Big Project ME July 2024

Page 1


Titans of Technology

BIG PROJECT ME RECOGNISES EXCELLENCE IN DIGITAL CONSTRUCTION ACROSS 16 DISTINCT CATEGORIES

2024 ME DIGITAL CONSTRUCTION AWARDS

ANALYSIS FEATURES

08 The Briefing

Dubai announces ‘Tasreef’ initiative, which will enhance the capacity of the emirate’s rainwater drainage system by 700%

12 The Big Picture

A wrap-up of the biggest international construction news stories for the month 14

Market Report

JLL shares key insights into the Saudi construction market, highlighting commodities and construction cost drivers, project market trends and benchmarking

18 In Profile Titans of Construction Technology

The second edition of Big Project Middle East’s annual Digital Construction Awards took place on 26 June at the Habtoor Grand Resort, JBR, Dubai and recognised 16 winners from across the built environment

30 Interview Delivering Abu Dhabi’s Sustainable Ambitions

Big Project Middle East talks to ALEC’s Craig Griffin about the UAE’s wasteto-energy sector, and the delivery of Abu Dhabi’s first waste-to-energy facility

34 Comment

Balancing IAQ and energy efficiency in underground car parks is crucial writes Nuaire’s Philip Hughes

36 Comment

IFS Construction and Engineering’s Kenny Ingram and Chris Knight share insights on the future of construction from prioritising technology adoption to new business growth opportunities

40 Final Update

Arada completes first 920 homes in the Naseej District of Aljada

Gearing up for a productive H2

Welcome to a new edition of Big Project Middle East (BPME) dear readers. June was an extremely busy month, as the team was busy putting the finishing touches on the second edition of the ME Digital Construction Awards (ME DC Awards).

Compared to the inaugural ME DC Awards which took place in 2023, the 2024 event grew with regards to the number of categories, nominations, and award winners. The atmosphere at the gala dinner event on 26 June was electric, and I feel confident in saying that the event was a brilliant showcase of the companies adopting (and developing) cutting edge technology. I’ve no doubt the 2025 edition will be even bigger, as companies increasingly look to technology to drive positive business outcomes and achieve sustainability targets. With the awards now in the team’s rearview mirror, we’re looking to our busy second half of the year. On the other end of summer, on 10 September, we’ll be in Riyadh at the Radisson BLU Hotel for the first of BPME’s Saudi-focused conferences. The Future of Engineering Summit (FOE Summit) is an

all-new event, and as you may have gathered from the name, the summit will focus on a number of engineering-specific topics relevant to the Saudi market. The event’s key focuses will be on construction build quality, climate resilience and environmental engineering, and growing engineering content in the Kingdom.

Following the FOE Summit, BPME’s flagship summit – the ME Digital Construction Summit – will be hosted in Dubai on 25 September at the Habtoor Grand Resort, JBR. The key areas of focus this year will be on smart cities and advanced asset management, taking collaboration and construction quality to the next level, and the impact of technology such as AI and cloud services.

In October we’ll be back in Riyadh for two back-to-back events; the 2024 edition of the Construction Intel Summit KSA which will take place on 16 October, following which our new Golf Day event will take place on 17 October at the Dirab Golf & Country Club in Riyadh. Our last conference for the year, the second edition of the Future of Water Summit, is scheduled for 9 December in Dubai.

Rest assured, the BPME team and I will be sharing updates for all these events in the coming weeks. As always, if you are keen to get involved, please do drop me a note. Until then, enjoy the issue.

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Titans of Technology

BIG PROJECT ME RECOGNISES EXCELLENCE IN DIGITAL CONSTRUCTION ACROSS 16 DISTINCT CATEGORIES 2024 ME DIGITAL CONSTRUCTION AWARDS

ON THE COVER

Big Project Middle East recognises 16 champions of construction technology at the second ME Digital Construction Awards

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PROPERTY

Emaar expands loyalty scheme to two properties in Bahrain

MACHINERY

XCMG opens new service centre in Dammam

CONSTRUCTION

Hospitality-inspired residence launched by SOHO Development

CONSTRUCTION

Sharjah Airport expansion works on track says SAA

CONSTRUCTION

Aqua Properties sells 900 units in 100 days

EXPERTS: The planning and design of resilient ports

EVENTS: Future of Engineering Summit to take place on 10 September

NOW

Radisson BLU Hotel, Riyadh
INTERVIEW: Crafting living experiences

INFRASTRUCTURE

RTA announces new Dubai Harbour links Shamal Holdings will construct new entry/exit points which are set to reduce travel times by 75%

TECHNOLOGY

Eiffage inks deal to leverage Google AI technology for concrete projects

CONSTRUCTION

Red Sea Global achieves milestone for Turtle Bay Hospital

Once complete, the Red Sea will comprise 50 resorts, offering up to 8,000 hotel rooms and more than 1,000 residential properties

ENERGY

Gas production contracts awarded by Aramco Development programmes for Jafurah gas field and the Master Gas System are worth in excess of $25bn

PROPERTY

Fairmont and Sol Properties

launch luxury tower 55-storey Solara Tower will be in the heart of Downtown, with premium features set to include private swimming pools for VIP apartments

CONSTRUCTION

New attraction launched at Qatar’s biggest waterpark State-of-the-art roller coaster set to add family appeal to entertainment and adventure mix

INFRASTRUCTURE

Ghella and CPB achieve milestone on Sydney Metro

PROPERTY

Middle East’s upscale projects are a two-edged sword says report

TECHNOLOGY

FEDS and Flybotix

partnership brings new drone technology to the Gulf

PROPERTY

Dar Global in collaboration with Aston Martin for The Astera

Drainage Network

Dubai announces ‘Tasreef’

initiative

The initiative is one of the emirate’s largest strategic infrastructure projects and will enhance the capacity of Dubai’s rainwater drainage system by 700%

His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has approved a US $8.1bn integrated infrastructure project. ‘Tasreef’ aims to develop the city’s rainwater drainage network. Billed as one of the largest strategic infrastructure projects the city has undertaken, Tasreef will help boost the capacity of Dubai’s rainwater drainage

system by 700%, covering all areas of the emirate, said a report by WAM.

Sheikh Mohammed emphasised that the continuous enhancement of Dubai’s sustainable infrastructure is integral to its growth and prosperity. The initiative aims to create drainage infrastructure that is advanced, safe, flexible, and ready to face future challenges.

The project was approved in the presence of Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, and Deputy

UNITED ARAN EMIRATES

Prime Minister and Minister of Finance of the UAE, and Sheikh Ahmed bin Mohammed bin Rashid Al Maktoum, Second Deputy Ruler of Dubai.

RESILIENT INFRASTRUCTURE

The strategic project is a continuation of drainage projects launched by Dubai in 2019, covering the Expo Dubai area, Al Maktoum International Airport City, and Jebel Ali.

It supports Dubai’s plans and strategies for developing a flexible, advanced, and future-ready infrastructure. As a sustainable strategic project, it addresses future climate change impacts, such as increased rainfall, with a network designed to seamlessly adapt to all rainfall events.

Unveiling the project, Sheikh Mohammed said: “The largest rainwater collection project in a single system in the region, the initiative will increase the capacity of the drainage network in the emirate by 700%, ensuring the emirate’s readiness to face future climate-related challenges.”

He added, “Covering all areas of Dubai, the project will raise the drainage network’s capacity to more than 20m cu/m of water daily, meeting our needs for the next hundred years. We have directed the immediate implementation of the project, which will be completed in phases

Sustainable infrastructure Sheikh Mohammed emphasised that the continuous enhancement of Dubai’s sustainable infrastructure is integral to its growth and prosperity.

Record rainfall In April, the UAE recorded its heaviest rainfall in 75 years. The adverse weather conditions caused significant disruptions to life and business in the city.

by 2033. Dubai continues to drive infrastructure and urban advancements, enhancing safety and security for everyone living in the emirate.”

The Tasreef project aims to enhance rainwater and surface water drainage services with sophisticated and highly efficient infrastructure, improving operational efficiencies and reducing costs associated with station construction, operations and maintenance, as well as increasing the network’s lifespan.

Additionally, the rainwater drainage capacity through tunnels will reach 20m cu/m per day, with a flow capacity of 230 cu/m per second, making it the largest rainwater collection project in a single system in the region.

30% Rain is expected to rise by up to 30% over much of the UAE this century

The project will utilise tunnel boring machines (TBM), featuring automated control systems that enable continuous monitoring and data analysis, with advanced safety systems to ensure the safety of workers and equipment, the report from WAM explained.

RAINFALL SET TO INCREASE

In April, the UAE recorded its heaviest rainfall in 75 years. The adverse weather conditions caused significant disruptions to life in Dubai and the neighbouring emirates. In response, the UAE announced a $2bn relief fund to support Emiratis affected by the

flooding. Sheikh Mohammed said the extreme weather was "unprecedented in its severity" and lessons would be learned from the deluge.

Earlier in 2024, in January, scientists at the National Centre of Meteorology (NCM) stated that the annual precipitation is expected to rise by up to 30% over much of the UAE during the course of this century, driven by climate change. Heavy rainfall events are expected to occur more often, and there will likely be a fall in the number of dry periods, with farmers possibly set to benefit from the new weather, said a report discussing the findings.

The findings come as the world battles to limit global temperature increases to 1.5-degrees Celsius above pre-industrial levels in line with the Paris Agreement, the threshold above which scientists say much more severe effects of climate change are expected to result. The NCM’s study analysed data in three phases: 2021-2050 (near future); 2051-2080 (mid future) and 2080-2100 (far future) using historical data between 1985 to 2014 as a baseline.

Globally, an average increase in rainfall is being experienced as a result of climate change and is expected to continue, since a warmer atmosphere is able to hold more moisture, scientists at various agencies around the globe have warned.

Saint-Gobain enters into agreement to acquire FOSROC

FOSROC is a global construction chemicals player with a strong geographic footprint in India, the Middle East and Asia-Pacific

Construction chemical specialist FOSROC is to be acquired by Saint-Gobain for approximately US $1.025bn in cash. According to a statement from Saint-Gobain, the two firms have entered into a definitive agreement; the deal will strengthen Saint-Gobain’s worldwide presence in the construction chemicals segment.

Following the acquisitions of Chryso in 2021, GCP in 2022 and 33 additional acquisitions since 2021, this move is a new strategic step in establishing Saint-Gobain’s worldwide presence in construction chemicals, which will have combined sales of $6.63bn across

73 countries following the acquisition (pro forma), said the statement.

According to the statement, FOSROC is a global construction chemicals player with a strong geographic footprint in India, the Middle East and Asia-Pacific in particular. The company is expected to generate $487mn of sales and to achieve an EBITDA margin of 18.7% in 2024E. With 20 manufacturing plants and around 3,000 employees, FOSROC provides a wide range of technical solutions for the construction industry, including admixtures and additives for concrete and cement, adhesives and sealants, waterproofing solutions, concrete repair solutions and flooring.

The purchase price represents an acquisition multiple (before synergies) of approximately 11.3x FOSROC’s 2024E EBITDA of $91mn, and a multiple of approximately 7.1x when including runrate synergies of approximately $54mn in year three, the statement explained.

“The acquisition of FOSROC is perfectly aligned with our ‘Grow & Impact’ strategic plan: it is a unique opportunity for Saint-Gobain to further reinforce its worldwide presence in construction chemicals, and to strengthen its presence in high-growth emerging markets, in particular in India and the Middle East. I am very impressed with FOSROC’s leadership, its strategy and its impressive development, as well as the team’s track record of excellent execution and profitable growth. The combination of the two groups will allow us to expand our profitable growth platform in construction chemicals. I am looking forward to warmly welcoming the FOSROC teams into the Group and I am very confident about the combination of our joint forces,” explained Benoit Bazin, Chairman and Chief Executive Officer of Saint-Gobain.

This acquisition will be fully financed in cash. The group will maintain a strong balance sheet with net debt/ EBITDA remaining at the low end of the target range (1.5x to 2.0x), including the recently announced Bailey and CSR Limited acquisitions. Closing of the transaction is subject to customary conditions and is expected in firsthalf 2025, the statement noted.

STRATEGIC MOVE

The move is billed as a unique opportunity that is fully aligned with Saint-Gobain’s strategy to strengthen its worldwide presence in construction chemicals, supported by solid macroeconomic factors including the transition towards low-carbon concrete. It will complement the group’s worldwide growth platform in construction chemicals.

The statement also noted that FOSROC boasts a highly complementary geographic profile that will strengthen Saint-Gobain’s presence in high-growth emerging markets, notably India and the Middle East. FOSROC’s positions in the Middle East and Asia are also said to perfectly complement Chryso’s positions mostly in Europe, Turkey and Africa and GCP’s in North America, Latin America and Asia-Pacific. FOSROC is a leading player in India, one of the most attractive countries in construction chemicals worldwide, with growth supported by an ambitious infrastructure plan for the coming decades.

The integration will be led by Thierry Bernard, Chief Executive Officer of Construction Chemicals,

Specialist FOSROC is a global construction chemicals player with a strong geographic footprint in India, the Middle East and Asia-Pacific in particular.

Expansion

The move enables Saint-Gobain to reinforce its worldwide presence in construction chemicals, and to strengthen its presence in high-growth emerging markets, in particular in India and the Middle East

with the experienced team who developed the Chryso business over many years, managed its integration within Saint-Gobain, and who has piloted its successful combination with GCP since 2022, providing a high level of confidence in the integration of FOSROC. It will be consolidated into the High Performance Solutions segment, the statement outlined.

Jim Hay, Chairman of FOSROC added, “Today marks the beginning of an exciting new chapter in the history of FOSROC. Our focus on delivering the best solutions and satisfaction to our customers has enabled us to become a leading player in construction chemicals. I want to thank all our teams for their outstanding work over many years.”

“The opportunity to join SaintGobain, worldwide leader in light and sustainable construction and a global player in construction chemicals is the perfect next step to enhance our offer by leveraging Saint-Gobain’s innovation and technology in construction chemicals. I look forward to continuing our growth journey within SaintGobain,” concluded Rob Bonnici, Chief Executive Officer of FOSROC.

01 CANADA Jacobs wins SACMS contract

A contract for strategic advisory and commercial management services (SACMS) has been signed by Jacobs and Metrolinx’s Capital Projects Group. Metrolinx is said to be overseeing the largest transportation investment in the history of Ontario, Canada.

Under the five-year SACMS, Jacobs will establish a framework of vendors that Metrolinx can call upon for current and future work for a range of services.

Metrolinx is working on projects including the expansion of GO Transit, as well as the expansion of subway systems in the Greater Toronto area.

04 GERMANY

Inductive charging project launched

To boost awareness about e-mobility, Strabag said it installed in-road inductive charging technology in Bad Hersefled, Germany. The firm worked with Electreon to deliver the project.

As part of the testing, the team installed 23 copper coils into the road, which were wired together and connected to a power source adjacent the roadway.

When vehicles equipped with remote charging receivers drove over the test site, Strabag said a wireless electric connection was received. The coils also supply charges to equipped vehicles that are not moving, meaning the application could be used for motorways or parking depots.

02 UNITED KINGDOM

Acrow installs 90m prefabricated modular bridge

A 90m span prefabricated modular bridge has been installed by Acrow across the Clyde in South Lanarkshire in the United Kingdom.

The contract to build the replacement bridge was awarded by South Lanarkshire Council to Eric Wright Civil Engineering in November 2022.

Eric Wright then appointed Acrow Global to manufacture and install the steel superstructure, which is a 90m single span Mabey Delta bridge with a 4.2m wide carriageway, and an additional internal footpath.

PAHW awards US $564mn in contracts

US $564mn in contracts for the construction of infrastructure have been awarded by Kuwait’s Public Authority for Housing Welfare (PAHW). The works are connected with the 13,812 residential units coming up within South Sabah Al Ahmad City.

The first contract was awarded to China State Construction Engineering Corporation for the construction and maintenance of road and infrastructure for 7,623 units for the suburbs, while the second for the works related to 6,189 units for the suburbs was clinched by Sinohydro Corporation.

03 FRANCE

Eiffage inks deal to leverage AI for concrete projects

Contractor Eiffage has inked a deal with the aim of taking artificial intelligence (AI) solutions from Google Cloud and applying them the design and implementation of concrete in construction projects.

The contractor said its partnership will see it develop an internal technology platform based on solutions such as BigQuery, Apigee, Vertex AI and Gemini.

The firm said it hoped the technology will boost its teams’ efficiency, and ease of working, and that it would focus its efforts on the “design and implementation of concrete use cases”.

Kuwait International Airport awards upgrades contract

Dar Al Handasah has been awarded a landmark contract by Kuwait’s Directorate General for Civil Aviation (DGCA) to provide design and construction supervision services at Kuwait International Airport (KIA).

The assignment is divided into a 1.5year design phase followed by 3.5 years dedicated to construction supervision. The scope of work includes construction of a 1.5sqkm cargo platform designed to accommodate 77 aircraft stands, as well as upgrades to the central runway and its associated taxiways.

06 KUWAIT

Emaar expands loyalty scheme

Emaar Properties’ loyalty programme – U by Emaar – has expanded to Bahrain with the introduction of two beachfront properties – the Address Beach Resort Bahrain and Vida Beach Resort Marassi Al Bahrain. With this inclusion, members can indulge in luxury and lifestyle experiences, while earning and redeeming Upoints.

The Address Beach Resort Bahrain is said to be a beachfront hotel with direct shopping access at Marassi Galleria Mall, while Vida Beach Resort MarassiAl-Bahrain marks the debut of the Vida Hotels and Resorts brand in the Kingdom.

08 CHINA Herrenknecht delivers 17.5m diameter TBM

A mixshield tunnel boring machine (TBM) has been delivered by Herrenknecht for the construction of a 3.3km two-storey road tunnel with three lanes in each direction. The project is taking shape in Jinan, China.

The order for the Herrenknecht

Tunnelling Machinery (HTM) was for a machine to cross under the Yellow River in Jinan, in a geological environment with high groundwater pressure, and to create just one tunnel tube for both directions of travel.

Given the requirements, a large diameter was required: 17.5m. The TBM’s 5,600kW cutterhead drive delivers 35,017kNm of torque.

Ghella and CPB achieve milestone on Sydney Metro project

Substantial works on the first section of tunnels of the Sydney metro project have been completed as per Ghella and CPB Contractors. CPB and Ghella were awarded the US$1.3bn contract for the Western Sydney Airport, Station Boxes and Tunnelling (SBT) project in December 2021.

CPB said that it completed section S9 of its Western Sydney Airport, Station Boxes and Tunnelling (SBT) project, which comprises twin 1.2km-long tunnels running between the Airport Business Park and Airport Terminal sites.

AUSTRALIA
07 BAHRAIN

Industry Outlook

Kingdom Construction Intelligence Q1 2024

JLL shares key insights into the Saudi construction market, highlighting commodities and construction cost drivers, project market trends and benchmarking

Over the past four years, the Gulf Cooperation Council (GCC) and wider Middle East and North Africa (MENA) region have showcased impressive resilience in the face of global uncertainties and have experienced notable economic growth.

As a result, the project market in the region has thrived, boasting a strong pipeline of high-value opportunities, with KSA accounting for the highest value among all MENA countries. Additionally, the Kingdom’s dedication to its economic diversification goals further strengthens its position as a frontrunner in the region.

Despite challenges such as persistent inflation, elevated interest rates, geopolitical

tensions, unprecedented weather conditions in Q1 2024, and the potential impact of the US presidential election in Q2, JLL maintains a positive outlook for KSA.

According to data from the General Authority for Statistics, the country’s Gross Domestic Product (GDP) declined by 0.7% in 2023. However, GDP projections indicate potential growth of 2.1% in 2024 and 5.9% in 2025. In March 2024, the Riyadh’s Bank purchasing managers index declined slightly to 57.0 from 57.2 in February.

The Bank attributes the overall growth in Q1 2024 to robust domestic demand conditions and increased business activity driven by a rise in new orders. This indicates an overall improvement in the non-oil economy, although employment levels declined in Q1 2024,

HOW MUCH ARE KEY CONSTRUCTION RATES IN SAUDI ARABIA AS OF 2024?

15,500 18,000

Structural Steel (SAR/t) 475 600

as construction companies implemented measures to manage costs and cash flow.

In 2023, consumer inflation in Saudi Arabia remained below the global average, standing at 2.3%, as reported by the General Authority for Statistics. The tourism sector showcased strong performance, with the Kingdom welcoming over 100m tourists, marking a recovery rate of 122% of international tourists compared to 2019, as reported by UN Tourism and the World Travel and Tourism Council. This achievement prompted the establishment of a new target of 150m tourists by 2030. As of 2023, the tourism sector contributed 4% to the total GDP and 7% to the non-oil GDP, with domestic and international tourists generating $66bn in expenditure. In terms of construction, the leisure and hospitality sectors have been dominant, representing $4bn, or 23%, of the total value of project awards as of Q1 2024.

(SAR/m3) 5,200 6,500 Rebar (SAR/t)

55 80 Excavation & Disposal (SAR/m3)

According to the RICS construction monitor, the KSA construction sector is experiencing a strong expansion, evident from the upward trajectory of the Construction Activity Index (CAI) in Q4 2023. The Kingdom takes the lead in construction growth regionally and globally, driven by numerous projects, including ongoing gigaprojects and EXPO 2030. However, feedback from the local industry reveals certain market constraints. These include a shortage of top-tier contractors and consultants, intensified competition for skilled labour, whilst highlighting improvement opportunities for visa processing and bank finance.

The RICS report identifies an overheating market, exerting pressure on supply chains, resource availability, and project timelines, subsequently leading to price increases. The lingering shortage of skilled labour

resulting from the pandemic continues to pose a significant risk in Saudi Arabia.

Within the thriving KSA construction sector, an industry report noted that the highest value of awarded projects in 2023, reached $97bn compared to $60bn in 2022.

This notable figure showcases the country’s progress in economic diversification and investment, aligning with its vision goals.

However, it is important to note that this value of project awards represents only 6% of the potential pipeline, highlighting substantial opportunities within the sector. The commitment to diversification is further underscored by the contribution of non-oil activities, which accounted for 50% of the GDP, surpassing the contribution of oil activities at 33%.

As market dynamics continuously evolve, JLL diligently tracks updates and their impact on construction costs. In recent times, it

3,500 3,000

SAUDI ARABIA REBAR COST (SAR/TONNE)

has been observed that volatile construction costs have been influenced by various factors, including global economic headwinds, capacity constraints in the local market, rising shipping costs, and the escalation of interest rates.

COMMODITIES & COST DRIVERS

The latest data from the World Bank indicates a 5% increase in commodity prices during Q3 2023, primarily driven by rising oil prices and geopolitical tensions in the Middle East. However, despite this uptick, prices remained 29% lower than their peak in June 2022. The increase in oil prices stemmed from production cuts implemented by the OPEC+ group, leading to a rise from $72 per barrel to $90 per barrel by the end of Q3 2023.

According to the World Bank’s predictions, oil prices are expected to average approximately $81 per barrel in both 2024 and 2025. In contrast, the World Bank anticipates a 5% decline in base metal prices for the year 2024.

Nevertheless, forecasts from Emirates NBD Research and Bloomberg suggest a subsequent increase in these prices for the year 2025. It is worth noting that JLL has observed a historical correlation between iron ore and rebar prices. As of Q1 2023, despite an increase in the price of iron ore, the supply price of rebar has remained stable.

JLL maintains a close watch on construction rates in the Kingdom to remain updated on the ongoing price fluctuations. These fluctuations are driven by local market demand dynamics and external factors, such as rising input costs. Importantly, JLL acknowledges the significant impact of market shocks related to shipping and transportation, which greatly influence local construction rates due to the reliance on imported materials.

In 2024, disruptions have led to a notable increase in freight shipping prices. The Drewry Index has risen from $1,800 per 40-foot container in March 2023 to over $3,000 in March 2024. While still below

the peak price index observed in Q1 2022, conflicts and disruptions continue to pose potential risks for freight prices.

Despite recent disruptions and supply challenges, JLL’s analysis reveals stable material availability at present. While there is still a significant reliance on imported materials like glazing, facade systems, and timber in the local and regional markets, the medium- to long-term outlook indicates improvements in local manufacturing capabilities. These improvements are driven by the demand generated by major projects in Saudi Arabia.

According to the World Steel Association (WSA), global steel production saw a 1.6% decline from Jan 2023 to Jan 2024. However, there is anticipated growth of 1.9% in demand for 2024. In addition, in the MENA region, steel demand is expected to rebound in 2024, fuelled by megaprojects and the residential sector.

PROJECT MARKET TRENDS

In 2023, the real estate sector played a

substantial role in the project market. Among the highest recorded value of project awards for Saudi Arabia, which amounted to $97bn, the real estate construction sector accounted for $21bn, representing 22% of the total. Within this, the residential sector accounted for $8.6bn, while the leisure sector secured $5.4bn in project awards.

The pipeline value of unawarded projects remains strong despite ongoing local and global economic challenges, with KSA accounting for $1.5tn (39%) of the total MENA pipeline value of $3.9tn. Within the Kingdom’s $1.5tn pipeline, the construction (assets) sector represents $950bn (62%),

while transportation, infrastructure, and other utilities account for $582bn (38%).

IN CLOSING

JLL has observed a consistent upward trend in construction prices since the beginning of the pandemic. However, there is a potential for increased volatility in the coming months due to various economic challenges and external risks. These risks include factors such as climate change, adverse weather conditions, elevated interest rates, inflationary pressures, geopolitical tensions, and the upcoming key political elections in 2024.

KSA BENCHMARK RATES

Despite the challenges, if a robust pipeline of projects materialises in the market, it will exert significant pressure on the existing supply chain. To address this, it is vital to actively collaborate with clients to establish clear design and budget objectives at the early stages of construction projects, aiming to alleviate some of these pressures. Additionally, top-notch project management and cost management expertise is vital to help clients adhere to their budgets and timelines. Construction firms must focus on driving value during project design stages and assisting in selecting appropriate procurement and contractual strategies.

Resort (avg. 200m2 GFA/key)

(avg. 120m2 GFA/key)

Titans of Construction Tech

From over 80 nominations, a total of 16 winners were honoured at the second edition

of the ME Digital Construction Awards

The second edition of Big Project Middle East ’s (BPME) annual ME Digital Construction Awards took place on 26 June at the Habtoor Grand Resort, JBR, Dubai, and recognised 16 winners. The event was attended by 120 guests comprising well known individuals from developers, consultants and contractors.

Compared to the inaugural event in 2023 which featured 12 categories, the second edition boasted 16 categories, and aimed to recognise excellence across the construction supply chain, from developers

through to consultants, contractors and suppliers.

The BPME editorial team confirmed that over 80 submissions were received across the event’s individual, company and project categories when nominations closed. The judging process was split into two parts – the first saw the Big Project ME team vetting all the nominations to ensure that they met nomination guidelines and standards, and that they were appropriate for the focus of the awards.

The second part of the judging process involved a panel of industry experts, who deliberated over the nominations

that made it through to the second round. The judges for the 2024 ME DC Awards were:

• Allison Wicks, Managing Director, Qualitaz

• Karie Akeelah, Partner, Trowers & Hamlins

• Ezzeddine Jradi, Chief Transformation and Business Excellence Officer, EMICOOL

• Jason Saundalkar, Head of Content, Big Project Middle East

“The inaugural edition of the ME Digital Construction Awards was very well received, and based on that positive outcome, I decided to grow the event in terms of the number of categories to better cover the

digital construction segment. It was great to see the positive response to this move, with the number of nominations growing over last year in each category. This meant that the two rounds of eliminations were challenging for the editorial team and our panel of judges,” said Jason Saundalkar, Head of Content at Big Project Middle East . The 2024 ME Digital Construction Awards was supported by:

• Silver Sponsor: Engineering Contracting Company

• Bronze Sponsor: Thinkproject

• Quality Sponsor: RIB

| BuildSmart; RIB | Candy; RIB | CostX

Young Technology Champion of the Year

Digital Visionary of the Year - Service Provider

Iklim Okyar – AECOM

Mohammed Irfan Baig Mirza – ALEC Engineering & Contracting

Samer Saoud – Robert Bird Group NOMINEES

WINNER

Iklim Okyar – AECOM

This category aims to recognise a young individual that has positively impacted their organisation, through advocating for digitalisation, and the rollout of digital methodologies and/ or technologies to achieve excellence on a project or in their organisation. The panel of judges were keen to see tangible evidence of the person’s positive impact on the organisation and its stakeholders, as well as the broader industry.

A total of six nominations were submitted, with AECOM’s Iklim Okyar walking away with the trophy.

Okyar stood out with a stellar nomination and scored a clean sweep in terms of the

number of first choice votes from the judges. In her time with AECOM, she has worked on high-profile projects including NEOM, Red Sea Laheq Island, the Centre of Curiosity in Abu Dhabi and Jeddah North. She is passionate about BIM and is contributing towards global standards by hosting knowledge sharing seminars.

“I’m proud to receive the award of Young Technology Champion of the year. It is an excellent recognition of my achievements on implementing advanced digital workflows and contributions on digital delivery of major projects within AECOM,” stated Iklim Okyar –Assistant BIM Manager, AECOM.

NOMINEES

Carolina Fong Guzzy – Accienta

Marwan AbuEbeid – Turner Construction International

Syed Saud – Red Sea Global

WINNER

Carolina Fong Guzzy – Accienta

This category recognises leaders and technology influencers who are pioneers and role models driving the adoption of technology or delivering a complex project in the region, using state of the art technology and processes.

To qualify for this particular category, individuals had to hold senior management or higher positions in their respective firms for a period of at least three years.

When the first and second choice votes were tallied up, the BPME editorial team made the decision to recognise two winners, as they both hailed from different industry segments.

The first winner submitted a strong nomination which

highlighted her significant contributions to the industry and to clients. Her nomination was supported by positive testimonials from individuals at well-known regional construction entities including KEO and Khansaheb.

“I’m truly honored to receive this award. Really marvelled at what the power of imagination and hard work can achieve.

I hope this is inspirational and serves as a guiding light to others in this journey.

I’m looking forward to more collaboration with our clients in the ever-evolving landscape of Digital Transformation in our industry,” said Carolina Fong Guzzy, Co-Founder - Accienta.

Digital Visionary of the Year - Construction Digital Team of the Year

The second winner in the prestigious Digital Visionary of the Year category was recognised by the panel of judges due to his significant contributions to one of the biggest regional developers - in fact his nomination in this category was one of two submitted by Red Sea Global.

Syed Saud was ultimately chosen as the second winner in this category thanks to an impressive nomination that showcased his comprehensive digital transformation strategy that digitised over 125 business processes. This not only helped streamline operations at Red Sea Global but also leveraged advanced data analytics to enable improved decision-making, thus allowing the developer to remain competitive in the regenerative tourism market.

In his role, he has led the accelerated development of Project Management Information Systems (PIMS), completing Phase One within three months instead of

NOMINEES

Al Khoory Solutions

AtkinsRéalis

the typical nine to 12 months, resulting in a seamless, paperless stakeholder management system.

His nomination also showcased how he directed the integration of Robotic Process Automation (RPA) that automated routine processes, significantly reducing manual workload and enhancing productivity across departments. The quality of documents and reduced the workload of the PMIS Specialist is the key achievement of the RPA project, his nomination outlined, with multiple examples of tangible benefits that were tracked.

Last but not least, his nomination outlined how he prioritised embedding ESG practices within his firm’s core operations.

Thanks to his efforts, Red Sea Global tracked an 80% boost in operational efficiency, a 50% increase in stakeholder satisfaction, and a notable reduction in its carbon footprint, making him a worthy winner in this category.

KEO International Consultants

WINNER

KEO International Consultants

The Digital Team of the Year award aims to recognise teams that are enabling the digital transformation of an entire organisation or are responsible for driving the digital delivery of projects.

The team from KEO International Consultants walked away with the win thanks to its consistency of delivering positive results, whether they are assisting clients to drive BIM adoption on a large scale or implementing a digital twin of a complex project.

“Winning the ‘Digital Team of the Year Award’ is a testament to our world-class team and innovative leadership. This prestigious recognition underscores our commitment

to leveraging cutting-edge technology to drive excellence, efficiency, and sustainability in our projects. We are incredibly proud of our team’s dedication, expertise, and relentless pursuit of innovation, and contributions to the industry. This award highlights our strategic vision and the exceptional collaboration within KEO, positioning us at the forefront of digital transformation in the AECO industry. Our team’s efforts continue to set new benchmarks, and we remain committed to shaping a future defined by technological excellence and sustainable practices,” said Juan Tena, Digital Service Director at KEO International Consultants.

WINNER
Syed Saud - Red Sea Global

Digital Construction Project of the Year - Buildings

Digital Construction Project of the Year - Infrastructure

Amaala – Dewan Architects + Engineers

Qetaifan Island North Project – AtkinsRéalis

Six Senses Southern Dunes – Red Sea Global NOMINEES WINNER

Qetaifan Island North Project – AtkinsRéalis

This category aims to recognise a structure or group of structures that was successfully delivered or is being managed using an array of digital technologies and processes to achieve KPIs and excellence.

Eight nominations were submitted to this category, with six making it through to the second round of eliminations. Tallying the judges’ votes revealed that the Qetaifan Island North Project by AtkinsRéalis was the obvious winner.

In its nomination, the firm said its success on this project stems from its implementation of a Common Data Environment. This is said to have enabled unprecedented global

collaboration and real- time data sharing amongst a diverse team of stakeholders across multiple continents and time zones. This platform fostered a culture of transparency, informed decisionmaking, and proactive risk mitigation, ensuring a seamless and efficient delivery process.

“We’re grateful for this recognition of our work on the Qetaifan Island North project. Our team’s dedication to leveraging digital technologies, like our CDE and BIM implementation, has helped us deliver better outcomes for our clients and communities,” said Anastasios Dimas – Regional Technology Director at AtkinsRéalis.

Al Noud – AECOM

This category recognises a regional infrastructure project that was successfully delivered or is being managed using an array of digital technologies and processes to achieve KPIs and excellence.

In this project category, the panel of judges considered nominations that demonstrated exactly how technology and processes transformed the delivery or operations of an infrastructure project, and enabled stakeholders to achieve key goals and objectives.

While a total of three nominations were submitted to this category, the Big Project Middle East editorial team decided that only one nomination was truly worthy of recognition. This of course meant that this category had no shortlist with the winner being decided upon in the first round of eliminations itself.

AECOM walked away with the win for the Al Noud project;

its comprehensive nomination highlighted how it used a gamut of digital technologies for different aspects of the project, including Storm Cad for stormwater networks, Sewer Cad for sewer networks and Epanet for hydraulic analysis of water networks.

The nomination also said that Civil 3D software was deployed for road design, while Vissim was leveraged for traffic analysis, in addition to other specialised software suites, all of which resulted in numerous benefits being realised.

“We are thrilled to have Al Noud recognised as the Digital Construction Project of the Year. This prestigious award underscores the dedication and hard work of our entire team during the design and execution phases, reflecting our commitment to excellence,” stated John Boulos, Program Manager at AECOM.

WINNER

Construction

Software Provider of the Year

Technology SME of the Year

BuilderComs

Colliers International (India) Property Services

IR Design NOMINEES

WINNER Colliers International India Property Services – CoGence

The category recognises a company that provides software which enables companies to improve their operations or the delivery of projects.

Nine nominations were submitted, with five making it through the first round of eliminations. Following discussions, three companies were shortlisted with Colliers International (India) Properties Services taking the win for CoGence.

Through its nomination, the firm showcase how its AI powered software provided extensive automation for overseeing and managing projects, and has led to notable increases in client productivity, better visibility into

project progress and schedules, the timely resolution of quality issues, cost optimisations, and adherence to plans. The solution in question comprises a 3D as-built engineering model of the site generated from site scans and safety analytics facilitated by live camera feeds.

“Thank you very much, this is a wonderful feeling for us at Colliers International. We would like to thank the organisers of the ME Digital Construction Awards for recognising us. This is a great event and we feel very privileged to have come all the way from India to receive this award,” said Sankey Prasad, Chairman & MD, India & Middle East - Colliers Project Leaders.

NOMINEES

Accienta Al Khoory Solutions

WINNER

Accienta

This award celebrates small and medium-sized solutions providers who are native to the region, and have done sterling work in enabling construction firms to modernise, scale, and find new efficiencies, through the use of innovative technology and solutions. Judges studied nominations for proof that the SME in question supported a construction firm in its digital transformation journey, brought true value to its clients and drove business success.

Following the first round of eliminations by the BPME team, just two nominations made it through to the second round of eliminations. After deliberation, the judges opted to shortlist both firms but gave the winning nod to Accienta.

Accienta’s nomination showcased its agility and focus on delivering tangible client value. It also highlighted how in its seven years in operation, they have amassed an enviable portfolio of clients as a result of their value-driven approach including Etihad Arena, Empower Energy Solutions, Fujiarah Investment Company, ECC, Khansaheb, KEO, and many others.

“We are honored to receive this prestigious award, it is a testament to our constant dedication, innovation, and teamwork. It inspires us to continue pushing boundaries and delivering excellence to our clients. Thank you CPI Trade Media and the Big Project Middle East team,” stated Anas Elayyan, Operations Director – Accienta.

Data Champion of the Year

Excellence in Collaboration & Productivity of the Year

KEO International Consultants

KEO International Consultants

This category was conceptualised to recognise the use of data and information to enhance construction or even to better manage a building or infrastructure project.

Five nominations were submitted, with just two making it through to the second round. Following discussions, both companies made the shortlist, with the trophy going to KEO. Its nomination outlined how it leveraged data and data analytics to streamline project lifecycle processes, enhance efficiencies from the planning and design phases through to construction and into operations. On a recent project, the firm achieved an 11% enhancement in well-being and comfort, a 27% reduction in distraction,

and 78% improvement in daylight accessibility.

“We are honored to receive the ‘Data Champion of the Year’ award, recognising our strategic use of data to enable data-driven design, construction, and asset operations, as well as to enhance decision-making, analytics, and collaboration. At KEO, innovation, technology, and a data-centric approach are at the heart of our philosophy, ensuring high-quality project delivery and exceeding client expectations. Through advanced technology, rigorous data validation methods, robust quality management practices, and the development of custom tools, we achieve the integrity and reliability of our data,” said Mateusz Lukasiewicz, Digital Projects Manager at KEO.

Engineering Contracting Company

KEO International Consultants

Mott MacDonald NOMINEES

WINNER

Engineering Contracting Company

This category celebrates companies that have successfully leveraged technology to enhance collaboration across project stakeholders and boosted productivity and efficiency on complex projects.

12 nominations were submitted, with eight making it through to the second round of voting. From those eight, the judges chose to recognise three, with the most first choice votes going to Engineering Contracting Company, thus making it the obvious winner.

Through its nomination, the firm demonstrated significant prowess in aligning stakeholders, including architects, engineers, subcontractors and suppliers

throughout every stage of the project’s lifecycle, via advanced technology suites and collaboration tools. Through data-driven insights and analytics, the firm also analyses performance metrics, identifies areas for optimisation, and implements innovative solutions to drive efficiency gains and elevate project outcomes.

“In such a competitive market it’s an honor to win a prestigious award. We are honoured and of course big congratulations to our team, we work very hard to always ensure that we’re at the top of the market, in terms of our quality, excellence, and our productivity,” remarked Kareem Farah - ECC Group Director.

Net Zero Technology Champion of the Year –Consultant

Net Zero Technology Champion of the Year –Contractor

This category recognises companies that have utilised technology to achieve sustainability outcomes and Net Zero targets.

Six nominations were submitted, however following the first round of eliminations, just two were deliberated on by the panel of judges. Both nominations were strong and saw an equal number of first choice votes, and since one company was a consultant and the other was a contractor, the BPME editorial team made the decision to honour both companies with an award.

The winning company in the Net Zero Technology Champion of the Year – Consultant was AtkinsRéalis. Through its nomination, the firm highlighted its desire to align with global climate commitments and Net Zero goals, and showed how it leveraged its creative and technical excellence to achieve sustainable outcomes.

Thanks to its automation strategies, the firm said that it had reduced approximately 4,000 man hours in 2023, resulting in a 2.8-metric ton reduction in CO2 emissions from energy consumption. In addition, its in-house Decarbonomics platform, which leverages data analytics to provide a comprehensive framework to cost effectively reduce the carbon footprint of buildings, has identified over 300,000 tons of potential carbon reduction opportunities across more than 2,000 reviewed buildings.

“This award means a lot to us. It reflects our efforts to develop sustainable solutions like our Decarbonomics platform. We’re committed to supporting our clients in the Middle East as they work towards their environmental goals in construction,” said Ezzeldin Kishta – Associate Director – Controls and Digital at AtkinsRéalis.

The second winner in the Net Zero Technology Champion of the Year category was contractor, Innovo.

The firm’s nomination explained how it has embedded sustainability into its operations, and has rolled out a robust decarbonisation and ESG strategy that aligns with the UN’s Sustainable Development Goals. In line with this, it is deploying innovative solutions and implementing an array of sustainable practices covering waste reduction, recycling and even sustainable procurement.

In the last year alone, the firm said that it has produced over 6.5m kilowatt hours of electricity at its construction site offices, with solar energy accounting for 12% of this. The latter was said to have led to a reduction in carbon emissions by 3.2m kilograms. It has also implemented synchronous power plants on the Harmony—Tilal Al Ghaf

project site which has reduced carbon emissions by 400,000 kilograms, with an estimated cost savings of AED 290,000.

Innovo’s nomination also showcased its in-house developed iEnergy platform, which can be used to remotely monitor real-time data on energy consumption, pinpoint areas of inefficiency and waste, monitor generator efficiency, and identifies opportunities to identify AED and GHG savings based on peak usage.

David Robinson, Health & Safety, and Sustainability Director, Innovo remarked, “As we continue to embrace and develop innovative technologies, Innovo remains focused on fostering sustainability in every aspect of our work. We are proud of this fantastic award win, which reflects our ambition and our efforts to drive the construction industry towards a greener, more sustainable future.”

WINNER AtkinsRéalis
WINNER Innovo

Digital Construction Innovator of the Year – Consultant

Digital Construction Innovator of the Year - Contractor

Colliers International (India) Property Services

KEO International Consultants

Khansaheb Civil Engineering NOMINEES WINNER

KEO International Consultants

Five nominations made it through to the second round of eliminations, and following deliberation, three companies made the shortlist, with KEO emerging as the winner.

On a pilot project leveraging OpenSpace, KEO realised a number of benefits, including: higher data collection efficiency; increased stakeholder collaboration; greater site condition recording, in addition to transparent and realistic reporting. It also reduced physical site visits time by over 50%; reduced daily progress reporting activities and overheads by 60%, and increased productivity rates covering snag clearance, and quality of field to BIM.

“This accolade recognises KEO’s groundbreaking innovations in PM/CM, underscoring our commitment to leveraging digital technologies to revolutionise the industry. KEO’s digital transformation journey is anchored in the adoption of Reality Capture technology, a key component of our Construction 4.0 and 5.0 strategies. By integrating advanced technologies such as photogrammetry and OpenSpace in our digital PM framework, KEO has enhanced operational efficiency, improved stakeholder collaboration, and delivered superior client experiences,” said Hichem Troudi, Associate Director Digital Practice.

WINNER

Khansaheb Civil Engineering

Thanks to its strong nomination, the second winner of the Digital Construction Innovator of the Year category was UAE-based contractor, Khansaheb Civil Engineering.

Its nomination told a compelling story about the firm’s digital transformation journey which began a decade ago, as well as how it continued to build on its initial success, with the goal of improving efficiency and delivering exceptional services to its customers.

To avoid the challenges of multiple apps and data transfers and coordination, the firm said it had adopted a Common Data Environment through Autodesk Construction Cloud. Thanks to its use of technology, it has been able to deliver outstanding projects whilst simultaneously minimising costs and waste.

Its nomination noted that through its use of advanced technology, it has netted positive

results of 35% time savings on non-optional activities; 3.9-hours per week saved on dealing with mistakes and rework, 4.7-hours per week saved on conflict resolution, 5.5-hours per week saved on looking for project information.

The firm also said that using digital tools for on-site processes such as inspection and snagging over traditional methods has enabled it to reduce time wasted by 60%.

“Winning this award is a testament to the collective effort and dedication of numerous teams, including Digital Construction, IT, our project teams, and our clients and consultants. Their willingness to embrace technology has not only benefited the projects but also enabled us to deliver a better service to our clients,” remarked Duncan Payne, Group Support Services Manager at Khansaheb Civil Engineering.

Digital Consultant of the Year

NOMINEES

AECOM

AtkinsRéalis

Dewan Architects + Engineers

Mott MacDonald

WINNER

AtkinsRéalis

This category celebrates consultants that have successfully used technology to enhance operations, and design/deliver projects while boosting quality, efficiency and sustainability.

Judges were keen to see how companies used technology to boost efficiency, health and safety and sustainability, with data highlighting gains after integrating technology.

11 nominations were submitted, and following debate, four were shortlisted, with the trophy going to AtkinsRéalis.

Its nomination demonstrated its commitment to cutting-edge technology combined with talent

development, and a client-centric approach. By placing emphasis on these elements, and investing into AI and computational design, the firm said it pushed the boundaries of what’s possible in engineering design.

“We’re honored to receive this award. It’s a testament to our team’s hard work in embracing digital innovation. By focusing on emerging technologies and fostering talent, we strive to continually improve our services and add value for our clients,” noted Oliver Kallenborn – Regional Data Analytics and Assurance Director at AtkinsRéalis.

Digital Contractor of the Year

NOMINEES

ALEC Engineering & Contracting

Engineering Contracting Company

Innovo

Khansaheb Civil Engineering

WINNER

ALEC Engineering & Contracting

This category recognises contractors that have successfully utilised technology across their business and projects to operate and deliver work more efficiently, boost quality of construction and reduce waste.

Six nominations were submitted, with four making it through to the second round of eliminations. While four nominations were submitted, ALEC Engineering & Contracting was awarded the grand prize.

Through its nomination, the contractor showcased exactly how it differentiates itself with a significant focus on innovation, while simultaneously

engaging with the industry, with the goal of driving a safer and more sustainable future.

“There’s no debating the criticality of digital systems in driving quality and efficiencies in the construction industry. Through meticulous market analysis and unceasing research and development, ALEC continues to pioneer digital construction technologies and workflows. Winning this award is testament to the value that these efforts bring, not only to our clients, but the regional construction industry as a whole,” explained Andy Boutle, Head of Digital Construction, ALEC.

Delivering Abu Dhabi’s Sustainable Ambitions

UNITED ARAB EMIRATES

Big Project Middle East speaks to Craig Griffin, Operations Manager – Construction at ALEC Engineering & Contracting about the delivery of Abu Dhabi’s first waste-to-energy facility

In April 2024 it was announced that the integrated joint venture (JV) between ALEC Engineering & Contracting (ALEC) and BUTEC had been selected to build a waste-to-energy (WtE) plant in Abu Dhabi. The project is being driven by a special purpose vehicle (SPV) - Al Bihouth Waste to Energy Developer Holding Co Ltd – which is a consortium

comprising Hitachi Zosen Inova, Marubeni, JOIN and TADWEER.

The plant will be the first facility of its kind in the UAE’s capital, with the ultra-large incineration facility being developed to process 900,000 tonnes of non-recyclable waste annually over the next 30 years. Located near the Al-Dhafra landfill, the project aims to prevent

ALEC brings its expertise in large complex projects requiring detailed planning and coordination, along with the knowledge and experience BUTEC gained from their previous WTE plant which was completed in Sharjah”

carbon emissions equivalent to 1.1m tons or 240,000 cars on the roads.

What are some of the key goals that the client has outlined?

As you would expect, it is to complete the works as per the time requirements and quality standards required with the highest safety standards being maintained at all times. All of this is to be done in an open environment where everyone can speak freely and all act in the benefit of the project.

What is ALEC’s perception of the UAE’s WtE market? Do you anticipate seeing a greater number of these projects in the coming years?

Waste management

The ultra-large incineration facility is being developed to process 900,000 tonnes of non-recyclable waste annually over the next 30 years.

the release of nearly 1.1m tonnes of CO2-equivalent emissions annually. In addition, the plant is expected to add 80MW of power generation capacity from a non-fossil fuel source.

Per the terms of the deal, the ALEC BUTEC JV will oversee the engineering, procurement, and construction (EPC) of all non-process-related activities, encompassing works such as civil engineering, concrete and structural steel work, installation of mechanical, electrical, and plumbing (MEP) systems, as well as building services.

The JV will also manage external works and site infrastructure development.

Here, Big Project Middle East speaks to Craig Griffin, Operations Manager – Construction at ALEC about the UAE’s WtE market, the project’s vision and its delivery.

What is the vision that Al Bihouth Waste to Energy Developer Holding has for this project?

The vision for the project is to continue the emirate’s goal to become greener and more energy efficient whilst reducing its reliance upon carbon fuels. The plant when fully operational shall dispose of 900,000t of waste from Abu Dhabi, which in turn generates enough power to supply approximately 50,000 homes. This will also eliminate

The Abu Dhabi Waste to Energy Plant will be the third plant producing energy from waste in the UAE. This follows the successful completion of the Sharjah project, as well as the recently opened plant in Dubai. With the UAE’s goal of greener and more efficient energy production, and its policy on diverting 75% of waste from landfills, WtE projects assist with all of these targets. With regards to future projects, yes, in our opinion this will not be the final project within the UAE. There are other emirates and opportunities for expansion of the market within the country, which can benefit from generating power from waste and reducing the necessity for landfills.

Outline ALEC’s expertise on waste to energy projects or similar projects, and share what learnings ALEC will take from those other projects to ensure this project is successfully delivered?

ALEC brings its expertise in large complex projects requiring detailed planning and coordination, along with the knowledge and experience BUTEC gained from their previous WtE plant which was completed in Sharjah. The key to the success of this project is the interaction between all parties of the EPC to ensure that milestone dates for the handover of specific areas are achieved. This will involve monitoring all activities in line with the agreed timelines to ensure follow-on activities

INTERVIEW

can start for process equipment installation. We also aim for the early appointment of subcontractors to allow the preparation of drawings and materials to ensure everything is ready ahead of time for installation.

How did ALEC come to win this project and what are its timelines? Which divisions of ALEC will be involved in this project’s delivery? We became involved in the project through our JV with BUTEC. BUTEC were involved with the Sharjah Waste to Energy plant and were contacted by Hitachi Zosen Inova (HZI) about the opportunity of participating in the Abu Dhabi project. So, with the ALEC BUTEC partnership already in place, it created the perfect opportunity for us all to participate. There has been quite a long tender and adjudication process with the initial tender being released in mid-2022. The tender involved an incredible amount of work being completed on the design by both HZI and the ALEC BUTEC JV, the civil elements of this are dependent upon the facility’s process design being completed to allow the correct allowances to be made. But this has given us a good insight into what needs to be constructed and allowed for detailed planning to take place.

The ALEC BUTEC JV will execute the project using ALEC’s expertise in the civil works and BUTEC’s expertise in the engineering and MEP works. Once financial close is achieved, the construction period will take 36 months to complete. Civil works will take approximately 12 months with phased handover of various areas, which allows for the mechanical process equipment installation to commence by HZI in the required sequence.

What is the scope of services/ project delivery that ALEC will undertake for the Abu Dhabi WtE project?

As the EPC contractor along with HZI, ALEC and its JV partner BUTEC are responsible for the design and approval of all civil activities onsite. This

includes all reinforced concrete works in addition to the construction of any non-process buildings and workshops.

The roads and utilities infrastructure to the project site are also part of our scope of work. Internally all MEP installations relating to power and lighting and any ELV infrastructure also fall under this remit. The JV is also responsible for the management and maintenance of the site for the duration of the works, including all temporary power and water.

What are some of the challenges that ALEC anticipates it will encounter on this project, and how will these be tackled?

As with all projects there will be challenges. These are generally linked to the design and changes that must be implemented as the works are proceeding. With the WtE project being an EPC contract, we are in control of the design for our elements of work so this should eliminate the necessity for change.

What will no doubt aid our ability to overcome any challenges is the knowledge and experience that HZI brings. They have constructed numerous facilities, and their design is highly advanced. This is due to the amount of detail that was prepared and finalised through the tender process. In addition to this we have a

The key to the success of this project is the interaction between all parties of the EPC to ensure that milestone dates for the handover of specific areas are achieved”

pre-construction phase where we have planned all design activities in line with the necessary design approvals from ADM and in turn linking this to the programme of works.

What are some of the project’s key sustainability focused elements during construction? Will ALEC be involved in post construction operations of the facility, and if so, what efficiency is the project being designed for?

With the entire project being related to sustainable energy and environmentally-friendly production of power, we have always tried to ensure that the design is as efficient as possible. Whilst ensuring compliance with construction regulations, the quantity of rebar and concrete has been optimised as much as possible to further reduce the carbon footprint of the project.

We will be implementing our usual practices for re-cycling waste as per the ESTIDAMA Pearl rating systems applicable to the project requirements as the project progresses. In conjunction with this, we are maximising our utilisation of locally sourced materials.

The ALEC BUTEC JV will not be part of the operations and maintenance of the facility once it has been completed, this will fall under the remit of Hitachi Zosen Inova.

Regional veteran Craig Griffin, Operations Manager –Construction at ALEC.

Balancing IAQ and Energy Efficiency in Underground Car Parks

High-performance ventilation systems cannot come at the expense of environmental well-being - but in hightraffic areas such as underground car parks, how do we balance both? Nuaire’s Philip Hughes explains…

Across the GCC, rising populations, urban expansion and economic prosperity are driving up the number of cars on our roads and in our cities. In the UAE alone, passenger car sales are set to hit half a billion units by 2026 – that’s more than double the number in 2021.

This acceleration in demand for cars has also increased the need for parking space. And, in the region’s rapidly expanding, perenially hot cities, underground car parks provide the ideal space-efficient, heat-safe solution.

However, in recent years two issues have come under scrutiny:

the importance of indoor air quality (IAQ), and the urgent need for more energy-efficient building practices.

IAQ has become a global concern, drawing significant attention from public health authorities. A global shift towards industrialisation, urban living and widespread fuel consumption has led both indoor and outdoor air quality around the world to crisis point. In fact, the World Health Organization (WHO) estimates that exposure to pollutants and harmful volatile organic compounds (VOCs) is the cause of seven million premature deaths every year. Because of this, the IAQ in hightraffic, pollutant-heavy environments

such as enclosed parking spaces is under greater focus than ever before. Despite advancements such as catalytic converters in modern cars and the rising adoption of hybrid and electric vehicles many road vehicles still emit substantial amounts of harmful pollutants, including carbon monoxide and nitrogen dioxide. In enclosed spaces like underground car parks, these pollutants can accumulate rapidly as hundreds of vehicles pass through daily. Although the amount of time we spend in underground car parks is often limited, without proper ventilation the air pollution in these spaces can become highly concentrated. And, over time, even short-term exposure could have long-term health implications.

AIR QUALITY IN FOCUS

Today, initiatives like the UAE’s National Air Quality Agenda 2031 are actively taking back control of both indoor and outdoor air quality. These efforts are complemented by stringent health and safety regulations for enclosed spaces, including underground car parks.

Yet the demand for better ventilation is compounded by another global concern: climate change. In a region where temperatures are rising twice as fast as the global average, both local and national GCC governments are introducing ever-more ambitious plans to ensure more energyefficient, environmentally conscious operations. Sustainability is a core pillar of KSA’s Vision 2030, while the UAE is determined to reach Net Zero emissions by 2050. So, with ambitious carbon-cutting regional targets in place, contractors face the challenge of balancing high-quality ventilation with energy-efficient practices. What is clear is that clean, green and powerful ventilation solutions are essential for public health and environmental well-being. So, how do we balance high-performance and energy-efficient ventilation in spaces such as underground car parks? And is there a way to tackle both challenges in parallel, by improving IAQ while also promoting sustainable practices for our planet? In short, yes. Thanks to advancements in modern ventilation

technology, there are several approaches that contractors can take to ensure the safety and energy efficiency of modern underground car parks.

MAKING A DIFFERENCE

The first step towards more efficient and more effective ventilation begins in the design phase. By strategically designing car parks to optimise natural airflow, the need for mechanical ventilation can be reduced. This can be achieved by placing vents and openings in locations that facilitate the natural movement of air, allowing pollutants to disperse effectively. For instance, positioning vents at higher points where hot air tends to rise and openings at lower points can create a natural convection current, enhancing air circulation. By integrating these design principles from the outset, the reliance on energy-intensive mechanical systems can be minimised, leading to substantial energy savings while maintaining high IAQ standards. Secondly, investing in high-efficiency fans and motors can reduce the energy consumption of ventilation systems, while still achieving necessary ventilation rates. Traditionally, underground car park ventilation systems have depended heavily on mechanical ventilation which consumes large amounts of energy to maintain safe air quality levels. However, product innovations in ventilation technology address this issue effectively.

For example, Nuaire’s energy-efficient AXUS axial fans can achieve optimal ventilation rates with significantly lower energy input, for both day-to-day ventilation requirements and hightemperature smoke extraction. These fans use advanced motor technologies and aerodynamic designs, including IE2/IE3 motors and advanced fan impellers. This design innovation is also complemented by Nuaire’s bespoke Axial Configurator, which allows contractors to select the perfect axial from millions of possible combinations, to minimise energy waste while maximising output. Every unit is also engineered to meet British standards of at least 10 air changes per hour (ACH), as well as global standards on energy efficiency. By integrating these high-efficiency fans and motors, underground car parks can maintain good IAQ and drastically cut down on energy consumption, aligning with both environmental sustainability and public health goals. Finally, to ensure optimal IAQ and ventilation performance, regular maintenance and monitoring is essential. Today advanced tools and technologies, such as smart sensors, can help to manage both challenges by continuously monitoring IAQ by measuring pollutant levels in real-time. They can also track energy usage, providing valuable data on the performance and efficiency of ventilation systems. This data enables facility managers to make informed decisions about maintenance schedules and system adjustments, ensuring that ventilation systems run optimally with minimal energy wastage. By leveraging these technologies, car park operators can maintain high IAQ standards while simultaneously optimising energy use. High-performance ventilation systems cannot come at the expense of environmental well-being. In fact, achieving both at the same time is not only feasible, but essential. By leveraging innovative design strategies, advanced ventilation technologies and regular maintenance practices, we can create cleaner underground parking environments for better air quality and more sustainable living, from the (under) ground up.

Adopting effective digital strategies for new revenue opportunities

IFS Construction and Engineering Global Industry Directors, Kenny Ingram and Chris Knight, share their insights for the future, from prioritising digital technology adoption to expanding business growth opportunities

As the construction and engineering (C&E) industry faces ongoing challenges such as increasing labor shortages, it is exploring the adoption of digital technologies like AI to automate and optimise operations. To develop consistent revenue, businesses are transitioning to become total asset service lifecycle providers. Outdated and disorganised businesses will look to restructure and streamline operations through real-time data for accurate project budgeting and forecasting.

30% of C&E companies will deploy artificial intelligence (AI) and automation within the next three years. AI and automation in construction is the use of machines and computer systems that can perform tasks that

normally require human intelligence, such as design, planning, monitoring, and analysis. Examples include: data analytics; wearable tech; BIM & AI; tool tracking tech & IoT, and planning and scheduling optimisation.

For many C&E companies, the consideration and adoption of AI and automation are opportunities to address a number of very traditional and long-standing challenges, such as skilled labor shortages, that will only accelerate over time.

FUTURE REVENUE

C&E companies design and build assets as their primary focus. It will become increasingly common for these firms to evolve to servitised business models, providing services that support the operations and maintenance of an asset’s lifecycle. This trend is accelerating at a rapid pace, with a goal for this revenue stream to be >50% of their total revenue.

Many sectors face the challenge of low project margins, intensified by macro-economic conditions that complicate investment in new capital projects. Moreover, accurately forecasting which project contractors will secure a winning project margin is a difficult task. These factors make it risky to operate a business that relies on a small volume and poses potentially serious implications. As a result, this can lower their stock market valuation as they are characterised as volatile investments.

Addressing this, companies are actively seeking to diversify their businesses and reduce the impact of large value, unpredictable, low volume projects. By offering asset operations and maintenance services, C&E companies have an effective way to grow, and foster resilience in their business.

A benefit of this approach is the production of recurring revenue streams. Long-term maintenance contracts with a five-to-10-year duration are becoming more common. In fact, this business strategy accounts for over 50% of C&E companies’ revenue, with the aim of making the business more sustainable in the long term and increasing its market valuation.

There are many advantages to adopting this strategy that benefits construction firms and their clients:

• Aligns with asset owner’s strategy and objectives: C&E companies have knowledge of the asset they build, so they are in the strongest position to understand how it should be maintained to maximise performance and cost efficiency. We see this trend moving towards a ‘Contracting for Outcomes’ model where clients ask the company to design, build, operate and maintain the asset. We describe this as transitioning to becoming a ‘Total Asset Lifecycle Service Provider’

• Improved Resource Utilisation: Contractors have a skilled labor force that have the knowledge to construct install, repair and maintain elements that comprise an asset. These skills will be employed by the main or speciality subcontractors. Expanding the work beyond construction and installation tasks to maintenance work offers a way to increase labor productivity, leading to improved margins for the contractor, faster response times for the asset owner, and higher quality service

• Improved Asset Design: When contractors are involved in the dayto-day operations and maintenance activities, they have valuable insights into its performance. These insights can be fed back to

the engineering function to inform future designs and improvements

• Improved Safety and Regulatory Compliance: When the contractor takes responsibility for all stages of the asset’s life, they are exposed to how the asset is performing in terms of safety and compliance. This increases their knowledge and allows for continuous improvement

NEW BUSINESS LANDSCAPE

C&E companies are involved in designing, building, operating, and maintaining complex assets. To facilitate these complex business processes, companies have traditionally invested in a wide variety of specialised software applications for individual departments, and then attempted to integrate these systems together to provide efficient business processes. Due to the complexity of integrations, implementation is almost impossible to execute. As a result of inconsistent data structures many organisations resort to Excel spreadsheets to link processes and provide accurate management information.

To face these challenges, companies need to become more efficient, agile, and resilient. What’s holding them back? A disjointed business system landscape constrains companies and has many disadvantages.

30% of C&E companies will deploy AI and automation within the next three years

An effective digital strategy needs to be implemented, led by senior leadership. It should not be seen as an IT or even a tactical business project, but as a strategic, high-level business initiative. This transition needs to be part of a continuous improvement plan that aligns with business goals for significant value improvements.

A phased approach is necessary and would typically be split into two overarching phases - Stage 1: Get Control, and Stage 2: Transform and Innovate. Looking ahead, it’s clear the C&E industry must prioritise the integration of technology to create new revenue streams and streamline operations. Through the implementation of AI and automation and the adoption of a servitised business model, the industry can address challenges and enhance customer loyalty.

Solution provider Kenny Ingram - Vice President, Construction and Engineering, IFS.
Tech adoption For many C&E companies, the consideration and adoption of AI and automation are opportunities to address a number of very traditional and long-standing challenges.

The emergence of amenityrich residences

Property developers must recognise the growing demand for amenities and invest in projects that offer an array of facilities to standout writes Devmark’s Sean McCauley

Amenity-rich residences have been gaining significant traction globally, and it’s no surprise that this trend is poised to make its mark in our region as well. We’ve seen firsthand how these residences offer a comprehensive living experience, catering to the demands of convenience and exclusivity sought by discerning buyers. The emphasis on ‘move-inready’ properties coupled with a desire for aspirational lifestyles underscores the importance of amenities in shaping the real estate landscape in 2024.

But what are amenity-rich residences? While it’s common for buildings to include basic amenities such as gyms or swimming pools, today, developments are trying to stnad out by offering facilities catering to virtually every aspect of modern living.

Imagine co-working spaces for hybrid work schedules, conference rooms for meetings and presentations, and entertainment zones like children’s playrooms, lounges, all available within the residence. Beyond prime locations and stunning views, amenity-rich residences boast amenities, such as smart technology, digital concierges, app-based services, rooftop infinity pools, saunas/steam rooms, BBQ areas, etc. The global trend prioritising wellness and health is reflected in the demand for residences with facilities like gyms and wellness centres. These residences also foster a sense of community with communal dining areas, event spaces, and gardens. These amenities encourage interaction and build a sense of belonging among residents, reflecting a changing lifestyle. Internationally, we can witness remarkable examples of amenity-rich

residences. For instance, One Wall Street in New York offers a array of amenities, including wellness facilities, co-working spaces, and a world of white glove services. What sets this building apart from the rest is its meticulous attention to the diverse needs of its residents, including pet grooming facilities and a Whole Foods just an elevator ride away, which adds another layer of convenience to daily life.

One Port Street is another example of an amenity-rich residence located in Manchester’s iconic Northern Quarter. As the locality becomes a hotspot for young professionals and local businesses, the development caters specifically to the needs of working professionals. It features a resident’s lounge, co-working space, a 7th-floor rooftop terrace, and private dining areas, providing a comprehensive suite of amenities designed to enhance residents’ lifestyles and productivity.

In Dubai, we’ve noticed a considerable surge in properties that offer extensive amenities, aligning with global trends. Developers of both branded and nonbranded residences continually innovate to distinguish themselves through unique offerings, resulting in a series of developments with distinctive amenities.

Projects that we represent, including Hammock Park Residences in Wasl Gate, Sonate Residences in JVT, and Society House in Downtown, additionally exemplify this shift toward amenityrich living. These developments offer recreational facilities and co-working spaces catering to the diverse needs of modern families and professionals. Not only do these projects offer luxuriously furnished homes and an exclusive all-inclusive community, but they also provide resort-like amenities right at the doorstep for modern families. For instance, Hammock Park Residences offers a unique sandy lagoon, providing a beachside experience within the development, even though they are located away from the actual beach. On the other hand, Sonate Residences has a private cinema, a padel tennis court, herb gardens, and more.

Meanwhile, Society House caters to golf enthusiasts with a hi-tech GOLF simulator and offers a pet grooming salon for pet owners along with additional

the
Health and wellness
The global trend towards prioritising wellness and health is reflected in the demand for residences with facilities like gyms and wellness centres.

amenities such as a squash court, multipurpose room for community events and parties, etc. Yet, these projects are just the beginning. As expert real estate sales and marketing consultants, we’ve observed a notable uptick in demand for amenity-rich residences in the region.

DRIVERS

19% Property sales priced above $10m rose by 19% in the first quarter of 2024

So, why is there a rising demand for amenity-rich residences in Dubai? The answer lies in the city’s evolution and the changing expectations of its residents. With the UAE’s economy projected to grow by 5.7%, driven by international investments and buyers, the region is set to attract even more global attention. According to Knight Frank, the sale of homes priced above $10 million increased by 19% in the first quarter of the year, underscoring its appeal as a destination for affluent buyers and tenants. The investor-friendly environment, freehold areas, and iconic architecture draw high-net-worth individuals seeking an opulent lifestyle. The emirate’s status as a premier tourist destination fuels their desire for residential options that reflect upscale hotels, complete with pools, spas, and concierge services.

In fact, property prices increased in February, 5% more than the city’s previous market peak in September 2014, according to the Property Monitor Dynamic Price Index. This significant increase in property prices is evidence of Dubai’s thriving economy

coupled with the growth in demand for luxury residences in the city. As remote or flexible work becomes more prevalent, fewer people have to commute to work, which increases the demand for homes that facilitate a workfrom-home lifestyle. This need has been magnified by the pandemic’s emphasis on health and wellness. Dubai’s status as a business hub attracts professionals who desire residences that provide comprehensive amenities to seamlessly integrate into the city’s lifestyle. Families also significantly contribute to this demand as they actively seek residences that provide family-friendly features such as children’s play areas and proximity to schools. This setup not only enables busy professionals to work from home if they choose but also allows them to maximise quality time with family or engage in leisure activities. Amenities like coworking spaces, gyms, and entertainment zones allow residents to optimise their time and enhance their quality of life. Moreover, the allure of status and prestige associated with owning or living in a residence with exclusive amenities further drives the demand for such properties in Dubai’s society. Developers must recognise this demand and invest in projects that offer an array of amenities. Our analysis reveals residents seek homes that integrate amenities into their daily routines, eliminating the need for memberships and time-consuming commutes. Unique amenities differentiate developments, driving sales and enhancing property values.

BOTTOM OF FORM

In a competitive market, standout amenities attract residents and buyers willing to pay a premium for quality of life. For investors, amenity-rich residences present opportunities for higher rental yields and resale values. In essence, these residences are more than just homes. They serve as lifestyle destinations, reshaping Dubai’s real estate industry and redefining urban living. As Dubai thrives, the continued demand for such properties is undeniable. We look forward to upcoming amenity-rich residences poised to redefine luxury living experiences.

At
helm Sean McCauley is the CEO of Devmark.

Arada completes first 920 homes in Naseej District

Over 7,500 units have now been completed

at Aljada

Developer Arada has completed the first eight residential buildings in Naseej District,

The completion of all 920 homes in the Tiraz 1-8 buildings brings the total number of units completed at Aljada to over 7,500. Featuring a range of studios, onebedroom and two-bedroom apartments, the Tiraz buildings overlook courtyards and open spaces, and are linked to the rest of Naseej District by a lushly landscaped urban park. Smart home features come as standard across all

Megaproject

Spread over an area of 24m sqft, Arada’s Aljada development is Sharjah’s largest mixed-use project, and a transformational destination for the emirate.

blocks in Naseej District, as well as awarding the contract for Il Teatro by the end of this year, which will together result in an impressive new creative district for Sharjah,” stated Ahmed Alkhoshaibi, Group CEO of Arada.

The contract to build the Tiraz buildings was awarded to Kuwaiti contractor Mohammad Abdulmohsen Al-Kharafi & Sons in February 2022, with the first four buildings in the complex

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