Qatar Today January 2012

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january 2012

contents

c ove r story

52. Qatar’s role on the world stage

Qatar was the first country to recognise the Libyan rebels, the first to close its Syrian embassy, and also a country that came down hard on the Yemeni president to step down. It was also the first Gulf country that asked UN member states to listen to the voice of reason and respond to the legitimate request for a Palestinian state with full membership at the UN. Moving from football legacy to world peace, Qatar has indeed carved its name on the regional stage, taking a strong stand on each of the Arab revolutions. Qatar Today invited experts from around the world to say what they think about the country and its steep rise to recognition.

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18. Emir calls for transparency at WPC

After almost 80 years, the WPC finally arrived in the region which has been shouldering the burden of global energy for much of that time. Also known as the “Olympics of the Oil Industry”, the 20th WPC attracted over 5,000 professionals from the sector. Qatar Today talks to some experts and shines light on the highlights of the Congress.

48. The Essence of Jet-Setting

In 2009, Qatar Airways launched Qatar Executive to meet the needs of a premium market segment looking for a more flexible, discreet and personalised means of travel. In the short time since its launch, Qatar Executive has doubled its whollyowned all-Bombardier fleet, and today operates six corporate jets with an average age of just one year – the youngest fleet of business aircraft in the Gulf. Qatar Airways CEO Akbar Al-Baker elaborates on this premium segment.

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70. Quick, effective, productive

Speed Funding makes its Qatar debut, as angels and entrepreneurs take the first tentative steps towards a new way of doing business, writes Vani Saraswathi.

36. Euro zone crisis to dominate investor mood

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What the markets hate more than anything is uncertainty, and Europe’s member states have delivered nothing but uncertainty to the markets in 2011. However, some think that even if tough measures are adopted, it will be some time before confidence returns to the European markets, says David Russell.

published by oryx advertising co.wll, All rights reserved. qatar today is published monthly by oac, po box no. 3272, doha, qatar. subscription rate for qr. 240 per year. address for all subscription correspondence to qatar today, oryx advertising co.wll, po box 3272, al hilal area, doha, state of qatar. for single copies call us on + 974 44672139 or mail to qtoday@omsqatar.com. material in this publication must not be stored or reproduced in any form without permission. request for permission should be directed to qtoday@omsqatar.com. reprint requests should be directed to the info@msqatar.com. qatar today is registered trademark of oryx advertising co.wll

january 2012 volume 38 issue 1 www.omsqatar.com


contents

92 84. Luxury Redefined Al Gassar Resort:

january 2012

83 78

86

The Al Gassar Towers are difficult to miss, with distinct Arab features. the sand-brown towers are in close proximity to Katara Cultural Village and take full advantage of the beachfront that Doha’s coastline has to offer. Qatar Today talks to the people behind this luxury offering.

86. Beacon of glory

Who would have expected the 300 metre-tall tower next to the Villaggio Mall, which held the flame for the 2006 Asian Games, to be the next 5-star hotel in the city’s luxury market? Gerhard Foltin, General Manager of The Torch - Doha, for one, knew it right from the start.

74. All that waste!

Where does it all go? An interest group under QGBC tries to crack the predicament of growing waste in the country. Sindhu Nair finds out...

83. A Porsche treat for the local media

The first ever Porsche Media Test Run took place in Qatar on December 10 when local media took part in an exciting day of driving the range, in an event conducted by Porsche Centre Doha, Al Boraq Automobiles Co; and hosted by the

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96. ROTA Gala Dinner a grand success

In the presence of HH Sheikha Moza bint Nasser, QF Chairperson, the 4th Reach Out To Asia (ROTA) Gala Dinner and Charity Auction raised $13 million to support ROTA education projects in troubled Asian communities.

92. National Day: A day of joy and unity

Proud residents and expatriates joined together throughout the country to celebrate National Day, marking what has been another successful year of growth for Qatar.

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regulars News Bites.................................................12 O & G O v e r v i e w. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 8 Bank Notes................................................32 W o r l d V i e w. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 0 braking News..............................................82 Market Watch.............................................90 D o h a D i a r y. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 8





V o lu m e 3 8

issue 1

Publisher & Editor-in-Chief Chief Executive Executive Vice President Vice President

january 2012

Yousuf Jassem Al Darwish Sandeep Sehgal Alpana Roy Ravi Raman

Managing Editor Vani Saraswathi Deputy Editor Sindhu Nair Editorial Coordinator cassey oliveira CORRESPONDENTS RORY COEN EZDHAR IBRAHIM FASHION &LIFESTYLE CORRESPONDENT ORNA Ballout Art Director Venkat Reddy Asst art Director – Production Sujith Heenatigala Assistant Art Director Hanan Abu Saiam Senior Graphic Designers Ayush Indrajith Sampath Gunathilaka Graphic Designers maheshwar reddy Photographer R obert F Altamirano Managers –Marketing Mohammed Sami Zulfikar Jiffry Senior Media Consultant Chaturka Karandana Media Consultant HASSAN REKKAB Accountant Sr. Distribution Executive Distribution Support

Published by Oryx Advertising Co WLL, P.O. Box 3272; Doha-Qatar Tel: (+974) 44672139, 44550983, 44671173, 44667584 Fax: (+974) 44550982 Email: qtoday@omsqatar.com website: www.omsqatar.com Printed at: Gulf Publishing and Printing Co WLL Copyright © 2010 Oryx Advertising Co WLL

Qatar Today invites readers’ feedback Share your views on the magazine or any issue connected to Qatar. One lucky reader will win an exquisite Mont Blanc writing instrument.

Pratap Chandran Bikram Shrestha Arjun Timilsina Bhimal Rai

published by oryx advertising co.wll, All rights reserved. qatar today is published monthly by oac, po box no. 3272, doha, qatar. subscription rate for qr. 240 per year. address for all subscription correspondence to qatar today, oryx advertising co.wll, po box 3272, al hilal area, doha, state of qatar. for single copies call us on + 974 44672139 or mail to qtoday@omsqatar.com. material in this publication must not be stored or reproduced in any form without permission. request for permission should be directed to qtoday@omsqatar.com. reprint requests should be directed to the info@msqatar.com. qatar today is registered trademark of oryx advertising co.wll reprint requests should be directed to the info@msqatar.com. qatar today is registered trademark of oryx advertising co.wll reprint requests should be directed to the info@msqatar.com. qatar today is registered trademark of oryx advertising co.wll

Write to: The Editor, Qatar Today, PO Box 3272, Doha. Fax: (+974) 44550982, email: qtoday@omsqatar.com Qatar Today reserves the right to edit and publish the correspondence. Views and opinions expressed in the published letters may not necessarily be the publication’s views and opinions.


january 2012

from the desk

last

year ended with a bang for A country that is poised to be one of the top MICE destinations of the region. The 20th WPC, THE Asian Games 2011 AND the fourth United Nations Alliance of Civilization Forum, all held HERE in December 2011 made the list impressive enough to get the attention of the world. But the country didn’t need this list to mark its weight on the global stage. Al Jazeera’s open and largely unbiased reporting of the Arab Spring apart, HH the Emir Sheikh Hamad bin Khalifa Al-Thani is now considered a force to contend with when it comes to regional diplomacy and politics. But what does the world think of this tiny nation that constantly strives to punch above its weight? Qatar Today invited commentators and policy-makers from around the world to give their views on the country’s moves. As events bring focus to the country’s MICE capability, the hospitality industry too, gears up for the challenge. The Torch and Al Gassar Resorts are the latest entrants in this sector. Both reveal their uniqueness in exclusive interviews inside. We also speak to Akbar Al-Baker, the CEO of Qatar Airways and its private jet arm Qatar Executive, on the growth in this niche sector. This month we bring you some rare insights from oil and gas experts, who were in the country for the 20th WPC, covering areas from exploration, and new techniques in oil extraction to carbon-offsetting and prospects for clean energy. New technology brings in ideas for initiating new business. And aiding business startups in the country to find the right support is Angels Den, through their Speed Funding programme. Read more in this issue about this unique programme, and if you have the initiative, pitch for it! As we enter the New Year, let’s hope that change – be it in politics or governance, business or profession – is for the better, and sustained.

january 2012

Qatar Today 9




letters feedback qtoday@omsqatar.com

iPAD VERSION: EXPERIENCE A

NEW ERA OF READING

TODAY

DECEMBER 2011

Q ATA R ' S N O . 1 N E W S & B U S I N E S S M A G A Z I N E

20 TH WORLD PETROLEUM CONGRESS SPECIAL ISSUE

The vast QNCC I took a spin out to the QNCC last week – to see what all the fuss was about – and I parked in the multi-storey car-park facility. The subterranean walk to the convention centre itself was more eventful than I imagined. Elevators, escalators and travelators – I even hitched a ride on the back of a buggy – broke up the twenty minutes or so it took me to walk from the car-park to the exhibitions halls on the opposite side. A remarkable facility. Oh, and a word of advice – take note of where you have parked! John Salmon

QR.............15 AED..........20 OMR..........2

A proud year for Tunisia

BHD............2 LBP.............10 KWD...........2 USD............4.5 SAR............20 EURO.........5.5

qt poll – january

What a proud year it has been for the Arab people, and most notably for Tunisians all around the world. I recently mentioned their Jasmine Revolution martyr, Mohammad Bouazizi, to a national and he was overcome with joy and emotion that I was even able to reference his name. They are truly proud of what they have achieved to date and I hope they have a great future. Bernhard Gruber

Poll result is based on messages received till 20th of every month

Doha Floods

Q

I think it was rather poignant that Qatar Today should run a page on the floods which devastated many regions around the world in the same month that Doha itself witnessed more frequent rains than normal, prompting some light flooding in places. Queensland had ten years of drought before its floods so I guess anything is possible here in Doha. Mikel Rim

Qatar march on

It’s great to see the Qatar National football team on the brink of qualification for the final phase of World Cup 2014 qualification. There was a great atmosphere in the Al-Sadd stadium for the crucial game against Bahrain. The marching band was my highlight I think – the really put a sense of spirit into our home support before kick-off. I was very proud to witness such unwavering support. Hassan Al-Moudad

Will Qatar always be percieved as the peace-maker in the region?

SMS answers to +974 33072524 A lucky winner will win a NOKIa C5-03

Will the 20th WPC bring other new fuel options into focus?

26% 74% Yes

no

The winning number of the last QT poll is 30678746

Qatar Today invites readers’ feedback Share your views on the magazine or any issue connected to Qatar. One lucky reader will win an exquisite Mont Blanc writing instrument.

Check out all articles of Qatar Today on www.issuu.com/oryxmags/qatartoday

Write to: The Editor, Qatar Today, PO Box 3272, Doha. Fax: (+974) 44550982, email: qtoday@omsqatar.com

follow us on www.facebook.com/qatartoday www.twitter.com/qatartoday www.qatartoday.tumblr.com

Qatar Today reserves the right to edit and publish the correspondence. Views and opinions expressed in the published letters may not necessarily be the publication’s views and opinions.



20th world petroleum congress

18

NEWS BITES

Economic growth will slow in 2012: IMF

Q

atar’s economic growth will slow in 2012, and it faces an increased risk of lower oil and gas prices due to weaker global demand, but the overall outlook for its economy is positive, the International Monetary Fund said. The world’s top liquefied natural gas exporter saw its economy expand at a doubledigit clip in 2011 and it plans to spend heavily on infrastructure projects before it hosts the 2022 soccer World Cup.

“The economic outlook for 2012 remains positive, despite increased external risks. Real gross domestic product (GDP) growth is projected to moderate to 6% in 2012,” the IMF said in a statement after concluding its annual consultation with Qatar on December 1. For this year, the IMF has estimated growth of 19%. Qatar’s development planning authority said in October it expected real GDP growth to slow to 5.1% in 2012 from a projected 15% for this year, as a decades-long gas expansion

programme winds down. “While real hydrocarbon GDP will slow down to less than 3% due to the country’s self-imposed moratorium on development of new hydrocarbon projects until 2015, large infrastructure investment and increased production in the manufacturing sector will boost growth in real non-hydrocarbon GDP, which will accelerate to 9%,” the IMF said. Qatar’s outlook remains positive over the medium term, the IMF said, but warned of external risks.

Al-Attiyah granted the rank of Premier

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he Emir, HH Sheikh Hamad bin Khalifa Al-Thani, issued an Emiri order on December 20, granting the Chairman of the Administrative Control and Transparency Authority, HE Abdullah bin Hamad Al-Attiyah, the rank of Prime Minister. The Emiri order is effective from the date of issue and is to be published in the official gazette, QNA reported. Later, the Emir presented the Necklace of Independence to Abdullah bin Hamad at the Al Wajba Palace. The honour was bestowed on Al-Attiyah in recognition of his role in fighting corruption and efforts to help in the development of the national economy, especially in the oil and gas sectors. Head of Emiri Diwan Another Emiri order was issued appointing HE Sheikh Abdullah bin Hamad bin Khalifa Al-Thani as Head of the Emiri Diwan with the rank of Minister. The order annuls any provision that violates its rule. It comes into force from the date of issue and is to be published in the official gazette.

14 Qatar Today

january 2012

THE EMIR, HH SHEIKH HAMAD BIN KHALIFA AL-THANI PRESENTS THE NECKLACE OF INDEPENDENCE TO HE Abdullah bin Hamad Al-Attiyah



news bites

HH Sheikha Moza bint Nasser with other leaders at UNAOC

UNAOC focuses on dialogue and democracy

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he 4th Forum of the United Nations Alliance Of Civilisations held over three days in December 2011, revolved around issues of dialogue, dignity, democracy and development. From December 11-13, 2011, more than 2,500 attendees met in Doha, including heads of state, ministers of foreign affairs, NGOs, representatives of civil society, young leaders, foundations, media, academia and the corporate sector, for the 4th Forum of the Alliance of Civilizations (UNAOC). The Doha Forum revolved

around three key themes: the missing link in cultural diversity, promoting trust and tolerance to advance development goals; and new strategies for intercultural dialogue, understanding and cooperation HH Sheikha Moza bint Nasser renewed her message to the international community: “During this Forum, I have seen the involvement of the youth and I was happy to hear their voice. In fact, despite what we think, their awareness is real and they have proven that we need their leadership and support to achieve the goals of UNAOC and MDGs.”

highlight Authority to scrutinise corruption in government Qatar has set up an anti-corruption watchdog to track state ministries and agencies and to probe claims of abuse of power or public funds. The Emir HH Sheikh Hamad bin Khalifa Al-Thani, said the Administrative Control and Transparency Authority would also scrutinise the activities of governmentlinked agencies. The authority’s tasks will include probing the misuse of public funds and investigating complaints against government officials. The agency may also have access to banking details, in cases that allege money-laundering activities.

A joint fund New taxi services on for investment the roads in six months

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alaysia’s Prime Minister Najib Razak said in a joint press conference with Qatar’s Prime Minister HE Sheikh Hamad bin Jassim bin Jabor Al-Thani that the two countries will each put $1 billion into a fund to look for investments. “The Prime Minister of Qatar and I have agreed to work to set up a Malaysia and Qatar Investment Fund with each country to set up $1 billion to look for investments,” Najib said. He did not elaborate on the type of fund or asset class that will be invested in by the two countries.

16 Qatar Today

january 2012

T

he Al Million Services Trading and Contracting Company has won a public bidding to become the first private franchise to operate taxis in Qatar. The company is expected to launch its first fleet of 300 taxis in six months. Two other private companies, Al Ijarah Holding and Petro Qatar, have also qualified to compete with the state-backed Mowasalat in operating taxis. The three companies have been selected through a public bidding launched by Mowasalat a few months ago.

“Al Million will start operations with 300 taxis initially in six months time, and later expand its fleet to 500. The other two companies will join with a similar number of taxis at a later phase. Qatar will have three private taxi companies by the end of next year and another three companies will join the fray by 2016,” said Jassim Saif Al-Sulaiti, Chairman and Managing Director of Mowasalat. The new cabs will follow the same standards and specifications as the Karwa taxis as well as their fare structure, added Al-Sulaiti.



news bites

Qatar least corrupt among MENA countries

Q

Qtel Group reaps awards at CommsMEA Awards Qtel won the “Best Business Service” and Qtel Group Companies Received “Operational Expansion of the Year”, “Middle East Operator of the Year” and “African Operator of the Year” Awards at the CommsMEA Awards

Water taxis to be introduced

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iving a major boost to the tourism sector in the country, Qatar will soon have its first water taxis to be introduced in three new urban areas – Lusail City, West Bay and the Airport. A joint agreement for launching this new service was signed between Mowasalat, Qatari Diar and Lusail Real Estate Development Company at the Mowasalat headquarters.

According to the agreement, Mowasalat will launch the first few water taxis next year as a pilot project. The service will go fully operational when work on these new urban projects is completed. The signing ceremony was attended by Jassim Saif Al-Sulaiti, Chairman and Managing Director of Mowasalat; Essa Al Khaldari, CEO of Lusail Development; Mohammed Al Hadfa; CEO of Qatari Diar and other senior officials.

atar has maintained its position as the least corrupt nation in the Middle East and North Africa region but slipped three notches from last year in the Corruption Perception Index 2011 (CPI 2011) released by Transparency International. Although Qatar was down from 19th in 2010 to 22nd place among 183 countries, it still grabbed the top spot among 18 MENA countries. It is followed by the UAE, which is placed 28th globally. At this position, Qatar is ahead of 161 countries in the world, including the USA, France, and Israel and all of the Gulf Cooperation Council (GCC) states and Arab countries. Qatar enjoys the highest score in MENA in the index, at 7.2, despite the fact the CPI 2011 shows that more than three quarters of the 18 MENA countries and two-thirds of all countries score below. Lowest in the MENA ranking is Iraq with a score of 1.8. The report says that a 0 score is perceived to be highly corrupt while 10 is seen to have low levels of corruption. Most Arab Spring countries rank in the lower half of the index, scoring below 4, including Libya, Yemen, Syria, Egypt and Tunisia. Before the Arab Spring, a Transparency International report on the region warned that nepotism, bribery and patronage were so deeply engrained in daily life that even existing anti-corruption laws had little impact.

Food security for dry lands

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lobal Dry Land Alliance (GDLA), a Qatar-led initiative to integrate dry land countries for support in times of need, will be launched in November 2012, said Fahad Mohammed Al-Attiyah, Chairman, Qatar National Food Security Programme (QNFSP). Addressing a seminar on ‘Global Food Challenges’, Al-Attiyah said the Alliance

18 Qatar Today

january 2012

was designed to build political will to further research in agriculture and build capacities to enable food production. Initially, a small group of 10 to 20 member countries who are committed to the GDLA’s goals will comprise the Alliance, he said. “Being a member of the GDLA will be a huge incentive because member countries can benefit from immediate response in times of crisis, but at the same time they have to have obligation on co-members,” he said,

stressing that each country should have its own national food security programmes to mitigate the impact of food and water crises besetting the world’s future. Statistics show that one billion people go hungry every day, and demand for food is expected to increase by 70% by the end of the year 2050. Climate change has rendered large areas incapable of food production, threatening food supply to hyper-arid areas such as the MENA region.



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Emir calls for

transparency

at WPC

The emergence of sustainable and clean energy was a huge talking point at the World Petroleum Congress (WPC) in Doha recently. There is a serious effort being made to find a happy medium between the development of renewable energy resources and the continued mass production of hydrocarbon fuels. Is it possible for all parties involved to be truthful and transparent with each other?

A

20 Qatar Today

january 2012

fter almost 80 years, the WPC finally arrived in the region which has been shouldering the burden of global energy for much of that time. From December 4-8 last, the fresh and lavish Qatar National Convention Centre (QNCC) hosted some heated debate and analysis of the industry, and it gave global and regional oil companies an opportunity to promote their latest innovations and offerings. The Emir, HH Sheikh Hamad Bin Khalifa Al-Thani, welcomed delegates to the congress at the opening session and expressed his pride and fortitude at bringing such a prestigious industry event to his country. However, he quickly got on to more specific concerns which he felt needed to be addressed at this pivotal period in the evolution of energy. He stressed that Qatar and its regional counterparts would continue to invest in the production of energy, but there needed to be honesty and transparency from both the producers and the importers of oil to facilitate a healthy relation-


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the emir, hh SHEIKH hamad bin khalifa al-thani SPEAKING AT THE OPENING SESSION OF THE 20TH WORLD PETROLEUM CONGRESS LAST MONTH

ship. Whilst all entities are trying desperately to curb the world’s over-reliance on hydrocarbon energy – such as oil and gas – some of the developed nations who import oil from the Middle East might not be as transparent with their progress into this arena as they could be. “The negative impact of producing fossil-fuel energy on the environment – particularly air quality due to the rise in harmful emissions and climate change as a result of the worsening problem of global warming – are facts that leave no room for argument,” the Emir said. “But tackling these negative issues on the environment cannot be handled by a single party in isolation of other concerned parties. For example, the development of

“It is not reasonable to ask the exporting countries to meet the future needs for these two commodities while at the same time the consumer countries carry out unilateral activities that augment the risks facing these investments."

clean and renewable energy resources is positive and necessary, and oil and gas exporters strongly support this, but in an effort to achieve this, developing countries should not be malicious in their reasoning. For instance, they shouldn’t feel like they are being dominated by oil-exporters, or in the case of the environment, the development of these resources shouldn’t coincide with the assistance and support for coalproduction.” “In addition to that,” the Emir continued, “the development of these resources should not be carried out in secret, without informing the exporters of their progress. Transparency is needed for more accuracy in estimating future demand for oil and gas”

ExxonMobil Honours HE Al-Attiyah

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he significant contributions to the development of Qatar’s oil and gas industry made by HE Abdullah bin Hamad Al-Attiyah Deputy Prime Minister and Chairman of the Administrative Control and Transparency Authority were celebrated last month at a packed ceremonyat Al Shaqab premises, hosted by ExxonMobil. “His Excellency Minister Al-Attiyah’s leadership and the story of Qatar’s natural gas development illustrate the progress and prosperity that is possible when people come together the way Qatar Petroleum

and ExxonMobil have,” said Rex W. Tillerson, Chairman and Chief Executive Officer of ExxonMobil Corporation. “I know I speak for all ExxonMobil employees who have had the privilege to work in Qatar and in particular to have the privilege to work with His Excellency in saying it has been a pleasure to be part of this journey,” he said. In a emotional speech, HE Al-Attiyah thanked HH, the Emir, for the vision to develop Qatar’s oil and gas industry. “It is because of his vision and under his guidance that we are able to celebrate our position as the world’s leading LNG producer. I am

most grateful that he gave me the opportunity to play a role in Qatar’s inspirational story of growth,” said HE Al-Attiyah.

january 2012

Qatar Today 21


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GE’s Filter House Solves Blade Corrosion

G

E Oil & Gas has completed a fast-track refurbishment project to eliminate corrosion, or pitting, of compressor blades on 14 gas turbines at Atlantic LNG Company of Trinidad and Tobago’s (“Atlantic”) production facility in Point Fortin, Trinidad and Tobago. The project will prevent blade degradation and help to maintain high productivity of the 14 units. Rami Qasem, CEO, GE Oil & Gas, MENAT, explained at the WPC that the project includes the supply and installation of new filter house technology and new ventilation systems with separate inlets to improve filtration and safeguard the blades against cor-

rosion. The GE innovative high efficiency filter house is specifically designed to eliminate gas turbine shut downs for off line axial compressor water washes. It is also possible to change the filter online without any additional stop, thus saving an estimated four days of production per year. Equipment for the first six units was shipped in May and June of 2011, and the installation was completed in July of 2011. Equipment for the additional eight units was shipped in August with installation starting in early October and now completed. “Because of the need to solve the pitting issues due to salt crystal presence or other contaminating agents while optimis-

Qatargas sign Tripartite Agreement

Q

atargas announced the signing of a Tripartite Sales and Purchase Agreement (SPA) to supply Liquefied Natural Gas (LNG) to Chubu Electric Power Company and Shizuoka Gas Company at a signing ceremony during the WPC. Under the binding terms of the Tripartite SPA, Qatargas will transport and deliver ex-ship a minimum of 0.2 million tonnes of LNG annually to a cluster of receiving terminals starting from 2016. Khalid bin Khalifa Al-Thani, Chief Execu-

tive Officer of Qatargas, said: “This agreement is remarkable in many aspects. It further nurtures our long lasting relationship with Chubu Electric Power Company while it welcomes Shizuoka Gas Company as the first new long-term Japanese buyer of LNG, in addition to the eight buyers which formed the currently existing consortium purchasing LNG from Qatargas 1 joint venture for contracts signed in 1992 and 1994. It is also an example of how Qatargas can grow its share of the Japanese gas market in partnership with Chubu Electric Power Company.”

HE DR MOHAMMED BIN SALEH AL-SADA, MINISTER OF ENERGY AND INDUSTRY, AND KHALID BIN KHALIFA AL-THANI, CEO OF QATARGAS, SIGNED THE TRIPARITE WITH THE CEOS OF CHUBU ELECTRIC POWER COMPANY AND SHIZUOKO GAS COMPANY

22 Qatar Today

january 2012

ing availability we asked GE to provide us with a retrofit solutions that could meet our requirements and be deployed easily,” said Jeff Bailie, Director Projects/TAR/CSA of Atlantic. The refurbishment project was performed during the planned plant maintenance carried out through modular replacement under the terms of a Contractual Service Agreement (CSA) already in place between GE and Atlantic. That agreement was signed in 2005 and covers 27 GE gas turbines and 47 GE centrifugal compressors at the Point Fortin facility. The CSA is supported by a field service and maintenance center that GE has established adjacent to the Atlantic complex.

Qatargas pledge energy efficiency

Q

atargas CEO, Khalid bin Khalifa Al-Thani, declared that Qatargas would continue to seek increased energy efficiencies across its facilities to ensure stability and a better tomorrow for future generations as he presented his paper “Supporting the objective of creation of a stable source of income for the State of Qatar”, in the Qatar Ministerial session. “Qatargas now supplies to 19 of the 24 LNG importing countries worldwide,” he said. “We have delivered over 2,300 cargoes to date. We can be certain that the geographical spread of our markets will continue to develop and, through this, we can realise our goal of supporting a stable source of income for the state of Qatar. We’ve established and maintained a proven record and will continue to supply our


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Maersk Oil and Siemens

join forces for clean power generation

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aersk Oil and Siemens have agreed to develop and build turbines for the former’s novel TriGen clean power generation

technology. TriGen is a power generator which burns gas with pure oxygen to produce clean power, pure water and ‘reservoir ready’ carbon dioxide. The high purity CO2 is captured, making the power generation emission-free, and is then transported to oil and gas fields for Enhanced Oil or Gas Recovery (EOR/EGR). Maersk Oil acquired license rights to the pure oxygen combustor, whose technology is derived from the space industry, from U.S.-based Clean Energy Systems (CES)

in January 2011. Now, Siemens will build turbines specially adapted to the combustion process to significantly increase the efficiency of the electricity produced. “The agreement with Siemens is another milestone for our innovative clean power project, helping to mature the TriGen technology to a stage where it can be used widely and commercially,” said Bob Alford, TriGen Project Manager at Maersk Oil. “Our goal is to be able to offer a unique product that for the first time joins oil and gas production together with power generation in one integrated project. This offers not just zero-emission electricity and pure water but also the ability to extract oil and gas that would otherwise be non-producible through EOR/EGR,”

Alford said. Under the agreement, Siemens will fund and further develop the ‘oxyfuel’ turbines over the next five years.

WEC envisions a different transport sector by 2050

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customers on a safe and reliable basis.” “Today we have grown into a best practice operating company model. The concern for safety and the environment are core values, and today we are at the leading edge using technologies which, whenever possible, minimise the impact on the environment.” Qatargas manages its offshore operations which include a total of 85 wells that send an average of 7.3 billion cubic feet of natural gas every day for onshore processing. The company also manages four joint ventures, Qatargas1, the world’s first fully integrated value chain Qatargas2, Qatargas3, Qatargas4, G2), four world-class mega liquefaction trains each with a production capacity of 7.8 MTA of LNG, and Qatar’s first condensate refinery, the Laffan Refinery, which is designed to be one of the largest condensate refineries in the world.

he World Energy Council (WEC) expects that transport fuel demand in the next 40 years will come mainly from developing countries such as China and India, where demand will grow by 200-300%. In contrast, the transport fuel demand for the developed countries will drop by up to 20%, mainly due to increased efficiencies. The demand of the developing countries is expected to surpass that of the developed countries by the year 2025.The result of this year-long study describes potential developments in global transport fuels and technology systems on the basis of two distinct scenarios; “Freeway” and “Tollway.” The “Freeway” scenario envisages a world where pure market forces prevail to create a climate for open global competition and solutions which are driven by lowest cost and the private sector. The “Tollway” scenario describes a more regulated world where governments decide to intervene in markets to promote early adoption of alternative technology solutions and invest in public transport infrastructure putting common interests at the forefront. “The Freeway and Tollway scenarios describe two extreme ends of the potential future of transport. The reality will inevi-

tably be between these two scenarios with regional differences playing a major role,” said Prof. Karl Rose, Director of Policy and Scenarios at the WEC. “It is, however, evident that the transport sector is about to go through a radical change. The light duty vehicle sector in OECD countries will be almost completely transformed in terms of fuel mix and we will see a pronounced shift of demand for transport fuels to the developing countries. The effect of the penetration of new technologies seems to be less profound than many have predicted, mainly due to the exceptional growth in heavy transport demand,” he added.

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A Responsible Congress The recently concluded 20th World Petroleum Congress (20 WPC) has added another feather to its cap: It was a FULLY carbon OFFSET congress with its ESTIMATED carbon emissions CALCULATED, RETIRED and VERIFIED.

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rom the outset, the aim was clear: To ensure that the event will pay great attention to social and environ-

mental issues. The Chairman of the 20th WPC Issa Shahin Al-Ghanim had said at the planning stages itself that the conference would comply with high ethical standards and reduce its environmental footprint by means of strategic attributes in the organisation of the event. “The greenhouse gas emissions for the event will be reduced to net zero. The leading global law firm Baker & McKenzie has been appointed the ‘Official Law Firm and Carbon Offset Partner’ of the 20th World Petroleum Congress,” he had said several weeks ago. Qatar Today spoke to Andrew Beatty, Partner, Global Environmental Practice at Baker & McKenzie to find out more on how this has been achieved. “In January 2011, we were at the World Future Energy Summit held in Abu Dhabi, where we were approached by QP to see whether we might be interested in arranging for the offset of the estimated carbon emission as a result of organising the WPC. We were approached due to our expertise in the field of climate change law and in particular markets which sprung up as a result of international trade links.” After a few months of discussions with QP and the WPC Organising Committee, Baker & McKenzie identified a number of projects that generate verifiable carbon emission reduction. 20th WPC had a very specific brief which made it to some extent different from other projects that were completed by the Company. The Organising Committee of WPC was specific that the credits should be derived from a project in a country that was a member of the WPC, and in projects which involved a fuel switch to gas and also that it was to be verified to international practices. “Working with the specialist carbon consultancy, Perenia, we identified a suitable carbon offset project in power project in Andhra Pradesh, India, which involved

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Andrew Beatty, partner, baker & mckenzie

a switch from naphtha to cleaner natural gas. This has reduced emissions and generated internationally verified, monitored and registered credits, whilst keeping with the strict requirements set by the Organising Committee. The Project is registered with and certified under the Voluntary Carbon Standard, is externally audited, demonstrates a contribution to human development through the donations made by the project to the Lanco Institute of General Humanitarian Trust; and is not where permanence of emission reductions are at risk,” says Beatty. Perenia estimated the carbon emissions generated for the event. “We have estimated 6,500 tonnes of carbon dioxide emissions and all of them have been bought and retired already. The figures have been over estimated to be on the safe side. This is to be sure that after the event when the final emission figures come in we do not fall

short,” says Tiffancy Thomson, Regional Manager of Perenia, who was involved in the project. “In our calculations we have assumed that all the participants fly in and all of them drive in their vehicles from their point of stay to the Congress. We know that this is not the case but this will give us a figure that will be above what is finally calculated,” she says. “It also shows the commitment that Baker & McKenzie has in delivering with the Organising Committee of WPC a carbon-offset Congress. We are hopefully doing something good for the environment while we also do something good for the community.” (Interviewed By Sindhu Nair) andrew.beatty@bakermckenzie.com tiffany.thomson@pereniacarbon.com


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Exploration to yield results in Block 4N Wintershall had a huge presence at the 20 WPC but that is nothing new if you look at the Company’s history in Qatar, with associations going as far back as 1973.

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ember of the Wintershall Board of Executive Directors with responsibility for Exploration and Production, Martin Bachmann said: “In Qatar, we have had production before but that has stopped and we are now exploring a number of wells. We have already spent over $200 million in exploration and now we hope to come to a development in one of our current exploration blocks in Block 4N. We are testing and are preparing to drill early next year.” But there are no more details available on this as QP and Wintershall are currently evaluating the amount that can be produced here. So is there more oil and gas yet to be discovered in the North field? Bachmann is cautious. “There is a saying that you will find more oil and gas where there is oil and gas. So there is a scope for that.” But the main aim for Wintershall at the WPC was to present to the world their current largest research project – a fungus that enhances oil recovery. This project focuses on a gelatin-like fungus (schizophyllum commune) which generates a biopolymer when it consumes oxygen and starch. The biopolymer can be applied as an entirely organic thickening agent, thus opening up new prospects for enhanced oil recovery (EOR). The recovery rate of a deposit can be increased significantly with this method – moreover, it can be done in an environmentally friendly way, for the biopolymer is 100% biologically degradable. “In an oil field, you have oil which flows slowly in comparison with water. What happens when you extract oil is that water comes out faster which make it difficult to extract all the oil. With the help of this polymer, the water is thickened thus pushing the oil before it. Thus you get much more oil out than a well without such agents,”

Bachmann explains. The polymer can be produced artificially but what Wintershall is trying to do is to produce the polymer from a fungus, thus making the project entirely environmental-friendly. “This has not been produced commercially yet. A plant to build the polymer is being built in Germany as it has to be massproduced and next year it will be pilottested in our own oil field in Bockstedt in northern Germany.” “There has been a lot of interest from oil companies and discussions are in progress,” he said, “But it would take at least a couple of years before this will be available commercially.” Presence in the region Wintershall’s presence in the region is quite large. “Our biggest presence is in Libya. Before suspending its operations in February due to the unrest in Libya, Wintershall was producing 100,000 barrels of oil per day. In October, we have restarted our oil production we went up to 20,000 bpd very fast and we are higher than that. But we are trying to stabilise and maintain production at this level,” he said. “We have exploration licenses in Qatar and the most prominent one is in block 4 which is right next to the north field, in which we drilled a well last year. In this new site, we will drill a well next year. We also have two wells to drill in block 3. We have been here since 1973.” Wintershall also has a prominent presence in Abu Dhabi with an MOU signed recently with ADNOC for the development of the gas field. “We are looking to expand operations across the region, in Oman, the Emirates and Qatar. We now want to get more actively involved in long-term upstream projects in the Gulf. The combination of modern exploration techniques and innovative

Martin Bachmann, Member of the Wintershall Board of Executive Directors

production methods for enhanced recovery from increasingly complex deposits – this is the strategy that Wintershall has applied successfully worldwide,” he said. More to expect Wintershall’s strategy is to develop the more difficult oil fields. “The easy ones can be developed by the national oil companies but it is the difficult ones that we need to concentrate on. We are looking for opportunities to work on EOR, sour gas and tight gas. We are experts in all the difficult hydro carbons and that is what we will concentrate in. We know the region well and this is where we will concentrate. “For the coming years, what is quite clear is that even with a strong growth in the renewable energy, oil and gas will still remain the most predominant forms of energy for some more years to come. We think that gas is going to be one of the key energy sources for clean and reliable energy. Even with the most aggressive substitution of primary energy sources with renewables, we are convinced that we will need more oil and gas than we need today.” (Interviewed by Sindhu Nair)

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For the cause of Renewables Gus Schellekens, a Director in PriceWaterhouse Cooper's (PwC), Sustainability and Climate Change Team, is helping to drive the business case for greater adoption of sustainability principles, and promotes the use of renewable energy.

By Sindhu N a i r

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t the 20th WPC his effort was particularly tenuous considering the cause he was supporting was pitted against the long-standing agenda of oil and gas giants represented at the Congress. While renewable energy was of course one of the topics of discussion at the Congress, the consensus was that fossil fuels will continue to be the main source of energy for a considerable time. Which begs the question, once again, why renewable energy, which is available in abundance and free for use , is not being harnessed universally as a viable and important source of energy? A question that Schellekens has some answers for. “The are several challenges but the main one is how you view the investment profile of renewable energy projects. They need to compete with conventional projects for investments and here the full story for renewables is often not understood. With no real ongoing fuel costs, the investment profile for renewable energy is mainly front-loaded, and then there is a tail which decreases over time, which is just the operating and maintenance cost. The total cost in the long run is actually much less for these projects when compared to conventional energy projects which have smaller initial capital cost with quite a significant tail for maintenance,� says Schellekens. So how then will the case of renewable energy be attractive for an investor? “At the end of the day, all energy project investment decisions are driven by the economics of the project. Many of the decisions are made by credit committees and internal standards that review project opportunities. And the challenge is that these projects need to compete against conventional projects. If I have a

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gus Schellekens, Director Sustainability and Climate Change Team, PriceWaterhouse Coopers (PwC)

renewable project case with an estimated rate of return at 7% over the life of the project and a conventional energy project business case with a return of 15%, it is easy to guess which they will opt for. "There are however a number of ways to help address this and level the playing field. For example, by looking to reduce the costs of the renewable energy technologies being used, addressing particular areas where

there is a higher perceived risk for the renewable option, making sure that there are similar secure and long term power purchase agreements in place for the project offtake, and taking advantage of some form of targeted government intervention, can all help to raise the rate of return or reduce the risk profile. "Finally, by encouraging more investors to become involved in renewable energy,


o & Gt aOgv etrhvi si e w The Renewables Contribution Installed renewable power capacity has grown rapidly over the past decade around the world. Driven by economic development and associated increasing demand for energy, 2009 saw over QR546 BILLION ($150 billion) invested in renewables. This increased to over QR 873.5 BILLION ($240 billion) in 2010 with the US and Europe adding more renewable than conventional power capacity. What is also encouraging is that this growth is not limited to developed countries. As of 2009, China had the world’s largest renewable capacity installation, contributing 37GW to the global total of nearly 80GW added renewable capacity that year. Turkey, Brazil, India and Argentina were also in the top five global producers of wind energy, solar hot water/heat capacity additions or biodiesel production. This has helped countries in their attempts to address both climate change and domestic energy security and supply issues, as well as create new jobs in a period of high unemployment.

the sector can get the much-needed boost,” he says In Europe, for example, there is a complete decrease in the building of new coalfired projects, since it is not going to be economical, going forward, given the tax measures that the EU is putting in place. Schellekens also suggests that oil majors too play a role in the renewable sector. “While their core business remains focused on the developmet of oil and gas resources, oil giants can open a small area of activity in renewables, especially for their internal needs. Although these activities might not be large when compared to their present operations, there are opportunities for example to support the electricity needs of existing operations with freely available renewable energy rather than use existing production. One challenge will be that this technology development will never be viewed as a part of the core business and as a result it may receive varying support. But the learnings from developing these in-house renewable energy projects, the increase in global installed capacity for a particular technology, the resulting operational track record of the individual renewable technologies is critical to help support a longer term transition to greater use of renewables," he says. The role and involvement of governments in supporting the development of the industry does need to be carefully considered. In countries like Italy, Spain, and France where there have initially been over generous with incentives, there is the danger of creating a boom with far too many projects being initiated many of which will be stopped when money runs out damaging the long-term development of the sector, says Schellekens. The country which has managed this best, according to Schellekens, is Germany, which has taken a measured approach, consulting frequently with key officials and the industry.

“Governments that consult with industry are in a better position. Renewables represents a relatively new industry for both government and industry, being too stringent will not allow any development to take place, being too generous can create a boom. Managing all of these complexities is one of the major challenges for governments in this emerging sector.”

"oil giants can open a small area of activity in renewables, especially for their internal needs"

Qatar and its potential According to Schellekens, the Middle East region as a whole has huge potential for the renewable sector. Solar and wind technology are obvious choices for the region, he says. “Technology maturity, resource availability and the level of government support along with investments determine whether the project moves forward. “The first step for the government would be to start collecting accurate data from different ground level stations for wind and solar intensity which can then form the basis for planning. Without reliable data it is very uncertain in terms of what is actually possible for also the companies to decide what is appropriate. "Most of the countries rely on satellite

data which are not that accurate. They can be out by 10-20%, which then doesn’t work because the project is designed not according to the conditions. In some parts of the world, the use of inaccurate data has meant that a project had to be redeveloped or not delivered. In addition to reliable data and the right legislative conditions being in place, other pre-requisites that have been identified by studies include a robust legal framework, an open investment climate underpinned by a liberalised power market, and, where there is little or no existing project development, a period of government subsidies or support to help kick start the industry. The key requirement however, is also ensuring that the right technology is chosen, one that is most appropriate for the location to ensure project success.” It is also important to note that just one project will, in itself, will not create a renewable energy industry, there also has to be a more comprehensive support to fill in some of the other gaps. “Many governments have realised that there is a larger strategic opportunity for a country to promote a renewable programme. And that could be in the form of creating the right conditions for the projects to develop. If substantial enough, these projects may be able to support the development of a local industry that manufactures, supplies and services the components required. The projects may also support location specific research that look to further hone aspects of the technologies appropriate to that country or region. To achieve such outcomes, there is a need to plan this sequence of steps to ensure that the industry receives the support it needs. And it is those countries that follow such a planned approach that create a flourishing environment for a new industry.” PwC and Schellekens have been involved internationally for many years with many stages of this roadmap process, guiding large corporations and governments who are looking to develop a renewable energy portfolio or supportive business environment respectively. Schellekens consulting career in particular focusses on managing and delivering large programmes of work with private and public sector organisations internationally. For the past three years, he has been supporting the development of large government and private sector solar programmes and projects. His current clients include international Governments, renewable energy project developers, NGOs, academia and technology companies

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WETEX 2012 attracts attention HE Saeed Mohammad Al-Tayer, Vice Chairman of the Dubai Supreme Council of Energy (SCE), Managing Director and CEO of the Dubai Electricity and Water Authority (DEWA) and Chairman of the WETEX 2012 Organising Committee, was at the 20th WPC heading a delegation that included SCE Secretary-General Nejib Zaafrani and WETEX Organising Committee members Jassim Rajab and Dawood Al-Shezawi. Qatar Today caught up with Al-Tayer to find out more about WETEX 2012.

By e z dhaR i b ra h i m What are the arrangements in place for WETEX 2012? This will be the 14th edition of WETEX, and it will be held at the Dubai World Trade Centre, over an area of 33,000 sq m, from March 13-15, 2012. So far we have 24 official sponsors - five strategic partners and 10 platinum and nine gold sponsors - as well as participating government bodies. We are expecting more than 1,000 national, regional and international companies to attend from over 40 countries in Europe, Asia, the Middle East, the Far East, America and Australia, and more than 15,000 visitors including high-level government officials, industry experts, consultants and top corporate executives. What is the purpose of the exhibition? The Dubai Electricity and Water Authority has successfully organised the exhibition for 13 years under the patronage of HH Sheikh Hamdan bin Rashed Al Maktoum, the UAE Finance Minister, Deputy Ruler of Dubai and Chairman of DEWA, and under the auspices of the SCE; and every year there is an increase in the number of local, Arab and international participants. Over the three days of the exhibition, leading experts and specialists from various scientific, engineering and technology backgrounds come together to exchange views with government departments and decision-makers to keep up with the latest developments in the areas of energy, water and the environment and thus achieve coherence among

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the different bodies specialising in the areas covered by the exhibition. What is new for the 14th edition of the exhibition? The exhibition has additional features every year, in line with developments in the energy industry, environmental protection and water resource management, but the main thing about WETEX 2012 is the widescale participation of oil and gas companies for the first time in the exhibition’s history. At the 14th edition we will have global companies taking part, and for the first time we will have representatives from vital areas of economic activity that come under the oil and gas technology sector, starting from drilling and production companies as well as associated industries. This implies that the exhibition has widened in scope and taken on broader dimensions. What programmes will the exhibition be focusing on? The exhibition will be concentrating on new technologies in fossil fuels, nuclear energy, renewable forms of energy, energy production and conservation, and smart networks, as well as water resource management through desalination and water treatment. Sustainability is one of the exhibition’s strategic goals. Renewable energy will also get a lion’s share of attention at the exhibition. Who are going to be the main speakers? We at WETEX like to host discussions on

HE Saeed Mohammad Al-Tayer, Vice Chairman of the Dubai Supreme Council of Energy

various energy topics and garner a lot of scientific thinking, research and expert forecasts in the energy field that have useful practical applications in the exhibition’s areas of interest. The aim is to provide greater opportunities for communication between the operational sector and users by presenting the latest technology and technical solutions that can help save energy and water and promote the concept of environmentfriendly products and services. What is the Dubai Integrated Energy Strategy for 2030, and what were the main initiatives carried out in 2011? The aim of the strategy is to secure guar-


o & Gt aOgv etrhvi si e w anteed energy supplies for the Emirate of Dubai and to plan pro-actively towards that goal; to set out the rights and duties of energy suppliers and to boost cost effectiveness and the quality of services provided in supplying energy and reducing consumption, with the emphasis on environmental sustainability. The SCE drew up the strategy in order to diversify energy sources and support sustainable development by setting quotas for electricity generation, using different forms of energy from diverse sources. In the past we relied only on gas and diesel, but now we will have four sources of energy: gas (71%), clean bituminous coal and nuclear power (12% each) and solar power (5%). What are the prospects for nuclear power generation? Isn't it risky? There are international standards that Dubai complies with, and a regulatory authority has been set up to be responsible for overseeing and licensing the nuclear energy sector in accordance with these standards. You have conducted studies on implementing the energy strategy and finding ways to reduce carbon emissions by pro-

ducing energy under the independent producer system. What are the results of this research? In December 2010 the SCE published the strategy, which aims to establish the Emirate of Dubai as a model for the world in terms of energy security and efficiency, and to ensure continuity of supply. The strategy covers a number of core issues and initiatives to reduce carbon emissions, among them increasing the efficiency of power stations and both transmission and distribution networks, and producing energy from turbines. Furthermore, on the instructions of SCE Chairman HH Sheikh Ahmed bin Saeed Al Maktoum, the Dubai Carbon Centre of Excellence (DCCE) was set up to work on reducing carbon emissions in strategic partnership with the United Nations Development Programme. The Centre will focus on a number of environmental initiatives to halt and reverse the rising rate of emissions by changing the current way of doing things and seeking to apply best international practice in the area of environment-friendly initiatives. It will conduct carbon audits to determine carbon assets and launch a set of projects to limit carbon gas emissions within the framework of the UN’s Clean De-

velopment Mechanism, defined under the terms of the Kyoto Protocol. This mechanism works on an off-setting principle that allows industrial countries with emissionreduction commitments under the Protocol to reduce emissions by investing in emission-reduction projects in developing countries, giving these countries an incentive [to develop cleanly] by turning their carbon reserves into tradeable assets. What is the purpose of showcasing the exhibition at the 20th World Petroleum Congress? The purpose is to publicise and promote WETEX as one of the most important water, energy and environment exhibitions in the region, since the WPC represents a major opportunity to exchange experience and expertise and find out about the latest developments in technology and best practice. We can also find out about new developments in the global energy market, especially in oil and gas, and meet key participants in the Congress. We are interested in picking up the best technical processes and following the very best practices in order to help us increase efficiency and productivity and protect the environment

ExxonMobil Receives Excellence Awards

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n improved method of directly detecting oil and gas accumulations under thousands of feet of water and rock and an innovative and a highly successful awareness campaign to increase the use of mosquito bed nets in malariaendemic parts of Africa earned ExxonMobil Corporation two Excellence Awards at the WPC. The awards were presented by HE Abdullah bin Hamad Al-Attiyah, Deputy Prime Minister and Chairman of the Administrative Control and Transparency Authority, and accepted by Rex W. Tillerson, Chairman and Chief Executive Officer of ExxonMobil Corporation.The first award was presented for the Remote Reservoir Resistivity Mapping (R3M) technology developed by ExxonMobil Upstream Research Company. Unlike seismic detection technology that uses sound waves, R3M technology utilizes controlled-source electromagnetic energy to detect differences in the resistivity of various layers below the seabed. This allows R3M to use smaller electromagnetic sources while maintaining optimum per-

HE ABDULLAH BIN HAMAD AL-ATTIYAH DEPUTY PRIME MINISTER AND CHAIRMAN OF THE ADMINISTRATIVE CONTROL AND TRANSPARANCY AUTHORITY PRESENTING REX W. TILLSON , CHAIRMAN AND CEO OF EXXONMOBIL CORPORATION

formance. Detailed safety studies have been conducted and no effects on marine life have been observed. The award in Social Responsibility was presented for the NightWatch programme, which was developed by Malaria No More in collaboration with ExxonMobil and the Lalela Project. Through the programme, Africa’s most popular celebrity voices remind communities about bed net use, broadcasting on TV, radio and via text message at 9pm when mosquitoes

take flight. “ExxonMobil invests more than $1 billion a year on research and development to help find more energy resources and to find the most beneficial use of that energy to support economic growth and the environment,” said Sara Ortwein, President of ExxonMobil Upstream Research Company. “R3M is an example where our investment in people and technology that will continue to provide benefits for many decades.”

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Senergy see collaboration as key component Senergy is a diversified knowledge services company which provides intellectual assets to oil and gas companies. Founded in Scotland in 2005, and gaining its core intellectual property from the oil and gas industry in the North Sea, its globalisation strategy brought them to this region about three years ago and has since crept into the Qatari market.

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timisation around the sub-surface environments – geosciences, geology and geophysics – and the drilling environment,” he continues. “We’ve majored on being excellent in the arena of optimising capex – in other words making projects cheaper – and we do that by either managing the process or optimising the reservoir productivity. “We’re the leading petro-physical analysis software provider in the market place now. We’ve developed risk management systems which enable personnel to think and behave like the very best project managers, technical engineers and geoscientists out there."

atar is a relatively new marketplace for Senergy,” said CEO, James McCallum. “Principally because the energy market here is dominated by very large oil and gas companies working with Qatari joint-venture partners. We are however starting to do some very detailed and technical work with the likes of QP (Qatar Petroleum) in terms of their ambitions related to petroleum engineering, reservoir engineering and GSI. “Collaboration between industry and academia is a space which I am very committed to. We just spent a lot of time in a forum talking about the development of young Qataris, in terms of the Qatarisation of the industry and this is a space we are getting involved in here.” Middle East Region McCallum saw the Middle East as a core area of business and has developed a very strong client base around the gulf region, in countries such as Oman, Iraq, Kurdistan and Tajikistan. When Senergy arrived in the Middle East three years ago, international business provided for 5% of their revenue. Now it’s 35%. “Our commitment to the region is very strong,” continues McCallum. “I see this gradually being our single biggest revenue area and as an intellectual hub for our ambitions around the world.” The firm focuses on adding value and minimizing risk for clients through the application of commercial and technical innovation. Through a network of global offices in the UK, Norway, the Middle East, Australia, South East Asia and the US, Senergy offers expertise in geosciences, reservoir engineering, geo-hazard assessment, marine site surveys, rig positioning, wells

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James McCallum CEO, SENERGY

engineering and project management. It has the flexibility to meet every need from reservoir evaluation through to full field development and drilling. “We focus with our clients on capex op-

Collaboration McCallum maintains that collaboration between the majors, the NOCs and the service sector will really drive the industry forward which will promote better opportunities to deliver technical excellence in the future and that is what his company thrives on. “I’m very bullish about the future,” he proclaims. “We’ve come to the end of phase one. We have access to around 700 technical specialists around the world – 500 of whom are staff – we’ve grown by 45% year-onyear in terms on compound annual growth rate. We have got to the point where we’re as big as we can be as entirely privately held company, so we’re about to start phase two where we will bring on board an aligned financial partner or partners who will give us greater horse power to continue to develop. We will almost certainly double or triple our size during the next five years and will undoubtedly be looking at where we access capital to continue that growth story, which will probably mean a floatation down the line.” (Interviewed by Rory Coen)


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E&Y predict Rapid Growth in Qatar Firas Qoussous, Managing Partner in Ernst & Young Qatar was the Sector Leader of Banking & Capital Markets in MENA. He discusses their presence in Qatar and the future of the oil and gas sector.

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ccording to our new quarterly Rapid Growth Markets Forecast (RGMF), Qatar is one of the world’s 25 rapid growth markets. The markets were selected based on the size of the economy and population, strategic importance for business and proven strong growth and future potential. Qatar had the highest nominal GDP ($) per capita at PPP in 2010 among the 25 RGMs and has also been the fastest growing economy over the last decade, with an average growth of 13%.” Oil & Gas sector Given that the MENA region has some of the largest oil and gas reserves in the world, Qatar’s oil and gas sector has grown significantly. “Our global Oil & Gas practice consists of a network of more than 9,200 professionals with extensive experience working in the oil and gas industry,” he explains. “Our experienced and dedicated global oil & gas center resources serve our oil and gas clients a number of ways. Anticipating market trends and identifying implications and the services that companies in the oil and gas industry need is one of the most important services we offer. As a global organisation with a borderless approach, we have unrestricted access to our global resources, enabling us to allocate the right people in the right places at the right time to serve our clients. We have also has been developing and delivering oil and gas specific training to our staff to provide the continuous knowledge necessary to deliver high-quality services to clients.” Qatar has the third largest reserves of natural gas in the world and its per capita GDP is the highest in the world. What is Qatar’s role in the global story?

“The country is pursuing a number of world-scale gas-to-liquid conversion projects for the production of synthetic fuels and base oil stocks,” says Qoussous. “The projects are all integrated with offshore development to supply the large amounts of gas needed for these projects. We expect Qatar to not only be the world’s largest gas producer but also a leader in downstream technology in the future. Its presence in the global energy scene will continue to grow at a rapid pace.” Challenges facing Qatar “Globally, market volatility, pricing pressure and variations in market have been the biggest challenges in the oil and gas sector. As Qatar is a supplier of oil and gas, Qatar faces different challenges such as human capital deficits. There is a shortage of personnel with the necessary industry skills and globally there has increased competition for talent. Given the large budgets that the Government supplies to projects, Qatar is able to attract and retain international talent. However, one of the challenges facing Qatar as outlined in the National Vision is managing the size and the quality of the expatriate labor force. Developing a pipeline of local talent needs to be addressed for the future to overcome this challenge.” “Being the world’s largest exporter of liquefied natural gas (LNG), Qatar expects to reach approx,” he explains. “QR560 billion ($157 billion) total income target when all planned LNG production lines are completed. It will continue to play an influential role in the global energy sector, keeping gas prices stable.” Prospects of GTL in the future Gas to liquids (GTL) production is continuing to grow in stature and in investments.

Firas Qoussous Managing Partner, Ernst & Young Qatar

“After Qatar Airways conducted the world’s first commercial passenger flight using a mixture of kerosene and synthetic GTL fuel,” says Qoussous, “the viability of the new fuel has been attracting buyers. It provides oil companies with strategic alternatives to monetise natural gas resources, reduces flaring, provides a solution to environmental pollution, diversifies their market risks, transfers skills and creates employment opportunities. Qatar is already considered the GTL capital of the world and the market already exists for GTL fuel. Companies in Qatar are implementing projects based on 50 years of experience and are already producing the highest quality of GTL fuel. There is a increasingly large demand for GTL that will enable the development of petrochemical complexes in the future.” (Interviewed by Rory Coen)

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spreading their wings 40

realty check

QP to relocate to Barwa Financial District

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E Dr Mohammed bin Saleh Al-Sada, Minister of Energy , Industry and Chairman and Managing Director of Qatar Petroleum, and Hitmi Ali Khalifa Al-Hitmi, Chairman of Barwa Real Estate Company, signed a sales completion agreement for the Barwa Financial District. The ceremony was held on December 21, at the Sheraton Doha Hotel in the presence of senior officials from both companies as well as media representatives. Upon completion of the project, Qatar Petroleum is expected to relocate its headquarters and various business entities to the Barwa Financial District. HE Dr Al-Sada expressed his delight at the completion of the sales agreement for the Barwa Financial District, a project which reflects Qatari tradition, progress, and future aspirations, providing superior services for all. Al-Hitmi said: “We are proud to partner with Qatar Petroleum on the Barwa Financial District project. We are keen on working hard to provide the best real estate ser-

Msheireb celebrates National Day Msheireb Properties organised celebratory activities to mark Qatar National Day for its employees and the construction workers involved in the development of its flagship project Msheireb Downtown Doha. Msheireb Properties is creating a spirit of togetherness in Qatar by inviting the local community to take part in two social media competitions themed on Qatari heritage.

32 Qatar Today

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vices possible and thereby fulfil the future aspirations of Qatar Petroleum." Barwa is expected to complete the project under existing construction and project management arrangements. The initial value of the project is estimated at approximately QR11 billion. Once finalised, QP is expected to commence occupation of the development by 2015. In March 2011, Barwa Real Estate Company sealed a sales framework agreement with QP. Accordingly, Barwa Financial District Company, a subsidiary of Barwa Real Estate Company, was mandated to develop the Barwa Financial District, a unique project from both a design and architectural perspective. Covering an area of 696,000 square metres, the Barwa Financial District is expected to house the headquarters of QP, which will own and operate the development. The Barwa Financial District has won local, regional and international awards, including best design for an office project in Qatar, best design for an office project in the Arab region, and best project design

for international administration offices in the region through Kohler - Germany. The project has also won the Diamond Award for exceptional compliance with management quality from Geneva and it has already achieved 12 million man hours with no lost-time injury. Inspired by elements of local Qatari culture and heritage, the Barwa Financial District is expected to meet the needs of local and international businesses in Doha, through its Grade A office space, solid infrastructure, state-of-the-art technology, and parking facilities for over 5,000 vehicles. The Barwa Financial District consists of 10 towers, which have an average of 21 to 36 floors and occupy a prominent position in Doha’s West Bay area. Its crowning glory is its 50-storey high-rise tower, which is well on its way to becoming one of Doha’s landmarks as well as an icon of the city’s skyline. The Barwa Financial District is also expected to be among the first to be certified as a sustainably designed development project in the Middle East.



the essence of jet setting 48

bank notes

Deutsche Bank announces appointments

D

eutsche Bank announced the appointment of Salah Jaidah as Chairman of Islamic Finance and Ibrahim Qasim as Head of Islamic Finance

Structuring. Ashok Aram, CEO of Deutsche Bank for the Middle East & North Africa said: “Deutsche Bank is committed to the development of the Islamic Finance industry and will continue expanding its Shari’a compliant product offerings and solutions. Salah’s appointment will be instrumental in solidifying Deutsche Bank’s position as a leader in Islamic Finance.” Jaidah is a Board member of a number of Islamic Finance Institutions in the Middle East and South East Asia and will continue to lead Deutsche Bank¥s operations in Qa-

tar as Chief Country Officer and Vice Chairman for the MENA region. Ashok Aram added: “Ibrahim has contributed significantly to the formation and development of Deutsche Bank’s MENA structuring and Islamic Finance platform over the last five years and brings a wealth of hands-on execution experience across a wide array of Shari’a compliant products and asset classes. Ibrahim will elevate our focus and drive the commitment to innovate and execute key products, solutions and initiatives in the Islamic Finance space.” Ibrahim has over nine years of industry experience in structuring and executing transactions in the global capital markets ranging from Sukuk and structured financing solutions to Shari’a compliant investment, risk and liability management products.

SC appoints V. Shankar to Board (IMG)

34 Qatar Today

january 2012

The annual growth rate of bank credit to the private sector in Qatar has picked up strongly in 2011. It has climbed steadily from 4.3% in January to reach a peak of 18.8% in August, since it has levelled off. Total bank credit to the private sector reached QR221bn at the end of October 2011, representing 61% of total domestic credit. QNB Capital notes that the growth rate remains broadly in line with the average rate of 15% in 2009-10. Credit growth provides an indication of activity in the economy. The private sector is regarded as key to meeting the employment targets and economic diversification goals envisaged in Qatar’s National Vision 2030 and the National Development Strategy 2011-16.

Private sector credit in Qatar

T

he Board of Directors of Standard Chartered PLC (SC) announced that V. Shankar was appointed Group Executive Director of the Company with effect from January 1, 2012. Shankar (53), a Singaporean, will continue to be based in Dubai, where he moved in May 2010 to become CEO, Europe, Middle East, Africa and Americas. He joined Standard Chartered in 2001 and was appointed to the Group Management Committee in September 2007. He is also a Director of Standard Chartered Bank and Chairman of Principal Finance and the Standard Chartered Private Bank. Prior to his current position, he was Group Head of Origination and Client Coverage and served as Group Head of Corporate Finance. Before joining Standard Chartered, Shankar worked for Bank of America in Asia and the USA for 19 years. Sir John Peace, Chairman of Standard

QNB Capital: Private sector borrowing picks up

T

Chartered PLC, said: “Shankar will be an excellent addition to the Board. He is one of our most experienced bankers who will carry great respect in this role. He remains the most senior international banking executive ever to be based in the Middle East, which is a strong statement of our commitment to the region and ensures that our senior leaders are positioned across our key markets.”

he recovery in private sector credit has been stronger in Qatar than in all the other GCC countries. For example, in the year to October 2011, private sector credit expanded by 9.8% in Saudi Arabia and by 2.4% in Kuwait. While in the year to September 2011, it grew by 9.2% in Bahrain and by 8.9% in Oman. Credit growth in the UAE was just 1.3% in the year to June 2011. The real estate is the most important component of credit to the private sector. Its share has risen to 22% of total domestic credit from 14% in October 2010. The next largest sector is consumption, or retail lending, which grew at 12.7% in the year to October 2011, but its share of total credit fell from 19% to 17% over this period. The services and industry sectors have also expanded at rates of 6.2% and 2.8% respectively in the year to October 2011.



BANK NOTES

What does a good retirement plan look like? Choosing a suitable retirement plan is one of the most important decisions we make.

Everyone

wants security and to be able to enjoy their hard-earned wealth in retirement. Until fairly recently, retirement provision came in the form of a company-sponsored pension plan, one in which the employer would pay the employee a proportion of his or her salary multiplied by the number of years worked. This arrangement worked both ways – companies offered some guarantee of the size of a worker’s pension with the provison that he or she remained with the company. In essence, this meant that the sponsoring company bore any investment risk. If the pension pot was too small at retirement to meet pension obligations, the company had to make up any shortfall – in theory, at least. Today, few if any employers offer these ‘defined benefit’ pensions. Instead, the majority of schemes fall into the ‘defined contribution’ category. This is where the worker is entitled only to the pension assets that have been accrued; there is no pledge with regard to the magnitude of the pension come retirement. As such, employers no longer take on investment risk, a burden that falls entirely on the employee. Of course, not everyone has a company-sponsored pension. Either way, we all need to save for our old age and so individuals have had to become better educated about the world of investments especially in the light of the high levels of market volatility seen in financial markets of late. So, what kind of assets should a good retirement plan hold? The answer, alas, is not straightforward as the ‘ideal’ pension

plan must take into account a number of factors: the maturity of the pension (i.e. how close the worker is to his or her retirement date); the risk profile of the individual; and the prevailing state of markets, as well as the outlook for financial assets. With respect to maturity, pensions have traditionally been skewed, in their early stages, towards higher-return (but also higher-risk) assets, such as equities. Despite recent volatility, equities remain a good medium- to-long-term investment. As a pension plan matures, however, and pension obligations become crystallised, pension schemes tend to favour steadier, less risky investments, such as bonds. For the individual saver who is not part of an employer-sponsored scheme, the attitude to risk is also a key factor. Some investors are more risk averse, in which case the savings portfolio should have a stronger bias to lower-risk assets, which provide greater stability and predictability of returns. Given the high levels of inflation we have seen of late, inflation-linked bonds would offer insurance against rising prices. Cost is also a consideration, as high fees eat into the value of the pension pot over time. Indextracker funds represent low-cost investment vehicles that are tailored for different risk levels. Crucially, any good retirement plan must have a degree of diversification. In today’s volatile markets, having a broad base of assets is essential. In this light, a pension portfolio that is spread across equities (both developed and emerging market), bonds, property and cash, offers the potential for returns while helping to minimise the risk against severe markets falls in one or more of these asset classes

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By Javed Hassan Akhtar Senior Sales Manager Wealth Management, HSBC

36 Qatar Today

january 2012



BANK BANK NOTES NOTES

Euro zone crisis to dominate investor mood What the markets hate more than anything is uncertainty and Europe’s member states have delivered nothing but uncertainty to the markets in 2011. There have been many twists and turns in the euro crisis, with the most recent summit in Brussels perhaps the strongest sign yet of an attempt to forge closer economic ties needed to save the euro zone from further crisis. However, some think that even if tough measures are adopted, it will be some time before confidence returns to the European markets.

Throughout

2011, investors watched as all European asset classes fell sharply and individual economies in Europe suffered from the continuing fall in confidence associated with the debt crisis. Investor appetite has dwindled as fears of a complete break-up of the zone and its currency refuse to go away. Analysts are equally pessimistic. Baring Asset Management’s most recent survey shows that concern over the euro zone debt crisis has significantly increased since the last quarterly survey with over half (58%) of investment professionals negative towards European equities, compared with up 32% in the last survey. Fears of a ‘double dip’ recession have also increased since the last survey, with 28% citing this as one of the biggest global challenges for the next six months, compared with nearly half this number in the previous quarter (15%). As well as this, the prospect of a second banking crisis is now cited by nearly two thirds (61%) of investment professionals as a prominent challenge

38 Qatar Today

january 2012

facing investors, compared with 41% questioned in the summer. J.P. Morgan Asset Management issued a similar warning as to what markets and investors may expect from Europe in 2012. Its analysts are convinced that the euro zone debt crisis will continue throughout the coming year, adding that even were a solution to be found soon, so much economic damage has been done already it means all the countries in Europe will suffer lower growth because of it. But as we all know by now, Europe’s woes won’t remain within its boundaries. However hard other countries try to distance themselves, the reality of a global market place is that contagion can and does cross borders and continents. Take just two markets, the UK and China, to illustrate the point. In the UK, Chancellor George Osborne admitted that his latest plans for the country’s economic recovery could be blown out of the water if an effective solution to the euro zone sovereign debt crisis is not agreed and put in place. A solution, some say, has been severely hampered by Britain’s veto of changes to the Lisbon treaty required to usher through tough economic measures on the euro zone.


BANK NOTES Nor are emerging markets immune. Europe’s debt crisis is also threatening to take the steam out of China’s roaring export industry. Already growth forecasts have been pared down as Chinese manufacturers and exporters feel the pinch of market shrinkage all over Europe. Whereas summits continue to be called by EU mandarins to devise rescue strategies, nothing like the required level of confidence has been restored within the global financial sector. The ratings agency, S&P, has issued a warning that it’s looking to downgrade the credit ratings of large euro zone banks alongside its already threatened mass downgrade of 17 euro zone countries. The most pressing task facing Europe’s banks is the disposal of a pool of toxic assets amounting to a larger sum than the entire British economy. Deloitte’s puts the combined total at Euro 1.5 trillion (approximately QR7.1 trillion). It is only when this sum has been dealt with that the banks may begin to return to profitability and be fully compliant with the recently

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updated capital rules. Many feel that the euro at some point will begin to reflect more sharply the deteriorating fundamentals of the euro zone. The main beneficiary of all of this uncertainty appears to be the United States, where we have seen US stocks beginning to outperform relative to Europe. The US dollar has also risen, confirming the fact it is regaining its safe haven status. Whether euro land and its 10-year-old currency can possibly survive is a matter of divided opinion – for that is all we have right now. And for want of clear direction, market watchers must be content with picking over these views when exercising their own judgement as to the likely outcome. However, when you hear the Governor of the Bank of England urging the UK’s banking sector to lay down a contingency plan for the dismantling of the euro and the re-introduction of yesterday’s money – the mark, the franc, the drachma – perhaps that’s telling us all something

BY David Russell Senior Executive Officer, Guardian Wealth Management David Russell joined Guardian Wealth Management in Geneva, helping from inception to establish an office which is now regarded as one of the leading providers of independent financial advice to the employees of many international organisations. With the expansion of the company into the Middle East, David was elected to take over the reins as the Senior Executive Officer for Qatar. He brings a wealth of experience to the Qatar office as well as a sound legal background which stands him in very good stead in ensuring the team bring the best in financial advice to the many expatriate clients.


quick, effective, productive

70

arab snippets Saudi Arabia

Public transport overhaul

L

osing a massive SR81 billion (approximately QR80 billion) annually because of the growing number of road accidents, the Kingdom has now announced an ambitious plan to overhaul the transport system in six major Saudi cities. “The plan in the first phase aims to set up a comprehensive public transport system

in these cities that is more reliable and efficient,” said Jabara Al-Seraisry, Minister of Transport. Al-Seraisry, who also disclosed a plan to establish separate transport regulatory authorities in the cities, said an inter-ministerial panel would work out the strategy to fund the new transport projects in these huge cities including Riyadh, Jeddah and Dammam.

HIGHLIgHt

Positive outlook for job market A report issued by Antal International says the strength of GGC job market amid widening fears of a second global recession. According to the survey, Qatar topped the GCC states and ranked third in the world with 77% of companies currently hiring, followed by Saudi Arabia which ranked sixth globally with 73% of companies hiring. The data in the report also showed that 62% of the companies working in GCC were hiring in November, up from 46% in March, which places the GCC well above the global average rate of 56%. Moreover, Antal found that job cuts also fell this quarter to 13% for GCC and 11% for UAE, giving them a lower firing rate than the global average of 16%. Another study by another agency, Gulf Recruitment Group, reiterated the trend, though it speaks specifically about the UAE. The group said

The Syrian debacle QATAR, Doha : Arab League secretary general Nabil Al-Arabi (L), his deputy Ahmed bin Hilly (R) and Qatari Prime Minister and Foreign Minister Sheikh Hamad bin Jassem Al-Thani (C) attend an Arab League ministerial committee meeting to discuss the Syrian unrest in Doha on December 17, 2011. The Arab League threatened to take Syria to the UN for procrastinating over its deadly crackdown on dissent, as an Iraqi mediator reported "positive” talks aimed at defusing the crisis. AFP PHOTO/STR

although 93% of companies would recruit more next year, during the first quarter, they would hire more cautiously.

Palestine

Ban Ki-moon concerned by new settlements

U

N Secretary-General Ban Ki-moon said he was 'deeply concerned' by the Israeli government’s approval of new settlements in the occupied West Bank, near Bethlehem. “The secretary-general is deeply concerned about today’s reports of the government of Israel’s decision to approve the construction of 40 houses and a farm

40 Qatar Today

january 2012

near the settlement of Efrat in the occupied territory near the Palestinian town of Bethlehem,” Ban’s office said in a statement. “The secretary-general calls again on the government of Israel to freeze all settlement activity,” the statement said. “Such activity is contrary to international law and the Roadmap, and prejudices final-status negotiations.”

Ban said that with the Middle East diplomatic Quartet actively trying to find a formula to get both sides back to the negotiating, table it was important that "the parties must refrain from provocative actions and help create a positive environment for negotiations.” The Quartet is comprised of the United Nations, the United States, the European Union, and Russia.



world view

Euro Dilemma Continues

UNITED KINGDOM, London : British Prime Minister David Cameron leaves 10 Downing Street in London, on December 14, 2011, as he prepares to address the weekly Prime Minister's Questions at the House of Commons. European Commission chief Jose Manuel Barroso said that a demand by Britain for its financial services industry to be exempted from EU regulation threatened to break up the single market. AFP PHOTO / BEN STANSALL

FRANCE, Paris : French President Nicolas Sarkozy (L) welcomes German Chancellor Angela Merkel prior to a working lunch at the Elysee Palace in Paris on December 5, 2011 to thrash out details of a plan to save the euro at the start of a crucial week for the single currency. The two leaders are to meet for a working lunch, having vowed to propose European Union treaty changes to create what Merkel has dubbed a “European fiscal union with strict rules” and Sarkozy calls “true economic government.” AFP PHOTO / LIONEL BONAVENTURE

42 Qatar Today

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world view

Florentine Nightmare ITALY, Florence : (From L) Representatives of different religions, Rabbi Josef Levi, Imam Izzedin Elzir and bishop Giuseppe Betori cha during a ceremony in memory of two Senegalese who were killed the day before on a market on December 14, 2011 in Palazzo Vecchio in Florence. Florence was in mourning after an Italian farright author shot dead two Senegalese men and wounded three others before killing himself in a shooting spree that prompted outpourings of grief. AFP PHOTO / Niccolo Cadirni

Bio-battery From Paper JAPAN, Tokyo : An employee of Sony demonstrates a new bio battery, generated from the cellilose of recycle papers, powering a fan (L) at the Eco-Products exhibition in Tokyo last month. The electric fan is powered by a bio battery cell whose energy source is solution of cardboard. Sony exhibited various eco-friendly power sources, including the bio batteries at the exhibition. AFP PHOTO / Yoshikazu TSUNO

Jacko’s Lot UNITED STATES, Beverly Hills : A man walks past a re-created scene of Michael Jackson’s bedroom during a press preview for the sale of fine art and furnishings from Michael Jackson’s 100 North Carolwood Drive home in December at Julien’s Auctions in Beverly Hills, California. Personal effects from Jackson’s last home were put on display today ahead of an auction of the contents of the Los Angeles mansion where he died on June 25, 2009, from an overdose of powerful sedatives given to help him sleep after rehearsals as he prepared for a series of planned comeback shows in London. AFP PHOTO / Frederic J. BROWN

january 2012

Qatar Today 43


view point

Spreading their wings As Europe approaches a financial crossroads and the Arab world a political crossroads, Qatar’s investments are enabling the State to signal to the rest of the world that it can play a larger diplomatic role in both re gions.

Aircraft

manufacturers walked away with $63.3 billion (QR230 billion) in new contracts – a significant portion of which came from Gulf airlines – at the Dubai Air Show last November. In recent years, carriers in the region have inundated manufacturers with orders. Abu Dhabi-based Etihad has 10 Boeing 777s, 19 Airbus A320s and 10 Airbus A380s on order. Meanwhile, Dubai-based Emirates placed an $18 billion (QR65.6 billion) order for 50 Boeing 777-300ERs during the Dubai Airshow, the highestvalued commercial contract in the company’s history. Qatar Airways (QA), like its regional brethren, is expanding its fleet as well. The state’s flagship carrier purchased 88 new generation Airbus A320 narrow body jets at the air show, bringing the company’s total fleet upgrade contracts above $40 billion (QR145.7 billion), according to QA’s website. All of this buying begs the question: Are there enough passengers to fill these planes? Although QA’s acquisitions may raise some eyebrows, a number of factors help to explain the dizzying pace of its purchases. A central location, a growing tourism sector, an expanding economy and a large population of foreigners all fuel rising demand for air travel. On the simplest of levels, Qatar’s geography favours aviation growth. The state is located in the centre of the Eastern hemisphere, the crossroads of Asia, Europe and Africa. Europeans are already among the world’s highest international tourism spenders, and high growth in Asia is also creating opportunities. The number of outbound Indian nationals, for example, has grown by an average of 11% between 2006-2010, according to the Indian Ministry of Tourism. Meanwhile, Chinese tourists spent $54.9 billion (QR200 billion) in 2010, overtaking the United Kingdom as the world’s third-largest tourism spender, according to the UN World Tourism Organisation (UNWTO). In summary, QA’s hub in Doha positions the company between some of the fastest-growing tourism routes in the world. Leisure tourism is also a growing market. The sector as a whole

has seen major growth in the past 15 years. Between 1995 and 2010, global international arrivals around the world increased by about 67%, from about 537.8 million to 897.3 million, according to the World Bank. Tourism appears resilient during tougher economic times, too. In the first six months of 2011 – despite the Arab Spring and the Tohoku Earthquake in Japan – growth continued. International arrivals have been up on average 4.5% this year, according to the UNWTO in September. In the Middle East and North Africa, factors like the Arab Spring have caused numbers to drop by 9% and 15% respectively. Qatar’s growth, however, has stayed strong. Both international overnight stays and international tourism receipts increased in 2011, the World Travel & Tourism Council’s 2011 Qatar Country Report said. This is all good news for QA: a growing tourism sector translates to more visitors, and more visitors translate to higher demand for flights. Qatar’s demographic balance should also make QA’s recent purchases useful in the future. The state’s population as a whole is ballooning. The Government estimated that between 2004 and 2010 the population more than doubled, increasing by 128%. Moreover, of the country’s near 1.7 million people, 1.35 million are non-Qataris. For those who are employed in the state, some companies offer flights home as part of compensation packages; others even offer to fly employees’ families to the country. Whether employees or companies pay for tickets, shuttling foreign workers between their home countries and Qatar provides steady demand for the industry, even when grey clouds prevail in the global economic climate. Indeed as long as the Qatari economy – the world’s fastest growing by a number of measures – keeps booming, business travellers and foreign workers are set to keep coming. And, as long as the state keeps investing in tourism and culture – which it has been doing for some years now – QA can expect to serve more leisure travellers as well. Taken together, these factors help explain the rationale behind QA’s drive for fleet expansion, as well as that of its regional competitors

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By Oliver Cornock The author is the Regional Editor of Oxford Business Group

44 Qatar Today

january 2012


vie w point

Demand for Public-Sector Jobs Outstrips Supply Two in three Arab students would consider starting a business if unemployed for a prolonged period

Educational

attainment in the MENA region has outpaced job creation, leaving educated young Arabs waiting longer for work - especially government jobs. Young Arab students are more likely to prefer government work (51%) over private-sector work (29%). Encouraging entrepreneurship and providing resources for job creation can help provide more job opportunities. Right now, 24% of students in MENA countries say they have thought about starting their own business, and 7% are planning to start their own business in the next 12 months. Students look to government for employment Would you rather have a job working for the government or working for a business?

Would you rather have a job working for the government or working for a business?

60%

51%

45%

29%

30%

16%

15%

4%

0% Government

Business

Either

Don't  Know/Refused

Traditionally, educated individuals in this region are primarily employed by government organisations. Educational systems throughout MENA prepare students for public-sector employment. High wages, generous benefits and high levels of job security make this a desirable career path for new entrants to the labour force, even though this sector has shrunk in recent years.

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Qatar Today 45


view point In fact, a similar percentage of non-students prefer public employment. 73% This is, in part, because 80% 49% 46% 33% 30% fewer job opportunities exist 20% 16% 11% 16% 5% 40% 1% 1% outside the government sec0% tor throughout the region. High-­‐Income Countries Middle-­‐Income Countries Low-­‐Income Countries With the decreasing capacity of the state to absorb young job seekers, MENA countries must encourage private-sector-led growth. Unfriendly business percent of the students Gallup studied are aware of support servenvironments, a lack of capital, administrative hurdles, corrup- ices available to help people find jobs, and 18% of those who are tion and weak legal systems may dissuade young people from aware say they have used such services to help find employment. pursuing the path of entrepreneurship. But perhaps educated young Arabs are more inclined to wait for government jobs ver- Employment preference by income levels sus striking out on their own. For instance, Gallup data indicate Country income levelsi may affect how students view their emthat a higher proportion of non-students say they have thought ployment options once they join the workforce. Students in of starting their own business (34%) compared with students high-income countries (73%) are more likely than their peers in (24%). Furthermore, 15% of non-students say they plan to start a middle- (49%) and low-income (46%) countries in the region to prefer government employment to private-sector work. business in the next 12 months compared with 7% of students. Entrepreneurial aspirations for students and non-students

50% 38% 25% 13% 0%

24% 7% Students

With high rates of joblessness across the region, students faced with prolonged unemployment of six months or longer are willing to consider alternatives when it comes to earning a livelihood. Sixty six percent are willing to start their own business if out of work for a prolonged period. About one-half of students say they would be willing to retrain for another career (58%), take a job beneath their academic credentials, skills, or training (51%), or take up home-based work (48%). Similar percentages of students say they would consider leaving the city (48%) or country (47%) where they live. Students’ alternate choices for earning a living A lack of awareness of job opportunities in the region could also hinder young Arab students’ employment prospects. Twenty-five

High-income countries more dependent on government for employment Would you rather have a job working for the government or working for a business? This finding underscores the 34% social contract between the governments of the wealthier 15% MENA countries and their core constituencies. The government is the primary provider of jobs and social services among this Non-­‐Students group, while governments in middle- and low-income countries do not have similar financial resources and thus cannot provide the same level of publicsector work opportunities. Students in high-income countries are less likely to have thought about starting a business (8%) than are their peers in middle- and low-income countries (26% and 24%, respectively). Similarly, students in high-income countries (3%) are less likely than those in middle- (7%) and low-income (12%) countries to say they are planning to start a business in the next 12 months. Students’ likelihood of starting a business by country income level When faced with prolonged unemployment of six months or more, students in high-income MENA countries are most likely to say they would take a job beneath their skill level. This find-

66%

58%

51%

48%

48%

47%

Start Own Business

Retrain

Take Job Beneath Skill Level

Do Home-­‐ Based Work

Relocate City

Relocate Country

80% 40% 0%

46 Qatar Today

january 2012


vie w point

50%

26%

25%

8%

24% 7%

3%

12%

0% High-­‐Income Countries

Middle-­‐Income Countries

ing presents these countries with an opportunity to gear their education system toward meeting the needs and requirements of private-sector employment. Students in middle-income countries are most likely to say they would start their own business if facing prolonged unemployment. This indicates the paucity of public-sector jobs in these countries and suggests that citizens in middle-income countries have the personal resources available to consider entrepreneurship as a viable livelihood. Students in low-income countries say they would be about equally willing to perform home-based work, retrain for a different career, or start their own business if they faced prolonged unemployment. Students in low-income countries are also more likely than their peers in middle- and high-income countries to say they would relocate to another city or country, revealing an elevated risk of brain drain low-income countries cannot afford to take. Regardless of what job opportunities exist, students in lowincome countries are not as likely as their peers in middle- and high-income countries to be aware of services or organisations that help people find jobs. Specifically, 23% of students in high-

Low-­‐Income Countries

income countries say they are aware of such resources, compared with 28% of those in middle-income countries and 13% of students in low-income countries. This indicates the need to effectively disseminate job services information among all student populations, but especially those in low-income countries within the MENA region. Implications The data suggest that students in the MENA region are primarily looking to get government jobs after college. With the public sector’s declining capacity to absorb these new entrants to the job market, leaders throughout the region should make significant efforts to overcome barriers to entrepreneurship and company creation. Additionally, colleges and universities should make students more aware of job placement services available to them through their schools. Removing barriers to entrepreneurship and improving communication about support programmes can go a long way in creating employment opportunities for students in the MENA region

The purpose of this analysis is to explore students’ mindsets and the job opportunities available to them in the Middle East and North Africa (MENA) region. As the public sector shrinks, countries in the region need to develop policies that encourage entrepreneurship and company creation. Additionally, it is important to disseminate information about the support programmes available to students in the region. This will ensure that the labour market meets the job expectations of these young entrants.

Survey Methods Results are based on face-to-face interviews with 15,638 young adults, aged 15 to 29, conducted in the spring and fall of 2010. Surveys were conducted in 20 Arab League member states and the Somaliland region of Somalia. These included: Algeria, Bahrain, Comoros, Djibouti, Egypt, Iraq, Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco, Palestinian Territories, Qatar, Saudi Arabia, Somaliland region, Sudan, Syria, Tunisia, United Arab Emirates, and Yemen. For results based on the total sample of young adults, one can say with 95% confidence that the maximum margin of sampling error is ±2.1 percentage points. The margin of error reflects the influence of data weighting. In addition to sampling error, question wording and practical difficulties in conducting surveys can introduce error or bias into the findings of public opinion polls. i Gallup grouped countries into categories according to the International Monetary Fund’s (IMF) 2010 estimates of GDP per capita (in U.S. dollars). Countries fall into one of three income categories: high income (GDP per capita of at least $23,000), middle income (GDP per capita ranges from $2,600 to less than $23,000), and low income (GDP per capita of less than $2,600)

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www. SILATECH.com TWITTER.COM/SILATECHTWEETS

by Sangeeta Badal and Bryant Ott These findings are based on the recently released fourth installment of Gallup’s report, The Silatech Index: Voices of Young Arabs. This Silatech Index analysis is conducted by Gallup scientists and researchers pursuant to the Silatech-Gallup partnership. In addition to systematically measuring the perceptions of young people across the region on the challenges related to employment and entrepreneurship, Gallup analysts lead the effort in disseminating the findings of the Silatech Index to regional and global leaders and institutions engaged in addressing the challenges surrounding young people and employment in the region.

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Qatar Today 47


view point

Intellectual Property: Knowing its worth Qatar’s planned transition from a carbon-based economy to a knowledge-based economy may create the potential for more IP transactions. For IP owners, this raises an interesting question of “what is my IP worth?”

Earlier

this year, Qatar Foundation launched an Intellectual Property Management project in collaboration with Qatar National Research Fund (QNRF) and Qatar Science and Technology Park (QSTP) to administer potential intellectual property originating from QNRF’s 266 research projects which have received funding of over $230 million (QR840 million). With this in mind and HH the Emir’s declaration of the cessation of all monopolies and creation of a freer market economy, IP is likely to become more widely recognised, regulated and commercialised as it already is in other parts of the world. So what is IP? IP refers to a number of different things, it can be creative (which includes trademarks, software and copyrights) or innovative (which includes patents, designs and trade-related secrets). Common examples of IP include patented designs for indus-

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In recent years, Qatar has taken some steps to protect IP rights through the introduction of Trademark and Copyright laws in 2002 and a Patent law in 2006. Internationally, Qatar is a member of the GCT (Gulf Cooperation Treaty), which provides GCC-wide patent protection. Qatar is also a member of certain worldwide IP councils including WIPO (World Intellectual Property Organization) and TRIPS (Trade Related Aspects of Intellectual Property Rights). Qatar is clearly in tune with the rest of the world in terms of the increasing interest in IP and the need to develop and protect its own IP rights.

trial products or household electrical goods, trademarks for established brand names or logos, published books or media content, medical drugs or laboratorial research work and books or recipes. Why do I need to know its worth? There are two main reasons why IP owners would want to know their IP’s worth; informational and transactional.


vie w point For informational purposes, owners of IP may need to know its value for the same reasons as knowing the value of tangible assets held in their businesses; to monitor the performance of all of their assets and ensure that the values of those assets are maintained. For transactional purposes, engaging in commercial transactions relating to IP through a sale, joint venture or licensing requires careful pricing consideration as the value of IP tends to be more subjective than other assets. The concept of value The valuation of IP essentially involves bringing together the legal concept of property and the economic concept of value. Generally speaking, there are three valuation bases; owner value, market value and fair value. Owner value is derived from the economic effect of depriving an owner of the use of their IP, market value generally reflects comparable pricing for similar IP and fair value can reflect the value of IP with a specific buyer or seller and an intention to transfer the IP in a manner which is fair and equitable to parties involved in a transaction. What influences value? There are several factors that need to be carefully considered when valuing IP to avoid the risk of engaging in an over or undervalued transaction. There are three approaches that are generally used applied by professionals to value IP; the cost, market and income approaches. • Cost approach: value is estimated by reference to the cost incurred in developing the IP. This is generally more suited to highly specialized IP with unknown prospects and no established market. • Market approach: value is estimated by reference to comparable market transactions involving similar IP. However, information relating to comparable IP transactions is generally very limited and so the use of this approach is fairly restricted. • Income approach: this is the most commonly used method. Value is estimated by estimating the future economic benefits associated with the IP. These benefits could be in the form of premium pricing, excess earnings or royalty income. Most of the factors that influence the value of IP are largely considered within the income approach. We discuss some of the key factors:

email

milbaig@deloitte.com

Income and profit projections relating to the IP are primary issues to consider as income-based valuation models ultimately estimate the value of IP by reference to these. Income and profit projections should be based on well-founded assumptions and thoroughly researched data relating to factors such as pricing, volumes, sensitivities and resulting margins. As projected income and profit represents future value, the cash flows derived from these income and profit projections are discounted using an appropriate discount rate to estimate the present value of IP. Available market share is a key factor as the size of the market and magnitude of penetration into the market both directly influence the value of IP. For instance, in smaller markets or markets where there are a larger number of players, IP values tend to be depressed due to growth restrictions and dilution. Legal form and protection available define the contractual and legally enforceable rights attached to the IP. These not only help determine the life of the IP, but also highlight the exclusivity available to the owner. Barriers to entry such as investment, legal and technological requirements, if high, can prevent other similar IP from entering the market. In such cases a premium in value may be required to account for this inherent benefit in owning the IP. Equally, low barriers to entry into the market would suggest that a discount may need to be applied to the IP’s value. Useful economic life represents the period over which the IP is expected to produce economic benefits to its owner. Useful economic lives of IP are a function of nature, legal life, usage life and market life. There is usually an element of conjecture involved in estimating this. Economic conditions can either directly or indirectly impact businesses and as a result, the value of any IP held in businesses. It is therefore important to adequately factor economic downturns / upturns into the assumptions which are applied to value IP. The factors above are not an exhaustive list of what needs to be considered when valuing IP for any purpose. Valuations in general involve certain complexities as by its very nature, it is more of an art than a science. Valuation specialists spend several years training and gaining experience before becoming subject matter experts but even then, no two experts are likely to arrive at the exact same conclusion for a valuation!

Milhan Baig CA Head of Valuation Services Deloitte - Qatar

Milhan leads the valuations practice in Deloitte Qatar. He also leads the intangible asset and intellectual property valuations across the Middle East He has over 10 years of professional services and valuations experience. He has provided valuation advice to private and listed companies across different industry sectors for commercial, transactional, financial reporting and legal purposes. . His recent experience of valuing intangible assets includes distribution licences, software, brand names, GSM licence, franchise network, customer relationships and preferential contracts.

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listening post

The Essence of Jet-Setting Qatar Executive, the corporate jet subsidiary of Qatar Airways, ONE OF THE FEW carrierS in the region to have an exclusive business jet operation; an advantage it intends to fully exploit.

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n 2009, Qatar Airways launched Qatar Executive to meet the needs of a premium market segment looking for a more flexible, discreet and personalised means of travel. In the short time since its launch, Qatar Executive has doubled its wholly owned

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By Vani Sara s wath i all-Bombardier fleet, and today operates six corporate jets with an average age of just one year – the youngest fleet of business aircraft in the Gulf. Qatar Airways CEO Akbar Al Baker in an interview to Qatar Today stresses that “there is a strong need for corporations to conduct face to face business meetings in the shortest possible time, so rapid travel options are a key enabler of effective time management.” Onboard the three Challenger 605s, two Global 5000s and an ultra-long haul Global Express XRS – one of the most luxurious business jets available in the sky - passengers can fully immerse into the ultimate Qatar Executive experience. Speaking about the fleet, he says, “The Bombardier business jets we have chosen help us deliver on our promise; to ensure a safe, reliable and more efficient way for

corporate or private travel anywhere in the world: To fly in a class of your own!” What has been the growth of Qatar Executive in the last couple of years? In the two years since our inception, Qatar Executive has rapidly become a lucrative business that has evolved into a world-class aviation company backed by the global expertise and track record of award-winning Qatar Airways. We have been very successful offering our own dedicated fleet without limitations to a growing roster of brokers and private clients. Another benefit fuelling our success is the support from Qatar Airways with its operational expertise and global network. Of all the Gulf-based scheduled airlines, Qatar Airways is the only one with a dedicated business jet subsidiary.


listening post While Qatar Executive’s core business is aircraft charter, a full suite of services is also available, ranging from aircraft management, business jet maintenance, and FBO services (Fixed-Based Operation, i.e. Corporate Jet Terminal), such as fuel arrangements, aircraft cleaning and hangarage. How would you describe your clientele? Are they primarily from the private sector or from government sectors? Qatar Executive serves a diverse range of customers. We cater to Executives and Board Members of larger corporations who have to reach remote and sometimes multiple destinations in the shortest amount of time, to private high-net worth individuals who invite their family and friends to spend an unforgettable break in luxury resorts in places such as the Maldives or Mauritius. Our modern business jets with satellite telephone and internet are also popular among government delegations and politicians as we offer VIP safety and security, as well as absolute discretion. Chartered services for larger aircraft are also available, commonly used for groups such as sporting teams who need to travel for multiple competitions. All charter arrangements can be made through premium travel brokers or through Qatar Executive directly. Is the demand from Qatar alone, or extends to the region as well? Qatar Executive is committed to the Qatari and Middle Eastern leisure and business travel community. Doha, as our hub, is perfectly geographically located and a good base for long range aircraft like our Global jets, as we can reach most destinations across the world nonstop from Qatar. Our aircraft have a capability of flying up to 12 hours non-stop across continents including Europe, Africa, Asia and even Australia. For Qatar Airways’ First and Business Class passengers there is a natural synergy to transfer customers onto our business jet aircraft to their final destinations, which in many cases are not served by scheduled airlines. This is a market we are increasingly pursuing. What are the most common reasons why corporate/individuals charter your jet? Business aviation is the best tool to ‘buy’ time. Qatar Executive enables the corporate traveller to book an aircraft in as little as four hours before departure and check-in

only 10 minutes prior to take-off. As an example, you can have a meeting in Dubai in the morning, have a business lunch in Kuwait and be back for dinner with the family in Qatar in the evening. The time-saving aspect is paired with superior levels of comfort, privacy and safety – no other means of travel is so exclusively tailored to customer’s individual needs, timing and requirements as the experience of flying in a corporate jet. In these times of recession, cutbacks and austerity measures, where companies are looking into travel expenses of their senior management/executives, what would be the lure of private jets? As mentioned earlier, the time-saving factor which translates directly into higher productivity of senior executives

“Business aviation is often associated with luxury or even decadence, but there are tangible benefits for companies, especially during periods of recession, which increase the demand for business jets.”

usually the driver behind a company’s decision to charter a business jet. No travel time is wasted at busy airports and business delegations can make optimal use of their flying time through either arriving well-rested at their final destination or through working throughout their journey as all our corporate jets are equipped with the latest high-speed connectivity capabilities making them a true 'office in the sky'. Business aviation is often associated with luxury or even decadence, but there are tangible benefits for companies, especially during periods of recession, which increase the demand for business jets. High powered meetings addressing confidential mergers and executive briefings, for example, create time pressures, making the business jet a useful tool for corporate executives who have to drive vitally impor-

tant decisions in the best interests of their companies. What are the expansion plans are in place for Qatar Executive? Could you talk a bit about how this business will be developed over the next decade? Forging ahead to meet the growing demand for business jet services in the Middle East and globally, Qatar Executive is in the midst of a major strategic expansion in order to widen its reach into Europe, the US and other emerging markets such as Russia, Africa, China, South East Asia and India, to become a truly global player. It is a bit early to outline these plans in detail, but we have exciting projects in the pipeline to capitalise on the growing economies around the world. To further maximise our growth potential, Qatar Executive will continue to significantly invest in infrastructure, such as our dedicated 6,400 square metre hangar at Doha International Airport. The facility for maintenance operations serves Qatar Executive as well as other private jet operators, and has been recognised by Bombardier as an Approved Service Facility. Qatar Executive Maintenance Operation can also serve other Bombardier aircraft coming to Doha. At the same time, work is underway to create Qatar Executive’s new Fixed Based Operation at the New Doha International Airport, which is set to open in 2012. In which region do you see most growth, outside of Qatar? Private jets are growing in demand, particularly in Asia, Russia and West Africa, where there is an increase in the number of high net-worth individuals, or where natural resources in remote areas increasingly require corporate travel. Many global companies face difficulties reaching production sites in remote areas using scheduled airlines, therefore require tailor-made travel options, which inevitably means executives getting to their final destination quicker and hassle-free. What are the measures taken to minimise the carbon footprint of Qatar Executive? Similar to our parent company Qatar Airways, we take corporate social responsibility very seriously. All our aircraft are brand new and equipped with the latest technology, making them as fuel-efficient and minimising the amount of carbon pollution

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Qatar's role on the world stage: Diplomatic Gameplay 54 Qatar Today

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Coverstory Pg: 54

Holding Centre Stage

By Salman Shaikh

Director of the Brookings Doha Center and Fellow at the Saban Center of Middle East Policy at the Brookings Institution, Washington D.C.

Qatar made the seemingly impossible possible when the country bagged the 2022 FIFA World Cup. It was the attitude that anything is possible if you have the will and the money, that was the heart of this achievement, CNN had reported. That was in 2010. 2011 has been equally eventful. Qatar was the first country to recognise the Libyan rebels, the first to close its Syrian embassy, and also a country that came down hard on the Yemeni president to step down. It was also the first gulf country that asked UN member states to listen to the voice of reason and respond to the legitimate request for a Palestinian state with full membership at the UN. Moving from football legacy to world peace, Qatar has indeed carved its name on the regional stage taking a strong stand on each of the Arab revolutions. Qatar Today invited experts from around the world to say what they think about the country and its steep rise to recognition? Is it accepted as a power player on the global peace agenda or is it merely the clout of resources that makes the country take steps that are “seemingly impossible”?

Pg: 56

Qatar’s Source of Arab Springs

By Khaled Hroub

is the Director of the Media Programme at the Gulf Research Centre -University of Cambridge.

Pg: 58

Qatar’s Prominent Global Position Widens Circle of Stakeholders

By Ghanem Nuseibeh

Founder, Partner and Director of Cornerstone Global Associates, London

Pg: 60

Qatar’s Role in Libya and Beyond

By STRATFOR,

a leading publisher of geopolitical news and analysis.

Pg: 62

Qatar takes the Opportunity

By Zachary Fillingham ,

Managing Editor of geopoliticalmonitor.com and a Geopolitical Analyst

*

DiscLamer: The VIEWS EXPRESSED inside the Cover Story is that of the individual authors january 2012 and the magazine is not responsible for the same.

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Q ata r ' s r o l e o n t h e wo r l d s tag e : D i p lo m at i c G a m e p l ay

Holding

Centre Stage

By any measure, 2011 has been a remarkable year for Qatar. Not only has it seen rising economic growth and prosperity at a time when much of the world faces economic downturn, but it has also risen to global prominence by playing an important role in the changes that are sweeping the region. ITS successful bid to hold the football World Cup in 2022 has become just one in an array of landmark events throughout a year that has seen Qatar firmly establish itself as an actor on the regional and global stage. 56 Qatar Today

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Coverstory n a year when much of the Arab world, including its traditional leaders, has been in transition – with revolution in Egypt, pending succession in Saudi Arabia, turmoil in Syria, and Iraq struggling to forge a new identity and state – Qatar has played an important leadership role in the regional affairs. The perception of a power vacuum in the region has been sharpened by a narrative of declining US influence, with many foreseeing the first cracks in the Pax Americana that has held sway since the first Gulf War. Qatar quickly championed the cause of Libyans fighting to overthrow Muammar Ghadaffi after 41 years of dictatorial rule. If Qatar is used to taking risks in pursuit of its vision and ambitions – both at home and abroad – Libya certainly proved to be its riskiest venture yet. Having previously played an important role in mediating conflicts across the region – whether in Lebanon, Sudan, or Yemen – Qatar worked with the Gulf Cooperation Council and the Arab League to galvanise the international response to an impending humanitarian disaster in Libya. Not only did it play a political role, but for the first time it deployed its military to assist in the protection of the Libyan people. Looking ahead, Libya will need much more assistance and support from the international community as it builds a new state with strong democratic institutions and a capacity for economic growth. Supporting the state-builders and the institution-builders in the country after the devastation should be a key role for all Arab states to fill, alongside other international actors. Nowhere is the challenge of regional security greater than with regard to Syria. Relations with President Bashar Al-Assad soured dramatically when he failed to heed the advice of close friends such as Qatar and Turkey. Qatar is now working with other key Gulf and Arab states - particularly Saudi Arabia – to coordinate an Arab-led response to the crisis. These efforts – which have been too slow to build – have now led to an unprecedented situation in which the Arab League has suspended a founding member and imposed economic and political sanctions. The challenges in Syria are great, with frightening potential for further bloodshed and the killing of thousands of civilians. There will be an important role for the Arab

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Having previously played an important role in mediating conflicts across the region – whether in Lebanon, Sudan, or Yemen – Qatar worked with the Gulf Cooperation Council and the Arab League to galvanise the international response to an impending humanitarian disaster in Libya League to play in getting the international community – particularly UN Security Council members such as Russia, China and India – to take effective and decisive action to cripple the “killing machine” of Assad’s security forces, and persuade him and his regime to step down and leave a secure space in which a democratic Syria can emerge. Another important development has been closer to home, in the role played by the GCC in the ongoing and deeply-troubling crisis in Bahrain. After ten months of struggle, with hundreds detained and many dead, it seems that the security approach adopted by Bahraini authorities and their GCC allies – especially Saudi Arabia – is not working. The attempt to forge a national dialogue has proved equally unsuccessful. Looking ahead, there will be a need to establish a new political and social contract that rewrites the relationship between the monarchy and people of Bahrain. Where external mediation has been unsuccessful in encouraging the sort of dialogue that could achieve that end, there will have to be renewed efforts and greater perseverance. Qatar is well placed to play a role here. As the Arab revolutions of 2011 continue to run their course, Qatar will likely continue to play an important role in regional and international affairs. Other pressing issues, such as the Palestinian bid for statehood at the United Nations, will continue to provide a stage for Qatari statesmanship. (Qatar is chair of the Arab League’s follow-up committee on the issue.) On Iran, meanwhile, Qatar faces the challenge of engaging Tehran with regard to its nuclear programme, while tempering a growing sentiment in the US and Israel that sees military action, not containment, as the best way to counter associated threats. Importantly, in the fragile transitions underway in North Africa,

resource-rich Gulf states must play a role in stimulating the economic growth that will be necessary to underpin democratic gains. Nowhere is this more urgent than in Egypt, where a tourism-reliant economy has flounderedand foreign direct investments fallen nearly 100%. Qatar could play an important role in coordinating an international and multilateral effort in this regard. The fluid scene set by the Arab Awakenings will demand that Qatar and others continue to adapt to the rapidly changing environment in the region. A track record of independent, bold and inclusive foreign policymaking has helped Qatar cope with this rapidly shifting landscape. Having pursued engagement with an array of actors irrespective of their ideological colour – from the US, to Iran, Hamas and other Islamist groups – Qatar is well equipped to play a role as a valued independent actor. As a new Middle East takes shape then, Qatar is set to remain centre stage, and must continue to bear the associated responsibilities

Salman Shaikh Director of the Brookings Doha Center and Fellow at the Saban Center of Middle East Policy at the Brookings Institution, Washington DC

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Q ata r ' s r o l e o n t h e wo r l d s tag e : D i p lo m at i c G a m e p l ay

Qatar’s Source of

Arab Springs

There’s a joke making the rounds in the Middle East these days: three of Egypt’s former presidents, Gamal Abdel Nasser, Anwar Sadat, and Hosni Mubarak, meet in hell and ask each other how they fell. Nasser replies “poison”; Sadat says “assassination”; and Mubarak answers “Al Jazeera”.

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Coverstory

uring the 15 years that it has broadcast from Qatar, Al Jazeera has served as far more than a traditional television station. With its fearless involvement in Arab politics, it has created a new venue for political freedom, which has culminated in its unreserved support for Arab revolutions. Al Jazeera has pushed the boundaries of information by providing live coverage of major developments in the Arab world and elsewhere. It is a platform for political and religious opposition groups in the Arab countries. It hosts Israeli spokespersons and embraces state-of-the-art broadcasting techniques. In short, it has become a global brand and a role model for other Arab media. Success breeds confidence, but it also attracts envy. Al Jazeera has no shortage of enemies, from the most radical Islamic fundamentalists to American and Israeli intelligence gatherers. And, between these two extremes, there is fierce debate over whether Al Jazeera is friend or foe. Liberals who welcome it as a beacon of freedom and progress in the Arab world confront those who accuse it of Islamism and religious radicalisation. Islamists who praise it as a platform for their own views must deal with the fact that it also offers a voice to Israelis. Al Jazeera journalists are household names; they also suffer more harassment, imprisonment and fatalities than their colleagues at other major news organisations. Al Jazeera is not a tool of the CIA, Israel, or Al Qaeda. Rather, it is the sophisticated mouthpiece of the state of Qatar and its ambitious Emir, HH Sheikh Hamad bin Khalifa Al-Thani. Simply put, the Al Jazeera success story would not have been possible without Qatar’s backing. For the Emir, Al Jazeera is integral to the national “branding” of Qatar and its foreign-policy aspirations. The motivation for these aspirations is unclear, but a number of ideas are worth pondering. After coming to power in 1995, the Emir, HH Sheikh Hamad bin Khalifa Al-Thani, was suddenly confronted with a hostile Saudi Arabia and Egypt, whose elites despised the ambitious young ruler and preferred his more timid father. Qatar was perceived as increasingly rebellious,

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Having received carte blanche from Qatar’s political leadership to support the Arab revolutions, Al Jazeera became fully engaged in live coverage of events in Tunisia, and then in Egypt, by relying on socialmedia networks away from the eyes of local security officials.

routinely defecting from the collective and mundane line of Gulf countries’ politics – inviting further pressures from the “big brothers”. In response, under the young Emir’s firm hand, Al Jazeera delivered a more assertive line of criticism against governments, such as those of Egypt and Saudi Arabia, that other Arab mainstream media would do their best to avoid alienating. Having received carte blanche from Qatar’s political leadership to support the Arab revolutions, Al Jazeera became fully engaged in live coverage of events in Tunisia, and then in Egypt, by relying on socialmedia networks away from the eyes of local security officials. Its coverage was filled with Arab masses declaring their demands to the world. Banned from local media and mostly on the run, revolutionaries used Al Jazeera to reach – and mobilise – their own people. The channel cancelled its regular programmes, and was transformed into a round-the-clock workshop of live news and interviews, switching from one revolution to another. So, while the Arab Spring has been a genuine popular uprising against decades of corrupt and oppressive authoritarian regimes, its rapid spread, which caught almost everyone by surprise, was due in part to the influence of Al Jazeera, which became the voice of the voiceless throughout the Middle East. As for Qatar itself, the Emir provided various forms of support to all of the Arab revolutions, except in Bahrain, where the Saudis and, more pointedly, the Americans, drew a very sharp red line. HH the Emir Sheikh Hamad’s political audacity stems partly from Qatar’s enormous gas resources, which have

allowed him to develop vigorous policies in all areas, especially in foreign affairs. Protecting himself and Qatar by hosting the largest American military base outside the United States, his strategy has been to wrest control from regional third parties who might otherwise dominate the smaller Gulf states. It has been an aggressive and risky foreign policy, but the Qatari Emir clearly believes that he can fill a regional leadership vacuum. His support, via Al Jazeera, of the Arab Spring’s revolutions - and of the new generation of leaders that they have spawned – has only strengthened Qatar’s position. The falling regimes consistently maintained that Al Jazeera wasn’t neutral. They were right

Khaled Hroub Director of the Media Programme at the Gulf Research Centre -University of Cambridge.

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Q ata r ' s r o l e o n t h e wo r l d s tag e : D i p lo m at i c G a m e p l ay

Qatar’s Prominent

Global Position Widens Circle of Stakeholders

Less than two decades ago, most people in the world would not have even heard of Qatar. Yet today it is associated with major players that have become integral to the contemporary global citizen: Qatar Airways, Al Jazeera and the FIFA 2022 World Cup are but a few examples. The world would be much poorer without these uniquely Qatari institutions.

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Coverstory

ew doubt that Qatar has come a long way from being a sleepy state in the Gulf to a force to be reckoned with. The rise of Qatar has rapidly expanded its circle of stakeholders. It now answers to the needs of people from around the world, and pleasing everyone has not proven to be an easy task. Rapidly changing opinions about the country and what it stands for differ from region to region, sector to sector and from industry to industry. Qatar is viewed by different regions of the world in terms of its public diplomacy, massive spendering and ambitions. Whilst those are mostly commendable traits most countries aspire to have, they also inadvertently invite scepticism and criticism. Al Jazeera was the first window that opened Qatar to the Arab world, and soon afterwards to the rest of the world. Al Jazeera became the “gold standard” of Arab news media. It almost became the voice of the man on the street, delivering news items to a region that was accustomed to receiving heavily censored news items. Over the years however, and particularly after the launch of the English-language channel, it was increasingly felt that Al Jazeera was an arm of Qatari public diplomacy. What Al Jazeera showed is now perceived as semiofficial Qatari policy, or at least having the support of the Qatari government. This was the main driver of how Qatar is perceived in the Arab World, and to a lesser extent in the West. Qatar was no longer seen as an apolitical, neutral, sleepy country, but one that had taken it upon itself to be the guardian of the Arab “renaissance”. The Qatari military involvement in Libya only helped to confirm this. However, the role the country played in the Arab Spring has also created many critics, both in the region and beyond. It was felt that Qatar was unfairly punching above its weight, and assuming the role of the Arab voice, without the political justification necessary. The winning of the FIFA 2022 World Cup bid and subsequent allegations of corruption have caused serious reputational damage. Many, particularly in the West, felt that Qatar had been able to secure the hosting of the 2022 World Cup through commitments that required massive spending, both legitimately and

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The country’s ability to embark on massive spending in countries around the world, has exposed it to working with leading financial institutions around the world. The country’s sovereign investment vehicles have certainly been able to secure “trophy” assets around the world, to varying degrees of success.

illegitimately. Few outside Qatar have seen the great strides the country has made in the world of football. Winning the right to host the 2022 World Cup has undoubtedly propelled the country to new levels of world recognition, but it has also set new challenges the country must contend with. The country’s ability to embark on massive spending in countries around the world has exposed it to working with leading financial institutions around the world. The country’s sovereign investment vehicles have certainly been able to secure “trophy” assets around the world, with varying degrees of success. But this has also exposed it to even more stakeholders, often with competing requirements. The manner in which those funds are buying key assets is seen by some as a means to increase political influence in key countries or regions. This is even more exacerbated by the apparent very top-down way of decision-making, blurring the lines between political and financial investments. The perceived opaqueness of the investment strategies of the sovereign wealth funds and those close to the ruling family have made many in the West question the motives behind those investments. More openness and clearer delineation between private and state spending will go a long way in reassuring some sceptical but potentially key partners, that Qatar’s intentions are benign. No one can doubt that Qatar has become a major regional player, on the political, economic and social fronts. And it is here to stay. The vision of the country’s leadership to venture out beyond the perceived limits its small size allows has made it a global household name. This rapid expansion has unsurprisingly created critics and sceptics.

Their fears of this rapidly rising star can be allayed with greater transparency, institutionalisation and decentralisation that allows for engaging the ever-expanding circle of stakeholders. The progress the country has made trumps all the criticisms and scepticisms that come as “part of the deal”. Different regions of the world view Qatar differently, but almost all look at it with great admiration

Ghanem Nuseibeh is the Founder of Cornerstone Global Associates, a high-end London-based strategy and management consultancy. Ghanem specialises in political and economic risk, and works with governments, investment banks and organizations from around the world. He regularly appears in regional and international media commenting about regional affairs, including Reuters, Bloomberg, Wall Street Journal and others. gn@cstoneglobal.com

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Q ata r ' s r o l e o n t h e wo r l d s tag e : D i p lo m at i c G a m e p l ay

Qatar Takes the

Opportunity

Qatar’s rise to a Middle East power-broker has taken many by surprise, and it’s not hard to see why. It’s not the conventional considerations of land, military or economic power that are driving Qatar’s foreign policy successes. Rather, it’s a case of having the patience to wait for opportunities and the savvy to make the most of them.

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Coverstory

atar has been engaged in a slow process of expanding its soft and hard power strategic assets since 1995. Economically, it has attracted the foreign investment necessary to develop its vast energy reserves (26.6 billion barrels of oil and 24,000 billion cubic metres of natural gas). This energy windfall has helped to create a prosperous population, negating the possibility of economically-motivated protests that plagued the Arab Spring countries. It’s not just oil driving Qatar’s economy. Like other oil-rich Gulf states, Qatar has actively sought to diversify away from over-dependence on the energy industry. The government has built ‘Education City’ in Doha, a sprawling complex of think tanks and American university campuses. It has also been an active bidder on just about every international conference or sporting event that goes up for grabs. And of course, it recently landed the holy grail of international sports – the 2022 FIFA World Cup. This impressive wealth is not being left unguarded, as Qatar’s affluence falls under the protective umbrella of American hard power. The Al Udeid Air Base looms just outside Doha, home to US and US Air Force Central Command. It also stands to reason that Al Udeid will be expanded as American military assets are withdrawn from Iraq. And then there's Qatar’s impressive web of influence, its expanding soft power. Although Doha maintains close economic and military links to Washington, its foreign policy is far from one-dimensional in this regard. Qatar also maintains working relationships with the cast of Washington undesirables such as Hamas and Hezbollah, and it has proven unwilling to toe the American line in regards to the Palestinian Authority. It even allowed Israel briefly to open a trade office in Doha, an experiment that ended in the wake of Operation Cast Lead. In short, the Qatari government casts a very wide net in search of friends. Of course, Al Jazeera is the jewel in the crown of Qatar`s global influence. Since the Arabic-language news station was founded in 1996, it has proved useful in leveraging opinion in the Muslim world in a way that`s favourable to Qatari interests. For example, Al-Jazeera used apologetic language in regards to NATO operations in Libya – a far cry from the ‘aggression’ and ‘invasion’

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When the opportunity of the Arab Spring presented itself, Qatar quickly mobilised its strategic assets to fill this leadership vacuum. It was the first gulf state to recognise the Libyan rebels, the first gulf state to close its Syrian embassy, and it also came out hard and heavy for the Yemeni president to step down.

talk that characterised the conflicts in Afghanistan and Iraq. According to 2009 diplomatic cables released by Wikileaks, the government of Qatar has even gone so far as to offer favourable Al-Jazeera coverage as a bargaining chip in past diplomatic negotiations. It's clear that Qatar does not suffer any shortage of strategic assets. But, the fact remains that it’s still a small country of only 350,000 citizens – hardly a regional powerhouse. So what allowed Qatar to step into the spotlight? The answer is simple: a golden opportunity presented itself to put these assets into play. The opportunity came from a shifting strategic landscape in the Middle East. Specifically, the region’s former leaders are fading into the background. Egypt finds itself mired in domestic politics for the foreseeable future and Syria looks to be the next domino to fall, leaving Iran without its trusted ally. Other hopefuls like Iraq, Turkey and Saudi Arabia have proved unwilling or unable to fill the power vacuum in the region. When the opportunity of the Arab Spring presented itself, Qatar quickly mobilised its strategic assets to fill this leadership vacuum. It was the first gulf state to recognise the Libyan rebels, the first gulf state to close its Syrian embassy, and it also came out hard and heavy for the Yemeni president to step down. It was also fundamental in transforming the Arab League from an archaic soapbox to a critical power-broker. These were high-risk, high-reward moves that were made possible by a lack of leadership from conventional regional powerhouses. They could have just as easily backfired, creating a market for a series of articles about where Qatar’s foreign policy went wrong.

Thankfully, they didn’t. It’s worth mentioning that Qatar’s foreign policy has been guided by pragmatism, not ideological considerations. Doha is not committed to the expansion of political rights as an end in itself. Rather, the human rights angle provided a convenient rationalisation for a policy that was steeped in geopolitics. Qatar will continue to pursue a practical foreign policy based on expanding its soft power throughout the region and beyond. Thus, nothing has changed, though it may seem that way because the policy is working so well

Zachary Fillingham Managing Editor of geopoliticalmonitor.com and a Geopolitical Analyst Fillingham holds a BA in International Relations from York University in Toronto, Ontario, Canada and an MA in Chinese Studies from the School of Oriental and African Studies in London, England. Geopoliticalmonitor.com is an opensource intelligence collection and forecasting service.

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Q ata r ' s r o l e o n t h e wo r l d s tag e : D i p lo m at i c G a m e p l ay

Qatar’s Role in

Libya and Beyond

Despite the fact that Libya is nowhere near the Persian Gulf, Qatar was the Arab state which most ardently supported the rebels in eastern Libya. Qatar has long had an active foreign policy, but its recent moves positioned it as a real player in the Libyan crisis. However, it remains a weak country militarily and relies on the US for its security, constantly reminded of its precarious geographic position between regional powers Saudi Arabia and Iran as it tries to use foreign policy as a tool to present itself as a useful ally to any country. 64 Qatar Today

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Coverstory

his desire to create a perception of power explains Qatar’s recent moves in eastern Libya, where Doha has slowly positioned itself as one of the main players in the diplomatic game being waged in various corners of the Muslim world. Despite all of Qatar’s vast hydrocarbon reserves, it wouldn’t mean very much if it were unable to export it, which requires not only territorial security (on land and in its territorial waters that contain offshore oil and gas deposits) but also unimpeded access through the Strait of Hormuz. And this is one of the most important reasons why the ruling family in Doha tries to maintain good relations with both Saudi Arabia and Iran, unlike Bahrain, which finds itself in a very similar geopolitical situation but with a 70% Shiite population. Qatar has better relations with Iran in part because only about 10% of its population is Shiite and it does not feel threatened by a Shiite majority acting as agents of Tehran. Qatar has extensive economic linkages with Iran and helps Tehran circumvent sanctions by acting as a shipping hub of illegal goods, much as the United Arab Emirates does. As for its relations with Saudi Arabia, Qatar was a contributor to the Peninsula Shield Force that entered Bahrain on March 14, while Doha-based Al Jazeera has been nowhere near as dogged in its coverage of the protests in Saudi Arabia’s Eastern Province as it has been in several other Muslim countries that have experienced unrest. The imperative of maintaining territorial security and unimpeded access through the Strait of Hormuz also creates the need for a foreign security guarantor. This forms the foundation of Qatar’s relationship with the United States. Qatar did not exist as an independent nation until 1971, when the British completed the withdrawal of their naval assets from the Persian Gulf region. For decades before, Qatar existed under British suzerainty. It was London that first granted protection to the Al-Thani family against the rival Al-Khalifa family in nearby Bahrain. And the United States has stepped into the role of a foreign power able to guarantee Qatar’s continued territorial

T

Doha benefits from its security alliance with Washington, but it also wants to maintain its independence and build a reputation (both in the Arab world and beyond) of being a significant actor in foreign affairs, more significant than geopolitical logic would suggest

integrity. The United States does not run Qatar’s day-to-day affairs as the British had done; the United Kingdom largely controlled Qatar’s foreign policy in exchange for security guarantees. But the United States does have a large footprint in the country with two significant US military bases. Qatar volunteered to be the new host of the US Combined Air Operations Center after it was removed from Saudi Arabia in 2003 and set up at the existing Al Udeid U.S. air base south of Doha. Today Al Udeid serves as a key logistics hub for American operations in Afghanistan and as a command center for operations in Iraq. A second American base in Qatar, As-Sayliyah, is the largest pre-positioning facility for US military equipment in the world. Doha benefits from its security alliance with Washington, but it also wants to maintain its independence and build a reputation (both in the Arab world and beyond) of being a significant actor in foreign affairs, more significant than geopolitical logic would suggest. Above all, it wants to be seen as acting in its own interests, even if it is operating according to a set of restraints that prevents it from pursing those interests too vigorously. Sometimes this brings Qatar in line with certain countries’ positions, only to find itself seemingly on the opposite end of an issue in short order. This is most aptly displayed by Al Jazeera, which first became known for its critical coverage of U.S. and Israeli activities in the region and is now widely attacked by Arab regimes for fomenting dissent within their own

countries. Despite what neighbouring governments may feel about the media outlet, Al Jazeera’s emergence has helped put Qatar on the map in the eyes of the Arab street, evidenced by the fact that in 2022 Qatar will become the first Muslim country to host the World Cup. Qatar’s active diplomatic presence in recent years has often involved disputes that have very little to do with its own direct interests, such as working with Turkey in helping to form the Lebanese government and mediating between the Sudanese government and various rebels groups in the Darfur peace process. Qatar’s integral role in supporting the eastern Libyan rebels is only the latest example of this trend. Whether Doha is acting according to US directives is unknown, but it is certain that Qatar’s efforts are in line with US interests and will bolster Qatar’s image in Washington’s view as a leader in the Arab world. Moves in Libya Despite the fact that Libya is nowhere near the Persian Gulf, Qatar was the most ardent Arab state supporter of the eastern Libyan rebels from the beginning of the uprising. This was not an obvious decision for Qatar to make, since what happened in Libya did not affect the situation in Qatar’s backyard. Still, Qatar was the only Arab country to recognise the National Transitional Council as the sole legitimate representative of the Libyan people and was the second country to do so after France. Qatar was also one of just three Arab states that have contributed aircrafts for the enforcement of the UN-

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Qatar’s most important contribution to the Libyan rebels, however, was maybe to help them market oil pumped from the Sarir oil field in eastern Libya, which would infuse the movement with much-needed cash to sustain its fight against Gaddafi.

mandated no-fly zone, sending six Mirage fighter jets to perform largely ceremonial over-flights alongside French warplanes. Qatar flew humanitarian aid into Benghazi airport. Displaying a desire to lead the Arab world on issues occurring in the region, the Emir, Sheikh Hamad bin Khalifa Al-Thani, openly called for Libyan leader Muammar Gaddafi to step down and criticised other Arab states for not helping to enforce the no-fly zone, saying on March 31 that “the suffering of civilians in Libya led the international community to intervene because of the inaction of the Arab League, which was supposed to assume the role.” Qatar’s most important contribution to the Libyan rebels, however, was maybe to help them market oil pumped from the Sarir oil field in eastern Libya, which would infuse the movement with muchneeded cash to sustain its fight against Gaddafi. Doha also reportedly provided a small supply of weapons to the rebels in early March and sent free shipments of petroleum products into eastern ports when it was feared that supplies of gasoline, butane and kerosene were running out. But if the eastern Libyans were able to actually to make money off the oil, which one rebel council leader – Finance Minister Ali Tarhouni – vowed was ready to shipment, it would give Benghazi a more sustainable solution to its pressing economic problems than stopgap aid shipments. Tarhouni, who returned to Libya from exile in the US in March, made a variety of claims regarding the oil-production

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capability in the east, ranging from an immediate level of 130,000 barrels per day (bpd) to 300,000 bpd or more within a few weeks. According to Tarhouni, Qatar was on board with a plan to “facilitate” the export of oil from either the Sarir oil field or storage tanks around Tobruk, most likely for shipment to European customers wary of the political or security risks of doing business with the rebels. Tarhouni’s claims were not confirmed or denied by the Qatari regime or by stateowned Qatar Petroleum (QP), which would most likely be the firm that would help facilitate exports of Libyan oil. One anonymous QP official said in March that the deal was “just a political move” and emphasised the difficulty in actually seeing it through, saying that the time frame would surely be longer than the week or so that Tarhouni was asserting. But in making such a statement, QP implicitly acknowledged that the deal was simply another case where Doha wanted to display its support for the uprising against Gaddafi. By taking part in the no-fly zone, Qatar did exactly that, while also demonstrating its utility to the West. Doha’s support allowed leaders in Washington, Paris and London to claim that an air campaign against a Muslim country had “Arab support”. The statements made by Arab League chief Amr Moussa in March showed how politically sensitive perceived support for such a bombing campaign could be in the region, which only made Doha’s support that much more appreciated in Western capitals.

These measures, along with the critical role Al Jazeera played in bringing the world’s attention to the situation on the ground in eastern Libya, gave tiny Qatar the reputation as a player in the Libyan crisis. This was no small feat, considering how insignificant the country is in relation to traditional Middle Eastern powers like Egypt, Saudi Arabia and Iran. Qatar remains, in reality, a very weak country that relies on the United States for its security and on its dealings with other more powerful states, but presents itself as a country that can be a useful ally. One of the main reasons Qatar was able to focus so much attention on eastern Libya was that it had not suffered the affliction that other Arab countries had since January, 2011. There was no Arab Spring in Doha, notwithstanding a few failed protests organised on Facebook calling for a “Day of Rage” in Qatar in early March. Should unrest flare up in Qatar as it has elsewhere in the region – which is unlikely due to its wealth and lack of sectarian divisions – but certainly not impossible – it will suddenly find itself much less concerned about the fate of eastern Libyans

STRATFOR is a leading publisher of geopolitical news and analysis. Its global team of intelligence professionals provides STRATFOR subscribers with unique insights into political, economic and military developments, including terrorism and major security threats. Subscribers include individuals, FORTUNE 100 corporations, government agencies and other organisations around the world. It was founded in 1996 by best-selling author and international affairs expert Dr george Friedman and is headquartered in Austin, Texas.

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Engaging all of the talent in Qatar The stakes are too high not to engage everyone in the Qatar workforce.

A

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capable and motivated workforce – that’s a central aspiration in Qatar’s long-term National Vision 2030 and the near-term National Development Strategy 2011-2016. Qatari nationals comprise some 6 to 7% of the entire workforce in Qatar and Qatarisation efforts aim to increase those numbers in all sectors. As important as Qatarisation is, rapid growth of the workforce-and the related organisational and managerial challenges that follow-will continue to be characterised by dozens of nationalities and cultural backgrounds. As Qatar continues to grow and evolve, so does the demand for talent in virtually all sectors and industries. Realising the National Vision will require more than people showing up in the workplace; it requires capable and engaged employees who take their work to heart, employees who are committed to continual improvement and organizational success. Employee engagement is critical for the success of any organisation, and it is especially so as Qatar moves from its reliance on hydrocarbons to a more diversified knowledge economy. Firms relying on knowledge workers need people who can navigate in changing work environments, who do not only rely on standardised procedures, and who have room to manoeuvre to solve clients’ problems and put innovations into practice. They need a workforce committed to the organisation’s values, goals and aspirations. In short, they need en-


bottom line Low Engagement Teams

High Engagement Teams

Turnover

14.5%

4.1%

Absenteeism

8%

4.8%

Quality errors

5,658

52 (!)

Comparison of key indicators in low and high engagement teams in a Fortune 100 manufacturing company (Source: Development Dimensions International, Inc)

gaged employees – a key factor of competitive advantage in a knowledge economy. Development Dimensions International (DDI) underscores the power of engagement with its study on “Employee Engagement: The Key To Realising Competitive Advantage”. Their study concludes that “those employees with higher engagement scores are more satisfied with their jobs, less likely to leave their companies, and more capable of achieving their performance goals.” This is good for the bottomline. The impact of employee engagement was measured at a Fortune 100 manufacturing company and found to be considerable (see box). No doubt, engagement works and pays off in any sector. The Qatar National Development Strategy identifies key factors for motivation of the local workforce, such as decreasing the difference in benefits Qataris receive in public and private sector jobs, and creating awareness of the substantial value of higher education. The strategy also addresses the needs of expatriates (mobility in the labour market, for example). A report by Mercer’s “What’s Working” research group, however, has identified the four engagement factors crucial to virtually all employees, regardless of cultural or professional background: • The work itself, including opportunities for development • Confidence and trust in leadership • Recognition and rewards • Organisational communication Critical engagement factors vary from

one country and culture to another. Still, this list provides a good place to start. From there, leaders and mangers can learn which factors affect employee engagement for all those working in Qatar, nationals and nonQataris alike. Here’s our advice for near- and longterm action: • Do an audit to understand current levels of engagement. This can be done in-house or with help from outside expertise. Make sure to include all groups/nationalities to get a full picture. From this baseline, reinforce current programs and/or initiate new efforts. • Make the fit. A myriad of instruments are available to help individuals and employers to identify individual strengths and then go

In Action assessment, the Clifton StrenghtsFinder, the Centre for Applied Positive Psychology’s Realise2, and Stand Out by Marcus Buckingham, to get an idea of the possible assessments you could use.) • From there, develop a plan for fostering a culture of engagement that is tailored to your organisation. Consider the following: Helping employees to see how their work fits in the big picture Providing high-quality opportunities for learning and development Fostering effective work teams Providing performance feedback that is constructive, timely, and part of day-to-day practice Ensuring that managers are skilful and supportive

A staged approach, following the National Development Strategy 2011-2016: A capable workforce... should lead to ?

...is in line with education and development goals.

A motivated workforce... should lead to ?

... is in line with productivity goals, retention goals, increased Qatari private sector participation and further attraction of expat talent.

An engaged workforce...

...is in line with the requirements of the long-term goal of a knowledge economy.

The authors, Birgit Radl-Wanko and Kevin Lamb, will be conducting research to get a clearer picture of how much employers in Qatar value and practice employee engagement. Read more about this and other aspects of employee engagement in the following issues.

on to leverage those strengths to make engaging, rewarding and meaningful careers. Misalignment of strengths and job requirements is a big contributor to poor employee engagement. (See Peterson’s Values

Do not expect a quick fix. Building and sustaining a culture of genuine engagement takes time, trial-and-error, and a willingness to persist. The win-win payoff is more than worth the effort

Visit

www.omsqatar.com

By Birgit Radl-Wanko and Kevin Lamb Birgit is an organisational consultant and trainer with a focus on leadership development and change management. She has worked with organisations in the public, private and nonprofit sector in the US, Europe and the Middle East and is a Qatar resident since 2010. kevin is an organisational development consultant and managing partner at Keystone Global Consulting Group, based in Qatar. His focus is on organisational health practices and their link to organizational performance. Birgit and Kevin will be writing a regular column on employee engagement in Qatar.

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Change

Communications

Shining Light on the Change Process

How many psychologists does it take to change a light bulb? None, the light bulb will change when it’s ready.

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f only it were true. Understanding human behaviour may be the purview of psychologists but understanding the tactical and strategic communications that drives change programmes is the specialism of change communication practitioners. Qatar has undergone major change in the last 15 years, government organisations and corporate entities have had to grapple with the pace of the transformation, some have succeeded, others have struggled. But change communications is a discipline that has not featured strongly in the Qatar evolution experience. The main reason for the mixed success of change programmes is that many of us are resistant to change even though it is one of the few guarantees in life. Innovations, advancements and changing circumstances, force us to deal with shifting realities regularly. We all have different ways of coping,

many struggle with the process, while a few relish the opportunity. In an organisational environment, that change process must be managed to ensure a smooth transition from the current position (As Is, in change management lexicon) to a future state (To Be), ensuring that all impacted by the change are clear about the reasons and benefits. So how can communications effectively support a formal change process? Is there a magic formula for implementing change communication programmes? The short answer is that communications is vital and that there is no magic formula. Each organisation, entity or project has a unique set of circumstances and imperatives. Why is change communications important? Simply speaking change communications is


bottom line

Kotter’s 8 change drivers: Vision Clarity what is the strategic vision for the organisation? Do all senior management share that vision? Has it been effectively and consistently shared with employees and other internal stakeholders?

Case for Change why does the organisation need to change? Typically, change management programmes will introduce a ‘burning platform’, create a reason for change, perhaps it is competition from other organisations, declining value of the company or simply a frustration that the results of the organisation are not being achieved

everything you need to do to successfully communicate the change to your internal stakeholders, including employees, leadership, middle management, even third-party suppliers in some instances. The more complex explanation is that change communications is about how you convince internal stakeholders to behave in the new reality and the organisational culture you create to reinforce and insti-

Change Leadership & Accountability is the leadership of the organisation prepared to take responsibility and be accountable for the change? Do they clearly see it as their responsibility is it a programme they can commit to?

Stakeholder Commitment are all internal stakeholders committed to the change? Do they understand and believe the need for the change?

Integrated Planning and Teams ensuring that the change is effectively managed through teams that are integrated and all striving to meet the same goals.

Communications is a central driver for change

Aligned Performance and Culture entrenching the change within the culture of the organisation. If staff begin demonstrating the behaviours required, how is their performance measured and ultimately rewarded?

Training and Change Capability sometimes people just don’t know how to change or what is expected. Training and building the ‘change culture’ in an organisation is very important.

Communications how will the change be communicated? How will staff be engaged to understand and value the change that is being implemented? The view of this author is that the communications driver is central. It is the grease that oils the wheels of change. Combined, the drivers, with the communications driver facilitating, help to build the desired organisational culture for the future .

tutionalise those behaviours. Australian management consultant Georgie Macris says change communications teaches leaders to be the face of change, managers to be the drivers of change and communicators to be the voice of change. Change communication supports leaders, managers, communicators and employees to successfully navigate their way through organisational changes in the workplace environment.” Management consultant, trainer, and writer at Heathfield Consulting Associates Susan Heathfield says that there is no such thing as over-communicating when an organisation is going through a change process. “Every successful executive, who

has led a change management effort, in my experience, makes this statement. I have never worked with a client organisation in which employees were completely happy with communication. Communication is one of the toughest issues in organisations.” In technology-led change programmes, such as an ERP implementation, it is generally accepted that 90% of programmes that fail are due to poor communications, not technical issues. Eight Drivers of Change Marketing guru and Harvard Professor John Kotter talks about the eight drivers required for effective changes programmes. Kotter believes these drivers need to be addressed in equal measure. Therefore change communication practitioners must understand each driver and how they inter-connect and then develop a campaign that articulates the change process to the internal audience through whatever channels and tools will be most effective. Often research is required to confirm the appropriate vehicles for delivering the messages. Without this fundamental understanding of the drivers of change and the important role that change communications plays, the chances of Qatar organisations succeeding with their transformation processes is significantly reduced. How many change communicators does it take to change a light bulb? Four. One to facilitate the placement of the ladder, explain its role and to hold it in place. The second to entice employees to the room that is in darkness. The third (supported by the first two) to convince employees of the benefits derived from changing the light bulb. The fourth to guide the employees through the process of changing the light bulb for the change communicators

CONTACT

SAMSON@GROWQATAR.COM

By Samson Samasoni, Managing Director, Grow

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tag this

Quick, effective, productive Speed Funding makes its Qatar debut, as Angels and entrepreneurs take the first tentative steps towards a new way of doing business, writes Vani Saraswathi .

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een Hitch? Well, it’s just like that, only with a business twist. At 6 on a Wednesday evening, a group of Qatar residents meet in a West Bay tower meeting room. There are seven tables lined across the room. Each table hosts a couple of investors – some are individual investors and some are institutional. There are seven business ideas to be pitched by eight aspiring entrepreneurs,

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who all look a little tired. They had spent the better part of the afternoon fine-tuning their pitch and getting familiar with the dos and don’ts of speed funding. After some informal networking, Lois Cook and Bill Morrow, founders of Angels Den, flag off Qatar’s first Speed Funding evening. The entrepreneurs take their seat, hoping to get hitched...with an investor. They have five minutes to convince the ones with money to spare, that their idea is worth the investment. Another three minutes to answer queries. Then, they move away. The investors get two minutes to make their assessment, before meeting the next entrepreneur. After every table pitch, the entrepreneur walks back looking even more rejuvenated. Table to table their pitch gets sharper, their confidence more visible. One of those 10-minute sessions could well result in a promising start-up. But what, who and when we don’t know yet. Qatar Today speaks to Cook after the

event, about Angels Den’s Qatar soiree. Is Speed Funding the only manner in which Angels Den links entrepreneurs to investors? What are the other modes of doing this? Speed Funding is our flagship model, but our Regional Managers do personal matching, connections are made through the online facility and we run Angel clubs where groups of Angels meet regularly and talk to businesses that have been screened to their requirements. All these methods are successful for different types of people and we continuously add new ways to get people funded. Can you share some insights from the workshop in Doha, and the event later in the evening? It was a good pilot event and the standard of businesses was high. I was particularly impressed by the two businesses owned by women who had ambitious plans for things


tag this they really believed in. As usual everyone all had a lot to learn from the Angels and got amazing advice and feedback – as well being able to start discussions about funding with some of them. When did your interest in aiding entrepreneurs begin? I was a corporate employee for around 20 years and very immersed in that world with no particular passion for entrepreneurship. However, about 15 years ago, I was selected by a UK government initiative to set up a pilot group that would create a bridge between Senior Management mentors in large organisations like mine and local small businesses. I ran this group for around six years and was really taken by the enthusiasm, ingenuity and ability to multi-task shown by the entrepreneurs. Although the idea was for them to learn from the mentors I felt I learnt as much from them. I was drawn to change my career and re-trained so I could coach SMEs and set up an online support forum for them so they could share skills and network. Why Angels Den? Because I’m all about getting to the heart of the problem and funding is the biggest barrier to SME growth. When I supported growing businesses it was the number one issue that held them back. I had also met some Angels and found that it can be incredibly rewarding to invest in a growth business. Some of our Angels say it has been a lifeline for them. If you have money but are not engaged in something that gives you a sense of purpose it’s easy to get frustrated and become aimless. Being an Angel gives people a way to use their skills, feel incredibly valued, have the excitement of business life (without the long hours) AND make money at the same time. Could you share some interesting anecdotes from the early days of Angels Den? I like the story of our audacity when we started out. We were frustrated with the archaic Angel matching methods in the UK that involved a lot of red tape, took a long time and could be quite humiliating for entrepreneurs. However, we wanted to create a stir at our launch event so we took the top floor of the Oxo Tower in London, invited the press and all our competitors. They all came along out of curiosity and had to sit through Bill telling them why it was time to do things differently. Although we knew all of them individually it was challenging for them to be in the same room as

all their competitors all at once. In the end, it went off well, but the pre-event nerves were pretty high! As an entrepreneur, which challenges are ones that you found most interesting overcoming? Although we researched the market before launching, our first model was an online-only Angel matching service. It only took a few months to realise that the best partnerships are formed face-to-face and that our market research subjects had told us what they thought they would do and not what they would actually do in practice. It’s a subtle distinction that can be the downfall of many businesses. As a result, I’m now a great believer in people proving their business model on a small scale rather than relying solely on

5 tips for hopeful investors 1. If you are new to Angel investing, take the time to attend one of our awareness and training sessions to make sure it is right for you, and then start small for your first investment. 2. Keep an open mind about which sectors to invest in. 3. Look for clever, profitable and scalable business models. 4. Most importantly choose people who are credible, likeable and trustworthy. Find out what they do when things don’t go according to plan and spend some time with them before committing. 5. Don’t invest an amount that will give you sleepless nights worrying about it. Keep it fun!

5 tips for entrepreneurs

“...funding is the biggest barrier to SME growth. When I supported growing businesses it was the number one issue that held them back.”

market research. What defines you as an entrepreneur is how quickly you learn from mistakes and adapt and I’m proud that it only took us a few months to change our model to include a human interface – we came up with our USP of Speed Funding within nine months. We continue to learn and adapt to create the best way of connecting people and engaging them in great partnerships. What would Angels Den Qatar’s role be once the investors and entrepreneurs have entered a contractual obligation? We work predominantly at the introduction phase, so once they have invested we don’t have a financial interest in the company. However, we often meet entrepreneurs when they come back for later rounds of funding and of course many of our Angels are regular investors.

1. Prove the business model – if you can spend X and generate Y in sales and Z in profit, you can argue that by investing 1000x you have a chance to make 1000Y and 1000Z. 2. Protect your idea if you can, with trademarks, patents, clever leverage and partnerships. 3. Create a great brand that reflects your values and that you can keep when you are big. 4. Work out your expansion model and a sound financial forecast. 5. Find yourself an Angel who will help you take the embryonic business into the market.

What kind of growth do you expect in the region in terms of Angel investors? We are expecting massive growth as we get the message out to investors in the region and they learn how they can contribute and make a difference to the world. Angel Investing is a truly sustainable way to benefit the long-term development of the country. You can make money for yourself and your family, while furthering economic growth and creating jobs. Your advice for aspiring entrepreneurs? Always prove your business model on a small scale, surround yourself with a good team and, once you are confident you have the right formula, raise funds and really go for it. If you do things on a meaningful scale that creates wealth and employment it is so much more rewarding and you can define your position in the market

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tag this

I am a Bank, I am boring Financial institutions are not perceived to be innovative and creative when it comes to online media and technology. Due to certain regulations and reputation issues, they have been a step behind other industries in making their presence felt online.

L

et us explore a few ideas that can help you gain a foothold in online conversations and interact with your customers. I recently attended a panel discussion, where a question was raised on how to deal with customer issues raised on your social media channels. Panellists were convinced of the methodology of trying to contact the customer to get details of the problem and acknowledge the issue. After understanding the issue, commit on resolving the same. What if your bank's customer service still gets criticised online even though you have taken efforts to engage with your custom-

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ers online? Well, then you have to investigate the case and invest in enhancing your customer service. Online media is just another channel to communicate with your customer. Don't just talk about banking If you expect to build a relationship with your customer, you need to talk about various other topics that can build a conversation on social networking sites. If a customer needs to know about your products and offers, they can always go to your public website. You can use Social Media tools to change the "mean and greedy" image of financial institutions. Check out Lloyds Bank's Facebook page. They are talking about the upcoming London Olympics with a countdown ticker. This has got nothing to do with banking. These initiatives create friendly online conversation and interaction that may not be facilitated by a bank otherwise. Be a start-up mentor Have you ever thought about nourishing potential young talent to form large

enterprises? How about offering some advice on launching a start up? A bank has I wanted to get a feel for what people expect from their banks in Doha on social media channels, and invited tweets on the subject. Here is a summary of what the tweets had to say: People expect their bank to be more interactive and provide online support for issues. They want instant answers to their queries and special offers for following/liking the brand. Many "twitteratis" complained that the banks never responded to their queries. Interestingly, few of them replied that they were not interested in having a conversation with their bank on social networks, as banks are only meant to manage their money, not to have a relationship. There lies an opportunity for the banks to show that they can manage human relationships and just not financial ones.


tag this

the financial capability and the expertise to mentor start ups. Use your online channels to give tips to people interested in learning more about the enterprise world. Your investment banking arm could possibly fund the next Google or Apple. Show you CSR initiatives Have you done something for the community? How about informing people via your social media channels? Do you want volunteers for a CSR initiative? Ask for them on your social media channels and watch the response. Check out the Bank of America page, asking for people who would like to volunteer for their "Building Opportunity" initiative. Many financial institutions are involved in charity initiatives that go unnoticed. Their projects are not covered in the media

and the average customer is not aware of these initiatives. Social networks are great online tools to tell your customers about these projects and strengthen your brand. Giveaways for your online fans Customers love participating in competitions. This initiative encourages them to follow your brand online. Host a few competitions for your social media channel fans. Check out the CitiBank Facebook page. They are giving an opportunity for their fans to win cash or jam with their favourite band. How about offering your online fans a discount or a coupon to dine at their favourite restaurant? Online surveillance of social-networking sites is a new trend for traders dealing in hedge funds and big banks managing

customer assets. Stocktwits is a social, stock micro-blogging service monitoring emotions of stock market traders. You will find a community of traders and investors sharing market insight, ideas, charts and news streaming in real-time. This is true engagement of financial marketing with online media. An UK investment company, Derwent Capital Markets, has launched a ÂŁ25 million hedge fund that will use the sentiment of Twitter messages to help guide its trading strategy. As we look forward to 2012, financial institutions will continue to invest heavily in social media and interactive marketing, and work on the revenues. There is a strong possibility of structural changes in many organisations, whereby digital channels, e-marketing and e-business will fall under one umbrella

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www.twitter.com @kapilkb blog @ iwep.blogspot.com amateur photographer @earsplease. blogspot.com

By Kapil Bhatia Kapil Bhatia is an E-Business Manager working in the Financial Services Industry for the past 10 years. His work ranges across Digital Marketing, eChannels and development of marketing strategies, with a sound Information Technology base.

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Qatar Today 75


GREEN SCENE

ALL THAT

WASTE!

Dr Sarah Clarke, the Coordinator of SWIG with Dr Alex Amato, Chairman, Research and Innovation Committee, QGBC.

Where does it all go? An interest group under QGBC tries to crack the predicament of growing waste in the country. Sindhu Nair finds out...

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Qatar creates more than 7,000 tonnes of solid waste each day and that figure is going to spiral in the coming years with an ever-increasing population as a result of the dramatic pace of change and development in the country. Of the total figure, 30% is from domestic waste (household, markets, and office buildings) while commercial, construction and industrial sites account for the remainder. The majority of this waste comes directly or indirectly from the built environment and ends up in landfills due to a lack of disposal facilities that can segregate and recycle waste.

If that is not a worrying statement then have a look at this. Following an integrated dog-walk and beach clean-up effort recently, covering half a kilometre of mangrove at Al Wakrah, more than 2,400kg of waste was collected in a two-hour period. The waste consisted of 27% industrial waste and 51% construction waste. It also contained extremely hazardous materials such as used engine oil, car batteries, spent gun cartridges, tyres and a corroded canister containing phosphorous (which is very toxic). Now that IS a lot of waste in just a small


GREEN SCENE stretch (there were close to 4,500 plastic bottles collected). Qatar Green Building Council (QGBC) and Solid Waste Interest Group (SWIG), one of the working groups within QGBC, involved in the cleanup activity, is taking positive steps to control this piling waste, and Dr Sarah Clarke, the coordinator of SWIG, with her team, are passionately involved in this process by first mapping the waste generation and then finding solutions for reducing it. “The National Development Strategy 2011-2016 makes very bold statements about what it wants to do as a country to manage this large amount of waste. It outlines very bold targets. It targets to increase recycling from the current 8% to 38% by 2016, which is a very big undertaking, keeping in mind that very little has happened so far,” says Dr Clark. “The main aim of the SWIG is to contribute towards the NDS by first reducing waste and then make sure there is sustainable disposable of waste that you cannot avoid.” QGBC-SWIG aims to raise awareness about issues of solid waste in the built environment with a view to helping companies and individuals eliminate or minimise solid waste generation and handle unavoidable solid waste in an environmentally conscious manner, thereby contributing to the achievement of the NDS goal. Education, collaboration and research are all important steps in this direction but it is not all. It is really practical action that counts and this is what Dr Clarke intends to do. “The first step is to get data and then use this to say, ‘Hey, we have a problem here so what do we do about it?’” QGBC and SWIG intend to be the point of call for data on solid waste. “A lofty aim,” Dr Clarke agrees, “but we aim high and hope to achieve it.” Understanding the barriers Work has begun and a mapping exercise is in process, according to SWIG. “There are a small number of recycling facilities here but there is no easy information or cataloguing done. There is no national recycling initiative and companies have to seek out information. We are having a small survey to seek out what companies are doing with their waste. “So one of the things we hope to do is encourage people to talk about their waste because this could provide inputs to another industry, like materials for the construction industry that looks at using

recycled products. For example, wooden pallets that could be used in the flooring,” she says. SWIG is looking at forming a materials exchange programme where one company’s waste could be another’s resource. “We are looking at how feasible that will be in Qatar. This requires a lot of legislative change and policy alterations, as the law might not allow such recycled materials to be reused.” “With a little bit of effort, we could spark discussions and research on that and then move as an entity towards the outcome. This is what QGBC wants to do, spark interest, undertake research and make the reused product acceptable. Through networking, knowledge sharing and information sharing, we could generate best practises,” says Dr Alex Amato, Chairman, Research and Innovation Committee, QGBC.

“The main aim of SWIG is to contribute towards the NDS by first reducing waste and then a sustainable disposable of waste that you cannot avoid.”

Understanding barriers and then working around them for the best outcome is important. So what then is the barrier for the country, in having a national recycling programme? “There is no particular barrier. This is just a result of sudden growth. It is common among developing countries. Qatar has had unanticipated and unprecedented growth which generates a lot of waste and the infrastructure to handle this is just catching up. India had the same problem; it still has the same problem with its growing population and high development,” says Dr Clarke. It is of some relief to note that the UK took around 40-50 years to get recycling in the psyche of the country. “Talking about UK, in the 90s, a land fill tax was introduced, a tax paid for per

tonne of waste sent to the landfill. It was a hypothecated charge that was then used to reduce waste and for other aspects to do with the environment. An organisation called WRAP (Waste Resources Action Programme) was set up, partially funded by the landfill tax that undertook a whole range of recycling programmes. “A good practise which could be applied here would be to set up a site waste monitoring programme for every large construction site. And taking the burden away from the contractors, the designers and architects could also work to ‘design out’ a lot of waste at site,” says Dr Amato. “Taking a more regional example, Abu Dhabi has already introduced legislation and an action that can be seen as a positive step towards reducing construction waste,” she says. In a move to reduce the amount of waste production in Abu Dhabi, the Centre of Waste Management launched the ‘Waste Generation Tariff System’ for companies and establishments from March 16, 2011. The landfill charges are aimed at reducing waste production from commercial, industrial, construction and demolition activities by 80% of its current volume by 2018. “Changing the law that allows the use of recycled material in the construction sector is also another step that the Emirate has undertaken. It would be interesting to see how the people understand this legislation and use it to reduce waste.” Changing perspectives Another step that Dr Clarke feels will help is understanding that all waste is not bad, which will then promote recycling to a greater extent. Plastic is a big hazard to the environment and plastic recycling is one solution of minimising the problem. “But there are more simple things that we can do, like eliminating it at source. If all the hotels were asked to stop using plastic bottles in rooms and replace them with glass bottles or jugs, it would be one great step. The packaging industry is another sector that should be relooked at. What they could do is at least make waste that is unavoidable, biodegradable.” All of these initiatives need time, to be understood, accepted and then put to use. QGBC and SWIG have put the wheels in motion and only time can tell if the country is geared for a mindset change

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january 2012

Qatar Today 77


GREEN SCENE

Green Resolutions As part of the execution stage, each of the nominated schools will have a green pledge board to constantly remind and encourage students to utilise resources carefully. Let’s resolve to begin the New Year on a green note: I promise to stop wasting electricity.

Welcome a Green

2012

I promise to respect, love and protect our environment, culture and heritage. I promise to use paper wisely and think before I print. I promise to drive less and walk more; to car pool. I promise to switch to cloth bags instead of plastic. I promise to conserve nature, wildlife and their habitats.

The Green Programme for School (GPS) is an environmental initiative of Msheireb Properties in association with Qatar Today magazine.

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I promise to save water.

I promise to reduce pollution. I promise to plant trees and protect them. I promise to support products, brands, companies and institutions that are eco-friendly.

his unique programme aims to Reach, Inspire and Reward students and schools in Qatar by meaningfully engaging and inculcating in them the importance of building a green culture. GPS will enter its execution phase this month with the nominated schools being activated with creative visuals and various other monitoring tools. In the course of the year, these schools will be judged and monitored for their electricity, water and energy consumption. The school which reduces its consumption the most will be awarded the ‘Eco School of the Year’. Last month, GPS also put up a road show at Katara Beach during the youth festival ‘Run The World’ organised by The Youth Company, drawing attention from many visitors, especially the youth. Being a student-oriented programme, the youth festival provided an ideal platform for GPS to reach out to a wider audience.

To know more about the programme,

visit the GPS page at http://www. facebook.com/GPSQatar. To know more about GPS,

contact 44550983

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sport file

Qatar rides high in successful completion of

Arab Games 2011

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H the Heir Apparent Sheikh Tamim bin Hamad Al-Thani handed over the medals to Bahrain, the winning team of the final football match between Bahrain and Jordan held before the closing ceremony after which the Doha skies lit up with fireworks to mark the successful completion of Middle East’s biggest sporting showpiece. Qatar managed to show their resurgence in sports in the region by putting up their best ever performance in the Arab Games history. They finished fourth on the medals tally with 32 golds, 38 silvers

and 40 bronze medals. Egypt finished at the top of the medals table with a whopping 90 gold medals, 76 silver and 67 bronze. Tunisia held second place with 54 gold, 45 silver and 39 bronze medals, while Morocco settled for the third spot with 35 gold medals, 24 silver and 54 bronze. However, Tunisian swimming sensation Oussama Mellouli was the highlight of the Games. The 27-year-old ruled the pool for six days, winning an incredible 15 gold medals and one silver. The Olympic and World


sports file

Sport file

champion might have come close to making a clean sweep of the 18 medals had he not been disqualified in the 100m breaststroke and dropped out from the 50m backstroke. The next Arab Games will be held in 2015 in the Lebanese capital, Beirut. HH the Deputy Emir and Heir Apparent Sheikh Tamim bin Hamad Al-Thani patronised the closing ceremony of the 12th Arab Games 2011 on December 23 at Jassim Bin Hamad Stadium of Al Sadd Club. The ceremony was also attended by HH Sheikh Abdullah bin Khalifa Al-Thani, the Private Adviser to HH the Emir

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braking news

beacon of glory

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Nissan Juke for the young

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issan’s new and aggressively styled compact crossover Nissan Juke was unveiled by Saleh Al Hamad Al Mana Co. exclusive distributors for Nissan, Infiniti and Renault in Qatar. Exuding attitude, irreverence, modish style and energy, the Juke aims to impress the younger market. The Juke’s lower half is pure SUV with chunky wheels, wide tyres and extended ground clearance, while the top is all sporty with a high waistline, slim visor-like side glass graphics and a coupe-style falling roofline. Inside, the sports car theme continues with a cockpit oriented cabin dominated by a centre console design inspired by

a motorcycle fuel tank that adds a sense of fun to the car. Two engines are available for the Middle East region, the 1.6-litre Gasoline Engine unit and the 1.6L Direct Injection Gasoline Turbo Engine. At the top of the range is a new turbocharged petrol engine (MR16DDT) with direct injection (DIG-T) that develops a power of 140kW and a torque of 240 Nm with low fuel consumption. Along with standard equipment such as integrated control system which gives the driver the chance to optimise the car’s dynamic functions to suit their needs, two airbags, ESP, full auto air conditioning, Bluetooth and a CD/radio, a full range of accessories has also been developed for owners who want to personalise their Juke further. “The Nissan Juke is about to shake up the market with a boldness, style and sense of fun that it has never seen before. We believe Juke’s unique combination of motorsports-inspired exterior and interior design and unexpected levels of technology is going to force Juke into the heart of the fast-growing compact hatchback/crossover market”, commented Abdulilah Wazni, Regional Marketing Manager at Nissan Middle East. The Juke is priced starting QR75,000 and is currently available at Saleh Al Hamad Al Mana Co. showrooms for sale and also test drives.

25 years of exclusivity

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orsche Centre Doha, Al Boraq Automobiles Co. celebrated the 25th anniversary of Porsche Exclusive with a three-day event at the Porsche showroom in Doha while showcasing a variety of Exclusive models, including the 911 Speedster and the Sport Classic, to guests. Al Boraq Automobiles, Chairman and CEO, Salman Jassem Al-Darwish said: “For 25 years, Porsche has been offering the option of individual tailoring to create an unmistakable, unique vehicle. Porsche Exclusive offers handcrafted alterations to

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provide a highly individual touch in terms of design and performance - something our discerning customers in Qatar and across the region truly appreciate.” The Porsche 911 Sport Classic is a limited edition with only 250 cars worldwide - and just one in Qatar. It features a double-dome roof and striking sport design front, with its unique spoiler lip and a fixed rear spoiler modelled on the legendary ducktail of the 1973 Carrera RS 2.7. Powered by a 3.8-litre direct fuel injection engine, the Sport Classic produces 408 hp. The Sport Classic comes exclusively with a six-speed manual gearbox. The 2011 Porsche 911 Speedster,

on the other hand, is powered by the latest version of its 3.8-litre flat six cylinder engine. It delivers 402 hp and 310 pound-feet of torque. The gearbox is a seven-speed PDK double-clutch gearbox with a locking rear differential. Other models on display included a Panamera 4S Middle East Exclusive Edition, 911 Turbo S, Cayenne Turbo and a Panamera Turbo S. Porsche Exclusive was first introduced in 1986 to offer Porsche enthusiasts the chance of ultimate personalisation to create a vehicle that reflects their personality, their passions and their emotions.



braking news

A Porsche treat for the local media The first ever Porsche Media Test Run took place in Qatar on December 10 when local media took part in an exciting day of driving the range, in an event conducted by Porsche Centre Doha, Al Boraq Automobiles; and hosted by the Grand Hyatt Doha. A fully-fledged fleet of Porsche models was in the line-up starting from the current Boxster and Cayman S generation to high-performance sports cars such as the legendary 911 Carrera S Cabriolet, the luxurious Panamera models in both V6 and V8 variants, and the new Porsche Cayenne.

Jaguar chases two motor awards

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uring the 2011 Middle East Motor Awards (MEMA) held at Expo Centre Sharjah UAE, Jaguar Land Rover scooped prestigious awards for two of its models – ‘Best Luxury SUV’ for its Range Rover while XJ won the ‘Best Luxury Car’. Land Rover MENAP, Marketing Manager, Jean Atik commented, “We are very proud to have received this award for the flagship and most luxurious SUV on our fleet, which is recognised by such an esteemed body as the MEMA. This award demonstrates our brand appreciation across the region and

our efforts in building the ultimate vehicle that combines the ultimate in off-road capability with unparalleled luxury.”

The Range Rover’s 5.0-litre, 510bhp supercharged and 375bhp naturally aspirated LR-V8s deliver supreme performance. Equipped with the latest direct fuel injection systems, these engines provide outstanding levels of power and torque. The supercharged V8 can rush to 100kph in a mere 6.2 seconds. Meanwhile, XJ boasts of the most advanced, powerful and efficient Jaguar powertrains ever. Powered by the 5.0-litre naturally aspirated V8 and 5.0-litre supercharged V8, the Jaguar XJ comprises 470 and 510 hp versions of the supercharged engine to deliver exemplary performance.

New Year, New Series

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he new BMW 3 Series sedan will go on sale in the Middle East at the end of February 2012, says BMW Group Middle East. With 12.5 million cars already sold since its launch in 1975, the 3 Series continues to be BMW Group’s best-selling model series. The new powerful design elements include a new BMW face, with flat headlights reaching along as far as the BMW kidney grille. Overall, there has been an increase in length, width and wheelbase compared to the predecessor model, giving the car an

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elegant and athletic silhouette. A choice of two powerful four-cylinder engines, 335i and 328i with an eight-speed automatic gearbox and twin power turbo technology will make the new 3 Series more economical and lower in pollutant emissions. BMW efficient dynamics technology includes the new driving experience control switch which allows the driver to choose between sporty, ultra sporty, comfortable and extremely

economical driving. The Series also offers the latest-generation full-colour head-up display which projects key information in 3D onto the windscreen, and the surround view with side view and top view which gives a bird’s-eye perspective of the vehicle and the area around it.



MARKET WATCH

Luxury Redefined Al Gassar Resort

Wolfgang

Pachler, Chief Operating Officer at Resorts Development Company, the master developer behind Al Gassar Resort, brings with him a wealth of experience and not all of it is limited to the hospitality sector. He has used his business acumen working across sectors, with 20 years invested in the hospitality sector. In this time he has worked for prestigious hotelier groups, such as the Mandarin Oriental Group, Marriott Hotels and Resorts and Grand Metropolitan Hotels. For Pachler, the most exciting ingredient in his versatile and extensive work experience around the globe is the opportunity to work across cultures. “You do not have to reinvent the wheel but the wheel is geared to run differently in different cultures,” says Pachler. “It is the people and the business that make the job more exciting for me as it is never the same from day to day. This is especially so in the

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By Sind h u N a i r hospitality industry and it makes me keep doing the same work without it ever being the same. Opening a hotel in Asia is not the same as opening one in Europe. And that makes my job so interesting. “In the hospitality industry, you are trying to sell the latest standards in luxury and comforts while at the same time wrapping it around history and traditions and a bit around environment too. And Al Gassar Resort has all these ingredients to make it one of the most interesting landmarks in Qatar. “We are definitely excited about the opening of Al Gassar Resort early next year. This amazing development has it all, from the luxurious St Regis Hotel, to residential options, an extravagant ballroom, a range of F&B (food and beverage) choices and a variety of community offerings. This, with a dream lifestyle of unparalleled elegance and luxury, is a good mix of a holiday environment with all the comforts of business.”

Pachler added. The Al Gassar Towers are difficult to miss, with distinct Arabic features; the sand brown towers are in close proximity to Katara Cultural Village and takes full advantage of the beachfront that Doha’s coastline has to offer. Behind the hotel, which is the centre piece of the development, looms the triple-towered residences, with two parallel, towered wings. The tallest of the three towers acts as a focal point, positioned centre stage behind the two wings. With a range of executive apartments available, from business bachelor quarters to opulent family spaces with as many as five bedrooms, the Al Gassar Resort promises to provide “unmatched luxury”. The main circular tower has a mix of one, two, three and four bedroom apartments with five-bedroom penthouses and a dedicated external swimming pool.


MARKET WATCH

The centrepiece St Regis Doha Hotel

Wolfgang Pachler, Chief Operating Officer at Resorts Development Company

With around 422 luxuriously furnished apartments available in the northern tower and east and west twin towers, residents of Al Gassar Resort will have a lot of choice. “The amazing community has been designed for residents looking for a hotelstyle living experience with a customised service in their own home. To have signature restaurants at walking distance from your apartment is another plus point for the residents.” So is this part of the country’s ‘sprucing up programme’ for the World Cup 2022? “No, this is not just for one big event; this is part of the development of the country, as a long-term investment. For a country that is making progress in all fields of knowledge, sports and entertainment, it is natural that its residential options increase to embrace top-notch luxury offerings. Qatar has plans to develop itself as a high-quality tourist destination and these are the steps in that process. From what I hear, it is quality that is being stressed here not quantity.” “Each country has its own USP (unique selling point); Egypt has its antiquity, it’s ancient history; the Gulf, like Abu Dhabi, has its horse-racing experience; Dubai is the oldest tourist destination and has improved a lot over the years; while Qatar has its special magic, with stress on high quality luxury services, be it consumer goods, residential offerings and even hospitality services.” According to Pachler, at Al Gassar Resort, it is discreet luxury that makes its mark backed by its unique architectural features, its location and top-notch service that will soon be on offer for Doha residents.

Luxury has become more of a figurative term and is still the most used adjective when describing new entrants in the Qatari hospitality market. Any brand that opens its doors to the Doha clientele comes with this flamboyant tag! But when it is comes to hospitality, there is no looking further than St Regis, promises Tareq Derbas, General Manager of The St Regis Doha. St Regis is a brand steeped in history with over 100 years in service and it has experienced remarkable growth, spreading its wings around the world, in such coveted locations as New York, Singapore, London, Rome, Bali and now in the Middle East. So what are the attributes of St Regis Doha that classifies it as the “best in luxury”? “One of the services that is a signature of the St Regis heritage is our butler service, which will be available to all guests of the hotel. The St Regis butlers will take care of all the personal needs of the guests, from the pressing of their suits to acting as their shopping guide. The St Regis Doha has recruited professional butlers from around the world, and is training them to offer the unique standard of service. "With its focus on bespoke luxury, the hotel will add a distinctive new element to Qatar’s hospitality scene.” Other feature that make the St Regis special, according to Derbas, is the world class selection of restaurants, bars & lounges within the hotel. “Ten venues including two Gordon Ramsay restaurants, Hakkasan, Jazz at Lincoln Center and Al Sultan Brahim will open within the hotel." With over 4,000 sqm of event space, eight meeting rooms including the largest ballroom in Doha with natural daylight and a terrace with extensive views over the Arabian Gulf, this is an ideal place to host a meeting, exhibition, wedding, social event or conference. The Grand Ballroom can accommodate up to 1,100 people for a dinner. The Remede spa, the exclusive private beach and oceanfront cabanas all help the hotel to deliver what it promises. But does the tourism sector in Qatar demand such additions? Derbas feels that every new addition in

Tareq Derbas, General Manager of The St Regis Doha

the sector creates its own market. “With so many high-profile events on the calendar, the country has the need for more such international brands.” Derbas has vast experience in the luxury hospitality sector, working for around 10 years in the US before moving to the Middle East. He was with the Starwood group for five years before moving to Four Seasons where he helped open three new hotels in the region, then moved on to become the Hotel Manager at Burj Al Arab until his latest move to St Regis, all of which counts to a total of 13 years in the region. “The market is getting sophisticated. People here understand what good service is all about and they always appreciate it and this makes them come back for more.” One thing that distinguishes his stint in two completely different markets (the US and the Middle East) is the experience of working with a diverse work force. “The key to success in any hospitality segment is to take care of not just the customers but also of the people who we work with.” On the room rates, Derbas insists that the St Regis will be at a slight premium above the competition but not far from it. “It will be value for money considering its premium facilities, the airport pickup in a Rolls Royce and of course, the signature St Regis butler service.”

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MARKET WATCH Gerhard Foltin, General Manager

Beacon of glory Who would have expected the 300m tower next to the Villaggio Mall, which held the flame for the 2006 Asian Games, to be the next 5-star hotel in the city’s luxury market? Well, Gerhard Foltin, General Manager of The Torch - Doha, for one, knew it right from the start. He now takes it upon himself to let people know what the tower’s all about.

By cass e y ol i v e i ra

Standing tall and proud in the 250-hectare Aspire City, The Torch-Doha Hotel had its soft opening last month, offering guests a unique 5-star experience. A 70% occupancy rate already suggests a promising start. “But it hasn’t been an easy task,” says Gerhard Foltin, General Manager. “It takes at least six months of preparation before the hotel is ready to open. You have to train the staff accordingly and see if they fit in well or not.” Two major factors work in the hotel’s favour. “Given the traffic in this part of the city, people are glad that we have opened a hotel here,” says Foltin. This also means fewer competition as the next closest ho-

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What The Torch offers:

167 modern rooms and suites with state-of-the-art technologies.

Three signature restaurants namely Flying Carpet on Mezzanine 2 level offering international cuisine and live cooking, Three Sixty on the 47th floor serving Mediterranean cuisine, and Panorama on the 50th floor serving cuisine from the Far East. Four-level Spa Centre including the swimming pool, sauna, gym and a spa lounge. Meeting rooms that can accommodate small business events to large corporate events.

tels would be the Ramada and La Cigale on C Ring road. With several 4-and 5-star hotels predominantly lodged at West Bay, what this part of the city lacked was a luxury hotel, especially with several businesses springing up in and around the Aspire City. Another advantage that Foltin quickly adds is the hotel’s close proximity to the Villaggio Mall. “We have constructed an airconditioned bridge that connects the hotel directly to the mall. Many of our guests use this facility, and can spend their day shopping in the mall.” Sport Support The Torch has had a memorable stint in the sports arena. Back in 2006, one could recall how H.H. Sheikh Mohammed Bin Hamad


MARKET WATCH

Al-Thani lit up the giant cauldron whose flame was then transferred electronically to the Aspire Tower, to mark the start of the Asian Games. The hotel plans on continuing its support to sports in the country by doing what it does best – playing perfect hosts to local and international sports enthusiasts. “Last month we had the Australian National Football team staying here. In January 2012, we will be having two German teams here for the Winter Camp Tournament,” says Foltin. “But it’s not only sportspersons, we also have a lot of businessmen coming in, especially those who are having their businesses in this part of the city and they are starting to re-visit us,” he continues. The hotel’s decor also incorporates sports-inspired elements in innovative ways. For instance, sit in the lobby and you would see beautiful Arabic calligraphy etched on the pillars of the lounge that say a thing or two about sportsmanship. The hotel’s rooms too exude a subtle sporty feel. “The Torch – Doha is a sports-oriented hotel,” says Foltin. Amazing concepts Foltin is impressed with how the hotel has shaped up. It’s a unique hotel after all, and we are not talking of the exterior design alone. The lobby is 16 floors high. The portion that one sees jutting out of the twentieth floor is actually a cantilevered swimming pool, 80 metres high. “You will be able to look at the tip of the hotel – the torch – from here. It’s beautiful,” he says. The hotel’s restaurants too are a class apart. The Flying Carpet, an all-day dining restaurant, has a motley of huge beautiful carpets suspended from the ceiling, hence the name. Another restaurant, the Three

Sixty, is a unique revolving restaurant located on the forty-seventh floor that offers a breathtaking 360 degree panoramic view of the city while you dine. What more, “whichever room you stay in, we promise you a fantastic view of the city by day or by night,” Foltin assures. Brand Handling Foltin has had a history of working with some iconic brands in the country; The Sheraton which was the first hotel in Qatar and now The Torch – the tallest tower hotel in the country. In fact, there aren’t just brands but landmarks adorning the city’s landscape – the former is a pyramid on the shores of Doha Bay while the latter is a colossal torch-shaped tower in the Aspire city. “The Sheraton, for me, is still a very striking place. Being a pyramid, you can see it from any angle. The hotel also houses some of the biggest meeting and conference rooms in the city. We have had numerous conferences over the years,” says the man who has been involved with the city’s two most cherished shapes. "In Sheraton, we used to walk horizontally from one room to another; in The Torch, I have to walk vertically,” he quips. Adjusting to the height is another thing – reaching the fiftieth floor means scanning a height of 300metre. “In 40 seconds the elevator reaches you to the lobby again; your ears have to get used to the sudden change in altitude pressure!” While the Sheraton is a part of one of the world’s largest hotel companies – Starwood Hotels and Resorts, Torch is a sole hotel owned by the Aspire Zone Foundation. “There are plans of expanding The Torch hotel chain in the country. This is just the beginning,” says Foltin

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MARKET WATCH Qatar gets ‘Safe’

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bdullah Abdulghani & Bros Co WLL (AAB) has officially announced its partnership with Godrej Security Solutions, one of the leading safe manufacturing companies in Asia. AAB was founded in 1958 by one of Qatar’s pioneering business families and is considered a leader in the automobile market. The company also runs a heavy equipment division that provides sales and after sales services for a wide range of construction, industrial machinery and general products needed by various industries. Meanwhile, Godrej was established 114 years ago and is one of the largest privately owned business houses in India, having an extremely diversified product portfolio ranging from animal feed to rocket engines. Godrej Security Solutions (GSS), a part of the Godrej conglomerate, is one of the largest and finest manufacturers of physical security products in Asia. It is the only brand in the security industry to have won the most coveted ‘super brand’ status. GSS, Head of Middle East Countries, Ratan Thapa remarked that Qatar is a promising market in Middle East, and the FIFA 2022 announcement has made the country more vibrant for investment opportunities. “Godrej is proud to associate with AAB as we share similar values. AAB is one of the leaders in the business community, contributing to the national cause by actively participating in the country’s economic, social and cultural activities. The infrastructure of AAB is in place with dedicated teams for sales and service. Our products are widely used in Qatar by customers in the banking segments, financial sectors, jewellery, corporates, hotels and residences. Our vision is to be the market leader in Qatar for the safe business within three years, and we are confident to achieve this as AAB has maintained the No. 1 position in the automobile industry in Qatar with a solid reputation established over 40 years.”

luxury redefined: al gassar resort

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Nokia’s latest smartphones

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okia’s range of new phones offers you a smarter smartphone experience, according to Anil Mahajan, COO, CGC. The Nokia 603, 700 and 701 bring you a revolutionary way to connect to your world.

Nokia 603 – colourful smartphone The phone comes with six colourful homescreens to customise your screen. A clear black display makes you see everything on the bold and bright screen, in any conditions. With NFC technology, sharing photos and videos just needs a tap.

Nokia 700 – smallest smartphone It’s the perfect size to fit in your pocket or in your clutch bag. The Nokia 700 is elegant and stylish and comes with a scratchresistant and smudge-free screen. Its fast internet connection and browsing speeds help you stay connected round-the-clock. The model also offers many essential apps and services including NFC technology.

Nokia 701 – brightest smartphone The phone boasts a quick responsive touchscreen and 1 GHz processor for smoother web browsing and faster downloads. A clear black glass display delivers the sharpest pictures and satin-texture stainless steel provides durability. Loaded with NFC technology, Nokia 701 provides a quick way to connect, share, pay and play.

A healthy launch

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he Green Box unveiled its newly refurbished website www.thegreenbox.me at a colourful reception at Dalloyau-The Pearl. The new website now has a better overview of all the company's products and each product’s details, easier access to all sections, an updated list of new and healthy products and an option of customised online shopping for fruits and vegetables. The Green Box is Qatar’s first and ex-

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clusive weekly fresh fruit, vegetable and poultry online shop and home delivery service. The products are freshly imported from Europe and Belgium. The Green Box also declared its partnership with Dalloyau-The Pearl and introduced its Wellness Team that includes Nicole Van Hattem, Health Coach and Wellness Corporate Consultant from Art of Abundant Living; Julie Bucks, Health Expert from Mater; and The Green Box cooking expert Gill Johnsen.


MARKET WATCH

Tim Hortons outlets across the UAE

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orth America’s successful restaurant chain Tim Hortons opened the doors of its fourth cafe and bake shop in the UAE at the Jumeirah Beach Residence to a bunch of excited fans. Speaking of the brand’s entry to the UAE, Tim Hortons Chairman of the Board, Paul D House, said, “The UAE provides us with an ideal launch venue for our international expansion, with its diverse population, emerging market and openness to new concepts and brands. We have been impressed by the reception we have received from the Dubai and Abu Dhabi markets so far. “We know that customers are always looking for good quality combined with value-priced dining options. Our ‘Always Brewing, Always Baking’ commitment is designed to serve our guests with the freshest baked goods and premium coffee, in every location,

LG offers smart cleaning

every time.” Tim Hortons will bring its freshly baked and freshly brewed products to the region’s residential and commercial communities, aiming for 120 restaurants. Each restaurant will be baking its own baked goods that include the freshest of doughnuts, cookies, muffins, bagels and sandwiches. It also provides meals ranging from breakfast to lunch and evening meals, as well as snacks and takeaway products. Nilesh Ved, Chairman and CEO of Apparel Group, who hold the master licence agreement for the brand, said, “Tim Hortons works well for those who are looking for a food offering that blends quality service with value pricing and the convenience of a coffee shop. We believe that the UAE offers an ideal environment to grow the brand’s popularity to the other Gulf states, and we are continuing to search for additional sites.”

Pen Power

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G Electronics (LG) has introduced in Qatar its new robotic vacuum cleaner Hom-Bot 2.0 that delivers an outstanding cleaning power and is very convenient to use. The Hom-Bot 2.0’s Dual Eye Camera Sensor system is the first and only one of its kind in the vacuum cleaner business. The camera mapping system uses one lens on top of the body and a second lens on the bottom to obtain a much wider range of vision. The upper camera also simultaneously maps and stores house floor plans, while the lower camera incorporates an optical flow sensor to capture surface images at high speed and report obstacles. The two cameras combined allow the vacuum cleaner to calculate distance information and plot courses that maximise cleaning efficiency while saving customers time. Course selection is further assisted through the Hom-Bot 2.0’s ultrasonic and infrared sensors, which identify obstacles in real time, helping the cleaner avoid the bump-and-retreat action that plagues other robotic systems. The vacuum’s battery system includes a Li-polymer battery that has a longer life cycle than conventional batteries.

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ine writing just got bolder and more beautiful with Parker’s next-generation 5th Technology pens. With a cutting-edge refill tip and an engraved metallic hood, these pens offer the superior experience of a soft writing feel. The Parker Ingenuity Collection has been created for exclusive use with the Parker 5th Technology. It comes in two sizes, bold large and elegant slim, drawing design inspiration from the latest premium trends. The mix of metal and texturised soft-touch rubber with ring detailing offers a breakthrough pen design. The fine finish is done in shades of subtle pearl lacquer, deep metallic pink gold, sleek chrome and classic black lacquer. The Parker Ingenuity Classic Collection is again a mix of large and slim models that are given the classic elegant look with either chrome or gold trims. Makes you want to write over and over again.

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Doha Diary

National Day: A day of joy and unity

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atar National Day was celebrated with a colourful military parade on the Corniche on December 18. Hundreds of residents lined up to witness the parade, which featured a large number of marching platoons and new armoured vehicles. Proud residents and expatriates joined together throughout the country to celebrate National Day, marking what has been another successful year of growth for Qatar. On the Corniche, where the main festivities for the day were hosted, people from all over the world braved the cold to enjoy the firework display at night and take in some

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of the other activities, such as the classic car exhibition and the dhow laser shows. Beginning with the traditional national parade in the morning, National Day provided another memorable occasion for all its residents. A captivating air show featuring a series of fighter planes which zoomed past emitting smoke trails in the national colours of maroon and white was among the highpoints of the celebrations. Sorties by parachute jumpers from the armed forces were equally remarkable and left many awestruck. The jumpers made their landings on the spacious lawns in the precincts of the Emiri Diwan. In another impressive display, a brand new Qatar Airways

aircraft flew past the parade zone at low altitude towards the end of the show of military vehicles. There was also a march-past featuring contingents from the Army, Navy, Air Force, Coast Guard, Internal Security Force, Civil Defence, Heritage Police, and cadets of training institutes and other academies, as well as Scouts and schoolchildren. The sky above Doha sparkled with Qatar’s national colours, as maroon and gold fireworks soared above the Corniche, an exciting climax to the National Day celebrations. The display, which lasted 12 minutes, lit up the night sky with a dazzling array of some of the best fireworks in the world





Doha Diary

ROTA Gala Dinner:

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n the presence of HH Sheikha Moza bint Nasser, QF Chairperson, the 4th Reach Out To Asia (ROTA) Gala dinner and charity auction raised QR 47.32 million ($13 million) to support ROTA education projects in troubled Asian communities. ROTA Chairperson Sheikha Al Mayassa bint Hamad AlThani presented the ROTA Lifetime Achievement Award to HE Abdulla bin Hamad Al-Attiyah, Deputy Prime Minister, in recognition of his outstanding dedication and commitment to Qatar’s progress. “His Excellency is an example to us and a proof that hard work, dedication and bold vision can create a stable, and progressive society,” said Sheikha Mayassa. The

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glittering event at Doha’s Katara welcomed 500 international VIPs, dignitaries and celebrities. Bringing glamour to the night were HRH Prince Waleed bin Talal and HRH Princess Amira Al Taweel, the Austrian President and his spouse, Hayat Al Fahed, Hussein Al Jassmi, Nawal, Nasser Al-Attiyah, Djamel Bouras, Khaled Mouzanar, Bader Jaffar and Olympic decathlon gold medallist, Bryan Clay from the US and the master of ceremonies was five-time Olympian Charmaine Crooks. The guests were introduced to Shahzad, one of 3,000 Pakistani youth who participated in ROTA’s ‘Generation Amazing’ football development programme in partnership with the Qatar2022 bid committee, who delivered an emotional speech recounting


a grand success

his experiences gained from this programme. Sheikh Mohammed bin Abdullah Al-Thani, ROTA Ambassador, commented in his recorded testimonial shown at the event, on the role that ROTA plays in empowering youth: “I achieve my personal goals through natural ambition and by giving myself the right tools to fulfil those aims. In the same way, ROTA believes and recognises that youth are the vehicles of change for our communities.” UAE singer-composer and UN Ambassador-at-large, Hussein Al-Jassmi and Grammy Award-winning Korean soprano Sumi Jo gave superlative performances to entertain the privileged audience. The charity auction at the end of the show was managed by the auction house Sotheby’s and was conducted by Lord Poltimore,

Sotheby’s Europe Deputy Chairman. Guests took the opportunity to purchase several unique auction items including a Porsche Panamera 4S Middle East Edition, a set of astonishing earrings donated personally by actress Angelina Jolie, VIP tickets for the FC Barcelona versus Real Madrid ‘El Clasico’ football match and works of art by acclaimed artists Richard Serra, Damien Hirst, Cai Guo Qiang, Matthew Day Jackson and Yousef Ahmad. In addition, a work of art by children with special needs from Qatar’s Al Koora Art project was auctioned off. The 4th ROTA Gala Dinner enjoyed the support of: Msheireb Properties as the event Gold Sponsor, Qatar Petroleum as the Silver Sponsor, and Qatar Vinyl Company Limited as the Bronze Sponsor.

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top it trends in 2012

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doha diary

Qatari Businesswomen Awarded QBWA winners are:

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atar Businesswomen Association recently held the Qatar Business Women Award honouring eight elite Qatari women in both professional and business categories. The Award ceremony was held at the Four Seasons Hotel under the auspices of HH Sheikha Moza Bint Nasser, Chair of Qatar Foundation for Education, Science and Community Development. The ceremony was a culmination of a long process of preparations, training, and assessment after the high demand seen in the award by business and professional women in Qatar and after the applications were assessed against five criteria that were at the same time subject for the workshops provided for women to qualify for the award.

2011 QBWA Innovation winner: Dalia Ahmed Al Khalaf, Enterprise Qatar

2011 QBWA Career Achievement winner: Mashael Abdul Aziz Al Derham, Qatar Islamic Bank, (QIB) The 2011 Leadership Criteria winner is: Abeer Noaman Al Emadi, International Bank of Qatar 2011 QBWA Future Goals and Financial Performance Criteria winner: Sharoq Ibrahim AlMalki, Qatar Museums Authority

2011 QBWA Professional Runner-Up: Sheikha Najlaa Binta Jabor Bin Jassim Al Thani, Dolphin Energy. 2011 QBWA Professional Winner: Dr Hayat Khalil Hassan Nazar Heji, Al Noor Institute for the Blind

Extreme Sports at The Pearl

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open to the public

2011 QBWA Community Contribution and Participation winner: Amal Abdulla Al Aathem, Art Co-ordinator & Qatari Conceptual Artist

2011 QBWA Business Winner: Noor Ajlan Al Kuwari, Kro-K Interior Design

he Pearl-Qatar played host to a high-octane world of extreme sports on December 9, 2011, for the second successful “Wake The PearlQatar” wakeboarding event. The day-long action-packed event witnessed a professional demonstration of the high-energy sport which has taken the world by storm, as well as a hands-on

Katara Amphitheatre

workshop conducted by professional wakeboarder Duncan Zuur covering “tricks” and “kickers” for the aerial jumps.

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nder the patronage of HH Sheikh Hamad Bin Khalifa Al Thani, the Emir of Qatar, Katara, the Cultural Village celebrated the opening of its amphi-theatre on December 11. The opening was marked by a magnificent live performance by world renowned Greek composer, Vangelis. Best known for his iconic, award-winning musical score for the film Chariots of Fire, Vangelis is regarded as one of the greatest composers of electronic music of all time. In honour of the 4th UN Alliances of Civilization Forum, the grand opening hosted by Oscar-winner Jeremy Irons featured Vangelis’ original three-part Choral Fantasy, inspired by a message of hope. Gert Hof, the world’s greatest light artist, enchanted the audience and painted the skies to the alluring sounds of Vangelis. President of Katara, Abdulrahman AlKhulaifi said during the announcement of the opening, "Since opening, Katara has not only provided a platform for aspiring artists and musicians but also introduced Qatar to world-renowned musicians and performers. As home to one of the largest open air amphitheatres in the Middle East, Katara is dedicated to showcasing the diverse cultures of the world and the Amphitheatre provides the perfect stage for international and local artists.”


Doha Diary

Party for a week

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n a bid to promote a healthy lifestyle among the youth, The Youth Company (TYC) organised a week long festival ‘Run the World’ with a message of good and healthy fun. The Katara Cultural Village was left buzzing with live music, dance, games and other performances by over 200 local and international youth in the first, and largest, festival handled by the youth, for the youth. ‘Run the World’ is also the first culturally themed youth festival, based on the idea of spreading the traditions and themes of other cultures, promote fitness, sports, healthy lifestyle and civic engagement. In line with the theme for this year, activities included photo and film exhibitions and contests, educational conferences, beach activities, a track marathon, parkour dem-

onstrations, human foosball, break dancing and skateboarding demonstrations, kite flying, open graffiti, a talent show, and various short contests. Throughout the weekend, different health and medical associations such as Queen Medical, Qatar Diabetic Association, Qatar Recreation Centre and Hamad Medical Corporation offered visitors free consultancy for problems connected with youth and their health. The festival’s campaign also raised an important mes-

Vodafone’s gift to the community

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he official opening of Vodafone Qatar’s playground was celebrated with a public funpacked family day attended by many children and their families. The playground is built on the public park located next to the Sheraton Hotel giving every family in Qatar the opportunity to get together with their loved ones. The MOU to build the park was signed in April this year by Vodafone and the Doha Municipality. Shortly afterwards SSK Enterprises were commissioned to build the park in adherence to American and UK safety standards, making it a safe experience

for all children. The playground features the newest and most innovative equipment in the world. The park has also been designed for wheelchair accessibility and support, making it the only park in Qatar suitable for children with special needs. Vodafone raised more than QR2.5 million towards building the park. The money was raised as part of it's “Get Together” local calling promotion that launched during the holy month of Ramadanin 2011 and ran until 31 March. During the promotion, Vodafone put 1 Dirham towards funding the building of a public park for every local call a customer made.

sage for the country’s youth to adopt a healthier and active lifestyle, given that Qatar has recently been labelled as having high rates of obesity and diabetes. The festival was hosted by Katara Cultural Village and powered by the Qatar Museum Authority. With the success of its first attempt, TYC is hoping to make this an annual festival and create a platform for future events and opportunities in the country.

Tiffany’s opens at Merweb Al Sadd Hotel

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eliopolis, a subsidiary of Al Faisal Holding specialising in food service and distribution, celebrated the opening of its first restaurant, Tiffany’s in Merweb Al Sadd Hotel. Jurgen Scharkosi, Managing Director of Deliopolis, said: “At Deliopolis, we are always aiming to expand and develop our business. So opening our own restaurant where people can experience the quality of food and service we provide is a very important step for us. Tiffany’s is the new jewel amongst restaurants in Doha and essentially designed as a European restaurant. Our goal is to offer an ever-changing variety of tasty and healthy foods and beverages in pleasant surroundings at a reasonable price with pleasant and friendly staff. "

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Top IT trends in 2012

IT environments in the Middle East are becoming increasingly complicated. The number of applications to manage is exploding. Customers need solutions to simplify and enable IT to refocus on transforming business. Virtualisation, mobility, cloud computing, heightened data storage requirements, the digital home, personalisation, ubiquitous data access and ever-present security concerns are fundamentally changing the way people use technology and what customers want from their technology providers. For channel partners, profitability lies in specialisation.

The five key areas where channels can add value to businesses in 2012: Cloud technology: Cloud is the top trend set to have the most impact on channel partners in the years to come. Businesses in the Middle East are increasingly seeking providers who can help them navigate to the cloud, while also addressing uncertainties such as security and agility. Channel partners and vendors should make investments in this space to help customers embrace the technology and have a seamless way of evolving from on-premise to cloud capabilities. Data is not going to migrate to the cloud en masse during 2012, but this will be an important time for businesses to prepare for the benefits of cloud computing.

Intelligent data management (IDM): IDM is one of the hot topics in the world of storage, and therefore is increasingly appearing on the channels radar. Intelligent Data Management specifically refers to the way data is managed with reference to the storage mediums it resides upon – the ‘tiering’ of the most demanded critical data onto the fastest easiliy accessible storage, and less demanded data to subsequent tiers of storage technology. It is a great tool for IT leaders to unlock innovation while protecting current IT investments. Channel partners

that can advise on how to leverage existing infrastructure and focus new projects on innovation without driving up costs and who can help customers knit complex technologies and services together successfully will be rewarded.

Mobility solutions: with the consumerisation of IT and the evolving workforce, the need to access data anytime, anywhere will continue to increase. Security and control systems become ever more important in the mobile universe and channel partners that can help their customers ensure corporate data is not compromised, even when used on personal devices for example, will continue to claim the much-hyped trusted advisor status.

Virtualisation: It is estimated that data in the digital universe will double every 18 months. Approximately 95 % of that data is unstructured, as it is difficult to control and manage due to it coming from several locations in many different forms, often in incompatible formats. Even more so, 90% of the data is never used after it is created, causing organisations to pay for much more storage than they actually use. As data rapidly expands, virtualisation will

By John Coulston, channel programmess and operations director, Reseller ME

accelerate and hardware consumption will continue to be consolidated. Virtualisation offers the greatest organisational control for the least cost and has emerged as a credible and cost-effective alternative to traditional computing, providing security benefits that are difficult to achieve with traditional systems. This will continue to be a focus for organisations in 2012.

Green IT: Green IT is a topic that customers and partners will wrestle with in 2012. Adopting an energy-efficient, green IT infrastructure is the key to sustainable growth. In 2012 channel partners will be looking at ways they can help their customers in the Middle East get on the path of green IT and enhanced data centre efficiency. Green IT is not just the promise of a better future, it is the realisation of lower costs today. In fact in commercial reality, for Green IT to be successful it needs to deliver on a lower cost of ownership to customers. In 2012, channel partners could look at ways to evaluate customers’ energy use by conducting an energy audit: examine the organisation’s policies around efficiency and suggest specific actions businesses can put in place to improve their overall data centre efficiency.


news bites

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news bites

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