SAUDI ARABIA BAHRAIN UNITED ARAB EMIRATES QATAR OMAN KUWAIT
Construction An ITP Business Publication
Licensed by Dubai Media City
WEEK
CONSTRUCTIONWEEKONLINE.COM
FEBRUARY 6–12, 2010 [307]
NEWS, ANALYSIS, PROJECTS, TENDERS, CLASSIFIEDS, AND JOBS IN THE MIDDLE EAST
A H O D OCUS
CITYpaFge 38
INSIDE NEWS
Next two years crucial for construction, says consulting group PAGE 09
AWARDS
Learn one man’s secrets to innovation and award success PAGE 18
PROJECTS
Six of the best active projects making real progress in the GCC PAGE 20
CW LOOKS AT THE PROS AND CONS OF BEING PART OF IRAQ’S RECONSTRUCTION EFFORTS
IS IT TIME TO INVEST IN
IRAQ?
FENCING
Make your site safe and secure with the right fencing solution PAGE 25
CONTENTS FEBRUARY 6-12, 2010 | ISSUE 307
increases in Iraq, so too does the demand for material supplies, as CW discovers.
09
18 AWARD WINNER Mohsin Moliyathi looks at the work of Abdul Nazer and the research and development awards it has secured for Wade Adams.
FEATURES 20 PROJECTS 10
Six of the most significant construction projects in the GCC that your company should be keeping an eye on
18
25
16 25 SPECIAL REPORT
20
Safe, secure, practical and cost-effective: all the qualities you should look for when selecting a fencing solution for your site. .
DIRECTORY
REGULARS 2 ONLINE 4 MAIL
FRONT
30 32 35 36
10 DAMAC TO AWARD FIVE CONSTRUCTION CONTRACTS Construction contracts for five Business Bay developments will be awarded in the next few months, Dubai-based developer Damac has announced.
SHOWCASE TENDERS PROJECTS SPECIALIST SERVICES
BACK 38 CITY UPDATE The latest news and projects from Doha, Qatar.
9 NEXT TWO YEARS VITAL FOR CONSTRUCTION INDUSTRY
12 NEWS IN BRIEF
40 DIALOGUE
Highlights of the week.
Consultants outline what they believe the next few years holds for the construction and real estate industries.
14 NEWS ANALYSIS
Kohler is now focusing on sustainable design as part of its new strategy, as company president and COO David Kohler explains.
As the demand for construction
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
1
ONLINE
www.ConstructionWEEKonline.com MOST POPULAR
10 KSA PROJECTS YOU SHOULD BE INVOLVED IN KUWAIT, QATAR JOIN TALL BUILDING TREND ARABTEC WINS $193M DUBAI TOWER CONTRACT TDIC FLOATS TWO MORE SAADIYAT TENDERS
HAVE YOUR SAY IS THE MARKET READY TO GENERATE LONGTERM REWARDS?
Will we see a transition towards long-term investments in the GCC?
JOBS OF THE WEEK IN PICTURES: KSA’S HAJJ TERMINAL WINS AIA 25-YEAR AWARD Skidmore, Owings & Merrill’s King Abdul Aziz International Airport – Hajj Terminal received the 2010 American Institute of Architects (AIA) 25-Year award. The AIA 25-Year award, recognising architectural design of enduring significance, is conferred on projects that have stood the test of time for 25 to 35 years as an embodiment of architectural excellence. According to the rules of the competition, “Projects must demonstrate excellence in function – in the distinguished execution of its original programme and in the creative aspects of its statement by today’s standards.” The AIA award jury said the Hajj Terminal “exemplifies the power of a clear idea.” Hajj. To read more visit www.ConstructionWeekOnline.com
MEP QS/ SQS, Abu Dhabi, United Arab Emirates Senior Cost Manager, Abu Dhabi, United Arab Emirates Senior Project Manager/ Project Manager, Abu Dhabi, United Arab Emirates
ONLINE POLL WHAT IS THE CURRENT PAYMENT SITUATION?
47.4% 21.1% 15.7% 15.8% BAd
We’ve lost hope
FEATURES Comment
AN EVENTFUL MONTH Greg Whitaker looks back on a month of surprises.
2
Comment
MONEY FOR NOTHING Alan Millin urges FMs to ‘raise the bar’ by guaranteeing 100% performance for 100% payment.
Interview
Feature
TAKE A LOAD OFF MEP speaks to Scott Wilson associate director: building services Cathy Crocker.
BEST OF BAHRAIN A look at some of Bahrain’s active design projects.
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
Good
Okay
TO VOTE IN THIS WEEK’S SPOT POLL GO TO www.ConstructionWEEKonline.com
MAIL RE: ARABTEC WINS $193M DUBAI TOWER CONTRACT Congratulations Arabtec. I am excited to see the potential that this place can bring. Coming from a facilities management solutions background, I am also excited to see how the FM team is able to help in appreciating the asset value over the years, as well as providing quality service to the tenants. MOHAMAD FAIZAL BIN ZAINODIN
Congratulations for winning this prestigious project. KSURESH KUMAR
With the current over supply in the residential and commercial units in Dubai, it is strange that someone is actually building on SZR. How did they make the feasibility studies work? Do they know something that others don’t? Great news for Arabtec and good luck to the developer. HASSAN
legislation and building codes designed to save energy. It is easy to see that building designs and implementation are severely lacking in this region, but developers have no motivation to introduce “green” codes because there is an initial cost involved from which they will not necessarily benefit. JIM MARTIN
RE: NEW BAHRAIN LABOUR LAW TO GIVE WORKERS MORE RIGHTS Laws in Bahrain are implementable if workers know their rights and pursue them appropriately through the Ministry of Labour or the appropriate channel. Bahrain is setting a role model for the GCC countries in this vital area. The UAE, which has been innovative in a number of areas lags behind in applying appropriate labour law. Discrimination regulations must be in place in the country. NK
RE: 25 BUILDINGS TOPPED OUT AT REMRAAM If the 25th building, in a project with 198 properties, has been completed, with the entire community forecasted to be finished by March 2011, do you think Mizin will be able to complete an average of 12 buildings per month up to the completion date? MIKE ELLIS
RE: SOLAR DISCUSSION Jit Chakravarty is 100% correct when he states that governments must take the lead by introducing
RE: DISTRICT COOLING FOR BAHRAIN PROJECT AGREED Good project, especially if you will utilise TSE and TES technologies, but take care with this type of contract because the contractor always tries to reduce the project cost as much as possible, regardless of the energy techniques. I faced these problems with more than one project in the region. However, separation of consultancy and contracting is the best way forward. AHMED ABUSHANAB
WRITE TO THE EDITOR Please address your letters to: Post, Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest Middle East business articles.
Registered at Dubai Media City ITP Business Publishing PO Box 500024, Dubai, United Arab Emirates TEL +971 4 435 6000 FAX +971 4 435 6080 Offices in Dubai, Manama, Mumbai & London
ITP BUSINESS PUBLISHING CEO Walid Akawi MANAGING DIRECTOR Neil Davies DEPUTY MANAGING DIRECTOR Matthew Southwell EDITORIAL DIRECTOR David Ingham VP SALES Wayne Lowery PUBLISHING DIRECTOR Jason Bowman EDITORIAL SENIOR GROUP EDITOR Stuart Matthews EDITOR Conrad Egbert TEL +971 4 435 6256, EMAIL conrad.egbert@itp.com NEWS EDITOR Matthew Warnock TEL +971 435 6179, EMAIL matthew.warnock@itp.com ASSISTANT EDITOR Sarah Blackman TEL +971 4 435 6278, EMAIL sarah.blackman@itp.com MEP EDITOR Gerhard Hope TEL +971 4 435 6252, EMAIL gerhard.hope@itp.com PMV EDITOR Greg Whitaker TEL +971 4 435 6263, EMAIL greg.whitaker@itp.com CONTRIBUTING EDITOR Alison Luke ADVERTISING PUBLISHING DIRECTOR Jason Bowman TEL +971 4 435 6344, EMAIL jason.bowman@itp.com COMMERCIAL DIRECTOR Raz Islam TEL +971 4 435 6371, EMAIL raz.islam@itp.com ONLINE SALES MANAGER Scott Woodall TEL +971 4 435 6172, EMAIL scott.woodall@itp.com STUDIO GROUP ART EDITOR Daniel Prescott ART EDITOR Nadia Puma DIRECTOR OF PHOTOGRAPHY Sevag Davidian CHIEF PHOTOGRAPHER Khatuna Khutsishvili SENIOR PHOTOGRAPHERS G-nie Arambulo, Efraim Evidor, Thanos Lazopoulos STAFF PHOTOGRAPHERS Isidora Bojovic, George Dipin, Lyubov Galushko, Jovana Obradovic, Ruel Pableo, Rajesh Raghav PRODUCTION & DISTRIBUTION GROUP PRODUCTION MANAGER Kyle Smith PRODUCTION COORDINATOR Devaprakash V.A MANAGING PICTURE EDITOR Patrick Littlejohn IMAGE EDITOR Emmalyn Robles DISTRIBUTION MANAGER Karima Ashwell DISTRIBUTION EXECUTIVE Nada Al Alami CIRCULATION HEAD OF CIRCULATION & DATABASE Gaurav Gulati MARKETING HEAD OF MARKETING Daniel Fewtrell DEPUTY MARKETING MANAGER Annie Chinoy TEL +971 4 435 6133, EMAIL annie.chinoy@itp.com EVENTS & CONFERENCES DIRECTOR, CONFERENCES, MARKETING & EVENTS Kimon Alexandrou PRODUCER Oscar Wendel ITP GROUP CHAIRMAN Andrew Neil MANAGING DIRECTOR Robert Serafin FINANCE DIRECTOR Toby Jay Spencer-Davies BOARD OF DIRECTORS KM Jamieson, Mike Bayman, Walid Akawi, Neil Davies, Rob Corder, Mary Serafin CORPORATE WEBSITE www.itp.com CIRCULATION CUSTOMER SERVICE TEL: +971 4 435 6000 WEB www.ConstructionWeekOnline.com ITPIMAGES Certain images in this issue are available for purchase. Please contact itpimages@itp.com for further details or visit www.itpimages.com. SUBSCRIBE online at www.itp.com/subscriptions NOTICE The publishers regret that they cannot accept liability for error or omissions contained in this publication, however caused. The opinions and views contained in this publication are not necessarily those of the publishers. Readers are advised to seek specialist advice before acting on information contained in this publication, which is provided for general use and may not be appropriate for the readers’ particular circumstances. The ownership of trademarks is acknowledged. No part of this publication or any part of the contents thereof may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing. An exemption is hereby granted for extracts used for the purpose of fair review.
PRINTED BY Atlas Printing Press LLC Dubai CONTROLLED DISTRIBUTION BY Blue Truck
"53).%33
Worldwide Circulation Statement Average Qualified Circulation 11,435 (Jan-Jun 2009)
The opinions expressed in this section are of particular individuals and are in no way a reflection of the publisher’s views.
4
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
PUBLISHED BY AND © 2010 ITP BUSINESS PUBLISHING, A DIVISION OF THE ITP PUBLISHING GROUP LTD, REGISTERED IN THE BRITISH VIRGIN ISLANDS COMPANY NUMBER 1402846
FOREWORD TENDER TALK
“AN ACTIVE TENDER MARKET GIVES THE IMPRESSION OF AN INDUSTRY FINDING ITS FEET AGAIN, AT LEAST FOR THE LARGER CONTRACTORS”
Contractors will be pleased to see the recent flurry of tender announcements. Abu Dhabi’s Tourism Development and Investment Company (TDIC) is at the forefront, with pre-qualification requests for main contract works on the new Saadiyat Golf Villas, as well as piling works for the Guggenheim museum. TDIC is also active in Al Ain, with a major earthwork and enabling works tender up for grabs. Elsewhere in Abu Dhabi Department of Transport has released tender documents for a road improvement project in the Musaffah industrial area. The contract covers study, design consultancy services and construction supervision. The Dubai Electricity and Water Authority (DEWA) continues to pump out tenders too. Those with a few specialist engineering skills to hand could find much in the way of sub stations to keep them busy. But the authority also needs the more mundane support structures that go along with any large organization. Water infrastructure, roads and healthcare facilities are the areas where Qatari tenders are concentrated. Those from Saudi Arabia follow a similar profile, there are just more of them and they are bigger. You can see what I mean if you check out our tenders online at www.ConstructionWEEKonline. com/tenders. An active tender market gives the impression of an industry finding its feet again, at least for the larger contractors. With many of the available contracts coming from government sources there is reasonable hope that the tenders will be awarded and work get underway. As sub-contracting work from these and other jobs spreads through the industry maybe some of the smaller businesses will find their feet too.
STUART MATTHEWS SENIOR GROUP EDITOR stuart.matthews@itp.com
WRITE TO THE EDITOR Please address your letters to: Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest articles.
6
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
Advanced solutions for underfloor cooling and tap water Pipes might be hidden behind walls, still they define the quality of a building. Uponor underfloor cooling systems provide advanced indoor climate solutions that make the difference between nice architecture and a perfect place to live or work. Just think about the low noise level and the minimum of air movement. And Uponor pipe systems are so convenient to install – why not use them for tap water, too? Uponor solutions guarantee indoor comfort and a most efficient use of energy. Combined with our smart connection system and its assembly friendliness, working with Uponor is an excellent investment in the future. And as a leading supplier Uponor will be a consistently reliable partner during every stage of the building process. Find out! For more information, just contact Mr. Andre du Preez: Phone + 971 50 734 28 31, e-mail andre.dupreez@uponor.com www.uponor.com/international
Thermal insulation systems for the entire building envelope • Environmentally sound in it’s manufacturing, usage and eventual disposal • Totally free from CFC and HCFC • 66% recycling glass content
Ref: Abu Dhabi Officer’s Club (pictured under construction)
THERMAL INSULATION WITH SEAM ROOF FINISH
FOAMGLAS®
Ref: Social Service Department, Stuttgart, Germany
THERMAL INSULATION FOR ROOF GARDEN
FOAMGLAS®
Ref: BMW factory, Regensburg Germany
ROOF INSULATION FOR FACTORY
FOAMGLAS®
Ref (also main image): Islamic Museum of Modern Art, Doha
ROOF INSULATION FOR TERRACE
FOAMGLAS®
PITTSBURGH CORNING Europe (Rep Middle East) Dubai office: TEL +9714 434 7140 FAX +9714 432 7109 Doha office: TEL +974 465 5360 FAX +974 431 7760 EMAIL info@foamglas.ae WEB www.foamglas.ae
10
>Highlights
12
>Analysis
14
FABRICE COFFRINI/AFP/GETTY IMAGES
FRONT
>Damac to award five construction contracts
CHANGES IN THE GLOBAL ECONOMY COULD HAVE A MASSIVE IMPACT ON THE CONSTRUCTION INDUSTRY.
NEXT TWO YEARS CRUCIAL FOR CONSTRUCTION AND REAL ESTATE By Matt Warnock
The global economy is still in recession. Recovery will be slow, we’ll see increased regulation, governments will become more involved with businesses and their practices and construction companies will have to be daring or face failure over the next two years. These were the principle messages from the global management consulting firm Boston Consulting Group (BCG), on the eve of the release of a book by the firm’s head David Rhodes. Entitled Accelerating out of the great recession: How to win in a slow-growth economy, it has been praised by global captains of industry, such as the CEOs of BASF, Daimler, Apax and Whirlpool. “A year ago, the world stood on the brink of a second Great Depression which was only prevented by unprecedented government stimulus packages,” explained Rhodes. “Some US $18 trillion was pumped into economy, with the US pumping $14-15 trillion into their economy – the equivalent of one year’s GDP.” While those packages may have warded off a depression, Rhodes added that it was important to take a long-term view of recovery. We may see an improvement in the first half of 2010, he said, due to 2009 having been
so bad and also production to make up for deficits allowed to build up. But this is not to be confused with recovery. “The fundamental reasons behind the problems remain.” Rhodes continued, claiming that 2010 could see the emergence of a two- or three-tiered global economy. “Look at history. On any occasion that a recession has touched developed countries, it has been deep and recovery has been long and slow. There’s no sign of this time being different. “We’ve run simulations using International Monetary Fund data – the West grows slowly, while countries like China, India and Brazil see a period of good growth – between six and nine percent. Due to the oil situation, the Middle East is tough to call, although maybe growth of 4-6% would be an average.” Such matters, said Rhodes, were discussed in detail at The World Economic Forum in Davos last week and the main messages were that we would see a new form of capitalism, differing from the Anglo Saxon model; that government lobbying and government interference – pushing back the boundaries of the state and imposing increased, synchro-
nised regulation – would become much more prevalent; and that companies would need to create new social contracts. So, how would all this affect the construction industry? “That’s a massive question, especially for somewhere like Dubai where it directly represents 28% of the economy,” commented BCG Abu Dhabi MD Sven-Olaf Vathje. “Previously, the industry has been developer and sales focused but we’re moving to a more stock and asset-based economy. How real estate companies, developers and construction firms react to that over the next two years will be crucial.” A move to management services, downstreaming from sales to property management or FM, said Vathje, would be common. Meanwhile, developers and contractors will look to become involved in more diverse projects, such as schools, hospitals and malls. The model, added Vathje, would move from one of lots of developers working on many separate buildings, to less developers developing communities, with complete, integrated lifestyle opportunities. He surmised that the next few years will also see firms redeveloping and refurbishing older developments or those that hadn’t yet found tenants.
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
9
EFRAIM EVIDOR/ITP IMAGES
FRONT
MAIN CONTRACTS FOR PROJECTS AT DUBAI’S BUSINESS BAY ARE DUE TO BE AWARDED IN A FEW MONTHS.
DAMAC TO AWARD FIVE CONSTRUCTION CONTRACTS By Sarah Blackman Construction contracts for five Business Bay developments will be awarded in the next few months, Dubai-based developer Damac has announced. Commercial Square and Water’s Edge are now under way with contractors making progress on shoring, fencing and ground clearance. “As we have a number of projects already well under way at Business Bay, we are pleased to see yet further strong progress in the early stages at another two of our developments,” said Damac general manager Ziad El Chaar.
“There is always a huge amount of preparation involved in any development but we know that it is very important for customers to see that physical construction work is progressing on site.” Damac has also revealed that enabling works have been completed for other projects in Business Bay namely Capital Bay, Executive Bay and Park Central. The company expects to award main contracts for these developments shortly. Foundation work is now at an advanced stage at the Commercial Square and piling work is progressing at the Water’s Edge.
RAKEEN SEEKS TALKS WITH LA HOYA BAY INVESTORS By Andy Sambidge Senior officials behind the US $800 million (AED2.9 billion) La Hoya Bay project in Ras al Khaimah have said they are to meet with investors in a bid to make progress with the muchdelayed scheme. Six months after being named judicial custodian of cash-strapped developer Khoie Properties, Rakeen said it had still been unable to take the project forward “due to the lack of cooperation from Khoie Properties’ side”. In June 2009, Frank Khoie, CEO and chairman, was jailed for three years over bounced cheques relating to the project. Weeks after Rakeen was appointed by Ras al Khaimah Court, Khoie Properties claimed it was still in control of La Hoya Bay. Last week, Rakeen officials said they were considering legal action against Khoie, who remains in jail, over what they claim to be “false allegations and a groundless media war”.
AIRPORT EXPANSION TO CONTINUE, SAYS CEO By CW Staff Dubai Airports will seek approval for expansion plans likely to cost “billions of dirhams”. Company CEO Paul Griffiths revealed the information in an interview with newswire Bloomberg, but did not go into detail about the costings. As well as expanding the existing Dubai airport, the emirate is also building the Al Maktoum Airport, which the GCC’s second largest active airport development, with an estimated value of US $8 billion (AED29.4 billion). If the project goes ahead as originally planned, Al Maktoum International Airport will be the largest passenger and cargo hub in the world.
10
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
The airport is part of Dubai World Central, which will have residential, retail and leisure components. Al Naboodah Contracting Company won the contract to build the first runway at the airport. New Doha International Airport is the largest ongoing airport project in the region, with an estimated value of $11 billion. Work began in 2004 and final completion is expected in 2015. With a land area in excess 22 km² the New Doha International Airport is designed to handle 50 million passengers, 2 million tonnes of cargo, and 320,000 aircraft landings and takeoffs each year.
FRONT HIGHLIGHTS Architecture
GOLF CLUB TO FEATURE GEHRY CLUBHOUSE Abu Dhabi’s Tourism Development & Investment Company (TDIC) – master developer of Saadiyat Island and its Saadiyat Beach Golf Club – has commissioned Frank Gehry to design the golf course’s new clubhouse. TDIC will put the project out to tender in late 2010. The 18,000m² clubhouse has been designed to meet Estidama guidelines and is set to be completed in 2013. Contract
ARABTEC WINS $193 M CONTRACT Arabtec Holding, the biggest construction company in the UAE, said on Sunday it had won a building contract valued at US $193 million (AED710 million) to build the first stage of an 80storey tower comprising a five-star hotel. The Dubaibased company’s Arabtec Construction unit received a “letter of award” from Tasameem Real Estate Company, of Abu Dhabi to build “P17 Tower” on Sheikh
NEWS IN NUMBERS
39.4% Sorouh’s profits fall in the fourth quarter of
2009 12
Zayed Road, Dubai, according to an company statement posted on the Dubai Financial Market website. It said the project would take 38 months to complete, adding that the tower had been designed by Atkins and comprised 80 floors, including a luxury hotel, furnished apartments, offices and a health club. Last week, Arabtec Construction announced it had won a $190 million contract to build the Bridge Towers office and hotel project at West Bay, Doha in Qatar. The project comprises two buildings, one with 45 floors of office space and a 45-storey five star hotel. Tender
ABU DHABI RELEASES MUSAFFAH TENDER Abu Dhabi Department of Transport has released tender documents for a road improvement project in Musaffah industrial region. The contract covers study, design consultancy services and construction supervision. Tender documents can be collected before February 18 from the Procurement and
Contracts Division of the Department of Transport at Al Bateen Towers. MEP
QATAR COOL OPENS PLANT IN WEST BAY Qatar District Cooling Company (Qatar Cool), which has a district cooling monopoly in Qatar, has launched its second plant in Doha’s financial district – West Bay. The new plant adds 1 million m2 worth of cooling capacity to area. The plant Qatar Cool’s is third operational plant in Qatar, having launched its first Plant in West Bay in 2006 and the world’s largest single integrated district cooling plant at The Pearl-Qatar earlier this year. MEP
HITACHI DEVELOPS WORLD’S FASTEST LIFT Hitachi is stepping up efforts to finalise the design of the world’s fastest lift. In April, it will open the 213-metre tall G1 Tower in Japan, where it will conduct verification tests on a lift with a speed of 1,080 metres per minute (m/min).
US $1.5 68% billion
Amount Emirates Steel wants to raise to pay for expansion
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
Reduction in energy usage Bell & Gossett cleaims for its new line of water recirculator pumps
The tower will also be used for development of the world’s largest high-speed, highcapacity elevator, targeted to carry five tonnes at 600 m/min. To improve riding comfort in high-speed lifts, Hitachi is developing new vibration control and air pressure adjustment devices. Further efforts focus on reducing the space required for elevator shafts and reducing the weight of the elevator cars. District cooling
EMPOWER BULLISH ABOUT PERFORMANCE Empower’s achievement in 2009 of 3.7 million m2 of district cooling services, over 80 buildings, has prompted the company to expand its services in 2010, despite the economic downturn. CEO Ahmad Bin Shafar says the company’s plans include bidding for more projects keen to benefit from district cooling’s environmentfriendly features. The operational savings percentage in a residential unit compared with conventional AC technologies ranges between 40% and 45%, he adds.
400 m2 Area that Gekko, a diskshaped façade cleaning robot, can cover in an hour
ANALYSIS Open for business A WIDE VARIETY OF CONSTRUCTION OPPORTUNITIES ARE WAITING IN IRAQ By Daniel Canty and Stuart Matthews
G
overnment projections of population growth in Iraq, which run at 2.6% annually, lead it to believe that almost two million housing units will be needed by 2015. As efforts at reconstruction have created demand for construction expertise and the money needed to pay for it, the construction and building material industries have become ripe for investment. In short, Iraq needs everything. Even the humble brick is in short supply, with the government estimating demand exceeds local supply fourfold. While Iraq’s domestic construction sector is growing, the government does not feel it has the capacity to cope with the expected demand, which is driven by greater stability, returning refugees and a general trend toward urbanisation. While significant sums have been set aside for reconstruction and infrastructure development – US $16 billion in the 2009 budget – the government has acknowledged that public financing will not be enough. A recent overview of the housing and construction market, published by the government said: “Private capital and expertise will be needed to build and sustain the huge infrastructure investment needed. In housing, for example, the government expects that up to 85% of home building will be carried out by the private sector.” Key opportunities exist in the building materials sector, construction and housing. According to the government investment licenses have been approved for $2 billion from a total of 40 projects. The Iraqi government also claims that a UAE developer has signed on to work on a $5 billion project, which is intended to include a hospital, apartments and shopping malls, all within the former Rashid Military base in Baghdad. The government also seems keen to push the idea of local partnerships. It is at pains to emphasise that what local developers lack in knowledge of current techniques, they make up for in their understanding of the legal and regulatory structure.
GROWING CEMENT SUPPLIES IRAQI BUILDERS CLIMB UP SCAFFOLDING ON AN UNDERCONSTRUCTION GOVERNMENT BUILDING IN IRAQ.
The Ministry of Industry and Minerals has been encouraging the licensing of new cement producers, as well as private public partnerships to rehabilitate major state-run cement factories. Lafarge, a building materials company, has taken advantage of the opportunity represented by Iraq and has built two plants in the country whose total capacity now reaches one quarter of domestic Iraqi production. Source: Republic of Iraq National Investment Commission
SABAH ARAR/AFP/GETTY IMAGES
14
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
SABAH ARAR/AFP/GETTY IMAGES
> For the latest analysis log on to www.ConstructionWEEKonline.com
A GOVERNMENT MINISTRY BUILDING UNDER CONSTRUCTION AND PROGRESSING IN THE IRAQI CAPITAL OF BAGHDAD.
This inside knowledge could prove invaluable, as doing busi- of the rest of the region. “It’s important to bear in mind that ness in Iraq can be costly, frustrating and difficult. For the first the private sector is still small in Iraq. Over 43% of the working time in many years, however, the opportunity is so great that it population is employed by the government or state owned entereasily outweighs the pitfalls, as many prises, so there isn’t the same dynamism first-movers from the international and in private hands that you find elsewhere,” Gulf region are finding. explains Soper. To open the lid on the business environ“However, it’s still early days and ment in Iraq, Construction Week tracked there is a very steep learning curve down Baghdad residents John Desrounder way.” cher, minister counsellor for economic A further consideration is that a great coordination, US State Department, and deal of international work is predomiGary Soper, first secretary, head of UK nantly handled by the ministries. SME’s might not have the level of financial backTrade and Investment, Iraq. ing required to stay in for the long haul “Iraq is very keen to see more companies establish operations there, but also currently required. to broaden that whole dialogue to include In terms of getting started, both Destrade as well,” explains Soper. rocher and Soper agree that your home However, getting your investments off country’s embassy is the best place to go. the ground in Iraq will be an uphill task. Following that step, the National Invest“This is a country which is essentially JOHN DESROCHER, MINISTER COUNSELLOR FOR ment Commission, which was established ECONOMIC COORDINATION, US STATE DEPARTMENT. rejoining the world economy for the first in 2006, is the next port of call. The NIC, time in decades,” says Desrocher. led by its chairman Sami Al-Araji, is the “IT IS CLEAR THAT IN For small and medium size enterprises face of private investment in Iraq, with SOME WAYS THIS IS A Iraq remains a small but growing oppora mission to serve as promoter, facilitaCHALLENGING PLACE tunity landscape. For the time being the tor, monitor and policy advisor for firms TO DO BUSINESS. THIS biggest rewards are there for the larger looking to invest in Iraq. IS A COUNTRY WHICH IS companies, which carry the clout of global “The NIC can help companies clear ESSENTIALLY REJOINING support with them. all the challenges which are out there. THE WORLD ECONOMY Breaking into to Iraqi markets also repThey work very hard promoting investFOR THE FIRST TIME resents challenges quite beyond those IN DECADES” ment,” says Desrocher.
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
15
ESSAM -AL-SUDANI/AFP/GETTY IMAGES
ANALYSIS
WHILE IRAQ’S DOMESTIC CONSTRUCTION SECTOR IS GROWING, THE GOVERNMENT DOES NOT FEEL IT HAS THE CAPACITY TO COPE WITH THE EXPECTED DEMAND.
Whilst a number of agencies have sprung up focused on specific aren’t signed off because trade and development contracts do not industries, in theory to streamline processes and procedures, but have a framework in place. There is a tendency to send everything it is not always clear where the lines of demarcation between towards the prime minister’s office for authorisation,” says Soper. them lie, and vested interests still have a habit of coming to the For companies looking to set up in Iraq and finding office space in the International Zone (formerly the fore. Clearly not a market for the feint Green Zone), the consensus is be prepared hearted, but things are improving. “OVER 43% OF THE [IRAQI] to progress slowly. “There are companies Government ministries don’t have the WORKING POPULATION on the ground in the International Zone pedigree of making important decisions. IS EMPLOYED BY THE which have facilities for rent – either The ingrained system is that everything GOVERNMENT OR STATE OWNED ENTERPRISES” for flying visits, kitted out as a standard goes up to the highest level. “There have been instances of $40,000 projects which board room, as well as temporary office units,” explains Soper. For long-term partnerships the model appears to be that once companies have the confidence to set up a local joint THE IRAQI GOVERNMENT venture that will facilitate moving out ESTIMATES THAT of the International Zone. The market is clearly not one for the feint hearted, and much ground work must be laid before embarking on your business plan. Rich pickings won’t come quickly, and finding a suitable JV partner looks to be the best vehicle for mediOF HOME BUILDING WILL um-term penetration. For the firms that BE CARRIED OUT BY THE successfully crack the major projects, PRIVATE SECTOR GARY SOPER, FIRST SECRETARY, HEAD OF UK TRADE the rewards are unparalleled in the comAND INVESTMENT, IRAQ. ing decade.
85%
16
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
AWARD WINNER Project monitoring: a quest to redefine project management MOHSIN MOLIYATHI LOOKS AT THE INNOVATIVE WORK OF ABDUL NAZER AND THE RESEARCH AND DEVELOPMENT AWARDS IT HAS SECURED FOR WADE ADAMS
NICOLAS TANDELES AND ABDU L NAZER (R), OF WADE ADAMS, COLLECT ANOTHER R&D AWARD.
‘And the award for research and development goes to Wade Adams’... This announcement was first heard in 2006 by a packed audience at the Construction Week Awards, held in Dubai. IIt came again a year later, and then again in 2008 and 2 2009. The award announcements made a point: here was a company that didn’t just add the word ‘innovation’ to its m mission statement; here was a company that lived by it. Wade Adams has been a major player, especially in the iinfrastructure segment, since it’s inception in 1976. It has d delivered thousands of kilometers of roads, dozens of b bridges and a large number of other infrastructure projects. Managing these projects is a Herculean task, but, where m most companies focus on adopting established best prac-
THE APPLICATIONS VISUAL PROJECT MONITORING SYSTEM CW Award for R&D, 2006 Verifying the extent to which the construction work has been executed is a challenging part of project monitoring and control. VPMS simulates 3D views of actual and planned environments, from a set of graphically-linked construction activities. VPMS also has a process simulation engine, which simulates the actual construction process, in order to detect any unforeseen conflicts and address them before they become apparent on site. VPMS’s advanced viewing system allows users to simulate the construction process and to show the planned site condition on any specified date.
PROJECT ALERT SYSTEM CW Award for R&D, 2007 PAS generates weekly automated emails about a project and sends them to the various project associates. This provides a weekly summary of work progress, delays and completions, as well as 3D images of the planned and actual views, trend of
18
performance indices, s-curves and other information. Current project status will be marked at the beginning of the email with different color codes based on the project performance. PAS allows users to assess projects quickly, saves time and increases transparency. This allows project participants to have the same level of knowledge about the progress of the planned and actual conditions.
CONSTRUCTION PROCESS CONTROL SYSTEM CW Award for R&D, 2008 CPCS is a centralised construction management system designed to control shop drawing preparation, survey-data processing, quantity calculation, project monitoring and control. CPCS is a multi user environment, running from a central data base, to create shop drawings, survey calculations, project progress tracking, et cetera, for different users with different profiles. CPCS permits only a single entry point for data, which will reflect automatically in other documents wherever
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
required. A key feature of CPCS is that the RFA database is linked with the CPCS database though its element names – such as ‘manhole’, or ‘pipeline’ – so progress of an element is calculated based on the RFA generated.
GRAPHICAL PROGRESS ANALYSER CW Award for R&D, 2009 GPA is a software system that can simulate graphics from a users CAD project drawing, based on the planning schedule. A customised CAD drawing and the planning program update are the only requirements of GPA. GPA will generate graphics on its own graphical engine, automatically based on the schedule updates throughout the project duration. GPA has four options to monitor the project progress, ‘present status’ to know the latest status of the project, ‘target project simulation’ to understand how the project is planned, ‘work done’ to go through a visual history of the project and ‘look ahead’ to visualise the road ahead.
THE REGION’S LEADING TRADE SHOW FOR LANDSCAPE ARCHITECTS, DEVELOPERS AND CONTRACTORS IN THE COMMERCIAL, RETAIL, LEISURE AND RESIDENTIAL SECTORS, INCLUDING CITY PARKS AND HIGHWAYS. IF REPORTING PROJECT PROGRESS OF ONE SINGLE LARGE PROJECT WAS A BIG TASK, CONSIDER THE PROBLEMS FACED WHEN SENIOR MANAGEMENT HAD TO MANAGE MANY LARGE PROJECTS. tices, Wade Adams has added its own innovative processes to improve the project delivery. Wade Adams OE and CA manager Abdul Nazer, who joined the company in 2003, noticed that project management was getting more compelling as a company grew. The more a contracting company grew the more developments it attracted. In short, project management was an area which was challenging for senior management. Nazer felt that the industry-level progress reporting systems and processes needed improvement. He identified one of the main reasons for project delays was progress reporting. If reporting project progress of one single large project was a big task, consider the problems faced when senior management had to manage many large projects. After months of conceptualising, design and research, Nazer unveiled a solution that revolutionised the way Wade Adams managed project delivery. It has been followed by award-winning applications in subsequent years. Most of the project management applications Nazer has developed target the time factor in a project. He is currently working on a new application that deals with the cost element of the project by clubbing time sheets, planning and task targets, which will dramatically reduce cost and improve project profitability. He designed this system to allow software installed in a dedicated server to do all the analysis, by pulling real time time sheets, generating graphical several reports and emailing them across to the project members. Nazer has also successfully developed applications such as Progress Drawings, Introuter, Project Management Dashboard and Enterprise Project Matrix. Nazer has enjoyed a great deal of inspiration and support from Nicolas Tandeles, the technical manager of Wade Adams. Many innovations were motivated by conversations between the two, about industry specific issues.
CONSTRUCTION WEEK AWARDS 2010 Nominations for the Construction Week Awards 2010 will open shortly. With a total of 18 categories up for grabs, there will be plenty of opportunity to show off your company’s strongest skills, as well as its best people. Keep an eye out for more details on www.ConstructionWEEKonline.com.
29 - 31
MARCH 2010 ABU DHABI NATIONAL EXHIBITION CENTRE
For more information and to register for your free entry badge please visit:
www.gulflandscaping.com CO-LOCATED WITH
Trade only, STRICTLY no children
ORGANISED BY:
SIX OF THE BEST:
PROJECTS TO KEEP AN EYE ON THE FREEHOLD MARKET MAY HAVE GROUND TO A HALT, BUT HERE ARE SIX BIG PROJECTS WHERE OPPORTUNITIES STILL ABOUND
Although many freehold residential projects across the region are ‘on hold’, regional governments are continuing to commit money to infrastructure and other public projects. Saudi Arabia, for example, has allocated a reported US $36.5 billion of its US $144 billion (SR 540 billion) 2010 budget to education, including construction work on new institutions and premises already under construction. US $3.17 billion has been set aside for construction of 6400 kilometres of roads. In Dubai, where many freehold residential projects remain in limbo, the Road & Transport Authority has allocated US $2 billion for project development. The money will cover around 129 jobs, 13 of which will be new.
In Kuwait, the government has proposed an ambitious US $125 billion five year spending bill. Amongst the plans awaiting funding are Silk City, a new town whose blueprint includes the world’s tallest tower; a new container harbour and 25km causeway; a railway and metro system; and Project Kuwait, a complete overhaul of oil production infrastructure. The bill still requires a second reading in the country’s parliament, which has a history of opposing the government. The bottom line is that work is still out there, but it may be in a different place and different in nature to what has gone before. Here, we look at six ‘mega’ projects that are active and handing out contracts, or are set to begin picking up steam.
ABU DHABI INTERNATIONAL AIRPORT Developer: Abu Dhabi Airports Company Description: The Abu Dhabi International Airport expansion will increase the airport’s capacity to 20 million passengers per annum. Work on the expansion of the airport began in 2005 and is scheduled to finish by 2015. The centrepiece of the project is the Midfield Terminal Complex, which will serve as the base of operations for Etihad Airways, the national carrier of the UAE. The terminal will sit between two operational runways. The opening of the terminal is scheduled for early 2015. In January 2010, the Supervision Committee for the Expansion of the Abu Dhabi International Airport invited contractors to ‘express interest’ in the main Midfield Terminal Building package. Pre-conditions for expressions of interest included annual turnover of US $5 billion and ‘successful completion’ of five similar projects in the last ten years, two of which must be worth more than US $1 billion. Several construction tenders are listed as pending, including ‘Airport wide Utilities & Infrastructure’ and ‘Police Fixed Wing Apron’. Pending design tenders cover maintenance facilities, a cargo campus and duty free facilities. 20
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
> For more top 10s visit www.ConstructionWEEKonline.com
PRINCESS NOURA BINT ABDULRAHMAN UNIVERSITY FOR WOMEN Developer: Ministry of Finance and Ministry of Higher Education Description: Princess Noura bint AbdulRahman University for Women is one of the most searched-for projects in the constructionweekonline.com projects database. Saudi Binladin Group was appointed as the project’s main contractor and has just awarded Vision Electro Mechanical Company, a subsidiary of Construction Products Holding Company (CPC), an SR1.31 billion (US $349mn) MEP sub-contract. The university will cover a reported 8 million m² and will have a total built up area of around 3 million m². It will have administration and faculty buildings, a 700bed student hospital, laboratories, research centres and residential buildings. According to recent reports, it will also have its own light railway system.
HARAMAIN HIGH SPEED RAILWAY PROJECT Developer: Saudi Railways Organisation Description: Five companies were given until the end of January this year to submit their technical proposals for Phase 2 of the Haramain High Speed Railway Project linking Makkah and Medinah. The shortlisted companies were Saudi Binladin Consortium (German); Al Rajhi Consortium (French); Al Shoula Consortium (Spanish); Badr Consortium (Korean) and CSR Consortium (Chinese). This package covers the construction of tracks, signals, communications infrastructure and the operational control centre. It also includes the procurement and maintenance of trains and maintenance of all infrastructure for 12 years. In February 2010, Saudi Railways Organisation is due to release tender documents for the construction of stations along the 450 km line. This tender forms part of Phase 1 Package 2; Fosters and Buro Happold has designed the stations. Phase 1 Package 1, which covers civil works along the 450km route, was awarded to the Al Rajhi Alliance in 2009.
TDIC Construction Opportunities Pre-Qualification Invitation - ADTA/TDIC Headquarters (P037) - Main Contract Works Tourism Development & Investment Company (TDIC) hereby invites suitable contractors with commensurate experience to undertake the Main Contract Works for the new ADTA/TDIC Headquarters Project located adjacent to Maqta Bridge in Abu Dhabi. The Project comprises of 3 inter-linked office buildings of G+8 Floors, G+4 Floors and G+5 Floors and 3 floors of basements car park with a total GFA (gross floor area) of approximately 114,000 m². The buildings have been designed to reflect the latest Grade A Commercial Office Standards by integrating new materials and systems not previously used in the region and incorporating sustainability design to achieve a LEED Gold accreditation. The Enabling Works and Basement Structural Works including ground floor slab are already completed. Contractors who meet the criteria can register their interest and obtain a Pre-Qualification Questionnaire (PQQ) email: ADTATDICHQ@tdic.ae and arrange for the collection of the PQQ before 4pm on 18th February 2010 from: Tourism Development & Investment Company, Behind Khalifa Park, Eastern Ring Road (Salam Street), Abu Dhabi. Conditions and Rules: Interested companies must demonstrate successful delivery of relevant construction projects that meet the following requirements: 1. Recent experience on projects similar in size, character and complexity. 2. Be a major registered construction company with representation in the UAE. 3. Have had a minimum annual company turnover for construction activities of AED 1.5 billion in each of the last 3 years. 4. Successfully completed 5 projects each in excess of AED 750 million in the last 3 years. 5. Be prepared to be one of ten short-listed companies willing to submit a construction works tender under a single stage competitive tender process. A non-returnable payment (in the form of a manager’s cheque, made in the name of Tourism Development & Investment Company) of AED 25,000 will be required at the time of collection of the PQQ. Responses to the PQQ must be submitted in a sealed envelope no later than 4pm on 28th February 2010 to: Pre-qualification for ADTA/TDIC Headquarters Project, Tourism Development & Investment Company, Behind Khalifa Park, Eastern Ring Road (Salam Street), Abu Dhabi.
Abu Dhabi develops with TDIC www.tdic.ae
RAJESH RAGHAV/ITP IMAGES
SOUTH OF SHAMKHA Developer: Abu Dhabi Centre for Housing and Service Facilities Development Description: South Shamkha is an AED 10 billion ‘new town’ that will contain around 10,000 villas for nationals as well as parks, retail & entertainment facilities and public services. Spread across a reported 43 km² and located around 50km from Abu Dhabi city, it will house up to 200,000 people. KEO drew up the project masterplan and Idroesse is the project management company. Ground preparation work at South Shamkha is already underway, with Tristar Contracting and Bin Nawi Contracting known to be involved. Infrastructure tenders are currently in the market and bids are likely to be evaluated before the end of this quarter. Infrastructure work will include the construction of main and internal neighbourhood roads, street lighting and signals, drainage systems, sewage networks and telecommunications infrastructure. It is still unclear whether Abu Dhabi Centre for Housing and Service Facilities Development will hand over ready-to-build plots to Emirati owners, or will provide finished units. Although South of Shamkha is the largest single social housing project in the works in the UAE, others are underway and planned. A total of 17,000 houses will be built at more than 20 locations across the country over the next five years.
SAADIYAT ISLAND Developer: Tourism Development & Investment Company Description: Tourism Development & Investment Company (TDIC) is overseeing the transformation of Saadiyat, an island off the coast of Abu Dhabi, into an international cultural destination. The development is made up of seven components and includes Guggenheim and Louvre museums, a golf course, a marina and residential areas. In January this year, master-developer TDIC sought expressions of interest for a number of different jobs on Saadiyat Island. These included enabling works in the marina, a piling job for the Guggenheim Museum and a luxury villa construction contract at the golf course. Approved bidder lists for these jobs will be drawn up and bids invited in the next few months. One more job that will definitely be coming up later this year is the main construction contract for the Frank Gehry-designed golf clubhouse. The 18,000 m² property will be design-led, include hotel rooms and restaurants, and has been designed to meet Abu Dhabi’s ‘Estidama’ sustainability guidelines.
22
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
> For more top 10s visit www.ConstructionWEEKonline.com
PAN-UAE RAILWAY Developer: Etihad (Union) Railway Description: The timeframe for this one is still be firmed up, but there is no doubt that the will to build a pan-UAE railway is there. Etihad Union Railway was created last year with a brief to build a national railway with around 1100 km of track with an estimated development budget of AED 25-30 billion. It will connect the principal centres of population and industry in the country and will link into the planned GCC railway network. The railway will run at speeds of between 80 and 120 kilometers per hour for freight transport, and between 160 and 200 kilometers per hour for passenger transport. The railway will connect Ghuwaifat on the KSA border with towns in the East on the borders of Oman. Inland areas such as Madinat Zayed and Liwa will be connected on the basis of economic need. The company is talking to Adnoc about carrying granulated sulphur from the Shah and Habshan oil and gas fields to the Ruwais petrochemicals complex. A combination of government funds, bank loans and bonds will pay for the construction of the railway. In public statements, the end of 2010 has been given as the date for the first tenders to be floated.
FEBRUARY JANUARY 6–12, 9–15, 2010 2010 CONSTRUCTION CONSTRUCTION WEEK WEEK
23 25
PHOTO BY DAVID PAUL MORRIS/GETTY IMAGES
BOARDED UP THROUGHOUT A PROJECT’S CONSTRUCTION PERIOD THE SITE HOARDING AND FENCING PROVIDES A NUMBER OF FUNCTIONS AND REMAINS ONE OF THE MOST VISIBLE COMPONENTS FROM STREET LEVEL. CONSTRUCTION WEEK EXAMINES THE FACTORS THAT SHOULD BE CONSIDERED WHEN SELECTING HOARDING AND THE OPTIONS AVAILABLE By Alison Luke
W
ith so many other factors to companies put branding onto [the hoarding] to market themselves consider during the design and and the project,” explains Ghattaura. construction of a project, the temporary perimeter hoarding MATERIAL CHOICES may seem insignificant. In fact There are three main materials used for site hoarding and fencing it provides several important - timber, steel and plastics – with numerous configurations of functions that will impact on both these materials and products available in the Middle East. The the individual project and those firms involved over the longer- choice of material depends on several factors, with each having term, with security, corporate image and sustainability among the advantages and disadvantages (see box). issues that are impacting on the sector’s development. The overall market use has developed alongside advances in “Site hoarding and fencing serves a multitude of purposes on the available products, with traditional timber fencing becoming sites,” states Paul Grundy, S&B Fencing, “these include aesthet- less prevalent due primarily to its short lifespan. “Historically ic appearance and promotion of the project. They also prevent timber fences were used [in the Middle East], but after a couple unauthorised access, especially of children; security; and a clean of weeks these warped and became unsightly and dilapidated,” explains Grundy. appearance.” The use of timber can still be seen throughout the region howSome factors are still considered more important than others, with safety remaining top of the list and one of the primary fac- ever and this is likely to continue, particularly given the current tors that determines the local regulations which state the required economic climate, as firms seek to reduce spending where posheight and allowable gaps between panels, among other factors. sible. “Timber is out of favour but it is still being used on smaller “The number one purpose is for safety: for the project by keep- projects because of the cost factor,” reports Ghattaura. ing the public out, but also for public safety,” Of the other materials available, to date steel has been the most abundantly utilised. “Steel stresses Al Ghattaura, CEO, Logical Fencing “SITE HOARDING AND FENCING SERVES A is the most popular [hoarding and fencing & Hoarding. And with public image rising in importance MULTITUDE OF PURPOSES material] now in the region, with in excess of for companies while they strive for clients in ON SITES. THESE INCLUDE 3,000 km installed both in panels and continuAESTHETIC APPEARANCE ous systems,” reports Grundy. the current market, ensuring that their brand AND PROMOTION OF is seen clearly and effectively is another vital “Since 2002 S&B has supplied alternatives THE PROJECT.” [to timber] mainly in steel, which provides area where hoarding can be utilised. “A lot of FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
25
PHOTO BY SEAN GALLUP/GETTY IMAGES
STEEL FENCING IS AN OPTION THAT PROVIDES A LONG LIFE SPAN.
long life, aesthetically good appearance and reusability for many years,” he adds. But as product development continues, the market seems set to take a further step away from timber fencing. The latest development in the sector has been the use of plastic hoarding. And with its recyclable properties and long lifespan, the benefits of the product are now attracting customers seeking a long-term and economical solution. Logical fencing first introduced its Eco Logical RPP plastics hoarding system to the region three years ago. It has since supplied the product for several major developments including Abu Dhabi’s TDIC and Abu Dhabi Airport. “Volumes installed have grown by 50% over three years and in 2009 around 25km were installed,” reports Ghattaura. Manufactured from pvc within the UAE by its parent company Logical Plastics Industries, the system is fully recyclable and is offered with a ten year guarantee and buy-back options. With interest in the product type rising, other firms are also offering plastics hoardings. S&B has recently introduced its Eco Plastic Hoarding recycled plastics system and has further development planned. “The plastics systems have already been launched, but new innovations combining customers current inventory of material refurbishing with plastics is in process for 2010,” reports Grundy. And manufacturers are predicting an upsurge in demand in the future. Ghattaura reports: “Most jobs [we’ve been involved
HOARDING PRODUCTS BARRICADE The Barricade panel system is S&B Fencing’s biggest selling product in the Middle East. Comprising of 2.4x2.2m or 2x2m steel hoarding panels, key benefits of the product are fast speed of erection and dismantling; the potential for quick relocation; ease of use; long lifespan; and low maintenance. Further advantages include a competitive price on the lifetime roi (return on investment).
BARRICADE HOARDING SYSTEM Logical Fencing’s Barricade Steel System is offered in two panel sizes with box profile sheeting and galvanised channels. The panel is located into a concrete foot to leave a nominal 200mm gap underneath the hoarding and is mounted 2.2m or 2.4m high. Backstays are positioned at 2.2m distances; these can be loaded with concrete blocks for kentledge or fixed to the ground with sleeve anchors where ground is suitable.
ECO LOGICAL RPP Logical Fencing’s Eco Logical RPP comprises panels of 2-2.4m high panels
26
with white sheeting that are attached to 48.3mm galvanized tubing. There is a support frame at the rear that is attached to Kelly blocks for kentledge.
ECO PLASTIC HOARDING S&B Fencing’s Eco Plastic Hoarding is a locally-manufactured plastics hoarding system that can be used in internal and external applications. Formed from lightweight, fire-proof, fully recyclable materials, our products not only reduce transportation, installation, manpower and insurance costs, but also provide an aesthetically unobtrusive architectural presence, dovetailing neatly with modern urban landscapes.
STEELHOARD SYSTEM The 2.4m-high SteelHoard System from Logical Fencing and Hoarding is comprised of continuous steel hoarding with 2m powder-coated sheets and rails, plus surface-mounted concrete blocks 400x400x600mm. No ground excavation is needed for the concrete blocks and a gap of 400mm is enabled under the bottom rail. This gap helps to ease wind loading. The top rail will be 2.4m from the ground. The fencing will be back-stayed every 2.5m. The hoarding consists of 0.7mm profile steel sheet and rails that can be polyester powder-coated to meet the client colour scheme.
TIMBER HOARDING STEELHOARD Steelhoard from S&B Fencing is available in heights of 2-3.5m heights. The product provides a continuous Steelhoarding that can withstand windloadings of 100kph+. A wide range of colours is offered. Key benefits of the product include zero maintenance, a long life (five years plus), windloading guarantees and the ability to reuse the product on future projects.
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
Logical Fencing offers timber hoarding in frames of 2-12m high, with 6, 12 or 18mm commercial ply panels painted to clients colours. The panels are attached to timber frames which are bolted to a concrete base that leaves a nominal gap underneath the hoarding and is mounted to the required specified height. Backstays are attached to concrete blocks for kentledge and should be positioned every 2-3m.
PHOTO BY SPENCER PLATT/GETTY IMAGES
PHOTO BY DAVID MCNEW/GETTY IMAGES
A SHIFT IS HAPPENING TOWARD MORE ECO-FRIENDLY MATERIALS.
SAFETY OF THE PUBLIC IS A PRIME CONCERN THAT GOOD FENCING CAN ADDRESS.
with] over the last four months have gone for perimeter fencing, this can prove essential. The first part of a project that any member of ecological hoarding.” “THE MAIN ISSUE IS “There is a shift happening towards more the public and potential investors will see, a WHEN PUTTING A eco-friendly materials, which plastics may offer BRAND ON CORRUGATED hoarding that has a high quality appearance SHEET IT DOESN’T LOOK can increase perception of the project’s final as a dual path with steel,” adds Grundy. GOOD; PVC SHEETS ARE With a higher initial capital cost for the prodfinish and could provide essential in gaining COMPLETELY FLAT AND uct, this trend demonstrates another change investor confidence and financial backing. FLUSH TO in market, that of a rise in focus on long-term “It looks like a finished fence, which is good THE GROUND” thinking and corporate image. for the company image and any marketing One of the advantages of plastics hoarding posters can be properly displayed,” explains is its appearance. In the current climate, where clients are seek- Ghattaura. “The main issue is when putting a brand on corruing to raise their corporate image in order to win jobs, while gated sheet it doesn’t look good; pvc sheets are completely flat simultaneously construction projects lie dormant behind their and flush to the ground.” The lack of gap at the base of the fence also helps to ensure site security and can prevent any loss of corporate image for the PRODUCT TYPES: PROS AND CONS developer on projects that are on hold. “The only way people can get in and out is through the security gates and people can’t see what’s going on in the site,” stresses Ghattaura. TIMBER DISADVANTAGES ADVANTAGES Cheap Short life SUSTAINABILITY ISSUES Unable to withstand local The recyclable nature of the plastics hoarding is one of its biggest benefits and with the push for sustainability throughout the region, climate conditions Cannot be easily reused this could prove to be a major deciding factor in future predicts Ghattaura. “The problem with steel is people say that it’s recyclable, but it’s STEEL ADVANTAGES DISADVANTAGES not. The problem with the panelling is that it will corrode and the Long lifespan Sheets are profiled so poor appearance after one year is bad…once a steel panel is damaged for signs Reusable then it has to be remelted again for reuse, which is harmful to Some trade-in value Medium cost the environment,” states Ghattaura. “With the Eco sheets there Long track-record of use Can corrode quickly is no carbon footprint,” he adds. If damaged, the recycling All steel within Logical Fencing’s Eco Logical product is galvanised in region Approved by all ministries in and should corrosion occur they are sandblasted and re-dipped process is harmful to the GCC countries environment locally. The firm offers clients a buyback option whereby at the end of a project term it will remove the entire system for recycling PLASTICS and reuse on other projects. Such terms help to negate the difADVANTAGES DISADVANTAGES ference in initial capital costs between plastics and steel systems, Reusable and recyclable Relatively expensive states Ghattaura: “It’s around 20% more expensive for [plastics] Easy to handle on site Short track-record in region hoarding, but as we’re doing the buyback option and clearing the Lightweight sites [at the project end] it works out cheaper overall.” Long lifespan With corporate image, sustainability and cost set to grow further Holds a trade-in value in importance within the construction industry over the next few Flat surfaces good for years, it seems likely that so too will the use of plastics hoarding. “Maybe within the next 24 months the whole of the GCC will be displaying marketing signs using [these products],” predicts Ghattaura. FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
27
www.ConstructionWEEKonline.com/directory
§ § § § § DIRECTORY
DIRECTORY SHOWCASE | TENDERS | PROJECTS | SUPPLIERS | CITY UPDATE
SHOWCASE 30 Meydan 32 TENDERS 35 PROJECTS SPECIALIST SERVICES 36 Design software 37 Construction manufacturers/steel CITY UPDATE 38 Doha, Qatar
To advertise please call Shishir Desai +971 4 435 6375, or email shishir.desai@itp.com
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
29
¦SHOWCASE
To buy images within these pages please email itpimages@itp.com or visit itpimages.com
ITP IMAGES TO BUY IMAGES WITHIN THESE PAGES PLEASE EMAIL ITPIMAGES@ITP.COM OR VISIT WWW.ITPIMAGES.COM
TOP: ‘The Meydan’ hotel takes up a third of the total structure. RIGHT: The grandstand building is almost 1.6km long. OPPOSITE PAGE, FAR RIGHT: The giant cantilevered crescent roof is one of the main structural features of the building, sometimes described as a ‘landscraper’. OPPOSITE PAGE: The atrium spaces of the hotel emphasise the view, important in a building that serves as a grandstand too.
30
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
To buy images within these pages please email itpimages@itp.com or visit itpimages.com
MEYDAN, NAD AL SHEBA, DUBAI Photos by Aziz Shah The centrepiece of Meydan City, the grandstand and racetrack facilities, opened its doors to the world earlier this year. The success of the project can be measured by the burst of positive PR it received, especially from the global racing press. Measuring almost 1.6km across and boasting a built area of 306,580m2, the grandstand has seating for 20,000 spectators, although its actual capacity is closer to 60,000. A third of the complex is taken up by ‘The Meydan’ hotel.
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
31
TENDERS §
¦TENDERS FREE TENDERS AND SERVICES IN THE CONSTRUCTION INDUSTRY TO INCLUDE YOUR TENDERS IN THIS SECTION EMAIL TENDER DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Tender focus
ASHGAL In January 2004, Qatar’s Public Works Authority (Ashgal) was established as part of a decree put forward by HH Sheikh Hamad bin Khalifa Al Thani. The purpose of the body is to oversee all infrastructure related projects and public amenities in Qatar. Ashgal has since managed a number of projects including the construction Al Khafaji Street and Airport Street, as well as Al Khor Environmental Park and Al Wakrah Hospital. Last year the organisation concentrated on the construction of schools in the Gulf state, and this year it continues to do the same. Asghal has recently invited firms to bid, by March 2, for the contract to build seven schools in Doha. A tender is also floating for the construction, completion and maintenance of four schools, also in the capital. The bidding deadline for this tender is February 16.
To include your tenders in this section email tender details to editor@ConstructionWeekOnline.com
BAHRAIN
KUWAIT
Issuer: Electricity and Water Authority Tender No: 378/2009/3200 Description: Construction of a customer service centre at Country Mall. Closes: February 10 Fees: BD50 Contact: Purchasing and Supply Directorate, Central Stores, Ground Floor, Electricity and Water Authority, PO Box 5325
Issuer: Central Tenders Committee Tender No: MEW/39/2008/2009 Description: Design and construction of Al Zour desalination plant, phase 2. Closes: March 9 Fees: KD3000 Contact: Central Tenders Committee, Ministry of Electricity and Water
Issuer: Electricity and Water Authority Tender No: 263/2009/4130 Description: Procurement work for Alstom gas turbines. Closes: February 10 Fees: BD15 Contact: Purchasing and Supply Directorate, Central Stores, Ground Floor, Electricity and Water Authority, PO Box 5325
Issuer: Central Tenders Committee Tender No: RA\\140 Description: Construction of Jaber Ahmed Al Jaber Al Sabah Bridge in Kuwait. Closes: June 8 Fees: KD5000 Contact: Central Tenders Committee – Ministry of Public Works
Issuer: Electricity and Water Authority Tender No: 001/2010/5310 Description: Purchasing single core copper cable and PVC insulated copper wire. Closes: February 10 Fees: BD15 Contact: Purchasing and Supply Directorate, Central Stores, Ground Floor, Electricity and Water Authority, PO Box 5325 Issuer: Ministry of Health Tender No: MOH/101/2010 Description: Expansion of pharmacy section and construction of guard room at Hamad Kanoo Health Centre. Closes: February 17 Fees: BD15 Contact: Tendering submission office, tender board’s office at Al Moayeed Tower, Seef Area EGYPT Issuer: Egyptian endowment authority Description: Construction of five residential buildings comprising 484 housing units in Menia. Closes: February 16 Fees: EP19,000 Bond: EP1.5 million Contact: Egyptian Endowment Authority, 109 Tahrir St., Dokki, Giza
OMAN Issuer: Ministry of Transport and Communication Tender No: 418/2009 Description: Construction of Wadi Al Ain link roads. Closes: February 8 Fees: OR600 Contact: www.tenderboard.gov.om Issuer: Ministry of Health Tender No: 416/2009 Description: Construction, completion and maintenance of a proposed medical store at Rustaq Hospital. Closes: February 8 Fees: OR250 Contact: www.tenderboard.gov.om Issuer: Supreme Committee for Town Planning Tender No: 10/2009 Description: Consultancy services for the preparation of the master-plan of Duqm Town. Closes: March 8 Fees: OR300 Contact: www.tenderboard.gov.om
Tender No: PWA/GTC/065/09-10 Description: The construction, completion and maintenance of four schools in Doha. Closes: February 16 Fees: QR1500 Contact: Contract department, Public Works Authority Issuer: Public Works Authority Tender No: PWA/GTC/068/09-10 Description: Construction of seven new schools in Doha. Closes: March 2 Fees: QR1000 Contact: Contract department, Public Works Authority SAUDI ARABIA Issuer: Royal Commission for Jubail and Yanbu Tender No: 627-C17 Description: Procurement and construction of an elementary school for girls, three kindergartens and expansion of an elementary school for boys in Jubail Industrial City. Closes: February 24 Fees: SR9000 Contact: Directorate General of the Royal Commission in Jubail UAE Issuer: Dubai Electricity and Water Authority Tender No: CNE/0488/2009 Description: Construction of four accommodation buildings at Jebel Ali Power Station. Closes: February 24 Fees: AED2000 Contact: The Chairman, Board of Directors, Dubai Electricity and Water Authority
ONE TO WATCH Issuer: Etihad Railway Company Description: Engineering and design contracts for the UAE rail network. Open date: Q1 2010 Fees: Unknown Contact: info@EtihadRailways.co info@EtihadRailways.com m
QATAR Issuer: Public Works Authority
32
CONTRACTS TO BUILD NEW SCHOOLS WILL BE AWARDED THIS YEAR.
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
> For more tenders check online at www.ConstructionWEEKonline.com/tenders
¦PROJECTS
> For the latest projects information visit www.ConstructionWEEKonline.com/projects
§ PROJECTS
A BAHRAIN DATABASE - BUILDING PROJECTS FOCUS TO LIST YOUR PROJECTS IN THIS COLUMN EMAIL DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Project focus
DURRAT MARINA On August 16, 2009 it was announced that land reclamation on Durrat Marina, part of Durrat Al Bahrain had been completed ahead of schedule by a joint venture from Great Lakes and Nass Construction. The US $1.5 billion (BD565.5 million) project, which has been designed by PROJECT TITLE
Atkins, is scheduled to be completed by the first quarter of 2014. Great Lakes Dredge and Dock Company is the main contractor. The development consists of three islands covering 480,000m2 and will include a 400-berth marina, as well as retail, residential and public spaces.
COMPLETION OF DURRAT MARINA IS SCHEDULED FOR 2014.
CLIENT
CONSULTANT
MAIN CONTRACTOR
VALUE (US$MN)
STATUS
ISA TOWN HEALTH CENTER BUILDING
Ministry of Health
Adel Ahmadi Associates
United Arab Construction Company
CEBARCO TOWER AT UMM AL HASSAN
Khaled Abdulrahim
Modern Architects
Cebarco
MALL AT A'ALI
Al Namal Group
United Engineering
Al Namal Construction
RIFFA VIEWS - THE OASIS ESTATE
Riffa Views
Mohamed Salahuddin Consulting Engineering Bureau
Poullaides Construction Company/Terna Contracting
31 - 100
project under construction
AL MATROOK TOWER
Faisal Ali Al Matrook
Mohamed Salahuddin Consulting Engineering Bureau
Charilaos Apostilides
19
project under construction
APARTMENT BUILDING IN JUFFAIR
The Islamic Association
Modern Architects
Middle East Contg. & Trade Center
16 - 30
project under construction
MILLENIUM TOWER IN SEEF
Hani Group
Middle East Architects
Classic Construction
31 - 100
project under construction
KING HAMAD GENERAL HOSPITAL IN MUHARRAQ
Ministry of Health
Ismail Khonji Associates/Australian Design Group
AA Nass/Burhan International Construction
135
project under construction
QATAR EMBASSY IN SEEF
Qatar Embassy for MOFA
Arab Engineering Bureau
Not Appointed
2.5 - 15
project under design
REFLECTIONS OF BAHRAIN
Ithmaar Development Company
DP Architects
Not Appointed
101 - 250
project under design
DIPLOMAT COMMERCIAL OFFICE TOWERS
National Hotels Company
Mohamed Salahuddin Consulting Engg. Bureau
Chase Perdana Berhad
LIGHT OF BAHRAIN
Ithmaar Development Company
DP Architects
Not Appointed
VILLA COMPOUND AT AL AREEN
Al Khaleeji Commercial Bank
Modern Architects
AAA Homes
ABU OBIDA AL JARRAH PRIMARY GIRLS SCHOOL
Ministry of Education
Dheya Towfiqi Engineering Bureau
Not Appointed
2.5 - 15
project under design
NURANA
NS Holdings Co./Manara Developments
Davenport Campbell
Not Appointed
1000
project under design
MANSOORI HOUSE
Hassan Mansoori
Mazen Al Umran Consulting Engineers
M & I Construction
2.5 - 15
project under construction
30 STOREY RESIDENTIAL BUILDING IN JUFFAIR
Tashyeed Properties Company
Syrconsult Consulting Engineers
Not Appointed
16 - 30
project under design
15 STOREY MIXED USE BUILDING AT SEEF
Essa Bukhowa
Arabian East Bureau
Salah Al Qaed Contractors
2.5 - 15
project under construction
7 STOREY BUILDING AT RIFFA
Sheikh Khalifa
Arabian East Bureau
Charilaos Apostilides
5
project under construction
DCR APARTMENTS IN JUFFAIR
Yousef Gulub
Architectural World
Bassman Contracting
2.5 - 15
project under construction
BAHRAIN 7
project under construction
16
project under construction
2.5 - 15
project under construction
101 - 250 6
project under construction project under design project under construction
To list your projects in this section email details to editor@ConstructionWeekOnline.com
70
SPECIALIST SERVICES §
¦SPECIALIST SERVICES CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4 435 6344, OR EMAIL JASON.BOWMAN@ITP.COM
Supplier focus
WAGO MIDDLE EAST
MANUFACTURER OF ELECTRICAL COMPONENTS
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
Wago is a family owned company with tors can be placed very close to over 50 years experience in the the terminal blocks and their height can be kept development components for process engineering and building relatively low. automation. The company is The blocks are head quartered in Germany, but vibration proof operates around the world, and have maintenance-free with subsidiaries connections. or agencies on They are the all continents and production smallest on the facilities in market, accordGermany, ing to Wago, and this compact size Switzerland, Poland, China aims to minimise and India. costs through the Wago Middle reduction of panel East’s offices are space used, as well based in Sharjah Airport Free Zone, as smaller enclosures and juncUAE. The company has recently tion boxes. introduced new rail mounted terminal WAGO MANUFACTURES AND SUPPLIES TERMINAL As Wago Middle East is a new BLOCKS FOR THE INDUSTRY. blocks (electrical connectors). subsidiary, the main focus for the The blocks have a conductor entry company this year is to complete angle of 35° allowing for a very small bend radius and a the establishment of the team in the region and build a short wiring distance to the cable duct. This way, conduc- strong customer base.
36
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
BUILDING MATERIALS
CONSTRUCTION/MANUFACTURERS
HARD LANDSCAPING SUPPLIER
ยง SPECIALIST SERVICES
> For directory information visit www.ConstructionWEEKonline.com/directory
CONSTRUCTION/MANUFACTURERS
Full range of plaster, tiles and gypsum tools
OTAL (LLC) Dubai, U.A.E Phone: (+971-4) 267 9646 e-mail: otal@eim.ae website: www.otal.ae
PP CORRUGATED SHEETS
RECRUITMENT
,OOKING TO RECRUIT WORKERS FROM
)NDIA .EPAL
"ANGLADESH 3RI ,ANKA
0HILIPPINES 4HAILAND
6IETNAM 0AKISTAN To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
OR LOCAL LABOUR SUPPLY 7E ALSO UNDERTAKE -IGRATION 3ERVICE TO !USTRALIA #ANADA 4EL &AX % MAIL ASSIDUAA EIM AE STEEL
STEEL
STEEL
FEBRUARY 6โ 12, 2010 CONSTRUCTION WEEK
37
CITY UPDATE DOHA, QATAR
NEW DOHA INTERNATIONAL AIRPORT IS A KEY PROJECT IN QATAR’S DEVELOPMENT STRATEGY.
Delivering Doha CW DISCOVERS THE REASONS BEHIND THE GROWING CONFIDENCE IN DOHA’S CONSTRUCTION SECTOR By Sarah Blackman
W
here is the current best place Investors are showing growing confidence in the GCC, particularly to construct a building in the Doha, where there is an opportunity to build new projects. “Local companies are investing in Doha and Abu Dhabi,” says Middle East? When asked by Construction Week in November Simon Mrad, managing director of Wilo, a manufacturer and sup2009, many industry suppliers plier of pumps and pump systems for heating, air-conditioning answered, Qatar. and cooling. And now, in 2010, “Developers and contractors feel comfort“DEVELOPERS FEEL this mind-set remains the same. Last week’s Conable starting new projects in the area because COMFORTABLE structionWeekOnline spot poll revealed that, behind new developments are progressing at a steady STARTING NEW Abu Dhabi, Qatar is the spot people expect to make pace and are not accelerating too quickly,” PROJECTS IN the most money this year. DOHA” So which projects are leading industry play-
38
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
BARWA FINANCIAL DISTRICT IS DUE TO BE COMPLETED IN 2013.
TOP PROJECTS New Doha International Airport Musheireb Doha Metro Qatar-Bahrain Causeway Barwa Financial District
US$ 14 billion 5.5 billion 3 billion 3 billion 1.3 billion
CONSTRUCTION HAS JUST BEGUN ON MUSHEIREB, PREVIOUSLY THE HEART OF DOHA.
ers to the conclusion that Doha’s construction sector has huge potential for growth? Like many other GCC cities, infrastructure seems to be the key area for expansion. The under-construction $14 billion New Doha International Airport is still on schedule for 2011 and will cover over 22km outside the city. Further, in November 2009 the Qatari Diar Real Estate Investment Company announced the signing of a joint venture with passenger and logistics company Deutsche Bahn AB to create the Qatar Railways Development Company. The organisation will unify all planned railways in Qatar including the Doha Metro. This 85km rail network will include an east coast link, a highspeed link, a freight link and a light rail system. The entire project is due for completion in 2015. Construction on the $3 billion metro is set to begin this year, although main construction contracts are yet to be signed. Development of 40km causeway that would connect gas exporter Qatar to the Gulf island state of Bahrain is also set to commence in the first quarter of this year. Contractors selected to carry out the project include France’s Vinci and Germany’s Hochtief AG. Completion is scheduled for 2015. A number of projects in the residential and commercial sector are also showing signs of progression. Last month, a ground-breaking ceremony took place at DohaLand’s $5.5 billion Musheireb development, previously named The Heart of Doha. “The project is a shining example of Qatar’s determination to innovate, not just for innovation’s sake, but with the end goal of
improving quality of life and ensuring that heritage and culture carries on as the country grows and evolves,” says DohaLand vice chairman Abdullah Al Kubaisi. The mixed-use development will contain 226 buildings and will be home to 27,637 residents. It will have a dedicated tramway, with a combination of commercial and residential properties, retail, cultural and entertainment areas. The project will be completed in five phases, with the first phased due for completion by 2012 and the entire project is due to be completed by 2016. In other recent news, French construction giant Bouygues won a $1.3 billion contract for construction in the Barwa Financial District project in November. Barwa Financial District is developed by the Barwa Real Estate, the largest semi-public property group in Qatar. The contract includes the construction of nine 18- to 52-storey office towers, a five star hotel, a shopping centre, a mosque as well as parking facilities and utilities. Construction time for the project will be around three and a half years. “This fast track project will involve 6000 people at peak times and considerable plant resources, notably 17 tower cranes,” says a statement from Bouygues. “The work will also take place in a particularly challenging environment due to the cramped site.” Bouygues will carry out the works in collaboration with two Qatari companies – Midmac Contracting Company and Al Jaber Engineering.
“THE [MUSHEIREB] PROJECT IS A SHINING EXAMPLE OF QATAR’S DETERMINATION TO INNOVATE, NOT JUST FOR INNOVATION’S SAKE”
FEBRUARY 6–12, 2010 CONSTRUCTION WEEK
39
DIALOGUE DAVID KOHLER A new direction Kohler, a manufacturer of kitchen and bath products, engines and power generation systems has a new strategy – to aggressively contribute to sustainable building. Company president and COO David Kohler explains the reasons behind this decision
By Sarah Blackman
What inspired you to update your company strategy in 2008?
There is a scarcity of fresh available drinking water around the world and it is a big issue here in the UAE. It’s important that companies and consumers become more educated about the areas of sustainability and understand how their actions can impact the world. We look at sustainability because we think it’s the right thing to do not the right thing to say. As we have grown as a company, our environmental footprint has increased and we need to change this. Around 40% of people around the globe are impacted by water scarcity. We believe that, given our business in the plumbing industry, it is critical for us educate people on how to use water more effectively without compromising desires for luxury. How can Kohler contribute to a sustainable environment?
ways of saving it. If you set aggressive goals, you will pioneer in new ways. Is there a demand for energy efficient products or do you have to persuade companies to invest?
I don’t think there has been a big demand for water conservation in this region, but with programmes like Heroes of the UAE in Abu Dhabi [a campaign urging people living and working in the UAE to reduce their energy consumption], it will increase. There are also governments and companies that are trying to drive awareness in certain markets. How energy efficient are your power generators?
We are primarily in the business of standby power generation. We power everything from standby generation in the home from small portable 4KW units all the way to the largest generator sets, with over 3MW. Some of our units can work on diesel fuel and the most sustainable units we have are those that work on natural gas – they are more energy efficient and they produce low carbon emissions. We are driving the expansion of these. We are also evaluating different technologies for the future that can help us better link renewable energy with our generator sets.
The first element of our strategy is footprint reduction – we want to reduce our carbon footprint as a company by 4% per annum, with an aggressive goal of achieving net zero carbon emissions with offsets by 2035. The second plank of our strategy is about growth and innovation. We want to drive new products and innovative technologies, which are better for the environment – a water conserving shower or a higher fuel efficiency engine or generator, for example. The third plank is to educate customers on the importance of sustainability and how businesses can still be successful if they implement green initiatives. We Kohler was elected to the president believe the right sustainability strategy and COO position in April 2009. He is one that integrates business principles is the eighth individual to serve in the with environmental principals. It has to role of president since the company’s make sound business sense. Is there a limit to how energy efficient a product can be?
There must be a limit, but I don’t know if we will ever find it. There has always been a belief that there is a limit to reducing the consumption of water, but then we created the waterless urinal. I believe that necessity is the mother of invention – we are running out of water so therefore we have to think of new
40
CONSTRUCTION WEEK FEBRUARY 6–12, 2010
inception in 1873. A member of the company’s board of directors, Kohler oversees three of Kohler Company’s four worldwide businesses – Kitchen & Bath Group, Global Power Group, and Interiors Group, as well as the Corporate Technical Services organisation. He joined the Kohler executive management team in 1993 and gradually moved up the company ladder.
What projects have you recently been involved in?
We looked at the water consumption of our facilities that make faucets around the world and found that we waste water in a lot of different ways. So, through a careful design, we were able to reduce the water consumption per faucet produced by 90% at a new facility in India. Today the company has 51 manufacturing facilities in 16 different countries. We are also working closely with the Masdar City project in Abu Dhabi on the power side of our business, as well as the plumbing side. In addition, we supplied commercial faucets to the Atlantis Hotel in Dubai.
Tru-lift Self Climbing Core Forming System
Tru-lift Product Features: All sizes of core walls accommodated Complete system raised during lifting cycle Controlled lifting of equipment through the use of hydraulics Fully boarded working platforms create a safe working area Unique striking corners allow quick and easy release of wall formwork Concrete placement from top working platform
MIDDLE EAST
Formwork and Shoring Solutions RMD Kwikform has the skill, expertise and experience to provide you with unique and elegant formwork and shoring solutions. Our team of technical experts and engineers are there to assist you in the creation of any concrete structure and our industry leading equipment ensures that throughout the process your project is correctly supported. RMD Kwikform will rise to any challenge so why not contact us today and see how we can help you create.
Tailored Solutions • Global Expertise
For expert solutions contact our specialists now on
+971 6 553 4173 rmd.me@rmdkwikform.com
www.rmdkwikform.com/ae