CCME - May 2023

LICENCE TO CHILL

Why shirk from deploying condenser auto tube cleaning?

Dan Mizesko, President, Dalkia US Chiller Services

MARKETFEATUREhydronicsPumpsandequipment

COUNTRYREPORT India

ThenewUAECorporateTaxandthe implicationsfortheHVACRIndustry

KrishnanUnniMadathil,Auditor,BinKhadim, Radha&Co.CharteredAccountants

EDITORIALCAMPAIGN COP28:Theeraofdeniability

DisputesandlitigationinEnergy

SavingPerformanceContracts

OmniaHalawani,Co-Founder& Co-CEO,GRFNGlobal

DrRajendraShende,formerDirector,UNEP

ADVERTORIALS

SPECIAL SUPPLEMENT

HOSPITALITY TECH TITANS

Profiles of engineering leadership in the hospitality sector

Q&A

TheDalkiamission

SteveLemoine,CEOMiddleEast, DalkiaEDFGroup

PERSPECTIVES

Green Hydrogen and Oman Vision 2040 Dr M Ramaswamy, Former Technical Expert, Government of Oman

KhalilElGhazzi,ManagingDirector, SystemairSaudiArabia

Güntner redesigns its V-shape Vario series

OPINION

Freshairventilation

Be my guest!

Mohammad Saqan, Strategic Accounts Director (MEA), Johnson Controls

May LEVELS ENGINEERING, WATERLOO FILTRATION INSTITUTE (WFI) SIGN MoU CPI INDUSTRY, 3E ADVISORY CONDUCT EXECUTIVE COURSE ON ENERGY MANAGEMENT US$15

Facilio reports expanding its smart buildings offerings to optimise energy usage in food retail

Eurovent issues new recommendations on RAHUs

PUBLICATION LICENSED BY IMPZ US$15

PUBLICATION LICENSED BY IMPZ

The cashflow conundrum

EDITORIAL CAMPAIGN

COP 28: THE ERA OF DENIABILITY

The greatest threat to our planet is the mindset that someone else will take action against climate change, says Dr Rajendra Shende, former Director, UNEP

THE NEW UAE CORPORATE TAX AND ITS IMPLICATIONS FOR THE HVACR INDUSTRY

Krishnan Unni Madathil, Auditor, Bin Khadim, Radha & Co. Chartered Accountants

DISPUTES AND LITIGATION IN ENERGY SAVING PERFORMANCE CONTRACTS

A capable ESCO and experienced consultant will ensure the alleviation of legal risks and will deliver successful energy-saving projects, writes Omnia Halawani, Co-Founder & Co-CEO, GRFN Global

47

HOSPITALITY TECH TITANS

Profiles of engineering leadership in the hospitality sector, acclaimed for promoting regional sustainable development and reducing total cost of ownership

LICENCE TO CHILL

WHY SHIRK FROM DEPLOYING CONDENSER AUTO TUBE CLEANING?

Why, indeed, when it is common knowledge that a chiller’s efficiency is affected most by the lack of cleanliness of its heat transfer surfaces? asks Dan Mizesko, President, Dalkia US Chiller Service

PERSPECTIVES

GREEN HYDROGEN AND OMAN VISION 2040 Green Hydrogen production in Oman is progressing, and it is expected to greatly aid in decarbonising multiple sectors, says Dr M Ramaswamy, Former Technical Expert, Government of Oman

BE MY GUEST!

With hospitality firms committed to lowering carbon emissions, the situation is ripe for the HVAC industry to rise to the occasion, writes Mohammad Saqan, Strategic Accounts Director (MEA), Johnson Controls

Urbanisation, growing demand for comfort cooling and affordability are driving the HVACR growth story in India. And today, the world seems to want a slice of the lucrative India pie

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Corporate Tax in the UAE Implications for the HVACR industry

Businesses are eyeing June 1, the start of the Corporate Tax regime in the UAE, with interest and with varying degrees of doubt on what it truly entails for them. Come that date, and the UAE will be introducing the Tax on all incorporated entities and unincorporated partnerships in the country, subject to certain restrictions. Krishnan Unni Madathil, in his regular column, endeavours to answer some key questions in this issue of the magazine.

Typically, the specific doubts revolve around the general provisions and definitions, imposition of Corporate Tax and the applicable rates, taxable persons and the Corporate Tax base, calculating taxable income, deductible and non-deductible expenditure, tax credits and transitional rules. Such is the extensive nature of the answers that Madathil will be addressing them in a two-part article.

This issue of the magazine is exceptionally text-heavy, for it contains a special supplement on engineering expertise in the hospitality sector in the Middle East region A long time in the making, the supplement is a precursor to the THEME Awards, in Q3 2023, constituted to specifically recognise the leadership and exertions of engineering teams that form the backbone of hotel businesses in the region. (THEME stands for ‘The Hospitality Engineers Middle East’, a networking platform for hospitality engineers in the region.) The Awards exercise is especially relevant in this year of COP28, to be hosted by the UAE, as hotel engineers have a crucial role to play in lowering the emission of greenhouse gases in the hospitality sector, in addition to lowering the total cost of ownership.

The text-heavy nature is also owing to the rather detailed cover story on cashflow issues that continue to dominate the mindscape of MEP contracting firms, to the extent that they find the distraction affecting the core functions of their work. To say that cashflow is a nagging, vexing issue is a case of stating the obvious. What is not trite is to identify solutions, including unlocking the potential of technological tools and financial instruments, including digital distributed ledgers and escrow accounts. Do read about them – as a next step, we promise to provide an in-person platform to discuss in detail and persuade relevant stakeholders to consider a strategic framework underpinned by consensus.

Climate Control Middle East magazine proudly supports the UAE President’s initiative of declaring 2023 as the ‘Year of Sustainability’.

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Dr Iyad Al-Attar Independent air filtration consultant, writes on specific science and technology issues relating to Indoor Air Quality, including airborne particles

Kandasamy Anbalagan Managing Partner, Proleed Engineering Consultants, writes on the need for upholding time-tested engineering principles, which would only serve to complement advances in technology.

Antonios Dimitracopoulos Partner, BSA Ahmad Bin Hezeem & Associates LLP, writes on legal affairs pertaining to the construction industry.

Omnia Halawani Co-Founder & Co-CEO, GRFN, writes on MEP consultancy-related issues

Krishnan Unni Madathil

Auditor, Bin Khadim, Radha & Co. Chartered Accountants, carrying out an analysis of the market, writes on business opportunities for the HVACR industry

Jeremy McDonald

Principal of Guth DeConzo Consulting Engineers, in New York. He served as the technical consultant to the New York State Energy Research and Development Authority in development of an IAQ guideline for Higher Education in NY: “Covid-19 Response Guide, State University of New York”.

Dan Mizesko

Managing Partner/President, US Chiller Services International, writes on issues relating to chilled water systems, including operation & maintenance

Dalip Singh

Senior Technical Analyst, AHRI MENA, writes on HVACR-specific regulation issues

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THE ERA OF DENIABILITY

THE greatest existential threat to our planet is not as much the availability of resources to combat climate change but the mindset that there is someone else that would take mitigatory action.

In August 2021, when the Intergovernmental Panel on Climate Change (IPCC) released the first of the four-part 6th Assessment Report (AR6), the key revelation was that human activity is changing the climate like never before. The report said that since the 1970s, our planet’s average temperature have risen faster than during any other 50-year period over the past 2,000 years. Global warming is “already affecting many weather and climate extremes in every region across the globe”, the report said.

Indeed, 2022 witnessed heat waves in Europe, Siberia and North America; floods in China, Germany and Pakistan; and dust and sandstorms coupled with a water crisis in the Middle East. In other words, almost no region was spared. Be they heatwaves, like the ones recently experienced in Greece and the western part of North America, or floods like those in Germany and China, it is clear that their attribution and links to human influence has further strengthened over the past decade, the IPCC report concluded.

Food, water, energy and health are being severely impacted across the globe. All of us are experiencing such disasters in one way or the other. The most frustrating part of the story is that even after three decades of

climate negotiations, the emissions keep rising; they threaten to fail the Paris Climate Agreement.

Of course, it would be inaccurate to suggest that no actions to slow down global warming have been taken so far. Indeed, there have been a catalogue of positive stories…

• The use of solar power in Europe has soared by almost 50% in 2022 to 41.4 GW from the 28.1 GW installed in 2021.

• Ninety per cent of countries that have pledged for ‘Net Zero’ decarbonisation are getting ready to start their journey on the road to carbon neutrality.

• The village of Modhera, in western India, has become the country’s first to run entirely on solar energy. India, the world’s third-largest emitter of carbon dioxide, has thus demonstrated that it can walk on the path to meet half of its energy demands from renewable sources, such as solar and wind, by 2030.

• Despite rising battery costs, auto companies are rolling out more affordable electric vehicles, some of them with less than 50% range per charge are now reaching 500 kilometres.

Among the numerous positive stories, the one I would like to point out is the recent historic deal at the UN Biodiversity Conference, in the closing month of 2022, in Montreal, Canada. The deal was characterised as the “last chance” for Nature’s recovery. Governments that participated

in the Montreal event committed to protect 30% of land and water, considered important for biodiversity, by 2030. Currently, only 17% of terrestrial and 10% of marine areas are protected. It is a key step in protecting the world’s lands and oceans and in bolstering efforts to safeguard the world’s climate.

Many may question how biodiversity conservation can be considered as action to address climate change. Well, land and marine ecosystems are home to the vast majority of the world’s species. There are an estimated eight billion species of flora and fauna on Earth, many of which we have yet to discover. Forests, peatlands, coastal areas and the oceans absorb more than 50% of human activity-induced carbon emissions. “This makes them vital to meeting the Paris Agreement’s central goal of holding global average temperature rise to below 1.5 degrees C, compared to pre-industrial times”, states the United Nations Framework Convention on Climate Change (UNFCCC).

The agreement reached during the United Nations Convention on Biodiversity (UN CBD) is termed as the

Dr Rajendra Shende is also the Founder-Director, Green TERRE Foundation; Prime Mover, SCCN; and Coordinating Lead Author, IPCC, which won the Nobel Peace Prize. He may be reached at shende.rajendra@gmail.com .

The greatest threat to our planet is the mindset that someone else will take action against climate change, says Dr Rajendra Shende, former Director, UNEP

‘Paris Climate Moment for Biodiversity’, because the target year for biodiversity conservation is 2030, the same target year for halving carbon emissions.

For me, it is also about what I call as the Nature Movement for Climate Change. Indeed, in today’s modern world of Artificial Intelligence (AI), humanity is forgetting Nature Intelligence (NI). After all, except for 300 recent years, humans lived for the past 12,000 years without artificial cooling and heating in their settlements. Before that, Nature helped us to keep the climate cool. Naturally, it is our duty to turn to Nature for our cooling needs. And I am hoping Nature-based solutions figure in COP28, scheduled to take place year-end in the UAE.

The Global Stocktake of the Paris Agreement (GST) is a key process for COP28. It would gauge the world’s collective progress towards the goals of the Agreement and agree on a new pathway to 2030. Surely, the new pathway should include Nature-based solutions.

UNEP has announced the

‘Sustainable Cooling’ movement, the development of a Global Cooling Pledge and a ‘Cool COP Menu of Actions’. The International Renewable Energy Agency (IRENA), headquartered in the UAE, and Sustainable Energy for All (SEforALL) would be key partners of the UNEP initiative.

We need to do all we can to swiftly move towards an era of comprehensive sustainable cooling. And we can’t afford to dither. Conventional cooling, such as air conditioning, is responsible for over seven per cent of global greenhouse gas emissions. Energy needs for space cooling and emissions will triple by 2050, the year to make the planet Carbon Neutral. I call the present situation ‘a paradox of warming by cooling’.

Expanding the facility of cooling will protect the most vulnerable communities from extreme heat, keep food fresh, vaccines effective, employees productive and digital data centres working. At the same time, as cooling expands, it would warm the Earth due to greenhouse gas

emissions coming from excessive use of global warming refrigerants and, more importantly, the fossil fuel-based energy use for running air-conditioning and cold chain systems.

Solar Cooling; Solar Cold chains; natural ventilation; natural refrigerants; and super-energyefficient appliances – including fans, air conditioners, refrigerators and mobile air conditioning units – must be implemented at the absolute earliest possible. Above all, we need to usher in a lifestyle change that respects Nature. When it comes to thermostat settings, we should learn to live at a minimum of 27 degrees C, never below that. Not wasting food would necessitate the requirement of less energy use in the cold chain.

No one is going to save us from climate change; the onus to take efforts solely rests on us.

CPI Industry accepts no liability for the views or opinions expressed in this column, or for the consequences of any actions taken on the basis of the information provided here.

MACRO-ECONOMIC ANALYSIS:

By Krishnan Unni Madathil

CORPORATE TAX IN THE UAE

Krishnan Unni Madathil gives a primer

WE ARE less than a month away from the implementation of the long-awaited Corporate Tax in the UAE. Rarely has a moment in the illustrious commercial history of the UAE been treated with as much anticipation, excitement and foreboding – all in equal measure. To an extent, the issue of an annual corporate tax in the country was an inevitability. From a series of small ports along the southern edge of the Arabian Gulf in the 1960s, the different emirates, guided by wise leadership, forged together a country, which is now counted amongst the world’s 30 largest economies. Not bad for a country with a total population of less than 10 million, eh?

Crucially, the UAE has positioned itself as one of those economies that are best poised to thrive in a postnatural resources-windfall environment From the longest period, we have been hearing about the leadership making the right noises about the transitional nature of the oil bounty, and of the need to cultivate an industrial and services base beyond hydrocarbons. And hasn’t that paid off handsomely?

Today, the UAE boasts the highest concentration of industrial units and the highest contribution of nonhydrocarbon industries to the national economy anywhere in the entire Middle East and North Africa (MENA) region, and is well on its promise to diversify its economy away from hydrocarbons. Indeed, the country is joining hands with global heavyweights to combat human-activity-induced climate change, with the initiative being headed from the UAE’s side by H.E. Mariam Al Mheiri, UAE Minister for Climate Change & Environment.

“Why now?”

The requirements for nation-building are ever increasing. The UAE is becoming an ever more complex economy, with multiple stakeholders who are all competing for attention. The demands on the UAE government are also increasing multi-fold, owing to these stresses. And none of these stakeholders can be accorded with a lower level of priority. It is in this milieu that a tax of this nature in the UAE begins to make sense.

The UAE has pondered over this eventuality for nearly a decade – I have been hearing conversations surrounding a corporate tax since the early 2010s – and has finally come round to implementing it. More than most other countries, the UAE understands the gravity of decisions and that damage to reputation is repairable only at significant cost, if at all. The challenge before the authorities was to bring about a corporate tax in the UAE without hurting the UAE’s reputation as the best place to do business in the MENA region.

And so, here we are.

Businesses that are registered for Corporate Tax will have a corporate tax charge on their annual income calculated as:

Nine per cent of Taxable Income

Taxable Income is defined as that part of accounting income (annual profits) over and above AED 375,000. Annual profits below AED 375,000 will not be chargeable to corporate tax.

Over a series of reader-friendly articles, I hope to convey some general, useful information about the impending implementation of the UAE Corporate Tax regime, what it entails in terms of

procedures and what it means in terms of operating businesses in the UAE, with a tilt towards businesses operating in the HVAC sector.

Who needs to register for Corporate Tax?

As per the recent statement by Younus Khoory, Director of the Federal Tax Authority, all businesses with an annual turnover in the previous accounting period of over AED 3,000,000 will have to register for corporate tax.

Government-owned or governmentcontrolled entities are exempt from corporate tax, along with a few other specific categories of businesses. If your business generates more than AED 3,000,000 in annual turnover, and is not one of the businesses in the exempt category, you will have to get your business registered for Corporate Tax.

How to go about doing so?

If your business is already registered for UAE VAT, you can apply to register your business for UAE Corporate Tax on the same EmaraTax Platform website, accessible on eservices.tax.gov.ae. You may wish to consult a tax consultant to help you with the process.

What about free-zone entities?

All free-zone entities, classified as “Qualifying Free Zone Person”, have the

Krishnan Unni Madathil Auditor, Bin Khadim, Radha & Co Chartered Accountants, writes a bi-monthly macroanalysis on geopolitics, incumbent political structures, global business and finance exclusively for Climate Control Middle East He may be contacted at krishnan.madathil@binkhadimradha.com

option of electing to have their annual income be classed as “Taxable Income” and be subject to Corporate Tax at the “normal” rate of nine per cent on accounting profits above AED 375,000, as with mainland companies. In case they do not make this election, accounting profits, which fall under the definition of “Qualifying Income”, will not be subject to corporate tax; and accounting profits that do not fall under the definition of “Qualifying Income” will be classed as “Taxable Income”, and will be subject to Corporate Tax at nine per cent, this time with no lower threshold of AED 375,000.

Basically,

Qualifying Income? Yes. Zero per cent. Qualifying Income? No. Nine per cent.

What is “Qualifying Income” of a freezone entity?

The final word on what will constitute “qualifying income” is pending confirmation from the minister concerned at the time of writing. All we know at the moment is that incomes made by free-zone entities, classified as “Qualifying Free Zone Person”, is called “qualifying income”. The text of the law has a bit of circular reasoning to it, because of which I do not wish to conclude on that at this point.

Are management expenses and remuneration deductible expenses for Corporate Tax purposes?

This may be relevant to several businesses, especially those in the engineering consultancy space. And the answer is, ‘No, management expenses and remuneration – whether as dividends or as management salary – are not deductible expenses for the purposes of computing Corporate Tax liabilities. Director’s remuneration, where the director under consideration does not have a significant equity stake in the business, however, can be considered to be deductible expenditure for the purposes of computing Corporate Tax liabilities.

What if the company is part of an international group of companies?

The locally registered entity of

such companies will be considered when assessing corporate tax on a standalone basis.

For companies that are based out of the UAE, standalone status will include their UAE entities as well as any branches of the entity within the UAE as well as anywhere else in the world.

It is important for international businesses to be clear on the relationship between the various entities they control.

For corporate tax incurred separately by foreign branches of the company as well as foreign subsidiaries in their respective jurisdictions, Foreign Tax Credit may be available as a deduction from overall Corporate Tax liability, up to the overall Corporate Tax liability but not more than that.

As an alternative, a UAE company that is a Taxable Person can make an election to not take into account the income and expenditure of its Foreign Permanent Establishments (branches) in determining its own taxable income . When this election is made, no income, expenditure or foreign tax credit of the foreign permanent establishment (branch) can be taken

into account in determining the UAE Corporate Tax liability

Filing deadlines

The annual tax return must be filed no later than nine months from the end of the relevant tax period. So, if your business year-end is 31 December of Year 1, your business must submit the tax return no later than 30 September of the following year.

Audits of financial statements

Whilst the audit of these annual financial statements and calculations of taxable income by a certified auditor is still not mandatory, it is highly recommended, more so now than ever before.

I will take a deeper look at some specific aspects of a company’s financial statements affecting the Corporate Tax liability in the upcoming article, including managing inventory, valuations, unrealised gains and losses and much more.

CPI Industry accepts no liability for the views or opinions expressed in this column, or for the consequences of any actions taken on the basis of the information provided here.

MEP MUSINGS

By Omnia Halawani

DISPUTES AND LITIGATION IN ENERGY SAVING PERFORMANCE CONTRACTS

ENERGY Saving Performance Contracts (ESPCs) are agreements between an energy service company (ESCO) and a customer, such as a government agency, a developer, building owner or a privately owned organisation, where the ESCO implements energy efficiency improvements or renewable energy installations, or both, in the customer’s facilities. The agreement and project are governed by energy savings, reflecting in reduction in utility expenditures. They are also guided by payback periods and returns on investments.

The concept of ESPCs is not novel. In the 1970s and 1980s, the concept emerged through the “Shared Savings” model, in which the ESCO typically installs the improvements (energy conservation measures or ECMs) at the facility at its expense, giving the customer the advantage of entailing no upfront costs for the upgrades. The ESCO gets paid a proportion of the energy bill savings that ensue over the years of the contract, with the customer retaining the other portion. In the late 1980s, when the energy prices fell in the United States, many deals

fell short of their expected savings, jeopardising not only the ESCOs’ returns but also their credit. As such, the main risk of Energy Price fell on the ESCOs solely. As the deals fell short, the importance of how to effectively and fairly assess ESPCs became a pressing need, to ensure the continuity of the ESCO model and the benefits of the ESPCs.

In addition to the risk relating to energy prices, a flaw evident in the early days of ESPCs had to do with the changes that customers commission in their facilities that may drive up – or down – energy usage. This further exemplified the importance of the assessment of ESPCs and which, in effect, led to the emergence of the concept of Measurement and Verification (M&V). The U.S. Department of Energy initiated collaboration with the industry in 1994 to establish a unified method for evaluating and validating efficiency investments, with the goal of surmounting the hindrances to energy efficiency. This led to the issuance of the North American Measurement and Verification Protocol (NEMVP), in 1996, which eventually evolved

into the International Performance Measurement and Verification Protocol (IPMVP), in 1997. The IPMVP continues to evolve over the years to suit the industry advances and needs.

In addition to the M&V protocols and guidelines, a new ESCO model emerged, in which the upfront costs of the energy retrofit are paid by the customer, while the ESCO commits to a given amount of energy saving through performance guarantees. This model is what is known as “Guaranteed Savings”.

To further mitigate risks associated with Energy Saving Performance (ESP) projects and prevent conflicts, the IPMVP recommends the involvement of independent verifiers to review savings and validate measurements. Further, if conflicts do arise, they can help resolve them through expert arbitration and advice. According to the protocol, the independent verifiers should typically be engineering consultants with experience and knowledge in ECMs, M&V and energy performance contracting.

As long-term consultants in the field, we have been called on several times to act as technical experts to

A combination of a capable ESCO and an experienced consultant will ensure the alleviation of risks associated with legal disputes and will deliver successful and beneficial energysaving projects, writes Omnia Halawani

Omnia Halawani is Co-Founder & CoCEO, GRFN. She may be contacted at omnia@grfn.global.

solve disagreements and disputes between customers and ESCOs in ESP projects. We’ve seen several common causes of conflicts to resolve. These include:

1) Saving calculations disagreements, be they due to calculation methods or accuracy,

2) Project implementation issues and dissatisfied customers,

3) Performance issues due to maintenance issues and failures, and

4) Contractual issues, especially when the project has not commenced in line with the internationally adopted protocols with clear M&V plans and following a code-compliant detailed energy audit.

Needless to say, involving expert energy consultants at the commencement of a project helps eliminate the risk and hefty costs associated with those conflicts, by virtue of acting as independent agents to protect the customer as well as the ESCO. The ultimate goal should be delivering a successful project with minimum risk and maximised project savings by helping both parties in preparing a robust M&V plan, signing an attainable contract with fair division of risk and costs, and by properly performing M&V activities. The role extends to constantly educating the Project Owners on the process and moderating the best approach for retrofit.

The appointment of the experts helps Project Owners gain access to:

• Insight on local requirements, international protocols, best industry practices, previous experience, lessons learnt, etc.,

• Adequately developed requests for proposals (RFPs) and proper management during the tendering stage,

• Systematic and established evaluation matrices to select the best-suited ESCO for the project specifics,

• Expert advice on commercial, legal and contractual terms, including contract preparation and

negotiations,

• Assurances of no exaggerated savings, and optimised project CapEx and OpEx,

• Improved data management,

• Improved synergies in maintenance, ECMs, metering, etc.,

• Site supervision and management, ensuring proper design installation and commissioning, and

• Verification of ESCO’s periodic and yearly reports to verify savings, in line with the M&V plan

In addition to the benefits seen by project owners, an unbiased and experienced consultant will also help the ESCOs with:

• Client advisory and education to make retrofit projects more likely to occur and in line with the best practices to protect ESCOs’ rights,

• Fairness advocacy by supporting a fair payment structure,

• Moderating client requirements and handling key concerns,

• Data management by gathering relevant data and conducting preliminary assessments to ensure data is adequate, correct and usable,

• Conflict resolution by advising on the best approach for when conflicts arise,

• Supporting with peer reviews of

their submissions, and

• Discussing and exploring opportunities to identify the best approach that can maximise their chances of selection with the best offer to the Project Owners.

The projects are the biggest winners, with improved risk management through early identification and resolution; timely delivery; vetted results; and structured, systematic and well-controlled project flow.

Having an experienced consultant or a client representative with indepth technical, commercial and legal expertise is essential for the success of the ESP model in projects. Theoretical experience alone does not suffice, as a wide array of experiences is accumulated through the actual implementation and completion of such projects. A combination of a capable ESCO and an experienced consultant will ensure the alleviation of risks associated with legal disputes and will deliver successful and beneficial energy-saving projects for clients.

CPI Industry accepts no liability for the views or opinions expressed in this column, or for the consequences of any actions taken on the basis of the information provided here.

LICENCE TO CHILL WHY SHIRK FROM DEPLOYING CONDENSER AUTO TUBE CLEANING?

By Dan Mizesko

Why, indeed, when it is common knowledge that a chiller’s efficiency is affected most by the lack of cleanliness of its heat transfer surfaces? asks Dan Mizesko

IHAVE been working in the Gulf region for over 27 years in this industry, and it still strikes me that condenser auto tube cleaning is not being utilised extensively in District Cooling plants as well as in standalone chilled water plants. The fact is that every water-cooled condenser in this region suffers from some sort of fouling, regardless of the type of water treatment and filtration used.

Cooling towers draw in particles from the atmosphere on an average rate of three pounds of solids per ton, per year, which would be 30,000 pounds of solids for a 10,000-ton plant. Some of these solids inevitably

make their way to the condenser, regardless of filtration, water treatment and blowdown. In addition, most chilled water plants – be they District Cooling or standalone – utilise cyclone separators technology for condenser filtration. However, it has been found that the separation capability of a cyclone separator, regardless of maker, has not been effective when used in many cooling plants in this region. The reason is that the effective separating capability of a cyclone-based system is particle size >40 microns.

The main issue is that atmospheric contamination found in the Gulf results in a micron size in the range of 20-25

microns, sometimes even smaller –down to five microns. This means that although there is some particulate matter >40 microns, which can be removed by a separator, most particles by mass found in the condenser circulated water will be 20-25 microns. This has resulted in several operating issues; however, the most harmful would be chiller condenser fouling with solids, mud/sand and silt.

Let’s take a look at the effects of condenser fouling. In central chilled water plant applications, fouling of the chiller condenser tubes has substantial impact on the power consumption of the centrifugal compressor. Even with good water treatment programmes, it is common to find chillers that appear to be in good working order operating at a fouling factor of 0.0025 hr-ft2-F/ Btu or higher – causing compressor power consumption to increase by 25% or more. Fouling occurs because cooling water contains minerals such as calcium and magnesium that precipitate to form deposits on heat transfer surfaces. Due to the reverse solubility of calcium and magnesium in water, the precipitation of these mineral deposits is more prevalent at higher temperatures; therefore, scale buildup usually occurs first on heat transfer surfaces. The most common scale in cooling water systems is calcium carbonate, but scale is also often

Dan Mizesko is Managing Partner/ President, U.S. Chiller Services International. He may be contacted at dmizesko@uscsny.com

composed of calcium phosphate, iron oxide or magnesium silicate. Several factors impact the formation of scale in cooling systems, including mineral concentrations, temperature and pH of the circulating cooling water.

Scale is an “insulator” and does not conduct heat well, because it has a relatively low thermal conductivity. As scale accumulates on heat transfer surfaces, such as the condenser tubes, it greatly reduces the efficiency of the heat transfer process. This causes the compressor of a liquid chiller to consume much more power and drives up the electricity bill. Even a minuscule amount of scale accumulation, which is undetectable by the human eye, can have severe impacts on daily operational costs. Additionally, scale accumulation contributes to corrosion of cooling water systems and heat exchanger tubes through a specific type of corrosion, termed “underdeposit corrosion”. In under-deposit corrosion, aggressive attack of the metal occurs beneath the scale layer, creating a crevice or pit in the metal wall. The deterioration of the metal occurs much more rapidly than general corrosion, elsewhere in the system.

Cooling water systems are also commonly plagued by biological growth that forms slime (biofilm) or algae on heat transfer areas. Bacterial growth occurs on the warm heat transfer surfaces and manifests as a slimy film on heat exchanger tubes. As bad as mineral scale is for heat transfer, biofilm is much worse – it is at least four times more insulating than mineral scale. As the biofilm grows thicker, the layer at the tube wall is depleted of oxygen, and sulphatereducing bacteria generate corrosive by-products that aggressively attack the tube metal. This process is referred to as microbiologically influenced corrosion (MIC) and is a primary culprit for tube failure. These foulants reduce the heat transfer efficiency of even the best designed heat exchangers and also induce localised corrosion, leading to early equipment failure and forcing shut downs of the chiller.

Atmospheric solids (particles pulled into the cooling tower), scaling and biofouling represent a significant cost to open-loop condenser cooling systems due to the substantial efficiency loss, increased maintenance cost and shortened lifespan of the equipment. Several methodologies are commonly used to mitigate or reduce fouling in chilled water plants. Typically, these include off-line mechanical or chemical cleaning. Off-line cleaning methods require periodic shutdown of the chillers for condenser cleaning through hydro blasting, scrapers, nylon or metallic brushes or chemical cleaning. Automatic Tube Cleaning systems are the answer to significant savings for chilled water plants.

Automatic Tube Cleaning systems can solve condenser fouling and scaling problems that could cost the owner of the chilled water plant thousands upon thousands of dollars in unnecessary energy cost. The fact is that annual (which is most often the case) or periodic manual cleaning of a chiller’s condenser requires the chiller to be shut down and taken out of beneficial service; however, after the exchanger is cleaned and returned to beneficial service, the fouling and scaling start to develop almost immediately, lowering the condenser’s and chiller’s efficiency while also increasing the chiller’s kW/ton consumption until the next condenser cleaning, again generally 12 months later.

In the Gulf region, more than in any other region in the world, an automatic, online tube cleaning system makes sense, due to the atmospheric load on the condenser system and existing water quality; it will keep condenser tube surfaces clean, regardless of the available water filtration system and water treatment programme, and will bring the efficiency of the chiller condenser to its water-side heat transfer optimum design potential.

Ball Automatic Cleaning System

I would recommend a Ball-type cleaning system. My team and I have installed the system for clients across the Gulf region and in the United States, and the results have been outstanding. Sponge ball-type automatic tube cleaning systems were originally conceived by German engineers in the 1950s for application in the power generation industry. Since they are effective at maintaining the heat transfer efficiency of large-scale condensers, and applicable to oncethrough cooling systems that may have limited or no chemical treatment, they have been widely adopted in the power generation industry around the world. Globally, more than 15,000 sponge ball-type tube-cleaning units have been placed in service in the power generation sector alone, with 50% of total generating capacity in Europe and 40% of generating capacity in Japan. For liquid chillers, the operation

LICENCE TO CHILL

of sponge ball-type automatic tube cleaning systems is based on the passage of elastomeric balls through the condenser tubes. The balls are slightly larger than the tube diameter and prevent the deposition of scale and fouling materials. The sponge balls are periodically injected into the cooling water inlet line and are circulated through the condenser tubes by the cooling water flow. The balls are designed and injected in a method that enables a uniform distribution of balls across the tube sheet. Since the diameter of a ball is slightly larger than the inner diameter of the tube, accumulation of deposits in the condenser tube is prevented by shear force between the ball and tube wall and the wiping action of the cleaning balls. The balls are constructed of material that is much softer than the tubes, preventing tube erosion.

By Dan Mizesko

The balls are collected at the outlet of the condenser in a ball trap, which includes a strainer or screen that allows water flow to continue but prevents the balls from escaping downstream. These ball-trap designs use perforated screens of unique geometry that require no moving parts and can guarantee that no balls escape to downstream processes. After the balls are accumulated in the ball-trap, they are returned to a ball collector by means of operating a recirculation pump, which supplies the necessary pressure differential for conveying the balls. The collector serves as a holding vessel between ball injections and also as a method for replacing the balls in the system.

The entire injection and collection process is fully automated and controlled by means of a single programmable logic controller. The controller also provides monitoring and

alarm functions to ensure the system is continuously operating optimally.

Again, sponge ball-type tube-cleaning system technology has been a widely adopted best practice for optimising condenser performance in the power generation industry for decades.

Advances in tube-cleaning system technology have resulted in more effective and reliable systems with enhanced scalability for the liquid chiller industry.

Automatic Tube Cleaning Systems (ball-type) deliver:

• Reduced kW/Ton consumption

• Reduced downtime and maintenance cost

• Reduction in water treatment cost

• Increased chiller capacity

• Increased chiller availability

• Increase in tube life and elimination of tube pitting

• Rapid investment payback

GREEN HYDROGEN AND OMAN VISION 2040

It is widely expected that the in-country production of Green Hydrogen can profoundly help decarbonise many sectors in Oman. And the country is on its way, says Dr M Ramaswamy, Former Technical Expert, Government of Oman

CLIMATE change is the highestprofile issue on the global sustainable development agenda. And Oman Vision 2040[1] is the Sultanate’s gateway to overcome challenges, keep pace with regional and global changes, generate and seize opportunities to foster economic competitiveness and social wellbeing, stimulate growth, and to build confidence in all economic, social and developmental relations, nationwide.

Access to affordable energy resources is linked to development of any society. It is anticipated that there will be an exponential increase in energy use in the coming years to meet the objectives of Oman Vision 2040. At present, a majority of energy production in Oman is from non-renewable sources, which has a significant impact on the environment.

Non-renewable sources of energy are the focus of global attention from the perspective of mitigating climate change. The Conference of the Parties (COP) of the United Nations Framework Convention on Climate Change is the focal point for strengthening global ambitions and action on climate by building on the foundations of the 2015 Paris Agreement. World leaders set a goal to keep global warming under 1.5 degree C, as per the Agreement.

The Sultanate of Oman, as part of its sustainable development policy, has signed the Agreement and is framing its policies to meet its commitments related to the Agreement. A part of its initiatives is to explore diversified sources of energy to achieve energy security.

Oman has committed to reaching Net Zero Emissions in 2050. The CIBSE (UK) guide on Sustainability[2] states that “supply from renewable sources” is one of the principles that has to be applied on each project to address the issue of energy and CO2 emissions. The Government of Oman has taken many initiatives to introduce renewable energy in all possible sectors. Solar, wind, tidal and geothermal are some of the sources of renewable energy. Among all the renewable sources of energy, solar has been identified as having a strong potential for harnessing in Oman, as it does not pollute the atmosphere, does not provide any toxic by-products and is secure from the possibility of any nation putting an embargo on its supply. Oman has strong solar resources, with insolation being among the highest in the world.

In this scenario, where does Green Hydrogen figure? To clarify, Green Hydrogen is defined as that hydrogen which is produced by splitting water into hydrogen and oxygen using renewable

electricity. Green hydrogen, obtained from renewable energy sources, is one of the urgently required building blocks for the energy turnaround.

It is anticipated that Green Hydrogen can help decarbonise many sectors in Oman. Razzaqi Ahshan[3] from Oman, in his paper, titled “Potential and Economic Analysis of Solar-to-Hydrogen Production in the Sultanate of Oman”, has presented a techno-economic analysis of producing Green Hydrogen using solar photovoltaic power in the Sultanate of Oman. The findings of the study indicate that producing Green Hydrogen using solar power is a promising prospect.

The Minister of Energy and Minerals of Oman states that “Green hydrogen presents itself as a key vector that enables Oman to pursue its decarbonisation, economic and energy security objectives,”[4]. With the abundant renewable energy resources that Oman is blessed with, the country is positioned as one of the most attractive nations to produce Green Hydrogen competitively and at a large scale. Oman aims to become one of the largest producers and exporters of Green Hydrogen in the world by 2030. Its Green Hydrogen Strategy envisions an estimated USD 140 billion in investment in a new low-carbon industry.

To drive Green Hydrogen projects, Oman plans to award the first land blocks in 2023, in a bid to meet its 2030 production target of at least 1 million tonnes of Green Hydrogen per annum[5]

It is to be noted that renewable energy technologies have already reached a level of maturity that allows competitive renewable electricity generation all around the world, a prerequisite for competitive Green Hydrogen production. The country’s Energy Development Oman announced a new brand identity, called HYDROM, which is charged with executing Oman’s hydrogen strategy to support the Government’s drive to reduce carbon footprint and achieve decarbonisation targets[6]

The decarbonisation of energyintensive industries, such as extractive industries, plays an integral role towards reaching the target of Zero Carbon by 2050. The aluminium industry is one of the most energy-intensive and CO2-emissive industries. In 2021, the industry was solely responsible for 275 Mt of CO2, three per cent of the global direct CO2 emissions[7]. Oman has the largest aluminium process industries in Sohar, the industrial city of Oman. Antonis Peppas et al[8] from the School of Mining and Metallurgical Engineering, National Technical University of Athens, carried out a detailed study, which showed that Green Hydrogen is the most environmentally beneficial option for the aluminium industry. This is just an example to illustrate how Green Hydrogen can help energy-intensive industries to meet their carbon reduction programme.

It is an established fact that in Oman, mostly gas is used to generate electricity. There is a great opportunity for Hydrogen to replace gas in the energy mix. Oman aims to increase Green Hydrogen production from 32,500 to 3.75 million tonnes per year by 2040 and from 3.5 to 8.5 million tonnes per year by 2050. The country estimates that it will need a cumulative investment of USD 140 billion over this period to reach its production target by 2050. On January 10, 2023, oil major, Shell joined a consortium as an operating partner to develop a 25-gigawatt project[9]. The consortium is working towards delivering

more than 1.8 million tons per annum of Green Hydrogen to accelerate the energy transition in Oman and around the globe. Hence, Green Hydrogen can be considered to replace conventional fuel for generation of electricity in Oman.

Another sector that is the subject of consideration is the tranportation sector. Y. Charabi et al[10] in their paper, titled “GHG emissions from the transport sector in Oman: Trends and potential decarbonisation pathways”, concluded that transportation emissions have become the third largest contributor to overall greenhouse gas emissions in Oman and suggested that curbing emissions from the Omani transportation system should take place in the socioeconomic context of the country through various green technologies. The International Energy Agency (IEA), in its latest report, “Net Zero by 2050 – A Roadmap for the Global Energy Sector[11], states that there is a good opportunity in the transport sector to use Green hydrogen. Indeed, Hydrom, on 14 March 2023, signed six term-sheet agreements with a number of developers to invest in Green Hydrogen projects in the country, valued at more than Omani Riyal (RO) 20 billion over the next seven years[12]. Also, Germany and the broader European Union (EU) plan to import

hydrogen and its derivatives from the Arab Gulf states[13]. Oman’s ambitious hydrogen plans can provide Germany and the EU with affordable clean energy. Petrofac, a leading provider of services to the global energy industry, has signed a Memorandum of Understanding (MoU) with Oman Hydrogen Centre (OHC) to collaborate in building capabilities for Oman’s renewable energy sector, particularly in Green Hydrogen. Located at the German University of Technology (GUtech), OHC is the first research facility of its kind in the Sultanate, supporting the country in accelerating its transition to renewable energy. The centre provides an international hub for research, technology, education, industry applications and the economy, aligned with Oman Vision 2040. The Petrofac and OHC partnership will bring considerable benefits to the efficient implementation of green hydrogen projects and help accelerate the Sultanate’s energy transition[14]

All the above cited projects indicate that there is great potential for Green Hydrogen to meet the decarbonisation target in Oman. However, there are a few challenges. The hype and fanfare around Green Hydrogen is good, but there is a need to infuse a certain degree of pragmatism to the belief on what

PERSPECTIVE

Green Hydrogen will achieve and to what level Green Hydrogen will displace fossil fuels. The major challenges to the scaling of circular hydrogen economy relate to waste and cost management, the transport of hydrogen, infrastructure requirements for storage and environmental safety concerns. The IEA has listed a few solutions in its report in relation to these concerns. It has said that during the journey, there will be many challenges. For each challenge, though, there is a viable solution, and it can be achieved.

Considering the potential of Green Hydrogen, the IEA recently has initiated cooperative projects with Oman to expand and improve Green Hydrogen generation in the country[15]. The first such project is to develop Green Hydrogen markets for energy and local industry uses. This will involve identifying the industrial and productive sectors

that currently rely on natural gas, and exploring the possibility of switching them over to Green Hydrogen. As a result, Oman will eventually be less dependent on natural gas and will be able to build additional industrial projects that will increase the economic worth of natural gas and work to draw in investors and technology developers. The second initiative aims at developing local Green Hydrogen production capacity while utilising Oman’s infrastructure in the areas of oil, gas, ports and the spot electricity market, among other areas.

Conclusion and recommendations

A successful national hydrogen economy will lead to a strong Oman. Realising the potential of Green Hydrogen, the Government of Oman has taken many initiatives through various institutions and would like to show the world that it can use Oman as an

example to follow in energy transition and economic diversification. Many will continue to see Green Hydrogen as the ‘golden key’ to unlocking a net-zero future. It is a beginning. Any changes may have to face challenges. The national mission of Net Zero Carbon by 2050 drives Green Hydrogen as the future energy of Oman. This paper’s main aim was to highlight that Green Hydrogen is going to play a significant role in meeting the Government of Oman’s national mission of reducing the emission of carbon.

The writer has a Ph.D. in Mechanical Engineering from the Indian Institute of Technology, Delhi, India, and is a visiting faculty at Sultan Qaboos University, Oman. He may be contacted at bagyanandini@gmail.com

CPI Industry accepts no liability for the views or opinions expressed in this column, or for the consequences of any actions taken on the basis of the information provided here.

BE MY GUEST!

HVAC systems in hotels emit over 3.47 mega tons of carbon, annually. With hospitality firms committed to lowering carbon emissions, the situation is ripe for the HVAC industry to rise to the occasion, writes

Mohammad Saqan, Strategic Accounts Director – MEA, Johnson Controls

COUNTRIES and companies

the world over are taking rapid responsibility to cut carbon emissions, and the hospitality sector is not far behind. A survey from Tripadvisor states that tourists are taking action themselves. Sixty-two per cent of travellers are opting for more environmentally friendly hotels, food and transportation, and 69% said they intended to make even more environmentally responsible travel choices.

With tourists and travellers taking steps, what does this mean for the hospitality sector? Hospitality companies are also implementing sustainable initiatives and operational practices to reduce their carbon footprint and conserve critical natural resources. Many of the firms are focusing on modifying operational processes, such as proactively reducing energy, lighting and water usage, as well as optimising climate control through environmentally friendly HVAC systems.

A positive consequence of these sustainable operational initiatives is the improved cost savings and overall profitability for the sector. A study by Forrester Research Inc. indicates that hospitality companies that implement sustainable HVAC and other day-today operations have realised benefits in areas such as improved efficiency (83%), regulatory compliance (76%), ability to attract guests/guest loyalty (75%), employee recruitment and retention (72%) and revenue growth (58%).

HVAC systems are the key drivers for carbon emissions in the hospitality sector. According to an industry report,

HVAC systems in hotels are known to emit over 3.47 mega tons of carbon, annually, and consume over 40% of a building’s total energy use. Given this, the potential to enhance energy efficiency in hotels is huge through efficient solutions.

As such, several players in the field are now deploying smart and sustainable solutions that improve every aspect of the operation: Modernising the equipment and systems in the facilities, deploying technology that increases productivity, optimising the entire water utility and implementing renewable energy systems to cut carbon emissions. Most of them show a preference for pieces of HVAC equipment that not only offer efficient and reliable climate control, but also deliver cost-effective comfort and sustainable efficiency. The kind of air-cooled and absorption chillers and condensing units, to cite some instances, that offer the efficiency and intelligence to reduce energy consumption and emissions, while creating a more comfortable and sustainable building environment.

While the hospitality sector is doing its best to cut carbon emissions, the healthcare sector is also leading the march with its innovative strategies to achieve net-zero goals. On a global average basis, healthcare systems account for over four per cent of global CO2 emissions. For most industrialised nations, that figure is closer to 10% of national emissions. As such, demand for the healthcare industry to improve environmental sustainability, address net-zero-carbon emissions goals and to enhance building operations efficiency is growing. Healthcare decision-

makers are starting to understand that making sustainability an organisational priority is not just a compliance requirement – it’s a competitive differentiator for their business. According to Forrester Research Inc, healthcare organisations that have implemented sustainable solutions have realised benefits across many areas of their business operations. The top benefits include reduced waste (87%), improved regulatory compliance (87%), improved efficiency (87%), and improved staff recruitment and retention (83%).

As healthcare organisations become more responsible, several of them are now adopting environmentally friendly measures, including green building design, climate-controlled HVAC systems, and the use of clean and renewable energy. Also, a lot of them are maximising the share of clean heat and switching to a fully electric vehicle fleet, innovating in drugs and developing next-generation products that can reduce carbon emissions.

In summary, planning strategically towards sustainable development and investing in energy efficiency can help the hospitality and healthcare sectors reach their goals of optimising facility operations, improving the patient experience and of promoting their business.

CPI Industry accepts no liability for the views or opinions expressed in this column, or for the consequences of any actions taken on the basis of the information provided here.

The writer is Strategic Accounts Director (MEA), Johnson Controls. He may be reached at mohammad.saqan@jci.com

THE CONUNDRUM

CONUNDRUM

AS STUDIES of facial expressions go, V Sekhar Reddy looks – and sounds – profoundly wistful when he points to the numerous instances of even major MEP players that have gone bust in recent times.

Reddy, a former MEP contractor, who has executed numerous District Cooling projects, among other works in the region, and is the Managing Director of Lexzander LLC, highlights the dwindling number of specialised MEP contractors, with the cashflow condition being directly responsible for it. “MEP, which has a major say in any project, and which is the live element of any project, is facing severe issues due to delayed payments and poor cashflow,” he says, adding that the delayed payments have a chain effect, as the contractor must pay MEP item vendors, key equipment vendors, subcontractors and other parties. “If the contractor is not paid on time, they will not be able to fulfill their obligations to these parties, which can negatively affect project progress and quality,” he says. “Although contractors may receive some advance payment, it is often insufficient compared to the total amount invested in MEP deliverables. As a result, delayed payments can significantly impact the contractor’s performance on the project.”

Weighing in, Jeán van Loggerenberg, Partner, CKR Consulting Engineers, says that delayed payments have severely impacted the MEP industry. “Several MEP contractors and consultants,” he says, “have either closed their offices or left, leaving a huge impact on the quality of contractors and consultants in the market.” Outstanding talent and companies, he says, are necessary, especially to align with such important initiatives as UAE Vision 2021 and to enhance the UAE’s position as a global leader. He notes that many companies and talented individuals are leaving the country for better opportunities, margins, salaries and cashflow, available elsewhere. Therefore, it is imperative that changes are made to stem the flow and to attract others.

Stakeholder consensus strongly suggests that MEP, the live element of any project, continues to face severe issues due to delayed payments and poor cashflow.

Indu Revikumar, Features Writer, Climate Control Middle East, has the story…

COVER STORY CASHFLOW

Building on Reddy’s observation, Raphael Khlat, President, FJ Group, says that the delay in payments in the construction industry is not a new phenomenon – it has been around for some time. He elaborates that this is a general trend in the construction industry, and that contracts provide the developer with the ability to control payment issues as well as to delay payments, based on the contractor’s performance or the developer’s perception of it. “The contracts often make life difficult for contractors, especially the subcontractors, who are at the end of the chain,” Khlat says. “The pandemic has exacerbated the situation, and many are struggling to finance projects due to lack of new jobs. Moreover, with fewer jobs available, the market has become highly competitive, leading to delays and failing projects that impact everyone.”

In addition, Khlat points out that banks do not adequately finance the construction industry, as doing so is considered a risky investment. He says that contractors are finding it increasingly challenging to secure financing, worsening the problem. He also notes that the industry needs to be better regulated, as the current system further disadvantages sub-contractors, contributing to the situation’s overall difficulty.

Meanwhile, George Berbari, CEO, DC PRO Engineering, shares an observation on the noticeable improvement in cashflow in recent years in Saudi Arabia, mainly as it is the biggest market. “While there have been some minor delays in the UAE, Qatar and Kuwait, the primary market with most improved payment rate is Saudi Arabia,” he says. “However, the payment rate in Saudi Arabia is yet to reach the level seen in the UAE, which has faster payment rates.”

Adding on to Khlat’s comments on contracts, Reddy says that though there have been efforts to address the issue related to cash flow by implementing payment procedures and contractual obligations, progress has been slow. “Even in everyday situations, like shopping, payment is expected immediately, and the same should be the case for MEP contractors who have already signed a contract,” Reddy adds.

He also points out that it is vital to acknowledge the investment and time spent by MEP contractors, which is comparable to that of builders, even though the project cost for MEP is only around 30% of the total cost. “MEP contractors,” he says, “have a significant investment in the project, just like builders, and therefore, compensating them as per the contract is crucial for the project’s successful completion.”

Delayed payments are causing significant strain, eroding profit margins, and making it difficult to predict future outcomes, Khlat says. He adds that the situation is likely to be even more challenging with the impending introduction of taxation in 2024, requiring businesses to report financial data accurately. “Contractors and suppliers struggle to maintain financial stability, as payments are delayed beyond six or eight months,” he says. “In response, some businesses have begun removing these bills from their previous financials to avoid paying taxes on unrealised profits, and it will undoubtedly impact tax collection, unless the government makes specific allowances. Paying taxes on invoices that have not been collected will be challenging. It remains unclear how the issue will be resolved, but it is clear that the situation is not improving.”

Loggerenberg notes that delayed payments put pressure on the entire supply chain. Berbari points out that

THE MAIN CHALLENGE ARISING FROM THESE SITUATIONS IS THE CUMULATIVE MISALIGNMENT OF CASHFLOW WITHIN THE SUPPLY CHAIN, WHICH HAS EXERTED SIGNIFICANT PRESSURE ON MEP CONTRACTORS, CAUGHT AMONG LIABILITIES TO OEMS, SUPPLIERS, CONTRACTORS, SPECIALISTS AND THE UNSTABLE FINANCIAL COMMITMENTS FROM UPSTREAM

Jeán van Loggerenberg

Zaid Al Jabari

Raphael Khlat

fiscal stress also stems from a decline in the number of projects, in addition to payment-related concerns. Berbari says, “The decreased volume could be insufficient to sustain the current level of consultants and contractors, exacerbating the financial difficulties being faced.”

Adding to the discussion, Zaid Al Jabari, Managing Partner, ATS Advanced Technical Services, says that in the past eight years, the MEP construction market in the GCC region has encountered numerous difficulties, including global inflation, leading to higher material costs and wages, and global crises, affecting manufacturing, logistics and transportation. “MEP systems are often overlooked in the construction industry, leading to less budget allocation and challenging contracts for MEP contractors,” he says. “As a result, suppliers and small contractors are often managed in a price-oriented manner.” He adds that the main challenge arising from these situations is the cumulative misalignment of cashflow within the supply chain, which has exerted significant pressure on MEP contractors, caught among liabilities to OEMs, suppliers, contractors, specialists and the unstable financial commitments from upstream. “This has resulted in a lack of financial trust among parties, leading to cautious processes that increase overall costs and cause delays in procurement processes, including RFQs, LPOs, contracts and orders, until the final settlement of accounts,” he says. “All these processes are considered high-risk by the commercial departments of all involved parties.”

Cashflow trends of 2003-2008 and the current scenario

Loggerenberg reflects on the period between 2003 and 2008, when his firm was fortunate to be involved in some remarkable projects in the region. He remarks that the industry was different, and clients placed more obligation on the consultants regarding design responsibility and accountability. He says that there was more trust and respect for the profession, and even though there were some issues with cash flow, contracts were fair, and that everyone

witnessed better cashflow than now. He also notes that 2003-2008 was when receiving fixed monthly free drawdowns on design programmes was typical, and prolongations during the design phase were infrequent. Moreover, he says, only a few layers of approval were required before the fees could be approved for the month. “The approval process, coupled with the general move to stage payments by clients, is making it very difficult for consultants to operate with sufficient cashflow in the current market,” he says.

Reflecting on the period, Berbari says that 2003-2008 was a golden era for sub-contractors and developers, where everyone was focused on finishing projects quickly to cash in on the profits. He believes there is a need to return to a state of normalcy, where there is a constant flow of work and retention of the country’s MEP talents. “It is also important for the government to understand that maintaining a continuous flow of work is crucial for them,” he says. He notes that even now, the fees and contracting costs remain the same, though developers are struggling to find contractors and consultants.

The years between 2003 and 2008, Reddy says, indeed constituted a golden era for MEP contractors. The period was marked by high demand for MEP services and contractors, resulting in increased profit margins, he says. At the same time, he also highlights the downsides of the period, as clients and principal contractors were unhappy due to the high demands and perceived overcharging by MEP contractors. “This led to the introduction of nominated and domestic contractors, which also resulted in a decrease in quality standards and an increase in the copy-paste culture,” Reddy says. He adds that MEP contractors are crucial in ensuring that project elements are well-engineered, procured, installed, commissioned and handed over. “The period between 2003 and 2008 saw the rise and fall of many contractors, and the bad seasons that followed led to the exit of many skilled workers who worked for many MEP contractors,” he says. “However, this taught everyone the importance of consistency and quality in providing the right project for clients. While we are in a

different phase, the industry will bounce back.”

Khlat provides a different viewpoint on the period between 2003 and 2008, when he says that it is challenging to offer a parallel, as each phase comes with its unique characteristics. He notes that the collapse in 2008 was the result of market inefficiencies and deficiencies in real estate and bank loans. “However, the current phase is different, and the real estate market is more saturated, with a focus on unique and quality construction and developments rather than just building to fill space,” he says. “Unlike in the past, where there were numerous unfinished projects, the current

George Berbari

V Sekhar Reddy

COVER STORY CASHFLOW

To resolve this, Reddy says, the engineering side of the industry needs to play a neutral role in sorting out issues between clients and contractors and between contractors and subcontractors. Everyone involved must also be willing to work together and trust each other, he says. He also points out that the payment process is a struggle, with everyone taking their positions and delays occurring, and one of the ways out for the industry is to learn from past mistakes and resolve issues as quickly as possible.

construction projects are more realistic and made after extensive studies.”

Lack of trust, undercutting, complacency

Loggerenberg says the MEP industry needs to come together to address another set of issues, prime among them being undercutting. He believes that unlike legal or medical professions, there is always someone who will try to undercut the other in the MEP industry. He adds that the MEP industry no longer considers terms such as value, capability or proven track record, as clients now prioritise the lowest price, “We see the impact of this in several projects, which are now facing problems in terms of poor construction quality and design issues,” he says.

Joining the discussion, Khlat says that the issue is not new in the industry, and consultants are often put under pressure to lower their prices. This, in turn, he says, can limit their ability to innovate. “To produce ingenious solutions, there is a certain investment required, and now, due to the lack of sufficient funds, consultants tend to replicate what they have been doing for so long,” he says. Cost consultants, he says, need to be gauged for building performance rather than simply designing the building without any responsibility for its actual performance or expenditure. “Considerations, such as installation, maintenance, operation and the building’s lifecycle are all crucial factors that should be considered, and they far outweigh any small cost savings that might be

achieved by lowering consultant fees by one per cent,” he says. Often times, he says, consultants are forced to rush their designs, and contractors are left with greater responsibility for redesigning, refining and providing alternatives, which can impact the building’s performance. “Consultants should be held accountable for the performance of the building, rather than leaving contractors to bear the burden of accountability,” he says.

Reddy also shares a similar perspective that the lack of trust among stakeholders in the MEP industry is hampering progress and causing issues, including consultants undercutting each other’s jobs. He says that the industry has not learnt from past lessons, and all stakeholders must take responsibility for the current mess. “There is too much focus on paper titles and throwing correspondence back and forth, which leads to delays and a lack of progress,” he says. And clients, engineers, consultants, contractors, vendors and sub-contractors are all involved in this chain effect.”

Reddy says the construction and MEP industries in the UAE still need to put on an improved showing when it comes to tackling issues related to Indoor Air Quality and energy management. By way of pointing some instances, Reddy says many buildings in Dubai’s JLT and Business Bay areas face issues relating to Indoor Air Quality and energy management that need to be resolved immediately. He notes that with the market going international, investors may lose confidence in the local industry, if things do not improve. “It is crucial to deliver quality work within the specified time and budget, or else confidence will be lost, and the industry’s reputation will suffer,” he says. He highlights that maintaining industry standards is crucial, especially with private investors entering the market. “The industry must exhibit competence and seriousness in upholding standards,” he says. “While government efforts have set minimum standards and procedures, they must also be effectively implemented.”

Improving MEP payment processes

So, what can be done to address cashflow and the numerous issues and sub-issues that concern MEP stakeholders? Do tools like AI and blockchain, and escrow accounts hold the key? Khlat says that even though various tools, such as AI and blockchain, can assist with payment processes in the MEP industry, the underlying problem lies with the lack of sufficient regulation and protection. He adds that as a provider of MEP equipment, FJ Group uses internal communication to determine good paymasters and set payment terms, accordingly. “However, this approach does not address the root of the issue,

AUTOMATED PAYMENT SYSTEMS, POWERED BY AI OR BLOCKCHAIN, COULD STREAMLINE OPERATIONS AND IMPROVE EFFICIENCY THAT THESE COULD HEAVILY BENEFIT LARGE-SCALE ENERGY SYSTEMS, LIKE DISTRICT COOLING SCHEMES

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which starts with the developers, who hold the contracts,” he says. “Often, these contracts are sub-divided into numerous jobs, resulting in the developer attempting to funnel money outside the project and neglecting to pay the subcontractors and suppliers involved in the main job.”

While tools like blockchain ledgers exist, Khlat says, they only solve the problem if there is a genuine desire and effort to implement a solution. He adds that developers must take the initiative to protect minor players, who are the most vulnerable to payment delays, and points out that one solution is to create a coalition among suppliers to rate contractors based on their payment performance. He also says that this approach can be challenging due to its legalities, “but informal communication and identification of good paymasters among industry players are still prevalent, highlighting the importance of honouring payment commitments in the industry”.

Khlat says the problem with payment processes in the MEP industry is not solely related to the lack of tools. It is a systemic issue that requires collaboration and cooperation from all stakeholders to ensure fair and timely payments, he adds.

In Berbari’s view, AI tools are slowly but surely making their way into the payments and blockchain industries. He says automated payment systems, powered by AI or blockchain, could streamline operations and improve efficiency. He notes that these could heavily benefit large-scale energy systems, like District Cooling schemes. However, there is a problem here, he says. Many of these systems are plagued by a fragmented approach, with several organisations trying to develop their own solutions, often without adequate support or instrumentation in place, and many buildings have faulty instrumentation, which can impede the functioning of AI. He adds that despite the potential benefits of AI, there is a lack of practical steps taken in this direction, with many organisations giving lip service rather than implementing changes. To elaborate, he points to the case of District Cooling utilities, which could save up to AED 200-300 million, annually, through AI applications. “Despite the potential for significant cost savings and improved

profitability in the District Cooling industry through AI, there is a lack of interest in investing,” he says. “Moreover, the complacency of people and organisations in the industry needs to be dealt with, and a more proactive approach is required to promote environmental friendliness and reduced costs.”

Adding to the discussion, Reddy says that a handful of contractors are already using these tools. However, it is unlikely that everyone can afford this, nor do they have the energy to do it, he says. He points out that with meagre earnings, not all MEP contractors are in a position to update themselves or implement these tools, which are becoming increasingly important in the current world. “While some contractors have already adopted these systems, medium- to low-end contractors, who are a major support for the industry, may need help to keep up,” he says. “However, budgets can be tight, and not all companies can afford specialised workforces for such tools. It is crucial to make better use of specialised tools for the benefit of the client, project and system. Experience is essential but becomes meaningless, if expertise is not utilised effectively.”

Extending the discussion around improving the MEP payment process to escrow accounts, Khlat says that establishing an escrow account is one of the solutions that can be implemented to protect various suppliers. He adds that it has the added benefit of protecting the investors who have put money into a specific project by securing their investment. “It is good to consider this approach, and the responsibility of setting up and managing an escrow account lies with the developer,” he says. The developer, he says, must ensure that the payment process is transparent

and that all the stakeholders are paid on time. “A proactive approach from the developer in providing payment will also improve the developer’s reputation and ensure better service quality, once the project is handed over,” Khlat says. “At the same time, it is important to understand that there are instances where a building has been taken over by a developer, who still owes 15-20% of the total value to the contractors, who are yet to be paid due to various reasons. It is necessary to have a fair mindset towards all stakeholders.”

Berbari says using escrow to resolve payment disputes is not the most efficient solution. Instead, he says, it would be more beneficial to have a fast-track legal system that can quickly and effectively deal with payment disputes to complete projects on time and with minimal delay. “Developers must also understand the urgency of paying on time, as delayed payments can result in significant losses, and they should be willing to pay proper engineering fees to consultants, as low fees can be detrimental to the quality of the project,” he says.

Berbari underlines how the government can facilitate this cultural change, by creating more balanced contracts and by establishing standard fees for consultants and contractors. Moreover, he believes that it will help ensure that everyone involved in a project is fairly compensated for their work, and that there is no undue bias towards one party. “Ultimately, the culture of cooperation and collaboration will result in faster project delivery, better return on investment and more efficient use of capital, so that the expertise gained in building these projects can be exported and utilised worldwide,” he says.

Reddy agrees that clients, engineers, contractors and sub-contractors should work collaboratively to make the payment process efficient, instead of solely relying on the client or the main contractor to ensure timely payment. He adds that sub-contractors must also take responsibility to speed up the process effectively, and it is essential to ensure that the project fund is utilised appropriately, as the client invests in a project for future returns. “If the project is not delivered on time or payment is delayed, it can cause significant

WITH MEAGRE EARNINGS, NOT ALL MEP CONTRACTORS ARE IN A POSITION TO UPDATE THEMSELVES OR IMPLEMENT THESE TOOLS, WHICH ARE BECOMING INCREASINGLY IMPORTANT IN THE CURRENT WORLD

COVER STORY CASHFLOW

challenges for the client,” he says. “Therefore, it is crucial to adopt a team approach and ensure that each party takes responsibility for its respective tasks. The contractor must deliver the project, the engineer must administer it and the client must pay on time through the engineer to the respective parties.”

Addressing challenges, achieving goals

Besides teamwork, there is a need for transnational flexibility and internal cash flow management structures, Berbari says. “The future looks grim, and I would quote the saying, ‘survival of the fittest’,” he says, while referring to current challenges confronting the MEP industry. The MEP industry, he says, faces difficulty in mobilising contractors across countries due to competitive rosters and due to restrictions in shifting a contracting company from one country to another. “For instance, many projects are being built in remote areas in Saudi

Arabia, like Neom,” he says. “However, it remains unclear if these projects will have a cap on employees or adopt the hire-and-fire model that has worked well in the United States.”

Berbari underlines the importance of cashflow management and recommends that companies retain as much cash as possible, take out employment insurance, keep aside salaries for at least 3-6

months and build reserves for end-ofservice payments. “Companies must manage multi-channel cashflow to build their stamina, which can take a decade,” he says. “The maximum allowed profit extraction in the construction industry should be 50% of annual profit and linked to cashflow above a certain threshold. Current cashflow regulations lead to many failures and struggles, and companies often resort to a snowball effect of using new job down payments to finance old jobs.”

Weighing in, Reddy says the MEP industry could overcome cashflow challenges through project partnerships, classification and rating of contractors and consultants, fixing a minimum value for a project with an escalation clause, ensuring transparency in payables and deductibles and through considering the financial and resource capabilities of contractors when awarding projects. Speaking from a broad perspective, Reddy says it is important for the MEP industry to focus on the core work than to get caught up in payment issues. “Specialists should be allowed to concentrate on their job, and training should be emphasised to keep up with advancements, such as the Internet of Things,” he says.

Loggerenberg, who is also the chair of the Dubai Construction Industry Business Group (Al Moltaka), which is registered through the Dubai Chamber of Commerce, says that one of the goals of the committee for this year is to arrange a roundtable discussion, to highlight the challenges the industry faces and to enable key stakeholders in the construction industry to provide feedback to the Government.

He says the time is ripe to address the situation of clients taking advantage of the situation, resulting in MEP consultants and contractors having to sign very one-sided contracts if wanting to be appointed on contracts. “Contracts should be fair, especially regarding payment terms and recourse for non-payment or delayed payment, and this needs to be addressed,” he says. “In terms of cashflow, it is straightforward. To quote the saying, ‘Turnover is vanity, profit is sanity, but cash is king for your business’.”

AUTOMATED PAYMENT SYSTEMS, POWERED BY AI OR BLOCKCHAIN, COULD STREAMLINE OPERATIONS AND IMPROVE EFFICIENCY. HE NOTES THAT THESE COULD HEAVILY BENEFIT LARGE-SCALE ENERGY SYSTEMS, LIKE DISTRICT COOLING SCHEMES

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WHY FRESH AIR VENTILATION IS KEY TO HEALTH, HYGIENE AND COMFORT IN THE MIDDLE EAST

Khalil El Ghazzi, Managing Director, Systemair Saudi Arabia, writes on the importance of ventilation in ensuring the wellbeing of occupants and operations of businesses and on how this can be achieved through good HVAC design without impacting energy efficiency goals

IN THE Middle East, fresh air should not be considered a privilege but a right. For buildings in the GCC region – be they residential, commercial or industrial – costly conditioned air is crucial to surviving scorching summers. However, it is often forgotten that having air conditioners does not mean that buildings receive fresh air, which is equally important in ensuring the health, comfort and productivity of inhabitants, and in helping meet the objectives of critical processes.

The reluctance to invest in fresh air ventilation solutions, like fresh airhandling units (FAHUs) often stems from a rather outdated thinking about cost and energy use, amongst other concerns. However, such archaic thinking fails to accommodate the myriad of innovative solutions in the market, such as recovering cooling and humidity in FAHUs through advanced energyrecovery components, many of which can ensure proper, balanced ventilation without being energy-intensive.

We ventilate, because… Before going further, let’s remember why

Fresh air solutions for every need: Case studies across the GCC region

Many government and commercial properties across the Middle East have seen the benefits of investing in high-quality ventilation solutions, coupled with good design. Here are a few from around the region…

UAE: CSS CLOUD KITCHEN, DUBAI:

Systemair custom-designs ventilation solutions that enhance a cloud kitchen’s IAQ at the customer’s desired power consumption requirement

Like any professional kitchen, the cloud kitchen under City Storage Systems (CSS) Holding, in Arjan, Dubailand, in Al Barsha South, Dubai, places high emphasis on hygienic operations, high-quality operations, and the health and comfort of its personnel. A cloud kitchen utilises a commercial kitchen

for the purpose of preparing food for delivery or takeout, with no dine-in customers. As such, the company demanded ventilation solutions that would meet these requirements.

The critical requirements were for the FAHU, ecology units and make-up fans to modulate as per the kitchen’s operational demand. The ventilation solutions had to consume 22 kW less than standard industrial power standards, and were required to be delivered within the strict project completion time of 4-6 weeks.

To meet these requirements, Systemair engineered its already

energy-efficient solutions even further.

To start with, Systemair provided the following:

• FAHU with condensing unit,

• Two customised ecology units,

• 15 K inline duct fans, and

• Six CDRE box fans

Systemair adapted and customtailored the solutions to meet the project’s needs. The new design saw improvements in:

• The geometry of the fins,

• Condenser coil size, and

• PLC control panels for both FAHU and ecology modulation, as per demand in the kitchen hoods

While the FAHU power input was initially 125 kW, the new design reduced this to 111 kW. The modification resulted in an energy savings of 14 kW, supported with PLC controls that modulate according to use.

These custom changes resulted in 11% energy savings.

QATAR: NATIONAL HEALTH LABORATORY, DOHA

Systemair delivers an extensive and specialised product range to ensure the most hygienic air quality levels without sacrificing energy-efficient operation

The National Health Laboratory, in Doha, Qatar, embodies the country’s strong focus on actively raising the quality and standards of the healthcare sector in the Middle East region.

Below were critical considerations that contributed to the design:

• Site integration concerning the master plan and climatic conditions,

• Functional distribution to achieve optimum spatial use,

• Outstanding architectural design that gives the building its iconic façade, and

• A comfortable and friendly working environment

The National Health Laboratory was a second-place winner in the ‘Engineering Excellence and Innovation’ category during the 2023 Ashghal Forum, organised by the Qatar Public Works Authority. The laboratory also meets the three-star Global Sustainable Assessment Scheme (GSAS) level. GSAS is the first performance-based system in the Middle East and North Africa (MENA) region, developed for assessing and rating buildings and infrastructure for their sustainability impacts.

The project, led by Focus Design Partners, is one of the first labs in Qatar to use Building Information Modelling (BIM), an issue for which Systemair has a dedicated department available to provide quality models across all product groups.

Several factors made the project especially challenging to meet higher-than-usual standards. The

architectural design divides the spaces into departments, depending on the functioning and connection restrictions between laboratories. Being a critical healthcare facility, the project demanded the highest quality ventilation solutions that comply with relevant codes, offer reliable operations and withstand the region’s conditions.

Furthermore, the mechanical engineering design was challenging. Due to the requirement for hazardous exhaust and speciality gas requiring unique piping systems, the building needed denserthan-usual ceiling cavities. This required constant coordination between designers and engineers to avoid clashes and ensure systems routing meets the project’s high design and performance aspirations.

As a result, Systemair supplied the project with the following solutions:

• K in-line duct fans,

• PRF fans,

• AJR jet fans for car park,

• AXC fans for car park,

• Hygienic BA-H Series AHUs,

• BA Series FAHU,

• EX-centrifugal fans (ATEX),

• SBA AHU Filter,

• AHU Filter Boxes, and

• Ducted UV lamps

Systemair had an advantage over other bidders owing to its specialised product range, as the laboratory project had specific requirements for fans for aggressive media. The Systemair team also highlighted the benefits of Eurovent-certified hygienic AHUs to Ashghal and their ability to provide the highest quality indoor climates in an energy-efficient manner.

Khalil El Ghazzi

Qatar: National Health Laboratory, Doha

ADVERTORIAL

SAUDI ARABIA: THE COURTYARD BY MARRIOTT, RIYADH

It was decided that the project shall be supplied with Electrostatic Precipitator, pre-filter, bag filter and UL-certified carbon filter. Fans with AMCA certification and 200 degrees C continuous operation would be the ideal solution to meet the project specification requirements.

The Courtyard is a hotel owned and operated by Marriott International. As one of Marriott’s mid-priced brands, The Courtyard primarily targets business travellers and travelling families. With the quick turnover, the requirement was for reliable

we ventilate in the first place. Essentially, we ventilate to:

• Secure fresh air supply for respiration and combustion processes,

• Remove emissions deriving from materials and people,

• Remove dangerous contaminants from indoor spaces, and

• Control temperature and humidity

Replacing stale “used” air with new, fresh, filtered air is essential to achieving good Indoor Air Quality (IAQ). Defined indoor air climate parameters can also only be guaranteed with a proper mechanical ventilation system. As said, an air conditioner or chiller alone does not provide any fresh air. At best, it recirculates the indoor air.

ventilation equipment, ensuring a clean, comfortable and odour-free environment.

Systemair supplied the project with:

• MUB EC square duct fans,

• DVN thermo roof fans, and

• DVS direct-driven roof fans

The customer opted for Systemair solutions, as they were the most suitable and reliable fans for staircases, kitchens and toilets. Systemair showed its commitment to ensuring quick and straightforward delivery throughout the project. The solutions were also prioritised for their features, promising ease of installation, maintenance and operations.

A case for and against fresh air ventilation systems

As mentioned, there are some that voice concerns in the market concerning investment in ventilation solutions, stemming from the need for a more precise understanding of what good ventilation has to offer (see the article, titled ‘FAHUs are energy-intensive and are a cause of health issues in buildings’, December 2022 issue of Climate Control Middle East; the e-magazine is available at ccme.news).

Here are a few…

Heat, humidity and mould

The Middle East region is known for its very hot and humid climate, which leads

some people to claim that in such an environment, using FAHUs can increase the humidity levels inside the building, pointing to recirculating air.

Fresh air ventilation can, in fact, help achieve relative humidity levels indoors to levels commonly recommended by academics (40-60 %), even in the Middle East’s climatic conditions. Quality fresh air ventilation and air treatment ensure the proper amount of fresh air. It also controls humidity and temperature by operating as a comprehensive and targeted supply air treatment to maintain the best possible IAQ. By bringing in dry outdoor air and removing moisture-laden indoor air, fresh air ventilation improves occupants’ comfort, reduces the risk of mould growth and other moisturerelated problems, and so much more.

Energy consumption

According to sceptics, bringing in fresh air and conditioning it to the required temperature and humidity levels require a significant amount of energy, which can increase the overall energy consumption of the building.

While it is true that fresh air conditioning requires energy, modern HVAC systems with energy-recovery components recover energy from the exhaust air and pre-cool or preheat incoming fresh air. They effectively reduce overall cooling demands, significantly reducing energy consumption while providing fresh air ventilation. Innovative solutions, like enthalpy heat exchangers or sorption rotors, also ensure efficient humidity transfer and recovery. For example, depending on the city and conditions, it is possible to upgrade a unit with an energy efficiency rating of ‘C’ or ‘D’, according to Eurovent’s Summer Energy Efficiency Class Calculation, up to a rating of ‘A’ through only integrating a sorption rotor.

Do remember in this respect that in many buildings across the Middle East, cooling energy is not recovered but merely lost to the environment.

Air quality

As we know and experience everyday, outdoor air quality in the Middle East can be poor, especially in urban areas with high pollution levels. Some people claim that bringing in fresh air from

Saudi Arabia: The Courtyard by Marriott, Riyadh

outside would introduce pollutants and allergens into the building. Others state that since the region is prone to frequent dust and sandstorms, the climate will damage FAHU systems and their components, reducing their lifespan and increasing maintenance costs.

Let’s distinguish fact from fiction here. Outdoor air pollution only underlines the need for proper ventilation to ensure optimal IAQ. Remember, the main objectives of ventilation are to introduce fresh, clean air; reduce CO2 levels and to remove particles from outdoor air as well as indoor air to achieve a proper, clean and safe environment for all types of spaces.

Fresh air ventilation can help dilute and remove indoor pollutants, such as carbon dioxide, particulate matter (PM), volatile organic compounds (VOCs) and other contaminants, providing a healthier indoor environment for occupants. Exhausting polluted air outside and bringing in fresh, well-filtered air inside reduces CO2 to minimum levels.

Comfort and compliance

Multiple studies have shown that fresh air ventilation can improve occupant comfort and productivity. By providing a more comfortable and healthier indoor environment to spaces such as offices and schools, it is possible to ensure that people are more alert, focused and productive, which benefits the economy and society as a whole.

Lastly, some building codes and standards stipulate that a certain minimum amount of fresh air ventilation is to be provided in buildings. Using fresh air ventilation in Middle East spaces ensures compliance with these codes and standards.

IAQ-centric designs

The ventilation system must be designed with great care to achieve the required thermal and atmospheric indoor environment. An FAHU must be equipped with the necessary functions for air handling – such as high-level filtration, energy-recovery components, integrated controls – with the required capacity.

The air distribution system must be designed considering sound levels, air velocities and the air volume requirements in the respective rooms. If a clear focus on energy efficiency is

OMAN: MANDARIN ORIENTAL MUSCAT

Systemair delivers ecology units to the hotel to ensure the kitchen is able to maintain a clean and healthy indoor climate, in line with the establishment’s hospitality standards

The Shatti Al Qurum Hotel, also known as Mandarin Oriental Muscat, is a luxury development project, 20 minutes from Muscat International Airport. The main requirement was a ventilation system to help ensure the hygiene and cleanliness of the kitchens within the facilities. The customer highlighted the need to clean greasy and dirty kitchen exhaust air, including Electrostatic Precipitator, pre-filter, bag filter and carbon filter and the motor out of air stream ecology units.

Energy efficiency was also a key priority for the customer to ensure long-term sustainability of operations whilst remaining durable to meet the kitchen’s heavy use.

It was decided that the project shall be supplied with Electrostatic

maintained for all design aspects, a balanced, demand-controlled mechanical ventilation system with energy recovery will be the most efficient way of achieving an excellent indoor air climate.

It is also important to remember that the factors for “correct” design will also vary depending on:

• Building size, category and type,

• Occupancy,

• Indoor activities,

• Contamination sources and concentrations,

Precipitator, pre-filter, bag filter and UL-certified carbon filter. Fans with AMCA certification and 200 degrees C continuous operation would be the ideal solution to meet the project specification requirements.

The following model sizes were chosen:

• SYSECO 150,

• SYSECO 50, and

• SYSECO 30

The units, delivered with the support of Systemair’s Oman distributor, M/S. Light House Trading & Engineering Services LLC., IE2 models were delivered, as they met the client’s efficiency requirements. The units play a vital role in maintaining IAQ, which is crucial in environments where grease, smoke and odour particles, emitted from cooking, negatively affect human health and impact comfort conditions in homes, restaurants, hotels, and other sensitive hospitality and entertainment venues.

• Building location, and

• Climate

For ordinary comfort ventilation, the goal is to achieve an excellent thermal and atmospheric indoor environment with a “tolerable” percentage of dissatisfied occupants. People vary regarding temperature preferences, activity level and clothing. Therefore, achieving 100% satisfaction in any given thermal environment is impossible.

Oman: Mandarin Oriental Muscat

RIDING THE RETROFITTING WAVE

Demand for better pumps and hydronic systems in retrofit projects has increased in the GCC region due to changes in legislation relating to building efficiency

By Indu Revikumar, Features Writer, Climate Control Middle East

GANGAPRASAD GuruRaja

Rao, Director, Regional Sales Development for Commercial Building Services (India, Middle East, Africa), Grundfos, says that the water pump market size in the GCC region is approximately AED 4.5 billion, with the pumps market for hydronic systems catering to comfort cooling estimated to be around AED 2 billion. Rao adds that the Saudi Arabia market size for water pumps is estimated to be approximately AED 1.8 billion, while the UAE market is approximately AED 1.2 billion. These are big numbers and inspire confidence.

Touching on the market preferences in the GCC region, Prashanth BS Iyengar, Head, Business Development & Marketing, Middle East & GCC Region, FJ Group, says that there is a rise in demand for smart pumps and hydronic systems, particularly in the buildings sector. “The GCC region,” he says, “is increasingly interested in smart technologies and automation, to improve performance and reduce energy

use.” There is also a trend towards renewable energy sources, like solar power, and thus, an increase in demand for pumps and hydronic systems that are compatible with these technologies, he says. “It is also important to note that market preferences may vary due to local regulations, economic conditions and consumer demand,” he adds.

There has also been a rising demand for improved pumps and hydronic systems in HVAC retrofit projects in recent years, Iyengar says, adding that it can be attributed to several factors, including increasing concerns about energy efficiency, sustainability and cost-effectiveness. “Upgrading HVAC systems is a key solution to reduce energy consumption and operating costs,” he says. “Moreover, replacing inefficient pumps and hydronic systems with advanced models will result in substantial energy savings, reduce greenhouse gas emission as well as enhance the overall performance of the HVAC systems and sustainability.”

Kevin Laidler, Sales Director, Armstrong Fluid Technology, Middle East and Africa, also speaks about retrofitting opportunities aplenty. He highlights how Armstrong recently implemented a complete system retrofit for the Park Hyatt Hotel in Msheireb Downtown, in Doha, Qatar, among other retrofit projects.

Laidler says the demand for better pumps and hydronic systems in retrofit projects has increased in the GCC region due to changes in legislation regarding building efficiency. He says: “The UAE is, in fact, spearheading a retrofit movement to improve the energy performance of existing buildings and reduce carbon emissions. According to estimates, 30,000 buildings across Dubai will be retrofitted before the end of 2030, to achieve a 30% reduction in energy demand. The retrofits are predicted to save over USD 22.33 billion and reduce emissions by 1 million tCO2.” He also points out that retrofitting outdated pumps and hydronic systems has been flagged as

the most effective place to start on the path to decarbonisation, given that air conditioning accounts for a staggering 50-70% of energy demand in cities, and that the average pumping efficiency around the world is less than 40%.

And like Iyengar, Laidler speaks of a significant shift in customer values towards more advanced technologies, such as the Pump Manager, an AIbased active performance management software that uses advanced cloud analytics to modulate system output and enable remote monitoring capabilities. “This demand for advanced products is increasing as customers recognise the long-term cost savings of investing in energy-efficient technologies, despite a higher upfront investment,” he says.

Weighing in on the topic of advanced pumping technologies, Rao says customers in the GCC region are open to newer technologies with highvalue proposition.

By way of further emphasising on advanced technologies, Laidler says:

“One of the latest advancements in pumps and hydronic systems is the variable control technology that can be mounted onto the pump using Parallel Sensorless technology. This innovative technology will enable pumps to operate at optimal efficiency, reduce wear and tear and extend the motor life cycle, reduce total power consumption and save additional costs.” He adds that one of the main benefits of Parallel Sensorless technology for local projects is the appropriate handling of redundancy.

For his part, Rao says distributed pumping technology is a paradigm shift in the hydronic systems, which can make the system up to 30% more efficient than the conventional variable primary systems.

Another advancement, he says, is the IE5 permanent magnet motor, which is approximately 10% more efficient than the IE3 motor. He adds, “These innovations make the buildings efficient by having high pumping performance, which further helps the countries to have

Gangaprasad GuruRaja Rao

Kevin Laidler

Prashanth BS Iyengar

MARKET FEATURE

Pumps and hydronic systems

The impact of the pandemic

The ongoing construction boom in Saudi Arabia, Kevin Laidler says, has been enhancing the growth of business opportunities in the GCC region. Laidler is Sales Director, Armstrong Fluid Technology, Middle East and Africa. He says the total value of real estate projects, planned or under construction, in Saudi Arabia is estimated to be USD 877 billion. Laidler also points out that business opportunities are driven by the increasing focus on energy efficiency in the GCC region, especially in line with national development plans, such as Saudi Vision 2030 or the UAE Energy Strategy 2050. Additionally, GuruRaja Rao, Director, Regional Sales Development for Commercial Building Services (India, Middle East, Africa), Grundfos, highlights that the change in focus towards non-oil sectors, such as tourism, also contribute to the rise in business opportunities in the GCC region.

Expanding on the business opportunities in the GCC region, Iyengar points out that there are indications of economic activity and business opportunities picking up, as the companies adapt to the new reality created by the pandemic. He says: “Some of the changes to note include the development of new products and services, moving operations online, development of local manufacturing and distribution channels, and restructuring of supply chains to mitigate market disruptions or to enter a new market. The pandemic has taught us the significance of agility and resilience in businesses, and companies that adapt to unique circumstances and seize opportunities are poised to succeed in the postpandemic era.”

Prashanth BS Iyengar, Head, Business Development & Marketing, Middle East & GCC Region, FJ Group, adds that the pandemic has also brought significant changes in customer behaviour and product demands. For instance, he says, while there is an increase in demand for specific pump types used in medical equipment or water treatment facilities, there is a decline in demand for specific products in the oil & gas industry.

“The pandemic has also accelerated the adoption of digital and remote monitoring technologies for pumps, as companies sought ways to manage their operations remotely and reduce on-site visits,” he says. He also highlights that it has become essential for companies to highlight the value of their products or services, beyond the cost, to build stronger customer relationships and differentiate from competitors.

Rao says, “We have been seeing a rise in the number of customers who focus on ESG compliance along with energyefficient buildings.” He also notes that remote working and increased demand for digital solutions are also making the life of facility management professionals more comfortable, as they now get to operate pumps and hydronic systems remotely using a mobile application.

Laidler offers a different perspective on customer behaviour and points out North America’s and Europe’s influence on the local shift in customer behaviour. He says that these two regions, being the first to implement strategies for energy reduction and smart consumption, benefit heavily from them, and inspire countries in the Middle East and Africa to follow suit. He also highlights the importance of educating key stakeholders about the latest technologies.

In the GCC region, the pandemic significantly impacted the demand for advanced pumps and hydronic systems solutions, Iyengar notes, mainly because people started to spend more time indoors. He points out that as a response, many HVAC pump companies began to develop and promote products that reduce the risk of transmission of disease, including adopting contactless technology solutions such as touchless controls, remote monitoring systems, and online maintenance and support services. “The pandemic’s economic uncertainty,” he adds, “has also led to a shift towards energy-efficient HVAC pump solutions in the GCC, with companies developing and promoting high-efficiency pumps, variable speed drives, and energy management systems to reduce energy consumption and costs.”

smaller carbon footprints, become more sustainable and be one step closer to their net-zero goals.”

Additionally, Rao says; “Tier A projects in the GCC region demand highly efficient, digital, smart, and reliable products, but there are also projects that still go by initial investment rather than running cost, and that is where we at Grundfos work with designers and clients to educate them with the latest technologies. The idea is to make them focus on OpEx and IRR or ROI rather than CapEx.”

The consensus is that performance matters a lot, which means it makes sense to focus on OpEx. Iyengar highlights two common issues that impact pump performance, namely coupling and flange failure, which occur due to improper maintenance, misalignment, cracks, corrosion, improper lubrication, incorrect torque and excessive vibration. “HVAC pumps, which are crucial to HVAC systems, may encounter several maintenance issues in the circuit that include clogged or dirty filters, leaks, electrical issues and bearing failures,” he says. “These will, in turn, lead to increased energy consumption and reduced efficiency.”

Iyengar highlights the importance of following the manufacturer’s maintenance recommendations and of ensuring proper installation by qualified professionals to prevent breakdowns and to prolong the lifespan of HVAC pumps.

A well-designed, installed and maintained pumping system, Rao says, will have longevity and avoid costly breakdowns. He points out that some of the reasons for premature failures, such as poor design, oversized pumping systems and incorrect commissioning, often fail components. “Therefore, it is advisable to select a pump that operates near its Best Efficiency Point (BEP),” he says. “And installation and commissioning should be done by the authorised service provider to avoid such issues and prolong the life of the equipment.” He also adds that, following a maintenance schedule, per the manufacturer’s installation and operation manual, would ensure the smooth functioning of the pumping system.

Business opportunities in the post-pandemic market landscape seems promising

THE DALKIA BRAND… 85 YEARS OF TRUST

The Dalkia mission is to help clients reduce energy, improve environmental performance and realise positive business outcomes, says Steve Lemoine, CEO Middle East, Dalkia EDF Group

COULD YOU ELABORATE ON DALKIA AND ITS ACTIVITIES IN THE REGION?

Steve Lemoine: Since its founding in France, in 1937, Dalkia has always focused on delivering efficient and effective solutions and services for its clients. It all started when Dalkia’s founders mobilised to assist a local hospital by stepping in to run its failed critical boiler operation. It was the market’s first ever energy-performance contract. And 85 years later, Dalkia continues with this approach. Today, Dalkia has a team of 20,000 professionals. It is a USD 6 billion, multi-faceted energy services business, working under the umbrella of energy utility giant, EDF.

In a changing global energy landscape, Dalkia, with its comprehensive approach, is a trusted energy services expert. Dalkia helps clients reduce energy, improve environmental performance and realise positive business outcomes. Dalkia is a team of energy professionals engaged in customising the strategies and technologies to be implemented and operated, as well as in proposing financing options to reduce or eliminate upfront capital expenditure for clients.

EDF and Dalkia are present in five

continents and have a strong presence in almost all the GCC region countries. In the Middle East region, Dalkia is supporting clients through two key activities: Energy performance contracts, and operation and maintenance (O&M) of technical equipment, with a strong focus on, and expertise in, chillers and District Cooling networks. Dalkia, and the mother group, are willing to invest more with partners in these activities, finance more District Cooling networks and to acquire expert local companies.

The common goal is to increase the use of renewables and locally available sources of energy as well as to develop energy-saving solutions. To decarbonise the energy mix and propose innovative solutions, EDF and Dalkia are relying on a strong in-house R&D department, adding more and more digital features to the services.

YOU SPEAK OF DECARBONISATION. WHAT SPECIFICALLY ARE YOU DOING AS EDF AND AS DALKIA TO ACCELERATE THE DECARBONISATION DRIVE AND TO HELP COUNTRIES REACH THEIR NET-ZERO TARGETS?

Lemoine: Wherever EDF Group

operates, the objective is to invent a decarbonised energy model to address climate change-related challenges, including the need to lower the emission of carbon, increase efficiency, and to lessen the negative impact on the environment and on people.

As a multinational integrated utility, EDF Group is active in the whole energy value chain – from generation to transmission and distribution to endusers. EDF Group is a global, integrated energy company. It is one of the world’s largest electricity producers, especially in the field of renewable energy. With 140 GW of generation capacity across 30 countries – where 90% of this electricity is free from carbon emissions – EDF generates, transports, distributes and sells electricity to nearly 40 million customers, worldwide.

With an active presence in the Middle East for over 25 years, EDF Group is helping the region in meeting its net-zero targets by diversifying the energy mix and reducing carbon emissions. Relatively recently, EDF Group has developed iconic projects that are contributing to achieve these targets. To name a few, Dumat al Jandal (400MW) is the largest and most powerful wind farm in the region; and Al

Dhafra Solar Park (2,100MWp), in Abu Dhabi, is the biggest single-site solar park in the world. And then, there is the one-of-a-kind submarine HVDC cable that EDF Group is installing with the aim of decarbonising offshore platforms in Abu Dhabi.

Dalkia is capitalising on the EDF success story and expanding its activities locally by accelerating the decarbonisation of cities and buildings. Dalkia is proposing integrated solutions to decarbonise District Heating and District Cooling energy networks by using local solar installations, energy-recovery solutions, geothermal energy and sea water-based energy solutions.

With 400 experts in the Middle East, Dalkia is also contributing to the sustainability targets in the region by tackling demand side management. Dalkia’s energy-performance solutions can generate up to 40% savings through combining energy audits, implementation of energy efficiency measures and realtime monitoring of site performance.

Dalkia is also very proud of being the leader of a consortium that has been awarded the construction and operation of the District Cooling network of the Mohammed Bin Salman Non-Profit City, in Riyadh, Saudi Arabia.

WHAT DIFFERENTIATES DALKIA FROM OTHER PLAYERS?

Lemoine: EDF Group invests nearly €660 million a year in R&D activities. The vastness of the initiative includes 2,000 researchers and nine R&D labs, worldwide. Such a large financial commitment is resulting in an opulence of innovations, which EDF Group is then able to use for its projects and propose to its clients. The innovations include more and more digital components, relating to Artificial Intelligence (AI), Machine Learning (ML) and interoperability, among other areas. Two main missions are driving the EDF Group’s researchers: Improving the performance of today’s activities and preparing for the future by working on break-up.

The Dalkia innovation department, which is actively working with EDF Group’s R&D set-up, is the backbone of Dalkia. It allows the Group to tailor its

DALKIA, AS A GLOBAL ENERGY COMPANY, PROMOTES LESS AND BETTER CONSUMPTION TO BOOST NETZERO INITIATIVES

Steve Lemoine

ADVERTORIAL

solutions, to innovate on a local level, and to guarantee a competitive and more efficient service. For example, Dalkia has developed dedicated tools for its heating and cooling energy networks. This approach helps to better forecast and satisfy clients’ energy needs. The AI tools serve to optimise District Cooling equipment, to generate savings and to increase the lifetime of the equipment.

YOUR REFERENCE TO AI SEEMS TO INDICATES THAT DIGITAL SOLUTIONS ARE AT THE HEART OF THE R&D FOCUS AND ARE AT THE CORE OF WHAT YOU ARE OFFERING TO CLIENTS. HOW DOES DIGITALISATION HELP IN CONTROLLING CLIMATE CHANGE?

Lemoine: Digitalisation and innovation are no longer options but are indispensable to the fight against climate change. And clients, in turn, are clearly looking for more and more digitalisation services.

Climate change mitigation and energy transition are part of EDF Group’s purpose to build a net-zero-energy

future with electricity and innovative solutions and services, to help save the planet and to drive wellbeing and economic development.

For Dalkia, addressing climate change is based on two levers: Energy efficiency and energy decarbonisation. Digital technology and its applications are key factors for improving energy efficiency. Dalkia’s digital solutions –software, platforms, applications and digital processes – are offering clients an innovative way to reduce their consumption and to decarbonise their assets. In line with EDF’s raison d’être, Dalkia implements innovative digital services, adapted to different players and at different scales, coordinated and consistent with its “CAP2030” strategy to become carbon-neutral.

Clients are at the centre of Dalkia’s services. For answering their needs in real-time information and reporting, Dalkia has created the Dalkia Energy Services Centre (DESC).

The DESC is a platform combining human expertise, methods and digital advanced tools. The first DESC was

established in Europe 10 years ago. It was designed as an energy-monitoring tool for buildings and for District Heating and District Cooling networks. It aims to reduce the lifecycle cost of equipment – thus optimising activities and reducing associated energy and maintenance costs.

The digital platform was built using different digital tools and through relying on the expertise of in-house engineers. To support the ambitious energy-transition programmes driven by the countries of the GCC region, Dalkia Middle East launched its first DESC in the region a few years ago. Designed as a tool integrating new digital innovations, the Middle East DESC also integrates 3D models – or digital twins – of District Cooling networks with the objective of conducting maintenance, including preventive maintenance.

The DESC helps Dalkia technicians, operators and engineers to reach higher efficiency in the day-to-day activities with the aim of providing the best services to clients. Dalkia is eager to multiply the implementation of this tool within the operations side of the clients’ setup.

MANAGEMENT IN REAL ESTATE:

SHORT-TERM

REGISTRATIONS OPEN! For registration, contact: Doveine Panii +44 20 3966 3910 +91 97 3949 2047

After the grand success of the inaugural Executive Course, registrations are now open for intake for the 2nd Batch of the unique online course.

INDIA HVACR… TURBO-DRIVE? ON

Urbanisation, growing demand for comfort cooling and affordability are driving the HVACR growth story in India. And today, the world seems to want a slice of the lucrative India pie, says Indu Revikumar, Features Writer, Climate Control Middle East

(with inputs from Surendar Balakrishnan, Editor, Climate Control Middle East)

ONE OF the important highlights of the market research report, HVAC Market - Global Outlook & Forecast 2023-2028, is the finding that the major economies in the Asia-Pacific region – namely India, China and Japan – witnessed an increase in commercial construction activities arising out of an influx of foreign companies in multiple sectors. Their coming in has meant setting up of their offices in the three countries with a view to capturing the potential customer base.

Interestingly, the participation of global HVACR companies in the 22nd edition of ACREX, one of the largest HVACR exhibitions in the world, clearly reflects the enormous potential of the HVACR sector in India. Indeed, the country is becoming an attractive destination for organisations interested in investing in the HVACR sector in India. ACREX, organised by the Indian Society of Heating, Refrigerating, and Air Conditioning Engineers (ISHRAE), in collaboration with Informa Markets, ran from March 14 to 16 in Mumbai, in the western Indian state of Maharashtra.

Simultaneously, India is flush with manufacturing units engaged in producing equipment or components. The reported consistency of their quality is as much a magnet for foreign HVACR organisations.

Perhaps reading the global sentiment for investment, and for procuring components and equipment, ISHRAE earlier in the year opened a sub-chapter in the UAE. Come ACREX time, and the President of the sub-chapter, Moan Abraham, led a delegation of HVACR companies from the UAE to Mumbai. Ramachandran Pillai, Regional Product Manager – Airside, Daikin Middle East and Africa, was one of the members of the delegation. Speaking to Climate Control Middle East at the exhibition, Pillai said he travelled to Mumbai to identify component suppliers for Daikin’s air-handling unit (AHU) manufacturing bases in the UAE and Saudi Arabia Sourcing from India brings cost advantages and lead-time advantages,

India COUNTRY REPORT

Pillai added. “We have been observing the emergence of numerous small companies that produce high-quality products, and our interest in looking for component suppliers in India, stems from this fact,” he said. Equally interesting is the diversity of products available in India. Pillai said he was happy to discover a company that produces UV lamps, which he said would be a perfect fit for its specialised AHUs. Similarly, he said, he discovered manufacturers of large motors. “And one of the advantages this brings is that we can treat the motor as a ‘just in time’ item, and we do not need to keep stock of motors, because their lead time is as low as two weeks,” he said.

S P Sarangan, General Manager, Trosten Industries, was another member of the delegation from the UAE. He said he travelled to India to stay updated on the latest technologies available in the Indian market. “And secondly, we are looking to expand our product portfolio, and we have specific products in mind, such as indirect evaporative cooling,” Sarangan said.

Elaborating, Sarangan said Trosten is in the process of developing a refrigeration system to launch by the end of the year in the UAE and Saudi Arabia. “We are actively searching for suppliers in the UAE and Saudi Arabia, as components sourced regionally seem to have wider acceptance,” he said. However, we will source from the Indian market, if it is cost-effective.” Sarangan said that for a high-value component, like a compressor, Trosten would first choose to procure from markets it has traditionally bought from. But in instances where customers are not particular about the origin-country, Trosten would turn to India for the key component.

N S Chandrasekhar, President, ISHRAE, is pleased with the intense global gaze of the HVACR sector in India. He said that the India HVACR story is about addressing the rapidly shifting requirements of the consumers in the country. He said that HVACR is a demand-driven industry and that it is evolving in terms of making sure the needs of Indian consumers for sustainable and healthy buildings are

met. The billion-plus population in India, he said, combined with increasing affordability of air conditioning, rising urbanisation and the impact of heat islands, has created a high demand for air conditioning. “People have disposable income and are willing to spend it on air conditioning to combat the heat,” he said. “Therefore, the demand for air conditioning is expected to continue to grow.” This, he added, has created a strong manufacturing base in the country and fostered lucrative opportunities for business growth.

It is little wonder, then, that many countries with large manufacturing bases are interested in setting up factories in India. “The availability of skilled labour at a nominal cost; cost of living, which is not extremely high, except in the case of a few urban centres; and the high quality of products made in India, are among the benefits of manufacturing in India,” he said. Furthermore, a compelling reason for setting up manufacturing units in India is the one-time cost of setting up a factory, with recurring expenses, in the forms of shipping and logistics, available at a low cost, he said.

And there is more to the India story. “The abundance of raw materials makes India an attractive destination for many foreign manufacturers to set up operations,” he said. “India can supply materials quickly, affordably and at a high level of quality that is on par with other countries. As a result, businesses are likely to choose India as their manufacturing location when all necessary materials and resources are readily available.”

Pillai, agreeing with Chandrasekhar, said one of the most significant advantages of sourcing from India is the reduction in costs. “For instance, the cost of the motor will get reduced by 8-10% if the component is supplied from India compared to Turkey or Europe,” he said. “It also leads to reduction in logistics cost.” He also noted that the regulations implemented by the government of India, including the relaxation in customs duty, which in turn reduced the trade barriers, is also increasing the attractiveness of the HVACR industry in India.

N S Chandrasekhar

Ramachandran Pillai

S P Sarangan

HOSPITALITY TECH TITANS

A CLIMATE CONTROL MIDDLE EAST SPECIAL SUPPLEMENT

Profiles of excellence in hospitality engineering

HOSPITALITY TECH TITANS

THEME-SPIRIT

EDITOR’S NOTE

Dear Readers:

We are delighted to present to you the inaugural issue of Hospitality Tech Titans , which profiles the engineering expertise – including MEP – enriching the hospitality sector in the Middle East and North Africa region. The personalities that feature in this Special Supplement embody diverse experiences, leadership skills, sophisticated thinking, engineering nous and pioneering mindset, evident from their work, achievements and accolades gathered in the hospitality sector. They have earned renown for fostering teamwork and willingness to understand cutting-edge technologies. They have been instrumental in lowering the emission of greenhouse gases, managing water resources and reducing the total cost of ownership (TCO) in their respective work spheres. Theirs is a commendable body of work, involving preopenings, renovations and expansions.

We are delighted to present the champions of the hospitality engineering sector, the captains of hospitality tech leadership. Do take some time out to read about their body of work, relevant at a time when the UAE prepares to play host to COP28 and at a time when the GCC region countries are working tirelessly to achieve the objectives of their vision statements, inherent in them being economic growth coupled with lowering of emissions.

Surendar Balakrishnan, Editor, Climate Control Middle East

The personalities featured in this supplement are members of THEME (The Hospitality Engineers Middle East), which, in the words of THEME, is the first and only dedicated networking platform for hospitality engineers in the Middle East.

MOHAMED ABDELWAHAB

Mohamed Abdelwahab is Area Director of Engineering in the Middle East for Minor Hotels, which operates a diverse portfolio of hotels, resorts and serviced suites across the region under several brands,

including Anantara Hotels, Resorts and Spas; Avani Hotels and Resorts; Tivoli Hotels & Resorts; Oaks Hotels, Resorts & Suites; NH Hotel Group; and The Elewana Collection

With a proven track record of excellence in hotel engineering, Abdelwahab’s career spans more than 30 years since his graduation from Cairo University, Egypt, with a BSc in Mechanical Engineering. Prior to joining Minor, he managed various large-scale projects in the Middle East and Africa whilst working for Le Meridien, Starwood, Oberoi and Millennium.

A highly skilled and experienced professional, Abdelwahab demonstrates strong leadership and management skills, leading by example in overseeing special projects, proactive maintenance and repair works for all of Minor’s properties in the Middle East.

Abdelwahab has played a key role in implementing sustainability efforts across the organisation’s multiple hotels in the Middle East, through reducing the consumption

impressive niche in the realms of hospitality engineering operations and maintenance, and facility-project management. In a storied career, he has contributed to the inauguration of global five-star hotels and resorts. His professional journey has spanned the Asia Pacific and has seen him travel to India, the Philippines, Indonesia, Malaysia, Thailand, Maldives, Macau SAR and China. He has worked with distinction at Mandarin Oriental Hotel Group, Four Seasons Hotels and Resorts, Solaire Resort & Casino Manila, and at STDM Hotels and Investment Limited.

GOUSE AM

Gouse AM is Senior Director of Engineering at Jumeirah Marsa Al Arab, Dubai, where he skillfully navigates the pre-opening complexities of the ultra-luxurious mixeduse development that includes a hotel, residences, a marina and quay villas, all spread over a staggering three million square feet of premium real estate.

AM has over two decades of exemplary senior management experience and leadership prowess. He has carved out an

His tenure with STDM, in Macau SAR, saw him handle the twin roles of Regional Director of Property Management and Consultant of Technical Projects. Whilst there, he meticulously orchestrated regional property and facilities management, pre-opening, commissioning and project management, and setting up Group Hospitality Assets in the Greater Bay Area of China and Macau SAR.

At Solaire, AM held the esteemed position of Vice President - Engineering & Facilities Management. The establishment – an integrated, mixed-use development,

of single-use plastic and the emission of greenhouse gases, and through aiming for a net-zero goal.

Amongst the many awards and honours he has received during the course of his career, Abdelwahab is particularly proud of the Minor Hotel Group ‘Award of Excellence’, which he won in 2016 and in 2018. He is also a recipient of the Minor Hotel Group ‘Outstanding Sustainability Award’, in 2017. Additionally, he earned recognition for ‘Best Waste Reduction Initiatives’ from Dubai Municipality. And relatively recently – in 2019, to be specific – he was a key contributor in the Anantara the Palm Dubai Resort receiving the ‘Dubai Sustainable Tourism Award’ from the Department of Tourism and Commerce Marketing (DTCM).

He says his mantra for success in life is, “Perfection is achieved, not when there is nothing more to add, but when there is nothing left to take away.”

spanning six million square feet, and a market leader in the Philippines –comprises a Forbes 5-Star Hotel, a worldclass casino, Michelin-starred F&B outlets, BPO, function rooms and luxury retail stores.

AM’s expertise in managing multifaceted establishments was further cemented during his role as Director of Engineering – Hotel & Residences at Four Seasons Hotel Macao, at the Cotai Strip ® , a mixed-use integrated development, consisting of a luxury hotel, residences, luxury shopping mall, world-class casino, F&B outlets, banquet/function rooms and recreational facilities.

His earlier stints include significant roles at the Mandarin Oriental Hotel Group and Four Seasons Hotels and Resorts, and The Leela Palace Goa - India, where he began his illustrious journey.

AM is an alumnus of Cornell University - School of Hotel Administration, in the United States, where he procured advanced certification in ‘Strategic Hospitality Management’ and certification in ‘Hotel Real Estate Investments and Asset Management’. He also holds an MBA from the University of South Australia.

HOSPITALITY TECH TITANS

VIGNESH BALASUBRAMANIAN

Vignesh Balasubramanian is Area Director of Engineering, Marriott International, UAE. In this capacity, he oversees the engineering operations of more than 65 hotels in the UAE, creating policies and procedures in sync with market requirements and fostering collaboration for improved efficiencies.

Prior, he served as the Multi-Property Director of Engineering at The Abu Dhabi EDITION, Marriott Downtown Hotel & Marriott Executive Apartments, where he remarkably reduced the R&M cost and energy consumption, and played an integral role in achieving ISO 14001 certification. Whilst there, Balasubramanian also restructured human resources across three properties for maximum efficiency.

He similarly achieved significant reduction in energy and water consumption and also improvement in guest and employee satisfaction scores whilst serving earlier roles as Director of Engineering at Renaissance Downtown Hotel, Dubai; The Ritz Carlton Hotel Company, Jakarta; and

This dual-tower project is connected by the world’s longest cantilever, floating 100 metres above the ground.

Bhardwaj has had a prolific career, spanning more than two decades. Prior to his current role, he was associated with several prestigious hospitality brands, including  SLS Dubai Hotel & Residences ,  Millennium Hotels and Resorts ,  IHG Hotels & Resorts and the  Oberoi Hotels & Resorts . His engineering acumen was evident in his role as Director Operations Technical at SLS, where he was instrumental in the pre-opening phase of the luxurious lifestyle hotel at Business Bay.

Renaissance Johor Bahru, Malaysia.

At the beginning of his career, he worked with the Indian Hotels Company Ltd., Mumbai, India, and exhibited exceptional capabilities in reducing energy and diesel consumption, saving significant costs and enhancing employee satisfaction.

Balasubramanian, who holds a BE (Bachelor of Engineering) in Electronics & Instrumentation from Valliammai Engineering College, in Chennai, India, is known for transforming engineering processes, creating cost-effective operations and driving sustainable engineering methodologies.

His key skills are a testament to his multifaceted capabilities. His proficiency in environmental health and safety, security planning and policy formulation has been instrumental in fostering a safe and secure environment in all his professional engagements. His knack for energy saving, cost management & budgeting, and Facility Management has ensured optimised resources utilisation and sustainable growth.

Bhardwaj has a commendable knack for identifying risks, deficiencies and opportunities at the forefront, and optimising engineering PMS to support cost management and drive sustainable programmes.

His achievements include 20+ preopenings with different brands, different levels of renovations, and restoration and refurbishment of high-end hotel projects.

RANJEET BHARDWAJ

Ranjeet Bhardwaj is Director of Engineering at the pre-opening of One & Only One Za’abeel, Dubai. He is also the Co-Founder of THEME (The Hospitality Engineers Middle East).

In his role as Director of Engineering, he is overseeing one of the world’s most iconic vertical ultra-luxury urban resorts.

An MTech in Mechanical Engineering, his impressive track record is characterised by his strategic and tactical management decisions, astute engineering strategy and exceptional people management skills. His leadership capabilities shine through in his ability to lead productive, cross-functional teams across various geographic locations, inspiring and motivating individuals to deliver outstanding results.

Bhardwaj’s commitment to sustainability is noteworthy, with his efforts towards reducing energy costs and consumption year-on-year in hotels in India and the UAE. He has also played a key role in certifying hotels under Green Engage, underlining his dedication to sustainable and environmentally friendly practices.

In addition to his technical and management prowess, Bhardwaj has been a respected mentor and coach for his subordinates, empowering engineering divisions to streamline processes and implement various energy conservation plans.

RAJEEV CHOPRA

Rajeev Chopra is Area Director of Engineering at Rotana Hotel Management Corporation. In this role, he has been instrumental in steering the engineering operations, refurbishments and renovations across a portfolio of over 70 hotels. His responsibilities extend to coordinating with consultants, project managers, and owners; opening new hotels

ANDREA BUSATO

Andrea Busato  is the Regional Director of Engineering at Four Seasons Hotels and Resorts, a role in which he oversees the Middle East, Africa and the Indian Ocean, spearheading major projects and hotel revitalisations.

Busato is a consummate professional, with an illustrious career spanning over three decades. Over the years, he has established himself as a formidable force in the realms of engineering, hospitality and cruise line industries. A graduate of the esteemed Technical Nautical Institute of Sebastiano Venier, Busato has earned a plethora of qualifications, including an International License of Captain of Engineering, and executive leadership programmes from Oxford and Cornell.

Embarking on his professional journey in 1989, Busato has held an array of distinguished positions, showcasing his expertise in technical, safety and operational aspects of luxury hotels, cruises and public transport systems. A multifaceted individual, his vast experience

in all regions; and ensuring their respective engineering systems are in top shape.

A mechanical engineer, with special emphasis on air conditioning and refrigeration, Chopra, to date, has successfully spearheaded the launch and renovation of more than 25 hotels. He began his career as a Project Engineer at Utility Engineers, followed by a stint at Voltas Limited. What followed after that defined his career. Fresh out of Voltas, he joined as E&M Manager at ITDC – launching a threedecade-long career in the hospitality sector. He would go on to work at a myriad of luxury hotel brands, including Oberoi Hotels & Resorts, Park Hotels, Sky Chef Flight Kitchen, Starwood Hotels and Hilton Hotels Worldwide, before joining the Rotana Group.

Chopra played a significant role in the opening of the flagship property of the Rotana hotel chain, in Abu Dhabi, which included managing a team of 70 engineers. Since then, his work ethic and leadership have defined the engineering excellence on display at all Rotana properties. His meticulous

encompasses various engineering roles, including Director of Engineering for Four Seasons Florence, Hilton Molino Stucky Venezia, and Royal Caribbean International. With a keen eye for detail and a penchant for problem-solving, he has also demonstrated his prowess as a Facilities Manager and Inspector in shipyards, supervising the construction and maintenance of state-of-the-art cruise ships.

Busato is an ardent advocate of continuous learning. Donning the hat of a teacher, he gives training in leadership and in human behavioural studies. He also teaches communication and problem-solving courses. His unwavering commitment to excellence and insatiable thirst for knowledge have cemented his status as an industry stalwart.

Outside of his professional endeavours, Busato keenly participates in indoor and outdoor sports. He counts amongst his hobbies military self-defense training, fitness, reading and travelling.

attention to detail in conducting technical audits and his kind counsel as a mentor of more than 20 engineers are standout features of his career. His excellence has been recognised on numerous occasions, with awards such as the Hotelier Middle East Engineers Award in 2004 and 2013, and the Hozpitality Engineers Award in 2015. In addition, Chopra has been conferred upon with certifications in Energy Management and Carbon Management by the Energy Institute, in the United Kingdom, reflecting his commitment to sustainable practices.

His career trajectory has seen him work across borders, from New Delhi to Kuwait City, taking on roles from Chief Engineer to Director of Engineering. Chopra’s career is a shining example of professional evolution and a testament to his unwavering dedication to the field of engineering in the hospitality industry. His profound knowledge, invaluable experience and indefatigable spirit mark him as a true luminary in the field, carving out a legacy that continues to inspire the next generation of engineers.

HOSPITALITY TECH TITANS

AHMED ELKIKI

Ahmed ElKiki is Vice President, Technical Services (MEA) of  Millennium Hotels and Resorts MEA

In a career spanning over 20 years, ElKiki has worked with renowned operators, owners, developers and advisors, including IHG, Hyatt, Sun International, Mövenpick Hotels & Resorts, Millennium, Accor and Kempinski. His expertise spans hotel operations, corporate roles, project direction and advisory services.

What truly sets him apart is his exceptional leadership skills and genuine care for his team members, fostering a collaborative and supportive work environment that encourages growth and success. He has a unique ability to unite his team around a common goal, driving projects to completion with dedication and enthusiasm.

ElKiki has successfully managed nine pre-openings, one rebranding with operators, two new-builds, 35

JAMEY FORD

Jamey Ford is Global Director of Engineering and Asset Management at  Kerzner International , the owner and operator of four distinctive brands – the iconic  Atlantis Resorts  and Residences, the ultra-luxury  One & Only Resorts ,  Rare Finds Hotels & Resorts  and the forthcoming  SIRO Hotels

Ford leads Asset and Facilities Management and Engineering portfolios for the organisation across its existing collection of award-winning, globally renowned resorts. He spearheads the development and implementation of MEP works, with the scope of responsibility including standards, design and construction, new property openings and operations, ensuring the highest level of performance.

He drives continuous innovation to fulfil the organisation’s core vision of creating Amazing Experiences and Everlasting Memories for each and every guest.

An engineering expert with over 30 years of international experience, Ford has

refurbishment projects and one rebranding with developers and advisors. He has also conducted design reviews to achieve operational and sustainable efficiency. His outstanding financial knowledge and extensive expertise in design and construction contracting, particularly with FIDIC forms of contracts, sets him apart in the industry.

As a dedicated advocate for sustainability, ElKiki participated in the advisory board of the first RAK Energy Summit and was a member of the Sustainability Regulations Committee of Ras Al Khaimah to establish the Emirate’s sustainability regulations (Barjeel).

ElKiki’s experience expands beyond hotels to adventure tourism, a field in which he oversaw the construction of the Jais Sledder and Bear Grylls Explorers Camp. His diverse skill set makes him a valuable resource for any organisation in the hospitality and tourism sectors.

worked for various global hotel operators, including Intercontinental and Crowne Plaza.

In his time at Kerzner International, Ford has been the champion of the organisation’s Global Sustainability Programme, implementing the EarthCheck programme at every resort within the portfolio, whilst driving performance and raising awareness. The EarthCheck Sustainable Destinations programme is a global, third-party initiative that assures travellers that certified destinations are backed by a strong, wellmanaged commitment to sustainable development.

Ford employs and grows all the brand engineers across the globe and ensures transparent collaboration and an honest platform to thrive. In his view, it’s all about the relationships.

Ford has a passion for fitness and sports, as travelling is certainly a major part of the role and being able to train in some of the most iconic global destinations is always a bonus.

Samer Ibdah is Director of Engineering at InterContinental Jeddah, Saudi Arabia.

Ibdah, a seasoned hospitality expert with over two decades of experience, has a strong background in operations, development and engineering management, coupled with exceptional leadership skills and an

eye for detail. He is a dedicated hotelier with expertise in Budgeting and Operations Management, Facility Management, Building Services Design, MEP, Fire Life Safety, Project Management, Energy Management, Negotiation, Food & Beverage, and Kitchen and Laundry.

Ibdah, who has a bachelor’s degree in Mechanical Engineering from Jordan University of Science & Technology, has worked in several hotels across six different cities. He played a pivotal role in opening five IHG hotels and successfully managed significant renovation projects, including complete hotel and guest room renovations, the construction of a new meeting centre and public restrooms, and the alteration and conversion of hotel chillers and chilled water systems.

Ibdah is passionate about achieving ecofriendly and sustainable hotel operations. He has effectively fostered collaboration to support this objective and remained steadfast in his pursuit of one of hospitality’s most critical goals – sustainability. Additionally, he

Riyadh (IHG Group), thus firmly embarking on a career in the hospitality sector. He started out as a Junior Engineer and performed in 11 job positions before rising to the level of Director, in his current assignment.

was appointed to lead the sustainability work stream for all IHG hotels in Saudi Arabia and Bahrain. IHG’s performance target was to keep its 2022 carbon footprint below 2019 levels, and Ibdah worked with Hotel Operations and Engineering teams to help hotels resume their utility and sustainability plans. His efforts resulted in a 21% reduction, year on year, making the Saudi Arabia region a leader amongst other IHG regions.

Ibdah has created and participated in numerous technical and networking hospitality events in the Middle East and Europe. He is a member of several technical groups and actively engages with more than 30,000 followers on LinkedIn, where he shares and exchanges his knowledge.

Ibdah is a highly decorated professional who has received several prestigious awards, such as the IMEA Hotelier Award (‘Hotel Engineer of the Year’ category) in 2021 and the IHG Impact Award (‘IMEA Hotel Engineer of the Year’ category) in 2021 for his remarkable support to Saudi Arabia hotels.

VIJI KUNJACHAN

Viji Kunjachan is Area Director of Engineering & Projects Manager, InterContinental Muscat, in the Sultanate of Oman.

A seasoned professional with 32 years of experience in the hospitality sector, he started his career in 1991 with the Ambassador Hotel, India. He subsequently worked with the Military Engineering Service in the Indian Navy. In 1994, he joined the Ministry of Defense & Aviation in Saudi Arabia.

In 1998, he joined the InterContinental Hotel

As Area Director of Engineering, Kunjachan is tasked with looking after nine properties, consisting of five IHG brands, in Oman. As part of his remit, in 2021, he initiated and installed a drinking water plant unit in Crowne Plaza OCEC & InterContinental Muscat to eliminate plastic bottles, as part of a plastic elimination drive. As a result of his exertions, the IHG Group has been able to eliminate 770,000 plastic bottles per year in Oman. His achievement attracted attention –today, many different hotel groups in Oman are seeking his advice and expertise.

Kunjachan has taken many initiatives to eliminate single-use plastic. He has also taken an initiative to install EV units (Electrical Vehicle charging centres) at seven IHG hotels in Oman, as part of a green commitment to reduce the carbon footprint and lower global warming.

Over the years, Kunjachan has received various awards and recognitions, including a special appreciation from the White House and the United States Secret Service for his outstanding involvement in the US President’s

visits to Saudi Arabia, during which he stayed at IHG hotels. He has also won the IHG Regional Award, called ‘IMEA Risk Management in Safety Excellence’. He was shortlisted in the ‘Engineer of the Year’ category in the Hotelier Middle East Awards in the years 2014, 2016 and 2017. He was also shortlisted in the ‘Engineering’ category in the Hozpitality Excellence Award in the years 2017 and 2020. He eventually won the ‘Engineer of the Year’ award in the 2022 edition of the Hotelier Middle East Awards.

Kunjachan received various appreciation certificates from ‘Dubai Green Tourism’ for green activities and the waste management programme at IHG Hotels in Dubai.

Since 1998, Kunjachan has enjoyed a strong growth path with IHG. He has worked in five countries and 12 properties. With the passing of the years, his expertise and commitment to his field has simply become stronger – he has achieved the highest certification level for 12 properties in four countries in Green Engage, IHG’s sustainability and environmental programme.

Kunjachan recently received CHFE® (Certified Hospitality Facilities Executive) from AHLA (American Hotel and Lodging Association), thus proving that it is possible to learn and develop despite a strenuous work schedule.

SAMER IBDAH

HOSPITALITY TECH TITANS

the pre-opening and engineering operation of the world-renowned Dubai Future Foundation’s Museum of the Future. With his out-of-the-box thinking, Lal brings new technologies and innovative ways, moving away from conventional managerial techniques whilst keeping basics and simplicity intact.

in excess of AED 6 million per year in costs. He has also implemented a recycling water scheme for irrigation, saving AED 546,000 annually, and resolved the Low Delta T Syndrome for chilled water systems, saving AED 800,000 annually.

ASHISH LAL

Ashish Lal is a seasoned professional with over 23 years of experience in hospitality pre-opening, project management, engineering operations and facilities management. He is the mastermind behind

During his previous assignments – as Cluster Director of Engineering with Emaar Hospitality Group and with Hilton Worldwide – Lal opened five high-rise hotels and three hotel resorts, supported nine hotel openings and one museum, making for a total of 18 property openings. He has also worked closely with corporate technical services for the opening of luxury hotels in Turkey, Bahrain and Egypt. His work is focused on achieving sustainability and energy management, in line with corporate goals.

Lal is known for restructuring the human resources of eight hotels within Dubai, saving

He has also worked closely with consultants to ensure that Fire, Life and Safety standards are 100% functional and as per Civil Defence standards. Lal has conducted energy audits and implemented new systems, such as a grey-water treatment plant, heat recovery from boiler flue gas, VFDs for air conditioning units and LED lights, saving AED 500,000 annually in energy bills.

As part of THEME Masterminds and founder of AWESOME India, Lal is dedicated to paving the way for the succession of people and resources within the group. His expertise in MEP design for various projects, including retail shops, banquet kitchens and restaurants, is commendable.

Lavoie began his career in 1991 in the hotel industry in Canada. His first assignment was with the Novotel in Montreal, with the work encompassing the first stage to completion and operation. Over the next nine years, he oversaw the opening and renovation of properties across North America.

In 2000, he joined the Crowne Plaza Toronto as Director of Maintenance and Recreation. During his time there, he most notably contributed to the movie, The Tuxedo with his skill and experience. Starring the legendary Jackie Chan and Jennifer Love Hewitt, the movie was partly shot in the Crowne Plaza Toronto.

GAETAN LAVOIE

Gaetan Lavoie is Vice President of Technical Services (GCC and MENA) at the TIME Hotel group. He oversees all operations, renovations, new properties, new-built property and development reviews, full concept design, MEP, landscaping and recreation features. In his leadership role, he also oversees the organisation’s ongoing expansion effort of the brand.

In 2002, he joined the Renaissance Hotel, in Montreal, where his remit was to oversee the property. It was eventually sold to McGill University in 2003. His contribution as engineer with the responsibility of carrying out due diligence of the property, received acknowledgement from both the parties. He stayed on to work at the property in a university environment.

In 2007, he joined SNC Lavalin O&M, where he served as Operations Director,

overseeing 275 buildings (BMO) in the Quebec and Atlantic provinces, in all comprising 139,000 square metres of space. For his work, he received recognition in the form of the ‘Top Energy Saver Award’ for BMO 2009-2010.

Lavoie is a strong believer of ‘leadership and development’, as opposed to ‘leader and development’.

‘Leader and development’ can be defined as developing the knowledge, skills, abilities, confidence and the behavioural aspects of an individual leader towards making that person more effective. The focus is often on developing the individual; it lacks a comprehensive and systemic perspective. ‘Leadership and development’, on the other hand, can be defined as building an environment where people in the organisation develop leadership skills, abilities, behaviours and attitudes. It is about building a network of relationships amongst individuals, where they support one another and work towards the greater good. It is about building a leadership culture.

Leadership doesn’t happen in a vacuum. Leadership involves people, and hence it is a social and interpersonal process.

AMANDEEP PANESAR

Amandeep Panesar is Consulting Vice President for Energy Efficiency and Facilities Management at a mega-project in Saudi Arabia.

Panesar is a highly accomplished and seasoned professional with over two and a half decades of experience in various sectors of the construction industry. He holds a bachelor’s degree in Industrial Architectural Design from UCE in the United Kingdom, which has equipped

him with the necessary skills to effectively manage multifaceted and multinational development and investment teams.

With an extensive and diverse skill-set in areas such as Transition Management, Facilities Management, construction, MEP and renewable energy technologies, Panesar is a visionary leader and proficient senior executive, capable of fostering successful collaborations amongst contractors, clients and managers. He has a wealth of exposure to corporate settings and is renowned for his adeptness in establishing alliances and consortiums to participate in mega projects and in recruiting experts to deliver on such endeavours.

As part of his remit at the mega project in Saudi Arabia, Panesar oversees the development and support of energyefficient strategies and programmes for the project. He manages critical initiatives, including stakeholder management, tenders management, and contracts review/ clarification/justification for hybrid renewable energy systems featuring solar, battery energy storage, EV chargers, PV-SWRO and distribution systems.

Panesar is highly proficient in developing and managing Transition and Facilities Management strategies, policies and operational practices. He collaborates closely with internal and external stakeholders and is adept at establishing long-term objectives aligned with business goals. He develops and executes strategic FM operation strategies for large and complex projects, and integrates activities with the main design teams and consultants to achieve the required design for site operations.

Having managed projects and developed businesses in various geographical locations, including the Middle East, United Kingdom and Africa, Panesar is highly skilled in the latest construction technologies, with a particular focus on renewable energy, power transmission and affordable housing.

Panesar is a highly decorated professional. His portfolio of achievements include contributing to the successful delivery and completion of EXPO 2020 Dubai; contributing to the handover, delivery and completion of Qasr Al Sarab; and winning the ‘Young Architect of the Year’ award for his work on the Sir Guru Singh Sabha Gurdwara in London, in the United Kingdom.

RAMISH RAJOO

Ramish Rajoo is Director of Engineering, Mandarin Oriental Hotel Group , in Dubai. In an illustrious 20-year career in the hospitality industry, Rajoo has held pivotal roles with prestigious hotel chains, including Mandarin Oriental Jumeirah Dubai, Mandarin Oriental Jakarta, Shangri-La Doha,  Sunway Group  Hotels and Resorts, The  Saujana Hotels & Resorts , The Hyatt Regency Saujana and  Metroplex Properties  Holdings. His expertise includes pre-opening engineering activities, project management, employee development and budgeting.

Boasting a strong educational background in Electrical & Electronics Engineering, Rajoo is well-versed in MEP systems, preventive maintenance and project management. A member of The Institution of Engineering & Technology

(UK), Rajoo has demonstrably excelled in overseeing building structures and HVAC systems and in implementing effective preventive maintenance programmes and energy-conservation practices. His dedication to fostering a sustainable, secure and appealing environment for associates, guests and visitors is a standout feature of his career.

Rajoo’s numerous accolades include achieving exceptional Fire Life Safety and Health scores, contributing to Forbes Five Star awards, and completing enhancement projects that have resulted in increased revenues. In a clear demonstration of his leadership skills, he has cultivated robust relationships with holding company project teams and has consistently showcased an ability to build strong engineering teams.

HOSPITALITY TECH TITANS

a transformative impact on the future of hotel engineering and project management.

A BTech in Mechanical Engineering, he holds a Doctorate of Professional Studies in Engineering Management, and a Chartered Engineer Certification from The Institution of Engineers (India). In addition, he holds a host of diplomas and certifications in industrial safety, environmental management and energy efficiency. He is also a Certified Energy Manager from the Bureau of Energy Efficiency, India.

sustainability and operational efficiency. Some of his most noteworthy projects include the preopening experiences at The Oberoi Marrakech, The Oberoi Beach Resort in Alzorah, The Oberoi Dubai, Trident Bandra Kurla and ITC Sonar Bangla, as well as various renovation projects. He is currently working on new greenfield hotel projects in Ajman, Doha and Riyadh, showcasing his unwavering commitment to shaping the future of hospitality.

Dr Gurdiish Singh Sabharwal is Regional Director Engineering & Technical Services at The Oberoi Group. He is also the Co-Founder of THEME (The Hospitality Engineers Middle East).

In the realm of hotel engineering and project management, few individuals possess the distinctive expertise, exceptional accomplishments and pioneering vision of Dr Sabharwal. In a career spanning over two decades, he has helmed groundbreaking projects and has had

Dr Sabharwal’s multifaceted expertise in hotel engineering operations and facility management has been honed through his diverse experience, gained whilst working with reputed star hotels such as The Oberoi, Trident and ITC Sonar Bangla Sheraton. His proficiency in handling pre-opening, MEP, HVAC, maintenance, plant operations, HT & LT electrical and EHS tasks has earned him the moniker of “maestro” in the field. His unwavering dedication to his craft drew acknowledgement in the form of ‘The Most Commendable Engineer for the year 2014’ award from Hotelier Middle East magazine.

Dr Sabharwal’s standout quality is his exceptional ability to conceptualise and execute projects that amalgamate cutting-edge technology,

Dr Sabharwal’s groundbreaking work extends beyond the confines of individual projects. A visionary, he has revolutionised processes, systems and procedures that have led to enhanced operational efficiency and improved team dynamics. His strong advocacy for sustainability and energy conservation has yielded tangible results, as evidenced by the reduction of utility consumption costs and the introduction of preventive maintenance schedules, energy audits and fire drills.

A strenuous work schedule notwithstanding, Dr Sabharwal undertook advanced training programmes on green building rating systems at CII, Hyderabad. He is pursuing an IGBC Lead AP certification, underlining his enthusiasm for, and commitment to, learning.

Systemair offers one of the region’s most extensive portfolios of innovative ventilation and air conditioning products with EC fan and motor technology, heating and cooling recovery, and quality air filtration.

While EC fans and motors ensure higher efficiency, controllability, and reliability than other solutions commonly used in the Middle East, advanced heat exchangers prevent your cooling or heating from being wasted into the environment. Combined with Eurovent Certified air filters, they ensure healthy indoor air in the most energy-efficient way.

Learn more at systemair.com or contact our team.

DR GURDIISH SINGH SABHARWAL

Tired of dealing with high energy bills, inefficient HVAC systems, and poor indoor air?

Empower commences operation of Dubailand District Cooling Plant

Utility provider says the plant, with a cooling capacity of 47,000 RT, will serve more than 250 buildings

By CCME Content Team

EMIRATES Central Cooling Systems Corporation (Empower) said it has commenced operation of its new District Cooling plant in Dubailand, with a cooling capacity of 47,000 Refrigeration Tons (RT). Making the announcement through a Press release, Empower said the plant will serve the residential community of the Dubailand Residence Complex (DLRC), which it described as one of the prominent residential destinations in the city that features

parks, libraries, mosques, hotels, educational institutes, medical facilities and shopping centres. The number of buildings connected to the plant is set to reach more than 250, including mixeduse buildings, Empower said.

In 2022, Empower said, it awarded a construction and outfitting contract worth AED 193 million for the plant, which it described as one of the nextgeneration modern and environmentally friendly plants that leverages

international standards and technologies. Speaking on the occasion of the inauguration of the plant, H.E. Ahmad Bin Shafar, CEO, Empower, said, “We were keen to complete the plant with modern specifications and in a record time that did not exceed a year, thanks to the efforts of our teams to continue increasing the levels of quality and competitiveness in providing service to the customers, and their tireless work to increase the company’s asset portfolio and implement the strategic plans aimed at expanding the scope of Empower’s services in the emirate.”

H.E. Bin Shafar stressed that Empower is keen to fulfill its core and firm commitment to enhance Dubai’s economy and continue to provide high-quality and environmentally friendly District Cooling services with international specifications to support the emirate’s leading role in sustainable developments, protecting the environment and natural resources, and reducing carbon emissions, in line with the directives of H.H. Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.

CPI Industry, 3e Advisory conduct executive course on energy management

Inaugural programme of ‘Energy Management in Real Estate: The Secrets to Success’ draws trainees from the UAE and elsewhere

By CCME Content Team

CPI Industry, publishers of Climate Control Middle East magazine, and 3e Advisory jointly conducted the inaugural edition of a short-term Executive Course, titled ‘Energy Management in Real Estate: The Secrets to Success’ from March 6 to April 17. The course – conducted in two batches, on an online platform – drew attendees from the UAE and elsewhere.

Sougata Nandi, CEO, 3e Advisory, and author of the book, which word-by-word lends its name to the Course, was the trainer. Speaking about the course, Nandi said: “Close to 30 years of practising, a major portion of which is in the Real Estate sector, has exposed me to wide-ranging facets of implementing energy management programmes. My sole endeavour through the Executive Course was to share all the real-world learning with fellow professionals who aspire to be highly effective Energy Managers. The only way to scale up the fight against the climate crisis is to make every professional an Energy Manager, and this course is one of the three pillars on which we are working towards this goal. This Executive Course has organically evolved from my book of the same name.”

The book throws up critical topics for discussion, such as ‘When and how to initiate an energy management programme across a corporation’s asset portfolio?’ ‘Which model of energy management service is the best fit for a certain facility?’ ‘Should a corporation opt for the ESCO model or should it invest its own cash?’

‘What criteria must a facility meet in order to ensure a successful energy management programme/project?’ ‘What issues must be taken care of so that the energy management programme is not a failure?’ ‘Is there a time-tested energy management governance framework for corporations that will ensure successful and sustainable savings?’ ‘Who should internally lead the corporate energy management programme?’ ‘What skill set must the person have?’ ‘How to procure an energy management service?’ and ‘Is ESCO really the panacea the energy management industry is looking for?’ The course was an opportunity to identify answers to these questions.

Nandi brought his several years of experience to bear on his role as trainer. An Energy Engineer from IIT (Indian Institute of Technology), and a practising Energy Management Outlier with 25 years of implementation experience, Nandi shared the wisdom he had gathered through working on over 200 clean technology projects in the UAE.

Speaking on his experience as a trainer of the course, Nandi said: “Attendees developed their respective corporation’s Energy Management Excellence Model as part of the assignments, thereby already securing a rapid headstart in their decarbonisation journey. Attendees were also able to identify no-cost/low-cost energy conservation measures that their corporations could implement without

delay, essentially ensuring that the energy cost savings begin to get accrued even while attending this one-of-its-kind executive course.

“Through the sharing of the case studies of actual energy conservation projects, the attendees were able to relate to their corporation’s circle of concern. This course certainly accelerated not only the learning but also the implementation of corporate energy management programmes that are relevant to each corporation’s unique characteristics and priorities.”

Khawaja Atiq Rehman, QSHE Manager, Al Hoty Stanger Laboratories, was one of the attendees. Speaking of the experience of attending the course, he said he enroled for it with the expectation of learning on sustainability and energy management through listening to practical examples; the course did not disappoint. “When I started this course, I was totally blank about the subject,” he said. “After completing the course, though, I feel the learning will help me introduce a sustainability system in the company and will help reduce cost through effective control of natural resources.”

Another attendee, Rennie Sequeira, General Manager, DC Serve, said: “Unlike other courses, this is designed for all levels – C-suite to operation levels – and encompasses the global and regional industry trends, performance contracting models, skill set of an energy manager, data analysis, economics, regulations, standards and resources needed. Having completed this course, I have a better understanding of the economics of energy management, how to sell energy management services to potential clients and how to ensure the desired outcomes of an energy management programme are achieved. I believe this course is ideal for FM experts, energy management service providers, solution providers and those professionals that are keen on implementing a sustainable development strategy in their organisation.”

AMCA Middle East hosts discussion on fresh air, future of healthy buildings

Association’s insite Technical Conference features presentations by its representative, Systemair and the Technical University of Denmark

By CCME Content Team

AMCA Middle East hosted the insite Technical Conference on May 3 at Le Méridien Dubai Hotel & Conference Centre. The event featured in-depth presentations from global HVAC personalities highlighting the importance of fresh air and why High-Performance Air Systems (HPAS) and certification are critical in ensuring future buildings are energy efficient and optimised to ensure the wellbeing of inhabitants and society.

Dr Pawel Wargocki, Deputy Director and Associate Professor, International Centre for Indoor Environment and Energy, DTU Civil Engineering, Technical University of Denmark, provided the keynote address with a presentation, titled ‘What we know and should know about healthy buildings: Current evidence and future challenges’. The presentation demonstrated research on how Indoor Environmental Quality (IEQ) – including parameters defining the thermal, acoustic and luminous environment, as well as Indoor Air Quality (IAQ) – impacts wellbeing, comfort, health, and work performance and learning. His presentation also underlined IEQ’s impact on sleep quality and the significant economic implications that incentivise the improvement of indoor conditions.

Dr Wargocki further highlighted how buildings today are not adequately adapted to deal with the potential challenges of airborne transmission of infectious aerosols and overheating and how building resilience must become a design feature of any building, like fireprotection systems.

Nerissa Deoraj, Senior Public Affairs Manager, Systemair Group, and one of the speakers at the event, highlighted the need to raise awareness on how ventilation and the air we breathe shouldn’t be taken for granted. “Ventilation and filtration play an essential role in providing healthy indoor environments,” she said. “We firmly believe it’s time to place efficient ventilation and IAQ at the forefront of sustainable HVAC.”

When it was her turn to speak, Deoraj provided an in-depth introduction to HPAS, demonstrating how modern variable air volume systems accommodate evolving needs for 100% fresh air, filtration, air treatment and variable airflow for commercial facilities. “Energy savings objectives cannot be allowed to result in less than acceptable IAQ,” Deoraj said. “These systems are called ‘high performance’, because they perform significantly better than

systems that comply with the baseline requirements in building codes. HPAS design integrates right-sizing strategies, zone optimisation and outside-air-based free cooling. HPASs also minimise static pressure drop, system leakage and system effects.”

Providing a case study, Deoraj shared a cost comparison between HPAS and conventional air systems. Highlighting that while such systems might provide a 50% higher initial cost, the breakeven can be achieved within two years, and projects could see up to 40% savings in the course of 10 years. “These systems use advanced technologies, such as demand controls, EC motors or variable frequency drives, energy-recovery ventilation, and advanced filtration systems to reduce energy consumption and improve indoor air quality,” she said, adding that the critical benefits of HPASs include increased energy efficiency, reduced operating costs, improved IAQ and enhanced occupant comfort. “It’s important to remember that to achieve optimal performance, high-performance air systems require careful design and installation, as well as ongoing maintenance and monitoring,” she said.

Robb Clawson, Director of Marketing, Membership, and Education, AMCA International, concluded the conference by presenting how certification of product-performance ratings increases confidence that systems work as designed. Highlighting the cost associated with building and operating high-performing conditioned systems, Clawson highlighted how the ratings of products that manifest such meticulously designed systems should be independently verified in accordance with consensus-based test standards and rigorous certification processes. He further advocated that specifying certified products only increases engineers’ confidence that HVAC designs perform as intended.

Nerissa Deoraj

Levels Engineering, Waterloo Filtration Institute (WFI) sign MoU

By CCME Content Team

OMAN-based Levels Engineering and Toronto, Canada-based Waterloo Filtration Institute (WFI) signed a memorandum of understanding (MoU) with the aim of collaborating to increase awareness on the role of air filtration in enhancing air quality, regionally and globally, WFI said through a Press release. Dr Khalifa Al Jabri, Chairman, Levels Engineering Group Companies, and Dr Iyad Al-Attar, Strategic Director of International Affairs, WFI, signed the MoU, WFI said.

WFI said it is dedicated to developing advanced filtration and separation solutions to support the global filtration and separation industry for a cleaner, healthier and more sustainable world. WFI said it believes that education is the first step for

people to gain the knowledge, creative thinking, empowerment and skills they need to change an extraordinary life and make the world a better place to live.

Backed by the joint efforts of over 50 globally leading experts from Asia, Europe and North America, it supports the global filtration industry with the most comprehensive, efficient, practical, informative, flexible, cost-effective and updated education programmes, WFI said. It covers the global filtration market, filter media market and technologies, air & liquid filtration technologies, air filter design, liquid filter design, air filter testing and evaluation, liquid filter testing and assessment and other filtration-related new developments, opportunities and trends, it added.

Construction Technology Festival 2023 announces Construction Technology Awards shortlist

The winners will be announced during the sixth edition of the Construction Technology Festival, the organisers say

By CCME Content Team

THE shortlist for the Construction Technology Awards 2023 has been announced ahead of the sixth edition of the Construction Technology Festival, set to take place from May 31 to June 1, in Dubai. The awards aim to recognise and celebrate the best and brightest innovations in the construction industry over the past year, showcasing the latest in technology and promoting excellence in the field, Ventures Connect, the organisers, said through a Press release. Ventures Connect is a partnership between b2b Connect and Ventures Middle East.

This year’s shortlist includes a diverse range of organisations, projects and people, representing project owners, contractors and consultants, Ventures Connect said. The shortlist reflects the industry’s ongoing push to improve quality, efficiency, cost,

speed, carbon footprint, waste and workplace safety or wellness, Ventures Connect said. Some of the shortlisted finalists include Red Sea Global, Saudi Aramco, Roads and Transport Authority, ALDAR, Mott MacDonald, Emaar - The Economic City and Dubai Municipality, Ventures Connect added.

The shortlisted finalists can be viewed at www.ctf-awards.com/shortlist-2023

From over 200 entries across 16 categories, the awards are expected to welcome more than 300 attendees from across the industry, Ventures Connect said. The awards recognise the contribution to the sector being made by every shortlisted finalist in categories that include Sustainable Organisation of the Year, Consultant of the Year, Contractor of the Year, Digital Transformation of the Year,

Levels Engineering is a one-stop solution for all design, detail engineering, preparation of tender documents, finalisation of tender bids, site supervision, project and construction management, testing, commissioning and handing over, WFI said.

Levels Engineering is committed to integrating environmental considerations into business and working towards the

Startup of the Year, ConTech Leader of the Year, ConTech Rising Star of the Year, BIM Champion of the Year, Woman in ConTech Award, Tech For Safety Award, Digital Twin Project of the Year and Offsite Project of the Year, Ventures Connect said.

“We are thrilled to announce this year’s shortlist for the Construction Technology Awards,” said Katie Briggs, Content Director, b2b Connect. “The nominees represent the very best in innovation, creativity, and excellence in construction technology, and we are excited to recognise their achievements and contributions to the industry.”

According to Ventures Connect, the Construction Technology Festival brings together industry leaders, innovators and experts from the Architecture, Engineering and Construction (AEC) sector to discuss the latest digital methods, trends, challenges and opportunities in construction technology. It is a platform for showcasing the latest products and services, fostering collaboration and networking, and promoting best practices and innovation in the industry that help design, build and operate assets better, and deliver projects more efficiently, quickly, sustainably and safely, Ventures Connect said, adding that additional information about the Festival can be accessed at www.ctf-uae.com

Dr Khalifa Al Jabri and Dr Iyad Al-Attar

goals of sustainable development, minimum CO2 impact and pollution prevention, WFI highlighted. Levels Engineering complies with relevant environmental legislation, industry codes of practice, and environmental policies and systems in all types of work, WFI said, adding that the training division is one of the fundamental units of Levels Engineering and is equipped with modern, cutting-edge technologies to impart training and skill development.

Dr Al Jabri stressed the importance of “the joint collaboration in making a difference to match the scale and speed of climate change and the rising tide of air pollution”.

Dr Al-Attar said: “Signing the MoU will facilitate a new approach to success, arising from a seemingly different and attractive principle that helps industry leaders and end-users shift the hearts, minds and attitudes toward a sustainable and

FOUNDED TO LEAD

Allied has grown into one of the leading Engineering and Project Management firms in the Middle East, boasting offices in 3 major Countries in the Middle East (Egypt, United Arab Emirates, Kingdom of Saudi Arabia).

Allied offers full range of Engineering and Project Management services provided by nearly 140 dedicated professionals distributed among Egypt, UAE and KSA.

The company is a multidisciplinary consulting firm and has a track record and specialization in Buildings, Industrial Works and District Cooling and Power Generation Plants.

healthy built environment. WFI continues to embrace filtration and air quality from design to disposal to adhere to our global sustainability, ethical and social obligations. Accordingly, collaboration with Levels Engineering, which is well equipped with the latest technical information on its work to develop and organize various training programs from Levels’ headquarters training facilities in Muscat, will prove invaluable to the MENA region.”

Güntner redesigns its V-shape Vario series

Company says it embarked on the initiative to bring greater capacity and lower energy use

By CCME Content Team

customisable, with a wide range of coils, casing types and other accessories, the company said. The large variety of fans and speeds makes the new V-shape VARIO suitable for every sound and power requirement, Güntner claimed.

GÜNTNER has redesigned and extended its V-shape VARIO series of condensers, fluid coolers and gas coolers, with the stated objective of bringing greater capacity and lower energy use. Making the announcement through a Press release, the company said the new series offers a unit for every application, whether it is HVAC, IT server cooling, process cooling or industrial refrigeration.

According to Güntner, the series offers up to 2,600kW in dry operation. The company said it has achieved a 20% increase in capacity by adding fan sections – up to 2x12. The series is also

According to Güntner, the addition of its GMM controller and its proprietary hydroBLU technology can boost capacity even further. The company said its hydroBLU system has been completely redeveloped with a new pad thickness that increases the efficiency of adiabatic precooling significantly. The wetting system has been revised, with all components easier to reach, making installation and maintenance easier, the company said.

The increase in capacity means that fewer units are required for large plants, minimising footprint, Güntner said. This reduces the customer’s installation effort, and the high-performance units offer more flexibility in configuration, it added.

Güntner said the new series includes the largest and highest-capacity V-shape unit in its portfolio, developed with lorry dimensions in mind. It utilises the bed of

a maximum-size curtain-sider lorry down to the last centimetre, opening up new possibilities for maximum capacity in a single Güntner unit, the company said. This not only cuts down transportation and operational costs but also reduces carbon emissions, the company said, adding that the units are designed for easy loading and unloading with both forklift and crane.

According to Güntner, the V-shape VARIO series is available for all common refrigerants, including natural refrigerants, such as ammonia, propane and carbon dioxide. In June 2022, Güntner said it received the Natural Refrigerants Label from ATMOsphere, which represents the global gold standard for natural refrigerant systems and components.

“The V-shape VARIO series has been a mainstay of the market since 2010,” said Herbert Schupfer, Head of Future Solutions, Güntner. “To meet future demands, we decided to rethink the development of the product from the ground up. The new series optimises the cost-benefit ratio and has sustainability at its heart.”

Eurovent issues new recommendations on RAHUs

Organisation says the document focuses on Ecodesign and Energy Labelling compliance of bi-directional residential ventilation units

By CCME Content Team

EUROVENT said it has published its first Residential Air Handling Units (RAHUs) recommendation, which focuses on Ecodesign and Energy Labelling compliance of bi-directional RVUs. Making the announcement through an April 18 Press release, Eurovent said

participants of PG-RAHU prepared the recommendation in a joint effort.

The recommendation, released on April 4, aims to enhance the enforcement of Ecodesign and Energy Labelling requirements for bidirectional residential ventilation units, placed and put into service on the EU

market, Eurovent said, adding that it is principally addressed to suppliers and market surveillance authorities.

According to Eurovent, the first six chapters provide the general legislative background and an overview of the specific requirements, to which suppliers are subject to.

Facilio reports optimising energy usage in food retail

Company says it is able to deliver quick ROI and up to 20% savings in energy costs by optimising refrigeration systems at scale with its cloud supervisory controls platform

By CCME Content Team

FACILIO, the New Yorkheadquartered prop-tech company, with operations in Dubai, said it has rolled out a scalable, cloud-based Connected Refrigeration solution for multi-site food retailers, including groceries, convenience stores and supermarkets.

Making the announcement through the Press release, Facilio said its powerful, hardware-agnostic, cloudbased supervisory platform has added capabilities around monitoring and optimisation of refrigeration assets that makes remote monitoring of multi-site retail stores possible. The platform, Facilio added, presents a sure-shot way for grocery, convenience store and supermarket operators to reduce energy and maintenance costs, service calls and refrigerant leak rates.

Raj Subramanian, Co-Founder & CPO, Facilio, said: “In the retail industry, the front-end technology has seen incredible advances, while the back-end store operations have not evolved or changed much. There is still heavy reliance on store-level siloed systems. It’s an area ripe for

transformation.

“Our Connected Refrigeration Solution helps retailers take control of their refrigeration systems, providing real-time visibility into the performance of their assets across all sites, enabling them to make informed decisions and reduce costs.”

According to Facilio, the retail, food

service and grocery sectors spend over USD 41 billion on energy, annually, representing 14 billion square feet of floor space in the United States alone. Food cooling and refrigeration account for over 50% of the store’s energy costs, Facilio said, adding that with its Connected Refrigeration Solution, food retailers have a USD 4.1 billion opportunity in energy cost savings.

Chapter 7, particularly aimed at market surveillance authorities, presents practical tips to facilitate effective compliance monitoring, Eurovent said. Chapter 8 outlines the benefits of voluntary third-party certification for monitoring product compliance, Eurovent added.

Xavier Boulanger, Strategic Technological Partnerships, ALDES, and Chairman, Eurovent PG-RAHU, said, “Since our Product Group includes many technical experts, it seemed very important for us to be able to use this expertise for the benefit of the whole profession,

in order to work for quality installations that allow all our customers a perfect use and, thus, a complete satisfaction.”

Jaroslav Chlup, Head of R&D, 2VV, and Vice-Chairman of the Group, added: “It is indeed an important step, going forward. The document truly provides in-depth information for using better and less-energy-consuming residential ventilation units on the EU market. It further spreads technical knowledge about current Ecodesign rules and strengthening its market surveillance.”

Facilio said it lets retail store owners and operators optimise existing refrigeration systems to get ROI within six months and save up to 20% in refrigeration energy costs. Guaranteed outcomes include reduction in maintenance costs, service calls and refrigerant leak rates, Facilio said.

Among the early adopters of Facilio’s Connected Refrigeration Solution is one of the ‘big four’ supermarket chains in the UK for whom Facilio said it has delivered a 16% savings in energy and eliminated the cost of undetected refrigerant leaks within weeks of deploying the software.

Facilio said it has also partnered with US-based IoT solutions provider, Tutenlabs to drive value for more than 10,000 retail sites across the country.

{Quoteyard}

We bring you a collection of some of the most interesting quotes, extracted from articles in this issue. In case you missed reading, we recommend you flip back to take full advantage of the insights and remarks, in the context in which they have been presented.

Director’s remuneration, where the director under consideration does not have a significant equity stake in the business, however, can be considered to be deductible expenditure for the purposes of computing Corporate Tax liabilities.

To further mitigate risks associated with Energy Saving Performance (ESP) projects and prevent conflicts, the IPMVP recommends the involvement of independent verifiers to review savings and validate measurements. Further, if conflicts do arise, they can help resolve them through expert arbitration and advice.

As bad as mineral scale is for heat transfer, biofilm is much worse – it is at least four times more insulating than mineral scale. As the biofilm grows thicker, the layer at the tube wall is depleted of oxygen, and sulphate-reducing bacteria generate corrosive byproducts that aggressively attack the tube metal. This process is referred to as microbiologically influenced corrosion (MIC) and is a primary culprit for tube failure.

Oman aims to become one of the largest producers and exporters of Green Hydrogen in the world by 2030. Its Green Hydrogen Strategy envisions an estimated USD 140 billion in investment in a new lowcarbon industry.

On a global average basis, healthcare systems account for over four per cent of global CO2 emissions. For most industrialised nations, that figure is closer to 10% of national emissions. As such, demand for the healthcare industry to improve environmental sustainability, address net-zero-carbon emissions goals and to enhance building operations efficiency is growing.

This led to the introduction of nominated and domestic contractors, which also resulted in a decrease in quality standards and an increase in the copy-paste culture

Often, these contracts are subdivided into numerous jobs, resulting in the developer attempting to funnel money outside the project and neglecting to pay the sub contractors and suppliers involved in the main job

The MEP industry could overcome cashflow challenges through project partnerships, classification and rating of contractors and consultants, fixing a minimum value for a project with an escalation clause, ensuring transparency in payables and deductibles and through considering the financial and resource capabilities of contractors when awarding projects.

According to estimates, 30,000 buildings across Dubai will be retrofitted before the end of 2030, to achieve a 30% reduction in energy demand. The retrofits are predicted to save over USD 22.33 billion and reduce emissions by 1 million tCO2.

Sustainable Solutions that help Cool

The Most Beautiful Building on Earth

Innovation brings in significant positive change. Empower works to find ways to innovate and improve its processes, and o erings to create services that are e cient, sustainable and impactful.

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