ITP MEDIA GROUP / BUSINESS JANUARY 2021 • VOL. 16, ISSUE 01 RECOGNISING THE CAPED CHAMPIONS WHO HAVE STOOD UP TO THE VILLAINOUS CHALLENGES OF THE PAST YEARwww.mepmiddleeast.comJanuary 2021 | MEP Middle East 3 JANUARY 2021 VOLUME 16 ISSUE 01 CONTENTS 06 GUEST COMMENT Taqeef’s CEO on market trends and the move to retrofi tting. 32 SUPPLIERS NEWS News from the MEP and HVAC suppliers market. 34 FINAL WORD Preparing cabling for Power over Ethernet. CALL TO ACTION Heating and cooling based on renewable energy has emerged as an urgent priority, says IRENA. MEP HEROES MEP Middle East recognises the men, women, companies and projects that have hit the headlines over the past 12 months. 24 ROLLING IN THE DEEP EmiratesGBC Technical Manager Majd Fayyad extolls virtues of deep retrofi tting. 28 TIME FOR REFLECTION QTM looking to build on a strong year for the energy service company. 8 12 BENCHMARK PARTNERSHIP R AWK A and Grundfos achieving sustainability goals. 54 MEP Middle East | January 2021www.mepmiddleeast.com or views on this issue, please email tom.oxtoby@itp.com For subscriptions and further information, go online to www.itp.com/subscription. More stories at www.mepmiddleeast.com If you have any comment Follow MEP Middle East: @MEP_Middle_East MEP Middle East PO Box 500024, Dubai, UAE Tel: +971 4 444 3000 Web: www.itp.com Offices in Abu Dhabi, Dubai, London & Mumbai ITP MEDIA GROUP CEO Ali Akawi Managing Director Sue Holt EDITORIAL Group Editor Tom Oxtoby Tel: +971 4 444 3419 e-mail: tom.oxtoby@itp.com ADVERTISING Group Sales Manager Anup Nagpurkar Tel: +971 4 444 3573 email: anup.nagpurkar@itp.com ITP LIVE General Manager Ahmad Bashour Tel: +971 4 444 3549 e-mail: ahmad.bashour@itp.com PHOTOGRAPHY Senior Photographers Rajesh Raghav, Efraim Evidor, Adel Rashid Staff Photographers Aasiya Jagadeesh, Ajith Narendra, Fritz John Asuro, Yuliya Petrovich, Jessica Samson PRODUCTION & DISTRIBUTION Group Production & Distribution Director Kyle Smith Production Manager Basel Al Kassem Production Coordinator Mahendra Pawar Senior Image Editor Emmalyn Robles CIRCULATION Distribution & Warehouse Manager Praveen Nair MARKETING Director of Awards & Marketing Daniel Fewtrell ITP GROUP CEO Ali Akawi CFO Toby Jay Spencer-Davies Subscribe online at www.itp.com/subscriptions The publishers regret that they cannot accept liability for error or omissions contained in this publication, however caused. The opinions and views contained in this publication are not necessarily those of the publishers. Readers are advised to seek specialist advice before acting on information contained in this publication which is provided for general use and may not be appropriate for the reader’s particular circumstances. The ownership of trademarks is acknowledged. No part of this publication or any part of the contents thereof may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing. An exemption is hereby granted for extracts used for the purpose of fair review. WARMEST WISHES FOR THE NEW YEAR Tom Oxtoby MEP Middle East Editor tom.oxtoby@itp.com Warm wishes to all MEP Middle East readers and commercial partners as we ring in this most welcome of New Years. In this edition we touch on a number of exciting areas that could prove to be growing markets over the coming years – most notably in the fi eld of deep retrofi ts. According to Emirates Green Building Council Technical Manager, Majd Fayyad, with the support of regulations and incentives, a decarbonisation roadmap can be realised locally. He says that deep building retrofi ts can help to meet the global targets set by the World Green Building Council of net zero carbon by 2050 – a commitment that the UAE also upholds. His stance is backed by QTM’s CFO Andy Merris, who also told us that he expects the market to boom over the next three to fi ve years, as Dubai developments in particular reach their awkward teenage years. Both interviews shed some telling light on the concept of retrofi ts and their wider adoption, and reach their own conclusions about how the movement can be encouraged and fostered by GCC authorities. It makes for a compelling read, and after the large-scale disappointment laid on by Covid during 2020, it is pleasing to report on areas of real opportunity to start the New Year. On a personal note, this will be my fi nal edition as Editor of MEP Middle East. It has been a wonderful experience meeting with you all and understanding your respective journeys, and though I will now do so from afar, I look forward to following your stories in 2021. EDITORÊS NOTE Published by and © 2021 ITP MEDIA GROUP FZ-LLC.January 2021 | MEP Middle East 5 www.mepmiddleeast.com GUEST COMMENT Committing to sustainability, espe- cially for a wastewater agency like RAKWA, is the fi rst step on a long road to affecting lasting change. Transforming words into action is a Her- culean challenge, yet with support – both internally and externally – positive results can be achieved. RAKWA’s commitment to a more sustain- able water system in line with the UAE’s sustainability goals, has put us on the road to success and we hope the lessons we have learnt, the systems we have implemented and the partnerships we have forged will serve as a benchmark for other govern- ment agencies, locally and regionally, to accomplish similar success. One collaboration that has been instru- mental our journey to sustainability is our teamwork with Grundfos. By teaming up with a global leader in innovation, water and climate solutions we have explored ways of boosting effi ciency and reducing costs on the wastewater collection network in Ras Al Khaimah. In partnership with Grundfos, we have gradually introduced real-time digital solu- tions that have become invaluable in help- ing our teams across the emirate monitor networks as things happen. Additionally, using digitised systems in- tegrates analysis with diagnostic data for a more proactive approach to overall system functionality. The implementation of the digital solu- tions enabled a stringent evaluation of ways to improve effi ciency in three of the main pumping stations within the network. The stations were upgraded with mod- ernised controls and remote management systems allowing for greater optimisation and network performance, with CUEs (Grundfos variable frequency drives) and Grundfos Remote Management (GRM)– providing a safe and secure solution. Energy consumption was reduced by up Walid Abdelrahman Mohamed, O&M Department Manager at Ras Al Khaimah Wastewater Agency (RAKWA), highlights effective partnership RAKWA and Grundfos success a benchmark for Government Agency sustainability goals to 25%, while the system also offered opti- mised effi ciency and reduced operational costs through real-time remote control of the pumps, remote web access which offered a complete overview of operating information and data, plus SMS and email notifi cations and alarm warnings. The entire RAKWA sewage network now uses Grundfos Dedicated Controls and Grundfos Remote Management systems and is now a more effi cient operating model, allowing for better planning and forecasting, streamlined workfl ow manage- ment, improved health and safety and long- term asset management. This has effectively reduced operating cost of pumping stations by up to 12%. As Ras Al Khaimah and the UAE looks builds towards a future of sustainability, it is paramount that government agencies take the initiative to become the change makers and fi nd the right partners to share that Energy consumption was reduced by up to 25%, while the system also offered optimised efficiency and reduced operational costs. burden. In our case, Grundfos has played an important part in improving operational and fi nancial effi ciency while also ensur- ing the foundations are in place for a green economy and a brighter future. Walid Abdelrahman Mohamed.6 MEP Middle East | January 2021 www.mepmiddleeast.com TAQEEF While legislative standards are continually evolving, the events of the past year will no doubt accelerate HVAC devel- opments in several areas. Behavioural change and consumer de- mand often pave the legislative pathway. We anticipate trends for 2021 to centre on the key areas such IAQ (Indoor Air Qual- ity), smart service frequency, effi ciency and retrofi tting. IAQ such as ventilation and fi lters The events of 2020 have shone a spotlight on IAQ in our built environment and this presents us with a clear opportunity for pro- gressive change. Air fi ltration and ventilation are now con- sidered a public health priority and so are high on the agenda for commercial and residential building owners and occupiers as well as industry associations such as Eu- rovent. With that in mind, in 2021 we’re likely to see an increase in demand for technology with IAQ features such as purifi cation and sanitation built in the ACs, as well as an in- crease in retrofi tting to address insuffi cient IAQ in older existing systems. For example, demand for high-level fi lters (which have existed in the market for some time) is likely to grow exponen- tially next year with consumer demand pushing change as we adjust to the new normal. Smart service frequency Demand for preventative maintenance has increased over the past year, along with the popularity of smart systems and functions built into AC technology. Elements like remote equipment monitor- ing, pre-alarm and maintenance support are increasingly considered as essential as own- ers and occupiers become more reliant on (and aware of) the impact AC has on quality of life and electricity consumption. A well-serviced unit is a more effi cient and more effective one and services such as Taqeef’s newly launched Annual AC Ser- vice Product (Cool Protect) can capitalise on this demand. Much like a car service, we believe au- thorised HVAC servicing will become the norm, as people look to protect their invest- ment (and their pockets) by ensuring their technology runs effi ciently while reducing energy bills and promoting a healthy living and working space. For us, this should include a deep clean- ing of indoor and outdoor units, along with ducting, noise and ventilation checks as a minimum. Effi ciency With people spending more time at home, energy bills have increased, which can be a drain on already stretched resources. More effi cient and intuitive AC systems will, as a result, grow in increasing popu- larity including those with high energy ef- fi ciency ratio (EER), usage of energy recov- ery devices, and error alerts for air leakage and other issues. We will also see the impact of the drive for zero energy buildings with a trend towards smart technology and heat recovery devic- es (example heat wheel/3 pipe application) to recycle hot or cold energy and reduce carbon emissions. We have already seen a trend in people upgrading their ACs this year – choosing units that are greener and cleaner and come with energy and cost-saving technology built-in. Integrating AC systems with smart technology, such as learning thermostats can optimise and increase effi ciency out- comes. FIT FOR THE FUTURE Tariq Al Ghussein, Chairman and CEO at Taqeef, examines how retrofi tting will future-proof the industry Tariq Al Ghussein, Chairman and CEO of Taqeef, believes that January 2021 | MEP Middle East 7 www.mepmiddleeast.com TAQEEF market trends are pointing to an increase in demand for retrofitting. According to an independent study conducted by NEST thermostats, adding simple self-learning thermostats to a cool- ing system can lead to energy savings of 10-12%. These thermostats are connected to the occupants’ mobile phone and sense when they are away or not at home to save en- ergy effectively. They also collect data and provide daily reports on energy usage be- haviours and patterns to ensure the most optimised AC systems usage. Retrofi tting These market trends all point to an increase in the demand of retrofi tting, which not only meets the above demand, but also provides a host of other benefi ts including lower maintenance costs, increased property valu- ations, safety and air quality improvements (IAQ), lower noise and more bespoke user comfort. Manufacturing associations such as Eurovent are expanding their scope and share of voice while pushing for more gov- ernment incentivised retrofi ts throughout the region. So, while this area has been gaining trac- tion over the past few years, it looks like 2021 will be the year where the retrofi t mar- ket – pushed by IAQ and effi ciency targets – becomes fully established throughout the region.8 MEP Middle East | January 2021 www.mepmiddleeast.com QTM ENERGY SERVICES COMPANY By his own admission Andy Merris is unlike other accountants. While many chief fi nancial offi cers across the region are perceived to be hardnosed spreadsheet dwellers, particularly now after the trials and tribulations of 2020, QTM Energy Service Company’s CFO exer- cises more of an open door policy to innova- tion. QTM’s core business is deploying capital intro building retrofi ts with no upfront CAPEX or attributed OPEX for clients. QTM recovers investments through energy cost reductions that are achieved through a combination of en- gineering expertise, technology and measure- ment and verifi cation. This is what is known as Energy Performance Contracting (EPC). Merris notes that R&D is a fundamental ele- ment of business development, and stresses the importance of realizing returns of a fi ve years plus period. He said: “Us accountants tend to be quite shy of it, and tend to look to see what the return is on R&D. “Thankfully QTM has been around for over nine years, and the R&D we have is incremen- tal, it’s not from a blank paper.” QTM has identifi ed R&D as a key to success- ful building retrofi ts and has developed our own proprietary software called “Brane System”. The software provides monitoring and veri- fi cation of buildings energy performance in accordance with industry norms such as the International Performance Measurement and Verifi cation Protocol (IPMVP). This data is collected every 15 minutes and empowers our team and clients to operate buildings more effi ciently. Importantly as an accountant, it also allows QTM to demonstrate our savings to clients so we can invoice for our investments. Merris said: “With Brane, QTM is currently tracking an average of 21% energy cost reduc- tions across our investment portfolio. We are in a new phase of Brane System development and implementing it across new geographies. “QTM’s technology and solutions go hand in hand with improving Indoor Air Quality (IAQ). You cannot compromise IAQ for energy sav- ings in general. Particularly with the current pandemic, QTM is enhancing our ventilation solutions with UVC light technology. “We’re looking at best in class from a tech- nology and supplier perspective, and looking to implement that with our own systems, our own software that stitches the technology together. “The Middle East is a great place, but the rather extreme swing in temperature high hu- midity periods and airborne particulates means that the asset lifecycle tends to be brought forward. “We are still investing in R&D, we still have innovative products, and thankfully these things are giving us fi ve to seven year yields on our investments. “I’m probably one of the few accountants who is excited about technology and the R&D we are putting into this space given where the market is.” Merris and QTM are right to be bullish about the opportunities in their fi eld, with retrofi tting widely touted as a real growth market over the next three to fi ve years. Merris believes opportunities in Dubai and Abu Dhabi are ripe for the picking as much of the UAE’s built environment reaches its awk- ward teenager years. “During my time in the Middle East – I’ve been here now just over 12 years – and I’ve seen a lot of buildings go up,” he said. “In my experience from the UK – PFI PP ex- perience – buildings really come up for an inter- vention 10 or 15 years into the asset lifecycle. “From what we see now, there are a number of signature developments – whether its Dubai Marina, JLT or Yas Island – there are a lot of developments that have tripped over that 10 year hurdle and are entering into a lifecycle in- tervention for retrofi tting.It’s a great time to be in retrofi tting, it’s a great time moving things forward and changing equipment. “In the next three to fi ve years it is certainly going to be an interesting place to be investing.” While much of the talk across the industry QTM offers ZERO CAPEX energy cost reductions, financed energy cost reductions and building retrofi ts QTM Energy Services Company’s Chief Financial Offi cer Andy Merris tells MEP Middle East that unlike other CFOs, he’s excited about investing in energy effi cient building upgrades QTM Energy Services Company CFO Andy Merris. January 2021 | MEP Middle East 9 www.mepmiddleeast.com QTM ENERGY SERVICES COMPANYQQTTMM EENNERGGGGGYY SSEERRRRRRRVVVVVVVVVVVVVVVVVVVVVVIIIIIIIIIIIIICCCCCEEESSSSSSSSSSSSSSSSSSSSSSSSSSSSS CCCCCCOOOOOOMMMMMMMPPPPPPPPPPPAAAAAAAAAAAANNNNNNNNNNNNNNNNNYYYYYYYYYYYYYYYYYY QTM has identified R&D as a key to successful building retrofits and has developed its own proprietary software called the “Brane System”. is focussed on 2021, Merris was still focussed on 2020 when speaking with MEP Middle East. Be it global expansions of the QTM um- brella, shifts into new markets, or a marriage of both, 2020 was a “phenomenal” year, according to Merris. “We’ve launched in Australia, we’ve launched in Eastern Europe, and both are of particular interest and ripe for our business. “It has the opportunity to move away from residential and hospitality into the leisure sec- tor, but also more importantly, into the agricul- tural sector. “We are seeing a lot more energy being used in the agricultural sector, seeing a lot more tech and robotics being used, and therefore a lot more requirement for energy conservation at the micro grid level.” The construction industry has been histori- cal slow to adopt and standardise advances in technology and automation. That resistance to new methods of working has seemingly diminished somewhat given the events of 2020, and that is having an impact on client expectation. Merris believes the shift in attitude is gathering pace. “It’s accelerating for sure. It’s getting people more together and aligned rather than at the outset of a project you have the consultants at one end of the extreme, the contractors deliver- ing the project, and then the operators at the far end. “Stitching those three pieces together across development lifecycles, and making projects get delivered sooner, brings forward these at- titudes. “Goals are paramount. We are still 30 years out from 2050 and aspirations for net zero, and that is one of the things that a lot of people a moving towards. “Over 60% of it is through energy conserva- tion rather than energy generation. I see that all three arms of the consultant, contractor and operator are really looking to pull projects though the lifecycle to actually get that net zero, to decrease costs going forward and to improve indoor air quality. “The market is beginning to work a lot closer together.” When it comes to additional driving factors that will push energy effi ciency to the top of the agenda – and keep it there – Merris points to legislation. “Certainly legislation isn’t going to hinder this space, it’s going to be an enabler, wheth- er its legislation from a government-wide perspective, or driven by the end user,” he said. “In Australia they have this NABERS rating system whereby you can look at the quality of a building’s air or green footprint. “Legislation is going to be an enabler for this for sure. I can see elsewhere in the world there will be tax breaks and carbon credit trading that’s going to enable building owners to look at their assets much more carefully. “That’s a longer play, there’s a lot to be get- ting on with right now.” To further help educate the industry, QTM is in the process of putting together an extensive study. The fi rm has reviewed 50 hotels with ap- proximately 300 keys, looking at impact of oc- cupancy on energy. Merris explained: “From what our fi ndings show, of course with Covid there has been a massive step down in energy consumption, but normally if there is anything up from 60% occupancy, it is not a driving factor of energy consumption, it is more about external weather conditions. “You can see the swings from humidity in the summer to causing greater energy consump- tion. We are in the process of wrapping up that position paper and reviewing the analysis we have.”Next >