MW & H2O Magazine Aug-Sep 2012 by H2O Megawhat

ON THE RECORD Marwan Al Naqi, CEO, Palm Utilities THE HUB Solution mosaic ELECTRICAL REVIEW Pinpoint precision

aug/sept 2012

SOLAR AMBITIONS Is the GCC aiming too high (0r Low) with its solar POWER TARGETS?

HEAD LINES

• Toray to supply membranes for UAE desal projects • The workflow route to excellence

Experience the Power of Dow Inside

contents aug/sept2012 4/ Editor's Letter

NEWS 8/ Round up 12/ In the region 18/ At large The workflow route to excellence On the offensive

FEATURE 23/ The power of PLC

WHEN IT’S YOUR JOB TO MAKE THE ECONOMY THRIVE. Accessible, dependable power is the lifeblood of a vibrant economy. Making sure it gets there? That’s your job. With the power of DOW INSIDE you can count on reliability and long cable life based on exceptional materials, dedicated R&D, deep industry knowledge,

PLC (Power Line Carrier), with its low CAPEX and OPEX levels, is the most cost-effective technology choice for smart metering rollouts

26/ Short take

Graham O’Geran, Operations Manager, British Approvals Service for Cables (BASEC)

36 / Solution mosaic

An unconventional perspective of water management solutions for the Arabian Desert eco-region.

ELECTRICAL REVIEW 40/ Pinpoint precision

Pinpointers that combine acoustic and electromagnetic detection with ground microphones take cable fault detection to a new level.

50/FLIPSIDE

• The great turtle race • Qatar protects whale shark

SPOTLIGHT 6/ NYNAS

PLUS

CONTENTS

19/ Industry notes

THE HUB

42/ Market Place 44/Tenders & Contracts 43/ Events Watch

ON THE RECORD 28/ Sustainable cooling Marwan Al Naqi, CEO, Palm Utilities

and close working relationships with cable manufacturers and utilities alike. And, with the DOW ENDURANCE™ family of products from Dow Electrical & Telecommunications for MV, HV and EHV cables, you can now specify cables that exceed industry performance standards and are built to last for decades of service. That’s the confidence you need when it’s your job to keep the power on.

COVER STORY 30/SOLAR AMBITIONS

Is the gcc aiming too high (or low) with its Solar power targets? www.dowinside.com ®™Trademark of The Dow Chemical Company

Aug/Sept 2012

Dow Electrical & Telecommunications is a global business unit of The Dow Chemical Company and its subsidiaries.

Aug/Sept2012

CONTETNS editorsnote

editorsnote Publisher

Editor

Dominic De Sousa

Anoop K Menon Hot topics in energy

he idea for this issue's cover story crystallised in the course of a recent press briefing on the renewable energy scenario in the Gulf Co-operation Council (GCC) The clincher was a ‘minimalistic slide’ depicting renewable energy capacity targeted by the member countries by 2020 – the numbers added up to approximately 23.5 GW. It is fair to assume that the financial firepower of the GCC members could help realise this collective capacity by the end of this decade; there is also the adage of “no one rises to low expectations.” However, one should not rule out the possibility, however remote, that if the 2020 targets turn into a prestige issue of sorts, the ‘long term’ benefits of a sustainable and vibrant renewable energy industry could get the short shrift. This month’s cover story seeks to understand the pre-requisites that will provide the essential base for the GCC members to meet their renewable energy targets. Like the majority of the industry people, I too believe that in the GCC’s case, renewable energy equals solar energy. Unlike oil or gas, you don’t have to export your solar energy elsewhere to reap its advantages. Also, other sources like wind and biomass aren’t expected to come anywhere near solar, though I must confess that I haven’t come across

publicly available studies on the their roles in the GCC’s renewable energy mix so far. Another topic which is starting to attract some serious attention in the region is energy efficiency. In fact, respondents to Ernst and Young’s 2012 Middle East and North Africa (MENA) Cleantech Survey selected energy efficiency as the second potential growth area across the region after solar energy. Research published by Oliver Wyman earlier this year noted that even modest steps toward greater energy efficiency by MENA countries would result in meaningful savings. For the UAE, Oliver Wyman's models projected reduction in the annual energy costs by $3 billion by 2030, assuming constant electricity production costs, with the majority of the savings coming in the residential sector, followed by the commercial and industrial sectors. However, energy efficiency is a topic in itself with its own set of issues in the GCC context, and deserves a separate treatment. Meanwhile, in the news section, you can read how DUBAL managed to cut down it electricity consumption by implementing simple ‘Quick Wins’ for energy conservation mandated by the Dubai Supreme Council of Energy (DSCE) supplemented by energy saving initiatives in its manufacturing operations as well.

Associate Publisher

Liam Williams • liam@cpidubai.com

Chief Operations Officer Nadeem Hood

Editor

Anoop K Menon • anoop@cpi-industry.com

Business Development Director

Vedran Dedic • vedran@cpi-industry.com +971 55 8644831

Business Development Manager Deep Karani • deep@cpidubai.com +971 50 8585905

Marketing & Team Administrator Leila El Madalla • leila@cpidubai.com

Design

Cris Malapitan • malapitan.c@cpidubai.com Marlou Delaben • marlou@cpidubai.com

Digital Services Manager IT Department

Troy Maagma • troy@cpidubai.com

Web Developer Faisal Ahmad • fahmad@cpidubai.com

USA and Canada

Kanika Saxena Director - North America 25 Kingsbridge Garden Cir. Suite 919 Mississauga, ON. Canada L5R 4B1 kanika@cpi-industry.com tel/fax: + 1 905 890 5031 Published by

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MW-H2O combines the bi-monthly legacies of two power and water industry thought-leadership brands into a monthly edition that provides an unbeatable, 360 degree perspective of the Middle East & North Africa (MENA) region's utility and energy sectors. You can read the digital version of the print edition at: www.megawhatme.com I www.h2ome.net

Aug/Sept 2012

Aug/Sept2012

"Potentially corrosive sulphur (IEC 62535), DBDS (IEC 62697), metal passivators (IEC 60666) and other additives has been added to the general specification table"

Spotlight Adaptation to today’s application requirements

pecifications for supply of unused oil are published and used as a standard by both buyers and suppliers to define their mutual obligations. In developing a liquid for electrical insulation purposes, information related to most of the characteristics should be obtained so that potential user may see the scope for possible application. Certain characteristics are inherent to the type of fluid and this should therefore only be applied to those fluids. The value for certain characteristics are also inherent to the type of fluid. In such cases limits are not applicable although typical values for the type and grade of liquid may be necessary for design purposes. Other characteristics are useful for identifying a material and again typical values should be quoted. The important characteristics from the specification point of view are those which affect the fluid life and performance. These

parameters must be limited in order that the material will fulfill its intended purpose. Therefore, a standard can be divided into various sections to cover physical, chemical and electrical properties of the oil. For the Electrical Industry, important for purchasing unused mineral insulating oil lies in using international specification IEC60296. It is one of the most widely used standard for supply of oil in the electrical industry. The previous issue was revised and published in 2003 and since then quality of the oil and expectation for performance of the oil in service has improved tremendously. This specification is recently revised and published in February 2012. The changes are as follow: ●● Additives are more described and defined in this version and also declaration of additives

●●Potentially corrosive sulphur (IEC62535), DBDS

(IEC62697), metal passivators (IEC60666) and other additives has been added to the general specification table ●●The BHT amount for uninhibited products have been specified to <0,01% ●●It has been added that any product containing a passivator should pass the 500h oxidation stability test. This makes it impossible to have uninhibited passivated products since these will not pass 500h. ●●The limit for furfurals has been lowered to <0,05 mg/kg for each individual compound, before it was <0,1 mg/kg. ●●Particle content has been added to the general specification table but there is no general requirement only a note referring to statistical data being used as a base for agreement between supplier and purchase.

●●Stray gassing has been added to the general

specification table but there is no general requirement. No method is available from IEC or ISO, this will probably cause misunderstandings and unclear demands. ●●ECT has been added to the general specification table but there is no general requirement. No method is available from IEC or ISO. This will probably cause misunderstandings and unclear demands.

All Nynas products are produced and delivered according to these latest specifications IEC 60296 edition 4.

Visit our website or contact me heco@nynas.com for more information.

Nynas ADVERTORIAL

ADVERTORIAL Nynas

REVISED IEC SPECIFICATION FOR SUPPLY OF UNUSED TRANSFORMER OIL

At Nynas, we’re passionate about everything to do with power. Need to talk to a transformer oil supplier who understands your business? One who’s local enough to be near you, yet global enough to have the expertise you need. Get in touch. www.nynas.com

Aug/Sept 2012

Aug/Sept2012

roundup

LS Cable & System wins $110-mn order in Kuwait

The contracts are valued at over Dh200 million

DEWA awards 11kV cable contracts ABB launched its new 420 kV GIS at the Hannover Fair this year

ABB to invest $40-mn in Saudi Arabia

BB will invest nearly $40 million in Saudi Arabia in a new manufacturing plant for highvoltage gas-insulated switchgear (GIS) and a transformer service workshop. The switchgear plant will initially manufacture 132 kV GIS, with higher ratings to follow, while the transformer service centre will support ABB’s large installed base in the region and serve customers with a more complete portfolio. Both facilities, to be located

in Dammam, will occupy 40,000 square metres. “Local manufacturing of our GIS range and the transformer service facility will enable us to respond to our customers’ needs more efficiently,” said Bernhard Jucker, head of ABB’s Power Products division. “This decision is in line with ABB’s regional and ‘in country for country’ approach and business philosophy to locate production and service facilities closer to our customers.”

Siemens appoints new CEO for the UAE

Azbil to make control valves in Saudi Arabia

iemens has appointed a new chief executive officer (CEO) for the company’s operations in the UAE. Kay Zwingenberger moves to the UAE from the position of CEO for Central Asia. Zwingenberger first joined Siemens in 1992 and worked across Europe, spearheading the development of the Siemens Healthcare sector. During his three-year tenure in Russia, the company’s business volume trebled on the back of several large-scale contract wins. He was subsequently appointed CEO for Central Asia with responsibility for Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan and Turkmenistan. Based in Almaty, Kazakhstan, he oversaw the company’s continuous growth against difficult

Aug/Sept 2012

he Dubai Electricity and Water Authority (DEWA) has recently awarded contracts valued at Dh200 million to a number of national companies to lay 840 kilometres of 11kV electrical cables. “The scope of the contracts include the supply of both aluminium and copper cables that are needed to achieve the objectives of our electricity grid growth plan in various areas of Dubai,” said H.E. Saeed Mohammed Al Tayer, MD and CEO of DEWA. "These cables will be used in several projects at DEWA, and will increase the capacity and efficiency of the electricity distribution grid in Dubai to ensure a continuous and stable supply of electricity to our customers."

A Kay Zwingenberger

economic conditions in the region. Zwingenberger said: “The UAE is a thriving, rapidly-developing nation and Siemens is committed to strengthening further its engagement in realising the country’s ongoing economic diversification, creating job opportunities for young Emiratis, and supporting the transfer of know-how and technology.”

zbil Corporation has signed a joint venture agreement with Tharawat Development to expand its plant life cycle support business in Saudi Arabia. Under the agreement, both partners will invest $1.9 million in setting up Azbil Saudi Arabia in Dammam with Tetsuya Kurasawa, Director of International Business of Azbil Corporation as its President. The JV will manufacture and sell control valves, process automation and factory automation products/systems and provide engineering and related services. Production is expected to start in October 2013 with the assembly of large-bore control valves.

Dr Ilham Kadri, General Manager, Dow Advanced Materials Division, MEA, and Commercial Director, Dow Water and Process Solutions, EMEA with PakOasis CEO Omar Jilani at the award ceremony in Dubai.

Dow honours PakOasis

ow Water & Process Solutions, a division of The Dow Chemical Company, has recognised PakOasis for one year of operational excellence at its Nawabshah Ultrafiltration (UF) water treatment facility. The largest of its kind in Pakistan, the facility uses DOW Ultrafiltration technology to provide 14 MIGD of fresh, safe drinking water, delivering a total of 20 billion litres of water over the past year. In addition to the Nawabshah project – which was inaugurated last year in the presence of Pakistani officials – the company has successfully completed multiple water treatment projects in collaboration with Dow, supplying fresh water across deserts, arid zones, coastal belts and bulk municipal water supplies. More recently, PakOasis was able to deliver small-sized RO units for flooded areas to help villagers in need.

Auckland-based company bags Oman billing pilot

Shaw Group bags SEC contract

man has selected a New Zealandmade utility billing system for a large-scale pilot project, with a view to using the system to bill power for the whole of Oman. Oman's Electricity Holding Company (EHC), whose four subsidiaries manage the distribution of power to more than 650,000 homes and businesses in the country, has chosen Orion, created by Auckland-based Agility CIS, to run the pilot. The project will be used to bill 50,000 customers for six months, before EHC decides whether to roll the system out to the rest of the country. Agility CIS won the tender in the face of fierce global competition from US and European software giants. The company plans to have the pilot ready for launch in eight months. Mike Thorne, CEO for Agility CIS said he will be looking to open a regional office in Dubai if the pilot is successful.

he Shaw Group has been awarded a contract to implement a fleetwide services programme for Saudi Electricity Company’s (SEC) power plants. In April 2010, Shaw was awarded a multi-phase study to define and recommend operational improvements for SEC. Under the new contract, Shaw will implement a comprehensive asset management and performance diagnostic programme that will address most aspects of SEC’s 37 operating power plants focusing on safety, maintenance, staffing, benchmarking and corporate environmental programmes. Under a separate previously announced teaming agreement, Shaw, Toshiba and Exelon are pursuing opportunities to provide a full complement of services to design, engineer, construct and operate new nuclear power plants in Saudi Arabia.

inbrief NEWS

NEWS inbrief

S Cable & System has won a 400kV extra-high voltage cable project worth $110 million from Kuwait’s Ministry of Electricity and Water for a new town being built on Kuwait’s border with Saudi Arabia. According to a press release issued by the company, the conductor with insulated cables to be installed at Sabah Al Ahmad town will be a high-tech one where the strands of wire comprising the conductors are coated with enamel to reduce transmission resistance, thus raising transmission capacity by more than 20%. The overall weight and thickness of the cable can be reduced as much as the transmission resistance drops, reducing the cost of cable manufacturing and power grid implementation. Typical extra-high voltage cables use pure copper for conductors. This is the second such contract the Korean major has won in Kuwait.

EPC tender for Jordan’s first shale oil power plant

nefit together with its partners, YTL Power International Berhad of Malaysia and Near East Investments of Jordan, has started the Engineering, Procurement, Construction (EPC) tendering process for Jordan's first direct burning oil shale-fired power plant. The plant, which is due to start operations by the end of 2016, will have a capacity of approximately 460 MW. It will be located at the Attarat um Ghudran oil shale deposit, approximately 100 kilometres south east of Amman. The tender process will be completed by end of 2012 while project financing is scheduled for 2013. The new power plant will have two oil shale-fired power units (2x 230MW) and will consume ca 8 million tonnes of oil shale per year. Using oil shale is expected to reduce the Jordan’s expenditure on the import of oil products for power generation by more than $500 million a year.

Aug/Sept2012

DNV KEMA–led project recognised at Rio+20

roundup

P Saudi Aramco to invest in new water, energy ventures

Eng. Yusuf Abdulla

Dubai Municipality bans diesel-powered hoardings

ubai Municipality has issued an order asking all advertising firms to remove diesel generators used to operate advertisement boards. “Diesel-powered generators pose a threat to the good condition of our environment. Moreover, they distort the overall fair appearance of the city,” explained Eng. Yusuf Abdullah, Acting Director of the Building Department. He added that advertising companies can use electricity for this purpose. The Building Department will be sending messages to advertising companies asking them to apply for electricity meters for this purpose. Eng. Yusuf said that the move is part of Dubai’s strategic plan to become a green and sustainable city.

Lootah BCGas, Algas-SDI sign pact for SNG solutions

audi Aramco has launched a new wholly-owned corporate venturing subsidiary to invest in technologies of strategic importance to the company. Headquartered in Dhahran, Saudi Aramco Energy Ventures LLC (SAEV) will target start-up and high growth companies, which can generate value through innovative upstream and downstream technologies as well as from renewable energy, water and energy efficiency technologies. Khalid A. Al-Falih, president and CEO, Saudi Aramco said: “Saudi Aramco Energy Ventures represents a significant step forward in our corporate transformation to become the world’s leading integrated energy company with innovation as a key attribute. As we continue to address long-term energy challenges, SAEV will help us more effectively engage with the global community of innovators and entrepreneurs who are increasingly important enablers of growth and value in our industry through the development of leading-edge technologies.”

Royal Haskoning and DHV merge

ootah BCGas, part of the UAEbased business conglomerate S S Lootah Group, has signed a co-operation agreement with USbased Algas-SDI to pursue delivery of comprehensive Synthetic Natural Gas (SNG) solutions in the region. A MoU was signed by Abdullah Bin Saeed Al Lootah, Executive Director of S S Lootah Group and Randy Ervin, President of Algas-SDI in this regard in Seattle, Washington. The alliance will jointly source viable projects to provide comprehensive turn-key SNG solutions, expanding their footprint in Pakistan and other developing regions. As pioneers in natural gas infrastructure with comprehensive services from design, engineering and construction to operations and maintenance, Lootah BCGas is viewed as the leading comprehensive operating ‘Gas Utility’ in Dubai. Headquartered in Seattle, Algas-SDI is a leading producer of SNG equipment with nearly 100 large CityGas SNG systems worldwide.

Barking Power Station is one of the largest independently-owned generating plants in the UK.

UK power station uses Smart Wireless technology

arking Power Station in London has installed Emerson Process Management’s Smart Wireless technology to help identify potential problems, improving plant availability and efficiency of its Combined Cycle Gas Turbine (CCGT) power plant. Emerson’s Rosemount 708 wireless acoustic transmitters help plant personnel identify failed steam traps, leaking valves and boiler tube leaks, avoiding substantial costs for lost steam and feed-water as well as lost revenue from plant downtime. “Improving process performance is all about understanding what is happening around the plant and being able to respond quickly to any problems,” said Ian MacDonald, Senior Control Systems Engineer, Barking Power. “Emerson’s Smart Wireless technology enables us to introduce additional measurement points quickly and cost effectively at any location, so we can gather additional information to identify potential faults.” Barking Power Station, operated by Thames Power Services, is capable of generating 1,000 MW of electricity or two per cent of the peak electricity demand in England and Wales.

inbrief NEWS

NEWS inbrief

Abdullah Bin Saeed Al Lootah, Executive Director of S S Lootah Group and Randy Ervin, President of Algas-SDI after signing the MoU.

owerMatching City – a live smart grid project involving households in the Hoogkerk district in the Northern part of the Netherlands - was honoured as a top sustainable solution at Rio+20. The project has been included in the Sustainia100, a pool of 100 concrete sustainable technologies and solutions, launched by Sustainia, a consortium of partners representing civil society, businesses and experts promoting sustainable society. One of the Sustainia100 solutions will be declared winner at the Global Sustainability Forum in Copenhagen in September 2012. PowerMatching City is playing an important role in the development of smart grids and the transition towards a sustainable energy system connecting 25 homes and equipping them with micro combined heat and power systems, hybrid heat pumps, smart meters, PV panels, charging stations for electric vehicles and other smart household appliances. These homes collectively constitute a smart energy system.

Bertrand van Ee (R), chairman of the Executive Board of Royal HaskoningDHV with vice chairman Erik Oostwegel (L).

oyal Haskoning and DHV have officially merged to form Royal HaskoningDHV. The new company, headquartered in Amersfoort, the Netherlands, will be one of Europe’s leading project management, engineering and consultancy service providers, ranked globally in the top 10 of independently owned, non-listed companies and top 40 overall. With nearly 8,000 professionals providing services worldwide from 100 offices in 35 countries, Royal HaskoningDHV carries out more than 30,000 projects every year in planning, transport, infrastructure, water, maritime, aviation, industry, energy, mining and buildings. The new company, which remains independent and wholly trust-owned, will target growth opportunities, especially in India, South-East Asia, the Middle East, Southern Africa, Australia and Brazil.

Aug/Sept 2012

Aug/Sept2012

Construction green light for UAE nuclear power plant The licence, issued by Federal Authority for Nuclear Regulation (FANR) to Emirates Nuclear Energy Corporation (ENEC) covers only the construction of the advanced pressurised water reactors; ENEC must apply to FANR for a separate operating licence.

he Federal Authority for Nuclear Regulation (FANR) of the United Arab Emirates has granted the Emirates Nuclear Energy Corporation (ENEC) a licence to construct two nuclear power reactor units at its proposed Barakah site in the Western Region of the Abu Dhabi Emirate. During a press conference held in Abu Dhabi late last month, Hamad Al Kaabi, the UAE’s permanent representative to the International Atomic Energy Agency (IAEA) said that the licence for the construction of Units One and Two of the Barakah Nuclear Facility and Related Regulated Activities was approved by the FANR Board of Management, chaired by Dr Ahmed Al Mazrouei. The Licence authorises ENEC to construct two Korean-design advanced pressurised water reactors of the type known as the APR1400, each capable of producing 1,400 MW of electricity. It does not allow ENEC to operate them. ENEC must apply to FANR for a separate operating licence. ENEC submitted its Construction License Application (CLA) for Barakah Units 1 and 2 to FANR on December 27, 2010. The CLA includes, among other issues, site selection, technology, safety and quality control, and the construction process for Units 1 & 2. Mohamed Al Hammadi, Chief

Aug/Sept 2012

Executive Officer of the Emirates Nuclear Energy Corporation (ENEC) said: “We are very pleased to receive the Construction License for Barakah Units 1 & 2 from FANR. This marks an important milestone in the UAE’s peaceful, civil nuclear energy programme. This will mark another major achievement for ENEC’s program in our mission to deliver safe, clean, reliable and efficient nuclear energy to the UAE by 2017.” Prior to green light from FANR, ENEC had received a No Objection Certificate (NOC) from the environmental regulator, the Environment Agency – Abu Dhabi (EAD), for the construction of the units 1 & 2. The NOC, which too was issued last month, acknowledges the environmental aspects of the construction of the two reactors, based on the Environmental Impact Assessment (EIA) and the Construction Environmental Management Plan (CEMP), which were submitted by ENEC in 2010. The construction licence authorises ENEC to import to the UAE equipment and technology exclusively for the construction of the nuclear power plant. This includes specially designed or prepared components, equipment or technology directly associated with the APR1400 design. It also authorises ENEC to conduct activities related to

RFQ for Kuwait’s UAH attracts over 15 bids construction, namely the manufacture, use, transport, possession, storage, assembling, installation, inspection and testing of structures, systems and components (SSC) and carrying out of civil works comprising the nuclear power plant, including supporting and auxiliary equipment and associated facilities. During the construction phase, FANR will carry out rigorous inspections to verify that ENEC, the licensee, conducts the activities in accordance with FANR regulations and licence conditions. Inspections will examine work at the site, at the offices of the licensee and its contractors, and at major component vendors located in the Republic of Korea, the US and elsewhere. Before ENEC can operate the facility, it must obtain a separate licence from FANR. ENEC’s application for an operating licence must describe the final design and safety analysis of the facility including information developed since the issuance of the construction licence. It must give complete information on the operation of the facility including the organisation, procedures and training to ensure safe operation, plans for start-up testing and initial operations, plans for the conduct of normal operations including periodic testing and maintenance, and plans for the management of emergencies. Commenting on the construction go-ahead, FANR Director General Dr William D Travers said: “Our comprehensive review of the construction licence application was carried out by more than 200 technical experts over a period of 18 months. The reviewers scrutinised submissions by ENEC covering all required topics including the adequacy of the proposed site, the design of the facility, the safety analysis, management systems and quality assurance for construction, radiation safety measures, physical protection and safeguards. It was designed to ensure that all applicable technical and legal requirements were met.” The approval for construction licence follows licences previously granted to ENEC by FANR for selecting and

preparing the site. It also builds upon an additional assessment by ENEC of lessons learned from the March 2011 accident at Japan’s Fukushima Daiichi Nuclear Power Station. This assessment was requested and reviewed by FANR as an integral part of the application and resulted in a number of design enhancements for added safety. FANR has published on its website the Safety Evaluation Report of Barakah Units 1 and 2, which formed the basis of its decision to issue the construction licence. During the review, FANR posed ENEC almost 2,000 questions, known as Requests for Additional Information (RAIs). Some of these required more data, documentation or meetings on specific technical issues while others were basic text clarifications. The Korea Institute of Nuclear Safety (KINS) also provided FANR with its Safety Evaluation Report of the Shin Kori Nuclear Power Plant Units 3 and 4, which is the reference plant for Barakah.

A consortium of HSBC Bank Middle East, Fichtner, Norton Rose and Al Tamimi & Company has been appointed to act as Transaction Advisor for the implementation of the project.

ver 15 international consortia and companies have responded to the Request for Qualification (RFQ) for the Um Al-Hayman (UAH) Wastewater Treatment Plant, said the Partnership Technical Bureau (PTB). The project involves design, financing, building, rehabilitation, testing, commissioning, operation and maintenance of several components: ●●Construction of a new Wastewater Treatment Plant (WWTP) with an initial treatment capacity of 500,000 m3/day, which can be expanded to 700,000m3/day by 2020. ●●Upgrading and extension of the Egaila pumping station, refurbishment

of UAH City pumping station, and construction of Sabah Al Ahmed pumping station. ●●Construction of emergency outfall from the new WWTP to the sea. ●●Potential demolition of the existing UAH WWTP, adjacent to the plant site, which has a capacity of 27,000 m3/day and provides primary, secondary and tertiary treatment for reuse of the produced TSE. ●●Construction of five new sewer transmission lines. ●●Construction of TSE transfer and distribution systems to allow for reuse of the TSE. ●●New electrical transmission lines and sub-station at the UAH site. The project will be executed under the supervision of the Ministry of Public Works (MPW). A consortium of HSBC Bank Middle East, Fichtner, Norton Rose and Al Tamimi & Company has been appointed to act as Transaction Advisor for the implementation of the project.

MENA NEWS

NEWS MENA

intheregion

ABB bags contracts worth $195 million in Iraq The turnkey contracts include construction of substations and an open cycle power plant.

BB has bagged two orders totalling $195 million to build substations and a power plant in Iraq. Last month, the power and automation technology major won an order worth around $120 million from KAR Construction and Engineering Company to design and build a power plant and construct two 400/132 kV high-voltage substations that will supply power to the Kurdistan region of Northern Iraq. Prior to that, in late June, ABB had won a $75 million order from the Ministry of Electricity to extend an existing transmission substation in the Southern part of the country. Both orders will be executed on a turnkey basis. The Kurdistan order comprises a 640 MW open cycle power plant, which will use natural gas from the Khormala oil field and light fuel oil (LFO) as backup to generate electricity from gas

turbines. Two 400/132 kV high-voltage substations will help feed the power into Iraq`s regional and national grid, and also supply electricity to the Khormala oil field. There are plans to convert it into a combined cycle power plant in the future, increasing its capacity to 1,000 MW. This power plant will be the first in the region to feed power into the 400 kV national grid through the new Erbil Centre 400/132 kV air-insulated switchgear (AIS) substation. Under the contract, ABB will provide the electrical balance of plant (EBoP) including the connection between the generator and the 400/132 kV substation. Key product supplies will include generator step-up and other transformers, highvoltage equipment such as a 420 kV disconnecting circuit breaker (DCB), medium- and low-voltage switchgear, plant automation control and protection

systems. The project is scheduled for completion by the end of 2013. The scope of the substation order awarded by the Ministry of Electricity includes a 400/132 kV Amara substation which will connect a new 500 MW gas-based power plant as well as smaller power stations, presently under construction, to the grid. As part of the turnkey contract, ABB is responsible for the project management, design, engineering, supply, installation and commissioning of the substation, including civil works. The project is scheduled for completion by 2013. Key product supplies include air-insulated switchgear, transformers, shunt reactors and cables. ABB will also supply control and protection systems compliant with the IEC 61850 open communications standard and associated telecommunication equipment.

Aug/Sept2012

DUBAL implements energy savings mandate

GE to supply steam turbines for new Erbil power plant Erbil Power Plant will be converted to combined cycle to support growing electricity needs in Kurdistan.

Quick Wins mandated by Dubai Supreme Council of Energy saved the company 4,458,316 kWh in first six months of 2012.

In operation since late 2008, the Erbil plant plays a vital role in meeting the growing power needs of Kurdistan.

power plant as the first combined-cycle project in the Kurdistan region. Currently, there are 20 GE gas turbines installed in Mass Global projects. In December 2011, the two companies also signed a 12-year service agreement to support the efficient operations of the installed GE turbines as well as further build local technical expertise with a tailored training program for 30 Mass Global engineers. The combined-cycle plant will start commercial service in the second half of 2014.

DEWA completes substation projects worth Dh2.7-bn in H1 2012 In the first half of this year, the utility completed two 400 kV and 12 132 kV substations.

he Dubai Electricity and Electricity Water Authority (DEWA) has completed two 400 kV substations at a total cost of Dh900 million and 12 132 kV substations, valued at Dh1.8 billion in the first half of this year compared to one 400 kV and seven 132 kV last year. “DEWA is working to improve the efficiency and reliability of its networks to support the completion of key projects, specifically those

Veolia’s Sur desalination plant produces its 40 millionth m3 of drinking water The RO desalination plant meets the drinking water needs of the 350,000 inhabitants of the Sharqiyah region.

Aug/Sept 2012

for infrastructure, to meet growing demand for its services,” said HE Saeed Mohammed Al Tayer, MD and CEO, DEWA. “DEWA has also awarded a new contract to enhance the reliability and effectiveness of its high-voltage transmission network through the use of the most modern global technologies, such as Static Var Compensators.” DEWA has other ongoing projects underway including two 400 kV substations valued at Dh960

he Sur desalination plant in Oman celebrated the production of its 40th million m3 of drinking water. “After two years of operations, it is a sincere pride for our team to provide the people of the Sharqiyah region with high quality drinking water and a real continuity of service,” said Sebastien Chauvin, General Manager of Bahwan Veolia Water, the operating company. Started in January 2007, the Sur Desalination Plant was built by a consortium composed of OTV (a Veolia

H2 2012 will see a 400 kV substation and 10 132 kV substations go live.

million and laying a further 132 kilometres of overhead lines and ground cables for its 400 kV transmission network, worth Dh720 million. It is also working to create 27 more 132 kV substations at a projected cost of Dh1.5 billion with the laying of an additional 340 kilometres of 132 kV cables, valued at Dh1.6 billion. Another 400 kV substation is due to go live along with 10 more 132 kV substations in the second half of this year.

Water subsidiary) and BEC (Bahwan Engineering Company). It is currently operated by Bahwan Veolia Water, a JV between Bahwan (40%) and Veolia Water (60%). Providing drinking water to the 350,000 inhabitants of the Sharqiyah region, the facility produces 80,000 m3/day of desalinated drinking water through Reverse Osmosis (RO) process and relies on the world’s largest beachwells’ field for its intake. At full capacity, a total of 220,000 m3/day of seawater can be abstracted.

member of the Dubai Supreme Council of Energy (DSCE), Dubai Aluminium (DUBAL) - which operates a one million metric tonne per annum primary aluminium smelter, the world’s largest using pre-bake anode technology in Dubai - has implemented the directives issued to all DSCE member companies in April 2011 to minimise energy consumption as part of the Dubai Integrated Energy Strategy 2030 agenda. In the first nine months of implementing the directives (April to December 2011), DUBAL saved 6,942,760 kWh. A further 4,458,316 kWh was saved in the first six months of 2012, bringing the total savings over the 15-month period to 11,401,076 kWh. This translates into reduced CO2 emissions of 5,701 metric tonnes. Tayeb Al Awadhi, Vice President, Power & Desalination, DUBAL said the four ‘quick wins’ for energy conservation identified by the DSCE are proving effective. “We have fully implemented the directive to set air-conditioning thermostats to 24°C during working hours and 27°C outside working hours as well the directive to turn off all non-essential lights after working hours. We are also on track to achieve the third directive, namely to change to energy efficient lighting, where our internal target is to complete 50% of the changeover by the end of 2013. Overall, we are well placed to achieve total energy-savings of 22,317,240 kWh per year by 2013.” The DSCE directives also complement DUBAL’s ongoing efforts to minimise the power consumption of its operations. The energy consumption in the potlines of 14.71 MWh/tonne aluminium in 2011 represented 110,000 MWh savings compared to 14.82 MWh/tonne aluminium recorded in 2010. The company has implemented numerous energy-savings projects over the years while others are being considered for implementation in the near-term. In June this year, the company’s power management and

Change to energy-efficient lights 644

Set AC temp. to 24˚C during working hours and 27˚C outside working hours 6,020

Turn lights off after working hours 3,864

Quick Wins (MWh) cumulative upto June 2012

Energy consumption in DUBAL’s potlines (MWh/tonne Al)

Technology’ category of the American Metal Market’s Awards for Aluminium Excellence. At the outset of the initiative in 2007, power generation accounted for fully one-third of DUBAL’s operating costs – a statistic which not uncommon, given the extremely energy-intensive nature of the primary aluminium smelting industry. The overhaul project comprised the installation of GE’s XA-21 SCADA energy management system and upgrading of existing GE Frame 9B and 9E turbines. As a result, power output increased by 22.69% (an additional 75 MW); the heat rate has improved by 10.44% (representing annual savings of $4 million in fuel costs); and availability rate of DUBAL’s 2,350 MW power station exceeds 98.98%. Commenting on the award, Abdulla Kalban, President & CEO, DUBAL said: “With the price of energy currently at its highest level in the past decade, and set to continue rising, these savings are pivotal to our sustainability strategy of remaining one of the world’s lowestcost primary aluminium producers. The savings on electricity expenses translates into a very pleasing threeyear recovery of the project costs. We are thrilled at the success of the project, and delighted at receiving this prestigious award.” DUBAL has encouraged an energyconscious culture in the company through targeted communications including a dedicated category in its well-established Suggestion Scheme.

KSU selects hybrid MBBR for wastewater treatment Headworks BIO to set up Integrated Fixed Film Activated Sludge (IFAS) -based wastewater treatment plant for KSU.

eadworks BIO has been awarded a contract to design an Integrated Fixed Film Activated Sludge (IFAS) system for installation at the oldest and most prominent institute of higher education in Saudi Arabia, King Saud University (KSU) in Riyadh. Construction has already begun and start-up is expected during the fall of this year. The IFAS variation of the Moving Bed Biofilm Reactor (MBBR) process gets its name from the integration of biofilm carrier technology within a conventional activated sludge process. Headworks BIO claims that the hybrid process enables activated sludge systems to achieve dramatic gains in volumetric productivity without increasing mixed liquor suspended solids (MLSS) levels. “We had to consider many factors when selecting a technology that would be suitable for our specific application,” explained Dr Ahmed Khalaf Abdel-Lah, Vice President of KSU. “One of the key challenges was to address the seasonal variation in occupancy levels on campus during the summer holidays that causes low flow or no flow for extended periods of time. This is when traditional technologies fail. The self-regulating nature of the IFAS process was very appealing to us.” The University also required an extremely compact plant so that its presence on campus would have minimal visual impact. The four treatment reactors will have a total footprint of 144 m2, a remarkable achievement for a plant with such high treatment capacity. Construction has already begun and start-up is expected during the fall of this year. Headworks BIO has partnered with Saudi contractor, Wetico, to construct the WWTP on campus that will treat approximately 10,000 m3/day. Along with the process design, Headworks BIO will supply the core components of the IFAS system and employ their proprietary media, ActiveCell515, offering 485 m2/m3 of protected surface area.

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ass Global Investment Company (Mass Global), an independent power producer, has selected GE steam turbine technology to increase the efficiency and the output of the Erbil Power Plant in Iraq’s Kurdistan region. In operation since late 2008, the Erbil plant plays a vital role in meeting the growing power needs of Kurdistan. Under the new agreement, GE will supply two steam turbines that will be used to convert the Erbil plant from simple to combined-cycle operation, boosting plant output by 500 MW, enough additional electricity to serve 100,000 Iraqi households. The agreement also includes installation services.

“Mass Global continues to be at the forefront of meeting the power requirements of the Kurdistan Iraq region,” said Ahmad Ismail, Chairman of Mass Global. “Converting our Erbil facility to combined-cycle service supports the Kurdistan Regional Government’s policy to increase the thermal efficiency of its power generation facilities. The GE C-7 steam turbines will join eight GE Frame 9E gas turbines already operating at the site and increase the project’s thermal efficiency to more than 48%. “Today’s agreement reflects GE’s continuing commitment to support energy infrastructure growth in Northern Iraq and throughout the country,” said Joseph Anis, GE Energy’s president and CEO for the Middle East. ENKA Construction & Industry (ENKA), a Turkish engineering, procurement and construction (EPC) company, has been selected to build the new plant. The conversion marks Erbil

generation modernisation project undertaken jointly with GE was awarded the top honours in the ‘Best Brownfield

Hail-2 ExtensionIII power plant commissioned ahead of schedule Two out of four Siemens SGT62000E gas turbines have been commissioned.

Nader Abdellatif, Alstom’s Country President for Saudi Arabia

The company will supply the steam tail for SEC’s Riyadh PP12 gas-fired power plant

lstom Thermal Power has signed a contract worth over €100 million with Arabian Bemco Contracting and GS E&C to provide the steam tail for the Riyadh PP12 gas-fired power plant being constructed by them for the Saudi Electric Company (SEC). The Riyadh PP12 plant is located 100 kilometres west of the Saudi capital. Once completed, the plant will produce a net output of 2,175 MW at high temperatures with high efficiency. The plant utilises exhaust gases from the gas turbines to generate steam and run the steam turbines, maximising the fuel utilisation with a highly efficient combined cycle design. The power

Aug/Sept 2012

The company has been contracted to supply SWRO and BWRO membranes for desalination projects in Fujairah and Ras Al Khaimah.

Eng Hussain Nasser Lootah

New report on Dubai environment The report has raised the red flag on excess waste generation and proposes advanced methods and technologies to tackle the same.

he Environment Department of Dubai Municipality recently has published a comprehensive report on environmental conditions of the emirate. Hamdan Al Shaer, Head of the Environment Department, DM said the report analyses various aspects of environment as and diagnoses the challenges so as to support policy makers in framing steps to pursue sustainable policies. “This report is mainly intended to present before concerned authorities to help them frame policies and making laws and regulations accordingly,” said Eng. Hussain Nasser Lootah, Director General, Dubai Municipality. It includes facts and figures regarding water, air and soil of Dubai as well as close analysis of waste management, sewage, coastal zones and waterways, biodiversity, marine environment and climate of the region. The report points out that the Municipality has invested in projects to improve the condition of sea water and creek water. DM will also be undertaking more steps to develop wildlife sanctuaries and wetlands in addition to the existing Ras Al Khor Sanctuary, which is listed under the Ramsar Convention. Of concern is excess waste generation, which DM hopes to tackle through advanced methods and technologies. The report also points to the impact on environment emerging from urban planning, tourism, industrial development, increase in the number of vehicles and pollution. Various efforts Dubai Municipality has rendered to make Dubai environment sustainable is also detailed in the report.

ast month, Toray announced two significant desalination wins in the United Arab Emirates (UAE). The company has been awarded a contract by Acciona Agua to supply sea water (SWRO) and brackish water reverse osmosis (BWRO) membrane elements for the Fujairah 1 desalination plant extension. Toray will supply a total 12,656 units of TM SWRO and BWRO membrane elements for the project. The project, located in the Emirate of Fujairah, is owned by The Emirates SembCorp Water & Power Company. It was designed for an output of 30 MIGD (136,000 m3/day) per day. The extension project of the existing SWRO plant is scheduled to be completed in late 2013, with first delivery of Toray RO membrane element equipment expected by June 2013.

The total design comprises a refined combination of several, carefully selected Toray TM SWRO & BWRO membrane element models featuring the highest salt rejection available on the market at significantly lower feed pressure, high flow and low fouling properties (TM820K-440, TM820V-440 & TM720L-440). Toray was selected to provide optimised production capacity while ensuring maximum power saving and highest quality permeate. The company was selected over the suppliers of the existing plant section for this extension project, due to many factors related to product and service quality, especially because the reliable and solid performance of the Toray membranes working with high temperature sea water as demonstrated in the next door plant, Fujairah 2 IWPP.

Toray will also supply 4,788 units of TM 820 R – 440 SWRO membrane elements to Aquatech Eastern, the Engineering, Procurement, Construction (EPC) contractor for the Ghalilah Sea Water Reverse Osmosis (SWRO) desalination plant. The project, located in Ghalilah in Ras Al Khaimah, is owned by the Federal Electricity & Water Authority (FEWA) and is designed for an output of 68,000 m3/day. The plant is scheduled to be completed in late 2013. Toray TM 820 R – 440 is latest model of the new generation of Toray SWRO membrane elements, featuring the highest salt rejection available on the market at significantly lower feed pressure. The same elements were also selected by FEWA for the Al Zawrah plant in Ajman earlier this year. These membrane elements equip the world’s largest SWRO plant, located in Magtaa, Algeria.

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Alstom bags €100-mn power deal in Saudi Arabia

plant is scheduled to enter commercial operation by 2015, in order to meet the increased demand expected in the central region. This contract includes the supply of two 342 MW steam-turbine generator sets and eight Heat Recovery Steam Generators (HRSG) for the power plant. This is Alstom’s first steam tail offering for the Saudi Arabia market and the equipment is being offered in a novel integrated package which will augment power output from the plant by an additional four MW. Nader Abdellatif, Alstom Country President in Saudi Arabia said: “We are proud to be working with Bemco on this important infrastructure project for SEC and the country. We are pleased to further extend the relationship we have built with SEC through our work in the Shoaiba power plant." Alstom’s steam tail projects in the region include the Az-Zour gas-fired project in Kuwait which will add 400 MW to the existing plant capacity, the natural gas and heavy distillate (fuel oil) Damietta 1-3 power plant in Egypt for which Alstom added a steam tail with three 139 MW steam turbines, Dubai’s Condor/Kestrel 125 MW aluminium smelter complex in Jebel Ali where three 125 MW steam turbines were supplied.

Toray to supply membranes for major UAE desalination projects

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iemens has announced that the first two of its SGT6-2000E gas turbine units have been commissioned ahead of schedule at the Hail-2 Extension-III power plant. Siemens Energy Fossil Power Generation, together with Alfanar, a local engineering, procurement and construction (EPC) contractor, have jointly commissioned the gas turbine units for Saudi Electricity Company (SEC). Siemens has supplied four SGT6-2000E gas turbines and four generators together with auxiliary equipment, providing a total output capacity of 280 MW for the project. According to a press release

issued by Alfanar Construction, the commissioning of the first two gas turbine units were completed six weeks ahead of the schedule. Abdullah AlHamad, Construction Division Manager of Alfanar, said: “Last year, the Hail-2 Extension-II project, consisting of Units -7 & 8 were also completed in a record period of 12 months, reinstating the position of Alfanar as a trusted fast track deliverer of critical power projects.” The project will enable SEC to meet the growing demands for reliable power across the Hail district, by adding approximately 400 MW to the grid of the region. The Hail-2 Extension-III power plant, at full capacity, will provide electricity to more than 300,000 inhabitants in the Hail region. Arja Talakar, CEO of Siemens Saudi Arabia, said: “The Kingdom of Saudi Arabia has announced major investments in the development of local infrastructure and we are proud to contribute to this rapid development and to the realiaation of the Kingdom’s ambitious industrialisation plans.”

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Emissions market to stay volatile Price volatility will become a key characteristic of carbon, as its price becomes ever more difficult to forecast accurately.

ccording to a new report by energy experts GlobalData, the current European sovereign debt crisis has drastically reduced carbon demand, and hence its price in the trading market has also seen a steep decline. The failure of the international community to agree on a common goal in a post-2012 Kyoto framework has also damaged the confidence of the private sector, and played a role in lowering the price of carbon. Carbon is traded at national and regional levels in various markets, and future prices and stability have always been a concern for private players and policy makers. Several models have been developed to forecast the market price of carbon, although outcomes differ significantly. This is due to the nature of the carbon market, which is affected and driven by a complex set of subjective factors. Geo-climatic policies and energy policies, geo-politics, global economic growth, crude oil price, coal prices and the demand and supply scenario all help to drive and shape the carbon market. The European Union Allowances (EUAs) under the European Union Emission Trading Scheme (EU ETS) is the largest cap and trade carbon trading mechanism, followed by Certified Emission Reduction (CER) under Clean Development Mechanism (CDM). Both of these programmes come under the Kyoto Protocol. EUAs and CERs are used to offset the same amount of CO2 emissions, but are not equal in price due to regulatory differences for the use of CERs in EU ETS. The Carbon Pollution Reduction Scheme (CPRS) in Australia and the New Zealand Emission Trading

Aug/Sept 2012

Megger benefits from a enhanced cable testing portfolio, while SebKMT benefits from Megger’s strong technical and financial base.

The short-term view of the carbon market is pessimistic.

Scheme (NZ ETS) in New Zealand are also important and more regional and national markets will be operational in the future. Such developments are expected to boost the carbon market. The short-term view of the carbon market is pessimistic, as the prolonged European sovereign debt crisis, oversupply of carbon units, and uncertainties under the Kyoto Protocol are expected to keep prices low. The EU recession means that emissions will grow less than expected, in correlation to overall economic growth. As the EU shows signs of recovery from the recession, carbon prices will follow the same path, although this seems unlikely in the next few years. The economic conditions in the eurozone and outcomes of the Kyoto Protocol will determine the global price of carbon in the long-term future, with government commitments to tackling climate change dictating the scenario. The oversupply of allowances will keep pulling the price down long-term, although global macro economic conditions will also play a role, and prices will increase if India, China and Brazil also promise to meet certain targets by 2020. Apart from negotiations under Kyoto, various regional and national market mechanisms have emerged or developed to offset emissions, despite delays and setbacks. Australia, Japan, New Zealand, South Korea and emerging economies such as India, Brazil and China are actively developing their carbon markets. The current state of the market and its future success remains dependent on post-2012 international agreements and their fulfilment.

lobal electrical test equipment expert Megger has acquired SebaKMT, a leading player in power cable fault location and testing and in pipe leakage detection. The acquisition will allow Megger to greatly enhance its existing cable test product portfolio while SebaKMT will benefit from access to the exceptionally strong technical and financial resources of the Megger organisation. Following the acquisition, business will initially continue as usual for both organisations while a full evaluation is carried out of the opportunities in product development, manufacturing operations, and customer-facing sales and support services. Customers of both companies will, therefore, continue to obtain sales, service and support through the channels they are currently using. Peter Frank, Chairman of Megger Group said: “This acquisition is an outstandingly positive development for both companies and for their customers, not least because there’s a high degree of synergy between the Megger and SebaKMT product ranges, but very little overlap. The new organisation will therefore, be able to offer a truly comprehensive family of power test products, backed by unmatched technical expertise and strong readily accessible customer support in virtually every country of the world.” Dr Max Iann, the former owner of SebaKMT said: “It was important for us to find a partner that would enable SebaKMT to continue to grow successfully, and to strengthen its market position. Megger is the perfect partner, as the companies ideally complement each other in terms of product range and geographical coverage.” Following the acquisition of SebaKMT, Dr Iann has joined the board of Megger Group. The Vivax-Metrotech Group, formerly part of SebaKMT, has not been acquired by Megger. However, the current sales co-operation in Europe and the United States between Vivax-Metrotech and SebaKMT will continue.

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The workflow route to excellence

Proficy Water Operations from GE-IP allows water/wastewater utilities to create more efficient work processes by integrating automated and manual tasks into a single efficient operation.

n April this year, GE Intelligent Platforms (GE-IP) launched Proficy Water Operations, a Work Process Management (WPM) application developed for water/wastewater utilities and application, which builds on the capabilities of the company’s Proficy Workflow solution. Proficy Water Operations, GE-IP claims, helps utilities to easily document processes, transfer institutional knowledge and drive critical consistency and predictability into their operations. It enables digitisation of manual and automated processes with one tool across the entire facility – from plant operators and maintenance teams to field crews and leadership – creating electronic Standard Operating Procedures (e-SOPs) to guide operators, track actions for reporting, and align plant processes for rapid response to normal and unusual events. “With the e-SOP engine, you can quickly configure standard operating procedures and processes to solve problems,” explained Terry Biederman, Water Industry Leader, GE Intelligent Platforms. The e-SOPs provide stepby-step instructions for operators and take corrective action to remediate a problem. For example, an e-SOP procedure which addresses pump runtimes and maintenance is initiated when the pump reaches the run time maintenance threshold. A notification is sent directly to the assigned operators,

who can go out to the pump and take the steps outlined in the e-SOP to resolve the issue, whether it is changing the seals, repacking or inspecting them. Documents such as O&M manuals for the specific pump can also be displayed for the operator’s reference. Apart from condition-based events drawn from data coming in from the SCADA system, workflows can be triggered for time-based events like scheduled maintenance too.

Terry Biederman, Water Industry Leader, GE Intelligent Platforms

Proficy Water Operations WPM helps capture and digitise expert knowledge, and thus ensures that best practices become standard operating procedures. “WPM standardises and ensures that the procedures for taking care of problems are consistent across the board,” said Biederman. “So whether it is 30-year veteran or five year one,

they follow the same work procedure.” Also when the utility begins to digitise its manual or automated processes, it can re-visit them and develop the best way to address standard operating procedures. “You get to take the best of everything and do it right because you really don’t want to digitise a bad process,” said Biederman. The GE-IP executive prefers to define Proficy Water Operations as a “middleware” which integrates a utility’s operations side with its business side to drive operational benefits. He should know because in his earlier avatar as Director of Public Works (DPW) for Waterford Township in Michigan, Biederman oversaw a major project called ‘Platform Convergence Project’ which brought together the municipality’s disparate systems to a single WPM platform to minimise the impact of workforce retirements. In this instance, GE-IP’s Proficy Workflow WPM software was used to link the municipality’s SCADA, CMMS, and Document Management System (DMS), and standardise workflow procedures. Biederman explained: “You have WPM sitting in the middle, receiving real time operational data from the SCADA system. When a particular e-SOP gets triggered, it is also moved into the CMMS because an important part of resolving a problem is capturing the labour and time taken to solve it. In Waterford, I not only wanted to cover

Aug/Sept2012

the workflow aspect (of alerting and guiding the concerned operators), but I also wanted to automatically trigger a work order, if necessary, in my CMMS, without the operators having to type in any information by auto-populating the fields and save time.” Proficy Water Operations also provides operators a great opportunity to achieve real-time, condition-based asset management and bridge the gap between operations and maintenance. For example, when an out-of-spec event takes place in the SCADA, WPM will trigger an e-SOP to interface with the CMMS, secure a work order number, send specific instructions (including GIS location information if it is interfaced with the WPM) to the operator. Water Operations can then close out the work order with the CMMS, whether plant or GIS centric, and record the actions taken for historical records. This reduces the need for operators making scheduled rounds and device readings and automates the process of moving from condition detected to creating work requests and the right corrective action. The result is lesser downtime, maintenance and risk and lower costs. Also, the workflow can have escalation options. If the concerned operator cannot resolve an issue, the workflow could have steps to escalate the problem. For example, if a pump problem is not a mechanical issue, it can be escalated to electrical or other departments. If the workflow isn’t resolved and closed within a defined time period, it can be escalated upward, for example, to the supervisor level. Proficy Water Operations is linked to other information systems using Application Programming Interfaces

Aug/Sept 2012

(API). “If you are using our iFix SCADA, you can create workflow icons right inside iFix. You click on the icon and the workflow fires up automatically,” said Biederman. Since Proficy Water Operations is a serviceoriented architecture (SOA) -based system, it can be easily configured to talk with other systems. WPM can also work in a standalone mode, independent of its interfaces with other systems. For example, Waterford DPW created a sanitary sewer overflow workflow, which codified the procedure for reporting the event to the state agency, sending press releases, calculating the volume of the spill, and comply with other aspects of the law. “With WPM, you are creating a virtual operator 24/7,” said Biederman. “At DPW, we had 64 sewer pumping stations; probably like 350 pumps. Instead of having operators look at the screens every day and scan data for conditions that may present a problem, we let WPM do that. It mines through all the data and tells the operators when something needs to be done and how to do it; this actually frees them up to go out and be more preventative.” Biederman reckons that labour-wise, he gained at least two operator man hours thanks to WPM. Moreover, the utility also avoids the risks and costs associated with operational issues, like for example, pump failures in sewage pumping stations. Bidermann elaborated: “If an operator is not paying attention to pump run times, and suddenly a pump fails and causes sewage to back up, you could be saddled with huge clean up costs and even damage claims from people affected by the spill, all

of which could run into thousands of dollars. However, we never had anything like that happen thanks to workflow.” The return on investment for the utility, he noted, is essentially lower labour costs as well as reduced risk exposure for failure. Summing up, Biederman said that Proficy Water Operations is “a very robust piece of middleware” that can become the centre of a water/ wastewater utility’s operations universe. He continued: “It is a blue collar operating platform that can help you to work better and smarter. You are only limited by your imagination in terms of what you want to develop the workflow for and your needs.”

flexicord

On the offensive Ducab has initiated a campaign to weed out substandard flexible cables from the UAE building wire marketplace.

Who owns WPM? In Biederman’s opinion, ownership of the WPM application depends on the specific structure of the utility where it is being implemented. As the application interfaces very well with SCADA, it could be owned by the SCADA group; but it could also be owned by IT because of the way it is set up. He continued: “As the director, I think I had some ownership in it because it was a tremendous business tool that I could use to monitor events. I could see what was going on with my dashboard. I think the answer to this question is that WPM is very flexible in that it doesn’t have to belong to any particular place. But I think a good logical place would be IT/SCADA / Engineering.” (By Anoop K Menon)

e reckon that 60% of flexible cords imported into the UAE are substandard and of inferior quality,” says Colin McKay, General Manager, Sales & Marketing, Ducab. “Substandard cables are a major contributing factor to fires in the buildings, not only in the UAE but other countries in the region too.” He pointed out that in the warehouse fires that made headlines in the past, few people came to serious harm; in recent months, though, one reads about more and more people dying in their houses or

apartments because of substandard building materials, of which building cables and particularly, flexible cables are major offenders. McKay puts the blame on middlemen who knowingly import cheap are unsafe cable products into the UAE, exploiting the country’s free market economy and absence of mandatory approvals. Also, the problem of substandard cables is more prevalent in the unregulated retail and distribution sectors for house wiring and flexible cables. Flexible cables (or flexible cords or ‘flex’) are single and multi-core cables designed for indoor wiring applications. They are used in office equipment, domestic applications, medical devices and different types of electrical/electronic equipment. Unscrupulous distributors, McKay continued, deliberately order substandard cables from manufacturers in China, India and Europe in order protect their profits. He continued: “Originally it started with reduced copper content to counteract high copper prices; when they couldn’t make enough profits from that route, they switched to aluminium with copper cladding. Now they have moved to steel with copper cladding.” Moreover, these inferior cables are priced 10% cheaper than their standard counterparts, so the profit margins are also huge. McKay feels that flexible cords should be regulated in the same way that fire survival cables, found in emergency lighting, building fire alarm systems and the like, are regulated today. To supply these cables, Civil Defence approval is mandatory, which can be obtained only after getting third party approval from

the Loss Prevention Certification Board (LPCB) in the UK. Typically, substandard cables, flex included, have issues with the conductor material or the insulation or both. The areas impacted by low quality flex, as identified by Ducab, include private villas and apartments, repair and rewiring of existing buildings where less or no approvals involved, connections to home appliances, air conditioners, water heaters, extension cords for portable industrial equipment and wiring for temporary events like Ramadan tents. “If the conductor or the insulation material is of inferior quality, the cable will not perform the way it is supposed to,” said McKay. For example, wrong conductor size leads to increased conductor losses, excessive heat and fire, while wrong insulation can cause short circuit or earth faults, increase in temperature and thus, fire. Recently, Ducab collected random samples of 70°C flexible cables randomly from the market and analysed them against BS specifications and Ducab. Initial analysis was carried out on 50-cm length short samples. Sadly, 50% of the samples failed to make the grade, variously attributable to low copper content, extra insulation to build up the diameter and lesser outer sheath thickness. A more detailed analysis of full coil samples from seven suppliers (Ducab making up the eighth) vindicated the earlier findings. With the exception of two, the remaining samples flunked conductor resistance tests. Also, none of the seven carried printed/marked cable standard (BS6500) and harmonised code (H05VVF) together on the cable sheath. “The UAE market tends to be British standard-based, so customers order flexible cords to BS6500 standard and assume that’s what they are getting. But they don’t have third party method of testing to verify that,” said McKay. He also cited a case where samples of flexible cords from a reputed chain of hardware stores in Dubai were found to have undersized or below dimension copper conductors.

Aug/Sept2012

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McKay feels that regulation of the retail market for flexible cables will go a long way in curbing the import and sale of poor quality flex. As in many other regional countries, approvals by regulatory authorities such as Emirates Authority for Standardisation & Metrology (ESMA), Civil Defence, Municipality and Utilities should be made mandatory for both domestic manufacturers and importers of flexible cords. But this seems easier said than done, with McKay admitting that willingness to move forward on the part of the authorities is yet to result in concrete steps. He also favours mandatory type approvals from well known independent testing bodies such as BASEC and Lloyds Register for flexible cords. “You don’t see substandard cables used in fire alarms mainly due to the requirement to get third party certification,” said McKay. He calls for strict punishment to be meted out to the middlemen who import and sell substandard flexible cords in the market. “None of our local or regional competitors make these types of substandard cables,” said McKay. “In fact, we are working with authorities to get the culprits prosecuted. If you can be put in prison for bouncing a cheque, you should be put in prison for putting people’s lives in risk.” The Ducab executive also underlined the importance of more in-country cable testing facilities. “We really need to have more in country testing facilities so that we can get some discipline back into the construction,” he observed, but acknowledged that the specific nature of cable testing could be a hurdle. “The deciding factor is the resistance of the conductor, but you also need to check dielectric resistance and quality of the insulation. So the testing equipment is quite specific to cable manufacturing.” What could perhaps spur the development of local capability in cable testing is the formulation of internationally recognised UAE standards that local manufacturers should certify to.

Aug/Sept 2012

Counter-arguments From a cynic’s standpoint, Ducab’s campaign against imports of substandard cables could also be interpreted as a local manufacturer’s vested interest in protecting its home turf. McKay admits to having a ‘vested interest’, but in protecting the public from dangers associated with substandard than protecting the company from competition. He explained: “Flexible cords are only a small percentage of our business and turnover. However, substandard flex expose people to risks because they are not visible. And they also give a bad reputation to the region’s cable industry.” McKay also feels that regulating the retail market for flexi cords and building wires in the country will actually help level the level playing field. He hopes the region’s cable industry can emulate markets like the UK where industry associations have been successful in raising the standards and also the level of public awareness. In the UK, the British Cables Association (BCA) launched Approved Cables Initiative (ACI) to address the issue of unsafe, non-approved and counterfeit cables entering the UK marketplace. ACI demonstrated its effectiveness in 2010, when its investigation led to more than 11 million metres of cable manufactured by a Turkish company being recalled from the UK market with the suspension of two of its product certification licences by the certification body BASEC. McKay said: “We go out, get the samples and test them. If there are problems with the wires, all we can do

now is flag the issue before the authorities and hope they will act. Unfortunately, the way things stand now, they don’t have a mechanism to act. So what we try and do is raise the profile of the problem in the media. Unfortunately, it takes tragedies like the Doha Mall fire to highlight the fact that cutting corners to make more profits puts people’s lives at risk.” Ducab’s campaign against substandard flexible cords and their dangers continues apace. The company is working with authorities to initiate a training scheme wherein it trains their people to recognise the products while Ducab tests the samples for compliance. McKay said: “The only testing being carried out at present is by our in-house laboratories. We are going to try and work with government and get them to provide us with samples; we will get them the results.” Ducab is also organising road shows to educate contractors about the risks associated with substandard cables. The company’s target is not so much the big players than the smaller, independent electrical contractors who buy whatever they can get in order to make a little bit more profit on the job. After strengthening its campaign in the wholesale market targeting distributors, suppliers, contractors, Ducab is now taking the fight against substandard flex into the D-I-Y market too. McKay said: “You see people buying four to five metres of flex and putting them in their kids’ bedrooms, for instance. If the conductor or the insulation doesn’t meet the standards, you can imagine the consequences.” By Anoop K Menon

Rajiv Sawhney, Managing Director, Landis+Gyr AG, Middle East, confidently states that PLC (Power Line Carrier), with its low CAPEX and OPEX levels, is the most cost-effective technology choice for smart metering rollouts, and more in the Middle East where there is a relatively new and reliable distribution network. to be used. PLC, he emphasises, is suitable for densely populated urban living areas and high rise buildings too.

ower Line Communication (PLC) is a well-established communication technology that was initially used for telemetry purposes. The first largescale PLC deployments took place in the 1990s. Today, PLC technology has reached maturity with many vendors offering fully operational communication solutions for a wide range of industry applications. In the late 1990s, energy utilities set out to use PLC technology in the smart metering rollouts, which has turned it into the dominant smart metering communications technology in Europe. PLC proved to deliver reliable performance at reasonable procurement, installation and operation cost points. According to an earlier ABI Research, PLC technology is the number one smart metering technology in EMEA.

By using PLC technology, the utility retains full control over its distribution network. By re-using the electricity distribution network for communications, the utility can also re-use maintenance tools and resources, thereby avoiding the maintenance costs of a dedicated communication network. With every extension of the electricity distribution network, the communication network grows accordingly.

A TYPICAL PLC SYSTEM ARCHITECTURE

SMART METERING TECHNOLOGY BASE Smart meter LAN Communications Technology Installed Base by Type, World Market, Forcast: 2006 to 2013

Source: ABI Research

Where the utility provides smart metering services directly by investing in the necessary infrastructure, PLC is the cost-efficient alternative based on CAPEX and OPEX considerations. The alternative of subcontracting the service provision to a telecom operator with a corresponding service-based contract could be actually more costly.

Robustness of PLC installations PLC offers the simplest type of installation out of all Neighborhood Area Network (NAN) access technologies. Installation is Plug-and-Play in any environment and does not require any additional work other than installing meter hardware. Compared to wireless access technologies (GPRS, UMTS, RF Mesh, WiMax) PLC offers the following advantages: ●●Immediate establishment of communication during the installation process and, thereby, avoidance of any costly waiting times for the installer. ●●No antenna tuning or adjustment of antenna direction required. ●●Communication is also possible in difficult environments (for example, metal-shielded cases, deep underground installations, etc.), where no other access technology can provide a solution. ●●Antenna cannot be removed during operation (tampering protection), antenna cannot fail (reliability). The fact that the communication interface is powered by 230V offers intrinsic security against tampering. Compared to other wired access technologies (Ethernet, Fibre and PSTN), only PLC offers the advantage of directly linking the communication channel to the device itself. Communication is established by powering up the device. This not only does away with the need for additional communication wiring but also prevents tampering or removal of communication cables or equipment during operation. PLC communication is almost always relayed via a transformer station. It is possible to combine classic data concentrator functions and smart grid/transformer station automation functions in a single device at marginal additional cost. Additionally, a common communication network and IT infrastructure enables easy integration of transformer and substation automation (smart grid) into smart metering infrastructure. PLC also has inherent physical security advantages. For example, physical access is much more difficult than to a wireless or low voltage network and presents a physical danger.

Aug/Sept2012

smartmetering FEATURE

flexicord

Meter point cost (incl. communication infrastructure such as Data concentrator / RF collectors) In medium to dense areas such as villages & cities Meter point cost (incl. communication infrastructure such as Data concentrator / RF collectors) In rural areas Meter point installation costs

Network topology PLC is the only NAN access technology that is inherently linked to the topology of the power distribution network. Knowledge regarding the network topology, such as problems and vulnerabilities on specific nodes, is extremely valuable information for a utility operator. Managing a smart grid requires detailed and timely information on the status of each node, potential breakdowns and malfunctions. Only PLC can offer such information without the installation of additional infrastructure and separate communication networks. GIS systems can be easily integrated into the PLC infrastructure for visualisation purposes.

Compared to wireless access technologies, PLC offers the advantage that no wireless emissions are produced. Also, PLC transmits signals within a dedicated frequency band and a maximum power level that conforms to regulatory requirements. Cenelec PLC standard EN 50065-1 specifies the output levels for PLC transmissions and assigns a dedicated frequency band (Cenelec A band) specifically for utility use. Exclusive use of the dedicated frequency band is a prerequisite for communication reliability over the lifetime of the smart meter installation, which secures the utility’s long-term investments. The Cenelec standard is recognised throughout the world which means that PLC users benefit from the wide range of high volume equipment offered by a large number of international manufacturers. Finally, EN 50065-1 is also backed by a comprehensive international testing infrastructure.

Open OFDM-based PLC technologies are currently being field-tested and deployed. While today’s PLC technologies offer a physical layer throughput of 2 to 5kbps, the new OFDM PLC will have its throughput increased by a factor of 10. The two FDM-based PLC technologies available in the market today are:

Aug/Sept 2012

PLC RF Mesh Public Mobile Network

PRIME PLC: Supported by the PRIME Alliance with over 50 members chaired by Iberdrola. The technology has already won a strong market position with an installed base of 200,000 PRIME meters rolled out in Spain alone by the end of 2011.

G3 PLC:

Supported by the G3 PLC Alliance. The driving force behind G3 is EDF in France. In the next two to three years, EDF will be field-testing G3 PLC technology. Mass rollout will start in 2015. Both technologies are open and have been adopted as starting points of the official ITU standard, ‘G9955 Narrow-band OFDM power line communication transceivers - Physical layer specification.

Interoperability PLC standards form the core of a comprehensive smart metering architecture based on international standards. PLC is the only access

technology with proven IEC standards (IEC 61334 series). Several technology manufacturers are providing PLC chips in accordance with the IEC 61334-5-1 standard and several smart metering solution providers are offering end-toend solutions based on interoperable PLC components. PLC is the widest spread smart metering communication technology, and it offers components from different manufacturers. By investing in standardised PLC technology, a utility can avoid the risk of stranded investments due to proprietary technology. The combination of standardised PLC with the global concept of the expandable COSEM data model offers the user consistency between today’s solutions and future technologies and applications. The universal messagebased security features offered by the application layer are independent of the PLC technology and can even be used in any other communication medium.

Performance for smart metering

OPEX over lifetime

Risk of service discontinuation in 15 years

●●Installation of the data concentrator: Installation of the data concentrator is done at the transformer station typically owned by the utility. The installation takes just a few minutes. ●●‘Plug and play’ installation of the PLC meter: Once the meter has been installed, it is ready to communicate. This reduces the installation cost of PLC communication to almost zero and is a significant cost advantage over RF solutions. Meters serve as repeaters thus strengthening the network. ●●Establishing the PLC communication network: Landis+Gyr supports the entire installation process with powerful installation tools and the central system. The PLC communication network itself does not require an installation process.

Lowest Total Cost of Ownership (TCO) In order to get a fair assessment of the TCO of a PLC- based smart metering solution, the following points must be considered:

Cost of smart metering equipment (CAPEX)

●●A PLC meter is the most cost-effective smart meter due to the following: > PLC chip sets are mature and available from many vendors. From the technical point of view, integration into a meter is quite simple. > The large installed base has already driven the cost down (economies of scale). ●●Cost of data concentrator In densely populated areas the ratio between metering points and a data concentrator on average is 1:200 (and can go up to 1:1000). This results in minimal costs for each metering point.

Broadband Connection

Installation cost of field equipment (OPEX)

Wireless emissions

A quantum leap forward

Key aspect

Cost of operating and maintaining the smart metering system (OPEX)

●●The cost of operating the PLC network is independent of third-party network operators and therefore low compared to 2G/3G operation costs. But most importantly, because of the unmatched communication reliability, the cost of human intervention is minimal. ●●The PLC network needs very little maintenance from the system side. Moreover, the PLC network monitoring capabilities of the system enable basic network supervision. ●●The firmware of the data concentrator and the meter can be remotely updated; hence no additional site visits are required. In the comparison table, smart metering communication technologies are rated based on key aspects applicable to the smart metering solution.

Our extensive experience in EMEA shows that smart metering rollouts are never based on a single technology though PLC is predominantly used. For hard to reach metering points or those in remote areas, it is more commercially viable to use point to point communications as GPRS for example. But if we consider the practicalities of the requirements of utilities in the Middle East, key factors that favour PLC are: ●●Interoperability between different manufacturers (multiple vendors) ●●Limitations on bandwidth and IEC standards on power limitations on communication restrict high power based communication technologies ●●Emissions have been concerning in areas extensively using high power radio for example, even in the US, ●●Subsidised electricity and water (energy intensive desalinated water) warrants limitations in CAPEX, re-using the new distribution network is beneficial ●●Technology progression into the next generation PLC is possible, high GPRS costs is a deterrent ●●Separate entities for Electricity and communications to home do not permit synergies to optimise access to the meter data and lots of other reasons Based on the widely used PLC technology and the IDIS (Interoperable Device Interface Specification) initiative, Landis+Gyr can offer maximum flexibility and investment protection to customers. The Dubai Electricity & Water Authority (DEWA) and the Federal Electricity & Water Authority (FEWA) are examples of forward looking utilities who have ventured on their own initiative to pilot this technology with others soon to follow.

smartmetering FEATURE

FEATURE smartmetering

connectivity

RATING OF SMART METERING TECHNOLOGIES

(The paper has been prepared in conjunction with the Landis+Gyr White Paper titled Power of PLC)

Aug/Sept2012

FEATURE interview

shorttake

Graham O’Geran, Operations Manager, British Approvals Service for Cables (BASEC)

on-compliant, non-approved or counterfeit cables are a major concern for the entire electrical industry, from manufacturer through installer to end user, who may not even be aware of the significant health and safety threat they pose. British Approvals Service for Cables (BASEC) is a independent cable testing and approval organisation that works with cable manufacturers in the Middle East and across the world, rigorously testing electrical cables, data and signal cables and ancillary products to meet British, European, local and international standards through detailed examination of manufacturers’ production processes and controls, and regular product testing. BASEC conducts a full range of tests on each cable type including resistance, electrical breakdown, endurance, impact and abrasion, chemical, and fire tests as specified in the cable standard and in all the subsidiary standards referred to. Unfortunately, it is often not until cables are installed, tested or used that a problem comes to light and by then it can be too late to avoid the enormous costs of rectifying the situation.

Aug/Sept 2012

If you are an installer in the Gulf Cooperation Council (GCC) region, we advise the following precautionary steps and action to safeguard against the risk of installing cable which is sub-standard: ●● Prevention is better than cure – To help safeguard against the risk of installing cable which is substandard, contractors should ensure that the cable supplied by the cable manufacturer or distributor is the correctly specified cable and check the markings on the cable sheath - not just the packaging. Look for: ●● Independent third party approval marks such as BASEC, HAR, KEMA, LPCB or other recognised marks ●● Name of cable manufacturer - their identification mark Standard number the cable should be made to such as IEC 60502-1 ●● Purchase records – keep them! ●● Environment – ensure the cable is compliant for its intended use. For example: high temperatures. ●● Certificates of conformity from the manufacturer ●● Traceability information to track cable through supply chain ●● Seek advice early if a problem with the cable is discovered, for example on system testing. ●● Never accept completely unmarked cable. ●● Contact BASEC on cable quality issues and report to your local regulator such as ESMA. ●● Keep records of the purchase, including reel ends with batch marking on, receipts from the wholesaler and any other sales records on your computer system, and a sample of the cable markings. ●● If you have scrap lengths, these can be sent to BASEC for checking and testing. Based on the test results, BASEC will then advise on the best course of action. If BASEC discovers cable with serious faults, a public warning may be issued. The warnings will be printed in trade publications, electrical web portals, on the BASEC website and through trade bodies and inspectorates. BASEC will normally identify the cable through a brand name that is printed on the cable sheath, or provide a description of the markings on the cable. The faults will also be explained in detail and what they could lead to i.e. overheating in use or electric shock. BASEC is currently working with a number of cable manufacturers in the region including Ducab and NCI and the following regulators to raise awareness of cable safety: Abu Dhabi Water & Electricity (ADWEA); Dubai Electricity Water Authority (DEWA); Federal Electricity & Water Authority (FEWA); Electricity & Water Authority (EWA), Electricity Distribution Directorate, Kingdom Of Bahrain; and Emirates Authority for Standardisation & Metrology (ESMA).” (Further information and assistance is available at www.basec. org.uk, technical@basec.org.uk or contact BASEC directly on +44 (0) 1908 267300)

Aug/Sept2012

We are committed to strengthening governance and focusing on the development of UAE nationals in the district cooling sector by launching National Development and Internship programmes in 2012. These programmes are designed to provide vocational training and career development in the district cooling sector for UAE nationals, particularly those with academic qualifications or who are interested in engineeringMoreover, we are actively exploring new opportunities to expand our operations regionally as the demand for district cooling services increases in parallel with the significant infrastructure development projects that are underway and planned for the region. We are also focusing on Corporate Social Responsibility (CSR) and are continuously improving our responsiveness to the needs of different stakeholders with the emphasis on environmental sustainability, safety and vocational training. We are following a structured risk management approach to enhance our ability to develop innovative partnership models to fulfil our social responsibilities tailored to the welfare of the communities where we operate.

Sustainable cooling Among the pioneers of district cooling industry in the region, Palm Utilities has managed to sustain its leadership, emerging as the largest district cooling service provider measured by area serviced. Having successfully weathered the challenges of the economic slowdown, the company has restructured itself for growth, within the United Arab Emirates (UAE) and neighbouring countries as well. In series of e-mail and face to face interviews, Marwan Al Naqi, Chief Executive Officer, Palm Utilities spoke to Anoop K Menon on his plans to sustain and grow the company’s leadership position in the region’s district cooling industry, all the while emphasising the industry’s energy efficiency and environment-friendly credentials. The first part of a two-part interview.

Could you give us an update on your ongoing projects/initiatives? Are there any new projects/ initiatives in the pipeline?

Marwan Al Naqi

Could you start with a brief overview of Palm Utilities? Palm Utilities was formed in January 2007 and is a member of Dubai World Group and a leading utility company that provides integrated sustainable utility solutions. Through its wholly owned subsidiary, Palm District Cooling, it provides district cooling services for over 15,000 customers in Dubai, including residential communities, hotels, shopping malls and offices. The company is the district cooling service provider to a number of prestigious projects in the UAE, including Palm Jumeirah, Ibn Battuta Shopping Mall, Dubai Multi Commodities Centre, Jumeirah Lakes Towers and Discovery Gardens.

What is Palm Utility’s positioning in the region’s district cooling industry? Palm Utility is a major player in the utilities sector in the region and the largest district cooling service provider as measured by area serviced. Palm Utilities cools 115 million square feet, making it the largest company in this sector outside of the US. As a result, the International District Energy Association (IDEA) awarded us the gold award in this category in 2010 and 2011.

Aug/Sept 2012

The recent refinancing of Palm District Cooling’s bank debt of Dh1.2 billion to a consolidated seven year amortising loan was concluded in March 2012. This has provided a solid financial platform to focus on growth and, at the same time, stabilise existing business. The loan has conventional and Islamic tranches of 70% and 30% of the refinanced amount respectively.

How did the company perform in 2011? What are your targets for 2012? 2011 was a very good year for the company in which several notable landmarks were achieved. Our operational efficiency increased by 30% from 2010. We achieved growth of seven per cent, adding 23,000 Tonnes of Refrigerated (TR) capacity by connecting 10 new towers in Palm Jumeirah and Jumeirah Lakes Towers and added seven million square feet of serviced built-up area. We completed the restructuring of the organisation to improve efficiency and streamline decision-making. Our targets for 2012 include improvements to our customers’ experience with Palm Utilities and further enhancement of operational efficiency. The target for growth is to add a further nine per cent to our connected tonnage.

For existing projects, we are forecasting to connect nine new towers, mainly in Palm Jumeirah and Jumeirah Lakes Towers by the end of 2012, adding 5.6 million square feet in serviced built-up area to achieve 115 million square feet by the end of 2012. We started our internship program for UAE nationals this summer. Future projects include Jumeirah Village and Dubai Maritime City, and apart from these, we are exploring other projects in the UAE and the region.

How have you incorporated sustainability in your operations? Sustainability is part of the culture of Palm Utilities and an important part of our commitment to CSR and Green Policy. Our environmental policy states the commitment to a number of ways that are sustainable. Reduce pollution to land, air and water through judicious use of natural resources. District cooling enables building owners and managers to conserve energy, improve operating efficiency and protect the environment. With district cooling, building managers and developers need around 50% less electrical load for their buildings and they do not need to store or use refrigerants on site, so the site is safer and more environmentally sound. Electricity and refrigerants are used at district cooling plants instead. At our plants we employ stringent emission controls - more so than individual buildings - and this provides air-quality benefits;Waste management through recycling programmes for paper, print cartridges and other electronic waste in our office and plants; We carefully assess our activities, products and services to identify their environmental impact.

Environmentally friendly practices are an integral part of the company’s continual improvement of the environmental management system to retain certification under ISO 14001 2004; We monitor our supply chain to ensure all products supplied are green; We bill customers electronically to save paper. In 2011, in support of the national environmental day, all of our staff participated in the plant a tree initiative.

How are you engaging your customers? How do you measure customer satisfaction? Customers are the most important people for our organisation. They are the key to the success of the business. Our strategy gives priority to our customers and we have committed services to them at the highest level. For B2C, we have a customer care centre and for B2B, we have a dedicated team providing face-to-face engagement on a regular basis to understand their needs and concerns and resolve any issues. In addition, we use social media through Facebook and Linked-in to communicate and provide another channel to engage with them. We have engaged a service provider to conduct semi– annual customer satisfaction surveys using face-to-face interviews, telephone interviews and on-line questionnaires to gather feedback and to analyse the results and provide improvement plans for us to implement and monitor.

interview FEATURE

FEATURE interview

ontherecord

Do you have plans to develop your presence outside the UAE? We are currently exploring opportunities in Saudi Arabia and Qatar to expand our services regionally. Both of these countries have embarked on huge infrastructure development projects. Saudi Arabia is forecasting to spend the equivalent of $159 billion in 2012. This will create a significant demand for district cooling services as a cheaper and more environmentally friendly alternative to conventional air-conditioning.

What further steps need to be taken to strengthen district cooling sector in the UAE? There needs to be more focus on rolling out an awareness campaign to make customers and users of district cooling services understand the environmental benefits and cost savings compared to conventional cooling. This extends to the awareness of government regulations in this area and the requirement for “green” buildings. District cooling is a district energy system that provides valuable benefits to customers whether it is improved energy efficiency, enhanced environmental protection, fuel flexibility or even decreased life-cycle and building capital costs and improved architectural design flexibility. It supports the green initiatives that are being introduced by the government as a more environmentally-friendly method of cooling buildings as compared to conventionally cooling.

Aug/Sept2012

FEATURE coverstory

SOLAR AMBITIONS Is the GCC aiming too high (or low) with its solar power targets?

By Anoop K Menon

he modest to outright ambitious targets declared over the past year or so seems to indicate that renewable energy has finally found a permanent place in the energy plans of the Gulf Cooperation Council (GCC) countries. Saudi Arabia, Kuwait, and Oman plan to derive at least 10% of their energy needs from renewable sources by 2020. Saudi Arabia, the largest economy in the GCC, has set for itself an ambitious target of deriving at least 50% of its overall energy needs from renewable energy by 2032, with 41 GW from solar alone. Abu Dhabi and Dubai are targeting to produce seven per cent and five per cent respectively of their energy from renewable sources by 2030. A summary of the renewable energy target for 2020 set by the GCC countries is reproduced in Table 1. The emphasis on renewable energy is easy to understand, the primary reason being the rapid growth in electricity peak demand. According to an AT Kearney report, peak electricity demand in the region increased by more than 60% from 47 GWp to 77 GWp between 2003 and 2009, and is forecasted to exceed

Aug/Sept 2012

COUNTRY UAE Oman Qatar Bahrain Kuwait Saudi Arabia

TARGET (% OF TOTAL INSTALLED CAPACITY)

Abu Dhabi - 1.5 GW Dubai – 0.13 GW 1.25 GW Approx, 1 GW 0.25 GW 2.7 GW 17 GW

Table 1. Source: Frost & Sullivan 270 GWp in 2030, a CAGR of seven per cent per year. This forecast compares to a global rate of 1.8 per cent per year, placing the GCC alongside countries with one of the highest power demand growth rates in the world. A major factor driving electricity demand is population growth. A study by QNB Capital found that while GCC population growth slowed down to 3.2 per cent a year between 2009 and 2013 (compared to 5.9 per cent a year during the 2004-2008 oil boom period), it is still high compared to the global population average growth of 1.2 per cent a year. Another factor, the

AT Kearney report notes, is increased activity in commercial and government sectors, driven mainly by heavy industries such as aluminium smelting and petrochemical sectors, and this in turn, is driving up demand. In fact, energy intensity underpins economic diversification strategy of the region. Desalination is also a major electricity demand driver consuming 15% of the total amount of power generated in the region. Other drivers include rapid urbanisation and narrowing down further, air conditioning, which accounts for 2/3rds of the electricity consumption in the region.

"There is little dispute that the region needs more power" The pressure to meet a growing electricity demand is only one side of the story. Over the years, economics that favour a larger role for renewables in the region’s energy mix have been getting stronger. The AT Kearney report points out that natural gas, which fuels the bulk of the electricity generation in the GCC, is exported as Liquefied Natural Gas (LNG) and used as feedstock in the region’s petrochemical industry. With the region starting to lack sufficient natural gas to supply either its proposed petrochemical expansion or those programmes already in operation, maintaining the growth of one of its key industries will become a challenge, and more so if power generation stakes claim to a greater share of the gas supply. Moreover, from the supply side, exploration and production (E&P) of hydrocarbons cannot keep increasing exponentially. “These resources will keep getting more difficult to get,” said Abhay Bhargava, Head of Energy & Power Systems Practice - MENA region, Frost & Sullivan. “If you look at Oman and other countries in the region, they are talking about enhanced oil recovery, marginal fields and the like. Dwindling resources is a supply side challenge.” The GCC, with the notable exception of Qatar, is facing a gas supply-demand imbalance that, according to various estimates, could lead to a gas shortage of about 31 billion cubic metres (bcm) in 2015. “When you are looking at growing

is associated gas. If there is a reduction in oil production due to a fall in demand, you also reduce gas production. This can impact the availability of gas for power production.”

Feasible and attractive

Renewable energy could provide a feasible alternative to the GCC’s traditional reliance on oil and gas, guarantee energy independence and meet growing demand for electricity without straining hydrocarbon reserves while also helping mitigate the problem of high green house gases (GHG) emissions.

coverstory FEATURE

Abhay Bhargava, Head of Energy & Power Systems Practice - MENA region at Frost & Sullivan

demand and new sources of demand as well as supply constraints, it is obvious that supply will get more expensive,” notes Bhargava. “So you have a situation where you need to look at sources of energy other than oil and gas.” According to a recent study by the Kuwait Financial Centre (Markaz), in the UAE, currently 98% of the power plants are fired by natural gas. In Saudi Arabia and Kuwait, it is 49% and 29% respectively. The remainder is accounted for by liquid fuels (crude oil, diesel, and HFO). Conventional oil and gas fired power plants have proven costly as a result of fuel subsidies that range from around two per cent to up to 12% of national GDP across GCC countries. The opportunity cost of burning liquid fuel for power generation is not insignificant either. According to analysis by Deloitte, at $120 per barrel, Saudi Arabia is losing $35 billion per annum in export revenues from the diversion of 800,000 bpd for power generation. In fact, Saudi Arabia would be better off using that oil in its rapidly developing downstream petrochemical sector for value added exports. “Apart from supply stress, GCC countries are also going to face a demand stress from alternative demand points for the same energy resource,” cautions Bhargava. Shortage of natural gas could mean that new power generation capacities could end up relying more on liquid fuels, which will contribute further to the already high carbon emission footprint of the region. In fact, the GCC nations rank in the top 20 for emissions per capita worldwide due to their hydrocarbonintensive power sectors and energyintensive industrial sectors. Energy independence is also being cited as a driver even though the GCC sits on the largest known hydrocarbon reserves in the world and is classified as an oil exporting group. “Countries that have a serious dependence on oil imports are taking the renewable path,” explained Bhargava. “China and India are building renewable energy capacities, even at a higher cost, because they are looking at a certain level of energy independence. The GCC too needs energy security For example, a lot of the gas produced here

José Antonio Alberich, Vice President, AT Kearney Middle East

"In the case of Saudi Arabia and Abu Dhabi, there is additional incentive in migrating liquid generation to renewable energy.” José Antonio Alberich, Vice President, AT Kearney Middle East, said: “We cannot continue to consume fossil fuels at the same rate. Even Qatar, which is 100% gas-based and probably less incentivised to migrate to renewable energy, is investing in developing a solar industry. In the case of Saudi Arabia and Abu Dhabi, there is additional incentive in migrating liquid generation capacity to renewable energy.” He feels there is an attractive opportunity in the substitution of at least a small proportion of gas peak capacity and HFO in the region with renewable sources.

Aug/Sept2012

PROJECT TRACKER

Developing a renewable energy sector could give greater impetus to the region’s economic diversification agenda, mainly through local value chains and job creation. “Saudi Arabia and Oman have high unemployment rates among their educated youth,” said Bhargava. “So it is imperative for them to create various job opportunities. Even the US is developing its renewable energy sector to basically revive the economy and create more job opportunities.” The consensus is that solar will dominate the renewable energy sector in the GCC, especially as the irradiation levels favour solar. “There are some micro sites for wind that could add up to the utilisation rates we need, but I see wind playing only a limited role. Fundamentally, it has to be solar,” said Alberich. According to KuicK Research, the GCC region lies in the highest band of insolation in the world and forms a major part of the huge 18 TWe of the total worldwide solar radiation, thanks to its expansive desert like topography and climate. This makes the region ideal for large scale deployment of solar photovoltac (PV) and Concentrating Solar Power (CSP. With global PV prices at all time low, PV seems to be region’s favourite technology. “The behaviour of cost curve in PV has been incredible,”

said Alberich. “The entry of solar module manufacturers from China is putting a lot of downward pressure on the market, perhaps too much pressure.” He pointed out that five years ago, PV systems in Europe cost well over $7,000; today, similar systems come for below $2,000. But cost advantage, which currently favours PV, shouldn’t be sole deciding factor in choosing between PV and CSP. “You have to be practical when looking at applications,” said Bhargava. “For example, if Saudi Aramco is looking at solar for its geographically distributed operating assets, CSP cannot be an option. The same applies to cities looking to incorporate solar within the urban infrastructure through solar street lighting or solar car parking lights.” He points out PV has great potential in small communities, but for utility scale projects, CSP is the obvious choice. “When you consider Total Cost of Ownership (TCO), you will see a point where PV will have declining returns and CSP kicks in.” The new kid in the solar technology block is Concentrated Photo-Voltaic (CPV). Alberich points out that at a lab scale, CPV has demonstrated double the efficiency of commercial PV. “The numbers coming out of the labs indicate 30-32% efficiency in CPV compared to 17-18% efficiency in commercial

SOLAR ENERGY RESOURCES IN GCC COUNTRIES Direct normal solar radiation

Saudi Arabia Qatar Kuwait Oman Bahrain UAE

Direct normal

Direct normal solar

radiation kWh/

irradiance kWh/

square meter 6.5 5.6 6.5 6.2 6.5 6.5

square meter 2,500 2,000 2,100 2,200 2,050 2,100

Source: American Institute of Physics: Journal of Renewable and Sustainable Energy, April 2009. A report on renewable energy research: A Critical Investment for the Arab Region, June 2007. GCC - Gulf Cooperation Council; kWh- kilowatt-hour

Aug/Sept 2012

●● 200 MW Adam/Manah Solar Power Plant Project, Oman ●● 100 MW Noor 1 Solar Power Plant Project, Abu Dhabi ●● 100 MW Shams 1 Solar Power Plant Project, Abu Dhabi ●● 30 MW Sir Baniyas Island Wind Power Plant Project,, Abu Dhabi

PV,” he explained. “There is an extra cost because of the mirrors and concentrators. But we still have to check the extent to which the module suffers because of higher temperatures. The debate is akin to earlier thin film versus poly-crystalline PV debate, but I think CPV will find a way of coming forward.”

25GW by 2020: Challenges aplenty

The case for renewable energy in the GCC, especially solar, is largely clear. But what begs answer is how prepared is the region when it comes to harnessing its natural advantages on the solar energy front. Are the 2020 targets the proverbial equivalent of putting the cart before the horse? Are the 2030 targets too generous with their milestones? Alberich believes that the targets set out by the GCC countries are realistic. He said: “You can generate scenarios that are more or less optimistic in terms of timing or pace. We have Levelised Cost of Energy (LCOE) numbers that show this could happen tomorrow or even yesterday. It is a matter of willingness, speed and even more, I would say it is an imperative, because if demand increases the way it is being projected, we really need to change the generation mix.” However, it is also true that countries that have enjoyed success in their renewable energy targets took considerable efforts into designing and putting in place the supporting policy framework, regulations and infrastructure. Using a carrot and stick approach, these countries demanded that their power sector take up renewable energy projects, while providing the enabling framework to realise these projects and at the same time, reserving the right to impose penalties if the industry failed to achieve the mandate. This approach helped create mandatory demand, leaving industry with no option but fall in line. “From that perspective, there seems to be lack of direction in the region,” said Bhargava. “The 25 GW by 2020 that the GCC is aiming can come only

from utility scale projects, but there is no mandate for that. For example, has any utility in the region ruled that new power projects should supply at least 10% to 20% of the total power from renewable sources? Even if you mandate some percentage of solar power from green buildings or solar lighting, you still aren’t going to meet this target as only utility scale solar projects can supply the critical mass.” At the same time, the challenge for the region's power industry lies in identifying and sourcing the right solar technology from other parts of the world. Bhargava explained: “Most of the time, these technologies haven’t been tested with the combination of high heat, humidity and dust endemic to this region. The localised research and development of products that suit this environment is not happening; so from a supply side, this is constrained as well.” “If regulatory framework is one challenge, then the issue of technology meeting the region’s requirements is another,” continued Bhargava. “Have you heard of any manufacturer which has a focussed R&D effort on developing modules relevant to this region? You can look at the different technologies, but you also need the focussed R&D and effort that synchronises everything. Unfortunately, that synchronising force isn’t there.” However, some of the solar PV companies Alberich talked to about local R&D presented an interesting take on the dust issue. He elaborated: “Some of the incumbents in the market were telling me that dust could actually be beneficial because depending on the size of the crystal, the dust could be a natural mirror; thus creating a CPV effect indirectly; so even if you don’t clean the module frequently, you could increase the efficiency of the module.” The AT Kearney analyst feels that the maintenance costs of the modules or CSP in the region is comparable to Europe or America. “For example, we have proven CSP capacities in the US in the desert areas with the similar levels of humidity and dust, and they are running with despatchability of 17 hours a day.”

Intermittency of supply is also another challenge, which should be tackled through storage. Bhargava said: “Bad weather, sunsets are factors that need to be addressed through good storage solutions; this might drive up your initial capital costs, but in the long term, the returns will justify the investment.” Opinions are also varied on what needs to be done to attract private investment into the region’s renewable energy sector. One of the stumbling blocks seems to be subsidies at supply and consumption points. “If we remove the subsidies on gas, solar projects in the region will actually become feasible,” said Bhargava. “I would suggest that instead of putting subsidies into gas, you put them into your renewable energy sector. For example, if a country is allocating 10% of its total gas for own-use or the region, I would suggest they reduce that by 10% and export the gas which is freed up. The incremental delta could then be ploughed into the renewable energy sector. By doing so, you automatically get a budget for your renewable energy sector.” On the financing front, while banks are no strangers to project financing, most of them lack sufficient exposure to renewable energy projects. “Financial institutions invest in a project if they are convinced of the returns, its feasibility and the stability,” said Bhargava. “While financing of projects, including renewable energy projects, is a known territory for the top multinational banks, the same cannot be said for local banks, so a fair bit of education may be required. It is the task of the government to assure stability because the only way to sell something is to make it bankable.” The finance equation should ideally take into consideration the actual generation costs instead of tariffs. Alberich said: “If you are being charged 3-4 cents/kWh average across segments, you are not paying the true cost of energy. If power is heavily subsidised or priced below the actual cost of generation, then renewable energy, in comparison, will seem very expensive.” In fact, low or subsidised

tariffs could become a hurdle to achieving grid parity. LCOE of PV juxtaposed against subsidised tariffs makes solar PV look expensive. Comparing the real costs of the generation mix instead of tariffs can help level the competition. However, higher tariffs best exemplified by Dubai’s slab tariff system make for better LCOE calculations. “If you add to this elements not considered in the LCOE like distribution costs, technical losses, you come close to grid parity,” said Alberich. So how important is price rationalisation? “It is important to understand what you are competing with,” he observed. “In Saudi Arabia’s case, if their tariff is going to be low going forward, a feed-in-tariff (FIT) is perhaps the only way to create the incentive. That would be a pity because factoring in actual costs could create the incentive to migrate existing liquid fuel generation economically. A lot also depends on how the Independent Power Project (IPP) sector evolves; today, if you get a license as IPP in Saudi Arabia or even other GCC countries, you are expected to generate with liquid fuel – diesel or HFO. But if you consider their actual costs, it might cheaper to use renewable energy.”

coverstory FEATURE

FEATURE coverstory

●● 8,000 MT polysilicon plant, Ras Laffan, Qatar ●● 1 MW Roof Solar PV project, Al Assimah, Kuwait ●● 3,350 MT Polysilicon Plant, Jubail Industrial City 2, KSA ●● 70 MW Shagaya Renewable Energy Complex, Kuwait

Solar positive

While the region’s solar ambitions must cross a few hurdles, there are several positive factors that favour the development of a solar industry. First, the region has become adept in absorbing technology. Global players like GE, Siemens and ABB are signifying their commitment to the region by investing in facilities here. In the petrochemical space, for example, technology imports are being used for creating processes for downstream industry. Supporting policy, regulations and infrastructure can help replicate this experience in the solar industry as well. Second, the region is adept in structuring successful partnerships. Third, governments are paying a lot of attention to encouraging local industry which benefits the solar industry. For example, solar energy is one of the five

Aug/Sept2012

PROJECT TRACKER

FEATURE coverstory

●● 30,000 m3/day Al Khafji Solar Powered Desalination Project, KSA ●● 280 MW Al Abdaliyah Integrated Solar Combined Cycle (ISCC) Project, Kuwait ●● Yanbu Polysilicon (10,000 tonnes/year) & Solar Wafer Production Plant (2,500 tonnes.year) Project, KSA ●● 10 MW Solar PV Project, Sheikh Mohammed Bin Rashid Al Maktoum Solar Park Project, Phase 1, Dubai

industrial clusters identified by Saudi Arabia under its National Industrial Clusters Development Programme (NICDP). The kingdom has earmarked 78% of its total renewable energy spending programme up to 2030 on localisation, shared between services (56%) and manufacturing (22%). The solar value chain stretches from manufacturing to services (the latter includes design, engineering, assembly, installation, and Operation & Maintenance). Bhargava elaborated: “Our own analysis found that that in the Solar PV chain, modules could be 50-55% of the total cost, services and electrical approximately eight per cent each, inverters at seven per cent and substations at nearly 15-16% - all this is easily replicable in the local industry. In the case of CSP, Engineering, Procurement and Construction (EPC) services are between eight to 10% of the total cost; other key components with local potential include collector structures, heat transfer fluids, absorber tubes, power blocks and mirrors. Overall, the largest value chain development opportunity is in services.” Saudi Arabia and Qatar have been quick to launch projects for manufacturing polysilicon, a key raw solar industry material used to make wafers, cells, solar modules and panels. Polysilicon is refined from sand, which is in abundance in the region. Moreover, it is a very energy-intensive process (with energy accounting for over 30% of the total production cost) and thus fits in with the region's economic diversification strategy. However, before venturing into integrated value chains, governments should assess whether their market can support that. Alberich explained: “In the case of Dubai, for example, it would be logical to use available technology to set up assembly capacities for modules. The potential for Saudi Arabia in terms of developing an integrated value chain is much higher. In the interim, he suggests that the region could take

Aug/Sept 2012

advantage of low global market prices and migrate some of their liquid based generation capacities to renewable energy. “Developing a fully integrated value chain should be a parallel but long turn agenda. I don’t see any real hurdle there because the raw material is very much available here,” he opined. Some of the countries are also pursuing capacity building actively. “We see more and more universities, academics and commercial ventures focussing on renewable energy, which means that knowledge is coming to the region,” said Alberich. “Masdar Institute in the UAE, King Abdulaziz City for Science and Technology (KACST) and King Abdullah University of Science and Technology (KAUST) in Saudi Arabia are developing into regional knowledge hubs for solar. On the joint venture front, notable ones include the Saudi Aramco-Phoenix Solar JV and the Torresol Energy JV between Masdar and SENER, with latter already running solar power plants in Europe. Qatar Foundation is spearheading the country’s foray into solar through the QStec joint venture. European and American companies keen to grab slice of the market are deploying their best brains here.” On the commercial front, Alberich sees the industry structure developing on the same lines as in Europe. He continued: “While CSP is still in the hands of large players, typically integrated utilities or large EPC contractors or technology companies developing the knowhow, the solar PV sector is characterised by smaller players specialising in different stages of the value chain. In the region too, such a scope exists–companies can chose to import the cells, carry out model design, make the frames and assemble the systems instead of getting into the integrated game right away. I am sure there will be integrated capacity in the region, but there is no definition of who is going to make what as yet.” Bhargava argues that the development of solar industry in the

region could also make the region an exporter of EPC services for solar power projects. He elaborated: “Over the long term, if the world starts looking at renewable energy seriously, I doubt there are enough EPC companies in the world to meet that surge in demand. The EPC industry knows how to spread itself geographically, the best examples being the US, Korean and even Indian and Chinese EPC contractors who operate in this region. So why can’t this region have a solar industry specialised EPC workforce which is exportable?” The positives apart, the to-do list for the GCC countries is a long one. Many companies that Frost & Sullivan has spoken to have admitted they are waiting for a clear direction. “No country in the region has a clear announcement on where they stand today,” rues Bhargava. “We don’t know the level of policy framing that has taken place. It is good to have programmes like the NICDP; however, for industries to come in, they need clarity on the direction they have to move.” While Abu Dhabi continues to lead the migration towards renewable energy in the GCC, both Bhargava and Alberich feel that Saudi Arabia could emerge as the poster child of GCC’s solar ambitions, provided the kingdom is able to implement its plans on the ground. “Saudi Arabia has the demand, it ihas the potential for local industry,” said Bhargava. “It has got organisations like Saudi Aramco, KAUST and KACST focussing on developing the sector. Saudi Electricity Company (SEC), which is main power utility in the country is undergoing a restructuring, so it is the perfect opportunity for change. If Abdullah City for Atomic and Renewable Energy (K.A.CARE) is allowed to do what it has set out to do, the region as a whole will overachieve.” “K.A.CARE has a credible plan to develop renewable energy sector in the kingdom,” concurred Alberich. “They are talking about what is needed with a 2030 horizon with solar playing a crucial role.”

Aug/Sept2012

Urban farming or more pragmatically – bringing together agricultural and residential areas – is the most important mosaic piece.

Effect

Solution mosaic

An unconventional perspective of water management solutions for the Arabian Desert eco-region

Potential

Contra

Limit

Outsourcing

Immediate savings, respectively import of Virtual Water.

80% savings of national water use, a massive Virtual Water pipeline.

Insecurity, dependency, injustice caused by land grabbing.

Size of fossil water aquifers that are used in North Africa and elsewhere.

Reuse

Double use of desalinated water.

~100 m³ of water per capita and year.

Not as efficient as closing cycles in residences and greenhouses.

Size of population, same limits of initial desalination.

Saltwater

Access to the largest source of water on the planet.

Theoretically (long term) unlimited, practically limited by recharge of Gulf for sustainment of salinity*

No disadvantages for Energy required for groundwater, Gulf water inland/uphill transport has certain levels of toxins of water. from desalination units.

thehub FEATURE

FEATURE thehub

concept

Table 1: Quality aspects of solutions that are already being realised The potential of the two Gulfs to provide water for biosaline agriculture (saltwater-based aquaculture) can be sustained through the withdrawal of hyper saline water from the most critical areas in the Gulf. This water must undergo full desalination by means of open-pond evaporation for example. Such procedure would have the effect of a natural outflow of the Gulf.

By Nicol-André Berdellé

audi Arabia and the UAE have distinguished themselves through implementation of solutions for water scarcity. While supply of natural water resources in the Arabian Desert is continuously running short, a few first remedies have been successfully implemented. These remedies are not immediately apparent or even visible, but can be gauged by the achievement of desert-greening in urban areas as well the well-sustained growth of population and industry. These remedies are namely outsourcing of agricultural production to other countries, reuse of wastewater for urban greening and shift to saltwater use for all sort of irrigation, agriculture included . However, these remedies also come at a high financial cost and critical disadvantages for the strategic development of the region.

Aug/Sept 2012

Therefore, they can only be seen as a first generation of quick and limited solutions. The fundamental practice of seawater use through Reverse Osmosis (RO) is not considered here, because it is part of the basis for the regions’ existence and not new. Most notably, this option has already hit its natural limits and should by all means not be expanded any further. The loss of marine life and mangrove swamps in the Arabian Gulf cannot be part of a scenario which is acceptable. A dead body of water, stinking and loaded with waste, right at the shore, would reduce the living conditions in the area so much that it would have serious impact on the realestate market and the tourism industry. The use of fossil-water too is not considered because it is no solution in that sense, just an old practice.

Moreover, only few areas in Saudi Arabia still have sweet ground water including natural recharge (the three solutions highlighted here are sustainable). The outsourcing of the agricultural industry causes an immediate effect, but takes years to commence. The remedy of reuse causes an immediate savings effect but requires no implementation time at all. The shift to a saltwater-based agricultural industry takes decades. It started 40 years ago with the reintroduction of mangroves in Abu Dhabi. These areas cover about 11,000 hectares now and constitute a high-productive life-support system for the region. When salt-water based aquaculture or mariculture starts to grow in the area, these mangrove ecosystems will be in place to clean the nutrient-rich

wastewater from the growing number of mariculture facilities. This will also increase the mangroves growth rate. The amount of reused water from a million residents is sufficient for irrigation of 100km² of desert with fruit trees . This simple coefficient shows that the great vision of Sheikh Zayed can become a reality by continuation of the cleverly managed urban sprawl and incidental desert-greening done already. The quality of water from modern treatment facilities is so high that irrigation of food-crops is being recommended by experts and authorities. In several cities around the globe, like Singapore, water treatment is so advanced that wastewater is already reused as potable water. As a matter of fact, all cities downstream of one another use river water, partly coming from treatment plants, to retrieve fresh-

water for their local water grits. Once the vast desert-greening achievements with parks and other amenities are turned into food-producing greens, most problems of water and farming will be solved. Even in countries without water shortage, micro-farming and urban-farming are seen as the M-theory (theory of everything) of the food- and water crisis. Speaking of mosaic pieces of an overall water solution, urban farming or more pragmatically – bringing together agricultural and residential areas – is the most important mosaic piece. The experimental science of permaculture (advancement from the science of agro-ecology) describes such measures as ‘stacking functions’, a key strategy of nature for maintaining highly resource-efficient systems -integration. But this article intends to give a quick

overview of all significant water solutions. Although the remedies in place comprise a sufficient overall solution and have the potential to do so ultimately or on the long run, there will be progress. Better solutions with lesser disadvantages, less cost and higher efficiency will take their place.These next generation water solutions must include full desalination of seawater and brackish groundwater. Full desalination converts one m³ of saltwater into one m³ of freshwater, thereby avoiding brine discharge into the ecosystem of the Gulf. Full desalination also allows for inland operation, which is important to release the shoreline from the burden of the ugly and large industrial complexes: The coast must be reserved for salt-water based agriculture, aquaculture, tourism and the highproductive mangrove ecosystems .

Aug/Sept2012

concept FEATURE thehub

Effect

Contra

Limit

Unlimited if cycles are 100% closed.

Costly if high-tech.

By energy use if high-tech.

Virtual water Water import from Pipeline areas of abundance.

Depends on type of product imported.

Insecurity, dependency…

Global demand for products.

Full Desalination

Unlimited

Land-requirement in coastal areas*

Closed Cycles

Multiple reuse of primary water.

Bo brine discharge

The second edition of Water Leakage Summit Middle East will once again bring stakeholders from the region’s water sector to explore and discuss current issues, best practices and regulations for leakage reduction.

Table 2: Second generation solutions Solar or other full desalination can be done inland where vast land-requirement is a positive factor (desert-reclamation). Only the retrofitting of existing desalination plants will cause open pond evaporation facilities, or other full desalination methods, in the vicinity of the coasts.

A question that remains is smart concepts that cover all of the second generation solutions. To sum it up, this would mean bringing urban areas and agriculture together and devise a system that charges with seawater-farming or biosaline agriculture, employs full desalination, with state-of-the-art water treatment and closed cycles. The elements for this exist. Such concepts can be realised in buildings, greenhouses, city-districts, agricultural areas and more. But there are few companies capable of Multi-Disciplinary Engineering. Of shame to scientists and engineers is that fact it is often architects who try to work out such smart concepts. They have the right vision at least! The latest example is a Russian architect who announced a self-sufficient arctic city for miners and explorers. Of course, there is no further information about the functionality of the inherent greenhouses and lifesupport systems available. Appropriate solutions for Saudi Arabia and the UAE mostly come from companies who offer concepts for new types of greenhouses with additional functions or new types of buildings with inherent micro-farms. An example is the ‘Integrated Biotectural System’ from TS Prototype Creation (IBTS).

Potential

Aug/Sept 2012

Join us for a two-day summit packed with

presentations, panel debates, and workshops to discover practical approaches suited to the region’s specific requirements. Learn about innovative financing models, while celebrating the sector’s achivements.

21-22 November The Address Dubai Marina Dubai, UAE The IBTS is a concept based on a new greenhouse design. The structural system is that of a tent (see tensile architecture). Tents are the best structural archetype for resistant buildings, also for large volume buildings (in contrast to buildings with great height). The geometry of a tent is particularly suitable for greenhouses in hot arid-regions, because the ‘Ras alKhaimah’ (head of the tent) turns the air into a potent water-source (much unlike other atmospheric water generators that require about 200x the amount of energy for fresh-water production that desalination does). This amazing new type of structure hosts all of the second

generation solutions mentioned above. It has been adapted to the Hajjar mountains, the Rub`al Khali (Lima region) and the Nile-Delta so far. The conclusion: Water provision in Saudi Arabia appears viable, even in a future when water demand is much higher and fossil ground water is depleted. This conclusion is not ignorant of the underlying energy issue, but the energy topic would not fit into this short essay. Nevertheless water solutions are a function of energy availability. For this reason there will be a part two of this article dealing with alternative nuclear energy and others alternative already in place.

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Aug/Sept2012

"In more recent times, however, a more typical ‘pinpointer’ has embodied a specially designed ground microphone and an amplifier that delivers amplified signals from the microphone to headphones worn by the user"

Pinpoint precision Pinpointers that combine acoustic and electromagnetic detection with ground microphones take cable fault detection to a new level. By Allen Joyce

able fault locators that incorporate high- energy pulse generators and sophisticated Time Domain Reflectometers (TDRs) are an invaluable tool for the power engineer working on underground cable systems. Used correctly, these test sets will allow the distance to the fault to be determined with a good level of accuracy, while preserving the cable from unnecessary additional damage. That’s not quite the end of the story, however. It’s all very well knowing that the cable fault is shown at 53 metres on the TDR but, if as is often the case, the exact details of the cable route or installation is unknown. Therefore knowing the length of the buried cable, as shown on the TDR, is not sufficient on its own to allow precise or pinpoint location of the fault to determined. Over the years, numerous methods have been employed to address this shortcoming, the most popular of which have involved listening for the characteristic audible noise (thump) produced by the flashover at the fault location when the cable is subjected to a surge from the high-energy fault locator. Devices as simple as a wooden stick, with one end in contact with the ground and the other pressed to the user’s ear, have been used as aids to detecting and locating the thump. In more recent times, however, a more typical ‘pinpointer’ has embodied a specially designed ground microphone and an amplifier that delivers amplified signals from the microphone to headphones worn by the user. The idea is that the operator moves the microphone over the ground in what is believed to be the vicinity of the cable fault, and attempts to position it for the loudest thump in the headphones. In a perfect world, this would mean that the microphone was directly above the fault in the buried cable. Unfortunately, things are never quite that straight forward and simple acoustic detectors of the type described, while still in widespread use, have numerous shortcomings.

Aug/Sept 2012

The fault is located by looking for the minimum time between the arrival of the acoustic and electromagnetic signals

Sometimes the acoustic noise produced by the fault is small, and in these cases it can take a lot of trial and error before the pinpointer is close enough to the fault to hear anything at all. In addition, the maximum level of acoustic noise may not necessarily correspond with the fault location, especially if the cable is conduit or trunking that can conduct the noise efficiently to a point remote to the fault. To address these shortcomings, some manufacturers of pinpointers have devised instrument that, instead of an acoustic microphone, incorporate an electromagnetic detector that responds to the RF radiation emitted at the flashover created at the fault location by the HV surge. Such detectors typically have greater range than acoustic types, so it’s much easier to detect a signal; however, without knowing the level of the electromagnetic signal, it is impossible to pinpoint the exact location of the fault. They can get you into the vicinity of the fault, this may be useful but it is not really the object of the exercise. A shortcoming shared by simple acoustic and electromagnetic detectors is that they mislead the operator. When the signal strength increases, for example, does this mean that the operator is moving at angle toward the cable, or directly along the cable in the direction of the fault? These sorts of uncertainties mean that considerable skill and experience - allied, possibly, with a bit of luck - are needed to get good results with simple pinpointers, however attractive they may at first appear.

As might be expected, this had led to the development of more sophisticated instruments, with some types offering both acoustic and electromagnetic detection and an indication of the received signal strengths. Such pinpointers are a step forward - except, in the case of those that use separate acoustic and electromagnetic pickups - especially as they can provide the relative distance to the fault by evaluating the time difference between the arrival of the electromagnetic and acoustic signals. They’re not a complete answer as they still don’t provide any form of indication of whether the user is walking along the cable route or at an angle to it. Recently, this issue has also been addressed by the introduction of new cable-fault pinpointer that has an acoustic pickup plus two electromagnetic detectors built into one ground microphone. The electromagnetic detectors are directional and are arranged so that their directions of maximum sensitivity are at right angles to each other. This means that by comparing the way the signal strength seen by each detector varies as the pinpointer is moved, the user can easily work out the direction they are moving in relation to the cable route. It then becomes a simple matter to find the cable and align to its route. Naturally, this new pinpointer incorporates facilities for evaluating the time difference between the acoustic and electromagnetic signals it receives, and this allows the fault location to be found with a high degree of accuracy, even in ‘difficult’ installations. The key is that the fault is located not by looking for the maximum level of the signals which can be misleading, but by looking for the minimum time between the arrival of the acoustic and electromagnetic signals, which is in an infallible indicator of the fault location. This new pinpointer – the Megger MPP2000 – also incorporates many additional refinements, including a userconfigurable filter for the acoustic signal to make it easier to hear when in the presence of background noise, and an LED indicator to show instantly when the instrument is within range of the electromagnetic signal from the fault. As would be expected from a Megger product, the MPP2000 is robust yet lightweight and easily portable, and it is supplied with a rugged, but lightweight, ground microphone that incorporates the acoustic pickup and the two electromagnetic detectors. Being competitively priced and, given the costs that are associated with prolonged cable outages, particularly in utility applications, it makes it an investment that’s very easy to justify. And don’t forget these features help to remove prolonged operator stress! (The author is HV and Cable Fault Location Product Manager, Megger)

Aug/Sept2012

electricalreview FEATURE

FEATURE electricalreview

productfocus

Goulds water technology

New Variable Speed Pump controller

oulds Water Technology, a Xylem brand, has launched a new variable speed pump controller. The Aquavar SPD Plus has been developed specifically for commercial above ground centrifugal and submersible well systems. According to a press release issued by the company, the SPD Plus adjusts motor speed to match the hydraulic needs of the system and maintain pressure, substantially reduces energy draw during lower flow and allows the pump to run at its highest efficiency. Additional features, listed in the release, include: ●●Easy Set-up – a pre-set for submersible or surface motor

Lanxess

New RO membrane elements

pecialty chemicals company LANXESS has launched five new types of Lewabrane membrane separation elements for Reverse Osmosis (RO). Currently, HR (high rejection) types with membrane surface areas of 370 and 440 square feet and HF (high flow) types with membrane surface areas of 370, 400 and 440 square feet are available. Alan Sharpe, head of the RO Membrane Strategic Project in LANXESS's Ion Exchange Resins business unit said: “Our HR type

Aug/Sept 2012

characteristics and pre-wired and tested transducer. Total set up time is less than 30 minutes. ●●True Motor Match – The SPD Plus is rated for the higher amp requirements typical of submersible pumps. ●●Dual Phase Input – 230V drives can be used on either three phase or single phase power supplies. Drives are UL listed for either configuration. ●●Flexible enclosure offerings NEMA 1 and 3R – Outdoor rated enclosures rated to 122°F (50°C), without derating the drive and indoor rated enclosure providing flexibility for use indoors or mounting within a user supplied enclosure. ●●Remote Monitoring – External monitors may be connected to the drive

elements are designed to provide extremely low salt passage in normal operation, with more than 99.7% salt rejection measured under standard conditions. The high rejection for critical ions like silica is also remarkable.” The Lewabrane RO product types consist of spiral wound polyamide composite membranes specially designed for treating water in industrial applications. Fields of application include the desalination of brackish and low-salinity waters, groundwater remediation and the production of boiler feed water required in power stations. The RO technology also facilitates demineralisation by particle removal in microchip manufacture. The elements in the Lewabrane RO product family have a standard length of 40 inches (1,016 mm) and a diameter of either eight inches (201 mm) or four inches (101 mm). The press release pointed out that Lewabrane B090 HF 4040, the membrane element with a diameter of four inches, has a unique anti-telescopic device (ATD) design. It claimed that thanks to a structure with ATDs at the

Designed for multiple applications, the Aquavar SPD Plus can be used for applications such as: ●●Irrigation ●●Agriculture ●●Commercial Building Booster ●●Rural Water Systems ●●Upgrades and Retrofitting “The Aquavar SPD Plus now extends our Single Pump Drive product range to 100HP. This provides a solution for installers who specify or install pumps for rural residential home owners and residential home owners who want to improve/increase their water pressure during peak times,” said Kyle Schoenheit, Senior Product Manager, Xylem. To learn more about the Goulds Water Technology Aquavar SPD Plus visit: www.bit.ly/AquavarSPDPlus.

ends of the elements, surface area of the membranes exceeds that of other commercially available elements by almost six per cent, resulting in higher water productivity. The permeate flow rate, the press release continued, is 9.4 m3/day on average under standard conditions, with a salt rejection of 99.5%. “The combination of membrane filtration and ion exchange ensures that efficiency and economy can go hand in hand in industrial applications,” said Sharpe. Since the group offers both technologies, such process combinations are particularly attractive. “Our tried and tested Lewatit ion exchange resins and the new Lewabrane membrane elements can provide good cost performance, for example in the preparation of feed water for downstream EDI applications.” The membrane elements provide a stable lower-salinity permeate to minimise the load in downstream ion exchange and electrodeionisation (EDI) operations, thus improving the cost-performance ratio. The detailed descriptions of Lewabrane RO elements can be found online at www.lewabrane.com

calendar2012 10-12 SEPTEMBER

Abu Dhabi

UAE Hydrocarbons EPC Projects Organised by MEED, the event will cover opportunities in the hydrocarbons project developments due to the offshore early production facilities investment in Abu Dhabi, opportunities in TAKREER’s Flare recovery, carbon black and marine works programmes, onshore projects in Abu Dhabi’s North East Bab (NEB) oil fields and the next round opportunities, procurement models and cost strategies for brown-field projects, EPCM contracts, projection for raw materials and costs and new developments in hybrid forms of contracts and general mix of EPC contracts.

Contact: Jubida Kulangarath Tel: +971 4 390 0699 Fax: +971 4 390 0699 E-mail: jubida.kulangarath@meed-dubai.com URL: www.meedconferences.com/uaeepc/

24-26 SEPTEMBER Arabian Water & Power Forum

Erbil

Energy Iraq 2012

The 2012 edition of the show will gather a larger number of exhibitors from around the world to showcase a comprehensive range of electricity, alternative energies, lighting, water technology and HVAC products and solutions in a more segmented format. The exhibition will be held concurrently with Project Iraq 2012, the 5th International Exhibition for Construction and Environmental Technology, Materials & Equipment which welcomed in 2011 close to 400 exhibitors from 20 countries. The event will take place at Erbil International Fair Ground in Erbil, Kurdistan Region.

Contact: IFP Iraq Tel: +961 5 959111 Fax: +961 5 959888 E-mail: info@elenex-iraq.com URL: www.elenex-iraq.com

Dubai

Arabian Water Power Forum & Exhibition is being held under the patronage of H.H. Sheikh Mohammed Bin Maktoum Bin Juma Al Maktoum. The event will comprise of two-day exhibition, two-day forum and a half-day Technical Seminar. Through innovative panel discussions, roundtables and case studies showcasing the leading development within strategic and technical innovation, AWPF will provide the forum required for shaping the expansion of a knowledgebased economy that will create a basis for the future of the water and power industry.

Contact: The CWC Group Tel: +44 20 7978 0000 E-mail: enquiries@thecwcgroup.com URL: www.cwcawpf.com

17-20 SEPTEMBER

calendar EVENTS

FEATURE productfocus

marketplace

for monitoring pump speed (4-20 mA output based on speed), pump run, and system fault. ●●No Water Restart – The SPD Plus has the capability to adjust the time delay in between each “dry well” fault. Adjustable from 10 minutes to one hour between restarts compensates for wells with slow recovery rates.

8-10 October

Abu Dhabi

Power + Water Middle East 2012

Power + Water Middle East 2012, held in partnership with Abu Dhabi Water & Electricity Authority (ADWEA), co-located with INTERMAT Middle East 2012 and with ADCCI as a strategic partner, is a premier event for showcasing power and water related products and services. It provides a platform for professionals from these industries to interact with a number of the world’s leading companies and organisations. Sectors represented in the exhibition include Power Generation, Transmission & Distribution, Automation & Controls, Research & Technology, Energy Efficiency, Water & Waste Water Treatment, Water Management & Distribution, Instrumentation & Process Control and Water Conservation. Highlights from 2011 include over 3,500 registered visitors, 52 visitor countries, 121 exhibiting companies and 26 exhibiting countries.

Contact: Latha Ravi Tel: 971 4 4072611 Fax: 971 4 335 3526 E-mail: latha.balasubramanian@informa.com URL: www.powerandwaterme.com/ Aug/Sept2012

tenders&projects PROCUREMENT updates

Project Name Mirfa IWPP Project Description Build-Own-Operate (BOO)

Posting Date Period Tender Type Terretory Client

Consultants

Status Last Updated Tender Categories Remarks

Aug/Sept 2012

contract for the design and execution of an independent water and power plant (IWPP) in Mirfa. December 6, 2009 2015 Project Abu Dhabi Company Name: Abu Dhabi Water & Electricity Authority (ADWEA) Address: ADWEA Building, Al-Falah Street Pin: 6120 City: Abu Dhabi Country: United Arab Emirates Tel:(+971-2)6271300/6943333) Fax:(+971-2)6267725/6266089) Website:http://www.adwea.gov.ae Financial Consultant Company Name: HSBC Bank Middle East Limited (Abu Dhabi) New Tender July 8, 2012 Power Plants & Alternative Energy Updated On : July 8, 2012 Client has issued an Expressions of Interest (EoIs) to provide a developer partner on this scheme. A developer or developer consortium is sought 40% of a special purpose vehicle to be incorporated for the IWPP, the remaining equity will be held by the client. The project will comprise: 1. Purchase, ownership, operation and maintenance (O&M) and financing of certain existing assets of Mirfa Power Company 2. Ownership, development, financing, construction, operation and maintenance (O&M) of a 1,000 MW Greenfield power generation plant and a 30-MIGD reverse osmosis desalination plant 3. Installation of four 100 MW open cycle gas turbines and

integration of certain existing assets (3X7.5 million g/d desalination units) into the new plant. Last date to submit Expression of Interest will be on July 15, 2012. After Eols has been received, a request for qualification will be provided, with additional details regarding the project and the bidding process. Deadline for statements of qualification will be on September 10, 2012.

Project Name Shagaya Renewable Energy Description

Posting Date Tender Type Terretory Client

Consultants

Status Last Updated Tender Categories Remarks

Complex Project Engineering, procurement and construction (EPC) contract to build a 70MW renewable energy complex at Shagaya. November 3, 2011 Project Kuwait Company Name: Ministry of Electricity & Water (Kuwait) Address: Ministry of Electricity & Water Bldg., South Al Surra Street, Ministries Area Pin:12 City: Safat - 13001 Country: Kuwait Tel:(+965)25371000) Fax:(+965) 25371420/1421/ 1422) E-mail:webadmin@energy.gov.kw Website:http://www.energy.gov.kw Financial Consultant Company Name: Fichtner Gmbh & Co. KG (Germany) Main Consultant Company Name: Lahmeyer International GmbH(Germany) New Tender July 4, 2012 Power Plants & Alternative Energy This complex will be developed in north of Kuwait, near the Iraqi border and comprise a 10 MW photovoltaic solar plant, a 10 MW wind farm and a 50 MW concentrated solar power facility using trough Aug/Sept2012

tenders&projects PROCUREMENT updates

Project Name Electrostatic Precipitator Description

Tender Cost Closing Date Posting Date Tender Type Terretory Client

Aug/Sept 2012

& Conveyor System Rehabilitation Works Carrying out rehabilitation of electrostatic precipitator and conveyor system for a water authority. 270 September 12, 2012 May 16, 2012 Tender Service Saudi Arabia Company Name: Saline Water Conversion Corporation - SWCC (Saudi Arabia)

Status Last Updated Tender Categories

Remarks

Address: Pin: 85369 City: Riyadh 11691 Country: Saudi Arabia Tel: (+966-1) 463 1111/ 463 4546/ 463 0503 Fax: (+966-1) 464 3235/465 0852 E-mail: info@swcc.gov.sa Website: http://www.swcc. gov.sa New Tender July 24, 2012 Power Plants & Alternative Energy July 24, 2012 Tender closing date has been extended from the previous deadline of July 08, 2012. Tender result date will be on September 12, 2012. May 16, 2012 Tender No. MT-682 This tender service is in Saudi Arabia. Tender documents can be obtained from: Procurement Department, Saline Water Conversion Corporation Riyadh, Saudi Arabia. Tender result date will be on July 08, 2012.

Status Last Updated Tender Categories Remarks

Project Name O/H Line Extension & Description

Tender Cost Closing Date Posting Date Tender Type Terretory Client

Transformer Installation Carrying out extension of 33kV overhead (O/H) line and installation of 1x500kVA and 1x1000kVA-33/0.433kV ground mounted transformer to feed power supply to the crusher unit for an electricial company. 120 August 14, 2012 July 24, 2012 Tender Service Oman Company Name: Rural Areas Electricity Company (Oman) Address: Subsidiary of Electricity Holding Company S.A.O.C Pin: 850 City: Mina Al-Fahal PC 116 Country: Oman Tel:(+968) 2469 5162 / 2447 3251

Fax: (+968) 2469 5311 Website: http://www. ehcoman.com New Tender July 24, 2012 Power Plants & Alternative Energy Tender No. RAEC-44/2012 This tender service is at Al Duqm Wilayat in Wusta Governorate of Oman. This tender is open to Specialised companies registered with Tender Board, DCRP & Client with Grade B & above. Tender documents can be obtained from: Procurement Department, Rural Areas Electricity Company Al-Khuwair, Oman Tel: (+968) 2447 3200. The last date to purchase tender documents is August 07, 2012. The Tenderer should enclose a Bank Guarantee issued by any bank in the Sultanate of Oman for an amount equivalent to 1% of the tender value with a validity of (90) days from the date of submission and addressed to the Chairman of Internal Tender Committee, Rural Areas Electricity Company (S.A.O.C). Completed tenders should be deposited in the tender box at RAEC main office, Al-Khuwair before 1:00 pm on the closing date. Preference shall be given to the bidder who gives priority to national products in his offer.

Project Name Detectors-21 Description Supply of partial discharge Tender Cost Closing Date Posting Date Tender Type Terretory Client

detectors to a Government authority. 140 September 2, 2012 July 23, 2012 Tender Supply Qatar Company Name: Qatar General Electricity & Water Corporation (Kahramaa)

Status Last Updated Tender Categories Remarks

Address: Corniche Street, Dafna Area Pin: 41 City: Doha Country: Qatar Tel: (+974) 4484 5484/ 4484 5555 Fax: (+974) 4484 5496 E-mail: kmcontact@km.com.qa Website: http://www. kahramaa.com.qa New Tender July 23, 2012 Power Plants & Alternative Energy Tender No. LTC/598/2012 This tender supply is in Qatar. Tender documents can be obtained from: Materials Department, 1st Floor, Qatar General Electricity & Water Corporation (Kahramaa – 2) Dafna, Qatar. Tel: (+974) 4484 5555. Last date to purchase tender document is August 02, 2012. Documents should be submitted in sealed envelopes addressed to Secretary, Limited Tenders Committee. The closing date and the tender number should be clearly written on the envelope. Completed tenders should be submitted at the 35th Floor, Limited Tenders Committee, Building No. 2, Dafna. Bid bond is QR 115,000 valid for 120 days issued by a bank operating in Qatar. Offer should be valid for (90) days from the closing date. Following documents to be produced to collect the tender documents: • Copy of commercial license • A mandate from the company • Valid ID Card • Company Stamp.

updates PROCUREMENT

technology. The project is being implemented in joint venture with Kuwait Institute for Scientific Research (KISR). A tender for the EPC contract will be launched by the end of 2011 or early 2012. Contracts may be awarded for separate components of the scheme or as a single contract for the 70 MW project in its entirety. The 10 million square metre site at Abdeli has potential to be expanded to 500-1,000 MW of renewable energy capacity at a later date. Germany’s Lahmeyer is advising on the project. Updated On : July 4, 2012 It is understood that client has moved the location of the scheme from Abdeli to Shagaya. According to client, the Shagaya site is deemed preferable because it has less dust exposure. Scope of the project will remain same, which comprise a 10 MW photovoltaic solar plant, a 10 MW wind farm and a 50 MW concentrated solar power facility. Each of the facilities will be tendered separately. Tender process is expected to be launched in October 2012, which was originally planned in September 2012 delayed due to Ramadan and Eid holidays.

Project Name Pump Station Construction Project - Stage 3 & 4 Description Engineering, procurement and construction (EPC) contract to build a seawater cooling boost

Aug/Sept2012

PROCUREMENT updates

tenders&projects Tender Cost Closing Date Posting Date Period Tender Type Terretory Client

Status Last Updated Tender Categories

Remarks

Aug/Sept 2012

pump station with a capacity of 80,000-cubic metre per hour with all associted facilities Stage 3 & 4. 8,935 August 26, 2012 July 4, 2012 2015 Project Saudi Arabia Company Name: Royal Commission for Jubail & Yanbu (Saudi Arabia) Pin: 30031 City: Yanbu Industrial City Country: Saudi Arabia Tel: (+966-4) 321 6000 Fax: (+966-4) 321 3402/ 396 8001 E-mail: tajuddin@rc-ynb.com Website: http://www.rcjy.gov. sa New Tender July 23, 2012 Power Plants & Alternative Energy Construction & Contracting Sewerage & Drainage Water Works Updated On : July 23, 2012 It is understood that EPC contract is expected to be awarded in the fourth quarter of 2012. Project completion is expected in 2015. Tender No. 065-C48 This project is at Jubail in Saudi Arabia. The project comprises site development, a seawater cooling pump station intake structure, booster pumps, control building, electrical buildings, distributed control system, emergency shutdown system, instrumentation works, fibre optic network, electric power supply, guard house, manifold structures, valve chambers, flow chambers, fire water system including tanks and pumps, potable water system, industrial waste water system, sanitary waste water system, fiberglass reinforced plastic (FRP) piping distribution

network including fittings and valves, security fencing, gates and all associated works. Tender documents can be obtained from: Supply Management Department, Contract Section, Royal commission for Jubail & Yanbu PO Box 10001, Madinat AlYanbu Al Sinaiyah-31961, Saudi Arabia. Tel No: (+966-3) 341 4127 / 63 Fax: (+966-3) 341 2201. A pre-bid meeting will be held on July 08, 2012.

Project Name Consultancy Services-1597 Description Provision of consultancy

Closing Date Posting Date Tender Type Terretory Client

Status Last Updated Tender Categories Remarks

services comprising solar home system advice as the off-grid component of a Rural Energy Access Project. August 29, 2012 July 19, 2012 Tender Service Yemen Company Name: Ministry of Electricity & Energy (Yemen) Address: Amran Road, Sofan City Pin: 11422 City: Sanaa Country: Yemen Tel: (+9671) 231458 Fax: (+9671) 231457 E-mail: sanepp@yahoo.net.ye Website: New Tender July 19, 2012 Power Plants & Alternative Energy Tender No. REAP/S3 This tender service is in Yemen (Project ID: P092211). The scope of the work involves but not limited to: 1. Assist in market study and development, household survey and consultation, development of a pipeline of suitable project proposals and implementation of the viable

Aug/Sept2012

T H E

F L I P

S I D E

“Being an environmentally responsible oil and gas operator requires that we understand the offshore environment we work in,”

THE GREAT TURTLE RACE T

he Dubai Electricity and Water Authority (DEWA) recently sponsored the tagging of eight hawksbill turtles with wireless transmitters to compete in the Great Gulf Turtle Race. As an awareness initiative, EWS-WWF launched a symbolic virtual race that reports the distances these wild marine turtles are swimming in an interactive race board on www.gulfturtles.com. The race lasted for four weeks starting 12th June and ending on 12th July. “The sponsorship and support to the EWS-WWF Marine Turtle Conservation project is an integral part of DEWA’s environmental strategy, raise awareness for environmental safety, and follow environment-friendly practices to conserve our natural resources for generations to come,” said H.E. Saeed Mohammed Al Tayer, MD & CEO of DEWA. The EWS-WWF Marine Turtle Conservation project is using satellite tracking technology to research the migration patterns of hawksbill turtles and identify their foraging grounds for post-nesting. During the past three years, the team has fitted 75 hawksbill turtles with wireless transmitters to track their movements. The project aims to share the data and analysis with relevant authorities to guide effective conservation plans for this endangered species as per the International Union for Conservation of Nature listing (IUCN). Khawla Al Mehairi, Vice-President Marketing and Corporate Communications at DEWA said: “This initiative is part of DEWA’s social responsibility, which focuses on preserving the national identity and Emirati culture.” Interestingly, the names of the eight turtles - Loulua, Al Jyoon, Al Fareeda, Al Dana, Al Durra, Hassa, Gumasha and Jumana – were based on traditional pearl names.

Aug/Sept 2012

Whale sharks are identified by spot patterns that are unique for each individual. 107 of the world’s largest fish were studied during two weeks in June 2012 off the Al Shaheen oil field.

The Qatar Whale Shark Research Project is a joint collaboration between the Qatar Ministry of Environment and Maersk Oil Research and Technology Centre.

A whale shark feeds off the Al Shaheen oil field, 150 kilometres north of Doha, Qatar.

QATAR

PROTECTS

WHALE SHARKS

he Al Shaheen offshore oil field in Qatar, located approximately 150 kilometres north of Doha, has become the site of a ground breaking research project dedicated to studying whale sharks in the Arabian Gulf. The field is operated by Maersk Oil on behalf of Qatar Petroleum. The Qatar Whale Shark Research Project is a joint collaboration between the Qatar Ministry of Environment and Maersk Oil Research and Technology Centre (MO-RTC), with the objective of establishing a long-term monitoring programme that can provide pioneering information about the population and ecology of the world’s largest fish. The Al Shaheen oil field hosts one of world’s largest congregations of whale sharks during the summer months. A two week survey completed in June

A transmitter is attached to track the whale shark’s movements in the Arabian Gulf and beyond.

this year observed more than 100 whale sharks and was documented by the BBC Natural History Group for an upcoming TV series. “The whale sharks are definitely here to feed on fish eggs, with several fish species spawning in this area during May to September,” said Mohammed Al-Jaidah, Environmental Expert at the Qatar Ministry of Environment. “This could be due to the structures that attract fish, currents that concentrate eggs in certain locations, and favourable sea temperatures. The sharks seem to prefer deeper areas – depths of 50 metres or more – and are seen to occupy very specific areas for weeks. They are identified by the spot pattern on their backs that is unique for each individual, and thirteen of the 107 identified sharks were also observed last year, indicating that individuals return to this area annually. This year we have fitted several of the whale sharks with transmitters in order to follow their movements in the Arabian Gulf and beyond.” “Being an environmentally responsible oil and gas operator requires that we understand the offshore environment we work in,” said Steffen Bach, Environmental Team Lead at Maersk Oil Research Technology Centre and a marine biologist. “The marine ecosystem has therefore been identified as one of the main research topics of the Maersk Oil Research and Technology Centre in Doha. It is essential that projects such as the Qatar Whale Shark Research Project have a long-term goal and are done in close partnership with local researchers and authorities.”

Aug/Sept2012

Aug/Sept 2012