DUBAI, UAE, 2 June 2022: Nadia Ibrahim, Associate Director – Consultancy & Sustainability at smart and green facilities management (FM) company, Farnek, spoke of the need for looking at regenerative design, on Day 1 of the second edition of Retrofit Tech Abu Dhabi Summit, on June 1.

Participating in a panel discussion, titled Net-Zero Energy Projects – Challenges, Opportunities and the Realities, Ibrahim spoke on how best to achieve the UAE capital’s Net Zero ambitions through retrofitting existing buildings. “Looking at the big picture, Net Zero is a tool to stabilise climate change, through the significant reduction of carbon emissions,” she said. “I like to use the term, ‘Regenerative Design’ rather than retrofitting. What we need are designs that focus on reducing carbon emissions, rather than those which merely emphasise energy and cost savings alone.”

Ibrahim went on to describe a strategic approach, including the overall assessment of buildings using advanced modelling tools, the differing levels of refurbishment, the renewable energy component and the increased awareness and use of digital tools, such as the HITEK solution, which integrates with Building Management Systems (BMS) to identify, design and focus on reducing carbon emissions through energy reduction and materials management. However, Ibrahim also acknowledged the challenges faced when trying to execute a retrofitting project. “One barrier is commonly referred to as the ‘split incentive’,” she said. “This is where the landlord is responsible for the capital expenditure to make the efficiency improvements, but the tenant is the one who is likely to benefit from lower energy bills. Overcoming this barrier through both regulatory and voluntary measures will be key to making progress on this front.

“Inadequate financial support is also holding back energy efficiency and green government initiatives. Most buildings are privately owned, but local developers and investors are reluctant to commit to the initial capital expense, because risk-averse banks are unlikely to offer financial backing for what is still a relatively new process. “UAE banks should develop risk analysis mechanisms to measure the potential for lending to this market, and energy services companies (ESCOs) should raise awareness within the financial community and try to complete as many projects as possible to establish a track record. Banks could also create energy efficiency funds, while investors should be encouraged to take a longer-term view of the returns, which in some cases can continue for up to 30 years.”

In terms of other solutions, Ibrahim suggested that government incentives would be key to unlocking and accelerating retrofitting projects, such as rebates, subsidies and, in the near future, tax credits. The event, at the Conrad Hotel, in Abu Dhabi’s Etihad Towers, attracted over 300 delegates. Co-hosted by Abu Dhabi Energy Services (ADES), it brought together key stakeholders across the energy efficiency, sustainability and retrofitting sectors, to help achieve Abu Dhabi’s energy goals.

Moderated by Hassan Younes, Co-CEO and Founder, GRFN, the event saw participation from Majid Ideisian, Project Manager, Financial Sustainability and Investment Department, UAE Ministry of Energy and Infrastructure; Mohamed Al Hadhrami, Energy & Water Efficiency Accelerators Directorate, Abu Dhabi Department of Energy; and Amer Bin Ahmed, Managing Director, Knauf Middle East.

The UAE has already committed to Net Zero by 2050 and will host COP28 in 2023. Abu Dhabi also has progressive plans, such as the Demand Side Management and Energy Rationalization Strategy 2030, which will initiate large-scale retrofitting and energy efficiency projects, for which sustainable design and energy efficient performance will be of paramount importance to achieving its Net Zero targets.