 .............................................................. 261 Exhibit 1-125 Brownfields Impacts of House Budget .............................................................................. 280 Exhibit 1-126 Site Characterization Methods 2009 - 2010 ........................................................................ 284 Exhibit 1-127 RACER Trust Priority Sites .................................................................................................. 289 Exhibit 1-128 Overview of Federal Key Programs, 2004 - 2005 .............................................................. 366 Exhibit 1-129 Historical and Projected Growth in UST Remediation Market, 1988 – 2013 ................ 378

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Exhibit 1-130 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2007 ............................................................................................................................ 395 Exhibit 1-131 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2008 ............................................................................................................................ 396 Exhibit 1-132 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2010 ............................................................................................................................ 397 Exhibit 1-133 Ranking of Market Drivers in Remediation Business in 2013 ........................................ 399 Exhibit 1-134 Trends in structure of remediation contracts .................................................................... 400 Exhibit 1-135 Bid Win Rates: 2001-2010 ..................................................................................................... 401 Exhibit 1-136 Please rate the level of risk that your clients in general are expecting you to

take on remediation projects: .............................................................................................. 402 Exhibit 1-137 EDR Annual Salary Survey- 2005 Respondent Demographics...................................... 415 Exhibit 1-138 The Changing Importance of Key Buying Factors of Remediation Services ................ 423 Exhibit 1-139 2006 Forecast by Project type .............................................................................................. 430 Exhibit 1-140 Trends in win rates for remediation contracts: ................................................................. 430 Exhibit 1-141 Trends in structure of remediation contracts: ................................................................... 430 Exhibit 1-142 Level of risk that clients in general are expecting companies to take on

remediation projects: ............................................................................................................ 431 Exhibit 1-143 Soil Remediation Technology Trends, 1996 – 2004 .......................................................... 432 Exhibit 1-144 Soil Remediation Technology Trends, 2006-2010 ............................................................. 433 Exhibit 1-145 Soil Remediation Technology Trends, 2011-2013 ............................................................. 434 Exhibit 1-146 Groundwater Remediation Technology Trends, 1996 - 2006 ......................................... 435 Exhibit 1-147 Groundwater Remediation Technology Trends, 2006 - 2010 .......................................... 435 Exhibit 1-148 Groundwater Remediation Technology Trends, 2011-2013 ............................................ 436 Exhibit 1-149 Site Characterization Technology Trends, 1992 - 2006 .................................................... 436 Exhibit 1-150 Site Characterization Technology Trends, 1998 - 2006 .................................................... 437 Exhibit 1-151 Site Characterization Technology Trends, 2009-2013 ...................................................... 437 Exhibit 1-152 Profitability by Project Type ................................................................................................ 439 Exhibit 1-153 Personnel Allocation ............................................................................................................. 441 Exhibit 1-154 Personnel Allocation among Remediation Contrators .................................................... 441 Exhibit 1-155 Growth of Competitor Types in Site Remediation Markets from 2005– 2012 .............. 443 Exhibit 1-156 Growth of Competitor Types in Site Remediation Markets from 1988 - 2010 ............. 444 Exhibit 1-157 Top Remediation Companies, 2010 .................................................................................... 445 Exhibit 1-158 Distribution of Remediation Companies, 2008 ................................................................. 446 Exhibit 1-159 Top Remediation Companies, 2008; $60 mil+ ................................................................... 448 Exhibit 1-160 Top Remediation Companies, 2008: $25-60 mil................................................................ 450 Exhibit 1-161 Top Remediation Companies, 2008; $15-25 mil................................................................ 452 Exhibit 1-162 Top Remediation Companies, 2008; $10-15 mil................................................................ 453 Exhibit 1-163 Distribution of Remediation Companies, 2006 ................................................................. 454 Exhibit 1-164 Top Remediation & Abatement Companies, 2006 ........................................................... 455 Exhibit 1-165 Top 120 Remediation & Abatement Companies, 2006 .................................................... 457 Exhibit 1-166 Top Remediation Companies, 2003 .................................................................................... 461 Exhibit 1-167 Distribution of Remediation Companies, 2003 ................................................................. 463 Exhibit 1-168 Distribution of Remediation Companies, 2001 ................................................................. 463 Exhibit 1-169 Top Remediation Companies, 1999 & 2000 ....................................................................... 464 Exhibit 1-170 Distribution of Remediation Companies, 1999 ................................................................. 465 Exhibit 1-171 Top Remediation Companies, 1996 & 1997 ....................................................................... 466 Exhibit 1-172 Distribution of Remediation Companies, 1997 ................................................................. 467 Exhibit 1-173 Top Remediation Companies, 1994 .................................................................................... 468 Exhibit 1-174 Top Remediation Companies, 1992 .................................................................................... 470

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Exhibit 1-175 Top Remediation Companies in Government Market, 2006 ........................................... 473 Exhibit 1-176 Top Remediation Companies in Private Market, 2006 .................................................... 475 Exhibit 1-177 Top Remediation Companies in DOE Market, 2006 ........................................................ 477 Exhibit 1-178 Top Remediation Companies in DOD Market, 2006 ........................................................ 478 Exhibit 1-179 Top Remediation Companies in RCRA Market, 2006 ...................................................... 479 Exhibit 1-180 Top Remediation Companies in Superfund Market, 2006 .............................................. 480 xhibit 1-181 Top Remediation Companies in 2006: Ranked by Construction Revenues .................. 482 Exhibit 1-182 Top Remediation Companies in 2006: Ranked by Consulting Revenues ...................... 484 Exhibit 1-183 SEBAC Accomplishments .................................................................................................... 658 Exhibit 1-184 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2007 ............................................................................................................................ 740 Exhibit 1-185 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2006 ............................................................................................................................ 741 Exhibit 1-186 Importance of Market Drivers to Stimulating Remediation Expenditure by

Clients 2004 ............................................................................................................................ 742 Exhibit 1-187 Most important challenge for the Remediation Industry 2010: ...................................... 743 Exhibit 1-188 Most important challenge for the Remediation Industry 2008: ...................................... 744 Exhibit 1-189 Most important challenge for the Remediation Industry 2007: ...................................... 746 Exhibit 1-190 Most Important Business Challenges Facing Individual Companies 2013 ................... 747 Exhibit 1-191 Most Important Business Challenges Facing Individual Companies 2011 ................... 747 Exhibit 1-192 Most Important Business Challenges Facing Individual Companies 2010 ................... 749 Exhibit 1-193 Most Important Business Challenges Facing Individual Companies 2008 ................... 749 Exhibit 1-194 Most Important Business Challenges Facing Individual Companies 2007 ................... 752 Exhibit 1-195 Most important challenge for the Remediation Industry 2006: ...................................... 753 Exhibit 1-196 Most Important Business Challenges Facing Companies 2006: ..................................... 754 Exhibit 1-197 Most important challenge for the Remediation Industry (Select Responses)

2004: ........................................................................................................................................ 754

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© Page xxxvii

11. Hazardous Waste Management ............................................................................... 11-3

11.1. 2011 Review ..................................................................................................................................... 11-6 11.1.1. Profile: Clean Harbors ................................................................................................................. 11-7 11.1.2. Profile: Veolia ES Technical Solutions ........................................................................................ 11-9 11.1.3. Profile: Perma-Fix ..................................................................................................................... 11-13 11.1.4. Profile Stats: American Ecology ............................................................................................... 11-16 11.1.5. Profile Stats: Stericycle ............................................................................................................. 11-16 11.1.6. Profile: EnergySolutions ........................................................................................................... 11-17 11.1.7. Profile: Waste Management ...................................................................................................... 11-18 11.1.8. Profile: NRC Environmental Services ...................................................................................... 11-19 11.1.9. Selected Other Private Hazardous Waste Companies ............................................................... 11-19

11.2. 2010 Review ................................................................................................................................... 11-19 11.2.1. Profile: Clean Harbors in 2010 ................................................................................................. 11-23 11.2.2. Profile: Ross Environmental Services ....................................................................................... 11-25 11.2.3. Profile: Veolia Environmental Services North America ........................................................... 11-26 11.2.4. Q&A WITH ENVIRONMENTAL TECHNOLOGY COUNCIL .......................................... 11-28

11.3. 2009 Review ................................................................................................................................... 11-31 11.4. 2008 Review by F&B ..................................................................................................................... 11-39 11.5. 2007 Review ................................................................................................................................... 11-41 11.6. 2007 Medical Waste Market ......................................................................................................... 11-49 11.7. 2004 Review ................................................................................................................................... 11-50 11.8. 2003 Review ................................................................................................................................... 11-58 11.9. 2002 Review ................................................................................................................................... 11-68 11.10. 2001 Review ................................................................................................................................... 11-76 11.11. Historical Review .......................................................................................................................... 11-77 11.12. Profiles of Leading Haz Waste Companies ............................................................................... 11-80

11.12.1. Hydromet Environmental Recovery Ltd (2004) ....................................................................... 11-81 11.12.2. Ross Environmental Services Inc (2004) .................................................................................. 11-82 11.12.3. Waste Control Specialists (2004) .............................................................................................. 11-84 11.12.4. Clean Harbors, Inc. (2010) ....................................................................................................... 11-87 11.12.5. Clean Harbors, Inc. (2002) ....................................................................................................... 11-87 11.12.6. EQ–The Environmental Quality Co. (2002) ............................................................................ 11-91 11.12.7. Heritage Environmental Services LLC (2002) .......................................................................... 11-94

11.13. Medical Waste Management ..................................................................................................... 11-101 11.13.1. Stericycle and Waste Management (2005) ............................................................................. 11-102 11.13.2. Stericycle Inc. (2002) .............................................................................................................. 11-104

11.14. Nuclear Waste Management ...................................................................................................... 11-111 11.14.1. Low Level Radioactive Waste Management ............................................................................ 11-111 11.14.2. High-Level Nuclear Waste ...................................................................................................... 11-114

List of Exhibits

Exhibit 11-1 Historical and Projected Growth in Hazardous Waste Management ......................... 11-3 Exhibit 11-2 Hazardous Waste Management Market, 2000-2005 ....................................................... 11-3 Exhibit 11-3 Hazardous Waste Management Market, 2006-2010 ....................................................... 11-4

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Exhibit 11-4 Historical and Projected Growth in Hazardous Waste Management (Industrial, Medical, Nuclear and Federal) ..................................................................... 11-4

Exhibit 11-5 Leading Companies in Hazardous Waste Management, 2010 ..................................... 11-5 Exhibit 11-6 Clean Harbors Revenues $mil ........................................................................................... 11-9 Exhibit 11-6 Veolia Environnement in € Millions ............................................................................... 11-13 Exhibit 11-6 Perma-Fix Environmental Services: 2006-2010 ............................................................. 11-16 Exhibit 11-6 American Ecology 2006-2010 ........................................................................................... 11-16 Exhibit 11-6 Stericycle 2006-2010 .......................................................................................................... 11-16 Exhibit 11-6 EnergySolutions ($mil) 2006-2010................................................................................... 11-18 Exhibit 11-6 Waste Management Revenues ($mil) 2006-2010 ........................................................... 11-18 Exhibit 11-6 Waste Management Landfills 2006-2010 ....................................................................... 11-18 Exhibit 11-7 Commercial Hazardous Waste TSD Facilities (as of November 2003) ...................... 11-60 Exhibit 11-8 Top Haz Waste Companies, 2010 ................................................................................... 11-62 Exhibit 11-9 Top Haz Waste Companies, 2003 ................................................................................... 11-62 Exhibit 11-10 Top Hazardous Waste Companies, 2001 ....................................................................... 11-70 Exhibit 11-11 Major Commercial Hazardous Waste Companies and Service Offerings ................ 11-72 Exhibit 11-12 U.S. Commercial Hazardous Treatment/Disposal/Recovery Facilities &

Service Offerings, by Region, 2002 ................................................................................. 11-74 Exhibit 11-13 Leading Companies in Hazardous Waste Management, 2010 ................................... 11-77 Exhibit 11-14 Leading Companies in Hazardous Waste Management, 2008 ................................... 11-78 Exhibit 11-15 Leading Companies in Hazardous Waste Management, 2001 ................................... 11-78 Exhibit 11-16 Distribution of Companies in Hazardous Waste Management, 1998 ........................ 11-79 Exhibit 11-17 Leading Companies in Hazardous Waste Management, 1998 ................................... 11-79 Exhibit 11-18 Distribution of Companies in Hazardous Waste Management, 1995 ........................ 11-79 Exhibit 11-19 Leading Companies in Hazardous Waste Management, 1995 ................................... 11-80 Exhibit 11-20 Clean Harbors Revenues $mil ......................................................................................... 11-87 Exhibit 11-21 Total U.S. Medical Waste Management and Disposal Market ($mil) ...................... 11-102 Exhibit 11-22 STERICYCLE: History of Acquisitions ........................................................................ 11-107

EQUIPMENT

12. Air Pollution Control Equipment

12.1. Total Air Quality Market Overview.............................................................................................. 12-1 12.1.1. Air Pollution Control Equipment ............................................................................................... 12-2 12.1.2. Consulting & Engineering .......................................................................................................... 12-5 12.1.3. Environmental Instrumentation ............................................................................................... 12-12 12.1.4. Mobile Sources .......................................................................................................................... 12-16 12.1.5. Indoor Air Quality .................................................................................................................... 12-23 12.1.6. Emissions Credit Trading ......................................................................................................... 12-30

12.2. Markets for Stationary Source APC Equipment ........................................................................ 12-37 12.2.1. Historical Development of Stationary Source APC Markets .................................................... 12-37 12.2.2. Historical Context for APC Markets in the 90s ........................................................................ 12-38 12.2.3. Market Trend Analysis in 2007 ................................................................................................ 12-41 12.2.4. Market Trend Analysis in 2005: Air Market Rides on Power Industry’s Thirst for Coal; Lags

on New Regulations .................................................................................................................. 12-47 12.2.5. Market Trend Analysis in 2002: Air Pollution Control Market Zeroes In on Electric Utilities12-54 12.2.6. APC Equipment Market by Equipment Type ........................................................................... 12-61 12.2.7. APC Equipment Market by Pollutant ...................................................................................... 12-65 12.2.8. APC Equipment Market by Customer Type ............................................................................. 12-69 12.2.9. Geographic Distribution of APC Equipment Markets .............................................................. 12-83 12.2.10. APC Equipment Market Industry Structure ............................................................................ 12-85

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12.2.11. Top APC Equipment Companies .............................................................................................. 12-86 12.2.12. Top APC Equipment Companies by Equipment Type .............................................................. 12-90 12.2.13. Top APC Equipment Companies by Pollutant Type ................................................................ 12-95

12.3. APC Regulations and Growth Areas .......................................................................................... 12-99 12.3.1. Historical Context of The Clean Air Act .................................................................................. 12-99

12.4. Major Long-Term CAAA Business Opportunities ................................................................. 12-102 12.4.1. Review of Air Quality Policy & Market Drivers .................................................................... 12-106 12.4.2. Air Quality Policy Update ...................................................................................................... 12-114 12.4.3. APC Services and Technologies .............................................................................................. 12-142 12.4.4. Multi-Pollutant Control Approach ......................................................................................... 12-142 12.4.5. NOx Prevention and Control ................................................................................................. 12-144 12.4.6. VOC Control Market .............................................................................................................. 12-148 12.4.7. Mercury Technology ............................................................................................................... 12-153 12.4.8. Post-Combustion Co2 Capture ................................................................................................ 12-155

12.5. Forecast of Future Trends and Growth Scenarios for the Air Quality Industry ................. 12-158 12.6. Profiles of Leading APC Equipment Companies .................................................................... 12-162

12.6.1. CECO (2008) .......................................................................................................................... 12-162 12.6.2. Anguil Environmental Systems (2008) .................................................................................. 12-165 12.6.3. Peerless Mfg. Co...................................................................................................................... 12-168 12.6.4. GE Energy (2005) ................................................................................................................... 12-171 12.6.5. Rentar (2005) .......................................................................................................................... 12-174 12.6.6. Anguil Environmental (2005) ................................................................................................ 12-177 12.6.7. John Zink (2005) ..................................................................................................................... 12-180 12.6.8. Horiba Group (2005) .............................................................................................................. 12-183 12.6.9. Alstom Power and Environmental Control Systems (2002) .................................................. 12-185 12.6.10. Anguil Environmental Systems, Inc. (2002) .......................................................................... 12-188 12.6.11. Fuel Tech Inc. (2002) .............................................................................................................. 12-191 12.6.12. Hamon Research-Cottrell, Inc. (2002) .................................................................................... 12-194 12.6.13. Environmental Elements Corp. (2002) ................................................................................... 12-196 12.6.14. Croll-Reynolds Clean Air Technologies (2002) ...................................................................... 12-199 12.6.15. KleenAir Systems Inc. (2002) ................................................................................................. 12-202 12.6.16. Thermatrix, Inc. (2002) .......................................................................................................... 12-205 12.6.17. GE Power Systems (2002) ...................................................................................................... 12-207 12.6.18. ABB Environmental Systems (1998) ...................................................................................... 12-209 12.6.19. Babcock & Wilcox Power Generation Group (1998) .............................................................. 12-212 12.6.20. Wheelabrator Air Pollution Control, Inc. (1998).................................................................... 12-216 12.6.21. Belco Technologies Corp. (1998) ............................................................................................. 12-218 12.6.22. Durr Environmental Inc. (1998) ............................................................................................ 12-220 12.6.23. Johnson Matthey (1998) ......................................................................................................... 12-224

12.7. Profiles of Leading APC Consulting & Engineering Firms ................................................... 12-227 12.7.1. Burns & McDonnell Engineering (2008) ............................................................................... 12-227 12.7.2. Barr Engineering (2008) ......................................................................................................... 12-230 12.7.3. Black & Veatch (2008) ............................................................................................................ 12-233 12.7.4. Trinity Consultants Inc. (2008) ............................................................................................. 12-236 12.7.5. Black & Veatch (2005) ............................................................................................................ 12-240 12.7.6. Environ Corp. (2005) .............................................................................................................. 12-244 12.7.7. Earth Tech (2005) ................................................................................................................... 12-247 12.7.8. Trinity Consultants (2005)..................................................................................................... 12-249 12.7.9. ETS Inc. (2005)....................................................................................................................... 12-252

12.8. Minnich and Scotto Inc. (2005) .................................................................................................. 12-254 12.8.1. 2001 Air Consulting Review with TRC, ERM, ENSR and Trinity (2002) ........................... 12-257 12.8.2. Radian International (now URS; 1998) ................................................................................. 12-262 12.8.3. ENSR Consulting & Engineering (1998)............................................................................... 12-264 12.8.4. TRC Environmental (1998) .................................................................................................... 12-268 12.8.5. Trinity Consultants, Inc. (1998) ............................................................................................ 12-272

12.9. Asia Review.................................................................................................................................. 12-274

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12.9.1. Market Overview .................................................................................................................... 12-274 12.9.2. Japan, Australia/New Zealand ................................................................................................ 12-278 12.9.3. South Korea and Taiwan ......................................................................................................... 12-278 12.9.4. Long-Term Markets ................................................................................................................ 12-279

List of Exhibits Exhibit 12-1 Air Quality Business Segments ......................................................................................... 12-2 Exhibit 12-2 Mobile Source vs. Stationary Source, 2001 - 2007 ........................................................... 12-3 Exhibit 12-3 Historical and Projected Growth in the U.S. APC Segment: Stationary Source

Equipment and Mobile ....................................................................................................... 12-4 Exhibit 12-4 Components of the Air Consulting Market ..................................................................... 12-5 Exhibit 12-5 Top 30 Environmental Consulting & Engineering Firms in Air Quality

Consulting, 2001 .................................................................................................................. 12-6 Exhibit 12-6 Top 30 Environmental Consulting & Engineering Firms in Air Quality

Consulting, 2003 .................................................................................................................. 12-7 Exhibit 12-7 Historical and Projected Growth in the U.S. Air Quality Consulting &

Engineering Services Segment (in $million) .................................................................... 12-8 Exhibit 12-8 Percent of Air Quality Revenues in the US C&E Market, 1970 to 2003 ....................... 12-9 Exhibit 12-9 Top Environmental Instrument Companies in 2005 .................................................... 12-13 Exhibit 12-10 Historical and Projected Growth in the U.S. Air Quality Instruments Segment ...... 12-13 Exhibit 12-11 Primary Monitoring Strategies Expected Under CAM ................................................ 12-14 Exhibit 12-12 Top Mobile Source Emission Control Systems Manufacturers in the U.S. ............... 12-16 Exhibit 12-13 Historical and Projected Growth in the California Mobile Source APC

Equipment Segment, 1970 - 2010 .................................................................................... 12-18 Exhibit 12-14 Historical and Projected Growth in the U.S. Mobile Source APC Equipment

Segment, 1970 - 2010 ......................................................................................................... 12-18 Exhibit 12-15 Watched Markets, March 18 2005 ................................................................................... 12-32 Exhibit 12-16 EU Markets, March 21 2005 ............................................................................................. 12-32 Exhibit 12-17 Historical and Projected Growth in the U.S. Stationary Source APC

Equipment Segment, 1970 - 2010 .................................................................................... 12-38 Exhibit 12-18 Electrostatic Precipitator Market Leaders, 2005 ............................................................ 12-50 Exhibit 12-19 APC Equipment Purchases in China, 2005 .................................................................... 12-52 Exhibit 12-20 APC Equipment Market by Equipment Type, 1994 ..................................................... 12-62 Exhibit 12-21 APC Equipment Market by Equipment Type, 1997 ..................................................... 12-62 Exhibit 12-22 APC Equipment Market by Equipment Type, 2001 ..................................................... 12-63 Exhibit 12-23 APC Equipment Market by Equipment Type, 2004 ..................................................... 12-64 Exhibit 12-24 APC Equipment Market by Equipment Type, 1998 - 2007 .......................................... 12-65 Exhibit 12-25 APC Equipment Market by Pollutant, 1994 .................................................................. 12-66 Exhibit 12-26 APC Equipment Market by Pollutant, 1997 .................................................................. 12-66 Exhibit 12-27 APC Equipment Market by Pollutant, 2001 .................................................................. 12-67 Exhibit 12-28 APC Equipment Market by Pollutant, 2004 .................................................................. 12-67 Exhibit 12-29 APC Equipment Market by Pollutant, 2007 .................................................................. 12-68 Exhibit 12-30 APC Equipment Market by Pollutant, 1998 - 2007 ....................................................... 12-68 Exhibit 12-31 Share of APC Equipment Market by Power Utilities, 1990 - 2004.............................. 12-69 Exhibit 12-32 APC Equipment Market by Customer Type, 1994 ....................................................... 12-70 Exhibit 12-33 APC Equipment Market by Customer Type, 1997 ....................................................... 12-70 Exhibit 12-34 APC Equipment Market by Customer Type, 2001 ....................................................... 12-71 Exhibit 12-35 APC Equipment Market by Customer Type, 2004 ....................................................... 12-71 Exhibit 12-36 APC Equipment Market by Customer Type, 2007 ....................................................... 12-72 Exhibit 12-37 APC Equipment Market by Customer Type, 2000-2007 .............................................. 12-72 Exhibit 12-38 Emissions Control Projects at U.S. Coal-Fired Power Plants ...................................... 12-81 Exhibit 12-39 APC Equipment Market by State .................................................................................... 12-84

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Exhibit 12-40 APC Equipment Markets by State .................................................................................. 12-85 Exhibit 12-41 U.S. Stationary Source APC Equipment Industry, 2003 .............................................. 12-86 Exhibit 12-42 U.S. Stationary Source APC Equipment Industry, 2001 .............................................. 12-86 Exhibit 12-43 APC Equipment Market Industry Structure, 1997 ....................................................... 12-86 Exhibit 12-44 The Top APC Equipment Companies in the U.S. Market, 2004 ................................. 12-87 Exhibit 12-45 The Top APC Equipment Companies in the U.S. Market, 2001 ................................. 12-88 Exhibit 12-46 The Top APC Equipment Companies in the U.S. Market, 1997 ................................. 12-89 Exhibit 12-47 The Top APC Equipment Companies - Flue Gas Desulphurization, 2004 ............... 12-90 Exhibit 12-48 The Top APC Equipment Companies - Electrostatic Precipitators, 2004 .................. 12-91 Exhibit 12-49 The Top APC Equipment Companies - Fabric Filters & Baghouse Equipment,

2004 ..................................................................................................................................... 12-91 Exhibit 12-50 The Top APC Equipment Companies - Oxidation Systems, 2004 .............................. 12-91 Exhibit 12-51 The Top APC Equipment Companies - NOx Control, 2004 ........................................ 12-92 Exhibit 12-52 The Top APC Equipment Companies - Flue Gas Desulphurization, 1997 ............... 12-92 Exhibit 12-53 The Top APC Equipment Companies - Electrostatic Precipitators, 1997 .................. 12-93 Exhibit 12-54 The Top APC Equipment Companies - Fabric Filters & Baghouse Equipment,

1997 ..................................................................................................................................... 12-93 Exhibit 12-55 The Top APC Equipment Companies - Oxidation Systems, 1997 .............................. 12-94 Exhibit 12-56 The Top APC Equipment Companies - NOx Control, 1997 ........................................ 12-94 Exhibit 12-57 The Top APC Equipment Companies - Carbon Absorption, 1997 ............................. 12-94 Exhibit 12-58 The Top APC Equipment Companies - Particulates, 2004 .......................................... 12-95 Exhibit 12-59 The Top APC Equipment Companies - Sulfur Oxides, 2004 ...................................... 12-95 Exhibit 12-60 The Top APC Equipment Companies - VOCs, 2004 .................................................... 12-96 Exhibit 12-61 The Top APC Equipment Companies - HAPs, 2004 .................................................... 12-96 Exhibit 12-62 The Top APC Equipment Companies - NOx & CO, 2004 ........................................... 12-96 Exhibit 12-63 The Top APC Equipment Companies - Particulates, 1997 .......................................... 12-97 Exhibit 12-64 The Top APC Equipment Companies - Sulfur Oxides, 1997 ...................................... 12-97 Exhibit 12-65 The Top APC Equipment Companies - VOCs, 1997 .................................................... 12-98 Exhibit 12-66 The Top APC Equipment Companies - HAPs, 1997 .................................................... 12-98 Exhibit 12-67 The Top APC Equipment Companies - NOx & CO, 1997 ........................................... 12-98 Exhibit 12-68 Summary of Clean Air Act Amendment Sections ...................................................... 12-100 Exhibit 12-69 Summary of CAAA Business Opportunities .............................................................. 12-103 Exhibit 12-70 Key Multipollutant Proposals ....................................................................................... 12-112 Exhibit 12-71 2003-2005 Air-Related Enforcement Accomplishments ............................................ 12-132 Exhibit 12-72 U.S. NOx Control Market Equipment Sales, 2002 ...................................................... 12-145 Exhibit 12-73 Suppliers of Combustion Systems ................................................................................ 12-145 Exhibit 12-74 Selected Processes and Companies in SOx and NOx Control .................................. 12-147 Exhibit 12-75 Emissions of Nonmethane VOCs from Industrial Processes .................................... 12-150 Exhibit 12-76 Regional Emission Estimates of Nonmethane VOCs (million metric tons) ........... 12-151 Exhibit 12-77 Summary of VOC Abatement Technologies ............................................................... 12-152 Exhibit 12-78 Projected Growth in the California ‘Core APC’ and the Clean Air Products

Segments ($mil) ............................................................................................................... 12-160 Exhibit 12-79 Percentage of the Air Quality Market Represented by the ‘Core APC’ versus

the Clean Air Products Segments, 1970-2010 .............................................................. 12-161

13. Environmental Instrumentation

13.1. Introduction ..................................................................................................................................... 13-3 13.2. Development of the Environmental Instrumentation Industry ................................................ 13-3 13.3. 2005 Review ..................................................................................................................................... 13-5 13.4. 2002 Review ................................................................................................................................... 13-12 13.5. Historical Review .......................................................................................................................... 13-21

13.5.1. Environmental Instrumentation Market Segments .................................................................. 13-22

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13.5.2. Global, Regional and Emerging Markets .................................................................................. 13-48 13.5.3. Consolidations and Divestitures ............................................................................................... 13-55 13.5.4. Summary ................................................................................................................................... 13-55

13.6. Top Environmental Instrumentation Manufacturers ............................................................... 13-57 13.7. Environmental Management Information Systems (EMIS) Market ....................................... 13-59

13.7.1. Q&A with the Leading EMIS Analyst ..................................................................................... 13-68 13.7.2. EPA and States Collaborate on Network for Electronic Reporting ........................................... 13-70

List of Exhibits Exhibit 13-1 Historical and Projected Growth in the Environmental Instrumentation

Industry ................................................................................................................................ 13-4 Exhibit 13-2 U.S. Environmental Instrumentation Market by Product Type, 1998 - 2004 .............. 13-6 Exhibit 13-3 U.S. Environmental Instrumentation Market by Product Type, 2004 ......................... 13-6 Exhibit 13-4 Environmental Software & Information Service Companies, 2004 .............................. 13-6 Exhibit 13-5 Top 30 Analytical and Life Science Instrument Companies, 2004 ............................... 13-7 Exhibit 13-6 Global Instrument Industry (all applications) ............................................................... 13-14 Exhibit 13-7 Growth of the Global Environmental Instrumentation Market,1995-2000 ............... 13-22 Exhibit 13-8 Comparative Growth between Environmental Instruments, Environmental

Industry and the Analytical Instrument Industry, 1995 - 2000 ................................... 13-22 Exhibit 13-9 1995 Global Environmental Instrument Market by Media.......................................... 13-24 Exhibit 13-10 Projected Global Market for Air Quality Instrumentation (1995-2000) ..................... 13-25 Exhibit 13-11 Primary Monitoring Strategies Expected Under CAM ................................................ 13-26 Exhibit 13-12 1995 U.S. Water Quality Market ..................................................................................... 13-28 Exhibit 13-13 Projected Global Market for Water & Wastewater Instrumentation (1995-

2000) .................................................................................................................................... 13-29 Exhibit 13-14 Applications Used with Water & Wastewater Instruments ........................................ 13-30 Exhibit 13-15 Major Suppliers in Water Quality Market: .................................................................... 13-32 Exhibit 13-16 Projected Global Market for Groundwater Instrumentation (1995-2000) ................. 13-33 Exhibit 13-17 Projected Market for Hazardous Waste Instrumentation (1995-2000) ...................... 13-34 Exhibit 13-18 Environmental Instrumentation by Application (1993 & 1995) .................................. 13-35 Exhibit 13-19 Projected Growth Rates of Environmental Instrument Market by Application

1996-2000 ............................................................................................................................ 13-36 Exhibit 13-20 Projected Market for Environmental In-Lab Analytical Instruments (1995-

2000) .................................................................................................................................... 13-37 Exhibit 13-21 Projected Market for In-Line/Process Control Instrumentation (1995-2000) ........... 13-39 Exhibit 13-22 Projected Market for Environmental Portable/Field Analytical

Instrumentation (1996-2000) ............................................................................................ 13-40 Exhibit 13-23 Projected Market for Continuous Emissions Monitors (1995-2000) ........................... 13-41 Exhibit 13-24 Top 1994 CEM Vendors ................................................................................................... 13-43 Exhibit 13-25 Projected Market for Test Kits (1995-2000) .................................................................... 13-44 Exhibit 13-26 Environmental Instrumentation Market by End-Client (1993 & 1995) ...................... 13-45 Exhibit 13-27 Projected Market for Environmental Instrumentation by End Client (1995-

2000) .................................................................................................................................... 13-46 Exhibit 13-28 1995 Industry/Generator Breakdown ............................................................................ 13-48 Exhibit 13-29 Global Environmental Instrumentation Sales by Region, 1993 and 1995 .................. 13-49 Exhibit 13-30 Projected Global Environmental Instrumentation Market by Region (1995-

2000) .................................................................................................................................... 13-50 Exhibit 13-31 Global Environmental Instrumentation End Client by US and Non-US

Markets in 1993 and 1995 ................................................................................................. 13-51 Exhibit 13-32 Top Environmental Instrument Manufacturers, 2000 .................................................. 13-57 Exhibit 13-33 Top Environmental Instrument Manufacturers, 1994 ................................................. 13-58

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14 Water and Wastewater Treatment Equipment ..................................................... 14-5

14.1 Introduction ............................................................................................................................................ 14-5 14.1.1 Purpose of This Chapter .............................................................................................................. 14-5 14.1.2 Research Methods ....................................................................................................................... 14-7

14.2 Water Industry Overview ..................................................................................................................... 14-7 14.2.1 Structure of Water and Wastewater Treatment Business ......................................................... 14-10 14.2.2 Types of Water/Wastewater Treatment Markets ...................................................................... 14-12

Agricultural Water Delivery/Treatment ................................................................................ 14-14 Thermoelectric Utilities ............................................................................................................. 14-14 Industrial In-Process and Effluent ........................................................................................... 14-15 Municipal Water Delivery & Effluent, Including Storm Water ........................................... 14-15 Landfill Leachate and Groundwater Remediation ................................................................ 14-16

14.2.3 Do-It-Yourself: The "Make" Or "Buy" Choice ....................................................................... 14-17 14.2.4 Small Flow/Discharge Customers ............................................................................................. 14-18 14.2.5 Point of Entry, Point of Use (POE/POU) Water Business ...................................................... 14-18 14.2.6 Sales Channels .......................................................................................................................... 14-20 14.2.7 Status of Market Sectors: Flow and Contaminants .................................................................. 14-22 14.2.8 Complex Treatment Trains ....................................................................................................... 14-24 14.2.9 Total Market Size and Growth: by Equipment Type ................................................................ 14-25

“Total Solution” Company Morphs into Integrated Players ............................................... 14-26 Separation Technology Companies ......................................................................................... 14-27 Destruction & Disinfection Technology Companies ............................................................. 14-27 Biosolids Equipment Companies ............................................................................................. 14-30 Chemical Equipment Companies ............................................................................................ 14-31 Delivery Equipment .................................................................................................................. 14-31 Chemical (Bulk and Specialty) Companies ............................................................................ 14-32 Water Services, Consulting & Engineering Segments .......................................................... 14-33

14.2.10 Industry Sector Growth Rates .................................................................................................. 14-34 Regional Focus: Singapore Environmental Hub Focus on Water ....................................... 14-37

14.3 Competitive Analysis .......................................................................................................................... 14-42 14.3.1 Water Treatment Technology Types ......................................................................................... 14-42

Legend on Separation Technologies .......................................................................... 14-46

The “Total Solution” Company Revisited .............................................................................. 14-46 High-Purity Water Treatment .................................................................................................. 14-51 Separation Equipment ............................................................................................................... 14-57 Destruction/Disinfection Equipment (Biological an Physical) ............................................ 14-58 Biosolids Equipment and Services ........................................................................................... 14-60 Water Chemicals: Asia’s Expansion Drives Market .............................................................. 14-65 Chemical Equipment ................................................................................................................. 14-67 The Issue of Construction ......................................................................................................... 14-68

14.3.2 Top Water Equipment Companies ............................................................................................ 14-70 Ranking of the Top Companies in the US – 1993, 1995, 2000 & 2006 ................................. 14-70 Equipment Company Profiles .................................................................................................. 14-80 GE View in 2004 ......................................................................................................................... 14-83

14.3.3 Siemens Water Technologies ..................................................................................................... 14-86 Review of Foreign Water Companies Entries into the US Market .................................... 14-113 Historical Profiles..................................................................................................................... 14-117

14.3.4 Client Type Analysis............................................................................................................... 14-121 14.3.5 Geographic Distribution of Water Equipment and Chemical Markets ................................... 14-123 14.3.6 Water Equipment’s Relationship to Other Environmental Media ......................................... 14-126

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14.4 General Market Trends and Growth Areas .................................................................................... 14-128 14.4.1 Reclaimed Groundwater as Cornerstone to Sustainable Water Supply .................................. 14-128 14.4.2 Closing the Loop - Onsite and Distributed Recycling ............................................................ 14-131 14.4.3 Relieving Global Water Stress: Recycling & Desalination ..................................................... 14-132

Water Reuse and Desalination ............................................................................................... 14-140 14.4.4 Automation and Packaged Systems, and Integrations of Diverse Systems ............................ 14-148 14.4.5 Creation of Technology Standardization ................................................................................. 14-150 14.4.6 Continuous Innovations, Chemicals to Membranes ............................................................... 14-151 14.4.7 Continuous Evolution of Regulations ..................................................................................... 14-152

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List of Exhibits

Exhibit 14-1 Water Commerce Map ........................................................................................................ 14-8 Exhibit 14-2 The U.S. Water Industry, 2006 ........................................................................................... 14-9 Exhibit 14-3 The U.S Water Industry, 2003-2006 ................................................................................... 14-9 Exhibit 14-4 Structure of the Wastewater Treatment Market in the United States ........................ 14-12 Exhibit 14-5 Tendency of Users to Make/Buy/Hire in Each Segment of the Water and

Wastewater Treatment Market ....................................................................................... 14-14 Exhibit 14-6 Water/Wastewater Treatment System Size Examples ................................................. 14-19 Exhibit 14-7 Sales Channels in the Municipal Water/Wastewater Treatment Market .................. 14-21 Exhibit 14-8 Sales Channels in the Industrial & Remediation Water/Wastewater

Treatment Market ............................................................................................................. 14-22 Exhibit 14-9 General Treatment Stream Characteristics .................................................................... 14-24 Exhibit 14-10 Water/Wastewater Industry in the United States, 2000-2006, 2007e ........................ 14-25 Exhibit 14-11 Water Treatment Equipment, 2000-2006 ....................................................................... 14-26 Exhibit 14-12 Water Treatment Equipment Market ............................................................................. 14-31 Exhibit 14-13 Delivery Equipment and Treatment Chemicals Market, 2005 .................................... 14-33 Exhibit 14-14 Water Services, Consulting & Engineering Segments 2006 ........................................ 14-34 Exhibit 14-15 Growth of the United States Water Industry, 2004-2010 ($Millions) ......................... 14-35 Exhibit 14-16 2007 EBJ Survey: Importance of Market Drivers to Stimulating Expenditure

on Water and Wastewater: Ranked ................................................................................ 14-36 Exhibit 14-17 2007 EBJ Survey: Importance of Market Drivers to Stimulating Expenditure

on Water and Wastewater: Total Responses ................................................................. 14-37 Exhibit 14-18 Categories of Water/Wastewater Separation and Destruction Treatment

Technologies ...................................................................................................................... 14-44 Exhibit 14-19 Use Preferences for Water/Wastewater Treatment Technologies ............................. 14-46 Exhibit 14-20 Historical Review of the Top 10 Water Companies, 1993 to 2000 .............................. 14-48 Exhibit 14-21 Value of The Market for Advanced Municipal Water Treatments, 2002-2011 ......... 14-50 Exhibit 14-22 Forecast of U.S. Water Recycling and Reuse Industry Revenue, Through 2010

($mil) ................................................................................................................................... 14-50 Exhibit 14-23 High-Purity Water Equipment Suppliers ........................................................................ 14-55 Exhibit 14-24 Separation Equipment Companies, 2004 ....................................................................... 14-58 Exhibit 14-25 Destruction/Disinfection Equipment Companies, 2004 .............................................. 14-60 Exhibit 14-26 Top Contracting Firms by Revenues Related to Water, 2000...................................... 14-69 Exhibit 14-27 Water Equipment & Chemicals Company Revenues, 2006 ........................................ 14-70 Exhibit 14-28 Top Water and Wastewater Equipment Companies, 1993 ......................................... 14-71 Exhibit 14-29 Top Water and Wastewater Equipment Companies, 1995 ......................................... 14-73 Exhibit 14-30 Top Water and Wastewater Treatment Equipment Companies, 2000 ...................... 14-74 Exhibit 14-31 Top Water and Wastewater Treatment Equipment & Chemicals (WEC)

Companies, 2004 ............................................................................................................... 14-75 Exhibit 14-32 Top Water and Wastewater Treatment Equipment Companies, 2004 ...................... 14-76 Exhibit 14-33 Top Water and Wastewater Delivery Equipment Companies, 2004 ......................... 14-77 Exhibit 14-34 Top Water and Wastewater Treatment Chemicals Companies, 2004 ........................ 14-77 Exhibit 14-35 Top WEC Exporters, 2004 ................................................................................................ 14-78 Exhibit 14-36 Top U.S Water Equipment & Chemical Companies in 2005 ....................................... 14-79 Exhibit 14-37 Top U.S Water Equipment & Chemical Companies in 2006 ....................................... 14-80 Exhibit 14-38 U.S. Water/Wastewater Treatment Equipment Markets .......................................... 14-122 Exhibit 14-39 U.S. Water Treatment Equipment & Chemicals Markets by End User, 2004 -

2005 ................................................................................................................................... 14-123 Exhibit 14-40 U.S. Water Treatment Equipment & Chemicals Markets Matrix: Equipment

Segments by End User, 2004 ......................................................................................... 14-123 Exhibit 14-41 Water Equipment & Chemicals Market Revenues by State (2000) .......................... 14-124 Exhibit 14-42 Water Treatment Equipment Only, Market Revenues by State (2000) .................... 14-125 Exhibit 14-43 Top Ten State Water/Wastewater Equipment & Chemical Markets (2000) ........... 14-126

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Exhibit 14-44 Examples of Odor Control Applications ...................................................................... 14-127 Exhibit 14-45 Water Recycling/Reuse Market Leaders by Technology .......................................... 14-134 Exhibit 14-46 Trend Toward Closed Loop Automated Systems ...................................................... 14-149

15. Waste Management Equipment

15.1. Waste Management Equipment Market ....................................................................................... 15-3 15.1.1. 2004 Review ................................................................................................................................ 15-5 15.1.2. 2003 Review ................................................................................................................................ 15-7

15.2. WME Company Profiles ................................................................................................................. 15-9 15.2.1. Compaction America ................................................................................................................... 15-9 15.2.2. Heil Environmental Industries ................................................................................................. 15-12 15.2.3. Morbark Inc............................................................................................................................... 15-14 15.2.4. Rehrig Pacific Company ............................................................................................................ 15-17 15.2.5. Leach Company ......................................................................................................................... 15-20 15.2.6. Wastequip .................................................................................................................................. 15-22

15.3. Leading Companies in Waste Management Equipment .......................................................... 15-25 15.3.1. Selected Companies in Waste Containers ................................................................................. 15-25 15.3.2. Selected Companies in Liners .................................................................................................... 15-26 15.3.3. Selected Companies in Recycling Equipment ........................................................................... 15-27 15.3.4. Companies in Waste Vehicles and Bodies ................................................................................. 15-28

List of Exhibits Exhibit 15-1 Waste Management Equipment Market by Equipment Type 2000-2004 .................... 15-3 Exhibit 15-2 Waste Management Equipment Market by Major Equipment Category, 2000-

2004 ....................................................................................................................................... 15-4 Exhibit 15-3 Historical Sales of Waste Management Equipment, 1991-2001 .................................... 15-5

16. Process & Prevention Technology

16.1 Defining Pollution Prevention Technology .................................................................................. 16-5 16.2 Developers of PPT ........................................................................................................................... 16-7 16.3 Public and Private Investment in PPT .......................................................................................... 16-8 16.4 Public Companies Offering P2 Technology ................................................................................. 16-9 16.5 Private-Sector Companies Offering PPT .................................................................................... 16-10

16.5.1 Recycling & Recovery Technologies .......................................................................................... 16-11 16.5.2 Recycling--HazWaste ................................................................................................................ 16-11 16.5.3 Recycling--Oil ........................................................................................................................... 16-13 16.5.4 Recycling--CFCs ....................................................................................................................... 16-13 16.5.5 Recycling--Containers ............................................................................................................... 16-13 16.5.6 Recycling--Metals ..................................................................................................................... 16-13 16.5.7 Recycling--Explosives ............................................................................................................... 16-14 16.5.8 Recycling-Tires ......................................................................................................................... 16-14 16.5.9 Recycling--Water/Wastewater .................................................................................................. 16-14 16.5.10 Recycling--Scrap into Wood/Plastic Lumber ............................................................................ 16-14

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16.5.11 Materials Substitution .............................................................................................................. 16-15 16.6 New Manufacturing Processes, Process Substitutions, In-Kind Processes ............................ 16-17

16.6.1 Pesticide Alternatives ............................................................................................................... 16-19 16.6.2 New Chemistry ......................................................................................................................... 16-19 16.6.4 Product Substitution ................................................................................................................ 16-20 16.6.5 Biodegradable Plastics ............................................................................................................... 16-21 16.6.6 Energy Efficiency ...................................................................................................................... 16-21 16.6.7 Durable And Nondurable Products .......................................................................................... 16-21 16.6.8 Enzyme Technology .................................................................................................................. 16-22 16.6.9 The Process Engineers............................................................................................................... 16-22

16.7 List of Resources ............................................................................................................................ 16-24 16.8 Conclusion ...................................................................................................................................... 16-25

List of Exhibits Exhibit 16-1 Process & Prevention Technology .................................................................................... 16-4 Exhibit 16-2 Process & Prevention Technology Market Potential by Customer .............................. 16-6

17 Wastewater Treatment Works ................................................................................. 17-3

17.1 Wastewater Treatment Industry Overview ................................................................................. 17-3 17.1.1 Markets & Drivers ...................................................................................................................... 17-5

17.2 Publicly Owned Treatment Works (POTWs) .............................................................................. 17-7 17.2.1 Size and Concentration of Wastewater Treatment Works .......................................................... 17-7 17.2.2 Revenues and Expenditures ........................................................................................................ 17-9

Residential Dischargers ............................................................................................................. 17-11 Industrial Dischargers ............................................................................................................... 17-13 Wastewater Facility Expenditures ........................................................................................... 17-15

17.2.3 Needs & Opportunities ............................................................................................................. 17-16 Municipal Sales Attributes ....................................................................................................... 17-18

17.2.4 Treatment Methods/Techniques ................................................................................................ 17-19 Primary Treatment .................................................................................................................... 17-21 Secondary Treatment ................................................................................................................ 17-21 Tertiary/Advanced Treatment ................................................................................................ 17-22

17.3 Current and Future Market Drivers ........................................................................................... 17-23

List of Exhibits

Exhibit 17-1 U.S. Environmental Industry: Revenues by Media, 2006 ............................................... 17-5 Exhibit 17-2 Rate of Increase of Water & Wastewater Charges vs. Inflation .................................... 17-7 Exhibit 17-3 Treatment Facilities In Operation ...................................................................................... 17-8 Exhibit 17-4 Treatment Facilities In Operation When Needs Are Met............................................... 17-9 Exhibit 17-5 Sources of Revenue for POTW Facilities (1999, 1996 & 1992) ..................................... 17-10 Exhibit 17-6 Sources of Revenue for POTW Facilities in 2005 ........................................................... 17-10 Exhibit 17-7 Expenditures for POTW Facilities in 2005 ..................................................................... 17-11 Exhibit 17-8 Residential Water Use & Wastewater Volumes ............................................................ 17-11 Exhibit 17-9 Rate Structures Used by POTWs for Residential Customers ...................................... 17-12 Exhibit 17-10 Billing Frequencies For Residential Customers (1999) ............................................. 17-12

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Exhibit 17-11 Residential Billing Frequencies vs. Annual Service Charge (1999 compared to previous survey years) ..................................................................................................... 17-13

Exhibit 17-12 Rates for Treating Industrial Wastewater (1999, With 1996 and 1993 comparisons) ...................................................................................................................... 17-14

Exhibit 17-13 Surcharge Limits for BOD & TSS (199) .......................................................................... 17-14 Exhibit 17-14 Billing Frequencies for Industrial Users, 1999 ............................................................... 17-15 Exhibit 17-15 Expenditures by POTW Facilities (1999 & 1996 Comparison) .................................... 17-15 Exhibit 17-16 Needs for POTW Facilities ............................................................................................... 17-17 Exhibit 17-17 Top States for Documented Needs by POTW’s ............................................................ 17-18 Exhibit 17-18 Level of Wastewater Treatment by POTWs .................................................................. 17-19 Exhibit 17-19 Wastewater Sources (1999) .............................................................................................. 17-21 Exhibit 17-20 Wastewater Equipment Capital Spending (1999) ......................................................... 17-23 Exhibit 17-21 Revenues and Population Served of Selected POTWs in 2005 ................................... 17-25

GLOBAL MARKET

18 Global Environmental Market Summary ...................................................................1

18.1 Introduction ............................................................................................................................................ 1 18.1.1 Global Market Update (2009 – 2014) ........................................................................................... 1 18.1.2 Environmental Industry Background .......................................................................................... 3 18.1.3 Environmental Industry Segments .............................................................................................. 5 18.1.4 Market Drivers ................................................................................................................................ 8 18.1.5 Regulation and Enforcement ........................................................................................................ 8 18.1.6 Compliance Challenges 2010 ...................................................................................................... 10 18.1.7 Reputation and Risk ..................................................................................................................... 15 18.1.8 Infrastructure rehabilitation and expansion ............................................................................. 16 18.1.9 The Energy Transformation ........................................................................................................ 17 18.1.10 Sustainability & Resource Economics as Environmental Market Drivers ............................ 18

List of Exhibits Exhibit 18-1 The Global Environmental Market 2004- 2012 ($Billion U.S.) ............................................ 2 Exhibit 18-2 The Global Environmental Market 1993-2012 ($Bil) ............................................................ 4 Exhibit 18-3 Industry Segments and Numbers of US Companies............................................................ 5 Exhibit 18-4 The Global Environmental Market by Segment 2004-2012 ($Bil) ....................................... 6 Exhibit 18-5 Environmental Industry Segments ......................................................................................... 7 Exhibit 18-6 2009 US Environmental Industry Exports ............................................................................. 8 Exhibit 18-7 Global Environmental Industry Trade Flows ....................................................................... 8 Exhibit 18-8 Global Environmental Market by Region, 2010 .................................................................. 10 Exhibit 18-9 U.S. Environmental Trade Balance, 2009 ............................................................................. 12 Exhibit 18-10 U.S. Environmental Industry Exports Performance, 1994 – 2009 ..................................... 21 Exhibit 18-11 Global Environmental Market by Region and Segment, 2000-2009 ................................. 22