Asia Outlook Issue 12 by Outlook Publishing

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Energy Solutions EDMI Delivering the very best in advanced smart meters for more than 35 years

APAC TUNNELS AND BRIDGES CONFERENCE 16

PORT OF TANJUNG PELEPAS 34

Bringing together industry experts in infrastructure from around the globe

ARCADIS CONSTRUCTION OUTLOOK 20

Malaysia’s leading container terminal strives to be an unrivalled contender in the global market

ROLLS-ROYCE ASIA

PACIFIC 44 The manufacturer’s Singapore Seletar Campus lays the foundations for a productive future

An in-depth look at its annual report reveals the reasons for industry change in Asia

ASIA OUTOOK ISSUE 12 A L S O T H I S I S S U E : S P E C I A L E V E N T F O C U S : A S I A N I N F R A S T R U C T U R E P P P S U M M I T

Safe Journeys Need

Strong Foundations Address issues concerning Design

Construction

Maintenance

APAC Tunnels and Bridges Conference 2015 15th -16th April | Kuala Lumpur roohi.taragi@fleminggulf.com 603 2027 4767 | www.fleminggulf.com

ORGANISED BY:

W E L C O M E Smart Growth for Southeast Asia’s Finest

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EDITORIAL

Japan and China’s notoriety around advanced processes and manufacturing excellence may still hold true, but the rest of Southeast Asia is closing the gap, and even surpassing the two nations in becoming some of the most attractive tech prospects in the world. According to global real estate service firm, Cushman & Wakefield, Malaysia provides the globe’s best environment for manufacturing, while Singapore scored equally highly in the technology sector. The latter is thriving largely thanks to companies like EDMI, whose international influence in challenging technology through smart energy solutions is sparking interest on a global scale. We caught up with the company’s CEO, Lee Kwang Mong for the second time in two years to discover the benefits of EDMI’s smart metering solution. Rolls-Royce’s Seletar campus in Singapore has similarly contributed to the region over the past five years, with Asia Pacific now accounting for a third of the manufacturing giant’s worldwide turnover. We take a look this month at this ever-growing continental influence. Away from manufacturing and on to construction, Asia is enjoying a similarly groundbreaking rise, not least in terms of the literal rise being seen through some of its skyscrapers. Alan Hearn, Head of Buildings Solutions at Arcadis, Asia takes a look at the company’s annual International Construction Cost Report to reveal the reasons for these towering trends. The APAC Tunnels and Bridges Conference, and the Asian International PPP Summit wrap up this month’s infrastructure focus as we look ahead to what promises to be an exciting year for the region.

Energy Solutions Delivering the very best in advanced smart meters for more than 35 years

APAC TUNNELS AND BRIDGES CONFERENCE 16

PORT OF TANJUNG PELEPAS 34

Bringing together industry experts in infrastructure from around the globe

ARCADIS CONSTRUCTION OUTLOOK 20

Malaysia’s leading container terminal strives to be an unrivalled contender in the global market

ROLLS-ROYCE ASIA PACIFIC 44

The manufacturer’s Singapore Seletar Campus lays the foundations for a productive future

An in-depth look at its annual report reveals the reasons for industry change in Asia

ASIA OUTOOK ISSUE 12 A L S O T H I S I S S U E : S P E C I A L E V E N T F O C U S : A S I A N I N F R A S T R U C T U R E P P P S U M M I T

Editorial Director: Matthew Staff matthew.staff@outlookpublishing.com Deputy Editor: Emily Jarvis emily.jarvis@outlookpublishing.com

PRODUCTION Production Manager: Daniel George daniel.george@outlookpublishing.com Art Director: Stephen Giles steve.giles@outlookpublishing.com Advert Designer: Mandy Farnell mandy.farnell@outlookpublishing.com Images: Thinkstock by Getty Images

BUSINESS Sales Director: Nick Norris nick.norris@outlookpublishing.com Operations Director: James Mitchell james.mitchell@outlookpublishing.com Sales Manager: Ben Wigger ben.wigger@outlookpublishing.com Senior Project Managers: Arron Rampling arron.rampling@outlookpublishing.com Donovan Smith donovan.smith@outlookpublishing.com Project Managers: Callum Philp callum.philp@outlookpublishing.com Dan Hester dan.hester@outlookpublishing.com Dave Alexander dave.alexander@outlookpublishing.com Eddie Clinton eddie.clinton@outlookpublishing.com James Smith james.smith@outlookpublishing.com Josh Hyland josh.hyland@outlookpublishing.com Tom Cullum tom.cullum@outlookpublishing.com

ACCOUNTS Finance Director: Suzanne Welsh suzanne.welsh@outlookpublishing.com Office Administrator: Donna Redpath donna.redpath@outlookpublishing.com Web Design: Hamit Saka IT: James LeMay

OUTLOOK PUBLISHING Managing Director: Ben Weaver ben.weaver@outlookpublishing.com Chairman: Mark Weaver

Matthew Staff Editorial Director, Outlook Publishing

This month’s Asia Outlook has been produced in loving memory of Project Manager, Mark Skillicorn who sadly passed away before this edition was published. He was a valued member of the Outlook Publishing team and much loved by colleagues and the companies he worked with, alike. His final project, the Port of Tanjung Pelepas in Malaysia, completes this month’s showcasing section.

CONTACT Asia Outlook / UK 22 Wensum Street, Norwich, UK, NR3 1HY Sales: +44 (0) 1603 559 145 Editorial: +44 (0) 1603 559 152 SUBSCRIPTIONS Tel: +44 (0)1603 559 152 Email: matthew.staff@outlookpublishing.com

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In this issue of Asia Outlook...

NEWS

EMERGING MARKETS The Asian Manufacturing and Tech Migration

All the latest top stories across the month from Asia

The world’s largest continent dominates the manufacturing and technology suitability scales

APAC TUNNELS AND BRIDGES CONFERENCE Asia’s Platform for Global Infrastructure Development

L O G I S T I C S

THe conference brings together industry experts in infrastructure from around the globe

PORT OF TANJUNG PELEPAS The Preferred Port of Choice in Southeast Asia Malaysia’s leading container terminal strives to be an unrivalled contender in the global market

MANUFACTURING

SECTOR FOCUS ARCADIS Construction Outlook

An insightful overview of Asia’s construction market contributed by Alan Hearn of Arcadis, Asia

ROLLS-ROYCE ASIA PACIFIC Better Power for a Changing World

Boeing and Airbus are just two beneficiaries of Rolls Royce’s expanding operations

SHOWCASING LEADING COMPANIES Tell us your story and we’ll tell the world

T E C H N O L O G Y

EDMI Challenging Technology Through Smart Energy Solutions

We catch up with smart energy solution provider EDMI in the year 2015

E V E N T F O C U S

Asian Infrastructure PPP Summit

The event highlights best practices in changing the deficits in urban infrastructure

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S T R A D E

CHINA 2014 TRADE SURPLUS REACHES RECORD HIGH

R E S O U R C E S

CHINA COMBATS POLLUTION WITH HUGE SOLAR POWER INCREASE As the world’s largest emitter of carbon, China has decided that one of the best ways to clean up its polluted air is through solar power. At the end of 2014, China was on track to reach 33 gigawatts of solar power capacity, 42 times more than it had in 2010 and more than exists in Spain, Italy, and the UK combined, according to Bloomberg New Energy Finance. Going into 2015, the idea is to distribute solar panels in urban areas, putting them on top of office buildings and factories and connecting them to the grid without building miles of costly transmission lines. BNEF estimates that China will add as much as 15 gigawatts of solar capacity, enough to power roughly 16 million homes. More than half of that increase will come from cheaper panels installed on commercial buildings. If the 2015 projection holds, China will have installed twice as much solar power in factories and office towers in one year than currently exists in all of Australia.

China’s trade surplus soared by almost half last year to a record US$382 billion in 2014, the government announced in January. It was also reported that the world’s second-largest economy has it missed its trade growth target due to weakness overseas. Exports increased 6.1 percent to US$2.34 trillion in 2014, while imports rose 0.4 percent to US$1.96 trillion, the General Administration of Customs said on its website. This translates into a trade surplus of US$382.46 billion, the highest ever, and a 47.2 percent increase on 2013. Customs spokesman Zheng Yuesheng attributed the record surplus to falling international commodity prices which dragged down import values. Gross domestic product (GDP) expanded an annual 7.3 percent in the third quarter, the slowest since the height of the global financial crisis in early 2009. Some economists expect figures showing further weakness at the end of last year and in 2015, with authorities openly describing slower and hopefully more sustainable expansion as a “new normal”.

C O N S T R U C T I O N

HONG KONG TOPS TABLE AS ASIA’S MOST EXPENSIVE MARKET FOR CONSTRUCTION According to the International Construction Costs Report released by Arcadis, Hong Kong is the most expensive market in Asia for construction while Japan, Macau and Singapore have seen significant relative cost reductions over the past year. However, Switzerland and Denmark overtook Hong Kong to become the top two most expensive markets in the world. The annual study, which benchmarks building costs in 43 markets across the globe, found that relative construction costs have been affected by currency fluctuations, commodity prices and increasing demand for development in some recovering economies. Hong Kong and Singapore saw strong growth throughout the year, driven by a combination of robust housing markets and high levels of infrastructure spend. In China, the gradual shift to a consumption-based economy means that the huge growth in construction that we have witnessed over the past ten years is unlikely to continue in the long term.

GO TO WWW.ASIAOUTLOOKMAG.COM/NEWS FOR ALL OF THE LATEST NEWS FROM ASIA

R E S O U R C E S

A CLEAN ENERGY SOLUTION WITH IGUS ON BOARD Cruise ships can now be supplied with power whilst docked, thanks to the use of igus’ environmentallyfriendly LNG (liquefied natural gas) floating power plant barge, the “Hummel” LNG Hybrid barge. Normally, the ships’ own onboard generators continue to run in order to supply the cruise ships with electricity during their time in port. Designed and built by Becker Marine Systems, “Hummel” Hybrid LNG barge for the Port of Hamburg was created in order to reduce the impact on the environment. Hummel is a floating LNG power plant which supplies cruise liners with electrical power. The leading energy supply experts at igus were brought into the project in order

R E S O U R C E S

IGUS PRODUCES NEW RTG WITH AUTOMATIC CONNECTION AND DISCONNECTION igus has produced a system that automatically couples rubber-tyred gantry cranes with an energy chain system. Dubbed the ‘e-rover’, the system consists of a telescopic arm which connects the trough guided energy chain to the RTG (rubber tyre gantry cranes). This provides guaranteed energy supply and data transmission through standard and fibre optic cables. RTGs are mobile container bridges, which can switch between the container corridors. Usually, these RTGs are fuelled by diesel. To save energy costs and to protect the

to deliver the energy from the barge to the docks, where they are then connected to cruise ships. Singaporebased igus is well-equipped to provide customised solutions, but this was a new case as all the electronics and steel structures were designed and supplied by igus. Automatic connection As soon as the barge arrives at its berth, a gangway moves out, connecting staff on board with the shore. Energy chains from igus are

underneath this gangway carrying four thick 6-10kV cables with connectors. These are connected to large power supply boxes as soon as the gangway is docked and the chains are connected. Due to waves and tidal fluctuations, the system connecting the barge must also compensate for the constant motion. The “Hummel” LNG Hybrid barge will come into regular use for the 2015 cruise season.

environment, developments in the past few years moved towards electric vehicles that are coupled to an energy supply system once they are in a traffic lane. igus GmbH has developed its e-rover to enable an automatic energy chain system connection and disconnection. Thus, allowing energy and data to be supplied safely in cables and fibre-optic cables with Gigabyte speeds. The coupling process takes about a minute, with no limits to the travel speed of the RTG. Once the RTG has been “plugged in” to the energy

chain system, the power supply via the diesel mode is discontinued. Currently, cables having a cross section of 180 mm² per phase are feasible. Balancing of the horizontal and vertical unevenness The system works via a telescopic arm on the RTG, which can retract and extend. This has two advantages. Firstly, an automatic coupling is possible, and the energy chain in which all media can be routed simultaneously, pulled along by the RTG. Hence, the supply of energy and data is guaranteed. Secondly, the horizontal and vertical irregularities and offsets in the travel path can be compensated. The system is suitable for long travels - 800 metres and possibly longer depending on the customer requirements in the container port.

GO TO WWW.ASIAOUTLOOKMAG.COM/NEWS FOR ALL OF THE LATEST NEWS FROM ASIA

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RISING CONFIDENCE AND BELIEF IN SALES GROWTH DRIVES CORPORATE INVESTMENT IN ASIA ates of sales growth expected to pick up in every market in Asia Pacific region, with China becoming the priority investment market on the continent as 71 percent of firms increase investment

Business leaders across Asia Pacific believe the outlook for 2015 is brighter than last year, according to a survey of 700 big multinationals from the Economist Corporate Network (ECN). Some 54 percent of CEOs say their expectations for Asia have improved over the past year, while only 11 percent say they have deteriorated. “At the start of 2015, the outlook for the global economy is highly uncertain. Big questions hang over

the direction of oil prices, the impact of the US recovery on Asian currencies, and whether the Eurozone will resort to quantitative easing. Within Asia itself, the prospects for Abenomics in Japan, for China’s rebalancing, and for India’s reform process are equally unclear. But despite this uncertainty, regional business heads are confident that the Asia Pacific region will deliver faster sales growth in 2015,” says Justin Wood, Director of the ECN in Southeast Asia.

Backed by rising confidence, the 700 companies are increasing their investment plans. The number one market for new investment this year will be China, with 71 percent of companies increasing their investment there. In second place is Indonesia, where 60 percent of companies are increasing investment, followed closely by India. “It’s no surprise that Asia’s big three population centres are attracting the strongest attention. But the results also suggest a confidence in the reform initiatives underway in all three places,” says Mr Wood. Respondents were asked to gauge the likely impact of reform programmes in various Asian countries on their business performance over the next three years. The results show a strong sense that business conditions will improve. The sentiment that reform will deliver positive, meaningful change was strongest in India, Indonesia and China.

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tariffs have been reduced as natural gas prices have fallen. “Between July LOWER OIL PRICES IN 2014 and January 2015, average gas SINGAPORE ARE TO prices fell by 19 percent. As fuel costs make up around half the tariff, the BENEFIT ECONOMY electricity tariff between July 2014 Singapore is to benefit from the and March 2015 has been accordingly fall in global oil prices as a result of reduced by 9.3 percent,” he stated. its position as a net importer of oil, Moreover, petrol pump prices have according to Minister for Trade and fallen by 15 percent between July and Industry Lim Hng Kiang. December 2014, compared with a 41 In his response to questioning from percent fall in crude oil prices over MPs on the impact of lower oil prices in the same period. “This is because the Singapore, Mr Lim commented that a fuel component of pump prices is not drop in oil prices will translate to lower determined by the price of crude oil, electricity tariffs and fuel costs, which Besides lower electricity and petrol but the price of refined products like will directly benefit businesses and costs, this will mean lower inflation for petrol and diesel,” Mr Lim commented. consumers. consumers. According to Mr Lim, this “Petrol companies also have to take “For businesses, lower electricity could increase consumers’ purchasing into account non-fuel costs such as tariffs and fuel costs will help to lower power, stimulating consumption and land and labour costs when setting their input costs. This will help improve further boosting the economy. their prices. These are some of the their margins, and could also dampen When asked whether prices of public reasons why pump prices fell by a the pass-through of business costs to utilities and petrol fairly reflect the smaller percentage compared to the consumer prices,” he said. fall in oil prices, Mr Lim said electricity drop in crude oil prices,” he said. O I L & G A S

T R AV E L

VISTARA BECOMES THIRD FULL-SERVICE AIRLINE IN INDIA A joint venture between India’s Tata conglomerate and Singapore Airlines, Vistara, brings the popular premium economy class back to the domestic airline market. The airline is also hoping that its strong branding will justify the higher fares compared to its full-service competitors, Jet Airways and stateowned Air India. Mr Gaurang Shah, vice-president of Geojit BNP Paribas Financial Services, said: “People who want to travel in comfort would definitely opt for it. The number of seats that will be available also in this particular category, I feel it is going to be very limited. We were dying to see a

full-service carrier coming into effect and the entry of Vistara provides much relief for travellers on holiday or for professional reasons.” The airline will operate 87 weekly flights to and from Delhi. It plans to scale up to 300 flights in four years’ time. This long-awaited joint venture between Tata and Singapore Airlines also plans to tap the international market if the Indian government

permits it. Tailwinds are in favour for the new entrant given the economic turnaround and lower oil prices. However, experts warn that the airline will have to put in significant effort in sustaining takers for its premium services as it seeks to create a niche in India’s airline industry, which is largely dominated by budget carriers.

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T H E

A S I A N

M A N U F A C T U R I N G

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T E C H

M I G R A T I O N

THE ASIAN

Manufacturing and Tech

Migration

The world’s largest continent dominates the manufacturing and technology suitability scales but it isn’t necessarily Asia’s traditional trailblazers leading the way anymore Writer: Matthew Staff

t might come as no surprise that Asia sits top of the global tree when it comes to setting manufacturing and technological standards, but the countries within Asia setting the pace across a number of key sectors, may not be quite so expected. Bigger is not always better when it comes to setting up operations in a country, with numerous political, cultural and socio-economic factors playing a part in deciding whether a nation is an attractive proposition or not. Japan, for example, is just one name synonymous with tech innovation and operational excellence; multinational heavyweights such as Honda, Toyota, Canon and Mitsubishi leading their respective fields. When it comes to overseas companies looking to expand, reshore and outsource though, it’s neither Japan nor China that sits top of the wish list.

Manufacturing

In a 2014 report conducted by global real estate service firm, Cushman & Wakefield looking into the world’s top manufacturing location, it was Malaysia who ranked highest.

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The Manufacturing Index took into account a series of efficiency defining attributes, primarily around cost, risks and conditions, and while the entire top five comprised Asian countries, only China of the expected elite snuck into that higher echelon. Taiwan, South Korea and Thailand were the others enveloped by the aforementioned first and fifth rankings, highlighting an interesting trend in the industry and giving emerging multinationals food for thought when it comes to embracing emerging economies. The 30 countries involved in Cushman & Wakefield’s report are the 30 with the largest manufacturing outputs at present, with a further three nations from Asia making the list in the form of Indonesia (eighth), Japan (19th) and India (24th). However, when you add the likes of the US, UK, Canada, Russia, Brazil, Mexico, France and Germany to the list of countries less suitable for manufacturing production, it begs the question as to how Southeast Asia has developed such a monopoly on the sector. When it comes to establishing a manufacturing presence in a new country, factors which make

the aforementioned leaders so appealing include logistics channels, the likelihood of natural disaster, economic stability, labour issues and people & skills. Malaysia’s sustainability in regards to low labour costs and risks involved with carrying out manufacturing in the country led it to top spot while it is also one of the cheapest locations in which to build a presence; an asset shared by both Taiwan and South Korea. China and India, in comparison, may have a much larger manufacturing presence – China’s being the largest in the world - but scored poorly in the risk category. Similarly, the cost of carrying out production in Japan made it less appealing than you might expect of a country boasting such a pedigree in the sector. “Asia Pacific continues to be at the forefront of the global manufacturing sector, and this is highlighted by

CONDITIONS

40%

COST

20%

40%

the top five countries in the index all being located in the region,” Cushman & Wakefield’s Executive Managing Director, Asia Pacific, for Corporate Occupier & Investor Services, Richard Middleton, said. “Furthermore, locations such as Vietnam and the Philippines are also anticipated to emerge over the next few years as notable manufacturing destinations.”

CUSHMAN & WAKEFIELD REPORT REGION

COUNTRY

OVERALL

APAC

Malaysia

APAC

Tiawan, Republic of China

APAC

Korea, Republic of

APAC

Thailand

APAC

China

AMERICAS

Canada

EMEA

Russian Federation

APAC

Indonesia

AMERICAS

United States

AMERICAS

Mexico

EMEA

Turkey

EMEA

Switzerland

EMEA

Poland

AMERICAS

Venezuela

EMEA

South Africa

EMEA

Sweden

EMEA

Austria

EMEA

United Kingdom

APAC

Japan

EMEA

France

20%

AMERICAS

Argentina

Economic Risk

30%

EMEA

Netherlands

Corporate Risk

20%

AMERICAS

Brazil

Energy Risk

30%

APAC

India

EMEA

Spain

EMEA

Germany

Manufacturing Labour Costs per Hour

40%

APAC

Australia

40%

EMEA

Ireland

EMEA

Italy

EMEA

Belgium

Technology

The Philippines, especially, is a country to watch over the coming years with it also catching the eye of some of the world’s leading companies for technological offshoring opportunities. The island was ranked seventh in a survey carried out by consulting firm A.T. Kearney looking into the leading offshoring destinations for information technology (IT). In this case, the larger nations are fighting back, with the economic prosperity of India and China – the two

Talent / Labour Force

25%

Logistics / Access to Markets

25%

Business Environment

10%

Time to First Supply

25%

Sustainability / Corporate Responsibility

15%

Natural Disaster Risk

RISK

Electricity for Industrial / Heavy use (per hour) Construction Building Costs

10%

Registering Property Cost (% of income capital)

10%

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highest ranked countries, respectively – having far more of an influence as a business proposition. To fund the kinds of technological innovation required to make a mark in such a fast-moving industry requires economic backing on a much more dramatic scale, also incorporating a higher quality environment in which to operate, and a vaster pool of skilled personnel. All in all, 51 countries were graded on these three facets by A.T. Kearney with India coming out of the study “unrivalled in both scale and people skills”, according to the firm. “...leading information technology services firms are expanding their traditional offerings to include research and development, product development, and other niche services,” the company continued. Malaysia, Indonesia and Thailand again scored impressively, confirming their attractiveness across industry and production, placing third, fifth and sixth respectively in A.T. Kearney’s Global Services Location Index, which based the results on an assessment of 25 metrics to identify the countries with the strongest underlying fundamentals to deliver IT, business process outsourcing, and voice service. Vietnam, Sri Lanka, UAE, Jordan and Pakistan also added to Asia’s influence within the top 25 global IT locations, further emphasising the continent’s stronghold over tech development and the rest of the world’s dependency on said stronghold.

Rank

East vs West

4 5 6 7

1 +2 4 8

M I G R A T I O N

In the 1980s, it was all about Japan, before Samsung dragged South Korea into the frame in the 90s. China made its concerted move into the tech domain in the early 2000s and it is seemingly now the time for the likes of Malaysia, Thailand, Indonesia, Philippines and Taiwan to flex its muscles this decade. In much the same way that Samsung had its influence on South

A.T. Kearney Country Rankings

Country

0 +2 0

T E C H

Is this to say then that there is a significant and lasting shift as to which countries dominate manufacturing and tech markets in Asia in the future? Possibly not, but the options are broadening, and the onus is now on the likes of China, India and Japan to offer more than just manpower, money and reputation in order to remain at the forefront of invention.

Financial attractiveness 1 2 3

A N D

India China Malaysia Mexico Indonesia Thailand Philippines

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People skills and avaliability

3.14 2.26

Business environment

2.71

1.19

1.43

2.72 2.67

1.36 1.84

1.43 1.61

3.14 3.01 2.99

6.15

1.61 1.16

1.56

1.41

1.42 0.97

1.66

5.98 5.90 5.87 5.87 5.26

7.04

Asia Pacific continues to be at the forefront of the global manufacturing sector, and this is highlighted by the top five countries in the index all being located in the region - Richard Middleton, Executive Managing Director, Asia Pacific, for Corporate Occupier & Investor, Cushman & Wakefield

Korea, Taiwan is reaping similar benefits at present from Hon Hai Precision Industry â&#x20AC;&#x201C; or Foxconn as it is more commonly known â&#x20AC;&#x201C; and the wider Apple saturation. With a market cap of almost $50 billion, the component maker for the worldâ&#x20AC;&#x2122;s most renowned tech brand, is the best example there is of an international organisation capitalising on the price, lack of risk, skills and economic stability that is now associated with many emerging

Southeast Asian countries. Forgoing sometimes old and outdated processes, the tech revolution in Asia has left western brands in their wake as a consequence, and the forecast for the future is that standalone operations like the ones seen with Hon Hai in Taiwan, could even rival Silicon Valley in the coming years. When it comes to Apple, the latter is already relying on the former, after all.

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C P A O AMCP AT N U YN NN EA LMS E A N D

B R I D G E S

2 0 1 5

ASIA’S PLATFORM FOR

Global Infrastructure

Development With an agenda packed with in-depth real life case studies of ongoing and completed projects, APAC Tunnels & Bridges promises the opportunity to meet industry captains and discuss crucial infrastructure developments across the globe Writer: Emily Jarvis

Liberty Chakanyuka Project Manager - Utilities and Infrastructure

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ith privileged speakers from all over the world and across a spectrum of infrastructurerelated industries, APAC Tunnels and Bridges Conference promises to attract a wide variety of attendees, with the hopes of achieving attendance figures of around 150 delegates. “We have invited members of the Ministry of Works, Ministry of Infrastructure, Ministry of Environment, Ministry of Transport, city councils, engineering firms, civil services, consultants, architects,

NGO’s along with a number of other senior executives and technical staffs from across the world,” says the Conference Producer, Liberty Chakanyuka. “The conference is not only targeting Asia Pacific, this is a very inclusive global event and all have a role to play at APAC Tunnels & Bridges Conference 2015,” he adds.

Industry benefits

In collaboration with CIDB Malaysia (Construction Industry Development Board – part of the Ministry of Works, Malaysia), the APAC Tunnels and Bridges conference has been

APAC TUNNELS & BRIDGES 2015

Project highlights: - SMART Tunnel, Kuala Lumpur - Klang Valley Mass Rapid Transit (KVMRT) - Jakarta Integrated Tunnel (JIT) - Pahang Selangor Raw Water Tunnel (Malaysia) - Tunnel Rehabilitation Project (Sri Lanka) - 2nd Penang Bridge

awarded 10 CPD (Continuing Professional Development) points as a consequence of its commitment to the modern working environment and improving the skills and knowledge of company staff. â&#x20AC;&#x153;Those of you in Malaysia thinking of attending may like to know that the event is HRDF claimable, designed to develop quality human capital and to inspire a professional and world-class workforce in the country,â&#x20AC;? says Mr. Chakanyuka. The conference covers the entire lifecycle of both bridges and tunnels emphasising the three main themes in

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T U N N E L S

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2 0 1 5

this process: design, construction and maintaining the life of a bridge or tunnel. “APAC will provide attendees with an in-depth professional overview of these processes, with the hopes to expand both individual and company knowledge of the whole lifecycle; taking a project from the design stage, right into the management of the finished product,” Mr. Chakanyuka continues. Moreover, APAC will take a closer look at both the pre-existing and emerging technologies involved in tunnel and bridge construction, with the opportunity to hear about specific projects, and

The Malaysian SMART tunnel

B R I D G E S

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the CEOs, Ministers and key decision makers behind the scenes.

Asian and global importance

Although Asia’s growth outlook is closely tied to the performance of the global economy, the countries in the region are touted to continue to expand at a much faster rate than other parts of the world. This has resulted in large interest from Foreign Direct Investment (FDI) to tap into the potential on the continent. “Development normally starts with infrastructure, and countries such as Malaysia, China, Thailand, India and Indonesia are currently in the spotlight with the desire to become more developed nations,” states

Key speakers, dubbed

“the ones to watch” - Special Address from H E Y B D a t o S r i M i c h a e l M a ny i n A n a k J a wo n g , Minister of Infrastructure Development and Communications, (Sarawak, Malaysia). The new of fshore oil & gas development in the Greenfield development of f the coast of Sarawak will put the state on the map, along with the Pan Borneo Highway project. - D a to‘ S r i I r. D r. J u d i n b i n A b d u l Ka r i m , CEO, Construction Industr y Development Board (CIDB). This keynote speaker will provide an infrastructure over view of Malaysia. - H E L i m S i d e n i n e, Secretar y of State, Ministr y of Public Works & Transpor t, Cambodia. Mr Lim will be talking about the National road 76E being under taken in Cambodia. The project is useful for both investors and business.

Mr. Chakanyuka. “The conference provides the platform for not only a demonstration of potential business, but it is also designed to help business leaders become more aware of what the continent is doing to stay ahead of the curve and keep up with infrastructural trends. “Those who are coming from further afield - from places such as Europe - are able to form a comprehensive understanding of what is happening in Asia Pacific,” he adds.

Real life case studies

Just one of the many ongoing real life projects to be highlighted at the event is the Jakarta Integrated

- J a ya n t h a G u n a t h i l a ke, Additional Secretar y, Ministr y of Por ts & Highways, Sri Lanka. Mr Gunathilake is one of the most pronounced infrastructure speakers in Asia Pacific. - L o a y G h a z a l e h , Undersecretar y Adviser on Infrastructure, Ministr y of Works, Bahrain. A world-renowned speaker who will be focusing on what makes a well-designed bridge. - S a t p a l S B h o g a l , Project Director, MMC Gamuda. MMC Gamuda are the biggest infrastructure development company in Malaysia, responsible for the construction of the SMART tunnel. - T h o m a s M a i e r, Managing Director, European Bank for Reconstruction & Development, UK. The bank funding the Eurasia tunnel will provide details on the various funding options available for infrastructure projects in Asia.

Tunnel project. Professor Dr Agus Sidharta, President and CEO of Antaredja Mulia Jaya Indonesia will run through the challenges that prompted the development of this project, and analysis of how those challenges will be overcome as a result. By adapting the SMART Tunnel model, the Jakarta Tunnel hopes to mitigate against floods and ease congestion in the hope of finding a long term solution to control traffic levels. Through understanding the existing public consumption patterns in Jakarta, the company is able to demonstrate the effect that the new infrastructure development will have versus the old tunnel.

EVENT INFORMATION WHEN: April 15-16, 2015 WHERE: Kuala Lumpur, Malaysia REGISTER: roohi.taragi@fleminggulf.com WEBSITE: http://infra.fleminggulf.com/apactunnels-bridges-forum

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A R C A D I S

C O N S T R U C T I O N

O U T L O O K

Rising Like a Skyscraper:

The Outlook of An in-depth look at the Arcadis annual International Construction Cost Report reveals the reasons for industry change in Asia By Alan Hearn, Head of Buildings Solutions at Arcadis, Asia

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Construction Cost in Asia n recent years, the Asia construction market continues to see significant growth. Asian markets like Hong Kong, Malaysia, Indonesia and Singapore all witnessed an increasing share of their overall economic output being attributed to construction. It is no coincidence then that in these same countries, construction-cost escalation exceeded the general rate of inflation. Hong Kong was the most expensive market in Asia for

construction while Japan, Macau and Singapore have seen significant relative cost reductions over the past year, according to the International Construction Costs Report released in January 2015 by Arcadis, the leading global natural and built asset design & consultancy firm. The annual study, which benchmarks building costs in 43 markets across the globe, also found that relative construction

costs have been affected by currency fluctuations, commodity prices and increasing demand for development in some recovering economies. These changes have seen the relative cost of building in Asia markets decrease significantly compared to markets in other regions. Meanwhile, currency devaluation in many emerging markets like India, Indonesia, Malaysia, Thailand and Vietnam has also caused the relative costs to drop considerably.

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A R C A D I S

C O N S T R U C T I O N

Hong Kong and Singapore saw strong growth throughout the year, driven by a combination of robust housing markets and high levels of infrastructure spend. In China, the gradual shift to a consumption-based economy means that the huge growth in construction that we have witnessed over the past ten years is unlikely to continue in the long term. Elsewhere in Asia, construction markets had another strong year, particularly in Japan, where the stimulus associated with one of the three ‘arrows’ of Abenomics has had a significant impact. The Asian markets ranking in Arcadis International Construction Cost Report are below: Asia Global Market Ranking Ranking

Global Ranking Change from previous report

Hong Kong -2

6-8

Macau

N/A

-6

including labour supply, general capacity of the industry, demand volume and commodity prices. Arguably, the labour supply is the most critical, given that this is often the factor which constrains the overall capacity of the construction industry. A shortage of skilled workers, an ageing workforce and lack of new blood coming into the industry all combine to put pressure on construction costs. This is particularly true for developed economies such as Hong Kong, Singapore and South Korea. A surge in demand, often led by

Expected Cost Change in 2015 (%)

2 3

Singapore

-5

2-4

Japan

-9

N/A

South Korea

1-1.5

China

-1

2-3

Brunei

-8

0-2

Philippines +1

4-6

Thailand

3-5

Malaysia

4-6

Indonesia

7-8

Taiwan

N/A

Vietnam

1-3

India

6-8

Construction volume in Hong Kong will remain at very high levels leading to continued shortages of key skilled labour”

Hong Kong and Singapore saw strong growth throughout the year, driven by a combination of robust housing markets and high levels of infrastructure spend

Factors that caused the surge in construction cost

In Asia, construction cost cycles fluctuate due to a variety of factors

O U T L O O K

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the launching of mega infrastructure works, can have a tremendous effect on construction costs as it upsets the supply-demand balance. Elections and other political issues may also impact on the time taken to award construction contracts thereby again upsetting the supply-demand balance. An example is the unstable political climate causing delays in property market investment in Thailand, which in turn has suppressed construction inflation in that country. Commodities prices have generally remained steady across the region over the past year.

The outlook of construction industry in 2015

Looking ahead, despite the changing nature of the economy, we expect construction investment in China to continue to diversify across both project types and geographies, which will sustain strong growth during 2015 within the country. Construction volume in Hong Kong will remain at very high levels leading to continued shortages of key skilled labour. Macau’s gaming-driven economy will also remain robust, but signs of a modest slowdown have emerged. The construction industry is still booming as a result of the current

Klang Valley Mass Rapid Transit Project Owner

Government of Malaysia Land Public Transport Commission (SPAD)Mass Rapid Transit Corporation Sdn Bhd (MRT Corp)MMCGamuda KVMRT (PDP) Sdn Bhd

Locale

Klang Valley, Malaysia

Transit type

Mass Rapid Transit

Number of lines 3 Number of stations 31 stations for 1st MRT line 40 stations for 2nd MRT Line Began operation 2014 Operator(s)

Mass Rapid Transit Corporation Sdn Bhd (MRT Corp)

System length

51 km for 1st MRT line 59.5km for 2nd MRT Line

Track gauge

Standard gauge

As for South Korea, regulatory reform to introduce foreign capital in the real estate and construction sectors announced by the government is likely to boost integrated resorts and other green field projects such as logistics and industrial development. Malaysia has seen strong growth and this looks set to continue with mega infrastructure projects including the KVMRT second Line and the Penang MRT continuing to be the

countryâ&#x20AC;&#x2122;s main growth driver for the construction sector. However, along with other members of the next 11 including Indonesia and the Philippines, they may find that delivery of their ambitious investment programmes becomes ever more challenging. Fluctuations in commodity and currency markets, along with wider economic trends, may also affect the ability of these markets to fund projects or attract PPP investment.

wave of casino development. With construction wages having risen about eight-10 percent and 13 percent a year in Hong Kong and Macau respectively, labour costs continue to be the key driver in escalating construction costs. In the short term, construction costs in Singapore are anticipated to increase due to labour shortages and the implementation of more productive technologies and practices for compliance with the latest regulatory changes. However, the benefits that will arise from the adoption of more productive technologies and practices, selection of more productive materials, improved processes, better safety performance and the higher productivity of a skilled workforce, is expected to lead to lower construction costs in the longer term.

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is a leading business-to-business publication promoting and showcasing the leading companies across an array of sectors on the continent. Appearing in both digital and print, the publication is aimed at boardroom members and hands-on decision makers, reaching more than 190,000 business executives every month. Every other month we feature leading companies and business executives by profiling their operations and success stories. Covering areas of best practice, capital investments, the supply chain, innovation and continuous improvement, we aim to promote all that is good about the industry and the region, with your company taking centre stage throughout it all. Producing business profiles across the full range of sectors and every corner of the continent, Asia Outlook is the platform to promote your business success.

Read on for this monthâ&#x20AC;&#x2122;s profiles. Emily Jarvis, Deputy Editor emily.jarvis@outlookpublishing.com

If you want to enjoy the exposure and coverage we can offer, please feel free to contact us to discuss the opportunity further. Tell us your story and weâ&#x20AC;&#x2122;ll tell the world. Matthew Staff, Editorial Director Tel: +44 (0) 1603 559152 matthew.staff@outlookpublishing.com

E D M I

L I M I T E D

Challenging Technology

Through Smart Energy Solutions The concept of EDMI’s smart metering solution is a universal one, which has sparked interest in countries around the world

DMI Limited, a subsidiary of Osaki United International, is an international leader in the design and provision of smart energy solutions. Dedicated to innovation and accuracy, EDMI has been trusted for more than Writer: Emily Jarvis 35 years to develop, manufacture and deliver the very best in technologically Project Manager: Donovan Smith advanced smart energy meters and metering systems for the global energy industry. The result of exacting and extensive research and development, EDMI’s quality products are designed with the end-user in mind. Further, more than 1,830 staff worldwide drive the company forward to make sustainable energy and grid management a reality. EDMI smart meters help customers manage energy distribution, load consumption and meter data more efficiently via tried and tested software and twoMr Lee Kwang Mr Jimmy Chin, EDMI way communication. “We believe Mong, CEO Limited Managing Director that our smart meter technology

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EDMI smart meters help customers manage energy distribution, load consumption and meter data more efficiently via tried and tested software and two-way communication

goes beyond simply recording data. The product is a useful automated and low maintenance system that can easily become an integral part of a company’s network,” says Mr Lee Kwang Mong, CEO of EDMI. With the electricity smart meter already gaining traction in the mainstream market, EDMI is now preparing for the launch of its communications hub and smart gas meter, which will complement the solution. The hub will securely collate and communicate useful energy consumption data from both the electricity meter and gas meters. The

hub sends data securely to a central database and delivers metering, monitoring, reporting and analysis services for electricity and gas; and Mr Lee believes its importance to energy infrastructure in the future should not be underestimated.

Smart solution for the world

Speaking previously with EDMI in 2014, we learned that the company’s smart metering solution was experiencing huge success in the UK. The country plans to install 53 million smart electric meters in 30 million homes and small businesses by 2020. “Currently, we are

pleased to say that we are on schedule and working with the DCC (Data Communication Company in the UK) to ensure our products are fully tested before roll-out,” says Mr Lee. The demand for smart gas meters has been growing in the UK and other European countries. “Our experience in the UK market has shown that we often need to provide a dual fuel solution. This integrated solution which will collate all forms of energy consumption including water will in time spread to Asia, Australia and other parts of the world,” he adds. In native Singapore, EDMI is in the

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E D M I

L I M I T E D

process of deploying some 45,000 smart meters for Singapore Power, one of the largest corporations in Singapore as the initial phase of a smart grid project to put Singapore at the forefront of smart energy conservation. Furthermore, EDMI has plans with its parent company, Osaki Electric, to become involved in some of the most significant smart grid projects in Japan. “Across the Pacific in Australia, the regulators are promoting the ‘Power of Choice’, a concept which will place the choice of energy supplier in the hands of the consumer. This will move Australia towards a retailer-led competitive market structure similar to that in New Zealand,” says Mr Lee. To meet this market change, EDMI has developed the EDMI Energy Cloud, a full end-to-end system that delivers high availability and capacity on an advanced AMI head-end, an integrated MDMS and a customer energy management and analytics portal. The EDMI Energy Cloud is delivered in a hosted manner making it a costeffective solution with a quick-time to market. “In the next three years, when this project gets off the ground, we will certainly have established our credentials as a leader of smart meter solutions around the globe,” says Mr Lee.

WHA YU

he most potential in the wireless market, Wha Yu (CIS logo M.gear), was established in 1981 and driven by the high demand in the wireless transmission industry. Wha Yu has led the forefront of the RF active and passive devices. As the wireless industry continues to expand, so does the need for antennas. Wha Yu has become one of the leading antenna providers in the WLAN AP / Router industry and tapped into the wealth of notebook, GPS, mobile phone, digital TV, etc.

EDMI is in the process of deploying some 45,000 smart meters for Singapore Power

In the next three years, when this project gets off the ground, we will certainly have established our credentials as a leader of smart meter solutions around the globe

In addition to having competitive advantages, the company constantly recruits and cultivates an expert R&D team energized to develop and create patents needed. Over the past few years, It has not only made progress inside and outside of consumer-used wireless electronics, but also appeared largely in telecommunication-based BTS antenna, military antenna, telematics antenna, automobile all-in-one antenna, NFC antenna / module and drowsiness alarm device. The headquarters of Wha Yu resides in Hsinchu city, Taiwan. It has enabled the company to have an ever evolving sales team striving to perfect customer services through the manufacturing sites in Suzhou, Dong Guan and branch office in Hong Kong. Following the momentum and ever-changing needs of the wireless industry, new collections of M.gear are brought yearly for refreshing changes. The company promotes top grade service, performance and a thirst for knowledge. With a top-notch R&D team at its core, and a supportive sales team, M.gear will provide for the needs of today and beyond.

T 886-3-5714225 E market@whayu.com

www.whayu.com

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New enclosure with LED display available for Outdoor CPE Outdoor CPE features UV Resistant

IP67 Rating

• Compact Size: (W)255x(L)255x(H)84 mm • Options with up to 6 RF Ports • Options with up to 2 RJ-45 Ports • IP67 Rating Protection

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Wind survival > 210km/hr

• Diagnostic window adapter • High quality stainless steel with adjustable mounting kit • Custom designed MIMO high gain embedded antenna for 4G LTE/3G/2G/ WiMAX/WiFi technologies

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In building solution

Base station

T +886-3-5714225

market@whayu.com

E D M I

L I M I T E D

LYBASE SDN. BHD.

Creating a universal product

With a new year comes new technology and EDMI will continue to invest heavily in research and development to follow the latest energy trends. “We work alongside each energy supplier to improve our software and product line. This is on a continual basis if we are to keep abreast of the market,” says Mr Lee. While smart meters and systems are designed for global usage, EDMI has to adjust its meter for application across each country as Mr Lee explains: “For example, in the UK our devices have to comply with UK requirements set out by various bodies including the

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35 years’

more than

Proven technology

With more than 35 years’ experience and over half a million EDMI smart meters installed in the UK alone, EDMI’s products are tried and tested, assuring its customers through the promise of working with a company with a proven track record.

experience

perated since 2001, Lybase Sdn. Bhd. is a Malaysian company specialized in manufacturing and supply of injection moulded Engineering plastic parts, secondary process and subassembly. It received One Star Award (2010) and Silver Award (2011) in SME OSH Award and Gold Class (I) in MSOSH OSH Award 2012. With 10 years of steady growth, Lybase expands further into LED lighting. Lybase’s products are certified by JKR, IKRAM QA Services, SIRIM QAS, QAV Technologies and endorsed with GreenTAG by Malaysian Green Technology Corporation. Our certification is recognized by Department of Standards Malaysia, International Laboratory Accreditation Cooperation (ILAC) & International Electrotechnical Commission (IEC). Last year, we also obtained certification of Malaysian Brand for our LED lighting products. Certified with ISO 9001: 2008, ISO 14001:2004 and OHSAS 18001: 2007, Lybase is committed to provide only the best to its customers.

* * CerFﬁcaFon are recognized by Department of Standards Malaysia, InternaFonal Laboratory AccreditaFon CooperaFon (ILAC) & InternaFonal Electrotechnical Commission (IEC)

Key Features of Products: Eco-‐friendly products Long rated life (> 50, 000 hours @ L70) High Eﬃciency

*Recognized by JKR, IKRAM QA Services, QAV Technologies, SIRIM QAS & GreenTech Malaysia *Comply with MS 62722-‐2-‐1 & IEC 62722-‐2-‐1, 12,000 Hours Burn In Test (Category 1)*or Highest Lumens Maintenance Ranking, IEC 60598-‐1, IEC 60598-‐2-‐3, IEC 61347-‐2-‐13, IEC 61347-‐1, IEC 62471, IEC 62031, EN61547, LED Street Light: IES LM-‐79-‐08 & IES LM-‐80-‐08 (50w/70w/100w/120w/150w/185w/240w) *Rated 4 STAR by SME Corp. under SME CompeFFve RaFng for Enhancement LED High Bay: (SCORE) (100w/150w/180w/200w) *MSOSH SME OSH Award 2010 – One Star LED Flood Light/LED High Mast: *MSOSH SME OSH Award 2011 – Silver Award (360w/480w) *MSOSH OSH Award 2012 – Gold Class (I) *CerFﬁed with ISO 9001: 2008, ISO 14001: 2004 and OHSAS 18001: 2007 *IP 66 (LED Modules)

Lybase Sdn. Bhd. (409222-‐U) PLO 207, Jalan Cyber 14, Senai Industrial Estate IV, 81400 Senai, Johor Darul Takzim, Malaysia. Tel: +607-‐599 7878, Fax: +607-‐598 8077 or +607-‐599 2444, Email: enquiry@lybase.com.my or calvintan@lybase.com.my

TÜV Rheinland. Precisely Right

Tespro: helping you talk to the meter New in Tespro’s family: • TP-BT-IEC (Bluetooth) • TP-RF-IEC (RF) • TP-GS2 (General Supporter for probes) • TP-17C (Scanning Probe, Duplex-function)

Welcome to visit Tespro by www.tespro.com.cn

TÜV Rheinland is an International Technical Service TÜV Rheinland Group Provider since 1872, TÜV Rheinland Singapore Pte Ltd offering services for 25 International Business Park testing, inspection, #05-105 German Centre certification and training. We Singapore 609916 developed solutions to ensure the safety, quality and economic efficiency of the interaction between people, technology and the environment, in compliance to our clients and their products..

www.tuv.com

E-mail: systems@sin.tuv.com

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E D M I

L I M I T E D

The launch of EDMI’s gas meter will complement the company’s electricity meter

government and industries. Each country has different functional requirements and service levels for smart metering solutions and so we must adapt our core product concepts in order to comply.”

Staying ahead

EDMI expects strong and sustained demand for smart metering solutions as energy providers around the world continue their quest to become more environmentally friendly and deploy advanced technologies for their distribution efficiencies. “Governments around the world are showing interest in our smart meter offering in order to reach their energy efficiency goals. Our market share in existing markets such as Asia remains very small and we still have plenty of room to grow,” Mr Lee adds. It is vital that the company stays ahead of the curve: “Once you make a move into this market, the best way to continue on the road to success is to innovate. The need for a way to manage energy consumption will remain for the foreseeable future, even during periods of market downturn.”

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World Class

Quality Procedures Dedicated to quality

EDMI’s quality procedures are world class. From the design phase through to post sales service, the company pass all knowledge and experience onto the end-user.

Early adopters

In just a short space of time, EDMI has gone from offering smart energy meters to offering a whole host of new communication devices. “As

early adopters of the smart metering solution and systems, our reputation in the field has secured our place in the market and even in associated markets such as communication technologies,” says Mr Lee. With the desire to remain competitive, EDMI continues to re-evaluate product design and functionality through heavy investment in research and development. It plans to continue to widen its global reach with the customers in mind. “We have a significant number of orders behind us and a world-leader status. As a result, we can look towards the future with excitement as there is no limit to where we can go,” surmises Mr Lee.

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P O R T O F TA N J U N G P E L E PA S

The

Port

Images by: Port of Tanjung Pelepas

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Preferred

of Choice

IN SOUTHEAST ASIA CEO, Glen Hilton expects the global container market to grow in 2015, primarily as a result of global shipping access. The company is focussing on increasing port capacity as a result Writer: Emily Jarvis Project Manager: Mark Skillicorn

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P O R T

O F

T A N J U N G

P E L E P A S

ith a vision to be the preferred port of choice in Southeast Asia, the Port of Tanjung Pelepas (PTP) strives to provide unrivalled port services to the global market. Just 45 minutes from the confluence of the world’s busiest shipping lanes, PTP’s strategic location makes it easily accessible from the Straits of Malacca. Situated on the eastern side of the mount of the Pulai River in Southwest Johor, PTP is a naturally sheltered deep water port near the MalaysiaSingapore Second Crossing with a turning basin of 600 metres and 12.6 kilometres of access channel for twoway traffic. Accorded with Free Zone status in 1997 and Free Zone Authority management in 1998, PTP is governed by the Free Zone Act 1990 which is enforced by Malaysia’s Ministry of Finance. This status promulgates the local container trade volumes of the port and forms part of the hinterland cargo catchment area. PTP has experienced steady growth since the port opened 15 years ago, when it first moved 400,000 TEU in 2000.

RANCHAN HEAVY ENGINEERING • Partnered with a major US based port crane engineering company • We operate 48 acres waterfront yard located strategically in the Lumut Port Industrial Park. Our production facilities include wharf with crane rails, workshop bays, warehouse, office building, jetty, slipway, and paved area for open fabrication • Ranchan together with its partner has over 25 years of experience to provide safe, cost effective solutions to Sea Ports • Completed numerous crane modifications that include extending boom length, increasing height, replacing trolley and festoon rails, wire ropes, mechanical refurbishing, structural repairs, flame strengthening, and electrical controls • Experienced and dedicated team to handle projects across South East Asia, Middle East and Indian subcontinent • Safety is fundamental to the success of any our projects and integrated into all planning, lifting, rigging and transport Key Services • Heavy Lift and Marine Transportation • Crane modifications & repair • Crane assembly & dismantling • Procurement of port equipments • Project cargo

Situated on the eastern side of the mount of the Pulai River in Southwest Johor, PTP is a naturally sheltered deep water port near the Malaysia-Singapore Second Crossing with a turning basin of 600 metres and 12.6 kilometres of access channel for two-way traffic.

• Custom engineering • Engineering documentations Equipment • SPMT/Skidding System • Hydraulic Dolly • Skid Gear • Crane Raise Lifting Frame • Winches Tel +603.5635.7187 Email enquiry@ranchangroup.com

www.ranchangroup.com

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DE LIVE R I NG EXC E LLE NC E, I N NOVATION AN D S U STAI NAB I LIT Y

A specialised port crane engineering & marine transportation company providing end to end solutions to major sea ports across the globe.

+603.5635.7187 | enquir y@ranchangroup.com

| www.ranchangroup.com

P O R T

O F

T A N J U N G

Free Zone advantages

There are many benefits and advantages of doing business in a Free Zone. The direct connection to the port terminal provides efficient and cost effective container movement between the Free Zone and the port, creating convenience for the container trade. Moreover, companies are exempt from customs, sales and service taxes; all customs formalities regarding all import and export declarations are carried out using internal Free Zone Information Processing Systems (FZIPS). PTP’s operations are as environmentally friendly as possible,

P E L E P A S

providing good connectivity by sea, road, air and rail to the rest of the world via an integrated logistics hub within the Iskandar Economic Zone. The company’s international standard of security compliance ensures a safe and secure business environment with an abundant supply of water and electricity. The Port’s Free Zone land comprises five phases with a total area spanning 640 hectares. Phase One and Phase Two account for approximately 256 hectares and have been developed with basic infrastructure requirements such as electricity supply, water supply, telecommunications facilities, roads and drainage.

EU JIN SDN BHD

MS ISO 9001: 2008 & OHSAS 18001 certified, and established in 2011, EJSB have

grown significantly and partner with various clients based on our extensive experience, knowledge and skills of our dedicated technical team. EJSB offer various services and support for maintenance and repair of port material/container handling systems, modernisation and retrofitting, fabrication and engineering works, testing and commissioning and spare parts supply. Starting with a cabin office in PTP, EJSB now has its own office and factory yard located at Nusajaya, Johor and a site sales office in the port of Tanjung Pelepas, Johor. We also have an office in Pudong, Shanghai. Our team, who possess vast experience and knowledge of the industry, strategic partners and reliable suppliers have contributed greatly to the success of our business, making us one of the emerging and upcoming players in the market.

Container terminal

EJSB are an authorised agent for

• 14 berths forming 5.04 kilometres of linear wharf

Bromma spreader maintenance and

• Annual handling capacity of 10,500,000 TEUs • Container yard capacity of 214,000 TEUs

Bromma Malaysia and are undertaking repair in PTP. We also are an authorised distributor for Guan Bo Machinery, supplying grab and port material handling systems.

• 52 super-post panamax cranes www.eujin.com.my

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www.eujin.com.my

Reliability, Quality & Customer Satisfaction Eu Jin Sdn Bhd is the premier suppliers to provide customised leading-edge engineering solutions, retrofit and maintenance services to the port industry in Malaysia. EJSB is a ISO and OHSAS certified company with over 70 staff consisting of specialized project managers, engineers and technicians. Authorised Partners: DL

Company Certification:

Chain Manufacturer

Grab Manufacturer

Spreader Manufacturer

P O R T

O F

T A N J U N G

P E L E P A S

IGUS igus® plastics for longer life igus® Singapore Pte Ltd was established in 1997 and is the regional headquarters for the ASEAN region. Our network spreads across Asia and the ASEAN markets are well supported via a wide network of igus® sales and service personnel, as well as igus® owned entities. Our wide range of products enable us to serve almost all of the industrial establishments located in our region, from small workshops to large, highly automated, heavy duty plants and equipment, and are used and proven in many industry sectors and applications. Cost down, life up... igus will improve your performance 24 hours a day.

www.igus-asean.com/cranes

More than 80 percent of the developed land within these phases has been subleased to various local and global companies. Phases Three, Four and Five – which constitute of 383 hectares – have the potential to be developed to expand PTP’s current Free Zone development.

Record TEU in 2014

According to CEO, Glen Hilton, PTP hit a record eight million TEU in 2014, surpassing 8.6 million TEU. “Passing this latest milestone further underlines our position as the leading container terminal in Malaysia,” he said. “We certainly could not have done this without the commitment and the dedication of our staff to provide fast and efficient service over the years. We are also thankful to the government and local authorities, customers and all of our stakeholders for their continuous support,” said the CEO. “The completion of our berth 13

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Marine services Pilotage

Pelepas Port’s pilotage service is provided by PTP round the clock. Vessels approaching the pilot station from the East or westbound lane are advised to approach the channel at an angle of not more than 20 degrees. This is due to the existence of cross current at the entrance area. A guide for entering the channel will be the first pair of buoys and the sector light. The Racon (M) fitted to the Tanjung Piai beacon can also be used as an approaching guide by parallel indexing should the need arise. All vessels operating within the port limit area are under the surveillance of the Port Radar System (PRS).

Towage

The shipmaster upon the advice of the pilot shall determine the number of tugs to be deployed. All tugboats are fitted with fire fighting equipment and 40 tonne bollard pull with 3,200 horsepower engines.

SG-978-Cranes P4 in Alu 160x96_SG-978-Cranes P4 in Alu 160x96 20.01.15 14:13 Seite 1

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Project Cargo Cargo transportation Container haulage Freight forwarding and customs brokerage Warehouse & distribution Manufacturing and fabrication of trailers T: 607-232 5930 | 231 6999 (Hunting Line) W: www.xinhwa.com.my E: general_info@xinhwa.com.my

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P O R T

O F

T A N J U N G

P E L E P A S

Port of Tanjung Pelepas advanced systems SmartRail system

Rubber-tyred gantry yard cranes are retrofitted with SmartRail (advanced satellite-guided automatic steering and position determination system), virtually eliminating human error by using the Differential Global Positioning System (DGPS) for pinpoint positioning accuracy to avoid misplaced containers and reduce waiting time for loading discharge.

Container management system Express and Sparcs from Navis, the core system in PTP is utilised for yard and vessel planning and for facilitating precise container movement.

Gate Control and Monitoring System (GCAMS)

PTP’s GCAMS ensures smooth flow for all gate transactions and integrates Customs Gate Control Systems with PTP’s Container Management Systems to maximise efficiency.

Port radar systems

Port radar systems ensure safe and efficient management of all vessel traffic movement at PTP while enhancing effectiveness during emergency situations.

Vessel Clearance Systems (VCS)

The VCS allows paperless declarations to various governmental agencies and online approval processes.

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Safety and security systems

PTP’s Vessel Tracking System provides vital information such as the status of every container in the port at any given time to the marine department for smooth traffic flow and added safety. PTP holds various international security and safety standards including: ISPS compliance; US customs service container security initiative (CSI) and C-TPAT compliance; customers scanning machine; restricted and controlled access to terminals; 24-hour in-house security and emergency response team amongst others.

and 14 in the second quarter of this year complete with new advanced equipment has increased PTP’s capacity to 12.5 million TEU a year. We are expecting the container market to grow primarily on the back of global shipping access hence utilising our port capacity. “Hitting the nine million TEU mark is our target for 2015 and it will certainly create another great milestone for PTP,” he added. PTP continue to exceed customer expectation, driven by results through its innovation and continuous improvements to products and services. By working together as a team and adhering to strict health, safety and environment practices, the company demonstrate integrity in all of its words and actions. “We are confident with strong organic growth from PTP’s existing customers as well as volume from new

customers will eventually increase our container volume over the next three to five years, and thus enabling the port to continue becoming the catalyst for economic and social benefits to Johor State and the Iskandar Malaysia region,” he concluded.

Hitting the nine million TEU mark is our target for 2015 and it will certainly create another great milestone for PTP

Sadly, Project Manager, Mark Skillicorn passed away shortly before this edition of Asia Outlook was published. He was a valued member of the team and will be sorely missed.

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Better Power for a Changing World

All images via Rolls-Royce Flickr photostream and website

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Rolls-Royce’s influence in the Asia Pacific region continues to grow year-on-year as its Singapore Seletar Campus lays the foundations for a productive future Writer: Matthew Staff Project Manager: Tom Cullum olls-Royce is one of the most infamous global names in manufacturing, but never slows in its strive to innovate and improve; a philosophy currently being epitomised by its Asia Pacific division. Staying true to its vision of providing “better power for a changing world”, Asia certainly adheres to this ethos with emerging markets sitting parallel to some of the most lucrative and forward-thinking countries in the world. As a consequence, Rolls-Royce Asia Pacific currently comprises a third of the Group’s global turnover through its services in aerospace engineering, assembling Trent engines, manufacturing fan blades for engines, and ship building. The power systems organisation’s strive for efficiency and operational excellence has been a familiar feature of the Rolls-Royce offering for more than 100 years, and its latest facility additions are set to ensure further tech advancements across the Asian continent.

Campus, the Unit has been designed to allow simultaneous assembly and testing of the engines under one roof and it will act as a sister site to its production and test facility in the UK, creating additional capacity and a closer proximity to customers in the region. Opening its doors in 2014, the Unit is already working in tandem with its manufacturing of Trent 900 engines for the Airbus A380, and its Trent 1000 engines for the Boeing 787 Dreamliner, with the facility not even up to full capacity for another two years. Once it does reach its optimum capabilities, the factory will house the production of 250 large engines a year, incorporating module builds, complete engine assembly and subsequent testing. The production test bed can accommodate an engine with a fan size of up to 140 inches and 15,000 pounds of thrust, not only confirming the Group as a market leader in the sector as would be expected, but also allowing for further and greater flexibility in the future too. The site’s link to the Rolls-Royce base in the UK also encourages a series of benefits including the promotion of uniform operations on an international level, and subsequently, its success in attaining Civil Aviation Authority approvals. “The delivery of the first Trent aero engine produced in Singapore is a significant milestone for us. It represents a huge collaborative effort

Seletar Assembly & Test Unit

The Group’s recently unveiled Seletar Assembly & Test Unit (SATU) is not only the most modern Rolls-Royce assembly and test facility for large commercial Trent aero engines, but is also the first of its kind in Asia. Situated within its wider Seletar

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BAOSTEEL

aosteel Special Metals Co., Ltd. (BSMC) is an international integrated materials

manufacturer and research center of high quality special steels, and a whollyowned subsidiary of Baosteel Group, located by the side of the Yangtze River in Baoshan District, Northeast of Shanghai, China. BSMC is a famous Chinese special steel manufacturer. It is also an important national raw

with colleagues in the UK supporting our team here to ensure that the engine, produced to our exacting standards, was delivered on time,” Paul O’Neil, Director of Seletar Campus at Rolls-Royce said, following the first production of the Group’s first engine at the facility last year.

material production base and a new metallic materials development base.

The Group’s Wide Chord Fan Blade (WCFB) manufacturing facility is the first outside the UK to manufacture hollow titanium WCFBs, a unique capability and technology which has played a key role in the success of the Trent aero engine family

Seletar Campus

The 154,000 square metre campus in which the Unit is housed has gone from strength to strength, having been opened with the Unit in mind back in 2012. Complimenting the Trent Aero Engine Assembly and Test Unit, the area also houses a Wide Chord Fan Blade manufacturing facility and an Advanced Technology Centre (ATC).

manufacturing, BSMC has formed an integrated system of manufacturing, sales and development of superalloy, titanium alloy, structure steel, bearing steel, stainless steel, etc. in forms of ingot, slab, billet, bar, plate, sheet, coil & strip, tube, forging etc. Our products are widely used in the fields of aerospace, aviation, nuclear power, automobile, mechanical industry, electronics, instrumentation, petroleum, etc. In 2014, BSMC is approved by Rolls-Royce as a qualified supplier for the scope specified fields. Striving

A Regional Training Centre completes the campus’ array of functions in providing a platform for internal skills development moving forward. “The Group’s Wide Chord Fan Blade (WCFB) manufacturing facility is the first outside the UK to manufacture hollow titanium WCFBs, a unique capability and technology which has played a key role in the success of the Trent aero engine family,” the company explains on its website. “At full capacity, this facility will produce over 6,000 blades per year.”

With 40 years experience in special steel

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for establishing ‘ Internationally first class and domestically top-grade ‘ ecological special steel site is the tenet of BSMC. We are committed to pursue and promote mutually beneficial cooperation with domestic and overseas customers by offering high quality products and service.

tc.baosteel.net.cn

Baosteel Special Metals Co., Ltd. Pioneer of the development of special steel in China

Manufacturing and developing superalloy, titanium alloy, structure steel, bearing steel, stainless steel, etc. in forms of ingot, slab, billet, bar, plate, sheet, coil & strip, tube, forging etc. Our products are widely used in the fields of aerospace, aviation, nuclear power, automobile, mechanical industry, electronics, instrumentation, petroleum, etc.

Website: tc.baosteel.net.cn E-mail: sunxiaoyu@baosteel.com Tel: +86 21 26032603 Fax: +86 21 26032950

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Rolls-Royce has maintained an office in Singapore since the 1950s and its presence is expanding with the development of Singapore as an international business centre in the thriving Asia Pacific region The Advanced Technology Centre has played a key role in the Group’s global network of research and technology sites, while also assisting in getting the Trent assembly and testing unit up to optimum speed as quickly as possible. The company continued: “Four key areas of research will take place in the ATC: materials support technology; computational engineering; electrical power and control systems; and manufacturing technology research.” Finally, the Regional Training Centre is, again, the first of its kind for RollsRoyce in Asia, built with a purpose of developing high-value skills and nurturing young talent for the future. “It is part of the global network of Rolls-Royce training centres, offering the latest technology, equipment and facilities to give customers and employees in the region access to world class training and internationally accredited qualifications,” the company stated.

Right: This is the Group’s first facility outside the UK to manufacture hollow titanium Wide Chord Fan Blades, a unique technology that has played a key role in the success of the Trent aero engine family

Below: Rolls-Royce unveils Scoot Airlines’ Trent 1000 engine; made in Singapore, for Singapore

A growing presence

The overall campus, and especially its new Assembly and Testing Unit, is indicative of Rolls-Royce’s growing influence in the Asia Pacific region, its footprint expanding significantly over the past three years, and laying down the groundwork for even more of a manufacturing presence planned in 2015. “Rolls-Royce has maintained an office in Singapore since the 1950s and its presence is expanding with the development of Singapore as

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an international business centre in the thriving Asia Pacific region,” confirmed the company’s website. “Today, Singapore is a key business hub for Rolls-Royce, and all four major business sectors – Civil and Defence Aerospace, Marine and Energy – are strongly represented. “Rolls-Royce plays a significant role in Singapore’s civil aerospace industry...The Group, along with its joint venture partners, employs more than 2,200 people in the city state and

Rolls-Royce plays a significant role in Singapore’s civil aerospace industry... The Group, along with its joint venture partners, employs more than 2,200 people

Above: The Advanced Technology Centre

Right: President Tony Tan Keng Yam speaks with local employees on his visit to Rolls Royce Seletar Campus

accounts for over 15 percent of the country’s aerospace output.” Also responsible for supplying the Republic of Singapore Air Force, as well as establishing a concerted network of local suppliers, RollsRoyce’s role in the Asia Pacific region is now a flourishing one. From its Singaporean base, reaching out to China, India and Australia, the company continues to raise the bar

across finance, HR, procurement, communications, skills development, and health and safety to ensure its globally-renowned products are being produced in the best environment possible for its equally reputable, international clientele.

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E V E N T

ASIAN WORLD SUMMIT, a leading business intelligence company in Kuala Lumpur, Malaysia will assemble local and international policy makers and key players at the Asian Infrastructure PPP Summit. Taking place over four days, the Asian Infrastructure PPP Summit will kick start with a one-day pre-summit workshop on ‘Breaking the PPP code’ before moving on to the main summit. The event will wrap up with site visits on the last day to the famous Stormwater Management and Road Tunnel (SMART) and MMC Gamuda KVMRT (T)’s MRT project. Asian World Summit’s Chairman, Tan Sri Megat says: “The Asian Development Bank estimates that Asia needs at least US$800 billion a year

Tan Sri Dato’ Seri Megat Najmuddin, the Chairman of Asian World Summit

F O C U S

Asian Infrastructure PPP Summit 2015

Changing the deficits in urban infrastructure or six percent of GDP in infrastructure spending to fund its infrastructure needs. This cannot be addressed by the public sector on its own. In addition, the situation is made far worse with sudden, unexpected expenditures such as recovery plans after a large scale natural disaster or a big drop in income for oil-dependent countries. Unexpected circumstances like these will undeniably prompt for further private sector involvement. “The summit can spark the exchange of ideas, expand network and possible collaboration as it will help to match the needs of the cities to build their infrastructure with the desires of the private sectors to be involved.” Some of the key highlights of the Asian Infrastructure PPP Summit include: • Removing the stumbling blocks in mobilising PPP • Enhancing the public sector’s capabilities in structuring & managing contracts

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• Reviewing innovative ways to finance infrastructure development • Evaluating the project’s commercial viability • Working together with stakeholders with different interests & priorities • Lessons learnt from economic & social infrastructure PPP projects

INFORMATION WHEN: March 9-12, 2015 WHERE: Royale Chulan Hotel Kuala Lumpur, Malaysia REGISTER: +603 2333 9350 julie@asianworldsummit.com WEBSITE: www.asianworldsummit.com

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