A busier Big 5 Show gives shape to persistent talk of a looming recovery. Story and photographs: B Surendar

It was a Big 5 that struck a defiant pose in the midst of the lingering downturn. It was an event that tried to emerge from the inertia of a year earlier, and on quite a few counts, did succeed. For one, HH Sheikh Mohammed Bin Rashid Al Maktoum, the Prime Minister of the UAE and the Ruler of Dubai, himself chose to inaugurate the event, and in doing so, sent a positive message to the industry. For another, there was a visible increase in the number of visitors and a palpable return of the energy that was missing the last time around and even the year before. Many of the past exhibitors reposed their faith in the show by coming back to display and market their products this time around, as well, on the back of the reputation that Dubai enjoys as a commercial hub for the region. Said an exhibitor, “We are here, because Dubai is the centre of the Middle East. Our customers from Qatar and Saudi Arabia come here to meet us.”

Climate Control Middle East ambled through the aisles to get a feel for the mood and, in the course, met as many exhibitors as it possibly could in what were four hectic days of activity. Here, we bring to you the sights and sounds of the show that was…

A day before The Big 5 show, dmg :: events, the organisers of the show, hosted the Gaia Awards for 2010 (Climate Control Middle East listed the winners in the November issue). Several companies laid claim to the awards, which had responsibility towards the environment as a key criterion. The judges considered 125 entries, of which they short-listed 57 entries. Of that, they chose 23 finalists.

Seeley International of Australia walked away with the gold for Climate Wizard, a product that is based on indirect evaporative cooling technology.

Mario Seneviratne of Green Technologies, one of the judges, speaking to Climate Control Middle East, said that Seeley had taken a simple concept and made a machine out of it. What set them apart, Seneviratne added, was that Seeley had been able to quantify the power savings the machine made possible.

Electric motors are getting smart as they undergo a significant transformation, writes Jose Franco

Having greener qualities are definitely the future for electric motors. Not only do they represent 60-70% of a building’s power consumption, electric motors also make various industry vehicles and equipment realise their functions. The onboard drive systems for railways, for instance, act to accomplish a rail application that involves the pull chain, power supply, production of air and passenger comfort. An electric motor that reduces energy consumption and allows for easy maintenance will, therefore, help shape the world’s future.

Never mind that experts do not refer to the motor per se when talking about ongoing trend and future innovation in motor production; it’s the addition of variable speed drive that provides intelligent control of the motor. “The main purpose of this accurate control is to reduce the power to the exact cooling requirement, or exact water pressure required at each floor,” says Philippe Wesolowski, General Manager of Leroy Somer Middle East. “Using a variable speed drive on a fan or a pump can reduce its electric consumption by 30-50%.”

It is, in fact, more important to use low-energy-consumption products, such as smart motors, as part of energy conservation than to pursue massive and expensive renewable energy projects like wind or photovoltaic power plants, an East Asian expert says. And such a move would be good for the UAE, especially Dubai and Abu Dhabi, and Saudi Arabia, as these countries require huge supply of utilities to power their rapid economic development and rising populations.

“We are very interested to penetrate the Gulf and the whole Middle East market,” says James Jeung, President, Founder and Chief Science Officer of SN Tech Inc, in the US, and Chairman of South Korean-based SN Tech Co Ltd. “Based on our sales and production experience, we will be able to capture a significant market in the Middle East region. We are now growing over 500% annually in North America.” His company has invested more than $10 million on innovative technology since 2007, and is now planning to spend five per cent of its revenue for R&D.

SPEED DRIVES

At the European-based Leroy Somer, intelligent variable-speed drives are being integrated into the motors, which convert electrical energy into mechanical energy, to save on power and for better control of temperature, humidity and fresh air. A division of the diversified global manufacturing and technology company Emerson Electric, Leroy Somer also has a special offer of onboard drive systems for railways that reduce maintenance, increase component reliability and improve train service life.

Just the same, talking about highly efficient motors means using higher grade magnetic steel and more copper coils – which, in turn, jack up capital and prices. In Western countries, additional cost for higher efficiency means an ROI after 12 to 18 months of consumption whilst a payback in two to four years is estimated for the Middle East. “This makes it more difficult for governments to impose energy consumption caps on building owners,” Wesolowski stresses, referring to the Middle East, particularly the Gulf Arab states.

Philippe Wesolowski

And in a region where demand for HVAC&R products and services is tremendous, the market potential for electric motors is even bigger. Saudi Arabia and the emirate of Abu Dhabi are becoming the main focus of most companies engaged in the industry. Whilst 50% of its business came from the UAE for the past five to six years, Leroy Somer Middle East now sees “a clear shift” of the bulk of its business to Saudi Arabia, where 50% of its turnover will come from over the next two years.

“So far, Dubai companies have managed to keep the leadership in technology, project management and project execution, but the shift to Saudi Arabia is inevitable,” says Wesolowski, who thinks his company has an upper hand in the electric motor sector. “To sell in Saudi, you have to be based in Saudi. We have been present in Saudi Arabia for the past 25 years.”

Today, the company has a full sales and technical team in the biggest Gulf Arab economy, serving customers and helping them shift from one- or two-speed motor to one with variable speed and equipped with dedicated solutions for technical challenges.

For its part, SN Tech is looking for a partner that could distribute its products, particularly the electronically commutated motor (ECM), across the Middle East and help build a green HVAC&R market in the region. And since most HVAC&R manufacturers do not have much knowledge and experience yet about ECM, Jeung says, SN Tech is willing to provide free-of-charge product samples for the initial testing, as well as skills training on software to learn about the company’s smart motors.

The ECM technology has great potential to treat energy loss in the Gulf, Jeung says, and SN Tech is developing a motor that could well adapt to the Gulf environment. He adds that SN Tech has been successful in supplying high efficiency motors to such mature markets as North America, the EU and Australia since 2005.

MAJOR CHANGE

SN Tech’s double-shaft ECM , a green motor

Such moves by Leroy Somer and SN Tech are testament to the electric motor industry undergoing a significant transformation for the past years, owing to global market consolidation and the emergence of international competitors. Also, US-based AO Smith announced this month that it has agreed to sell its Electrical Products Company to Regal Beloit Corporation for about $875 million. The transaction, which involves $700 million in cash and about 2.83 million shares of Regal Beloit common stock, may close in the first half of next year.

“The consolidation in the marketplace, which has accelerated this year, prompted us to evaluate the potential sale of our motor business, with the expectation that we would reinvest the proceeds into high growth opportunities,” said Paul W Jones, Chairman and CEO of AO Smith, in a December 13 press statement. “We are very excited about the prospects of Electrical Products combining with Regal Beloit.”

AO Smith’s core business will now be manufacturing residential and commercial water heating and purification equipment, which posted sales of $1.1 billion between January and September. Its Electrical Products business, which manufactures an extensive line of fractional and integral horsepower and hermetic motors for residential and commercial applications, reported operating earnings of $61.9 million on sales of $539.4 million for the first nine months of the year.

Ranging in output from 1/100th to five horsepower, fractional horsepower motors are used in applications ranging from pumps, furnace fans and air conditioner fans and blowers to garage door openers and air compressors. Integral horsepower motors, on the other hand, range from one to 400 horsepower and are used in large commercial HVAC blowers, industrial agricultural ventilation, conveyors and overhead cranes.

The residential and commercial air conditioning compressors and commercial chillers use hermetic motors, which are precision rotor and stator kits with a 1.5 to 500 horsepower output.

GREEN MOTORS

SN Tech has brought motor production to a new level with its green motors. Called SN-ECM Motor, the product uses 80% less electricity than the other high-efficiency AC motors. This green motor operates in a wide range of linear step-less speed controls and is used for HVAC systems, A/C fans, blowers, air drying units, gate and door air curtains, transportation A/C systems and agricultural venting systems.

Jeung describes the product as providing “fun to HVAC&R manufacturers” the way LED (light emitting diode) lighting does, owing to its very low power consumption being realised through a high operating efficiency on variable speed. “The best solution to meet consumer demand in the green area is to use speed controllable high-efficiency motors, like SN Tech’s smart motor, to drive fans or compressors,” he says, stressing that governments could play a vital role by imposing tax deductions or rebate programmes to encourage the use of green products.

The trend in ECM, Jeung says, moves towards smart, green products for intelligent buildings and houses, and developing motors of 380-460V and high-powered ones of 2-5Hp for industrial application. “Also, an advanced ECM technology could be designed to enhance a network control or a smartgrid system with IP technology in the near future,” he adds.

Davidon Industries, which represents leading manufacturers of internationally recognised and approved electromechanical and electronic controls and related materials, claims that the SN-ECM motor reduces carbon emissions by 80%. And this says a lot about the product, considering that in the US, electric motors account for 24% of total US carbon emissions.

It also says that SN Tech’s green motors last twice as long as the other motors – thus, saving on costs – and minimise peak power with variable speed programming. It says on its website, “With fewer parts, solid, anisotropic ring magnets and no brushes, there is minimal vibration and, therefore, almost no noise factor, promoting a more comfortable and stress-free environment.”

Motors are, indeed, subjected to severe mechanical and electrical stress by various vehicles and equipment they help run. In a rail application, for instance, motors have to contend with vibrations, shocks, temperatures of between -30°C and 90°C and solid state converter (power supply) generating low-quality sine waves. These factors usually accelerate the ageing of motors, particularly those of lower quality.

Johnson Controls

Saying that it reduces the total cost of ownership while improving plant sustainability, Johnson Controls (NYSE: JCI), has announced the introduction of the York model YK-EP Energy Plus chiller.

Johnson Controls claims that with a capacity range of 2,500 to 3,200 TR (8,800 to 11,200 kW), the YK-EP chiller is suitable for large chilled water plants, and also delivers significant energy savings at off-design conditions, where 99% of chiller operating hours are spent. This, says the manufacturer, is due to the chiller’s ability to utilise entering condenser water temperatures (ECWT) as low as 550 Fahrenheit (130 Celsius). Lower ECWT reduces instantaneous energy consumption as much as 50% compared to chillers limited to a minimum ECWT of 750 Fahrenheit (240 Celsius).

Johnson Controls lists the following product features and advantages:

• It features a patent-pending, mechanical-compression economiser cycle, which provides increased capacity and improved efficiency. As a result, the unit delivers the industry’s highest design efficiency of any large-capacity centrifugal chiller.
• In central utility plants and district cooling facilities that use multiple chillers, additional energy savings can be achieved by piping the chillers in a series-counterflow arrangement. This reduces the compressor work on each chiller and cuts system energy use by as much as eight per cent at design conditions.
• Off-design performance can be further improved by adding a York OptiSpeed variable-speed drive, which can trim average annual energy consumption by 30% or more.
• • With the OptiSpeed drive, the unit reduces installed cost with its ability to accept medium or high-voltage power. Higher voltage power reduces distribution losses, voltage-transformer requirements, and power cable size, improving system efficiency and cutting installation costs. Thus, it reduces additional ownership costs.
• It ships in a disassembled arrangement, consisting of three pieces that are less expensive to ship, easy to move into place, and easily reassembled. Thus, installation costs can be reduced by the chiller’s shipping configuration.
• Maintenance costs are lower because the chiller’s compressor drivelines utilise open motors. If a motor failure occurs, the chiller can be brought back online quickly and cost-effectively, reducing downtime.
• Features like the alternate tube materials and thicknesses, as well as hinged water boxes, are features which increase the chiller’s reliability and further reduce maintenance costs.
• It improves plant sustainability by using refrigerant HFC-134a, which has zero ozone-depletion potential, low global-warming potential, and no phase-out date.
• The chiller’s high-efficiency performance helps buildings qualify for LEED points in the Energy and Atmosphere Credit 1 (EAc1): Optimise Energy Performance category.
• Because of reduction in refrigerant charge, buildings using the YK-EP chiller can qualify for the maximum LEED points in the Energy and Atmosphere Credit 4 (EAc4): Enhanced Refrigerant Management category.

E+E Elektronik

Highlighting that only by knowing the exact compressed air and process gas costs will it be possible to achieve significant savings potentials, irrespective of pressure and temperature, E+E Elektronik has introduced the EE771 flow meter. The manufacturer claims that it can measure with a high degree of accuracy mass flow or volumetric flow in a supply system. The flow meter can be used effectively to measure the consumption of compressed air, nitrogen, helium, argon, oxygen or other non-corrosive gases, the manufacturer claims.

According to E+E Elektronik, the design of the flow meter is based on the direct thermal mass flow measuring principle, and adds that at its heart is an E+E hot-film sensor element proven over several million installations in the automotive industry.

It lists the following product features and advantages:

• The large 400:1 measuring range ensures precise evaluation throughout the supply system. Even the smallest volumetric flow rates are accurately recorded – an essential prerequisite whether you are calculating usage fees or finding leaks.
• The mounting concept, in combination with a ball valve, permits rapid installation and removal of the device that remains operational at all times.
• The measuring head can be exchanged in seconds without disconnecting the measuring line, which is useful for periodic recalibration.
• The integrated USB interface allows the customer to easily adapt the flow meter to specific measuring tasks.
• The two outputs available can be configured either as analogue outputs (current or voltage), switching outputs or pulse outputs for measuring consumption. The flow meter requires 18-30VAC/DC power.

Raises questions that have far-reaching implications

According to an article, titled ‘Lawsuit Takes Aim At LEED Certification’ by Ariel Schwartz (article dated November 8, 2010, accessed on December 4, 2010 from the Fast Company magazine’s website link: http://www.fastcompany.com/1700968/is-the-us-green-building-councils-leed-certification-fraudulent), questions have been raised about the veracity and rationale behind the process of LEED certification.

While Schwartz, in his article, concedes that LEED has become the de facto certification system for green buildings, as it is internationally recognised, and its vast criteria is comprehensive, he alludes to a recent class action lawsuit filed by Henry Gifford, owner of Gifford Fuel Saving. Schwartz says in his article that Gifford has accused the USGBC of monopolising “the market through fraudulent and intentionally misleading representations in the marketing and promotion of their LEED product line.” (as quoted by Schwartz) The writer asks if Gifford’s claims have any merit, and examines its ramification of, by way of answering it.

Schwartz quotes Shari Shapiro, a LEED-accredited attorney with Obermayer Rebmann Maxwell & Hippel in Philadelphia: “What Henry Gifford is alleging is that the USGBC has defrauded the public. That is, “building owners, building professionals that have gotten LEED accreditation, taxpayers, consumers, and a variety of other people. He is saying that USGBC representations about the energy performance of buildings have harmed all of these classes of people in various ways.”

Schwartz elaborates: The representations in question include claims that LEED-certified properties use 25% less energy, offer CO2 reductions, and feature improved air quality and water efficiency compared to non-LEED-certified buildings. But Gifford has reportedly pointed out that verification of energy usage is not required for LEED-certified buildings, and that the USGBC does not require facility plans to be submitted or reviewed. This, points out Schwartz, in essence, allows building designers to “self-certify”.

Schwartz argues that though Gifford is neither LEED certified, nor owns any building that is LEED certified (which will make it difficult for him to prove that LEED has caused him to lose out on any business personally), the very fact that he has raised the issue deserves a serious thought by USGBC.

The lawsuit has, perhaps, reinforced complaint raised against LEED among green building professionals — that the rating system leaves much to be desired. As Schwartz puts it, “it is inexact, and it’s hard to measure ‘green’.” He adds, “Just because a building plan lives up to LEED’s requirements doesn’t mean its energy consumption will be lower once the building is in use.”

Schwartz, based on his conversation with Gifford, says that Gifford believes he has been harmed, because he is not LEED accredited, and that has unfairly lost him business. Whatever the outcome of the lawsuit may turn out to be, the questions raised by Schwartz have relevance and serious implications for not only the construction sector but also for the issue of sustainability in the Middle East region and beyond.

Organisers of Chillventa 2010 claim success in their closing report, say exhibition attracted over 29,000 visitors.

Calling Chillventa 2010 a success, NürnbergMesse Group, its organisers, said that the show, held from October 13 to 15 at Germany’s Nürnberg Exhibition Centre, attracted over 29,000 trade visitors from all over the world. In the week of the show, the organisers said, the Nürnberg exhibition centre was the hub of the international refrigeration, air conditioning, ventilation and heat pump community.

In all, 881 companies from 42 countries presented the variety and innovative power of a whole industry, the organisers said. Among them were Güntner and Bock. The mood was excellent and marked by an optimistic view of the future, they added.

“Chillventa 2010 was a great success for the exhibitors from all over the world,” said Heinrich Reuß, Chairman of the Chillventa Exhibition Committee. “We had the right visitors on the stands and held highly qualified talks. The mood at Chillventa showed the way ahead for the industry. Chillventa has class – here you meet the decision-makers and professionals. I’m already looking forward to the next exhibition.”

A high degree of internationality

The mood in the industry is excellent, and Chillventa 2010 impressively reflected this optimistic and good atmosphere, the organisers said. Said Richard Krowoza, Member of the Management Board of NürnbergMesse: “The feedback from both the exhibitors and visitors was extremely positive. The international industry is now doing better again after some difficult months, and this was clearly noticeable at the exhibition.” This was definitely shown by the number of exhibitors, the organisers said. According to them, Chillventa set a new record with a 10% increase to 881 companies. The internationality of the show – at 63% — was also excellent, the organisers said. In all, companies from 42 countries exhibited at the event. The list of the top 10 exhibitors from abroad was headed by Italy, followed by China, Turkey, the Netherlands, Great Britain, the USA, France, the Czech Republic, Spain and Belgium. Speaking on the internationality of the show, Friedhelm Körner, General Manager, Johnson Controls Systems & Service GmbH, said: “The high degree of internationality was clearly noticeable this year and twice as high as two years ago. Chillventa is a permanent feature of our company’s exhibition calendar and meanwhile established as European exhibition in the concern. Many of our customers come from all over Europe to convince themselves of our expertise.”

Global visitors

The number of visitors and congress participants was equally good at the high level of 29,312. Hans-Joachim Socher, General Manager, Walter Meier, was delighted with the turn-out. “We could hardly cope with the crowds on our stand during the three days of the event,” he said. “We were rushed off our feet, which is what we want at an exhibition. We are very satisfied with Chillventa 2010.”

According to the organisers, the high quality of the visitors at Chillventa 2010 was constantly praised. The majority of visitors were involved in decision-making processes. They were from research, development or design, or from production planning, planning, purchasing, procurement or sales, the organisers said. The installation and maintenance firms were also excellently represented, they added.

Chillventa Congressing

The Chillventa Congressing programme, which started a day before the exhibition, attracted 400 international participants. The Chillventa forums, parallel to the exhibition, provided extensive and highly qualified information and covered all segments of refrigeration, air conditioning, ventilation and heat pumps, the organisers said. As programme coordinator, Dr Rainer Jakobs, put it: “The special features of this year’s Chillventa Congressing were the top-class presentations from Germany and especially from abroad. The participants at the congress were all delighted and praised the quality of the papers, which are now also available in digital form. A special highlight was the ‘Presentation by Trainees’ series, in which young students and graduates showed their knowledge, with a special emphasis on the scientific approach. I am sure we will present a first-class Chillventa Congressing programme again in 2012.”

Focus on know-how

Visitors to the show also had the opportunity to source extensive information at various forums on refrigeration, air conditioning, ventilation, heat pumps and cleanrooms, which were organised in 17 blocks in three halls, the organisers said. The forums focused on topics, such as energy efficiency of refrigeration plants & components, industrial refrigeration, supermarket refrigeration, refrigerant development, energy efficiency, regulations, power control, energy-optimised components and solutions for phasing out R22. The Bundesfachschule Maintal/Niedersachswerfen (Federal College of Refrigeration and Air Conditioning Technology) gave additional forum presentations on certification under the F-Gas Regulation. The complete programme presented over 130 events.
Cleanroom Village

The Cleanroom Village celebrated its premiere at Chillventa, and the special presentation was convincing right from the start, the organisers said. Walter Ritz, Senior Consultant, TÜV Süd Cleancert, was delighted with the Village. “The Cleanroom Village was very well received,” he said. “We – and I speak for all the participants at this special presentation – had very good national and international contacts. So the Cleanroom Village enjoyed a super successful start, which will be continued next year at the TechnoPharm exhibition.” According to the organisers, the live show, in particular, in the Cleanroom Village was very well attended. The show, under the motto, “We make the invisible visible”, visualised the effects of clothing and movement using online particle measurement.

Industrial Heat Pump Village

The Industrial Heat Pump Village, in Hall 1, focused on heat pumps for the second time, following its premiere in 2008. Nineteen companies presented their products and solutions for heat pumps. The visitors were also able to obtain comprehensive information about heat pumps from experts at the forum in Hall 1, exchange views and enjoy a constructive dialogue with the heat pump specialists.

About the NürnbergMesse Group

NürnbergMesse is one of the 20 largest exhibition companies in the world and among the Top Ten in Europe. The portfolio covers some 120 international exhibitions and congresses and more than 30 sponsored pavilions at the Nürnberg location and worldwide. Every year, some 25,000 exhibitors (international share: 33%), 805,000 trade visitors (international share: 16%) and 315,000 consumers participate in the own, partner and guest events of the NürnbergMesse Group, which is present with subsidiaries in China, North America, Brazil and Italy. The group also has a network of 43 representatives operating in more than 80 countries.

Is expected to implement green strategies as Energy Solutions Manager

Al Shirawi US Chiller Services has recently announced the appointment of Michael P Patton to the newly created position of Energy Solutions Manager. As Division Manager, Patton will be responsible for bringing water and energy savings concepts and equipment retrofit solutions for resource conservation to commercial customers and utility providers throughout the MENA region, the announcement elaborated.

Before accepting his new assignment, Patton worked for the Dolphin WaterCare Division of Clearwater Systems Corporation, in Connecticut, USA, where he served as the Director of Global Sales.

Highlighting Patton’s credentials, Al Shirawi US Chiller Services said that a long-time member of ASHRAE, Patton is the current Chairman of Technical Committee 3.6, Water Treatment for the Society. He also serves as a voting member on two ASHRAE Standards Committees – Standards Project Committee 188P, charged with developing a standard for the prevention of legionellosis and also serves as Secretary for SPC191P, on Efficient Use of Water in Buildings.

It added that Patton has authored papers and presented them at numerous HVAC industry conferences and seminars on green water treatment strategies. He has more than 28 years of experience in the Mechanical Engineering field, including previous appointments in the United States, with a full line HVAC manufacturers’ representative, commercial mechanical service and mechanical contracting companies.

“We are pleased to have someone of Michael’s calibre on board to manage the new Energy Solutions Division,” said Dan Mizesko, Managing Partner of Al Shirawi US Chiller Services, lauding the appointment. “His appointment allows US Chiller Services to focus on promoting a variety of proven solutions at our disposal to the MENA market, and help to grow our chiller maintenance and plant management services in the process. The Energy Solutions Division gives our customers more choices for implementing green strategies for energy and water savings, and fully complements our company-wide commitment to offer our customers the benefits of the most advanced technology available.”

Project to be completed in 18 months

According to an announcement, Drake & Scull Water and Power (DSWP), a subsidiary of Drake & Scull International (DSI) PJSC, has been awarded a Dh290 million EPCO (Engineering, Procurement, Construction and Operation) contract for a district cooling plant in Riyadh, Saudi Arabia.

The contract includes designing and building of the plant, which reportedly, has a capacity of 35,000 tonnes. DSWP will also be responsible for the operation and maintenance of the project for a period of 10 years, the announcement said.

In this context, Khaldoun Tabari, the CEO of DSI, said: “This latest contract win is a step forward for Drake & Scull International in further establishing our presence within Saudi Arabia’s growing water and power industry. With a proven track record in this sector, we are able to deliver quality services and projects to our clients due to the niche engineering capabilities offered by our water and power business stream.”

Tawfiq Abu Soud, Executive Director, DSWP, added: “We are confident that our past technical and operational knowledge in the field, a strong portfolio of prominent projects, which includes two of the world’s largest district cooling plants located in Dubai, and our understanding of the complex Saudi market dynamics, will support us in achieving success in the Kingdom and the region as a whole.”

According to DSI, as of September this year, its projects in Saudi Arabia have contributed to 29% of the company’s total backlog, including the backlog consolidation of recently acquired Drake & Scull International Saudi.

However, Tabari added, “DSI aims to increase the figure to 50% by 2011 by continuing to focus our efforts and resources on the Mechanical, Electrical and Plumbing (MEP) division and in the Kingdom’s water and power industry, which has proved to be highly lucrative.”

Designing and building of the new project is scheduled to start immediately, and will take 18 months to complete, the announcement added.

Has announced the planned acquisition of a civil contracting company in Saudi Arabia

In an announcement, Drake & Scull International PJSC (DSI) has reported Dh432 million in revenue and a net profit of Dh34 million for the third quarter ending September 30, 2010 – yielding an accumulated revenue of Dh1.2 billion and Dh121 million net profit in the first nine months of this year.

Khaldoun Tabari, CEO of DSI, stated: “This year, we have invested a significant amount of resources into expanding our operations and entering new markets. Consequently, the results this quarter reflect the measure and the outcome of our expansion, and we remain optimistic about the future outlook of the company, as we believe these activities will pave the way for sustainable growth in 2011 and beyond.”

Since the beginning of 2010, the company has reportedly set up offices in Egypt, Syria, Oman and Saudi Arabia.

“The company’s current backlog stands at Dh4.7 billion and we anticipate dirhams one billion worth of new projects till the end of the year, as a result of our aggressive expansion plans,” Tabari explained. “It is likely that Abu Dhabi and Saudi Arabia will generate the majority of these.”

Commenting on the Q3 results, the CFO of DSI, Osama Hamdan, said, “Delay in execution of newly awarded projects affected our profit stream, especially when our overheads and preconstruction expenses are continually incurred.” He added: “Civil contracting projects have contributed to 25% of total revenues in the third quarter. In this quarter, we have progressed well on our civil business, and this has been the key contributor to the revenues. However, this has also impacted our overall margins, as the civil business has lower margins as compared to our other MEP and water and power businesses.”

According to the announcement, DSI across its business streams, has been awarded 22 projects in the region since the beginning of 2010, bringing the combined value of projects won to Dh2.8 billion.

Along with the announcement of its Q3 results, the company also announced that its board had approved the Sales & Purchase Agreement of the acquisition of an MEP company in the Kingdom of Saudi Arabia. DSI PJSC acquired 65% of Drake & Scull International Saudi WLL for Dh243 million. The Saudi company’s backlog currently stands at SAR 815 million (Dh796 million). The acquisition, said DSI PJSC, will increase the geographical diversity of its operations across the Middle East and the North Africa region, while creating additional opportunities for sustainable business growth and increased shareholder value.

Underscores Abu Dhabi’s commitment to build a knowledge-based economy, renewable energy and clean technology

Under the patronage of His Highness Shaikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, His Highness Shaikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs, officially inaugurated the Masdar Institute of Science and Technology campus at Masdar City on November 23, according to a recent announcement. It is the Middle East’s first graduate research institution dedicated to renewable energy and clean environmental technologies.

During the inauguration, His Highness Shaikh Mansour bin Zayed Al Nahyan said, “Backed by the visionary leadership of His Highness Shaikh Khalifa bin Zayed Al Nahyan, President of the UAE, and His Highness Shaikh Mohammed bin Zayed Al Nahyan, the Crown Prince of Abu Dhabi, the UAE is committed to the development of human capital as a foundation to drive the country’s long-term economic viability.”

He added that Abu Dhabi was committed to strengthening its intellectual capital and moving to a knowledge-based economy through the investment in higher education as well as research and development, particularly in the field of renewable energy. He further noted that the students at Masdar Institute represented the world’s future researchers, academicians and leaders, who will be responsible for developing and advancing the technologies, which will address some of the world’s most pressing energy challenges and contribute to Abu Dhabi’s economic growth and diversification.

On the occasion, Dr Sultan Al Jaber, CEO of Masdar, and Chairman of the Executive Committee of the Board of Trustees of Masdar Institute, said: “Thanks to the guidance of His Highness Shaikh Khalifa bin Zayed Al Nahyan and His Highness Shaikh Mohammed bin Zayed Al Nahyan, Abu Dhabi is dedicated to higher education as a key element to the successful integration and adoption of clean energy and forging commercialisation opportunities for the region. Masdar Institute is the foundation for shaping future scientists, and is a core driver in moving to a knowledge-based economy, with a strong focus on intellectual capital.”

He further emphasised that the advancements in renewable energy and clean technology were vital to diversifying Abu Dhabi’s economy, creating jobs, helping meet rising energy demands, expanding its energy portfolio and conserving its hydrocarbon resources. He added that Masdar had demonstrated that being a leader in alternative energy required focus on long-term strategic planning, careful decision-making, adaptability and flexibility to market conditions and technological innovation.

The announcement, underpinning this aspect highlighted that the institute has smart, high-performance building design, and its facilities use 54% less potable water, have shown 51% reduction in electrical demand and are fully powered by solar energy. While constructing the buildings, a special mix of concrete was also used to minimise carbon emissions, and the wood used came from sustainable forests, the announcement claimed. These measures underscore Masdar’s ongoing focus to use environmentally friendly materials and recycling all that is unused, in order to minimise the ecological footprint, it added.