A European Technology Platform for Sustainable Chemistry Innovating for a Better Future Future Lead Market in Europe Smart Energy Efficient Homes Prof. Dr. Rüdiger Iden BASF Aktiengesellschaft Brussels, 6 th December 2006

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 2 The Smart Energy Home Concept Energy / Resources Thermal insulation Fuel cells/ batteries Efficient domestic appliances Phase changing materials Efficient lighting Photovoltaics Water and waste management Awareness enhancing technologies Domotics Smart materials Remote shopping Security Smartness Self cleaning surfaces Remote diagnostics - monitoring Sound insulation Sustainable consumer products Personalized nutrition Health / comfort Air quality Lead Market Smart Energy Efficient Home

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 3 Whats new in the SEH Integration vs. fragmentation Energy / resources Health/ comfort Smartness In summary the Smart Energy Home will provide Partner platform to facilitate testing and scaling up Demonstration platform to showcasing the importance of chemistry and material development for a sustainable future in Europe Direct feedback from end users living innovations Implementing results of leading FP projects in real life solutions for consumers W ith the right support considerable market uptake could be achieved within 3 to 5 years rather than 10 to 15 years Much more than another prototype of the house of the future:

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 4 The Smart Energy Home Concept Triple C Concept Develop a wide range of Materials Appliances Equipment and integrated technologies to create next generation efficiencies in areas such as energy use and consumer convenience without extra CO 2 emissions Consumer driven resource Conservation enabled by Chemistry The potential of technologies for the creation of world class markets

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 5 4 Product categories for lead markets Highly efficient next generation construction materials Ultra efficient next generation appliances (in the widest sense) that have been validated for the required consumer acceptance by actual in home use Service, know-how and licensing opportunities from integrating new power generation technologies within a house in a manner that is acceptable from a social, appearance, consumer use and economic perspective Modular home building technologies applicable to both individual homes, but also to larger scale construction opportunities such as social housing and public buildings

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 6 Bottlenecks Opportunity of a Smart Energy Home Europe is among the best in terms of energy efficiency and sustainable products but this strength needs to be fostered by speeding up the market uptake A vertical network will provide the critical mass for future innovations in materials development and implementation into products. A horizontal network with partners along the value chain is also essential. Bringing together raw-material providers, construction companies, craftsmen, architects and real estate companies to shorten time to market. No demonstration and testing unit exists for an integral approach (energy efficiency, health, eco-efficiency, safety and convenience). Technical and non-technical barriers like economic, commercial, cultural, regulatory and business practice Different building codes and standards in Europe make it difficult for manufacturers to supply a single market. Instruments are needed to foster the implementation of products & systems that are eco efficient on a long-term basis, like SME support, public promotion and a European wide energy pass etc.

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 7 Building the Lead Market Smart Energy Efficient Home Harmonization of regulations, accelerate market development, Public promotion, increase awareness and SME support … stimulate research and market speeding up market uptake strengthen European competitiveness (Research & Industry) implementation of new eco-efficient production methods and facilitate next generation high value-added products

Brussels, 6 December 2006, Rüdiger Iden, BASF Aktiengesellschaft 8 Smart Energy Home and E2B Concept TP SusChem & European Construction TP Two platforms have independently developed concepts for smart energy efficient buildings and homes and are joining efforts. Those concepts are the Smart Energy Home presented by SusChem and the E2B Concept by ECTP.