ITP MEDIA GROUP / BUSINESS FEBRUARY 2023 • VOLUME 17, ISSUE 02 ADOPTING SUSTAINABILITY CONTENTS 03 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comFEBRUARY 2023 22 Interview Ritchie Bros CEO on likely growth in 2023 34 Industry outlook Electric vehicle segment is set to grow rapidly in 2022 FEBRUARY 2023 VOLUME 17 • ISSUE 02 12 Cover story Construction industy’s attempt to reduce emissions and to become more environment friendly 18 Alternative Fuels Automotive industy is exploring various options to reduce emissions 6 Feature Jens Otterstedt’s views innovative and smart building 42 Personality Mohamed El Zeft awi on waste managementEDITOR’S LETTER 04 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comFEBRUARY 2023 T he construction industry is oft en regarded as one of the most polluting sectors globally. The sector accounts for 38% of total global emissions, with buildings equivalent to the size of Paris being built every week and it oft en faces criticism from environmental groups for not doing enough to combat climate change. Globally, the building industry causes 14 gigatonnes of greenhouse gas emissions every year, according to a report by the World Economic Forum. This needs to be reduced by half by 2030 and to zero by 2050 to achieve the goals of the 2015 Paris Agreement, which aims to limit global warming to 1.5 degrees Celsius above pre-industrial levels, the report said. Industry experts argue that because of its sheer size and complexity, it is extremely challenging to compute the amount of greenhouse gases emitted by diff erent components related to the construction industry. But thankfully, in the past few years, the construction industry has signifi cantly incorporated sustainable practices including green building and eco-friendly design. The focus on sustainability in general has been of the biggest trends in the GCC across multiple sectors. Among all the stakeholders associated with the building industry, construction equipment makers and heavy vehicle companies are at the forefront of off ering sustainable products and developing new technologies and processes to reduce emissions. Acknowledging the important role, heavy vehicles and equipment makers are playing in making the sector more environmentally friendly, we are dedicating this month’s issue to them. Besides this, the issue also focuses on hopes of recovery in the global automotive segment on likely easing of chip shortages that have adversely impacted the sector in 2022. Deepak Sharma Editor PMV Middle East TIME TO DO MORE PO Box 500024, Dubai, UAE Tel: +971 4 444 3000 Web: www.itp.com Offices in Dubai, Abu Dhabi, London & Mumbai ITP MEDIA GROUP CEO Ali Akawi Managing Director Alex Reeve Deputy Managing Director Nicky Dawson EDITORIAL Group Editor Carla Sertin Editor Deepak Sharma deepak.sharma@itp.com +971 4 444 3617 ART Art Director Amjad Ayche Designer Tofiq Memon ADVERTISING Commercial Director Vinay Ravindran vinay.ravindran@itp.com +971 4 444 3155 Sales Manager Saloni Panchal saloni.panchal@itp.com +971 4 444 3205 PHOTOGRAPHY Videographers: Muhammad Kaleem Photographer: Marwan Elsayed Video Editor: Liju Cheruvathur Sound Engineer: Borys Hridin ITP LIVE General Manager Ahmad Bashour ahmad.bashour@itp.com +971 4 444 3549 PRODUCTION & DISTRIBUTION Production Manager Denny Kollannoor Production Coordinator Manoj Mahadevan Image Editor Emmalyn Robles CIRCULATION Distribution Coordinator Avinash Pereira Circulation Executive Rajesh Pillai 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. Published by and © 2023 ITP MEDIA GROUP FZ-LLC.Kanoo Cranesoffers engineered solutions for any lifting requirements with knowledgeable experts engaged in the field of lifting. With a combined experience of more than 50 years with Mobile cranes,Crawler cranes, Tower cranes and passenger hoists we offer top quality products from: •JASO •SMIE-Anti collision •MEADA •SPIERINGS •ALBA Our Focus is to provide engineered crane solutions to the Construction, Oil and Gas and Industrial markets. KANOO CRANES L.L.C P.O.Box: 290, Dubai, United Arab Emirates info@kanoocranes.com www.kanoocranes.com T: +971 4 446 5532 F: +971 4 446 5538 JASO SPIERINGSALBA MEADA SMIEI n his role as the general manager of Al Masaood Bergum (AMB), Jens Otterstedt leverages almost three decades of experience in the fi elds of construction, design and factory management to help position the company’s construction division as a leading provider of locally manufactured volumetric modular building systems. He is in charge of supervising the operations of (AMB), initiating a new and upgraded range of modular solutions, and supervising the company’s operational expansion in Abu Dhabi and Dubai. Placed under his leadership is an 800-strong workforce trained based on international standards. Under his leadership, AMB is transitioning towards innovative and smart building solutions that are not just effi cient, resulting in lower costs and faster occupancy, but are also sustainable and environmentally friendly. STRENGTHENING LEADERSHIP POSITION IN SUSTAINABILITY In an exclusive interview with PMV Middle East, Otterstedt highlighted Al Masaood Bergum’s new initiatives aiming towards sustainable solutions primarily through the company’s focus on two innovative construction solutions, Cross Laminated Timber (CLT) and Hybrid Modular Building Systems (HMS). Modular Cross Laminated Timber villa designed by the company FEATURE 6 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comFEBRUARY 2023SOLUTIONS Cross Laminated Timber (CLT), which is an engineered wood product, is made from a highly sustainable carbon capturing material. It is an engineered solid wood panel that is prefabricated and produced from a highly sustainable carbon-sequestering substance. In addition to off ering strong structural capabilities, thermal and acoustic qualities, and other advantages, it also speeds up construction by 40% and makes better use of labour by 30%, and decreases waste. Hybrid Modular Building Solution (HMS) is a rapidly growing hot and cold-formed steel used by AMB to make the construction process easier and products more sustainable. The construction solution, which is used in residential and commercial building structures, is recyclable, time effi cient, easily transported and installed, with minimal requirement for manpower on site. From construction villages to workforce accommodations in the Oil & Gas, Defence, and construction sector, Ultra-Fold Prefi nished Module is a solution that is versatile to fi t any purpose. Engineered to German standards, the module builds robust structures and off ers full fl exibility in arrangement and positioning as it has quick installation process which takes only 17 minutes to assemble with a minimum fi ve persons, AMB said. Founded in 1978, under the Al Masaood Group of Companies, AMB manufacture and deliver high-quality modular and panellised building systems for numerous industries from oil, gas and energy to defence and military, leisure, and hospitality. COMMITMENT TO SUSTAINABILITY Last year, the group participated in the Construction Technology Festival, which took place in KSA, from December 14 and 15, 2022 in Riyadh. During the festival, the company announced initiaitive to focus more on sustainable technologies. Otterstedt, said, “After decades of success in the United Arab Emirates, Bergum is establishing itself in Saudi Arabia’s growing construction sector. Construction growth in KSA is anticipated to grow by 3.2 % in 2022 and 4 % between 2023 and 2025.” He explained, “Our recent wins in the kingdom with major developers refl ect our commitment to creating sustainable and environmentally friendly construction solutions that cater to the kingdom’s ambitious sustainable projects and vision to build new futuristic and prosperous communities.” Al Masaood Bergum’s portfolio of services includes end-to-end modular building systems that are known for their high quality, sustainability, safety, and cost-eff ectiveness. The company is one of the key industry players in the UAE following its commitment to adopt sustainable construction practices through innovative solutions. According to Otterstedt, “Sustainable construction solutions are the need of the hour. Concrete is one of the biggest contributors to carbon emissions on the planet. We need to move to a sustainable option, and cross laminated timber (CLT) is the perfect solution.” An industry veteran with a Master’s degree in carpentry and over 35 years of experience in construction, design, Otterstedt, revealed that his roots are from Germany, and he has worked with CLT most of his life, including a stint in Canada where he set up a large CLT prefabrication factory. “I am passionate about wood and wood construction and am introducing the concept here. The team and I are implementing CLT in modular construction and prefabrication using modern technology at AMB,” said Otterstedt when emphasising that he is sure that environmentally friendly constructions are the way to go, and CLT panels are the appropriate solution. AMB is also in the process of obtaining government approvals and regulating this innovative construction method, the company said in a release. Cross-laminated timber is commonly used in Europe, the US and Australia as a primary construction material. In fact, many of these countries have high-rises made from CLT as it is extremely environmentally friendly. He said,“Wood is a carbon binder – which means CLTs absorb carbon from its surrounding. So instead of being a carbon positive structure, that for example emits 2,000 tonnes of carbon, a CLT building absorbs the same amount of carbon and traps it in the panels. If everyone shifts to wood construction tomorrow, we can possibly stop global warming on this planet.” Jens Otterstedt, General Manager, Al Masaood Bergum Al Masaood Bergum is focusing on its prefabricated solutions FEATURE 7 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comFEBRUARY 2023RENAULT & NISSAN AGREE TO RE-DO THEIR TWO DECADES OLD SHAREHOLDING ALLIANCE Carlos Goshn was instrumental in bringing all three auto majors together F rench automotive giant Renault Group said following the several months of constructive discussions with Japan-based automobile major Nissan Motor Co has reached an important milestone in its discussions on defi ning new foundations for their partnership. As a part of the new arrangement, Renault and Nissan have agreed to restructure their longstanding partnership, with the French company whittling down its stake in the Japanese fi rm to 15%, Renault said in a statement. “Renault Group would transfer 28.4% of Nissan shares into a French trust, where the voting rights would be “neutralised” for most of the decisions, but the economic rights (dividends and shares’ sale proceeds) would still entirely benefi t to Renault Group until such shares are sold,” the French major said in a release. Renault Group would instruct the trustee to sell the entrusted Nissan shares if commercially reasonable for Renault Group in a coordinated and orderly process, but it would have no obligation to sell the shares within a specifi c pre- determined period, the release said. According to a Reuters report, the announcement capped nearly four months of intense talks that were complicated by concerns about the sharing of intellectual property as Renault sought tie-ups with companies outside their alliance. Renault, Nissan and junior alliance partner Mitsubishi Motors also plan to move forward through collaborations on specifi c projects, including in India, South America and Europe. Nissan will invest in Renault’s carved-out electric-vehicle and software business Am-pere, which is set for a listing, with a goal of becoming a strategic shareholder. As per the information available the development marks a signifi cant milestone in the 24-year-old auto alliance. Both automotive companies, alongside junior partner Mitsubishi Motors, have been working in tandem since 1999. Media reports say Renault helped Nissan in preventing bankruptcy in 1999 and since then Nissan has prospered but has become impatient with the ownership structure which left it with little voting power to decide the strategic direction of the alliance. The collaboration between these auto giants has typically allowed them to share production and technology, and ultimately save billions of dollars a year. The relation between the partners were strained following the arrest of former Renault chief Carlos Ghosn in 2018 in Japan on charges of fi nancial crimes. Ghosn was instrumental in bringing three automakers together and has at helm of aff airs till 2018. He fl ed Japan in 2019, and since then investors and shares were raising questions about the alliance’s future. WAY FORWARD According to a Bloomberg report, mounting electrifi cation costs and rapid technological innovation mean Renault and Nissan can ill aff ord squandering some of the benefi ts deriving from the alliance, such as common purchases and car platforms. Continued collaboration on various industrial projects was a crucial condition for Renault to obtain approval of the alliance rebalancing from the French government, its most powerful shareholder. Renault has reportedly proposed work on 10 common projects, the report said. The French maker of Megane E-Tech and Austral cars wants to deepen ties with several other partners, including China’s Zhejiang Geely Holding and chipmaker Qualcomm, it added. The deal is crucial for Renault chief executive Luca de Meo to be able to move forward with his own strategy, involving a complex split in fi ve diff erent units, including Ampere, the Bloomberg report said. 8 PLANT / MACHINERY / VEHICLESwww.plantmachineryvehicles.comFEBRUARY 2023 AUTOMOTIVEPutzmeister Concrete Pumps GmbH 72631 Aichtal · Germany · www.putzmeister.com Putzmeister Middle East Jumeirah Lakes Towers (JLT) · Indigo Icon Tower Cluster F Office, no. 1008 · P.O. Box 338400 · Dubai, U.A.E. Tel: +971 (0) 4 454 27 83 · Fax: +971 (0) 4 454 27 82 2913-2 EN Built to achieve great things: BSF 60-6 18 – 21 FEBRUARY 2023 RIYADH · FRONT EXHIBITION & CONFERENCE CENTER OS 110 CLUSTER OUTDOOR AREA #BIG5SAUDI SAUDINext >