Big Project ME June 2016

Publication licensed by International Media Production Zone, Dubai Technology and Media Free Zone Authority

123

JUNE 2016 meconstructionnews.com

THE BUSINESS OF CONSTRUCTION

OF DISPUTES AND DELAYS

can qatar’s Mep contractors continue to do business in increasingly difficult conditions?

Contents

Issue 123 June 2016 06

14

18

26

34

38

04 ME Construction News.com

14 Understanding reserve funds

38 Elevated Solutions

06 Dubai’s 3D Printing Strategy

18 Benoit Dubarle

44 Building the next smart city

OnlIne

The biggest stories from Big Project Middle East’s home on the web The bIg pIcTure

25% of all buildings in Dubai to be based on 3D printing technology by 2030

10 Red Sea wins Guinea contract InTernaTIOnal news

Saudi Arabia’s Red Sea Housing to build accomodation facilities in West African nation

12 Muscat market overview MarkeT repOrT

Cluttons’ report examines the outlook for the Muscat real estate market as conditions remain stagnant

analysIs

Craig Ross explains why owners need to have funds in reserve during a building’s lifecycle In prOfIle

Big Project ME speaks to the president for Gulf countries at Schneider Electric about the impact of Dubai’s smart city project

sITe vIsIT

Big Project ME finds out the technical challenges behind Kuwait’s Jamal Abdul Nasser Street expressway project cOMMenT

Gamal Emara explains how the Internet of Things can help construction companies

26 Of disputes and delays

52 Top tenders

34 A breath of fresh air

56 Guidelines for success

IndusTry fOcus

Big Project ME speaks to MEP contractors and legal experts about the issues in Qatar cOMMenT

Gary Williams of AESG examines the role of HEPA filters testing in healthcare facilities

Tenders

Listing the top construction and infrastructure tenders for June 2016 lasT wOrd

Mark Shea provides owners and developers with some tips for building a successful hotel June 2016 1

Introduction

The Qatar conundrum

W

ith June being the halfway point of the year, it’s a good time to step back and take stock of how things are shaping up in the construction industry. Given the way regional events have unfolded, it’s certainly been interesting to see how countries and companies have responded to the challenging circumstances they’ve been faced with.

It was with this intention that we decided to speak to MEP contractors in Qatar, given the interest that the country has generated as it builds to the 2022 FIFA World Cup. Unfortunately, the responses we got were quite alarming.

As the article details, it’s shaping up to be quite a difficult time for subcontractors, and particularly MEP contractors, as the deadline for 2022 approaches. Not only do they have to deal with tight schedules and uncompromising construction programmes, but they’re also being faced with increased litigation and unacceptable delays in payment.

Given the circumstances, it’s quite difficult to see how things can be resolved. And they certainly need to be resolved otherwise I have significant fears over the long term viability of Qatar’s construction industry.

We’ve already heard from international and regional contractors who say that they pick and choose their projects, based on their

eDItorIAL eDItor gAVIN DAVIDS gavin.davids@cpimediagroup.com +971 4 375 5480

PUBLISHING DIrector RAZ ISLAM raz.islam@cpimediagroup.com +971 4 375 5471

oNLINe eDItor BEN FLANAgAN ben.flanagan@cpimediagroup.com SUB eDItor AELRED DOYLE

eDItorIAL DIrector VIJAYA CHERIAN vijaya.cherian@cpimediagroup.com +971 4 375 5472

aelred.doyle@cpimediagroup.com ADVertISING coMMercIAL DIrector JUDE SLANN jude.slann@cpimediagroup.com +971 4 375 5496

Supported by

coMMercIAL DIrector MICHAEL STANSFIELD michael.stansfield@cpimediagroup.com +971 4 375 5497 SALeS MANAGer FAAJU ABDULFATAH

M

‫ﺟﻤﻌﻴﺔ اﻟﺸﺮق اﻻوﺳﻂ ﻟﺼﻨﺎﻋﺎت اﻟﻄﺎﻗﺔ اﻟﺸﻤﺴﻴﺔ‬

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2 June 2016

faaju.abdulfatah@cpimediagroup.com +971 4 375 5495

assessment of whether they’ll get paid on time and who their partners on the project are.

Clearly, this isn’t a sustainable, long term option, and nor is it an option open to local firms, who are often forced to compromise and hope for the best.

To be fair to the Qatari authorities, changes are being implemented, but they are incremental at best. Things certainly need to be sped up, and I hope that this, and all the other problems facing Qatar’s construction industry, are addressed as a matter of priority.

On a final note, I was honoured to be asked to host a panel discussion at Autodesk’s Future of Building Things 2016, a conference focused on the evolution of BIM technology.

It was an absolute pleasure to hear from leading figures about how the industry is reacting to BIM. We’ll be covering it in our July issue, so I’d recommend keeping an eye out for it, it’ll be fascinating reading!

Gavin Davids editor gavin.davids@cpimediagroup.com @MecN_Gavin

MArKetING MArKetING MANAGer LISA JUSTICE lisa.justice@cpimediagroup.com +971 4 375 5498 DeSIGN Art DIrector SIMON COBON cIrcULAtIoN & ProDUctIoN DIStrIBUtIoN MANAGer SUNIL KUMAR sunil.kumar@cpimediagroup.com +971 4 375 5476 ProDUctIoN MANAGer VIPIN V. VIJAY vipin.vijay@cpimediagroup.com +971 4 375 5713 WeB DeVeLoPMeNt MOHAMMAD AWAIS SADIq SIDDIqUI SHAHAN NASEEM

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READERS’ COMMENTS

CONSTRUCTION

KUwAIT MEgAPROjECT IS ONE TO wATCh

Dubai reveals Expo 2020 masterplan

INFRASTRUCTURE

Dubai set to issue Al Maktoum airport tender

In pictures: 60,000-capacity Mohammed bin Rashid Stadium to be built in Al Aweer area

The scale of Kuwait’s recent infrastructure deal (‘Kuwait to sign $1bn infrastructure deal’) is certainly impressive. In fact, I can’t think of a bigger roads contract awarded in the region recently.

But what is surprising is that we haven’t read more about the South Al Mutlaa City development that it will serve. With the master planned project worth $20 billion, according to your report, it’s certainly one to watch.

Name withheld, via email

CONSTRUCTION

1km high Jeddah Tower ‘delayed by a year’

BUILD IT AND ThEy wILL COME

INFRASTRUCTURE

Qatar Rail cancels Doha Metro station contract

CONSTRUCTION

ACC wins contract for Emaar project in Jeddah 4 June 2016

Video: Dubai Properties unveils $272m Marasi Business Bay project, set to be built by the Dubai water Canal

The new leisure attractions coming up in the UAE (‘Riding high: The UAE’s new raft of theme park developments’) from Dubai Parks and Resorts to the Twentieth Century Fox World theme park have provided a muchneeded boost for the building industry. And they go to show that the old saying ‘build it and they will come’ is still alive and kicking when it comes to the country’s tourism ambitions.

Name withheld, via email

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The big picture

3D vision for Dubai HH Sheikh Mohammed bin Rashid Al Maktoum said that he believes 3D printing technology will transform the construction sector through lower costs and reducing the time taken to implement projects.

Dubai’s 3D Printing Strategy takes shape as new centre launched 25% of buildings in Dubai to be based on 3D printing technology by 2030 Dubai plans to host up to 700 companies in a new centre dedicated to 3D printing, as part of its aim to become a global hub for the technology by 2030.

The Dubai Holding conglomerate is behind the International Centre for 3D Printing, which will serve the construction, medical and consumer industries. The centre, in Dubai Industrial City, will house research laboratories to test materials that will be used in the 3D printing of products related to the three sectors. It will also involve the academic sector through research and development activities.

The centre will look to build a network of design and technology 6 June 2016

suppliers, as well as hosting factories together in one place.

3D printing is set to play a major role in reducing manufacturing costs and time in the construction sector.

The value of the 3D printing technology-based construction sector in Dubai is expected to be about $816 million by 2025.

The Dubai 3D Printing Strategy was launched by Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai.

It aims to make the UAE “a leading hub of 3D printing technology”, including in the construction industry, according to UAE state news agency WAM.

“Our key goal is to ensure that 25% of buildings in Dubai are based on 3D printing technology by 2030, and we will raise this percentage with the development of global technology as well as growth of market demand,” Sheikh Mohammed was quoted as saying.

Reports indicate that 3D printing technology will cut

700

Number of companies that will be hosted at International Centre for 3D Printing

construction costs by between 50% and 70%, and cut labour costs by 50% to 80%, WAM noted.

“We believe that this technology is capable of transforming the construction sector by lowering costs and reducing the time it takes to implement projects.

It will also help reduce manpower requirements as well as waste generated from construction, which can be harmful to the environment,” added Sheikh Mohammed bin Rashid Al Maktoum.

The Dubai 3D Printing Strategy will be implemented by many partners, including Dubai Municipality, Dubai Health Authority and Dubai Holding.

The big picture

1km-high Jeddah Tower to be delayed by funding issues, developer confirms Jeddah Economic Company says contractor SBG hit by financial problems The developer behind the 1km-high Jeddah Tower in Saudi Arabia has said that construction will now be completed in 2019 – a year later than originally scheduled.

According to a report by The National, Hisham Jomah, the chief development officer of Jeddah Economic Company (JEC), confirmed that the project would be delayed following funding issues with contractor Saudi Binladin Group.

Jomah said JEC is looking to pick up the pace of work on the building, which is set to be the world’s tallest tower. He explained that the delay in the project – formerly known as Kingdom Tower – was “due to a number of factors – mainly to the contractor”, Saudi Binladin Group.

“Basically, it’s a financial problem. Until we secured a loan from the bank… to make sure that the cash flow for the contractor is more stable for the time schedule,” Jomah told the Abu Dhabi-based newspaper.

Saudi Binladin Group has laid off tens of thousands of workers, amid widespread allegations of delayed salary payments. While Jomah insisted that work on the Jeddah Tower site never came to a halt, he confirmed that it was “at a very low pace for a period of time of three to four months”.

JEC said in March that the building is 20% complete, with construction reaching the 37th floor. That announcement came on the back of JEC’s launch of the Alinma Jeddah Economic City Fund in late 2015, which

will provide sharia-compliant financing of $959.9 million from Alinma Bank for the project.

In addition to being the contractor on the project, Saudi

20%

Amount of the building confirmed to have been completed in March 2016

Binladin Group also owns a 16.6% stake in JEC. In May 2016, the crisis-hit contractor secured a $667 million loan to ease its financial pressures.

The contractor has been hard hit by government spending cuts and a slowdown in the local construction industry. In an attempt to ease its huge financial burden, it has secured financing from local lenders, according to unnamed banking sources quoted by Reuters, which will be provided by Arab National Bank

and Saudi British Bank, and used to cover redundancy payments, back salaries and severance costs.

The Saudi Binladin Group is said to be making as many as 77,000 workers redundant.

The group was banned from bidding for new government contracts after a crane collapsed last September, killing 107 people.

That ban has reportedly been lifted. A travel ban imposed on its top management in the aftermath of the accident in Mecca has also been lifted, the executive added.

Contractor funding issues Jeddah Economic Company, the developer behind the tower, said that funding issues with Saudi Binladin were behind the delay in the project.

June 2016 7

The big picture

Qatar 2022 World Cup works are ‘on track’, says FIFA representative Jürgen Müller, official at world football governing body, praises efforts Qatar’s preparations for the 2022 World Cup are on track, while the country’s legacy work is progressing well, a top official from football’s global governing body has said.

Speaking at the World Stadium Congress in Doha, Jürgen Müller, head of Planning and Infrastructure at FIFA, praised the work being carried out by the Supreme Committee for Delivery and Legacy (SC).

“Qatar’s infrastructure and stadium preparation is well on track,” he was reported as saying by the SC. “We are very happy with preparations. Everybody knows it’s not only towards 2022, they are working towards longer plans for 2030, so this step is only one step in the bigger picture. This World Cup is adapted to their overall time planning and we believe it will be an outstanding tournament.”

FIFA and the SC were among a range of industry leaders present at the World Stadium Congress in Doha. Qatar’s progress was at the top of the agenda during the conference, which was held on May 17.

During his speech, Müller was quick to point out that the country has developed an “exemplary approach” to legacy planning for the tournament from the earliest stage. “Qatar’s legacy planning was very clear to see from the bidding stage,” he said. “They showed that they do not need such large capacities post-tournament and proposed modular elements to stadia, which is an excellent concept. There is 8 June 2016

already demand to the Supreme Committee for the demountable parts of their stadiums, so it is a very good approach.”

Furthermore, he said that the Gulf state would be employing the latest technology to give fans a futuristic match-day experience. “Qatar has always proven that they strive for excellent quality and state-ofthe-art technology, and I think we can expect in 2022 an exciting

World Cup with very high levels of services and fan engagement.”

Also speaking at the Congress was Othman Zarzour, the SC’s Competition Venues deputy executive director, who provided attendees with a progress update for the venues. “The SC is currently working on eight stadiums for the tournament, and we have launched the designs of five stadiums. We are planning to launch the

designs of the remaining three within this year,” he said.

“By the end of this year, the Khalifa International Stadium will be the first proposed host venue to complete major construction, and will be among the first stadiums in the world to provide field lighting using LED technology. All of these projects will leave a lasting legacy for Qatar and the region for years to come.”

“They showed that they do not need such large capacities post-tournament and proposed modular elements to stadia, which is an excellent concept. There is already demand to the Supreme Committee for the demountable parts of their stadiums, so it is a very good approach”

On track The head of Planning and Infrastructure at FIFA has said that Qatar’s infrastructure and stadium preparation is ‘well on track’.

Bringing the latest

construction news from across the GCC

www.meconstructionnews.com

The big picture

1

1. ContraCtors begin bidding for $196m revamp of dover Harbour

$1,462

The Dover Harbour Board has begun calling up contractors

Weekly wages for bricklayers as Brexit fears send site wages soaring

to bid for the $196 million contract to build a new cargo terminal, waterfront development and marina.

Construction of Dover

2

Harbour’s Western Docks programme is set to start on a 24-month programme in the final quarter of 2016.

The decision to tender the project follows the signing of a pre-construction deal with Graham Construction in 2015, which was to develop infrastructure design for the redevelopment.

Plans for the project include the extensive demolition and removal of existing structures, including a partial demolition of the Dunkirk jetty to provide a 20m wide navigation channel.

The new access channel will include a bascule bridge and lock gates.

The port’s existing tidal basin will be infilled to construct two new berths for ferries, the report added. Other planned works include extensive dredging and construction of a new 560m curved marina pier.

10 June 2016

2. saudi’s red sea Housing wins $15.5m ContraCt in guinea Red Sea Housing Services has signed a contract with Compagnie Des Bauxites De Guinée (CBG), the largest single producer of bauxite (aluminium ore) in the world, to build integrated accommodation facilities in Guinea, West Africa.

This is the third CBG contract won this year by Red Sea Housing Services, with the three phases of the project valued at a total of $15.5 million. The construction of the workers’ accommodation facilities will include housing, kitchens and diners. In addition recreation facilities, utilities, police and security stations and a clinic will be built.

“We are continuing to strengthen our operations in Africa, in line with Red Sea Housing’s growth strategy.

This project has already been an important revenue driver for Red Sea Housing and will positively impact our business performance for this year,” Don Summer, acting chief executive officer of Red Sea Housing, said in a statement.

The big picture

$3bn

Cost of the Patimban deep seaport in West Java, which is being built by Indonesia and Japan

3

4

2.6%

Total value of construction completed in Australia falls during Q1 of 2016

3. india signs CommerCial ContraCt witH iran to build $200m port India has signed a commercial contract with Iran to build and run a strategic port on Iran’s southern coast, the Indian government said, as it looks to gain a foothold in Iran and with it access to central Asia and Afghanistan.

The deal will see India develop two terminals and

cargo berths at Chabahar, on the Gulf of Oman. The deal was signed by Prime Minister Narendra Modi during a visit to Iran in May 2016.

Gopal Baglay, a foreign ministry official in charge of Iranian ties, said that India would make an initial investment of more than $200 million in the port, of which India’s Exim Bank would provide a credit line of $150 million.

The move to build the port comes about due to India being blocked from land access to Afghanistan, and through it to central Asia, due to long-standing opposition from Pakistan.

Baglay added that India, Afghanistan and Iran would separately sign an agreement to set up a trade and transport corridor during Modi’s visit.

Chabahar will be the hub of this corridor, he explained.

4. india’s gemini property developers starts ConstruCtion on dubai luxury projeCt India-based Gemini Property Developers has started construction work on its luxury residential project in Dubai’s Mohammed Bin Rashid City development.

The company says that the Gemini Splendor project is the first of many it plans to build in the GCC in the coming years.

The Dubai project will have a built-up area of more than 29,728sqm and is expected to be completed in early 2018.

It will feature 134 units, including one-, two- and three-bedroom apartments, penthouses and townhouses. Apartment units will range from 780 square feet to 3,400 square feet. The building will also contain retail, shopping and entertainment facilities and green spaces.

The enabling works contract has been awarded to National Piling, while the project itself will be designed by leading architectural firm,Aedas.

The detailed design for it will be executed by Dubai Consultants, said managing director Sudhakar R Rao.

June 2016 11

Market report

MUSCAT PROPERTY

12 June 2016

Average residential rental values by submarket, Q1 2016 (OMR/month) 1,600 1,400 1,200 1,000 800 600 400

1,100 5.9% Average monthly villa rents in Q1 2016 (OMR)

Fall in average residential rents during Q1 2016

Sur Al Hadid

Maabela

Al Hail / Mawalleh

The Wave

Muscat Hills

Iba / Ghubrah North

Bausher

Budgets dropping With organisations globally working their way through consolidation programmes, head count reduction continues to be a key theme, with the sultanate’s oil & gas sector recording further job losses. Furthermore, housing allowances are being reduced, which is filtering through to the residential market in the form of falling budgets. We have noted a general decline in both corporate and personal budgets of between 10% and 20%.

If the expected bottoming out of the market does not in fact materialise, then demand for rental accommodation will continue to decline over the next six to twelve months, putting further downward pressure on rents.

With this in mind, it is our

expectation that rents during 2016 are likely to fall by a further 5% to 10%, on average, across Muscat.

It is worth highlighting that better quality properties priced at the lower end of the budget spectrum, at between OMR 250 per month and OMR 500 per month, are likely to remain stable.

Residential sales market weakening Away from the rental market, we have seen nervousness creep into the sales market, with prices declining across the board and buyers increasingly cautious about committing to purchases as many perceive the market to be on the verge of a correction.

That said, vendors are aware of the weakening market conditions and are adjusting prices downwards to entice demand.

This has resulted in a relatively steady level of transactional activity, especially where buyers feel they are getting a good deal.

In fact, during the first quarter of 2016, transactional volumes across the sultanate were slightly lower than the same

Source: Cluttons

Overall, residential rental values fall The residential lettings market has continued to register rental declines, with Q1 2016 marking the third consecutive quarter of rent falls.

Average residential rents across Muscat dipped by 5.9% during the first quarter, leaving them 12.7% below this time last year. The decline was led by the villa market (-7.1%), leaving average monthly villa rents at just over OMR 1,004, 14.1% lower than this time last year.

The falling rents across the city are reflective of the slowing economic growth and subsequent slowdown in the rate of job creation. This is being further exacerbated by wideranging redundancy programmes in key sectors, with the oil & gas sector still shrinking. In fact, the IMF has forecast a slowdown in GDP growth this year to 2.8%, from 4.4% last year.

Al Khuwair

Madinat Qaboos

Shatti Al Qurum

Qurum

200 Ruwi

Occupancy levels holding up Despite the stagnant market conditions and diminished level of demand, most landlords have been slow to react, which has contributed to rising void periods.

In some instances, landlords perceive the market to be bottoming out and are therefore reluctant to reduce rents and are happy to allow properties to remain vacant. Others continue to remain reactive, dropping rents only once they realise they are out of kilter with prevailing market rates. This reflects a widespread lack of understanding of market cycles and ways in which returns can be maximised during a falling market.

That said, there is a handful of landlords sensitive to the weaker conditions who are reducing rents, mirroring economic reality. In addition, tenants remain focused on schemes they perceive to offer good quality accommodation, with well managed facilities and amenities, although waiting lists for these buildings have declined over the last six months.

In addition to rent reductions, a few landlords have also begun to offer additional incentives, for example free access to on-site facilities such as pools and gyms, which would have previously been a chargeable benefit.

With the rising popularity of gated community living, which is still an emerging trend in Muscat, some landlords are conscious of the pull factor of free access to local facilities.

By putting tenants first, these landlords are enjoying low vacancy rates and are likely to benefit first when the market does eventually pick up.

Market report

MARKET OVERVIEW period in 2015, according to the National Centre for Statistics and Information (NCSI). The figures show that the traded value of property in this period decreased from $3.43 billion in Q1 2015 to $2.39 billion in Q1 2016.

The NSCI also reported a fall in GCC buyer activity in the market over the same period, with a near 40% decline in the number of

properties linked to Gulf buyers.

The decline reflects the squeeze on disposable household incomes across the region as the era of low oil prices beds in.

Going forward, we expect this trend to persist, particularly as oil prices appear unlikely to stage a comeback in the near term.

With the region’s governments rushing to diversify income

streams through the introduction of new fees and taxes and the dismantling of energy subsidies, household incomes in the GCC are expected to come under further pressure, with disposable incomes also likely to fall.

That said, Oman still offers the attraction of residency through property ownership and this is a segment of the market that

continues to remain active.

It is worth noting that we are yet to see any notable rise in interest from Iranian buyers.

However Oman, and Muscat in particular, offers those priced out of Dubai, which remains the region’s most active property market, a similar lifestyle at a significantly lower price in its integrated tourism complexes.

“With an economic turnaround unlikely over the short to medium term, it is our expectation that the rate of job creation and therefore demand for rented accommodation will continue to decline”

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Analysis

Understanding reserve FUnds & avoiding a shortFall Craig Ross, head of Project & Building Consultancy, Cavendish Maxwell, explains why owners need to have funds in reserve during the lifecycle of a building Ubiquitous in many buildings in Dubai are notices in the lobby and elevators reminding owners to pay their service charges. These charges make up a majority of the outlay towards the reserve funds for a building, funds that form the pool from which building repair and maintenance costs throughout its lifecycle are apportioned.

In April this year, the chief of RERA suggested to developers that they reduce service charges in projects by generating revenue from a portion of the total builtup area. He recommended that 70% of service charge amount should come from this revenue stream rather than being factored into the amount paid by buyers.

Until developers find a way to generate revenue for service charges in this manner, charging owners will continue to be the primary source of reserve funds.

For jointly owned properties, owner associations (OAs) act as 14 June 2016

owners’ burden Until developers find a way to generate revenue for service charges, charging owners will continue to be the primary source of reserve funds.

Analysis

property managers and are hence responsible for managing the general and reserve funds for a building. This is also highlighted in a 2015 directive from RERA, which requires OAs to set up two funds for facilities management – general and reserve. A requirement for annual budgets is also laid out, along with the need for an independent reserve fund to highlight monetary needs for the upkeep of a building during its entire lifecycle. RERA requires that these studies be carried out by licensed consultants with expertise in this field.

The importance of these studies detailing reserve fund requirements cannot be stressed enough, with the key element being that no one size fits all. The reserve fund requirements for each building differ based on location, age, function (residential/hotel/ office/retail) and the unique service requirement (for instance, number of lifts, chillers and amenities such as swimming pools). By factoring in financial considerations, such as impact of inflation, specialists can forecast the amount that needs to be saved in order to pay for items that will expire or require repair during the asset lifecycle. Since common area maintenance in strata owned buildings is shared by owners in proportion to their unit size, if there are any capital needs as a result of reserves being under-funded, then that difference needs to be borne by owners in that proportion.

The value of a property is inherently linked to its condition, along with other factors such as location and neighbourhood.

Having adequate reserve funds ensures a well maintained property and can become the building block for managing the asset. Inadequate funding often results from a lack of understanding in terms of specifics of the building, with the service charge being fixed on the basis of

“When you take the time to understand the physiology of a building and prepare for the future with adequate reserve funds, you will be rewarded in times of crisis by having the wherewithal to set things right” rule of thumb rates rather than a detailed study of asset repair and capital expenditure requirements.

This is when unwanted surprise levies are needed.

OAs may resort to a short-term approach of avoiding resistance from owners, and instead of meeting capital shortfall through levies may ignore urgent repairs needed in the building. This will drop the value of the building in the long run and also lead to dissatisfaction among owners because of building appearance

and performance, not to mention increased chances of injury or damages that pose a safety hazard.

A reserve fund study conducted by professional building consultants helps avoid inadequate fund reserves, as it identifies the operational impact on the lifecycle of the property and the performance of the various building elements. This is turn reduces the special levies from owners to make up the difference. Given the forward estimates of maintenance and capital expenditure requirements, adequate funding can be maintained as a result of a detailed assessment for reserve fund purposes. It also allows regular record keeping, with all maintenance work well documented.

Ideally a reserve fund study should be undertaken at the design stage so that sustainable models of construction can be used to manage costs in the long run, based on the most effective use of materials, using whole life costs rather than short-sighted initial capital costs.

While evaluating need for reserve funds among buildings in the UAE, we typically take into account a ten-year forecast and incorporate adjustments to assets on the basis of their remaining useful life.

In the past year, while developers have begun assigning professional consultants like us to undertake this exercise, it is common for many buildings to be underfunded in terms of reserve capital needs. American investor Warren Buffet says, “Risk comes from not knowing what you’re doing.” This is as true of building management as it is of stock investing. When you take the time to understand the physiology of a building and prepare for the future with adequate reserve funds, you will be rewarded in times of crisis by having the wherewithal to set things right.

June 2016 15

In profile

“Saving energy meanS Saving money, and in a period of economic Slowdown, the public Sector and the private Sector are looking for SolutionS that will impact the bottom line poSitively” Benoit Dubarle, president for Gulf Countries at Schneider Electric, tells Big Project ME that Dubai’s smart city project signals an energy revolution across the region 18 June 2016

In profile

June 2016 19

In profile

a

ccording to United Nation estimates, by the year 2050 as much as 66% of the world’s population will be in urban areas.

With just under 35 years until that date is reached, cities around the globe are scrambling to find ways to effectively and efficiently deal with the rapid urbanisation of their country’s populations.

One of the crucial aspects of improving quality of life for a city’s residents is to ensure that the various services a city provides are both smart and user-friendly. With technology continuing to develop at a rapid pace, it will continue to play a role in achieving this smartness and efficiency.

As smartphones continue to grow in use, while becoming more powerful and integrated with our day-to-day lives, we’re seeing increasing number of countries subscribe to the concept of the Internet of Things (IoT).

This is especially evident in a city like Dubai which, unlike a number of cities in the region, has long been an advocate for embracing the power of technology to achieve a better quality of life. The smart city project was first conceptualised under the leadership of HH Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and the Ruler of Dubai, and HH Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai and general supervisor of the Dubai smart city project.

20 June 2016

The project itself extends across a variety of fields, with the government of Dubai planning and implementing more than 100 smart initiatives in specific areas, with government services under specific focus.

According to the KPMG report ‘Dubai – a New Paradigm for Smart Cities’, Dubai’s smart city strategy plans to transform a thousand government services into smart services. The project aims to encourage collaboration between the public and private sectors to achieve targets in six particular focus areas: Smart Life, Smart Transportation, Smart Society, Smart Economy, Smart Governance and Smart Environment. The strategy will rely on three basic principles – communication, integration and cooperation.

Therefore, it’s no surprise that the initiative is of particular interest to a company like Schneider Electric. A the power of technology Dubai has long been an advocate for embracing the power of technology to achieve better performance and efficiency from its energy grid.

“The next step that Dubai is now undertaking is to place an overall platform – a backbone which will, at the end, encompass all the data that is present in the field, so that they will have the opportunity to monitor the entire city”

multinational corporation that specialises in electricity distribution, automation management and energy management, the French giant sees itself as an ideal part of Dubai’s smart city ambitions.

As part of its efforts to showcase its capabilities, the company hosts an annual event at the Dubai Convention and Exhibition Centre – Power to the Cloud is the largest regional event of its kind to focus on smart cities. In its fourth year now, the latest edition of Power to the Cloud comes at a time of “rapid infrastructure transformation and economic change”, in the words of Saeed Al Tayer, managing director and CEO of Dubai Electricity and Water Authority (DEWA), during his inauguration address.

“As we strive to become smart and more connected than ever before, we need to learn to leverage technologies that are ecofriendly. Today, the convergence

In profile

of IT and operational technology (OT) makes it possible to increase process efficiency and optimise scare resources,” Al Tayer added.

It is this convergence of IT and OT that brought Big Project ME to meet with Benoit Dubarle, country president for Gulf Countries at Schneider Electric.

Speaking on the sidelines of the event (which had more than 2,000 attendees from across various industries), Dubarle explains that Dubai is at the right time and place for a move towards a smarter future.

“As you know, the economies in the GCC are a little under stress these days due to the oil prices, which are a major source of revenue for the whole region.

This gives us a good opportunity, because as a company, we’re providers of solutions that make people save. Saving energy means saving money, and in a period of economic slowdown, the public sector and the private sector are looking for solutions that will impact the bottom line positively,” he says.

“That’s what Schneider is all about – being a worldwide leader in energy management and automation. It’s about the public entities and the private industries being more efficient in terms of energy consumption, and therefore achieving significant savings, with a good return on investment.

“So that’s a balance that we see these days. While there’s a depressed economic environment in the new building sector – the construction market – at the same time, there’s good opportunities for us in existing infrastructure. These projects have to last longer – in the oil & gas industry, for example – they have to last longer as there will be less green-field and therefore they’ll need to upgrade their installations,” Dubarle asserts.

22 June 2016

opportunity in digitisation Dubarle says that he sees Schneider Electric benefiting from the region’s desire to embrace the Internet of Things and digitisation.

However, where he sees the biggest opportunity is in digitisation, or the IoT. This is a sector that is not slowing despite the uncertain economic times, and that isn’t just limited to the local region. Being based in Dubai, Dubarle has the opportunity to follow things pretty closely, and the city’s evolution over the last few years leaves him in no doubt that it is well on the way to becoming a fully-fledged smart city.

“The next step that Dubai is now undertaking is to place an overall platform – a backbone which will, at the end, encompass all the data that is present in the field, so that they will have the opportunity to monitor the entire city,” he outlines.

“Yes, energy has been subsidised here for many years, but now I think that the governments have understood [the importance of cutting energy subsidies]”

“At Schneider Electric, we’re very present in all the verticals that nurture this software, namely in utilities. We provide smart utilities and smart grids, particularly with DEWA, if we’re talking about Dubai. All of our devices that are with them – our hardware that is guiding, cutting and connecting electricity – are connected to the cloud.

“Obviously this data needs to be analysed with our software, sorted in our data centre and, at the end, will reach this citywide platform that is under implementation, together with all the data from other sources – the RTA for transportation, the data from smart buildings that are connected to the cloud, from healthcare to airports, all of the infrastructure that we represent with hardware, is connected to the cloud,” Dubarle explains.

He adds that the target for implementation of this city-wide platform is the end of this year, and by having it in place, it will allow Dubai to demonstrate that it is the best smart city in the world by allowing it to tangibly measure Key Performance Indicators.

This is evident in how DEWA has been able to become regarded as one of the most efficient utilities in the world, he says, explaining how the authority has been able to measure its efficiency by using very precise KPIs from the type of data that Schneider Electric helps collect.

“At a city level, that’s the kind of KPIs they can give for energy and also for transportation,” he explains. “They will be able to pilot life in the city and [tell citizens] that ‘you better go here or there to reach this spot’, because of the analytics they will get on the ground.”

“And for each of us, in our homes, where we live, what we’re seeing more and more in some countries (particularly in

In profile

California, USA) is that then an individual in his apartment or office can monitor, from his smartphone, the way he’s consuming energy. That could be lighting, HVAC or water usage.”

With smart metering positioned correctly in rooms, individuals can not only monitor their usage, but also receive feedback from utility providers on actual consumption or consumption trends. This can lead to some unexpected benefits, Dubarle says.

“To give you an example, there are some communities in San Francisco where they challenge themselves, from neighbourhood to neighbourhood. They say, ‘OK, today I’ve consumed less than you per capita.’ This kind of teasing seems to be a game, a Facebook kind of thing. But it’s really a trend that brings citizens up to the level of true consciousness of their behaviour,” he points out.

Given the prevalence of social

“Etihad ESCO has been tasked to audit and then retrofit existing buildings to make them more efficient.

We’re able to deliver 30% energy savings on an existing building, so this gives you an example of how it’s changing”

government backing Government organisations like DEWA have been taking the lead in using technology to upgrade and enhance their systems.

24 June 2016

media usage in the GCC region, this could have an interesting impact on energy usage. With energy having been subsidised for so many years, changing the mind-set of users could be a key factor in achieving sustainability and environmental goals.

“Yes, energy has been subsidised here for many years, but now I think that the governments have understood [the importance of cutting energy subsidies]. For the planet, but also to do some savings!

It’s one of the consequences of the COP21 agreement in Paris.

Each government in the region has committed to less carbon emissions. So actually, in most of the countries in the MENA region, the tariffs are being revised, if they’re not already. For this reason, it’s important to take into account renewable energy and to incentivise private companies to build solar farms and resell energy back into the grid.”

There are two aspects to this shift in mind-set that will affect citizens in the GCC. One is the re-evaluation of energy tariffs that Durbale has already mentioned, and the second will be of particular interest to the construction industry, he says.

“More and more standards are being enforced by the governments. The LEED standard for buildings, for example. For new buildings, the standards are very stringent. Energy-efficient architecture is to be respected.

“But also for existing buildings.

Etihad ESCO, which is a branch of DEWA, has been tasked to audit and then retrofit existing buildings to make them more efficient. We’re able to deliver 30% energy savings on an existing building, so this gives you an example of how it’s changing – the tariff is changing, the standards are changing and so the mind-set is changing as well.”

This isn’t just limited to Dubai, he’s quick to point out. Other GCC countries are also taking steps to rethink their energy policies and tariffs, with most looking at a mix of renewable and traditional energy sources to power their economies.

“What Dubai is doing, we see that in other GCC countries, mainly Qatar and Saudi Arabia.

They’re pretty well advanced, particularly in Saudi Arabia, in terms of rethinking their smart grid approach. Qatar is the same. Kahramaa is pretty well advanced in resetting the software management of its grid.

It’s really a tendency that we see everywhere in the region, at least in the past year. That’s due to the COP21, I think.

“Dubai is not an isolated case.

It’s probably more advanced because it started earlier than the others, but every country is having the same thought now,” he concludes.

Industry focus

OF DISPUTES AND DELAYS

Big Project ME speaks to Qatar-based MEP subcontractors and construction legal experts to find out why the industry is having such a difficult time of late. Gavin Davids reports 26 June 2016

Industry focus

June 2016 27

Industry focus

w

hen it comes to the construction of a project, the installation and construction of MEP systems and services are among the most crucial aspects of the job. Not only are MEP and HVAC systems vital to the long-term future of a building, but getting them right takes skill and careful planning.

So it would be normal to assume that MEP contractors are considered among the most valued and sought-after contributors to a construction project, but that’s not quite the case in the GCC, as many an MEP contractor will tell you.

Given the pace and rate of development in the area, it’s understandable that contractors and subcontractors come under a variety of pressures from different sources. Whether it’s the developer demanding a project be delivered on time, a consultant looking to cut costs or a supplier failing to live up to requirements, these are all issues that most contractors and subcontractors accept they have to deal with.

However, in a market like Qatar, some disturbing issues keep cropping up time and time again, shining the spotlight on a construction industry that is looking increasingly dysfunctional

as the clock ticks ever closer to the 2022 World Cup. Leaving aside the controversies surrounding workers for a moment, concerns have to be raised about how delayed payments and contract wrangles are hindering the ability of the industry to function as a cohesive whole.

While worker health and safety justifiably dominates international headlines, the delays in payments and breaking of contracts will have serious repercussions that will reverberate throughout the industry.

No one feels this more than MEP contractors, who have seen their cash flow affected by delayed payments, which in turn causes a host of issues, from being unable to pay staff on time through to losing out on work due to not having the resources to compete.

“Delayed payments which affect cash flow [are a major issue in Qatar],” says Murali S, managing director of Al Futtaim Engineering, a Dubai-based MEP contractor with operations in Qatar. “Regular cash flow has been a structural problem that is affecting the whole industry.

As a result, we’re being selective in the projects we work on, in order to ensure better cash flow.”

As the CEO and co-founder of Doha-based MEP contractor Arabian MEP, Vasanth Kumar is only too familiar with the issue of delayed payments. Speaking to Big Project ME, he paints a fairly gloomy picture of present conditions in the Qatari market.

“Taking an overall view of the MEP market in Qatar, all these years

we’ve been growing at a steady double-digit growth, but now the economic recession, sliding oil prices and budget deficits have put the whole thing in slow motion.

We’re all readjusting our forecasts, and the best we can do is maintain last year’s figures,” he says.

“If required, we can still grow, but there are tremendous risks involved. The main issue is the lack of liquidity in the market. If you’re ready to finance a project, then yes, you can take the job. But if you look for something with a positive cash flow, whether it’s an advance payment or timely progress payment – which are key for contractors – it is hard to see it in reality, as everyone is looking for a longer payment cycle.

“With the recent introduction of the Wage Protection System (WPS), it has become even more challenging for contractors. In contracting, 20% to 30% of contracts are related to wages. If you don’t pay your workers on time – by the first week of the following month – then the company will be blacklisted, visas will not be given and there are a lot of penalties,” he explains.

Niall Clancy, principal associate for Qatar at international law firm Eversheds, agrees that delay is one of the big challenges MEP subcontractors face, adding that his firm has recently seen an increase in consultations about claims for delayed payments.

“I think it goes without saying that it’s fast becoming a serious problem for contractors and subcontractors alike. The speed

MEP worries MEP subcontractors in Qatar face issues with the lack of liquidity in the market.

of payment really does depend on how far down the list of priorities the MEP subcontractor is, and to some extent that is dependent on the stage of construction.”

Kumar chimes in to say that MEP contractors need to make sure that they have adequate cash or working capital to take on projects, otherwise they face getting

“The main issue is the lack of liquidity in the market. If you’re ready to finance a project, then yes, you can take the job. But if you look for something with a positive cash flow, whether it’s an advance payment or timely progress payment – which are key for contractors – it is hard to see it in reality, as everyone is looking for a longer payment cycle” 28 June 2016

Industry focus

stuck in an unpleasant situation in which the main contractor has to buy materials on their behalf.

While this may sound fanciful to some, when you consider that replacing an MEP contractor halfway through a project is likely to work out to be far more expensive for the main contractor, it becomes clear that both parties are caught between a rock and a hard place.

“The main contractor has no option but to fund the subcontractor’s operation, pay the bills and at the end of the day adjust it against his final account,” says Kumar. “What is happening is that the contract payment terms mentioned in the document are not honoured. The contract may say that it’s a 30-day payment cycle,

but the reality is that you’re lucky if you get it in 90 days. Sometimes it goes on for months, or even a year. And if we’re talking about the final account, it could take years!”

Delayed payments is an issue that affects everyone, Kumar insists, recollecting a recent conference where the bulk of attendees were more interested in talking about the shared issues they faced.

“For us, being an MEP contractor, there are only two paths you can take at this point in time. Either you want to grow, or you want to reduce your exposure. We’ve taken a stand to reduce our exposure. We would like to consolidate and not expose ourselves to contracts which have a lot of ambiguity and disputes.”

As a partner in a joint venture,

Al Futtaim Engineering, this is something that Murali S says they are particularly wary about. Having dealt with delayed payments themselves, he stresses that they take pains to ensure that there is a meaningful collaboration between like-minded companies.

“At present, we are in a joint venture with a major MEP contractor in executing two large retail development projects.

Working together in a joint-venture relationship has provided us with synergies in various functional disciplines of the project and contractual administration of these projects,” he explains.

“We have jointly developed a supply chain of new subcontractors and equipment suppliers, which

will in fact benefit the local Qatar construction industry, since the selected subcontractors are now trained in the best practices in the industry.”

In fact, he’s adamant that joint ventures can bring a lot of benefit to Qatari construction by improving standards and performances, while also impressing upon the market the importance of following proper processes and procedures.

“International companies bring in newer health and safety practices, sustainability requirements, environmental regulations and so on, which shall benefit the region as a whole. They’re also more systematic and have better productivity levels, as compared to local companies who have a strong presence in the Gulf.

“Conversely, they have may have lesser exposure to fast-track jobs. So the processes followed by these international firms – to structure their work and achieve higher productivity levels – has to be integrated with the fasttrack nature of the projects in Qatar,” Murali asserts.

Niall Clancy points out that this fast-track approach is something that MEP subcontractors will be forced to contend with as the deadline to the World Cup gets ever closer.

“The developers or state entities are going to be under increasing pressure to complete – and they’re going to start coming under even greater pressure – to complete the World Cup-related projects on time. Some of them have started late and are already facing delays.

“There’s a general reluctance to award extensions of time. Instead, developers are relying on their liquidated damages provisions to put pressure on the contractors to complete the projects, and in turn, the contractors are then going to do the same to exert pressure on the subcontractors.

“Where MEP subcontractors June 2016 29

Industry focus

Problems with variations Vasanth Kumar says that variations in contracts are a critical issue for MEP subcontractors in Qatar.

fit into the equation is that they’re quite often blamed for delays.

Typically they’re quite a major part of the works, but they tend to come in later on the project and they depend heavily on other contractors for their success.

“In my own experience, where I see their performance being hindered is when they’re appointed late, which reduces the time they have to perform. A related issue to that is unrealistic programming, where if they’re appointed late and you have an unrealistic programme, then all the activities are compressed together to make them fit within the timeframe for completion.”

Kumar agrees with this, adding that variation is another critical issue facing MEP contractors in Qatar.

“No project is built exactly to design, there’s always changes.

But when the changes happen, they could be positive or negative, meaning it could be a positive variation or a negative claim. What we’ve seen is that while negative claims are immediately processed, positive claims are not decided 30 June 2016

until the project is completed.

“These days, we’re looking at huge positive claims, but how do they expect the subcontractor to finance and complete the job?

I’ve seen cases where, once the project is completed, it is extremely difficult to contact the people, to talk to them. You’re basically at the client’s mercy, waiting indefinitely, and in the end you may just write off the outstanding amount.”

This is certainly a problem, given that MEP contractors tend to operate on razor-thin margins of profit. If there are variation works on a project that are not approved or recognised, or not paid, then the result will be negative cash flow and losses for the affected company.

“Variations on MEP contracts are notorious for causing delays in construction and loss of productivity,” says Niall Clancy. “If you’re going to upgrade a system, then it’s not enough to upgrade just a mechanical part. It may require ducting, it may have to come out and new ducting will have to go in, which can cause further delays.”

“I think the major obstacle here is if you have an unsophisticated

Cash-flow delays Murali S points out that delays in cash-flows have made international firms wary about the projects they choose to work on in Qatar.

“Where MEP subcontractors fit into the equation is that they’re quite often blamed for delays.

Typically they’re quite a major part of the works, but they tend to come in later on the project and they depend heavily on other contractors for their success”

contractor or developer who doesn’t really understand what an MEP contractor has to do to successfully complete his work.

Where you have an unsophisticated party, you need to do considerable persuading before they’re willing to grant an extension of time or award any delay-related costs,” he adds.

In order to combat this, he suggests that MEP contractors ensure that their site staff are trained and knowledgeable, not only about delay and the causes of delay, but also about the contract they’re working on.

“One of the big barriers that I see is staff that fail to detect delay or that they simply don’t follow the contractual method for claiming. I think when that happens, the vital back-up – the proof of delay – is lost, and then you have a bit of an open goal for main contractors and developers to reject claims on that basis.

“I think it’s very important – and this is something this office is becoming increasingly involved in – to help subcontractors put together clearer and more concise claims, demonstrating their entitlement.

Industry focus

I think it’s very important that this is done at the outset.

“It ties back into unsophisticated developers and contractors, because again, they’re more likely to kick it off into litigation and arbitration if the claim is not really clear. A particular bugbear of mine is when senior management aren’t involved at an early stage, and when they are, they don’t fully understand the nature of the claim or the other side’s position. In particular, it’s when they don’t know what their alternatives are to negotiating a settlement, or if a settlement may be on the table, whether litigation or arbitration is a better option,” Clancy says, adding that contractors often have concerns about going to arbitration, but sometimes a better result can be achieved by doing so.

“I think what happens all too often in construction is that the first time you see a meaningful discussion take place is at the arbitrator hearing, because it’s only then that the claim that’s already protected arrives and the senior management are finally informed of what the strengths and weaknesses of the claims are. When that happens, it’s actually incredible to see the number of cases that are actually settled, and then everybody wonders about the huge amount of cost that was spent getting that claim to that place and position.”

With conditions as they are in Qatar at the moment, Kumar isn’t very positive about the way things are shaping up for the MEP subcontracting industry, pointing out that the prolonged slump in oil prices will reduce new project opportunities in the market. This means that the overcrowded contractor market will resort to low-price bidding wars and agreeing to whatever clients offer, he predicts, which in turn will make things go from bad to worse.

“The contracting industry is not properly structured in this part of the world and all major 32 June 2016

Bidding wars With market conditions the way they are, Qatari contractors will be forced to resort to low-price bidding wars, which could spell trouble for subcontractors.

“Regular cash flow has been a structural problem that is affecting the whole industry.

As a result, we’re being selective in the projects we work on, in order to ensure better cash flow”

decisions are purely commercial, in which the lowest bidder will win, regardless of technical capabilities,” Kumar says, striking a morose tone.

“If you look at how tenders are awarded to contractors, there’s a big price difference here. Since no contractor would like to make a loss, he will try to defend himself and create a resistance. But a client doesn’t want such things to happen, so they try to enforce the lopsided condition of the contract, where the contractor does not have any standing. So there’s always dispute and bitter arguments that lead to delays, arbitration, litigation, penalties and, in recent cases, the termination of contract and cashing in of the bond.”

This is down to where the MEP subcontractor exists on the construction food chain, Kumar

says. Being fully dependent on the contractor, consultant and client, there aren’t many options available to an embattled subcontractor.

“The main contractor is safe, because MEP subs are placed under them. So what they do is adopt a back-to-back contract, which means that only if the client approves, then they will approve your payments and variations,” he says. “So it’s the MEP subcontractor who’s taking all the risks, executing all these change order works, putting in all of his money and risking not getting paid.”

Despite industry gloom, Niall Clancy says there are still reasons for optimism in Qatar, pointing out that a mechanism in the country’s laws allows subcontractors to actually go around the contractor in the priority rankings for payment.

“It has its origins in the French civil code, which has heavily influenced the civil codes in the Middle East. Some countries don’t have it, they certainly don’t have it in the UAE, but Qatar certainly does, it’s one that I’m seeing being increasingly used.

“There’s a provision out here where subcontractors can, in certain circumstances, bring direct claims against the developer – the employer – bypassing the contractor completely. From their perspective, it’s something that’s quite helpful and it’s something that not all subcontractors in Qatar are aware of. There have been a few surprised faces when we’ve discussed it!

“I think the government of Qatar has gone further in that regard than some of the other jurisdictions in the Middle East. From that side of things, the government is quite proactive on that front, but inevitably there will be difficulties.

Those are going to centre around claims of delay, which to me is one of the most commonly sought issues in construction disputes in the Middle East,” he concludes.

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Comment

Gary Williams

A BreAth of fresh Air Gary Williams, director of Commissioning at AESG, examines the role of HEPA filter testing in ensuring sterile healthcare environments prevent infections Patient health is a foremost concern of any medical facility and is influenced by a host of factors. For top healthcare providers, many of these, such as qualified healthcare professionals and stateof-the-art equipment, are a given. However, new medical procedures and practices are constantly increasing the demands on the subtler aspects impacting patient wellbeing.

Facilities such as operating theatres, outpatient surgery suites, labour and delivery departments, critical care and 34 June 2016

intensive care are required to be extremely sterile environments.

In fact, hospital operating rooms are among the most infection-sensitive environments in healthcare facilities. And while providers make every effort to ensure cleanliness and sterility, many operating theatres continue to subject patients to high levels of bacteria and infectious particles. So while every patient comes to the hospital with the hope of getting better, many leave with brandnew infections and illnesses.

In operating rooms, the major

sources for infection include surgical personnel, surgical equipment and patients’ own skin flora. Perhaps most critical, however, is the air patients are exposed to, as studies have estimated that more than 30% of surgical site infections (SSIs) can be traced to airborne pathogens.

Solving these challenges calls for the use of specialised equipment, and one of the most effective lines of defence against airborne pathogens is the High Efficiency Particulate Air (HEPA) filter – a critical piece of equipment in preventing the

spread of airborne bacterial and viral organisms, and therefore infection. These filters are designed to arrest microscopic particles as small as 0.3 of a millionth of a metre in size.

HEPA filters are used in facilities that require fresh and ultra-clean air to protect people, products and processes against potentially harmful particles, and in hospitals they are used to prevent infection and the spread of certain diseases.

Why HEPA Filters have been Falling Short

Medical dangers There is a direct correlation between increased microbial counts in the air and leaking HEPA filters, increasing the chances of patient infections.

Comment

be a major factor. Improperly storing filters damages them and makes them unfit for use.

The risk that a leaking HEPA filter poses is real, as it negates the very purpose of installing the filter. In fact, research has shown a direct correlation between increased microbial counts in the air and leaking HEPA filters. So apart from investing in high quality filters for their facilities, healthcare providers must take additional steps to ensure that these filters are performing up to standard.

“Failure to install the correct filter and to maintain the filters will result in poor cleanroom performance and possible excessive running costs�

Failure to install the correct filter and to maintain the filters will result in poor cleanroom performance and possible excessive running costs.

Historically, little emphasis has been placed on the filter and its effect on the overall performance of the cleanroom.

Being a fragile and highly sensitive piece of equipment, a HEPA filter can under-perform due to a number of factors that include damage in transit, damage during installation, degrading of filter seals, incorrect installation, moisture

and debris in the ventilation system causing damage to the filter media, incorrect airflow through the filter, and incorrect temperature and humidity.

To understand the impact of these, consider for example packaging and delivery. The method used is the final determinant in receiving the filter in pristine condition.

The manufacturer can take the greatest care during production, but all will be lost if the filter is dropped in transit. Similarly, storage, which is rarely given more than a second thought, can

The Need for Testing Once the correctly specified HEPA filters have been installed, it is necessary to test them to ensure that there are no leaks which may compromise the overall performance of the room. Considerable money can be expended to get the filter into the cleanroom. Failure to validate the installation negates the whole reason for choosing the correct filter in the first place.

There are a number of reasons why testing is required. These include legislative requirements, the need to conform to regulations and standards such as BS EN ISO 14664 and EUGMP, health and safety requirements, manufacturing cleanliness requirements, and manufacturing productivity improvements.

Failure or incorrect application of the HEPA filter will lead to a degradation of the air quality.

Thus, if we test the HEPA filter to determine if it has passed, we can guarantee that the air we are introducing into the cleanroom is particulate-free for the chosen filter quality.

Normally, all HEPA filters are required to be 100% tested. The test method used varies from manufacturer to manufacturer and from customer to customer and may be automated or June 2016 35

Comment

manual – and, worryingly, may sometimes just be a visual test.

The tests available and used are: • Paraffin mist test – EN1822 • Aerosol DOP scan test – IEST RP002 • Aerosol scan test – EN 1822 • Aerosol DOP scan test – 8S5295 or IEST RP006.002 • Sodium flame test – 8S3928 Regrettably, the first three test methods do not call for the testing of the filter frame, while the sodium flame test inherently tests the filter frame. In general, it is up to the purchaser to specify that they want the frame tested; otherwise, only the filter media is tested. This is a major failing of the filter manufacturing industry and is one cause of a filter failing when installed and tested in-situ.

It is therefore preferable to opt for the aerosol DOP scan test (8S5295 or IEST RP006.002), which is performed

by introducing an aerosol challenge upstream of the filters and scanning downstream of the filters and support frame or sampling in a downstream duct. Done correctly, the DOP test will confirm that the final high-efficiency air filter system is properly installed by verifying the absence of bypass leakage in the installation, and that the filters are free of defects such as small holes and other damages in the filter medium and frame seal, or leaks that include bypass leaks in the filter frame and gasket seal and leaks in the filter bank framework.

DOP testing also makes it easier to identify where the leak is – rather than the haphazard approach that can occur where the filter or the filter housing is blamed and many hours of production time are lost in resolving disputes. Furthermore, such in-situ filter testing should

“Long term, correct application of the HEPA filter test not only lowers the chances of patient infection, it can also help reduce costs, including the costs that are not always easily accounted for”

be carried out in a room on a regular basis either quarterly, six-monthly or annually.

A good leak-free HEPA filter is capable of providing many years of clean air, but a leak, caused by damage to the filter, is cause for concern. The installed HEPA filters require regular testing to ensure they remain leak-free. When the HEPA filter is tested in situ and is leak-free, the healthcare provider can be sure that only clean air is being introduced into its sensitive environment.

Long term, correct application of the HEPA filter test not only lowers the chances of patient infection, it can also help reduce costs, including the costs that are not always easily accounted for, which are the time spent in remediation and the potential damage to the healthcare provider’s brand and reputation.

Long-term benefits A correctly installed HEPA filter not only lowers the chance of patient infection, but also reduces costs for the healthcare provider.

36 June 2016

CONCRETE REPORT JULY 2016 Big Project ME is publishing the annual 2016 Concrete Report - the definitive guide to the GCC’s concrete industry.

Targeted at contractors and project stakeholders, the 2016 Concrete Report is essential reading for those looking to make a lasting impact in one of the most dynamic and fast-moving sectors of an ever growing industry. Some of the topics we’ll cover are: The Future of Prefabrication and Modular Construction in the Middle East Insights from the Readymix Industry Trends in the GCC post-tensioning sector Formwork Focus Developing Green concrete How 3D printing can transform the concrete industry Who are some of the key concrete equipment manufacturers and suppliers in the market DEADLINE: 23 JUNE 2016 If you would like to participate, contact: ADVERTISING Jude Slann, Commercial Director +971 50 4563924 jude.slann@cpimediagroup.com Faaju AbdulFatah, Sales Manager +971 56 674 5757 faaju.abdulfatah@cpimediagroup.com EDITORIAL Gavin Davids, Editor +971 4 375 5480 gavin.davids@cpimediagroup.com A supplement of:

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38 June 2016

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elevated solutions Kuwait’s Ministry of Public Works shares technical details of the challenging Jamal Abdul Nasser Street multi-level expressway project with Big Project ME

June 2016 39

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w

hen it comes to building or upgrading road infrastructure in already busy and congested urban environments, engineers everywhere agree that the word ‘challenging’ only begins to describe such projects. Not only does the planning need to be spot-on and the execution faultless despite the constraints, heavy reliance must also be placed on specialised machinery, whose indispensability in seeing the work through to completion rises in direct proportion to the difficulty of the task.

Kuwait has recently embarked on such a challenging project, one that seeks to upgrade and add to existing road infrastructure on Jamal Abdul Nasser Street, a busy central area of Kuwait

City. The Jamal Abdul Nasser Street Development Project is a strategic undertaking by Kuwait’s Ministry of Public Works (MPW) as part of its continuing plans to further enhance the existing infrastructure and transportation network of the country.

According to the ministry, the total cost of the project is $803 million, which includes a multi-level elevated highway along with the upgrading and reconstruction of the existing service roads to provide additional traffic lanes with new, enhanced or relocated utilities infrastructure.

Handling the project is the joint venture of Pace and Louis Berger, which has been commissioned by the ministry to carry out the design and oversee the implementation of the project.

Right at the outset, the ministry outlined six clear objectives for the project. First was segregation of bypass traffic and local traffic flow via elevated highways. Next was increasing highway capacity to minimise traffic congestion.

Improving road facilities and

ProJect detAilS total length of twin carriageway segmental viaduct: 8.338km total length of single carriageway segmental viaduct ramps: 6.89km No. of pre-cast segments: 8,600 Pre-cast yard: 130,000sqm No. of pedestrian overpasses: 8 total length of mainline 6-8-lane highway: 10.075km total length of 4-6-lane link roads: 1.049km total length of ramps for interchange (1-3 lanes): 11.010km total length of service roads (6 lanes): 11.617km (with linked roads)

services was another key objective, as was making the project future proof by building in redundant capacity and service capability to meet demands that may arise with time. The final concerns were safety-related, seeking to reduce traffic accidents and improve overall road safety standards.

“In both its design and construction stages, the project stands as an engineering marvel.

Its calibre can be measured by the various advanced and largescale techniques and structural propositions employed to erect bridges, making it rank as one of the largest multi-level road projects in the world,” says Ahmed Suleiman Al Hassan, assistant undersecretary of the Roads Engineering Sector at the MPW, Kuwait.

Many establishments on the Jamal Abdul Nasser highway will benefit from the upgraded infrastructure. Among these are educational institutions, medical facilities and governmental departments, such as Kuwait University, the Shuweikh Medical Zone and the offices of not an easy task The Jamal Abdul Nasser highway project is one of the largest multi-level road projects in the world, posing many challenges to the engineers on the project team.

40 June 2016

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on-site delivery All the segments for the elevated bridge will be delivered to the site from the precast yard.

the Ministries of Defence and Trade. Most importantly, the upgraded road with enhanced capacity will also benefit the Shuweikh port zone, which stretches alongside part of it.

“Undertaking this five-phase project in such a busy metropolis like Kuwait City, along with the fact that it is upgrading an existing and already very busy road, required very intricate methods of construction that would not impede or disrupt the traffic flow or disturb the dynamics between the public and the environment,” says Mahmoud Ramadan, a project engineer representing MPW on the site.

A series of sophisticated largescale operations are being used to execute the project, requiring the latest technologies in bridge construction. This entails the construction of a stretch of over 18.6km of super elevated precast segmental viaducts and ramps.

These viaducts will be built by precast segmental techniques, with the segments assembled into a monolithic structure

“The project’s calibre can be measured by the various advanced and large-scale techniques and structural propositions employed to erect bridges, making it rank as one of the largest multi-level road projects in the world”

by means of post-tensioned steel tendons, linking them between the pier diaphragms.

Dr John Faulkner, project engineer representing the consultant’s JV, says: “All the segments will be delivered from the precast yard [PCY] to the erection sites by means of low-bed trailers travelling on the existing road network during periods of reduced traffic flow. The precast yard is located alongside Doha Motorway, towards the west of Kuwait City, about 12km from the project.”

“The precasting operation takes place 24 hours per day and the PCY is equipped with largescale precast machinery, such as mould production frames, heavy gantries, electric generators, water tanks and arrangements for curing. The yard itself occupies a total area of 130,000sqm apart from the offices, laboratory and concrete batching plants.”

Process and equipment The first stage of segment casting starts in the steel reinforcement cutting zone, where steel bars

are cut, bent and shaped to form the segment’s reinforcement as per the structural designs.

The use of the latest high-tech computer and CAD technology enables the reinforcement to be formed quickly and accurately into the required shapes.

Afterwards, a total of 11 overhead electrically operated cranes lift and move the reinforcement cages into the segment moulds in order to complete the casting and prestressing process. Longitudinal and transverse pre-stressing ducts are inserted prior to concrete pouring to allow insertion of high-tensile steel strands for subsequent post-tensioning purposes. A total of four gantry cranes, two each of 100t and 140t, mobilise the precast segments from the production bay up to the storage yard and finally load them on low-bed trailers for delivery to construction sites.

“The precast yard provides a bigger work space and a suitable environment for quality assurance of the segments with regard to consistency, strength requirements and durability. Other advantages also include easy geometry control and guaranteeing accuracy of future construction and better quality control,” says Ramadan.

The project entails the construction of an elevated segmental mainline viaduct extending for about 10km straight along Jamal Abdul Nasser Street.

The precast segments for the viaduct are received from the precast yard and mobilised vertically by a winch crane mounted on an 850t launching gantry, which pre-assembles all of the segments into one span in a technique commonly referred to as span-by-span.

A total of three interchanges and seven entry-exit ramps across the mainline viaduct add up to around 10km of additional short and long segmental viaducts. Their segments June 2016 41

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are lifted individually and attached to the previously installed segment on either side of the pier using the balanced cantilever method.

Ramadan elaborates: “All activities related to the erection of concrete precast segments are carried out along the viaduct’s alignment. The viaduct superstructure is, for the most part, made up of continuous precast, pre-stressed, segmental spans ranging from 26m to 108m.”

“Each of the 8,600 segments on this project is unique and meticulously designed using 3D models, such that each will fit into the exact position at the site.

The segments are raised upwards to their required positions to form the complete span between two consecutive piers.”

Explaining the technical details behind the construction, he adds that this can be accomplished by two methods of erection – spanby-span and balanced cantilever.

The first will be used to build the 8.6km main viaduct line, where the span arrangements are in a multiple precast segmental box and measure 34m to 57m.

In this method, all segments of a span are lifted in their correct sequence and suspended temporarily by means of an overhead launching girder, then epoxy glued together, followed by stressing to form a continuous unit.

The entire span is then released from the girder to the pier diaphragm by means of closure stitch. After the erection of each span, the launching girder moves to the next. The main structure is made by two to four parallel single box girders connected in pairs with slab closure pours.

In the balanced cantilever method, precast segmental box shorts for the 10km ramps span from 26m to 61m. The span is built by beginning at the pier and proceeding outwards mid-span equally on each side 42 June 2016

one of a kind Each of the 8,600 segments used on this project is uniquely and meticulously designed using 3D models.

of the pier. At mid-span there is a cast-in-place closure joint, either with the adjacent balanced cantilever or with the end span.

Among the equipment required for these methods is a lifting winch equipped with a spreader beam to pick up the segment and travel with it along the main girder. This winch is fixed onto launching gantries, two of which are being used in the project.

Apart from compressors and generators for powering the winches, the equipment includes forklifts, Man lifts and high-capacity spreader beams with slings and chains. Trailers and low-bed trucks bring the girders from the yard and position them under the winches, from where they can be picked up. construction sequence Explaining the two methods of erecting the spans, Faulkner says that in the span-by-span method, the gantry is side-shifted on the box alignment of the first section of the carriageway to be erected. Side-shift is the movement of the launching truss from one carriageway to

the next by sliding sideways on the support cross-beams.

The hoisting winch is then connected to the first segment, which is lifted onto the main girder and released in place. This process then repeats for all the sections of the bridge, and the position of the segments is adjusted by using the winch trolley and spreader beams.

Two hoisted segments are joined together by means of epoxy, with the winch trolley used to bring them together at the joint and hold them in place. The spreader beams are used to adjust the grade and cross fall of the segments, and temporary PT bars are stressed to close the joints. The joints are then closed and the gantries slide forward for the next segment.

The balanced cantilever method, Faulkner explains, starts with assembling the first lifting frame on the deck, followed by erecting the second typical segment of the cantilever. The segment is glued to the adjacent one using epoxy and temporary pre-stressing.

The lifting frame is then moved to the cantilever tip and the second

lifting frame is assembled on the deck. Permanent cantilever tendons are installed and stressed, and the segments are then erected in pairs, one for each side of the cantilever, using the two lifting frames.

The lifting frame in the mobile configuration is designed to travel along the cantilever deck while lifting a segment. This feature is being used at the project when the area below the tip of a cantilever is not accessible to the low-bed trailer delivering the segments. When all segments of one cantilever have been erected, the lifting frames are dismantled and reassembled on the next pier.

“At places in the project where impediments in the surroundings do not make the use of the lifting frames possible or make it inconvenient to lift and erect the cantilever segments, the segments are being erected by means of a mobile crane, apart of course from the pier segments and endspan segments, which are always erected by crane,” Faulkner says, as he brings the tour of this most impressive project to a close.

For more info Fila Middle East - Office 2705, Fortune Tower, JLT, Dubai Ph : +971 44 542 642, filamiddleeast@filasolutions.com

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Gamal Emara

Building the next Smart City Gamal Emara, country manager – UAE of HPE Aruba, explains why the Internet of Things can help construction companies with ontime, on-budget project completion Optimistic forecasts for the UAE’s construction sector for the next few years are driven by factors such as encouraging macroeconomics, affirmative demographics and rising tourism activities, as well as a resistant infrastructure project pipeline as part of the country’s strategic Vision 2021. With Dubai Expo 2020 also on the horizon, the government is solidly behind smart development initiatives.

As the UAE ushers in this new era of advancement, much has been predicted and promised about the integration of ICT into every aspect of the completed city developments.

The computing capabilities 44 June 2016

of mobile and Internet of Things (IoT) devices have advanced to a level that has made them capable of aiding the planning, designing and building phases. But turning mobility into an effective tool requires not only computing power but also connectivity. At job-sites, wired connections are not feasible and cellular networks are not always available, and hence a strong case can therefore be made for developers to use Wi-Fi solutions. These are not only easy to install and manage, but are now also affordable and rugged enough for deployment in harsh construction surroundings.

The IoT represents a huge opportunity for the construction

industry, which is constantly processing data and strives for workplace safety as well as efficiency. IoT needs a secure, scalable network to succeed and Wi-Fi offers what IT departments require for strong construction IoT networking.

Facilitating Workflow With the introduction of tablet devices, mobile project management has emerged as a worthy replacement for ageold methods. Coupled with the broad ecosystem of feature-rich mobile applications and the ability to draw from vast amounts of remotely stored data and cloud services, these devices are

capable of granting contractors, engineers and supervisors access to blueprints, schematics and other vital documents. Moreover, with the ability to instantly push updates to all members working on the project, mobile computing devices can aid collaboration and revolutionise the building information modelling (BIM) process in real time.

With site-wide high-speed wireless connectivity for all mobile devices, workers gain the ability to transfer high volumes of data back and forth between not only each other but also headquarters (HQ).

This significantly streamlines communications while cutting

identify cost-saving opportunities GPS data related to how equipment is used and where it’s located can help identify where companies can reduce costs.

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Asset-tracking technologies help monitor such equipment in remote locations and automatically detect and report suspicious behaviour.

Developers can also benefit from automated maintenance schedules, logs and reports. The readiness of cheap and easy-touse RFID technology has made the automation of inventory management possible. By knowing in advance which materials will soon run out, construction companies can foresee and avoid material deficiencies, thus eliminating losses in productivity.

Equipment repairs are one of the largest operating costs in the construction industry. With the advanced sensors available now, machinery can self-detect the need for a repair before it becomes a larger issue.

costs and improving operational efficiencies. This could also have attractive green side effects, as staff no longer have to make regular trips to and from HQ. High-speed wireless connectivity is an enabler of the following applications: Wearables A truck driver can be required to wear a wearable, which may come in the form of an activity band. Drivers and management can be notified if a driver is missing or unproductive.

Construction workers on-site can wear a helmet and vest with RFID, vitals monitoring, GPS sensors, motion sensors, etc.

Smart GPS GPS data related to where your equipment is located and how it is being used is important for identifying cost-saving opportunities and keeping your fleet organised. These benefits can be uncovered by analysing the GPS data from across your fleet and comparing it over a period of time.

Asset-tracking On job-sites, company assets are a major investment and the progress of construction is heavily dependent on their functionality.

Heavy equipment often has to be left on-site overnight, which makes it a prime target for theft.

Equipment Inspection Similar to monitoring and repair, equipment inspections can be enormously enhanced by the help of smart sensors. With the advanced sensors available now, machinery can self-detect the imminent need for repair before it becomes a larger issue.

Lost/late forms, low accuracy and undue internal processing time are no longer an issue with electronic processes.

Site Security Another vital area of a construction site where mobile technology can be applied is video surveillance. Not only does this enable better collaboration and remote supervision, it is essential to site security. Highspeed connectivity for robust and cost-effective camera equipment can mean the ready availability of high-definition video, making both identification and collaboration easier.

Evaluating IoT and Mobility Solutions for

the Construction Site An IoT solution implementation is not impossible to manage, but it’s not easy either. In fact, developing solutions for the IoT requires unprecedented collaboration, coordination and connectivity for each piece in the system, and throughout the system as a whole. All devices must work together and be integrated with all other devices, and all devices must communicate and interact seamlessly with connected systems and infrastructures. The challenge for the developer is to find a robust enterprise-class wireless local area network (WLAN) solution that is affordable in terms of capital expense and operational overhead.

In line with keeping things simple, developers should also consider investing in controllerless ‘instant’ WLAN solutions.

These solutions use a virtual controller on access points to deliver controller-like features including RF management and role-based access control. As construction integrates more deeply with IT, network uptime will become an increasingly important factor. It is therefore prudent to invest in network management tools, which can prove invaluable in providing maximum network availability.

Companies must look for a service provider whose solution is based on the latest 802.11ac wireless standard, as this delivers gigabit Wi-Fi combined with the device density and application intelligence required by today’s Wi-Fi networks.

There is also a need to balance cyber and physical security, since smart devices are physical in nature. For any country keen to drive smart cities, both cyber and physical security should always be considered in the upstream of the project.

June 2016 45

...coming soon

Show preview outdoor display More than 3,500sqm of rail track will be laid in the Outdoor Display area for exhibitors to showcase their wares.

InnoTrans 2016

Taking place September 20-23, 2016, the 11th InnoTrans will bring together the transport technology industry at the Berlin Exhibition Grounds

All over the world, mobility is vitally important, and with 41 fully booked exhibition halls the upcoming InnoTrans, the world’s leading trade fair for transport technology, emphasises this fact. These displays are augmented by the unique Outdoor Display area with its 3,500m of rail track. In addition to presenting innovative products and the latest railway technology, the exhibitors will be taking this opportunity to meet with leading international decision-makers from business, industry and politics. InnoTrans 2016 will take place 20-23 September at the Berlin Exhibition Grounds.

48 June 2016

A large international contingent – over 200 first-time exhibitors

This is the eleventh InnoTrans, and once again many participants are coming from abroad. As usual foreign exhibitors are strongly represented, making up over 50% of the total. More than 200 first-time exhibitors, in particular from Turkey, China and Taiwan, will be making the most of the opportunities presented by this event, a world leader in its field. InnoTrans is regarded as the number one platform for establishing new business relations and for focusing global attention on the products exhibited there. Three countries, Armenia, Vietnam

One of the highlights of this year’s exhibition will again be the unique Outdoor Display with a total of 3,500m of track

and Tunisia, are participating in this event for the first time.

When it was last held, in 2014, a total of 133,595 trade visitors from 146 countries came to Berlin in search of information from the 2,761 exhibitors from 55 countries, who displayed innovations from the worldwide rail industry in 40 halls.

Railway Infrastructure

An efficient transport infrastructure forms the basis for effective mobility, and this aspect is strongly featured in the constantly expanding Railway Infrastructure segment of the fair.

With an additional seventh hall, exhibitors from around the world

Show preview

are presenting their products and solutions for the rail segment on an overall area of over 30,000sqm.

Companies from over 30 countries are represented, including the US, Brazil, Australia and Russia, and several European countries too. The exhibitors’ comprehensive portfolio of products includes signalling and control systems, rail track technology and equipment for overhead power lines. Services for the planning and monitoring of construction work round off the display in this section.

Outdoor Display: USp with 3,500m of track

One of the highlights of this year’s exhibition will again be the unique Outdoor Display with a total of 3,500m of track.

Connected directly to the exhibition halls, it provides

InnOTRAnS OpEnS 20 SEpTEmBER 2016 The four highly informative and fascinating days will commence on 20 September with the official opening at the Palais am Funkturm.

The list of guests includes many prominent figures from around the world. Violeta Bulc, EU Commissioner for Transport, will be coming from Brussels. German Federal Minister for Transport and Digital Infrastructure Alexander Dobrindt and Mayor of Berlin Michael Müller will be attending, along with Dr Rüdiger Grube, chairman of the Board of Deutsche Bahn AG, and Jürgen Fenske, president of the Association of German Transport Companies.

trade visitors with an exclusive insight into the rail vehicles of the future. The latest vehicles are on show from well-known companies including Deutsche Bahn, Siemens and Vossloh Locomotives from Germany, as well as Alstom Transport from France, PESA from Poland and Plasser & Theurer from Austria.

In 2014, the Outdoor Display featured 149 innovative rail vehicles. A Special Gauge Display has been set up, and this September visitors will again be able to take a close look at rolling stock designed for use on non-standard gauges.

Bus Display

With their environmentally friendly power units, buses are becoming an increasingly attractive, supplementary form of transport for urban and regional services. InnoTrans

2016 is responding to this situation with the introduction of a new feature for exhibitors and trade visitors, the Bus Display. At the heart of the Berlin Exhibition Grounds (the Summer Garden), exhibitors will be able to take advantage of an attractive static display area for buses. It is immediately adjacent to a 500m circuit known as the demonstration course, where exhibitors will be able to demonstrate their vehicles to trade visitors.

International vehicle manufacturers in particular have shown keen interest in this new exhibition facility. A number of companies, including Solaris Bus & Coach from Poland, VDL Bus & Coach from the Netherlands and OJSC Managing holding company Belkommunmash from Belarus, have already given a firm commitment to exhibit here.

International audience Companies from more than 30 countries will be represented at InnoTrans 2016.

June 2016 49

Show review Qatar welcomes the world The 2016 edition of Project Qatar attracted a “huge number” of construction professionals and decision-makers from around the world, organisers said.

Project Qatar

The 2016 edition of Qatar’s premier construction exhibition attracted huge numbers of exhibitors and industry professionals from around the world

Project Qatar 2016, the 13th International Construction Technology and Building Materials Exhibition, held under the patronage of HE Sheikh Abdullah Bin Nasser Bin Khalifa Al Thani, the Prime Minister and Minister of Interior, concluded with great success on May 12, 2016.

Project Qatar, organised by IFP Qatar at the Doha Exhibition and Convention Centre (DECC), had major highlights, including a Business to Business (B2B) matchmaking platform where hundreds of pre-arranged B2B meetings between leading companies and visitors were held to explore the newest inventions, exchange knowledge and benefit from new business deals.

A highlight of the show this year was the Project Qatar Workshop Series, organised by IFP Qatar in collaboration with the Qatar Chamber of Commerce, to reinforce the educational and commercial aspects of 50 June 2016

the construction industry.

The Series focused on the advancements of the technologies in this sector, adressing topics such as sustainable smart cities, modular schemes, project analytics training, quality assurance and control, product testing, the role and importance of solar energy in today’s construction sector, GSAS awareness, construction waste, energy efficiency, green interiors, and new developments in building material industry, along with an HSE awareness session.

Commenting on the success of this year’s Project Qatar, George Ayache, general manager at IFP Qatar LLC, said: “Project Qatar 2016 attracted this year a huge number of professionals and decision-makers from around the world, eager to network and explore the most state-of-art technologies in the construction industry. The event has provided exhibitors and

ProjECT QATAr ExHIBITorS vISIT LuSAIL CITy On the third day of the exhibition, Project Qatar’s international exhibitors visited Lusail City, located on the coast in the northern part of the municipality of Al Daayen. The second of three site tours offered during the exhibition, it is planned to have marinas, residential areas, island resorts, commercial districts, luxury shopping and leisure facilities, a golf course community, manmade islands and several entertainment districts.

visitors with the latest insights and trends of the industry.”

This year, IFP Qatar also organised a number of events such as 3rd Annual LightingTech Qatar, 2nd Annual Future BIM Implementation Qatar, 3rd Annual Future Interiors Qatar, 3rd Annual Future Landscape & Public Realm Qatar, and 3rd Annual Future Drainage & Stormwater Networks Qatar.

In addition, IFP Qatar once again held its two-yearly concurrent events: Heavy Max 2016, the 13th International Exhibition for Heavy Machinery; and Qatar Stone Tech 2016, the 5th International Stone and Stone Technology Show.

Describing his company’s participation at Project Qatar 2016, Uday Shankar, marketing manager at Specialised Filters & Trading Co WLL, said: “It is so wonderful when it comes to the organising, and this is the fourth time we are participating. It was good.”

Tenders

Top tenders MohaMMed Bin Rashid stadiuM PRoject Budget $817,000,000 Project number MPP3033-U territory Dubai, United Arab Emirates client Dubai Sports Council Phone (+971-4) 324 4446 Fax (+971-4) 324 4449 email info@dubaisc.ae Website www.dubaisportscouncil.ae description Construction of a new stadium with capacity of 60,000 seats, including a training hall, car park for 5,000 vehicles, a sports museum and conference halls status New Tender tender categories Construction & Contracting, Leisure & Entertainment tender Products Sports Complexes

inFRastRuctuRe, Roads, hotel & conFeRence hall PRoject – neW caPital city

status Current Project tender categories Construction & Contracting, Hotels, Power & Alternative Energy, Roads, Bridges & Infrastructure, Sewerage & Drainage, Water Works tender Products Hotel Construction, Infrastructure, Roads Construction

indePendent PoWeR PRoject develoPMent Budget $480,000,000 Project number MPR1488-J territory 11118 Amman, Jordan client National Electric Power Company – NEPCO (Jordan) address Zahran Street, 7th Circle Phone (+962-6) 581 8230 Fax (+962-6) 581 8336 description Engineering, Procurement and Construction

(EPC) contract for the development of an Independent Power Project (IPP) with capacity of 485MW Period 2018 status Current Project tender categories Power & Alternative Energy tender Products Independent Power Plants (IPP)

shaza Riyadh hotel PRoject Budget $100,000,000 Project number WPR903-SA territory Riyadh 11534, Saudi Arabia client Al-Rajhi Group (Saudi Arabia) address King Fahad Area, Prince Ahmed Bin Abdulaziz Street Phone (+966-1) 454 4988 Fax (+966-1) 456 2600 email alrajhi@shabakah.com Website www.alrajhi.com.sa description Construction of Shaza Hotel, comprising 15 floors offering 205 rooms Period 2017 status Current Project

tender categories Construction & Contracting, Hotels tender Products Hotel Construction

caiRo MetRo PRoject – line 3 – Phase 4a Budget $300,000,000 Project number MPR1476-E territory Cairo 11794, Egypt client name National Authority for Tunnels (Egypt) address Ramses Building, Ramses Square Phone (+20-2) 3574 2968 / 3574 3024 Fax (+20-2) 3574 2950 email infoc@nategypt.org Website www.nategypt.org description Construction of a metro line comprising 5.15km of tunnel and five underground stations Period 2018 status Current Project tender categories Public Transportation Projects tender Products Metro

Budget $783,000,000 Project number MPR1498-E territory Cairo, Egypt client Ministry of Housing, Utilities & Urban Development (Egypt) address 1, Ismail Abaza, El Kasr El Aini Street Phone (+20-2) 2792 1441 Fax (+20-2) 2792 1423 email pppw-ww@mhousing.gov.eg Website www.moh.gov.eg description Execution of major infrastructure works and roads, including construction of a hotel and conference hall Period 2017

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52 June 2016

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Tenders

Middle East tenders UAE dRagon MaRt toWeRs PRoject – dRagon city distRict Budget $200,000,000 Project number WPR980-U territory Dubai, United Arab Emirates client Nakheel PJSC (Dubai) address Jebel Ali Phone (+971-4) 390 3333 Fax (+971-4) 390 3314 email info@nakheel.ae Website www.nakheel.ae description Construction of two residential towers comprising 1,120 apartments with leisure amenities and parking Period 2018 status New Tender tender categories Prestige Buildings tender Products High-rise Towers, Residential Buildings

tender categories Airport tender Products Airports Development & Management

concouRse c systeMs uPgRade PRoject – duBai inteRnational aiRPoRt

uMa liMe FactoRy PRoject – icad

Budget $381,000,000 Project number MPP3006-U territory Dubai, United Arab Emirates client Dubai Aviation Engineering Projects (DAEP) Phone (+971-4) 216 6222 Fax (+971-4) 284 4535 email info@daep.ae Website www.daep.ae description Carrying out overhaul/ upgrading of systems serving a concourse at an international airport status New Tender

Budget $5,000,000 Project number WPR990-U territory Abu Dhabi, United Arab Emirates client Higher Corporation for Specialised Economic Zones – ZonesCorp (Abu Dhabi) Phone (+971-2) 550 0000 / 8009 6637 Fax (+971-2) 550 0550 email customer.service@ zonescorp.com Website www.zonescorp.com

description Construction of a Lime Factory Period 2017 status Current Project tender categories Industrial & Special Projects tender Products Chemical Plants, Factories

Qatar jenan Residence PRoject – lusail city Budget $40,000,000 Project number WPR972-Q territory Doha, Qatar client Just Real Estate (Qatar) address Al Gassar Tower, 14th Floor, West Bay Phone (+974) 4491 3303

Fax (+974) 4491 3299 email info@jre.com.qa Website www.jre.com.qa description Construction of a residential building comprising 26 floors Period 2019 status New Tender tender categories Prestige Buildings tender Products High-rise Towers, Residential Buildings

al Majid toWeR PRoject – lusail Budget $35,000,000 Project number WPR964-Q territory Doha, Qatar client Al Majed Real Estate (Qatar) Phone (+974) 4447 8478 email almajed@qatar.net.qa

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54 June 2016

Tenders

description Construction of a commercial building comprising 4 basement floors, a ground floor, 23 additional floors, a parking level and a service floor Period 2018 status New Tender tender categories Prestige Buildings tender Products Commercial Buildings, High-rise Towers

inteRcontinental hotel PRoject – doha Festival city Project number MPP2386-Q territory Doha, Qatar client Bawabat Al Shamal Real Estate Company (BASREC) – Qatar Phone (+974) 4491 7070 email jihad.zarkout@ festivalcitydoha.com description Construction of a five-star hotel comprising a ground floor, mezzanine level and four other floors offering 351 rooms, including a ballroom and conference facilities Period 2018 tender categories Construction & Contracting, Hotels tender Products Hotel Construction

Kuwait Molten sulPhuR handling Facility PRoject – Mina al-ahMadi ReFineRy Budget $100,000,000 Project number MPP2084-K territory Safat 13001, Kuwait client Kuwait National Petroleum Company (KNPC) address Imad Commercial Centre Phone (+965) 2244 7477 Fax (+965) 2244 7492 / 2240 2269 Website www.knpc.com.kw description Engineering, Procurement and Construction (EPC) contract to build a molten sulphur handling facility at a refinery status New Tender tender categories Oilfields & Refineries tender Products Oilfields Exploration & Development

Oman PalM Mall PRoject – sohaR Budget $25,000,000 Project number WPR975-O territory Muscat PC 102, Oman

client Al Jarwani Group (Oman) address Bait Al Reem, 6th Floor, Al Khuwair Phone (+968) 2469 2883 / 2469 2887 Fax (+968) 2469 2889 email sidi@sidioman.com Website www.sidioman.com description Construction of a shopping mall comprising a ground floor and 2 additional floors, including retail and leisure elements with a total built-up area of approximately 35,000sqm Period 2017 status Current Project tender categories Construction & Contracting, Leisure & Entertainment tender Products Retail Developments

coPPeR tuBe Mill PRoject – sohaR Metals clusteR Budget $46,000,000 Project number WPR984-O territory Sohar PC 327, Oman client Sohar Port & Freezone Company (Oman) Phone (+968) 2685 2700

Fax (+968) 2685 2701 Website soharportandfreezone.com description Construction of a copper tube mill with capacity to produce 15,000 tonnes of copper tubes annually Period 2018 status Current Project tender categories Industrial & Special Projects tender Products Factories

Bahrain RailWay netWoRk PRoject Project number MPP2353-B territory Manama, Bahrain client Ministry of Transportation & Communications (Bahrain) Phone (+973) 1732 1105/ 1732 1055/ 1753 4534 Fax (+973) 1753 0243 description Construction of a railway network spanning approximately 105km Period 2022 status New Tender tender categories Public Transportation Projects tender Products Railways

INTEGRATED ESTIMATING, PROJECT CONTROL AND ERP SOLUTION FOR CONTRACTORS www.ccsgulf.com | Tel: +971 4 346 6456 | info@ccsgulf.com

June 2016 55

Last word

Designing, building and operating hotels efficiently Mark Shea, head of Hospitality (Middle East) for Faithful + Gould, provides hotel owners and developers with some guidelines for successful results Realistic from the outset

It’s vital to understand which market is being targeted and to ensure the end product is appropriate for the selected demographic. For example, here in the Middle East, hotel bedrooms are typically larger than average, but the overall facility should be tailored to suit the purpose – it’s all too easy to get carried away with grand ideas.

The food and beverage requirements should be clearly understood, alongside any recreational/ leisure/spa provision, recognising that luxury and mid-market hotel products require very different levels and types of facility.

Get the details right

A successful hotel’s design is closely aligned with its operational brief. We recommend spending sufficient time on the feasibility study – test the brief and don’t rush. Look at costs and programmes,

56 June 2016

considering the detail of value and returns, and make sure your hotel is affordable from the outset.

That means considering whole life costs, not just capital costs.

A relatively cheap building to construct may cost a lot more to operate and maintain, compared to a slightly more expensive alternative with the right specification and quality of materials and systems.

Construction

It’s important that project timelines be realistic at each stage. Allow enough time for completion of design before procuring the contract, and give the contractor enough time to build the facility.

It’s worth comparing different procurement routes, ensuring that each method is properly understood together with the respective costs and risk profiles, so that rules of engagement are clearly understood before

contracts are entered into.

Modular methods of construction

Although the capital cost may be slightly higher, prefabricated construction usually brings greater operational efficiency and lower maintenance costs, as a direct result of the quality of build in a controlled environment. Bathroom pods, for instance, offer efficient and cost-effective quality control, as well as sustainability benefits of minimising waste, etc.

Space planning and utilisation

Consider the orientation of the building, looking at sun path analysis, as this may reduce heating and cooling requirements.

For maximum efficiency, explore the best layout of the floorplate, the impact of stair core location, how many rooms per floor and the width of corridors. Plan location of key functional areas to avoid the need

for transfer structure.

Plan efficient back-ofhouse areas, to provide as much revenue-generating space as possible.

of the building during power cuts. Categorisation of key systems ensures that safety priorities are clear.

Sustainability

Energy-efficient systems

Less-than-efficient hotel mechanical, electrical and plumbing (MEP) systems are a frequently encountered issue.

These are designed to function in certain ways, to achieve the intended levels of efficiency.

However, it’s common for hotel maintenance teams to operate the system their way, rather than how it’s designed to work – thus negating the intended efficiencies.

MEP teams benefit from briefing and training, to ensure their understanding of how the whole building has been designed and intended to work.

Sufficient resilience should be built in to the electrical system, with back-up power supply to maintain critical functions

Understanding an owner’s intentions for the asset from the outset can affect the approach to design and construction. An owner looking to develop and sell on assets as part of an investment strategy will be looking to construct as cost-effectively as possible, to increase the opportunity for margin.

An owner with a longer term mind-set who is interested in the operational costs and efficiencies of the building in performance will be open to options to spend more capital in the expectation of significant operational cost savings. The use of LED lights rather than traditional light bulbs will require more up-front capital but will bring long-term cost benefits.