www.energydigital.com | November 2015
NORTH AMERICAN POWER Exceptional power for exceptional customers
Infrastructure Power
Through Innovation Renewables An Inside Look At Tidal Power The Most Energy Efficient Hospitals in the World
IN THIS ISSUE
DIRECTOR’S COMMENT
“At North American Power, we want our customers to feel okay — and maybe even good — about paying their bill.” – Greg Breitbart, North American Power CMO. N O R T H A M E R I C A N P O W E R O P E R A T E S under the
radical notion that customers are smart people that want to conserve energy, understand their electricity bill, and have genuine respect when it comes to customer service. In this issue, we feature North American Power in an in-depth profile that shows how one of the nation’s fastest-growing energy suppliers makes good on its promises to its customers. We also take a look at the top ten most energy efficient hospitals in the world, examining each of their secrets to a greener heath care facilities. Among the hospitals featured are the Kohinoor Hospital in Mumbai, India, and the Khayletisha Hospital in Khaylitsha, South Africa. Both these centers utilize LED lights, water recycling, and photovoltaic power to help reduce their carbon footprints. Finally, In partnership with the Australian Renewable Energy Agency, and First Solar, Rio Tinto’s Weipa bauxite mine in Queensland has commenced the first commercial solar plant used to displace diesel. This comes as a bold move in the mining community, given the sector’s propensity for traditional power resources. All eyes are on the mine and its groundbreaking innovation.
Enjoy the issue!
Energy Digital Team
3
CONTENTS
Features
TOP10 Energy efficient hospitals in
the world
6
R E N E WA B L E S
Inside look at tidal power
20
INFRASTRUCTURE
12 4
Introduction
through innovation
November 2015
104 Ergon Energy
30 42
Coastal Municipalities Water utility (CMWU)
A DC Energy Systems
84 154
North American Power
Citelum
52 74
Oman Electricity Transmission Company
Atuabo Free Port
94
ESCO Advisors
Company Profiles MIDDLE EAST
94 ESCO Advisors
30 Coastal Municipalities Water utility (CMWU)
AUSTRALIA
42 ADC Energy Systems
144 Modex Energy
52 Oman Electricity Transmission Company
BRAZIL
AFRICA 74 Atuabo Free Port
104 Ergon Energy
154 Citelum
AMERICA LATINA 166 Enertolima
USA 84 North American Power 5
R E N E WA B L E S
Inside Look a
As one of the newer proposals to harne potential of tidal power and the benefi
at Tidal Power
ess the power of tides, we examine the fits it could have on the energy sector.
7
R E N E WA B L E S TIDAL POWER, a sister resource to wind, takes advantage of the predictability of the ocean tides to generate electricity, either via estuary barges or directly from the currents themselves via tidal streams. According to the Ocean Energy Council, the ideal area to net the most potential power is an area with a tidal range of at least seven meters. Energy can be generated via floating devices that drive hydraulic pumps, oscillating water columns within cylindrical shafts to create air movement, or hydropower turbines.
Potential sites The Pacific Northwest coast of the United States is an excellent location for tidal power, given its broad range of tide movement. According to Renewable Northwest, some areas of potential development include: • Makah Bay, Washington (by AquaEnergy Group) • Newport, Oregon (by Oregon State University / Oregon Department of Energy) • Tacoma Narrows (by Tacoma Power) • Puget Sound (by Snohomish County Public Utility District) The following sites are under development in Wales due to their wide tidal height variation and economically receptive marketplace: • Swansea Bay (by Tidal Lagoon Swansea Bay) • St. Asaph (by North Wales Tidal Energy & Costal Protection)
E.ON Pelamis machine in Orkney (UK), April 2012
8
November 2015
As a whole, the UK has the potential for over 11,000 MW, a staggering amount given the relatively small landmass of the country. This makes it the single largest source of hydrokinetic power in Europe, enough theoretically support 10% of
An infographic illustrating tidal turbines in a power grid network the world’s energy consumption. Meanwhile, Africa is getting in on the hydro game. Nearly USD $1 million has been granted by the Sustainable Energy Fund for Africa. The money is earmarked for a feasibly study for a 20 MW project in along the Gambia River. According to SEFA coordinator Joao Duarte Cunha, the money will support both the first independent power producer or public-private partnership project and the first
large renewable energy project in a transition country like Guinea-Bissau. In Asia, Japan and South Korea alone are estimated to have upwards of 3,200 MW total projected tidal energy sites. China would contribute another 2,000 MW to the region’s potential. Australia’s reputation for being a location for great surf translates to about 500 MW in tidal energy, while South America weights in with an estimated 300 MW, thanks to contributions from Brazil and Chile. 9
R E N E WA B L E S The Annapolis Royal Generating Station is a 20 MW tidal power station located in Nova Scotia and is the only tidal generating station in North America.
Innovative maintenance The best strategy for maintenance for tidal power is to keep it as minimal as possible, given the cost and difficulty associated with repairs hundreds of meters underwater. The original power station has found a unique way to overcome the challenges of salt water. The 240 MW Rance Tidal Power Station in northern France, founded in 1966, is the secondmost productive hydro plant in the world, edged out only by the Sihwa Lake Tidal Power Station in South Korea. A case study presented by the British Hydropower Association states that the French site chose to combat oceanic erosion with a unique innovation. After several years of research, the corrosion committee for the site decided to optimally position anodes on the turbines and gates, as well as the metallic parts of the lock, rather than using a traditional means such as painting coat. The result was virtually no observable corrosion between 1967 and 2007.
10
November 2015
I N S I D E L O O K AT T I D A L P O W E R
Funding a natural resource One barrier to tidal energy is a high initial investment cost. Tidal power companies are dealing with costs by securing major funding from both private and government backers. The MeyGen Tidal Energy Project on the Inner Sound of Caithness, Scotland, received USD $78 million in funding in August 2014. More recently, the European Commission’s Climate Change Committee boosted the project by another USD $18 million in October of this year by approving a transfer from Atlantis Resources Kyle Rhea project to the MeyGen project. Once completed, the plant is expected to generate up to 398 MW of power to the UK National Grid by the early 2020s, making it currently the largest planned tidal power plant. Meanwhile, Black Rock Tidal Power out of Nova Scotia, Canada has netted USD $11.5 million for its floating hydrokinetic platform designed by TRITON. As reported by Hydro World, the monies come from a variety of investors, including private equity firms such as Inerjys Ventures, Schottel Group, and Envirotek. The platform is projected to produce 2.5 MW during a 15-year tidal feed-in
MeyGen Tidal Energy Project tariff with Nova Scotia Power. In the United States, funding is going to not just the construction of tidal power sites, but also into the research required to produce the most efficient, least environmentallyinvasive turbines possible. The U.S. Department of Energy has funded floating turbines off the coast of Maine in a joint project with the University of Maine, according to Forbes and the department’s official website. The program will cost the U.S. government $12 million from the launch in 2013 to its completion in 2018, and is 1:8th the scale of a commercial installation. The agency’s goal is to produce 10,000 MW by 2020, and the Maine program is an effort towards that milestone. 11
INFRASTRUCTURE
POWER THROUGH
innovation
Global mining giant Rio Tinto is in the process of adding a solar component to its Weipa Bauxite Mine in Queensland, Australia – and potentially revolutionizing the entire industry. Writ ten by: ROBE RT SPE N C E and edited by: J E N N I FE R WH ITE 13
INFRASTRUCTURE LOCATED ON THE Western Cape York Peninsula in Queensland, Australia, the Weipa bauxite mine officially commenced production in 1969 and is operated by Rio Tinto Aluminum, a subsidiary of mining giant Rio Tinto, and produces roughly 16.3 million tons of bauxite each year. In September 2015, Rio Tinto announced the launch of Australia’s first commercial diesel displacement solar plant, the Weipa Solar Plant, which is expected to generate electricity for the mine, processing facilities and associated township. And with proven success in the industry coupled with firm roots in the region -- this forward-thinking operation may be the start of a mining- and energy-related revolution. The Foundation: Weipa Bauxite Mine Mining activities at the Weipa bauxite mine officially began in the late 1950s following the discovery of the vast bauxite resource by Geologist Harry Evans in 1955—and although the town of Weipa was constructed by Rio Tinto Aluminum in the 1960s to house its mining workforce, today 14
November 2015
it serves as the regional hub of the Western Cape, hosting many businesses and government services. Operations at Weipa consist of two continuous mining operations at East Weipa and Andoom, two beneficiation plants, 19 kilometers of railway to transport mined bauxite to the port area, two stockpiles, and two ship loaders. Some product is shipped to international customers however the majority of Weipa bauxite is supplied to the Queensland Alumina Limited and Rio Tinto Aluminum Yarwun refineries, both located in Gladstone, Queensland. There are 11 Traditional Owner groups represented in the area, and Rio Tinto continues to operate in consultation with the Traditional Owners of the region. The company also operates under three Indigenous agreements — the Western Cape Communities Co-existence Agreement (WCCCA), the Ely Bauxite Mining Project Agreement (EBMPA) and the Weipa Township Agreement — to provide economic, educational and employment-related benefits to the community, including cultural heritage support and formal consultation processes with the
R I O T I N T O ’ S S O L A R - P O W E R E D W E I PA M I N E
Some product is shipped to international customers however the majority of Weipa bauxite is supplied to the Queensland Alumina Limited and Rio Tinto Aluminum Yarwun refineries
“The Weipa Solar Plant provides the opportunity to demonstrate that PVdiesel hybrid projects can also be as reliable as stand-alone dieselpowered generation” – Jack Curtis, regional manager of First Solar, Asia Pacific
traditional owners of the land. At Weipa, indigenous employment is a key focus area for Rio Tinto, with around 22 percent of the workforce representing local Aboriginal and indigenous Australians. In addition, the company is a major contributor to the regional economy and invests heavily in local infrastructure to support the Weipa township. The Innovation: Weipa Solar Project The Weipa Solar Project involves the two-stage construction and operation 15
INFRASTRUCTURE
Rio Tinto’s solar-powered Weipa Solar Plant - construction timelapse of a 6.7MW solar photovoltaic (PV) farm at the bauxite mine, which is expected to generate up to 2,800 MW of electricity annually and supply 20 percent of the town’s daytime electricity demand. The electricity generated by the solar farm will also reduce the dependence of Rio Tinto’s 26MW power station on diesel-generated electricity by up to 20 percent. “We expect the energy from the solar plant will help reduce the diesel usage at Weipa’s power stations and save up to 600,000 16
November 2015
liters of diesel each year,” said Rio Tinto General Manager, Weipa Operations, Gareth Manderson. Until now, Rio Tinto’s bauxite mines at Weipa have been powered by two diesel-engine plants that provide electricity to the mine, the town of Weipa and the neighboring community of Napranum. The hybrid system, set up by U.S.-based PV manufacturer First Solar, will link the electricity generated by the 18,000 advanced PV modules to Rio Tinto’s existing mini-grid. Integration is through
R I O T I N T O ’ S S O L A R - P O W E R E D W E I PA M I N E
a new control system, FuelSmart solutions, which enables concurrent diesel and PV dispatch. Again: This is the first time a commercial diesel displacement PV system has supplied power to a remote Australian mining operation on such an impactful scale. “It is already widely acknowledged that solar electricity is typically cheaper than diesel-powered electricity, particularly in remote locations. The significance of the Weipa Solar Plant is that it provides the opportunity to demonstrate that PV-diesel hybrid projects can also be as reliable as stand-alone diesel-powered generation,” said Jack Curtis, First Solar’s regional manager for Asia Pacific. “This is the largest project of its kind almost anywhere in the world for this type of application, which is serving mining load or mining electricity needs with a hybrid solar/diesel system,” said Curtis. “It’s certainly the first of its kind as it relates to working with a company of Rio Tinto’s size.” Under a power purchase agreement, Rio Tinto will buy back the power for a period of 15 years.
“This power purchase arrangement is an opportunity to trial the introduction of an alternative power source such as a solar plant into a remote electrical network like the one here in Weipa,” said Manderson. The second stage of the project would add an additional 5 MW of solar PV and take total renewable capacity to 6.7 MW. This would boost the fuel-saving potential to approximately 2,300,000 liters of diesel on average each year, reducing Weipa’s greenhouse gas emissions by around 6,100 tons per year. At peak output, this is expected to cover 100 percent of daytime electricity demand, and the inclusion of 4 MWh of battery storage will At Weipa, indigenous employment is a key focus area for Rio Tinto
17
INFRASTRUCTURE increase the overall supply of renewable energy, particularly during evening periods. The Partnership: ARENA Established by the Australian Government, the Australian Renewable Energy Agency (ARENA) has made a concerted effort to encourage investment in mining renewables projects in Australia to bolster the industries confidence in renewables. In partnership with Rio Tinto, ARENA has provided $3.5 million to support the first stage of the solar project and has committed up to $7.8 million toward the potential second stage, following the completion and sustained operation. “The success of phase one is set to create a precedent for industry by demonstrating that solar PV is a viable option for powering off-grid
locations like mine sites in Australia,” said ARENA CEO Ivor Frischknecht. ARENA actively invests in renewable energy projects in Australia, supporting research and development activities and helping to boost job creation and industry development, and increase knowledge about renewable energy. “Similar ARENA-supported projects[that are] now underway, or in the pipeline, will build on the landmark project at Weipa and further prove the reliability of integrating renewable energy solutions in off-grid locations while helping to drive down costs and the need for subsidy,” Frischknecht continued. Working with Rio Tinto and First Solar, ARENA is collecting the data accumulated throughout the development and construction of the project. The company plans to share these findings with those focused
“This Australian project will potentially bolster the mining industry’s confidence in renewable energy as a reliable off-grid power source” – Ivor Frischknecht, CEO, Australian Renewable Energy Agency (ARENA) 18
November 2015
R I O T I N T O ’ S S O L A R - P O W E R E D W E I PA M I N E
Reducing project power costs remains one of the biggest challenges for miners on the renewable energy industry to help reduce costs of future projects as well as increase confidence and encourage further investment in renewables within the mining industry. “This Australian project will potentially bolster the mining industry’s confidence in renewable energy as a reliable off-grid power source,” said Frischknecht. Reducing project power costs remains one of the biggest challenges
for miners: Volatile commodity prices have put immense pressure on companies to reduce risk and costs in order to remain competitive however renewable energy solutions have the potential to make a difference. In a tradition-based industry like mining, radical ideas and strategies rarely come to fruition. This one, however, has the makings to revolutionize the industry—and Rio Tinto is at the forefront. 19
TOP 10
Most energy efficient h
We examine 10 hospitals that have been particularly effective at protecting the e For modern hospitals, sustainability is a paradox. On the one hand, climate change and pollution present serious public health risks, and reducing them would lower the
strain on hospital resources. At the same time, hospitals consume large amounts of energy and produce high levels of waste. Many caregivers and administrators fear that they
hospitals in the world
environment, while simultaneously maintaining or improving patient outcomes. cannot lower their facilities’ environmental impact without compromising patient care. Nonetheless, few hospitals admit defeat, and many continue to develop new
environmental initiatives. The following 10 hospitals have been particularly effective at protecting the environment while maintaining or improving patient outcomes. 21
TOP 10
10 BIR HOSPITAL– KATHMANDU, NEPAL Bir Hospital has received international recognition for its waste reduction efforts, which are considered as much a humanitarian feat as an environmental one. The hospital has cut its medical waste in half, and now recycles 55 percent of all the waste it produces. Not only does this lessen the hospital’s environmental impact, but it has also improved patients’ outcomes by reducing their exposure to harmful wastes. Bir is currently experimenting with new methods that will allow it to reduce waste even further. These include vermicomposting, as well as a biogas system that could power the hospital with the methane from organic waste. 22
November 2015
E N E R G Y E F F I C I E N T H O S P I TA L S
MARTHA’S VINEYARD HOSPITAL– OAK BLUFFS, USA
As an island facility, the Martha’s Vineyard Hospital is committed to reducing the strain on local wetlands and waterways. The facility has its own leaching pits and bioretention areas, which it uses to remove pollutants from storm water runoff and wastewater. Not only does this preserve the environment, but it also helps keep island residents healthy, reducing the strain on hospital resources. The hospital also has bike racks and bus service accommodations, and offers preferred parking to residents who arrive in car pools and/or in fuel-efficient vehicles.
09
08 SUNNYBROOK CENTRE– TORONTO, CANADA
The Sunnybrook Health Sciences Centre divides its environmental initiatives into five main goals: energy savings, eco-friendly transportation, responsible waste management, procurement, and raising awareness. The hospital has implemented a gas scavenging program in its operating rooms, thereby preventing harmful anesthetic gases from leaking into the environment. It serves food in biodegradable containers, composts food waste, and uses dual-fuel shuttles to transport patients to and from the building. The hospital estimates that these initiatives eliminate nearly 9,000 metric tons of carbon dioxide emissions each year. 23
TOP 10 WYTHENSHAWE HOSPITALMANCHESTER, UK
07 THE PITTSBURGH CHILDREN’S HOSPITAL– PITTSBURGH, USA
The Pittsburgh Children’s Hospital was one of the first pediatric hospitals in the United States to receive LEED certification. The hospital was built from postconsumer steel and other recycled materials, and all sealants, adhesives, and paint used on the building have minimal levels of volatile organic compounds. It encourages its patients and visitors to be sustainable, providing them with bike racks, convenient access to public transit, and discounts if they arrive in a car pool. Hospital staffs offer green education to patients, visitors, and other staff members, helping them to continue saving the planet after they leave. 24
November 2015
Also known as the University Hospital of South Manchester, this facility relies on a wood chip boiler for much of its power. The first boiler was installed in early 2008, and by mid-2010 it was able to cut energy use by 26 percent and make the facility’s cardiac center self-sufficient. The hospital has since installed a larger boiler and a ground heat pump to further reduce carbon emissions. Wythenshawe has installed energy-efficient light bulbs, insulation, and other technologies to reduce energy use and pollution. It also hosts a monthly farmer’s market, helping patients to shop sustainably and eat more fruits and vegetables in one fell swoop.
06
05
MOUNT ELIZABETH NOVENA HOSPITAL– SINGAPORE
One of the first things patients will notice about the Mount Elizabeth Novena Hospital is that its roof is covered in trees. Not only is this visually appealing, but by blocking sunlight, it reduces the amount of electricity needed to cool the building. The hospital has further lowered its energy use by installing insulated glass windows, energy-saving lights, and motion sensor lighting. The roof contains photovoltaic solar panels, which the hospital uses to boil water and to power lights for the rooftop garden. There is also an efficient water management system that has reduced water use by 30 percent. 25
TOP 10
04 KOHINOOR HOSPITAL– MUMBAI, INDIA
Since its inception in 2009, the Kohinoor Hospital has been committed to reducing its environmental impact while saving its patients money. According to a 2012 article in the Economic Times of India, it was the only hospital in all of Asia at the time to be both LEED certified and Platinum rated. Kohinoor relies entirely on LED and CFL light bulbs, and uses photovoltaic power instead of geysers to heat its water. The hospital has installed high-efficiency air conditioning equipment, allowing it to cut HVAC energy use in half. It also harvests rainwater and treats its own sewage in order to reduce water use. 26
November 2015
E N E R G Y E F F I C I E N T H O S P I TA L S
SECHELT HOSPITAL– SECHELT, CANADA
Known as Saint Mary’s Hospital until earlier this year, this LEED Gold-certified facility has long demonstrated a commitment to preserving the environment. Saint Mary’s uses a series of radiant slabs and boreholes for heating and cooling, allowing it to minimize energy use in climate control. Its 19 kW photovoltaic system has been able to meet much of its energy needs on sunnier days. The hospital was also designed with green building principles, reducing energy use by 40 percent. In 2012, the facility was renovated and enlarged in a carbon-neutral manner.
03
02
KHAYELITSHA HOSPITAL-KHAYELITSHA, SOUTH AFRICA
Considered one of the best hospitals in South Africa, Khayelitsha was built with the highest-quality passive design techniques available to reduce artificial lighting. Where electric lights are necessary, the hospital relies on CFLs and LEDs to minimize energy use. The building has its own photovoltaic system and wind turbine to generate energy, as well as its own autoclaves to sterilize and reuse water. All paints, adhesives, and solvents used on the hospital contain minimal levels of volatile organic compounds. 27
TOP 10 TORRE DE ESPECIALIDADES-- MEXICO CITY, MEXICO
When most hospitals seek to improve sustainability, they focus on lowering their own energy and resource use, thereby passively reducing pollution and waste. The Torre de Especialidades, however, actively removes smog from the surrounding air. The hospital is surrounded by a giant, honeycomb-like screen that is coated with titanium dioxide, which converts smog into benign chemicals upon contact. The screen also blocks sunlight, reducing the amount of energy it takes to air condition the hospital. Building the Torre de Especialidades has had the same effect on air quality as taking a thousand cars off the road each day.
10
E N E R G Y E F F I C I E N T H O S P I TA L S
29
Coastal Municipalities Water Utility (CMWU) Delivering World Class Water Services Written by: Nye Longman Produced by: Richard Thomas
31
C O A S TA L M U N I C I PA L I T I E S WAT E R U T I L I T Y ( C M W U )
Amid trying circumstances, Gaza’s Coastal Municipalities Water Utility is attracting international support for its timely and much needed projects
Improving water services
32
November 2015
T
he Costal Municipalities Water Utility (CMWU) is responsible for providing the people of Gaza with its full complement of water and waste water services. The utility is going ahead with its projects (which total roughly $1.6 billion) in an effort to restore optimal water services in Gaza and is doing so against the backdrop of Israel’s ongoing conflict with Hamas. Operations The CMWU’s remit is to deliver integrated, environmentally safe water and sanitation services to the Gaza strip, making use of the area’s natural aquifer, as well as using innovative solutions to diversify water supply and secure effective waste water solutions across the region. The utility uses a combination of desalination and treatment plants in order to secure the
MIDDLE EAST
CMWU Headquarters
best possible offering for its customers. CEO Monther Issa Shoblaq outlined how the formation of the utility in 2005 had filled a vital gap with its full service package. He said: “You cannot depend on 25 fragmented departments to manage everything, from water works and new wells, to tanks, collections, treatment and disposal, so we mobilised significant investment in order to improve the water service through becoming a strong operator.� While it uses the most modern and upto-date technology across its facilities, the utility has faced the challenge of maintaining operations while the war between Israel and Hamas raged all around. From an operational point of view, the fighting saw the destruction of water networks and facilities to the tune
850 Number of staff employed by Coastal Municipalities Water Utility w w w. c m w u . p s
33
Wa s
te
a W
re a t m e n t P l a n t s T r te
n ati
tri
d Po wer Ge
gn Build esi
Reve
rse
O
Rec
Address Palestine-Gaza-Rimal-A Qader Husaini st Tel +972-8-2833317/27 Web www.macc.ps Email macc@p-i-s.com
yclying
sm
s Desalinatio i s o n
P
la
D
on
Elec
a
n la
er
c
Quality You Deserve Dependability You Can Count On
p um
Stations
(P
Ste
el
) )
ng
) (Stainless
RP
Pipi
( C)
PE HD
(G
V
P
Roads
an
L
ts
ar
g
c eS
ale Civil Wo rk
Masoud and Ali Contracting Company, known in short as MACC, one of the diversified, leading, most experienced and oldest existing contracting companies operating in gaza strip and west bank, was established in 1984 in response to the urgently growing demand for specialized companies in a rapidly developing environment. It has since grown to sustain itself over the years as an innovative leader in the field based on mutual trust with clients to improve efficiency, provide rapid execution while ensuring high quality performance and considering all safety precautions. This premise is based on extensive portfolio of projects in which macc has had major determinate role.
SUPPLIER PROFILE
MASOUD AND ALI CONTRACTING COMPANY
Masoud and Ali Contracting Company, known in short as MACC, one of the diversified, leading, most experienced and oldest existing contracting companies operating in Gaza strip and West Bank, was established in 1984 in response to the urgently growing demand for a specialized companies in a rapidly developing environment. It has since grown to sustain itself over the years as an innovative leader in the field based on mutual trust with clients to improve efficiency, provide rapid execution while ensuring high quality performance. This premise is based on extensive portfolio of projects in which MACC has had major determinate role. As a leading general contractor, MACC will continue employing and investing in the very best technology, manpower, and equipment and maintain higher attention towards their clients and continually improve the company’s technical and managerial capabilities.
MIDDLE EAST
“The CMWU’s remit is to deliver integrated, environmentally safe water and sanitation services to the Gaza strip, as well as using innovative solutions to diversify water supply and secure effective waste water solutions across the region” of some $34 million and resulted in the loss of up to 30 percent of its power supply. The only power plant in the Gaza Strip was destroyed in 2006 and, since then, the community has only been able to satisfy 50 percent of its electricity needs. The utility has been able to mitigate this problem, at least to some extent, by deploying backup generators across its facilities. Continuing to operate in these conditions has required innovative thinking; alongside fitting backup generators, the CMWU has even used old sections of an Israeli wall for the construction of a new sewage lagoon. Shoblaq was proud of what the CMWU had achieved despite this, he said: “Our capacity to provide services, in terms of infrastructure, is advanced. We provide 98 percent of the population of Gaza with water which you just don’t see in any other countries.” International support The CMWU has managed to attract high profile donors who are keen to assist in rebuilding
Palestine’s children deserve the best water infrastructure
Delivering a community service
w w w. c m w u . p s
37
C O A S TA L M U N I C I PA L I T I E S WAT E R U T I L I T Y ( C M W U )
Support from various goevernments helps roll out improvements
Gaza, which include the World Bank (WB) as well as the Islamic Development Bank (IDB). Alongside other prominent donors such as UNICEF, the European Union, ICRC, KFW, AFD and various international government donors, CMWU have secured upwards of $1.6 billion intended to secure clean drinking water and consistent waste disposal for the whole of Gaza. Securing the support of donor governments and organisations has enabled the utility to prevent the water service from deteriorating despite all that has happened and has enabled it to continue to roll out improvements to its networks as any other water company would do. Improving water services
• • • • •
www.palestinian-tractor.ps - +097022901995 :¢ùcÉa - +097022901990 :¿ƒØ∏J - ˆG ΩGQ ,á«YÉæ°üdG á≤£æŸG - É«fƒà«H - 7 :Ü.¢U - ÉaÉj ´QÉ°T www.palestinian-tractor.ps - +097082806553 :¢ùcÉØ∏J - IõZ ,¿ƒàjõdG - øjódG ìÓ°U ´QÉ°T
MIDDLE EAST
Shoblaq explained: “On the waste water side, only 70 percent was covered by the sewage networks; we expanded this sewage network to avoid waste water pollution because these uncovered areas were served by septic tanks. “In accordance with the Palestinian water sector plan in the late 90s, the need to build up non-conventional water sources using brackish and sea water desalination plants was recognised and relevent measures adopted. We now have 20 brackish water plants, which vary in output from 50 cubic metres per day, to 50 cubic metres per hour. “We have a small sea water desalination plant financed by the Austrian government which produces around 600 cubic metres per day; we expanded this with funding from the IDB and World Bank to produce 2,600 cubic metres per day.” By 2023, the CMWU wants to reach an output of 100 million cubic metres per year through its desalination operations and will achieve this through the construction of two dedicated plants at a cost of roughly $500 million sourced from the European Union and IDB. In addition, CMWU in cooperation with Palestinian Water Authority (Water Sector Regulator) has launched the construction of two central waste water treatment plants; one in the Middle Governorate and the other in the Southern Governorate with a total amount of around $130 million. The two plants are financed by KfW, the Japanese Government and the IDB.
Monther Issa Shoblaq, CEO of CMWU
“By 2023, the CMWU wants to reach an output of 100 million cubic metres per year through its desalination operations and will achieve this through the construction of two dedicated plants at a cost of roughly $500 million” w w w. c m w u . p s
39
C O A S TA L M U N I C I PA L I T I E S WAT E R U T I L I T Y ( C M W U )
Desalination has the potential to meet Gaza’s needs by 2023
Settlement tanks in the Gaza Strip
40
November 2015
Talent Management Before 2006, conditions were less tense in the region, andShoblaq was keen to emphasise that there had been a transfer of knowledge and skills between his 850 staff and their Israeli and other regional and international counterparts; he was adamant that dissemination of knowledge was essential to providing the most efficient and world-class service. He said: “We train our teams regionally whenever we have the opportunity; especially when we have the chance to send along our senior managers.� Furthermore, Shoblaq highlighted how the spirit of completion could be used even during trying circumstances and had further contributed to a sense of solidarity across
MIDDLE EAST
Company Information INDUSTRY
Water and Sanitation Utility HEADQUARTERS
Palestine FOUNDED
2005 EMPLOYEES
850
employees of every level. He added: “In terms of incentivising our staff, we have an award for the best worker in a particular field and a system of evaluating their performance through a yearly award: this can be certification, recognition or financial incentives.� The determination of the CMWU to deliver its crucial water and sanitation services to the people of the Gaza Strip cannot be over emphasised. It is expanding, rebuilding and driving excellence across the spectrum of its operations and, through working with its local and international partners and donors, the utility is making massive progress towards providing the best possible water and waste water services to the people of the Gaza strip.
PRODUCTS/ SERVICES
Sanitation and waste water management; water extraction and services
w w w. c m w u . p s
41
ADC Energy Systems is switched on for development Written by: Sheree Hanna Produced by: Richard Thomas
43
ADC ENERGY SYSTEMS
As a leading Engineering, Construction and Procurement contractor the company is exploring growth opportunities across the GCC and beyond
A
DC Energy Systems, based in Dubai, is building on its expertise gained over a successful 10 years in business by seeking to grow not only its capabilities, but also its geographical reach. The company, which has reached AED 1.7 billion turnover since its inception in 2005, is a turnkey contractor for Cooling Plants, Energy Services, Grain Handling and Infrastructure. The EPC (Engineering, Construction and Procurement) contractor has been awarded over 20 district cooling plants during that period and is currently working on bringing to completion six plants by the end of 2015 and into the first half of 2016 within the GCC region. ADC built its first district cooling plant for Dubai’s iconic development The Palm Jumeirah, the palm-tree shaped, manmade island, which is home to a number of luxurious hotels and holiday accommodations including the five-star Atlantis Hotel. CEO Ibrahim Sleiman said: “This was the first major project we won through our partnership approach and since then there have been almost 20 projects scattered between Dubai and Abu Dhabi in the United Arab Emirates, and other GCC countries such as Qatar and Saudi Arabia.
District data Collectively to date, the District Cooling Plants – DCP generate a total cooling capacity nearing 44
November 2015
MIDDLE EAST
District Cooling Plant
600,000 Tons of Refrigeration; The electric power required for feeding the DCPs amount to no less than 450 MW of power stations, and it’s cooling. . The DCPs have a total combined footprint of about 26,000 square metres and serve seven leading utility developers and operators, as well as master developers within the GCC region. With some 200 professionals on board, along with a 350-core construction team, Sleiman explained that ADC is keen to further explore its capabilities throughout its energy services division, and new sectors like Renewable Energy. The forward-thinking company is also
62.5m The amount of Revenue in USD generated by ADC Energy Systems in 2014
w w w. a d c e n e r g y s y s t e m s . c o m
45
Everything is nothing without water. We keep it safe.
Your global partner for valve & gate solutions. For more than 140 years VAG has been one of the main producers and developers of high quality valves for nearly every application in water and waste water.
For more information please visit us at www.vag-group.com
MIDDLE EAST
looking at how it can further utilise the renewables sector in a bid to bring greater efficiencies and benefits for not just its customers, but also for the environment. Exciting times are ahead in the GCC region with events such as the World Expo 2020 to be hosted in Dubai and the 2022 FIFA World Cup in Qatar. All of these are opportunities that ADC is keen to exploit and is already involved in, or pitching for the business they are creating. The company is in the finishing stages of completing a new district cooling plant in Qatar’s $45 billion, ambitious and ground-breaking new town development of Lusail, which is being purpose-built to cope with the demands the World Cup is expected to generate. Powering on First and foremost, ADC, building on its wealth of experience in Engineering, Procurement and Construction and as a natural growth from the District Cooling sector, through its Energy Services arm which is currently looking at how it can develop Combined Cooling Heating & Power (CCHP) schemes. For this purpose, ADC is targeting l industrial and institutional clients whose connectivity to the main grid or need for back-up power in addition to their requirements for comfort or process cooling and heating qualify them as attractive prospects for CCHP schemes. Sleiman said: “District cooling systems are
Mr. Ibrahim Sleiman - CEO
Mr. Khalil Issa - MD
w w w. a d c e n e r g y s y s t e m s . c o m
47
ADC ENERGY SYSTEMS
“The forwardthinking company is also looking at how it can further utilise the renewables sector in a bid to bring greater efficiencies and benefits for not just its customers, but also for the environment.” 48
November 2015
very efficient, but they are intensive power users of the national grid with an average 4050 megawatts per plant. Through the power generation, transmission and distribution cycle, there is a lot of energy wastage with nearly -60 percent of the original energy source lost. “So that is not very efficient and what we want to do with CCHP is to produce the energy where you need it by combining your power generation with your cooling/heating
MIDDLE EAST
requirements in one plant and optimise the production of the power side by capturing the waste heat wherever you produce power. “By so doing, we can almost increase the effectiveness of the energy source from 35-40 percent up to 75 percent or maybe even higher.” Sleiman was keen to point out that ADC is not pursuing pure power production, but targeting the sector of distributed energy plants which deliver energy at the point of use.
Qatar’s $45 billion new district cooling plant
w w w. a d c e n e r g y s y s t e m s . c o m
49
ADC ENERGY SYSTEMS
ADC Energy Systems is looking at further opportunities in Jordan, Kuwait and Saudi Arabia to produce the larger 100 megawatt plants
50
November 2015
Exploring renewables Another strategic focus for the company is the use of renewable energy sources such as solar panels and the company is currently investigating the use of Concentrated Solar Panels. “The reason we still use fossil fuel for our plants is the fact that with solar energy plants you need a lot of space which is hard to find in urban areas,” said Sleiman. “So for now we are concentrating on smallerscale solar plants. We are looking to participate in an Egyptian set of tenders which will come out shortly, which will range between 20 and 30 megawatts of power production. “We also anticipate to a smaller extent that there
MIDDLE EAST
will be further opportunities from Jordan and Kuwait, and with Saudi Arabia much larger 100 megawatt plants which we will target in due time. “As a leading and specialized EPC contractor, we are able to team up with international EPC contractors and technology providers to work hand-in-hand on the implementation of such projects.”
Company Information INDUSTRY
District Energy / Construction HEADQUARTERS
New frontiers Geographically speaking, ADC has already qualified and participated in tenders as far afield as Algeria to the West and eastwards as far as India and Bangladesh for its grain handling business. Huge infrastructure growth in Saudi Arabia means ADC has its hand firmly on that tiller. Sleiman said: “There is huge opportunity in Saudi at the moment and when you add up all the other GCC countries, Saudi can equalise if not exceed the developments of the other countries in the GCC region put together pending more regional stability in terms of security and oil prices. “There are essentially two prongs to our growth, one is expansion in different sectors by pushing our CCHP strategy which is a natural outgrowth of our district cooling plants to second generation cooling/thermal energy plants into renewables. “The second is territory wise, expanding beyond our core markets to tackle projects in the wider GCC as well as in North Africa and potentially central African countries, where we are bidding for a few projects right now.”
Dubai FOUNDED
2005 REVENUE
USD 62.5 million(2014) PRODUCTS/ SERVICES
A leading provider of industrial-grade plants & systems in the Thermal Energy sector.
w w w. a d c e n e r g y s y s t e m s . c o m
51
Oman Electricity Transm
Turning Potential Challenges In Written by: Sam Jermy Produced by: Richard Thomas
mission Company:
nto Opportunities
53
O M A N E L E C T R I C I T Y T R A N S M I S S I O N C O M PA N Y
OETC has invested OMR120 million in infrastructure works to evacuate the power fro
The firm is investing in its network infrastructure so that it can grow at a similar rate to the country’s economy over the coming years 54
November 2015
T
he Oman Electricity Transmission Company (OETC) has planned an investment program worth an estimated 750 million Omani Rials (OMR) over the next 15 years, to support its 2030 vision that aims to expand infrastructure to meet increasing customer demand. As part of the new long-term national planning, the company will complete turnkey engineering, procurement and construction projects as part of the multi-million Rial investment, following on from the OMR100
MIDDLE EAST
Key Personnel
AL Said Al-Hadabi CEO
om the power plants in Ibri and Sohar
million invested to enhance operations last year. Dr Adil Al-Busaidi, Asset Management and Planning Manager at OETC, said: “As a company we faced an average of 9 percent growth annually over the last decade and that is a lot of effort in terms of planning. Currently we have a load demand of around 5GW and we expect that to be in the range of 16GW in 2030 so investment is essential if we are to provide over three times the existing demand. “Each year we work to increase our capability
Engineer Ali Al Hadabi has assumed the leadership of Oman Electricity Transmission Company S.A.O.C. since September 2008. During his time, OETC has embarked on a significant capital investment program in the Main Interconnected System, which is the vital lifeline of the Sultanate’s power infrastructure. He is responsible for power transmission business across the north of Oman and the south of Oman.
w w w. o m a n g r i d . c o m
55
T 00968 24441204 F 00968 24446371 •
Voltamp compan of Oma Muscat produce distribu low volt sub-stat units lo Voltam of Oil fil onward Class. D extends speciali shift tra sector. A sealed T
Su
VOLTAMP Ener
sales@voltampoman.com
Energising The Future
p Energy SAOG, a public ny incorporated in the Sultanate an with shares are listed on the Stock Exchange. It currently es a large range of power and ution transformers, medium and tage switchgear and package tions through its 4 manufacturing cated in Rusayl and Sohar, Oman. mp manufactures wide range lled Transformers from 50 kVA ds and up to 500 MVA, 220 kV Distribution Transformers range s up to 3000 kVA 33 kV. Voltamp zes in multi-tap and phase ansformers for the Oil & Gas Also available are Hermetically Transformers, corrugated type
transformers and earthing transformers. The Engineering Service Division undertakes repairs and refurbishment of complete range of Transformers, supply of spares and installation & commissioning services. Voltamp’s Switch gear Division manufactures low voltage Switch gear panels of all types including the sophisticated Intelligent MCCs, under franchisee agreement with Schneider Electric. Voltamp Trading Division deals in DBs, Bus Ducts, C&R panels, capacitor banks and Dry type Transformers. Voltamp is keen to associate with reputed Companies for exploring business in MENA Region.
ubsidiary Companies: Voltamp Transformers SAOC & Voltamp Power LLC
rgy S.A.O.G • P.O.Box 75, Postal Code 124 • Rusayl Industrial Estate • Sultanate of Oman
SUPPLIER PROFILE
VOLTAMP
Tel: 00968 24441204 Fax: 00968 24446371 sales@voltampoman.com VOLTAMP Energy S.A.O.G P.O.Box 75, Postal Code 124 Rusayl Industrial Estate Sultanate of Oman
MIDDLE EAST
so we can help deliver more projects, such as the OMR120 million infrastructure works to evacuate the power from the power plants in Ibri and Sohar. Increasing our project delivery capability is essential in order to turn the high demand growth risk into investment opportunities. Basically, we need to engage more contractors, consultants and manufacturers in order to achieve that as well as enhancing our own investment management capabilities. “We used to operate high voltages of 132kV and 220kV but now we’re embarking on the construction of 400kV transmission system assets as it allows us to have more output capacity. As part of our vision we will be busy to complete the 400KV backbone for the whole of Oman. We have a vision to have one 400KV linking the North and South and the
350 Number of staff employed by Oman Electricity Transmission Company
w w w. o m a n g r i d . c o m
59
MIDDLE EAST
interior parts. We will have one strong grid and solid infrastructure appearing over the next few years. We want to support overall growth within the country as best we can.” OETC was established on 1 May 2005 and it is responsible for the building and operating of the transmission network in Oman, and is the licensees under the authority of Government of Oman. It is also in charge of despatching and controlling the overall generation and output of electricity in the country. Operations In January 2014 OETC took control of the
“We will have one strong grid and solid infrastructure appearing over the next few years. We want to support overall growth within the country as best we can.” – Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.
w w w. o m a n g r i d . c o m
61
www.Larsentoubro.com
Lighting up Oman!
Larsen & Toubro (Oman) (LTO) LLC, a leading engineering, infrastructure and construction player in Oman, through its Power Transmission & Distribution business vertical has been playing a leading role in lighting up the Sultanate of Oman for several decades. With a strong, customer-focused approach and a continuous quest for world-class quality, the company offers complete turnkey solutions for power transmission and distribution, including integration services for electrical and instrumentation packages across industries. LTO is also proud to have the Oman Electricity Transmission Company as one of its key customers and looks forward to a long and mutually beneficial association going forward.
Larsen & Toubro (Oman) LLC Post Box: 598, P.C. 112, Ruwi, Muscat, Sultanate of Oman Phone: 24762200 Fax: 24797024 E-mail: lntom01@omantel.net.om
MIDDLE EAST
transmission network in the south of Oman, which had previously been operated by a different system operator. As a result the firm had full control of the country’s electricity transmission and a significant platform to build on. Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company, said: “We are also responsible for the international connection to a number of GCC countries and its authorities, this is done through Abu Dhabi in the UAE. Meanwhile we have a number of high-profile corporate customers in Oman connected to the high voltage network; the major Omani airports, industrial customers such as steel and aluminium factories, and the Oman Petroleum Company to name a few.” “Because we are experiencing a lot
SUPPLIER PROFILE
Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.
LARSEN & TOUBRO - OMAN LLC
Larsen & Toubro (Oman) L.L.C. (LTO), a Joint Venture Company between Larsen & Toubro Limited, India and The Zubair Corporation, a reputed business conglomerate in the Sultanate of Oman. LTO has proven capacity of executing projects of large magnitude on turnkey basis and provides comprehensive construction services especially in Industries such as Township developments, Commercial and Institutional Buildings, Airports, Cement Plants, Hotels, Water Supply and Sewage Treatment Plants, Interchanges and Bridges, Power Plant, Transmission lines, Ferrous and Non-Ferrous Plants, Material Handling systems, Infrastructure projects, EHV and HV Substations and Cabling works.
w w w. o m a n g r i d . c o m
63
MIDDLE EAST
of growth in OETC and the country as a whole, we need to maintain the same sort of growth in the network to handle the load increase and ensure we all flourish.� OETC has also made sure all IT systems have been upgraded to help drive continuous improvement and support the national controlling and communication link to the national network. Asset management Al-Hadabi and Al-Busaidi both stressed the need for new ways to strategically deliver projects, because despite the heavy investment throughout the group, if the assets are not managed correctly then it will not have the desired impact on operations. Al-Hadabi said: “In the last two or three years
SUPPLIER PROFILE
Project delivery capability is essential in order to turn the high demand growth risk into investment opportunities
BAHWAN ENGINEERING GROUP
Founded in 1977, Bahwan Engineering Group has emerged as one of the largest engineering construction & trading groups in Oman. Nearly four decades, the Engineering Group has been associated with nation-building projects in Oman and UAE. BEC, executes integrated multi-disciplinary construction projects involving Civil, Mechanical, Electrical, Instrumentation, Elevators and Escalators, Diesel Power Generation. It is also involved in trading in Electrical , Mechanical , Chemical products and Facilities Management Services.
w w w. o m a n g r i d . c o m
65
Energy management all the way www.siemens.om Siemens has a proven track record in project delivery in Oman. The company’s commitment to building a local framework through the region with branch offices and operational units helps to improve the competitiveness of the country and creates value for local businesses. Backed by its global technology network, Siemens in Oman provides all necessary skills and expertise to fully manage even the most complex projects. Siemens has proven its reliability as a trusted partner that delivers only the highest quality over many decades. From extra-high to low-voltage, the Siemens portfolio for efficient power transmission and distribution includes everything it takes to support the country’s energy infrastructure in keeping pace with the rapidly growing demand for electricity.
www.siemens.om
MIDDLE EAST
we have established a strong asset management structure. We do depend on outsourcing a small amount for things like consultants who supervise our work and make sure we carry on looking after the projects that are coming our way. “This new strategy will really help us to see the requirements of all departments and see the lifecycle of our assets. This relates back to our investment program where we are ensuring that there is a sufficient support network in place. “We would also like to emphasise the value we place on our excellent staff and engineers. We take them through rigorous and high-quality training which allows them to look after what we are targeting. We encourage all our engineers to go for extra qualifications and support them; a fulfilled worker is much better equipped to
SUPPLIER PROFILE
OETC connects a number of high profile corporate customers
SIEMENS
Siemens is a global technology powerhouse that has stood for engineering excellence, innovation, quality, reliability and internationality for more than 165 years. The company is active in more than 200 countries, focusing on the areas of electrification, automation and digitalization. One of the world’s largest producers of energy-efficient, resource-saving technologies, Siemens is No. 1 in offshore wind turbine construction, a leading supplier of gas and steam turbines for power generation, a major provider of power transmission solutions and a pioneer in infrastructure solutions as well as automation, drive and software solutions for industry.
w w w. o m a n g r i d . c o m
67
MIDDLE EAST
OETC has full control of Oman’s electricity transmission
help us achieve our business objectives.” More than 92 percent of the company’s employees are Omani nationals and most are trained in multiple disciplines. “We want this trend to continue because we believe in the young talent in this country, and hope they will want to work for an employer like OETC. We also want to limit the amount of outsource activity to certain niche tasks that physically cannot be done in-house; everything else should be done in-house going forward. With this in mind, staff numbers are expected to increase in the coming years.” added Al-Hadabi. OETC has made a successful habit out of building fruitful partner relationships with
“Currently we have a load demand of around 5,000 MW and we expect that to be in the range of 16,000 in 2030 so investment is essential if we are to provide over three times the existing demand” – Dr Adil Al-Busaidi, Asset Management and Planning Manager at OETC.
w w w. o m a n g r i d . c o m
69
Hamed Engineering Services LLC Hamed Engineering Services LLC has a leading presence in Oman dating back to 1983. We pride ourselves of being 100% Omani Consultant Company recognized by many clients for delivering high quality engineering solutions and services for both the Power/Infrastructure sector as well as the Oil and Gas sector. We cover a variety of engineering services including: • Technical studies • Conceptual, Front End & Detailed Design • Owners Engineering services and site supervision We believe that our success and growth can be maintained only through establishing and maintaining long-term relationships with our clients, and delivering innovative solutions that serves their needs.
Tel +968 22086800 / Fax +968 2208 6951 W www.hesoman.com / W www.vecoman.com E hes.energy@hesoman.com P.O. Box: 86, Al Qurum, P.C.: 102, Sultanate of Oman
Designing, Tower testing & Manufacturing of Galvanized Lattice type steel structures for Overhead transmission Lines and Telecommunications Towers. EPC construction of Overhead Transmission, Distribution, Substation & underground power cabling works. T +971 4814 9555. F +971 4885 7819. contact@gulfjyoti.com www.gulfjyoti.com
70
November 2015
MIDDLE EAST
local service providers and contractors too, and this has further helped maintenance and delivery. The company management team sees the main challenge going forward as the ongoing efforts to improve the national grid infrastructure. Building a transmission network with high voltages of 400KV is a sizeable job, in terms of implementing new overhead lines, underground cables and evacuating the power from the new generation stations. While this is being carried out all network corridors need to remain available at all times as it is important OETC maintains a reliable service to the customer with no deviation in quality or availability. Al-Hadabi concluded: “We need to
92m OMR The amount of revenue generated by Oman Electricity Transmission Company in 2014
w w w. o m a n g r i d . c o m
71
O M A N E L E C T R I C I T Y T R A N S M I S S I O N C O M PA N Y
“We are always benchmarking ourselves against the best transmission companies across the world and we try to be constantly challenging ourselves to be the best utilities firm we can be” – Eng Ali Al-Hadabi, CEO of Oman Electricity Transmission Company.
72
November 2015
Building a transmission network with high voltages of 400
execute all these new lines and substations with minimum to the end users, our valued customers, and this is something we are taking very seriously with the governmental authorities and that is the main challenge I can see, we need to tackle that to get the right corridors and build a service fit for the future. “We are always benchmarking ourselves against the best transmission companies across the world and we try to be constantly challenging ourselves to be the best utilities firm we can be. When we do reports based on our
MIDDLE EAST
Company Information INDUSTRY
Energy HEADQUARTERS
Sultanate of Oman FOUNDED
2005 EMPLOYEES
350 REVENUE
92 milliom OMR (2014)
0KV is a sizeable job
three pillars of reliability, availability and quality we always find the results to be acceptable. But we must not be complacent and stand still. “We have high standards and have put a big level of expectation of ourselves, and we challenge our employees to make sure we deliver on that expectation.” With such commitment to its staff, coupled with significant investment plans, the Oman Electricity Transmission Company looks set to bring about further prosperity for itself and facilitate growth for the country’s economy.
PRODUCTS/ SERVICES
Owner and operator of Oman’s main electricity transmission network
w w w. o m a n g r i d . c o m
73
A Major Boost To The Ghanaian Economy Written By Sam Jermy Produced By Anthony Munatswa
75
AT U A B O F R E E P O R T
Strategically located in the Gulf of Guinea, the brand new development will be a dedicated oil and gas free port
76
November 2015
A
tuabo Free Port is set to provide a major boost to the economy of Ghana, as the $700 million facility begins construction next year before becoming operational in 2017. Having recently completed a number of preliminary activities onsite, the company and China Harbour Engineering Company have signed a construction agreement establishing the latter as the main contractor of the project to build a dedicated three-quay port. It is also estimated that over 1,000 jobs will be created as a direct result of the project. In terms of maritime activity, there are three clear areas for the impending facility, which will become Ghana’s third major port. One is an offshore logistics base where goods are received for the offshore oil and gas industry, collated and marshalled onshore and then shipped offshore to the rigs and other vessels during the exploration, appraisal and field development and production phases. The second area is value-added work such as subsea fabrication; this provides the infrastructural platform for companies to do more work in-country which means the company keeps aligned with local content regulations in Ghana. Thirdly, there will be the rig and vessel repair sites where the vessel owners will be able to come in and have their vessels repaired or rigs maintained and repaired by various service companies. Steven Gray, Director at Atuabo Free Port, said: “We have a number of companies who’ve
AFRICA
Video: Atuabo Free Port
signed up to MoUs with us and are already present in Ghana supporting the oil and gas industry. In addition to the three main areas, there are other elements of the project, such as the logistical movement of personnel. There’s an aerodrome on the site where fixed wing planes can fly in from Accra, and then the rotary wing helicopter operations would operate from there to the offshore platforms. “Then we will have the technology park area where companies who are just seeking office space other than industrial facilities can locate themselves. Predominantly, it’s an international effort: you have to have international contractors that the financing partners are comfortable with - firms that
1,000 Number of jobs to be created by the project
w w w. a t u a b o f r e e p o r t . c o m
77
AT U A B O F R E E P O R T
We Are Creating A Brighter Future!
• Marine Engineering • Road and Bridge • Railway
• Airport • Complete Plant • Dredging and Reclamation
China Harbour Engineering Company Ltd. (CHEC) is a world-renowned international contractor. CHEC has 40 overseas branches and offices with business activities covering more than 70 countries and areas including Ghana, Ivory Coast, and lots of Africa countries. The company is currently employing over 7,000 domestic and international staff to undertake 10 billion USD worth of projects. CHEC is focused on basic infrastructure construction, and principally engaged in the survey, design, construction and supervision of road, bridge, port, terminal, channel, railway, tunnel, airports, civil work and other infrastructure construction, capital dredging and reclamation dredging, the investment of transportation infrastructure, development and operation of urban complex, estate development and etc. CHEC prides itself on providing a full service to its clients and uses its international engineering experience, global business network, talented management team and robust financial backing to offer clients a wide range of service options such as D&B, EPC, PMC, BT , BOT and PPP. Apart from the contractor for AFP Project CHEC has also executed the Ghana Fufulso-Sawla Road Project, Ivory Coast Abidjan Container Terminal Project, Guinea Conakry Container Terminal Project and etc. We are focusing on provide an one-stop solution for our client from the feasibility, design, construction and operation. We are working towards a win-win situation for all our client and partner.
78
November 2015
Tel 00225 2135 7650 | Email checwa@chec.bj.cn | Web www.chec.bj.cn
AT U A B O F R E E P O R T
AFRICA
have the expertise to handle the construction risks while delivering services on time. “But in addition to that we’ll have a situation where if companies want warehouses or offices built, then that area is being identified as the area where Ghanaian contractors can execute their work.” Regional hub In terms of the capital structure, the Ghanaian government has a 10 percent ownership share, held by the Ghana Infrastructure Fund as a freehold; a further 35 percent will be purchased by Ghanaian state enterprises such as Ghana National Petroleum Corporation and Social Security and National Insurance Trust. Then the international shareholders and a number of international partners will make up the remaining equity. Because Atuabo is set to be a dedicated hub for the oil and gas industry and not just a rudimentary container shipping port, Gray believes it can subsequently become much more of a regional player in West Africa than a country player in that respect. He said: “This will be particularly true for the rigs; we will be meeting a high demand that is not currently met in this area. The offshore supplier vessels have greater choices, but there are still capacity issues in West Africa in terms of facilities that can repair and maintain offshore supply vessels. “Also with the infrastructure deficit on the
Ghanaian government has a 10 percent ownership share, held by the Ghana Infrastructure Fund
w w w. a t u a b o f r e e p o r t . c o m
79
AT U A B O F R E E P O R T
The port could be able to reduce the operational cost of oil by up to one dollar a barrel
continent, and Ghana is no different from other African states, this is a project where they’ve opened up the private sector to come forward with a solution: they’ve addressed the infrastructure deficit for this particular sector without using their balance sheets. “There are no government guarantees and there is no payment for constructing this facility from the Government of Ghana, so it frees up additional government funds that could be used to develop existing port infrastructure and other maritime sectors. “We see the potential certainly in the Ghanaian offshore context, the port being able to reduce
Quality and Excellence
Tel: +233 (0)302 742030 Fax: +233 (0)302 742035 info@taysec.net w w w. t a y s e c . n e t
80
No.1 14th Avenue New Achimota Estate P.O.Box OS 1010 Osu, Accra Ghana
At Taysec we strive in all aspects, from project inception to maintenance of N o vthe e mfinished b e r 2 0facility 1 5 to provide quality results on time and within budget.
AFRICA
the operational cost of oil by up to 90 cents to one dollar a barrel, which is significant.�
Atuabo Free Port anticipates that there will be work
Direct benefits During the construction phase, about 70 percent of the workforce will be Ghanaian. During the operational phase, Atuabo Free Port is a platform that allows other companies to execute their work, so although Gray cannot speak for the tenants coming into Atuabo and where they will source their people from, they will be encouraged to employ Ghanaians who have the skills they require. Certainly Atuabo Free Port’s focus is recruiting from the Ghanaian market and Ghanaian labour resources in the first instance.
opportunities in Ghana for offshore activities from 2018
w w w. a t u a b o f r e e p o r t . c o m
81
AT U A B O F R E E P O R T
Key Personnel
Steven Gray Director
82
November 2015
As part of social engagement with the community area surrounding Atuabo, one of the social intervention programs is the establishment of a community based manpower agency set up by the majority shareholder and international partners. Resources and the profits accruing to the agency will be reinvested back to skills development so there is a sustainable skills development funding for the community who today largely have fish or agricultural based careers. Gray said: “They don’t necessarily have all the skills needed for the oil and gas industry, so this is a way to support skills development through a sustainable business model.
AFRICA
“We anticipate that there will be quite a lot of work opportunities in Ghana for the offshore activities from 2018 onwards. So it certainly is going to be an energetic market in the early years. But I think, you can look at Atuabo Free Port as a regional hub as well. “Ghana for all the right reasons is seen as a gateway to other countries in West Africa; the English language, the rule of law, a stable democracy – it’s all there. We’re already seeing that with Expro, Halliburton, Schlumberger having their regional offices located in Ghana. “As the capacity and quality of the indigenous companies improve, they’ll be able then to sell their services to other markets and clearly you see the regional markets as their first entry points to support industries. We’re seeing a lot of that already manifesting, where the Ghanaian companies are exporting their skills to Liberia, Searra Leone and so on.” Time is clearly money in Oil and Gas: when you have a rig operation, it is costing anywhere from $0.5 million to $1 million per day, so even an hour’s delay costs companies a considerable amount of money. Atuabo Free Port can offer firms the ability to have a sustainable business, not just for the exploration phase but also the development and production phase and so that may well make marginal fields profitable. This is just one of the reasons why Atuabo Free Port will be a welcome addition to the West African offshore oil and gas industry from 2017.
‘Atuabo Free Port’s focus is recruiting from the Ghanaian market and Ghanaian labour resources in the first instance’
Company Information INDUSTRY
Energy HEADQUARTERS
Accra, Ghana PRODUCTS/ SERVICES
Ports & Terminals
w w w. a t u a b o f r e e p o r t . c o m
83
North Amer
The power o
By setting the bar high, one small company is qu retail energy s Written by: Cutter Slagle
rican Power
of exceptional
uickly becoming a powerhouse in the deregulated supply industry Produced by: Andy Turner 85
C O M PA N Y N A M E
North American Office
“North American Power is a unique opportunity for anyone that has the privilege to work here.” Coming from an executive with over 40 years of industry experience, that statement from North American Power’s CEO, Deryl Brown, is really saying something about the company that has grown from a small handful of passionate people working in a 700 square foot sublet in 2009 to a top leader in supplying 86
November 2015
electricity and natural gas within deregulated markets today. Why is North American Power so unique? In a recent interview, Brown, CIO Jim Crysdale, and CMO Greg Breitbart discussed North American Power’s success, detailing the company’s brand value proposition, emphasis on technology, and commitment to achieving “exceptional”.
SECTOR
Making energy easier goes a long way As one of the nation’s fastestgrowing energy suppliers, North American Power tackles a variety of obstacles and challenges that face the retail energy industry— one of which is the perception that the average consumer has a short attention span when it comes to the energy they use. Greg Breitbart, North American
Power’s CMO, argues that it’s not that consumers don’t care about their energy use, but rather they are frustrated by how hard it is to understand why their energy costs what it does, and what they can do to use less.. “There’s a common assumption made in our industry that people don’t care about energy that much and they only spend a few minutes every year thinking about it,” he w w w . n a p o w e r. c o m
87
Multi-Commodity Management Industry experience and vertical market expertise make Allegro solutions relevant for any commodity-based enterprise.
BUSINESS ANAYTICS AT YOUR FINGERTIPS Improve strategic decision making with accurate, real-time information to find opportunity and increase profitability.
Commodity Trading
Risk Management
Achieve higher margins and Manage and mitigate risk, uncertainty greater volumes through better and exposure associated with position management, from commodity trading logistics and contracts through trading regulatory compliance. and forcasting.
Physical Logistics Management of all physical commodities through the production, purchasing, processing, transporting and marketing functions.
Regulatory Compliance Protect your operations from internal and external legal liabilities, through comprehensive, automated regulatory compliance.
www.allegrodev.com Visit the Allegro Stand for More Information.
continued. “We challenge that notion. Every time you make a decision to turn off a light as you’re walking out the door or raise or lower your thermostat, you are subconsciously thinking about your energy consumption.” With this in mind, North American Power is introducing a monthly energy report that will provide its customers with insights into how their home is using energy—including a percentage breakdown of their usage (e.g. 25% used for air conditioning, 10% used for lighting, etc.), and personalized steps they can take
NORTH AMERICAN POWER to reduce their energy costs. This report, which is a type of service that no other supplier outside of Texas currently offers, uses information provided during the enrollment process so that it can be tailored to the customer’s home and energy habits. “At North American Power, we want our customers to feel okay — and maybe even good — about paying their bill, because they actually understand where, when and how their home used energy,” said Breitbart. North American Power also dedicates an immense amount of effort to simplifying its customer experience. One way that the company is accomplishing this is through a complete redesign of their website and online enrollment process, which includes a reduction in the amount of text and pages a customer needs to read and click through to enroll. They are also focusing on an optimized mobile experience, as many customers visit napower.com via smartphone. “A big part of our online customer experience is ease-of-use, which to us means interacting with customers
USA
in a way that makes it easy for them to understand their choices,” said Breitbart. North American Power also makes their phone-based customer experience a significant priority. Intelesure plays an integral part in this. “We’ve had our call center partner that we’ve worked with since the very early days of our company, Intelesure, collaborate with us to dramatically improve our customer experience,” said Breitbart. “Our sales and customer care teams hold calibration calls several times a week with Intelesure’s coaches to listen to several different types of calls, evaluate what was done well, what could have been done differently, and provide direction accordingly. We’ll continue to strive for an exceptional customer experience on every single call.” For North American Power, technology is key Crysdale noted the importance of technology and how its presence is further fueling the success of the company. North American Power is designing, constructing and implementing an entirely new endw w w . n a p o w e r. c o m
89
North America Power Usage ipad
NORTH AMERICAN POWER to-end platform. This innovation will have a single system of record for all of the company’s data, allowing for all customer types (residential, small and large commercial) to run on the same platform. Constructed with a true servicesoriented architecture in mind, the company will now be able to utilize independent layers to segment data and customers. “Owning our technology from beginning to end will allow us to run an extremely efficient operations team,” said Crysdale. “We will also be eliminating the age-old issue of massive data persistence and reconciliation of data sets and reports,” he added. “Now and going forward, there is a very strong emphasis on technology. Automation, single system of record, workflow, work queue management, et cetera, allow us to manage the business effectively on a daily basis at a much lower cost and with a higher level of accuracy. Technology allows us to shift from reactive to proactive,” Crysdale said. He added, “We will soon have the technology and data to measure the most granular KPI. We will not only
USA
be able to measure effectiveness, but we will be able to proactively manage our business intelligently by analyzing our data and looking forward. We will have the capability to conduct ‘what if’ scenarios and understand how today’s decisions may impact tomorrow’s objectives.” North American Power is also focused on purchasing energy at the best possible rate to further allow the company to offer customers competitive pricing. When it comes to its energy supply, Allegro Development and Adapt2 are two partners who have contributed to North American Power’s success. Allegro provides the company with the commodity management software used to manage the electricity and natural gas books of business on a daily basis, while Adapt2 helps North American Power absorb the enormous amounts of data provided by the Independent System Operators. “We place a huge emphasis on using cutting-edge innovations and efficiencies,” Brown said. “Allegro and Adapt2 help set us apart from our competition and give us true advantage in the marketplace.” w w w . n a p o w e r. c o m
91
NORTH AMERICAN POWER
It takes the best to be the best With a goal to become America’s most admired retail energy company through exceptional growth, innovation and customer experiences, there is a lot of motivation to drive employee behavior towards achieving these objectives. “It’s important to us that each employee understands how his or her individual contribution impacts the overall business,” Crysdale said. “We work hard to promote a company culture that recognizes, attracts and rewards team members 92
November 2015
that make exceptional contributions,” said Brown. “It all begins with forming a team of dedicated, highperformance employees.” “In one word, we value the ‘exceptional,’” he continued. “We foster a work environment that promotes curiosity and the courage to take smart risks, because we know that it’s exceptional innovation that allows us to deliver a customer experience that is compelling and differentiated from the experiences offered by our competitors.”
USA
Charging towards the future As for the future of the energy industry, North American Power’s executive management predicts more innovative products for both residential and commercial clients. Further technical advancements and bundled product offerings are also on the horizon, allowing for easier integration across multiple providers of different services. “Organizations in our industry will become much more adept at storing, managing and interpreting their data to make better and faster decisions,” said Crysdale. Breibart added, “Retail electricity and natural gas markets are the future, and anyone who disputes that should go invest in New York City Taxi medallions. Consumers today and especially consumers of tomorrow are not going to settle for monopolistic business models like public utilities, cable or taxi companies. They demand excellent customer experience and innovation, which are two things that monopolies have absolutely no incentive to provide.” “For me,” he continued, “it’s not a question of whether or not our industry is the future of energy — it’s a question of how long it will take regulators in states that have not yet deregulated to accept that. “It’s really exciting to see what’s happening in the marketplace,” said Brown. “It’s a huge challenge for us to make sure we’re ahead of the pack, but it’s a challenge we embrace, and it’s what competition is all about.”
Company Information INDUSTRY
Energy HEADQUARTERS
20 Glover Avenue Norwalk, CT, USA, 06850 FOUNDED
2009 EMPLOYEES
90 REVENUE
$370 million
w w w . n a p o w e r. c o m
93
ESCO Advisors Software and services: The one-two punch for the energy industry With over 50 years of combined experience, ESCO Advisors is the leader in retail energy supply managed software solutions and consulting services Written by: Stephanie C. Ocano Produced by: Jason Wright
95
ESCO ADVISORS
A
s the third largest industry within the United States, the energy sector can be tough to navigate. With an ever-growing consumer demand, advancements in technology and a rise in the amount of data acquired, supply companies can be left feeling daunted by even the simplest of tasks. With over 50 years of combined experience in the energy field, ESCO Advisors has the answers to many of the questions senior executives ask themselves when running operations and risk. Founded in 2011 by a group of industry professionals, ESCO Advisors has since become the 96
November 2015
leader in retail energy supply managed software solutions and consulting services. The company’s philosophy is simple, yet effective: grow energy supply companies by reducing overhead and increasing efficiency, margins and profitability by leveraging expertise. “Off-the-shelf solutions like ours are far more advanced than companies who have tried to build their own,� said Jon Parrella, chairman and founder of ESCO Advisors, during a recent interview. With a driving vision and entrepreneurial spirit, Jon Parrella
USA
and his brother Michael Parrella— CEO of ESCO Advisors—are growing the energy supply industry one company at a time. From consultations to integration Prior to founding ESCO Advisors, Jon Parrella founded and operated a retail supply company. At the time, the market had much less competition, and as a smaller company Jon Parrella was able to compete with the larger companies. As the field began to fill with competitors, the company was sold and Jon Parrella began to do
consulting work at the request of industry executives. “I started working with one of the larger suppliers at the time alongside my previous VP of Sales (now VP of Sales at ESCO Advisors), just working on IT and sales consulting,” said Jon Parrella. “We then looked at each other and said, ‘Why consult with just one company when we can consult with many?’” And, so, ESCO Advisors was born, with the company broadening its consulting services to sales and marketing departments, brokerage network development, IT architecture and risk management. w w w. e s c o w a re . c o m
97
R
T H I N K F O R W A R D. Visionary Cloud and Security Solutions that Empower Organizations.
W
ith ADAPTURE Cloud offering, we were able to leverage better overall
service, reduce our monthly costs, and generate ROI from day one. The best part was that there were no upfront costs, which is important to an emerging business like ours. We now can concentrate on delivering exceptional service and focus on company growth while eliminating complex IT issues. - Jon Parrella, CEO ESCO Advisors
Strategic Partners Lifeline Datacenters Amazon Web Services (AWS) Microsoft F5 Networks Dell
www.ADAPTURE.com
USA
“We started to take on more and more suppliers and we had to bring in additional expertise,” continued Jon Parrella. Two years later, the company launched its first product and discovered a niche within the marketplace that wasn’t fulfilled by others. In 2014, at the request of Jon Parrella, Michael Parrella joined ESCO Advisors to optimize the company’s operations and run the company from its headquarters in Danbury, Connecticut. “We were able to complement each others’ skills,” shared Michael Parrella. By responding to the challenges
SUPPLIER PROFILE
that every energy supply company was facing, clients began to roll in for ESCO Advisors. “Having been in the client’s shoes with my previous company, I was given the ability to see where there were voids in the marketplace and where there was opportunity,” said Jon Parrella. The company now has two main products, one for customer and broker relationship management, and a demand forecasting system for managing risk. In conjunction with a billing system, these two systems provide the ability to automate the operations and risk of
ADAPTURE
ADAPTURE provides intellectual capital, technical knowledge and experience to ensure the design of your architecture is tailored to your organization’s specific needs. Our mission is to implement world-class platforms that scale with both business growth and technological innovation. ADAPTURE works directly with your team to understand where you are and where you want to go with your infrastructure. Website: www.ADAPTURE.com
w w w. e s c o w a re . c o m
99
a retail supplier, optimize staffing, and ensure access and visibility to data is simple and efficient.
The second ingredient for ESCO Advisors’ recipe for success is offering not only state-of-the-art software, but services as well. The majority of the A competitive advantage energy industry still relies on Microsoft Jon Parrella’s previous success Excel spreadsheets to collect and with his retail supply company is interpret data, but as Michael Parrella definitely a factor for the insight puts it, “that’s a thing of the past.” ESCO Advisors has for its clients. “Once you get to a certain size of ESCO Advisors is able to build spreadsheet, it’s not going to work,” solutions based off of knowing what explained Michael Parrella. “The works best rather than having to amount of data you have to work with endure a learning curve. is too massive and inefficient to make “A lot of the time, we build a product business decisions. We provide an in anticipation for what the client efficient and scalable service.” requests,” said Jon Parrella. Knowing After working with more than 40 what a client needs is a specialty of clients, ESCO Advisors has seen ESCO Advisors and one the company what does and doesn’t work and has prides itself on. best practices that others simply 100
November 2015
ESCO ADVISORS don’t. By remaining focused on the systems and services they provide, along with the highest degree of professionalism, ESCO Advisors has the competitive edge that keeps clients returning for more. Implementing continuous improvement strategies “If anything is true, that is,” answered Michael Parrella when asked if continuous improvement strategies were in place at ESCO Advisors. “We are constantly putting pressure on ourselves to improve in every way—from our products to our interactions with clients.” ESCO Advisors is a strong believer in there always being room for improvement, and the company doesn’t follow a “rinse and repeat” model, but rather a “rinse, review and improve” one. In addition, ESCO Advisors has implemented performance measurements into its software to improve the quality of forecasts and the data transmitted to clients. “We measure for accuracy every day for our clients, and if something goes wrong, we look into it, fix it and build a solution into our systems,”
USA
said Jon Parrella. Customer feedback is integral to the success of ESCO Advisors and the input received from clients is integrated into product updates and system procedures. “You really get the best of breed in our software that not a lot of people have access to,” added Jon Parrella. Technology Advantage ESCO Advisors has taken a different approach than most Software as a Service (SaaS) companies when it comes to hosting the application that has helped them grow quickly. ESCO Advisors works with Adapture to run a managed hosted solution that costs a quarter of the price of hosting in the cloud, while still allowing for the ability to architect a solution specifically designed for disk I/O. “With the amount of data we need to process every day, it was critical to architect a solution that was scalable and fast,” said Michael Parrella. “We have been able to grow quickly without having to have the IT overhead to manage our servers, and make sure we always have the latest and fastest equipment available.”
w w w. e s c o w a re . c o m
101
ESCO ADVISORS
While solar panels may offer enough wattage to participate in regional energy markets, other DERs don’t
Marketing through education It should come as no surprise that ESCO Advisors offers distinguished software. But while those who are used to traditional models might fear overcoming technological hurdles, ESCO Advisors takes an aggressive approach to client care. To aid suppliers avoid the pitfalls of the energy industry, the company assigns dedicated analysts and support representatives to each client. “If a product is too difficult to use and your customer is not trained on it properly, they’re not going to use it,” said Jon Parrella. “If you thoroughly engage them with the product and show them the benefits and efficiencies of using it, you provide a much better 102
November 2015
USA
working relationship and receive higher customer satisfaction.” Product education is something that ESCO Advisors takes seriously. As a member of CCRO (The Committee of Chief Risk Officers), Jon Parrella and the organization are assembling a white paper on the best practices of risk management for the retail energy industry that is expected to be released within the next six months. Following the release, the CCRO plans to offer continuous education based off of the white paper in a school environment where ESCO Advisors will be a main educator. “It’s something that we take a lot of pride in after working hard to build the credibility to be able to do that,” shared Jon Parrella. Looking ahead After extensive growth in such a short period of time, one can only begin to imagine what lies ahead for ESCO Advisors. What we can expect to see during the next 12-18 months is continuous expansion. With plans to open an office in Houston, Texas and venturing into the natural gas sector and other vertical commodity opportunities where risk is inherent and predictive, ESCO Advisors is prepared for whatever comes its way. “We are at a huge advantage thanks to the services and expertise we offer,” concluded Jon Parrella. “Most suppliers either haven’t realized it yet or are just beginning to, and we’ll only continue to grow.”
Company Information INDUSTRY
Energy HEADQUARTERS
100 Mill Plain Rd 1st Floor, Danbury Connecticut United States 06811 FOUNDED
2011 EMPLOYEES
20 REVENUE
$5M
w w w. e s c o w a re . c o m
103
Ergon E
Regional Queenslan
Executive General Manager Peter Billing initiatives on the hori Written by: Robert Spence
Energy
nd’s energy supplier
g discusses innovation and reveals upcoming izon for Queensland. Produced by: Vince Kielty 105
C O M PA N Y N A M E
E
rgon Energy is more than just your average energy company. Founded in 1999, the government-owned corporation is a forward-thinking electricity provider. It services more than 720,000 customers across Queensland by supplying electricity and alternative solutions to residents and businesses from the coastal population to the rural and remote communities throughout the region.
Ian McLeod, CEO 106
November 2015
SECTOR
Anatomy of Ergon Energy The Queensland company is comprised of two sides: one that builds and maintains the electricity distribution network, and one that sells electricity to residential and business customers. Ergon Retail is the customer facing part of the company, assisting customers in everything from opening new accounts, arranging location moves and managing electricity use to locating convenient ways to pay accounts, support systems and
“Innovation is huge for us. It’s an important part of our business and we’re always looking at new ways to apply new innovation throughout the company.” –Peter Billing, Executive General Manager, customer service.
w w w. e r g o n . c o m . a u
107
Nexans Olex is Australia's trusted electricity industry partner; providing electrical cable products and solutions for over 75 years. From project design through to decommissioning, our local technical design and support team are there when you need us to keep your assets running and to let you focus on your business. Our comprehesive product range includes solutions for:
Head Office 207 Sunshine Road Tottenham Victoria 3012 Australia Phone: 1300 CABLES
www.olex.com.au
SUPPLIER PROFILE
Employees: 350 Australia, over 20000 Worldwide Established: 1940 (Australia) Industry: Power Transmission and Distribution, Transport Networks and Infrastructure, Resources (mining, oil and gas, renewables), Building Construction Products and Services: We are manufacturers and suppliers of a full range of electrical and data cables and electrical system solutions. Our products have been designed with local industry by our Australian technical team and best in class global research centres. Ongoing Projects: APLNG Gas Field Electrification and Wells Online, Ichthys Gas Field Downstream Processing Facilities, Ergon Energy Power Utility Network, Key to success: Our approach is to partner with our customers. We are involved in your success and provide solutions which help you achieve your goals. This is backed by a commitment to best quality manufactured products designed for your specific application and operating environment. Future developments: LoSAG™ Covered Conductor is an exciting new product for power distribution networks which greatly reduces the risk of bush fires while also remaining compatible with existing systems for the lowest cost SWER replacement line option. Company Mission: Nexans Olex aspires to be the first choice supplier of cable solutions in Australia. With a rich history at our core, we aim to draw on our global parentage to lead the electrical industry through technical innovation, quality and industry stewardship. Management: • Tony Dunstan, Managing Director • Greg Stack, General Manager Sales • Tony Jones, National Manager Utilities & Contestables Website: www.olex.com.au
ERGON ENERGY
AUSTRALIA
government rebates. The distribution side of the business, Ergon Energy, provides energy services to residents and businesses while maintaining an electrical network that stretches roughly 160,000 kilometers of power lines across Queensland. Within the network operates 33 stand-alone power stations that provide energy to isolated communities within the region. Additional services include accommodating connections for new technologies such as solar, as well as a small manufacturing group to handle the construction of module substations. Unlike your typical energy provider, Ergon Energy is driven by innovation. “Innovation is huge for us. It’s an important part of our business and we’re always looking at new ways to apply new innovation throughout the company,” said Peter Billing, executive general manager of customer service at Ergon Energy. According to Billing, the company continuously seeks out new ways of improving service – whether through infrastructure or alternative energy sources – to better position themselves for the future.
“We recognised back in 2007 that the price of energy would become an issue and that we would need to adapt.” Peter Billing, Executive General Manager, customer service. w w w. e r g o n . c o m . a u
111
ADVANCED DIESEL FUEL WITH SOPHISTICATED ENGINE CLEANING TECHNOLOGY Caltex Active TecD is a high-performance diesel fuel specifically designed to clean-up performance degrading deposits from heavy-duty diesel-fuelled engines, such as buses, trucks, mining equipment and power generators, and keep them clean. Caltex Active TecD works to help improve injector cleanliness, and consequently enhance fuel flow through the injectors and restore engine power.
ERGON ENERGY
AUSTRALIA
“We recognized back in 2007 that the price of energy would become an issue and that we would need to adapt,” Billing revealed. “It got us thinking differently and we realized if we keep doing things the way we’ve always done them, the world will change and we’ll become obsolete. “We may not be Apple or Google but we’re striving for innovation.” To ensure creativity is alive and well within the organization, Ergon Energy strives to cultivate an atmosphere that empowers people to speak up and bring their ideas to the table. “We encourage everyone in our organization from the top to the bottom to read and learn new things happening in the world. We encourage them to think of new ways of doing things and ways to apply those innovative ideas to our type
SUPPLIER PROFILE
ACTIVE TECD: THE FUEL OF THE FUTURE
Internal diesel injector deposits are of increasing concern in modern high pressure common rail fuel injection systems, which are manufactured to meet precise tolerances and operate with tiny clearances (down to 2-6 micron). These deposits can affect the response of the fuel injector, causing sticking of moving internal parts and loss of control of injection event timing, as well as the quantity of fuel delivered. By cleaning up performance degrading deposits from an engine – and keeping it clean – Caltex Active TecD works to restore power, improve injector cleanliness and ensure better fuel flow through the injectors. It is formulated with a high treat rate of Caltex’s advanced, proprietary additive system which also inhibits the formation of rust and corrosion. The anti-foaming agent in Active TecD reduces foaming to zero in industry standard tests, which in practice lessens both splashback and odours commonly associated with regular diesel, allowing for faster and
w w w. e r g o n . c o m . a u
113
EDITORIAL
C
altex and Ergon Energy’s Isolated Systems have formed an interdependent relationship based on collaboration, trust and shared values. Caltex’s central role is to supply diesel
fuel and lubricants to all of Ergon Energy’s 33 remote power stations, which provide dependable and stable electricity to remote parts of Queensland, including the Torres Strait. The relationship
between the two organisations is critical to ensure consistency of the power supply and to make sure that fuel is transported and delivered safely and effectively with minimal risk to the environment. Caltex has proven to be a trusted supplier and a key partner in Ergon operations. In one of many dialogues between both companies to review operational efficiencies and improvement initiatives, Caltex proposed an opportunity for Ergon to reduce fuel consumption. ActiveTecD fuel, one of three Caltex value-added fuel products, was suggested as being a good fit with existing infrastructure and logistics. The fuel was claimed to offer a potential 2 per cent improvement in thermal efficiency (reduced consumption), by removing deposits in the fuel system and preventing further build-up. In prolonged operation this should help restore and maintain ‘new engine’ like performance for longer. Caltex was able to demonstrate
the claimed effectiveness of ActiveTecD in the transport market, which established a performance test in the power station at Boulia, Queensland. Boulia was proposed to demonstrate the effectiveness of the fuel as it had a good mix of old and new engines, giving a credible trial at a load that was typical of the rest of Ergon’s fleet. Based on before and after thermal efficiency measurements, the data collected showed average fuel efficiency to be slightly better than the purported figure. This level of performance was sustained after many months of successful operation. Caltex’s support has been with Ergon all the way, and its strong technical capabilities and experience is something on which Ergon Energy places a high value. From a supplier management perspective, the Caltex relationship sets the benchmark against which all other Isolated System suppliers are compared.
“Work Safe, Home Safe”. Established in 2007, Geiger Group is an infrastructure business providing electrical, civil, telecommunications and ancillary works in Queensland and Victoria from our Toowoomba, Brisbane and Melbourne offices, with capability nationally. Manage and deliver: • High and low voltage distribution works including overhead and underground • Underground reticulation • Commercial and industrial electrical works including new builds and refurbishments • Earthworks, excavation and civil works including remediation and new works • Communication and data installation • Project management works Geiger Group has a proven track record of delivery in our key markets which include mining, oil and gas, civil, commercial and industrial construction, rail and energy sectors. The Geiger Group vision for all staff is ‘Work Safe, Home Safe’.
Queensland: 5 Tait Street, Toowoomba Qld 4350 | PO Box 7009 Toowoomba South Qld 4350 | 07 4614 4300 Brisbane: PO Box 2017 Graceville Qld 4075 Victoria: 7 Kearney Street, Bayswater VIC 3153 | PO Box 888, Lilydale VIC 3140 | 03 9720 3289 info@geigergroup.com.au | geigergroup.com.au
ERGON ENERGY
SUPPLIER PROFILE
AUSTRALIA
GEIGER GROUP
Employees: 150 Established: 2007 in Toowoomba, QLD Industry: Geiger Group provides Electrical, Civil, Telecommunications and Ancillary works with works being completed across Australia for some of Australia’s leading electrical, gas and civil suppliers. Services: Works from high and low voltage and underground works, earth works and civil works to data installation. Project management and technical advice. Ongoing Projects: Geiger Group are industry leaders in contracting services for overhead and underground electrical distribution network assets. Our key markets are Queensland and Victoria with National capabilities Website: www.geigergroup.com.au
w w w. e r g o n . c o m . a u
117
We spend all our energy forging Greg Sewell Forgings are honoured to be included as part of the nuts and bolts make-up behind Ergon Energy’s streamlined supply chain and are proud of the strong and lasting relationship that we have forged together. For over 30 years now, Greg Sewell Forgings has been manufacturing and supplying quality steel forged & fabricated products to the Australasian market. For all of your fastener and line hardware accessory requirements or to find out more about Greg Sewell Forgings, please contact our National Sales Manager – Mr Robert Borg on (02) 8814 5990 or email: rborg@gsforgings.com
‘Experience in forging’ www.gsforgings.com
ERGON ENERGY of business,” said Billing. “When everyone is bringing something to the table, one idea might spur another. We encourage that.” Putting innovation into action For Ergon Energy, company-
SUPPLIER PROFILE
AUSTRALIA
wide collaboration is a key component behind one strategic focus: exploring new possibilities for collecting, consuming and conserving energy. One example of this is the utilization of batteries. “We’re seeing that batteries are
GREG SEWELL FORGINGS
Greg Sewell Forgings Pty Ltd is a major manufacturer and supplier of specialty, high and low volume components with a diverse range of capabilities. We have produced thousands of different components from low grade carbon through to high end stainless steel to meet the high requirements from the Power Industry, Mining, Rail, Agricultural, Automotive and the Fastener industry. Our flexibility allows us to offer single run low-volume to high-volume production at competitive prices. A cornerstone of our business practice is to build mutually beneficial partnerships with our customers and suppliers, and to continually seek improvements for us and our customers through innovation and excellence. To this end Greg Sewell Forgings Pty Ltd has adopted the AS/NZS ISO 9001:2008 Quality Management System. Website: www.gsforgings.com
w w w. e r g o n . c o m . a u
119
Driving Fleet Innovation
SG Fleet’s industry leadership and strong business performance is built on the company’s major competitive assets: exceptional relationships with customers through outstanding service quality, the ability to develop our offering through innovation, and the skills and experience of our people.
Whether you run a fleet of 5 or 10,000 vehicles, sgfleet is the answer. Corporate fleets Government fleets Small to medium enterprise Salary packaging Passenger and light commercials Heavy commercials Mobile equipment Fleet management sgfleet will tailor the right package for you with flexible finance arrangements.
Visit our website: www.sgfleet.com
Call us on: 1300 138 235
SUPPLIER PROFILE
SG FLEET GROUP LIMITED SG Fleet Group Limited is one of Australia’s leading specialist providers of fleet management, vehicle leasing and salary packaging services. SG Fleet has a presence across Australia, as well as in the United Kingdom and New Zealand. The company employs over 400 staff and has more than 90,000 vehicles under management. SG Fleet listed on the Australian Securities Exchange in March 2014. SG Fleet offers an extensive range of fleet management, leasing and salary packaging solutions to corporate and government customers, as well as heavy commercial fleet management and leasing services. Salary packaging solutions provided by the company include novated leases and associated vehicle management services for customers’ employees, as well as a range of other employee benefits. The company has a unique position in the marketplace, built on the experience, product expertise and commitment of its team. SG Fleet prides itself on the strength of its relationships with blue chip corporate and government customers. These relationships have been built on a customer-centric approach to service delivery and the development of bespoke but scalable solutions to meet the needs of individual customers. Constant innovation allows SG Fleet to provide its customers with an industry-leading proprietary technology platform that enables highly advanced fleet management capabilities. The company continually upgrades its solutions and introduces additional products and services to its range. Management: • Robbie Blau, Chief Executive Officer • Kevin Wundram, Chief Financial Officer • Andy Mulcaster, Managing Director, Australia
THE TRANSFORMER PEOPLE
Power Transformers (≤550MVA) Distribution Transformers (≤5,000kVA)
Special Transformers
Compact MV Substations
Special Applications
Monitoring and Control Solutions
For more information about our products and services, please visit www.wtc.com.au
BUILT SMART
FOR LIFE
ERGON ENERGY part of our future,” said Billing when explaining the company’s ongoing partnership with Mitsubishi. In 2012, the company purchased six Mitsubishi electric vehicles (EVs) and ran trials in Townsville over an 18-month period to understand customer acceptance of EVs and the eco system that supports them. “We were able to examine how these vehicles were used, including how and when they charge, in order to better understand their impact on our network,” Billing said. Ergon Energy recently secured another deal with Mitsubishi to integrate eight Mitsubishi Outlander
SUPPLIER PROFILE
AUSTRALIA
plug-in hybrid electric vehicles (PHEVs) into their fleet, as well as finalizing a lease offer to employees that could see up to an additional 100 EVs provided for use later in the year. “From an electricity perspective, the use of EVs is a natural synergy,” Billing said. “It’s the beginning of a new role of technology in the energy sector: Why wouldn’t we be on the ground floor running?” While the partnership with Mitsubishi is a great starting point, it’s only the tip of the iceberg for Ergon Energy. In July, Ergon Energy announced it was working with the government
WILSON TRANSFORMER COMPANY
Established in 1933 with a proud history, Wilson Transformer Company is a leading specialist in the delivery of transformer solutions. From our manufacturing base in Australia, we deliver solutions to a wide variety of industries and customers around the world including electricity generators, transmission and distribution organisations as well as variety of heavy and light industrial users. Within our product range, our state of the art facilities are equal to the best the world has to offer. By using the latest design software, analytics and manufacturing technology, we engineer and manufacture our products in clean work environments incorporating strict quality control measures. We also have a dedicated team of people for field operations and support services. Through our world-class capabilities, specialist knowledge and proven reliability, our customers can be assured of a quality outcome. We are building smart for life solutions and this means performance you can
w w w. e r g o n . c o m . a u
123
PERFORMANCE SOLUTIONS FOR ELECTRICITY GAS WATER UASG is Australia’s leading provider of retail meter reading and installation services in the electricity, gas and water sectors, and of end-to-end essential maintenance and inspection services in electricity distribution. Our speciality brands, Skilltech and UAM, partner with customers to offer safe, compliant and reliable services. This commitment is evidenced by our 95% client renewal rate and outstanding safety record. Our essential services support Ergon Energy every day by: ●
Inspecting and maintaining 250,000 poles and 50,000+ street lights a year in urban and remote areas
●
Conducting an Annual Road Patrol Program of 30,000+ street lights
●
Supplying quality field metering services, including reading, special reads, disconnections and reconnections to 2.4+ million accounts each year
Contact us today: 1300 377 170 enquiries@uasg.com.au www.uasg.com.au
ERGON ENERGY
AUSTRALIA
SUPPLIER PROFILE UASG provides performance solutions for electricity, gas and water UASG networks. With 1,500+ employees, 900+ vehicles and more than 24 years experience, we deliver quality specialist services covering: • Meter reading, installation and Advanced Metering Infrastructure (AMI) • Energy and water efficiencies • Asset inspection/monitoring • Data capture • Electrical overhead construction/ maintenance • Pole reinforcement services • Vegetation management • Lighting efficiency programs • LIDAR • Survey, design and drafting Website: enquiries@uasg.com.au
w w w. e r g o n . c o m . a u
125
PROUD SUPPLIER OF ISUZU TRUCKS TO
ERGON
ENERGY
ISUZU TRUCK
DEALER OF THE YEAR DEALER
TONY IRELAND ISUZU
OF THE YEAR
SALES | SERVICE | PARTS LOCALLY OWNED & OPERATED FOR OVER 30 YEARS TONY IRELAND ISUZU | 36 DUCKWORTH STREET, GARBUTT 4814 | PH: 07 4726 7777 www.tonyirelandisuzu.com.au
ERGON ENERGY
SUPPLIER PROFILE
AUSTRALIA
TONY IRELAND TOWNSVILLE
Employees: 160 Established: 1985 Industry: Automotive Services: New trucks, new equipment, vehicle servicing and parts Management: Tony Ireland–Managing Director, Ben Lawrence – Sales Manager Marnie Crowell – Service Manager, Jason Smythe– Parts Manager Website: www.tonyirelandisuzu.com.au
w w w. e r g o n . c o m . a u
127
CoverTel in partnership with Viavi (was JDSU) provides the right test solutions to ensure your networks operate at the most efficient levels. We work with you throughout the entire network lifecycle to understand your needs so we can deliver the right solutions to help your business succeed. We see things differently so th the people who power your that business can, too.
Learn more about our approach at www.covertel.com.au Fiber optics and Ethernet test
Wireless test
Network visibility
CoverTel Telecommunications Group 114 Bakehouse Road, Kensington VIC 3031, Australia
Enterprise and cloud solutions
Phone: +61 3 9381 7888 Fax: +61 3 9381 7899 Email: info@covertel.com.au
SUPPLIER PROFILE
COVERTEL TELECOMMUNICATIONS GROUP CoverTel Telecommunications Group is a wholly Australian owned company that specializes in providing Telecommunications Infrastructure and telecommunications test equipment to specialised customer groups, including carriers, OEM’s, Corporates, Government, Utilities and Defence organisations. Between 2010 and 2015 Ergon Energy undertook a range of projects to expand its telecommunications network by more than 250% to realise operational efficiencies in monitoring and maintaining the network remotely. With these projects new technologies were deployed and Ergon’s existing suite of telecommunications test equipment did not meet the new requirements. Covertel, as a specialised test equipment vendor worked directly with ERGON ENERGY to assist in supplying a standardised set of Ethernet test equipment equipped with fiber optic interfaces to facilitate the build of their new network expansion to test the new technologies and services on Ergon’s network such as: • EoSDH and L2 MPLS VPN Ethernet services up to 10 gigabits to supply modern connectivity for business voice, video and data communications between offices, depots and substations and to facilitate the move to a smart grid style overall network control. • Critical tele-protection services providing safety, reliability and asset protection functions on Ergon’s network. This new test equipment provided the following advantages for Ergon: • Standardisation of test equipment, test methods and results allowing Ergon field crews to have common equipment across all regions to test services between any point within the state. • Future proof testing platform that can be upgraded for some additional new test’s that Ergon may require. • New standards for testing services provides Ergon with the following benefits: • Reduced time spent on-site compared to the previous method allowing faster provision of services. • More accurate test closely simulating the final actual data the service will carry to provide a higher degree of confidence that the service is working as expected. • More easily interpreted test results allowing for a further increase in confidence that the service is working as expected reducing time spent troubleshooting faults.
ERGON ENERGY
SUPPLIER PROFILE
AUSTRALIA
BUSINESSFRIEND
Businessfriend is the Ultimate App - a One-Stop Social Media Destination for Professionals Discover, connect and share with your colleagues and peers. Communicate, manage and store your content and notate all aspects of your working life. Website: www.businessfriend.com
w w w. e r g o n . c o m . a u
131
GMJ Equipment is the national leader in the design, manufacture and supply of both insulated and un-insulated mobile elevated work platforms, reaching heights from 10 to 70 meters across a wide range of configurations. All of our models feature the latest in MEWP technology, offering smooth, safe, and reliable operation. Celebrating our 30th year of manufacturing, GMJ continues to be on the leading edge of mobile elevated work platform development.
REACHING GREATER HEIGHTS • Australian manufacturer of Insulated MEWP’s
• Major inspections
• Cela uninsulated MEWP’s agent
• Maintenance & repairs
• Truck body building services
• Hire/lease
WWW.GMJ.COM.AU
Australian made & owned
32-34 Quality drive, Dandenong South, VIC 3164, AUSTRALIA Email: reception@gmj.com.au | Phone: (+613) 9706 4550 | Fax: (+613) 9706 4515
Partner With Ergon Energy & Powerlink for over
20 YEARS
Pomfret’s BACKHOE HIRE
We specialise in the installation of electrical conduit, fibre optic, pits, substation foundations, general building and maintenance; and general earthworks.
Phone: 07 4927 8742 | Fax: 07 4921 0105 | Email: pomfrethire@hotmail.com David: 0428 792 678 | Troy: 0438 278 742
Brisbane | Sydney | Melbourne | Adeleide | Perth
Elevated Work Platform Specialists Latest in EWP Technology Reliable Equipment From 12m to 103m Back Up Service Australia Wide Our Fleet Includes Live Line & Under Bridge Inspection Units
P: 1300 LINCON
E: hire@lincon.com.au
www.lincon.com.au
Tel: +61 7 4061 6426 Transportation and Logistics, container movement, general freight deliveries with the inclusion of crane trucks and truck mounted forklifts and oversize loads. Meeting Australian Safety Standards, Our Trucks are equipped with Tracking Systems and Cameras.
www.innisfailcarrying.com.au
ERGON ENERGY to create an EV highway with Australia’s first solar-powered fastcharging station. “This is an opportunity to create a need in the market,” said Billing. “If you wait for everyone to get electric vehicles, it won’t work—it will be too late. We needed to be similar in our thinking of leading by example and getting the ball rolling.” Billing also revealed the company
AUSTRALIA
is about to purchase three Battery Packs for their hydraulic elevated work platform field trucks. “For us, the payback is reducing our diesel consumption while also eliminating the noise these machines make.” Not stopping there, Ergon Energy is also seeking to utilize alternative energy solutions in other areas of its businesses. “We’re actually putting batteries on
w w w. e r g o n . c o m . a u
135
The world’s first shear-bolt action mid-span splice
MTRS from Sicame Australia - the new mechanical tension repair splice has been developed to overcome many of the issues effecting poor jointing of bare overhead conductors with either compression, helical or spring type splices. High-torque, shear-head bolts apply pressure points on the conductor via an internal pressure plate in a unique wave-like pattern along its length, thus ensuring superior and reliable mechanical and electrical performance.
sales@sicame.com.au | www.sicame.com.au
SICAME AUSTRALIA HQ
SICAME AUSTRALIA NSW
23-25 Union Circuit Yatala, QLD, Australia (+61) 7 3807 7022 (+61) 7 3807 7522
4/36 Holbeche Road Arndell Park, NSW, Australia (+61) 2 9621 3155 (+61) 2 9622 7120
STIRLING HELICOPTERS Central Queenslands leading helicopter company operating a broad range of helicopter fleet and offering a vast range of professional helicopter services with very experienced and professional pilots.
We offer extensive helicopter charter services to the following industries: • Mining, Gas and Power • Corporate and Tourism • Defence and Government • Agriculture
EXPERIENCED PILOTS AND AN IMPECCABLY MAINTAINED FLEET
CONTACT:
Servicing Central Queensland and South West Queensland Email: admin@stirlinghelicopters.com.au Phone: 07 4937 1180 Web: www.stirlinghelicopters.com.au Mobile: 0429 371 180
ERGON ENERGY the end of remote and rural sections of the electricity network and using them as support in times of high load,” said Billing. “The benefits are immense because they don’t need to be augmented and they store energy in the off-peak times and then feed back into the network during highpeak times.” According to Billing, the company is in the process of working with
AUSTRALIA
some developers to implement batteries in subdivisions as well. “The outcome could potentially build a type of distributed generation network in a housing subdivision, which would provide an array of benefits to customers.” Ergon Energy is also building its retail business to reflect more opportunities for solar technology. In August, Ergon Energy forged
w w w. e r g o n . c o m . a u
137
ERGON ENERGY an alliance with Californian electricity storage developer Sunverge Energy to launch a limited commercial rollout of its power systems in Queensland homes. The partnership involves installing SunPower solar panels and Sunverge energy storage systems in 33 homes in Toowoomba, Townsville and Cannonvale in a program that will receive $400,000 of funding by the Australian Renewable Energy Agency. The power system is comprised
of back-up power, a six-kilowatt inverter with 11.6 kilowatt-hours of energy and communications, and control capability that allows the company to collectively manage the system to increase the efficiency of power supply on its grid. “This partnership will help us better understand the technology and where we stand in terms of our network. It’s helping us model what our future network could look like,” Billing explained.
Maintaining today’s assets, creating tomorrow’s power solutions UGL provides whole of life asset solutions for large and complex power systems across Australia, New Zealand and Asia, from electrical substations and transmission lines to advanced power stations. Throughout Queensland, UGL has been a proud supporter of Ergon Energy for 8 years working together to deliver 62 substations and associated infrastructure to provide electricity to 734,000 customers in homes and businesses across regional Queensland. The key elements to UGL’s success are our close working partnerships and decades of experience in delivering engineering construction and O&M solutions to our clients.
www.ugllimited.com
AUSTRALIA
Thinking forward A major initiative Ergon Energy has undertaken is in the form of disaster relief. The company is currently running a series of scenarios to better understand the network in the event of natural disasters, as well as learning how it could improve. “Right now we’re doing two things, the first of which is running a series of exercises to test the readiness of our network and whether we need to reconfigure it or change critical aspects to make it more resilient in the future,” said Billing. “The second thing is technology. We’re looking to interact with a number of technologies such as crowdsourcing and social media to find out if these are applicable for us.” The company is also holding workshops to better understand response perspectives from people and companies with actual experience dealing with these disasters. “Input from Rod West from Entergy in the United States has been paramount for us,” Billing. “His experience from Katrina and lessons learned were really insightful and important for us to consider with our network.” “All of these workshops, exercises and reports are better preparing us for the future,” said Billing. “We’re thinking ahead and about where we want to be in 2020.” With Ergon Energy at the helm, the people of Queensland are in good hands—today and in the future.
Company Information INDUSTRY
Utilities; government agency HEADQUARTERS
420 Flinders St Townsville, Queensland, Australia FOUNDED
1999 EMPLOYEES
4,500 PRODUCTS/ SERVICES
Utilities; government agency
w w w. e r g o n . c o m . a u
139
ERGON ENERGY EXECUTIVE SPOTLIGHT
141
CH T OE M PA W HNOY’ SN W AM HE O OF ERGON ENERGY Australia and is Chairman of Ergon Energy Queensland Pty Ltd, SPARQ Solutions Pty Ltd and Ergon Energy Telecommunications Pty Ltd.
IAN MCLEOD
Chief Executive Officer Ian McLeod is responsible for the business’ overall direction and, ultimately, for meeting the service delivery expectations and requirements of Ergon Energy’s customers, the community and regulators, as well as the business and financial objectives of shareholders. Ian brings extensive electricity industry experience to Ergon Energy; experience gained through management roles in the private contracting industry, in Powercor Australia and the State Electricity Commission of Victoria and Ergon Energy. Ian is a director of Energy Supply Association of 142
Moovnet h N mb 2e 0 r1 42 0 1 5
DAVID EDMUNDS
Executive General Manager, Network Optimization David Edmunds is responsible for the safe, efficient and effective utilization of Ergon Energy’s electricity distribution and associated communications networks and, where necessary, the delivery of new major infrastructure projects or other non-traditional solutions. He brings experience in both the corporate and public sector, to the executive including executive management, engineering, operations, and contracting, as well as proven leadership capabilities.
E X E C U T I V E S P OSTELCI G TO HR T
David has held senior roles in the electricity and gas industries of New Zealand, as well as in local government.
involved in the deregulation of the electricity industry in South Australia in the 1990s. He is on the board of Energy Skills Queensland.
PETER BILLING
MIKE HUTCHENS
Peter Billing is responsible for the operational effectiveness of the distribution business and for the safe, efficient operation and maintenance of Ergon Energy’s network. He is also responsible for supply to Ergon’s isolated communities and the commercial delivery of modular infrastructure and generation solutions. He brings a wealth of industry, leadership and change management experience to the executive, from trade roles to management. Peter was directly
Mike Hutchens is responsible for managing the financial and commercial aspects of Ergon Energy’s business, including strategic procurements, as well as the business’ legal counsel and risk and assurance program. Mike has significant accomplishments in financial and general management and has worked for a diverse range of businesses, including publicly listed multinational corporations, predominantly in the mining industry, as well as large professional services firms.
Executive General Manager, Customer Service
Chief Financial Officer, Finance and Corporate Services
ww ww. ww co . emr p g aonny. u c rolm . c.oam u
143
Modex Energy Containers and cabins with conviction
A fast-track growth company, Modex Energy has has become a global player in the oilfield services space. Regional Director Per Ingar Amlie talks about how to succeed in a tough market Written by: John O’Hanlon Produced by: Vince Kielty
145
MODEX ENERGY
M
odex Energy was first incorporated in 2011, in Hong Kong. Founded in China by Per Ingar Amlie, Paal Wilsgaard and Tore Ertzaas, it was perceived that there was growing demand in the offshore oil and gas market, for a dedicated manufacturer of service equipment. The market was beginning to expand after the financial crisis of 2008, and the founders were not only thoroughly versed in the varying technical requirements of international oil service, exploration and production companies but also understood the equally important 146
November 2015
aspect of capital raising. On these two pillars Modex has been able to expand at a breathtaking rate and today has a presence in USA, Norway, Singapore, Indonesia, Brunei, Malaysia, Australia, UAE and Brazil, and operations in Nigeria, Ghana and Saudi Arabia as well. Amlie, who is now based at Singapore and overseeing the company’s operations in the Asia/Pacific region, believes that a key differentiator for Modex Energy is that it is the only truly integrated Cargo Carrying Unit (CCU) manufacturer and rental provider in the world. Unlike other
ENERGY
CCU providers who subcontract their production, Modex owns and operates the most advanced CCU and cabin manufacturing facility in the world, capable of producing 5,400 CCUs and 120 cabin units per year. CCUs and cabins come in a variety of forms. They are certified by DNV (Det Norske Veritas) following design review and testing and inspection of the production process as well as the finished product. The containers are issued with a “Type Approval Certificate,� which enables the manufacturer to produce the same type over and again. The China factories
manufacture in accordance with requirements of ISO 9001:2008 and ISO 14001:2004 Modex is also registered with the Scandinavian Achilles JQS, which is used widely in the North Sea oilfields. The company started to grow organically in an emerging market, using a combination of debt and equity to fund acquisition or merger with larger and more established players in mature markets. In 2014 it merged with the Norwegian company Euro Offshore, which is now trading under the Modex name, and earlier in 2015 it also merged with Louisiana-based Gauthiers to w w w . m o d e x e n e r g y. c o m
147
PEOPLE DRIVE OUR BUSINESS
IJS GLOBAL
is a specialist provider of multi modal, worldwide freight services to the Oil and Gas industry. Our experienced, dedicated project teams provide a full range of services including pre-project planning, cost and benefit analysis, project management and execution. Our combination of knowledge, experience, agility and sophisticated IT systems make IJS Global a trusted partner to the Oil and Gas industry and a true extension of your business.
RO
C
S
Whether it’s customers, employees or other stakeholders, we believe that investing in relationships is a foundation for success.
AD
People drive our business
A I R O C EA N LO G
I T IS
IJS Global (UK) Limited - Glasgow 4A Bairdsland View Bellshill ML4 1RZ Phone: +44 1698 742250 Email: infoglasgow@ijsglobal.com www.ijsglobal.com
MODEX ENERGY IJS Global is a specialist provider of multi modal, worldwide freight services to the Oil and Gas industry. IJS Global is proud to be chosen by Modex as a preferred global logistics partner The IJS Global dedicated O&G team provide added value to the Modex business though flexible, tailored solutions, cost reduction, increased productivity and improved reliability. The vision at IJS Global is built upon customer engagement providing transparent and efficient forwarding solutions to customer specific requirements. Modex focuses on their core business whilst IJS Global provides seamless logistics and business solutions.
SUPPLIER PROFILE
AUSTRALIA
create the world’s third-largest offshore container company, with an inventory of 17,000 units, a global presence and comprehensive service offerings from engineering and manufacturing to the sale and leasing of offshore containers and modules. This gave Modex far greater access to the North American oil and gas market, especially operators, contractors and service companies in the Gulf of Mexico, as well as further in-house manufacturing design and production capacity. This growth curve, though impressive, has not taken the company to quite the position Per Ingar Amlie thinks it should occupy. It has the global number two
IJS GLOBAL
Employees: 550 staff Established: 2004 Industry: Supply Chain Logistics and Freight Forwarding Services: Air, Ocean, Road Imports/ Exports and Warehousing including Express, Time Critical Ongoing Projects: Specialised in Pharmaceutical/Healthcare; Oil & Gas/Energy, Aerospace, Automotive; Telecoms & Technology; Consumer & FMCG Website: www.ijsglobal.co.uk
w w w . m o d e x e n e r g y. c o m
149
Quality Reliability Delivery
Regis Marine Offshore Services Pte Ltd was
established in 2012. With extensive contacts and resources available at our disposal, we are able to provide value-added services, quality products and equipment, all at competitive prices. Our wide range of products allowing us to fulfill a broad spectrum of markets needs. As an integrated provider of various products and services, we strive to provide customers that best meet their needs. With our extensive network in the regions, and global business partners, we are able
to reach out to a global market both efficiently and effectively. Our areas of expertise includes supply of various reputable wire ropes to the Oil & Gas, Marine & Offshore, Crane Sectors. Strong alliance with major stockiest for high quality wire ropes, wire rope related fitting, anchor chains and fitting and quality marine Deck Fitting and Machinery. We are specializing in supplying DNV 2.7.1 rated Wire Rope Slings.
Authorized Distributor
Regis Marine Offshore Services Pte Ltd 21, Bukit Batok Crescent #27-83 Wcega Tower, Singapore 658065
Tel: (65) 6659 2808 Fax: (65) 6659 2308
www.regispl.com
MODEX ENERGY
AUSTRALIA
slot in its sights, though it might take a little longer to challenge the market leader, the UK’s Swire group, he concedes. Nevertheless Modex is keeping ahead of the market in a number of ways. One of these is by responding to cost pressure from the customers in the face of depressed oil prices. “There’s less slack in the logistics operations, and clients are moving towards tracking solutions to identify slack in their operations and remove it. One area we can contribute to cutting costs is by introducing far greater levels of standardisation – currently there are rather a lot of different CCU designs in use, in different parts of the world for example, but there is a lot of scope for rationalising the product. Now, though, global standards are being introduced for equipment. This will reduce
SUPPLIER PROFILE
REGIS
Regis was established in 2012 & have immediately understand the offshore market requirement for Lifting Slings certified to DNV 2.7.1. We have worked with the various reputable brands suppling components which are certified to DNV 2.7.1. We want to assure to all our valued customers that “Safety is our Top Priority” & we only supply certified & quality products. We leave nothing to chance. With the new accreditation of “LEEA” in 2015, we have also extent our Testing Services to carry out Inspection & Testing for all Lifting Gears & Appliances. We are also proud & honoured to be appointed as “Stockiest Distributor” & “Service Centre” by “Tiger” and currently we have setup a new warehouse cum servicing facility with stocks readily available to cater for the industries needs in our area. Regis Corporate Philosophy & Culture : “Quality, Reliability, Delivery” Website: www.regispl.com w w w . m o d e x e n e r g y. c o m
151
MODEX ENERGY
the cost of manufacturing and also benefit operations and maintenance whether you rent the equipment or purchase it.” Falling hydrocarbon prices affect demand but linked to the current low price of steel they do offset manufacturing costs. “I’d say that the oil industry has contracted by up to 40 percent over the last couple of years. I think we have passed through the panic stages where nobody knew when prices would bottom out, and most players are adjusting themselves to an oil price between $50 and $60 a barrel.” Anyway, the fact that Modex has 152
November 2015
continued and is continuing to expand in this market environment is a great achievement. With strong backing in Europe and Asia, it is in the great position of being able to continue to expand if the right investment opportunities present themselves, he says. In common with corporations large and small around the globe, one area of continuing investment for Modex is in its IT infrastructure. “Right across our industry now, everyone is having to look at how they can better control their assets. So if we do not invest we will be left behind – but our strategy is not to
AUSTRALIA
keep up but to lead, which is why we are investing in our entire supply chain from procurement, through manufacturing right through to equipment supply, installation and maintenance. There has been too much slack in the offshore market, and we are using IT tools to remove that, and increase utilisation of our equipment, and become more efficient generally.” Inevitably, since Modex has grown through amalgamation with a number of pre-existing organisation, it has had to confront the issue of using a variety of different IT platforms. To address this Modex has taken radical steps, says Amlie, to turn a problem into an asset. “It has been a chance to pick out which systems were the best for us, phase others out and introduce new platforms, on the principle of taking the best practices from each of the companies and bringing them into the group.” Looking back on progress to date, Per Amlie stresses that the quality, regulatory compliance and design of the products are only a beginning. The company’s clients gain competitive advantage in a cut-throat market by being able to depend on timely maintenance and repair work, modification and upgrading, and inspection and testing services from Modex. Its service options include lifetime spare part support, ISO-connectors and hook up cables, provisions of personalised support and assistance with logistics. All of these service offerings combine to create a one-stop solution in this segment of the market.
Company Information INDUSTRY
Energy HEADQUARTERS
140 Cecil Street, PIL Building, #09-01B Singapore FOUNDED
2011 EMPLOYEES
200 REVENUE
Not disclosed
w w w . m o d e x e n e r g y. c o m
153
CITELUM:
LIGHTING CITIES
Company offers complete solutions urban lighting management searching greater energy efficiency and investing in public-private partnerships Written by: Flรกvia Brancato | Produced by: Carolina Majer
155
CITELUM
T
he history of Citelum in Brazil begins in 1999 with the merge of two companies: Brazilian Ecoluz and French Citelum. The journey from the artistic illumination of some monuments in Salvador, Bahia, to the first full management contract of a public lighting park in São Bernardo do Campo did not take long. In the following years, the operations extend from São Paulo to Fortaleza, Rio de Janeiro, Amazonas, Maranhão, Pernambuco, Pará and Alagoas. The first of many dynamic lighting projects in Lacerda Elevator and the lights of the Model Market, both in Salvador, as well as the lighting of the Municipal Theater of Rio de Janeiro, are some of Citelum’s masterpieces. Other projects include those in South America, in the cities of Santiago, Recoleta, Iquique and San Felipe, Chile. Providing lighting and energy services with sustainable and innovative solutions for the urban environment, the company contributes to the improvement 156
November 2015
Avenida Historiador Raimundo Gi
of human quality of life, by always attending to the environment and worker safety and health. “Our vision is to manage the lighting and be able to give a better quality in the urban environment. Through operation, maintenance and improvements to enhance the system, we can add value for the average citizen to the cities at night,” says Cesar Augusto Teixeira, CEO of Citelum in Brazil.
BRAZIL
irão, Fortaleza / Ceará
Featured in the market As a branch of world’s largest electricity utility. Electricité de France (EDF), and a pioneer in Brazil with its global and integrated vision of urban lighting, the company strives to make a difference with its innovative designs. Present in 12 countries, Citelum takes advantage of an enriched view, adopting solutions from the cities, both large and small, around the world.
With ISO 9001 and 18001 certifications, in addition to appearing in the list of 10 best companies to work in Bahia (Great Places to Work, 2014), the organization is recognized as a quality company. “Always seeking increasingly intelligent, sustainable and innovative solutions, EDF Group has an ambition of generating 25 per cent renewable energy as early as 2020. With that in mind, wind power w w w. c i t e l u m . c o m . b r
157
CITELUM
in Bahia is included,” says Teixeira proudly. Integrated to EDF, Citelum specializes in the areas of street lighting, traffic signaling, artistic lighting and connected urban services such video surveillance, electric vehicle recharging and public Wi-Fi networks. The company’s workforce totals more than 3,000 employees spread throughout 12 countries, with Brazil standing out as one of the most important. Public-Private Partnerships (P3) “With the group’s international experience, we have developed in-depth studies on Public-Private Partnerships (P3) projects in Brazil. Our big challenge is to prepare the company for P3 contracts in public lighting, as well as to develop this 158
November 2015
new market,” explains the director. A specialized business structure was created, responsible for carrying out the studies to meet the EIPs (Expression of Interest Procedures) in the first step towards the realization of P3 tenders. As a result, Citelum, in partnership with a major player in the supply of LED lighting fixtures, conducted a study in 2014 for the implementation of the largest public lighting project in the world, a P3 project in São Paulo. In addition, the company also participated and presented P3 projects for six medium-sized cities in Brazil. Teixeira also highlights changes in the industry, mainly related to technological advances. “The public lighting market in Brazil and the world has been undergoing a major transformation due to disruptive technologies like the LED and the internet. This change of lighting with remote management installation and integration, along with other urban demands, requires major investments that local governments cannot accommodate. The best
BRAZIL
Candelรกria, Rio de Janeiro
CITELUM
contract model is through publicprivate partnerships where the private partner enters with financial resources, operates the system and recovers the invested capital over a concession period of five to 35 years,” he explains. “Everyone caring for the environment” The social and environmental responsibility program is part of the mitigation of environmental impact by Citelum, aimed at sponsoring awareness campaigns on the impact of humans and corporate activity on the environment. Special attention goes to the decontamination of street lamps, selective collection in the
agencies, environmental impact awareness lectures, and cycle and lighting collection. This is done in cooperation with the cities that own the fixtures. Recently the company also implemented the campaign “Feed Hope,” part of social and environmental responsibility program, to contribute to society and spread the spirit of solidarity among its employees. The campaign takes place once a year, collecting food to be distributed to support institutions within the Citelum scope. Projects and Partnerships Among many projects delivered by Citelum, the following are of
“For the following years the company is forecasting to financial equity investment in concessions that are currently under study and is expected to be bid on early 2016.” – Cesar Augusto Teixeira, CEO of Citelum in Brazil
160
November 2015
BRAZIL
Elevador Lacerda, Salvador / Bahia
CITELUM
particular interest: Video Surveillance System in Caxias – Maranhão State Citelum’s first investment in the video management security segment comes in the form of the installation and monitoring of 30 cameras placed at various strategic locations the city. The duration of the five-year contract also includes the maintenance of 11,064 public illumination points.
Ponte Estaiada, Teresina / Piauí 162
November 2015
Coastal Highway São Luís / MA São Luís was the first capital in the Northeast region to receive LED lighting, first on one avenue, and then on one four-mile section of road, the longest with such lighting in Brazil. The Litorânea Avenue, a 21-year-old road, now has a new look after Citelum’s public lighting project, extending from the Praia da Ponta da Areia to Praia do olho d’Água, was completed.
C A D E I A D E S U P R I MBERNATZOI S L
Ponte Estaiada – Teresina/PI One of the most beautiful postcards of Teresina, Piauà state, Ponte Estaiada has a new LED lighting display. Its color changes can be observed in the entire structure, with up to 53 minutes of combinations and eight scenes in sequence of movements. Near future Until 2014, investments in the
w w w. c i t e l u m . c o m . b r
163
CITELUM
São Luís / Maranhão
company went to purchase operation assets such as vehicles and equipment, adding up to around USD $8 million. “In addition to conventional investment for the following years, the company is forecasting to invest financial equity in concessions currently being studied. Bids are expected by early 2016,” says Teixeira.
164
November 2015
Citelum, partnering with Rioluz, has secured two new lighting contracts in the city of Rio de Janeiro for the 2016 Olympics. “The contracts refer to redesign as well as implementation of public lighting points in several public parks in the regions of Barra da Tijuca and the south part of the city. The total amount is of approximately USD $7.3 million,” says Teixeira.
BRAZIL
Company Information NAME
Citelum HEADQUARTERS
Salvador/BA - Brazil E S TA B L I S H E D
1999 EMPLOYEES
1,340 MANAGEMENT
Both contracts will be valid for a period of 10 months, starting in October 2015, and will be administered by the regional management of Rio de Janeiro. With net sales of USD $40.7 million in 2014, profit forecasts show an increase of 5 percent in 2016, to bring in a total of USD $42.53 million. “This sales increase is due to higher generation of new business during the year, taking as an example the new contract with RioLuz ,” concludes Teixeira.
General Director: Cesar Augusto Teixeira Managing Director: Nicolas Gounin CFO: Ricardo Imbassahy Commercial Director: Fábio Andrade Director of Operations: João Bosco Guimarães
w w w. c i t e l u m . c o m . b r
165
A promising FUTURE for Colombia’s power grids Enertolima brings a satisfying customer experience and reliability to southern Colombia’s power grid Written by: Mateo Rafael Tablado, Editor Produced by: Jassen Pintado, Director of Projects at WDM Group-LATAM Interviewee: José Alejandro Inostroza, CEO for Enertolima
ENERTOLIMA
T
he privatization policies created during the early 2000s in Colombia’s energy sector brought an interesting competition scenario between
Las Brisas power substation 168
November 2015
different companies, most of them in dispute of servicing the country’s different regions, which either were serviced by the state’s energy company, or were rural areas
L AT I N A M E R I C A
that lacked infrastructure to benefit from electricity.
Key People
It is important to address the fact that a large number of benefitted users is supported by large
JosĂŠ Inostroza CEO Chilean-born Inostroza turned 58 during 2015, he is a Civil Engineer, specialized in Project Evaluation. In Colombia he previously held the CEO position at CODENSA (20042007). He has a more than 30-year experience in the energy sector in different countries in Latin America and the Caribbean. 169
ENERTOLIMA
Skilled technicians work constantly on network maintenance
investments and work to create the necessary infrastructure to generate and convey electricity, a labor that Enertolima has performed consistently, upgrading existing infrastructure and creating the proper conditions to make service available in rural areas. Also, the company eases interaction with end consumers through 14 service centers and 40 locations for bill payment, besides providing the online payment option.
170
November 2015
Enertolima operates with a HSEQ management system, based in workplace health, safety, environment and quality. The company is certified under the following standards: ISO 9001:2008, OHSAS 18001:2007, and is currently in the process of obtaining the ISO 14001:2004 certification. The customary method to achieve growth within the energy sector in Colombia is by acquisition of formerly state-run companies.
L AT I N A M E R I C A
Workshops are among Enertolima´s many community outreach programs
Enertolima is aware of these opportunities. After another year of servicing Tolima’s public works, industry, commerce and homes, estimates for 2015’s revenue are at $227.5 million, taking part in businesses able to deliver 200GWh annually. Enertolima’s involvement with the community is an effort to provide basic knowledge about electricity and the necessary efforts to deliver this and other services.
“Our investments’ structure answer to the development of projects able to improve the service’s delivery and reliability,” Enertolima CEO Jose Alejandro Inostroza explained. Chilean-born Inostroza was appointed CEO for the company on December 2014. A University of Chile graduate, Inostroza has a more than 30-year experience in the energy sector.
w w w. e n e r t o l i m a . c o m
171
“Enertolima’s commitment to the region is displayed through programs able to improve the end user’s life quality” – Jose Alejandro Inostroza, CEO for Enertolima
ENERTOLIMA VOCATION FOR SERVICE Since beginning operations in 2003, Enertolima has focused on improving the end user experience, since the company came about as a “rescue operation” to continue service to users of former government-run power company Electrificadora. Service quality upgrades were achieved during the first years, along with an increase in value, after private funding and the acquisition of other key companies in the area.
L AT I N A M E R I C A
serviced more than 130,000 users in the Risaralda municipality. “These acquisitions enabled us to apply best practices for our operations, which leads to better results in supplying better services,” the CEO explained.
“The maintenance and infrastructure areas have improved, as reflected by the customer satisfaction surveys’ results,” Inostroza explained. GROWTH VIA ACQUISITION The best way to achieve expansion within Colombia’s energy sector is through the acquisition of government-run companies in auction. Enertolima experienced significant growth in 2008 after obtaining 49 percent of the Pereira Energy Enterprise (EEP), which
Mirolindo power substation w w w. e n e r t o l i m a . c o m
173
ENERTOLIMA
Pacoli power substation
COMPANY CULTURE BASED ON EFFICIENCY Enertolima’s comprehensive management system is applied on its supply chain, demanding purveyors to perform with best practices, creating synergy and resulting in customer satisfaction. The company provides training to both its 1,500 direct employees and its supplier workforce; in a similar approach, Enertolima engages with communities by scheduling
174
November 2015
workshops about electric power. “We try to provide the best conditions in our dealings with groups such as the surrounding communities, clients, suppliers and our own personnel,” Inostroza remarked. INFRASTRUCTURE MAINTENANCE In order to maintain every process and achieve higher efficiency, Enertolima developed a SAS
L AT I N A M E R I C A
Surounding communities benefit from Enertolima’s programs
deployed in eleven substations, and a SCADA, enabling immediate controls without in-site manual operations. The company invested $7 million in infrastructure maintenance throughout 2015, resulting in the installation of new utility poles, new distribution transformers, measuring equipment and grid upgrading, and automation for the Natagaima substation with latest-generation equipment. “Our purpose is a complete
upgrade in our tech platform by deploying reliable information systems,” explained the executive. FUTURE: INVESTMENTS TO IMPROVE USERS’ EXPERIENCE Enertolima has several plans underway and in the works through 2023. These plans are focused on service improvements, increasing its reliability in order to attract investors into the Ibague and Tolima areas. The Gualanday substation is near
w w w. e n e r t o l i m a . c o m
175
ENERTOLIMA
Enertolima creates infrastructure to supply electricity
L AT I N A M E R I C A
completion, and the Tuluni post will be ready during 2016. The company’s part in the Power Generation and Supplying Reference Plan (an initiative from the Mining and Energy Planning Unit- UPME) is also defined. These endeavors received $6.5 million in investments.
Company Information NAME
Enertolima INDUSTRY
The Tolima department is expected to receive 97 percent coverage before 2015 comes to an end, after a $17 million investment; and it is projected that investments in upcoming year will be raised to more than $23 million.
Electricity supply HEADQUARTERS
Ibagué, Tolima, Colombia FOUNDED
“We improve our users’ life quality by decreasing system downtime and ensuring quality and reliability,” said Inostroza.
2003 EMPLOYEES
300 directos, 1000 indirectos REVENUE
US $185 million WEBSITE
www.enertolima.com
Rural communities benefit from Enertolima’s efforts too
177