FEBRUARY2010
MODON awards water network contRact Emerson announces human-centred design APPLYING THOUGHT TO WATER IN THE MIDDLE EAST
Moya Holdings acquires 51% stake in Dayen
Features Pump life-cycle cost demystified (No) Appetite for Risk
Interviews Michael Toh MD, Singapore International Water Week Ramuel Garcia Manager, Pure Technologies
PLUS:
Marketplace Tenders & Contracts Events Watch
INSIDE!
Retrofit News and Chronicle
The essence of
purification
Upcoming plans of Tanqia, the first privately owned wastewater collection and treatment system in the Middle East
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CONTENTS
applying thought to water in the middle east february2010 06 EDITORIAL
Growing bonds
08 News Briefs 12 HAPPENINGS
The Region
18 HAPPENINGS
At Large
22 marketPlace 28 feature:
singapore Water, Singapore style
COVER STORY
The essence of purification The ins and outs, and upcoming plans of Tanqia, the first privately owned wastewater collection and treatment system in the UAE as well as the Middle East.
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The development of Singapore’s water industry and how Singapore can learn from as well as contribute to the Middle East’s water sector
30 feature: pump cycle
Pump life-cycle cost demystified
The ‘low life-cycle cost’ (LLC) in the context of centrifugal pumps (for utility applications), and why it is becoming an interesting topic for capital and replacement projects
38 leading perspectives
(No) Appetite for risk
Is project financing for water projects in the Middle East headed for uncertain times?
44 interview
Leak specialists
Ramuel Garcia responded to questions on reasons for setting up the Abu Dhabi branch office, the water/wastewater leak detection technology developed in-house, and market potential for such technologies in the Gulf region
46 tenders and projects
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30
30
50 events watch
Inside: Retrofit News and Chronicle the tenants can track energy use on a 15-minute or half-an-hour basis. they can now benchmark themselves against other tenants in the same building. p7
Pit-stop strategy
the advantages, risks and challenges of a retrofit exercise february 2010 • www.cpi-industry.com
Tecom InvesTmenTs offIce (Building 4) in duBai internet City
Page 2
Interview Clay g nesler and iain a Campbell, JCi Page 5
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38
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Retrofit Champion Mario Seneviratne Page 7
2 Pit-stop strategy 3 Feature: Retroffiting? LEED on! 5 Interview: The Empire’s new clothes 7 Retrofit champion: Mario Seneviratne
retrofit news and chronicle is a joint initiative of:
februARY 2010
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Under the Patronage of H.H. Sheikh Hamdan bin Rashid Al Maktoum Deputy Ruler of Dubai and UAE Minister of Finance
WETEX 2010 WETEX 2010
Delivering The World's Latest Innovations In Water, Energy Technology & Environment Exhibitions
WETEX 9 -11 March 2010 Za’abeel Hall, Dubai Convention & Exhibition Centre
WETEX 2010 brings National and International companies closer to the latest technology and management solutions, aside from becoming a regional resourcing platform to access the latest developments in the region in the field of Water, Energy and Environment.
Main Sponsors :
Co Sponsors :
WETEX 2010 A perfect place to meet largest number of Institutional buyers all the Regional Water and Electricity Authorities. The region is witnessing phenomenal growth in water, energy and environment activities offering lucrative business opportunities. A cost effective and targeted medium to meet senior level decision makers. An opportunity to renew and reaffirm contacts within a large exhibition environment.
GO C
editor’s note Growing bonds N
on-technical sessions tend to provide a welcome break in overwhelmingly technical seminars. Thus I came to be at two finance sessions last year, one at the IDA Desalination Congress in November and the second one at the MEED Wastewater Conference in December, with both looking at the future of privatisation in the Middle East’s water sector in the aftermath of the global financial crisis. The key takeaway was that only properly structured projects, in correctly unbundled sectors, backed by financially solid sponsors, and (surprisingly) government support stood a decent chance of getting project finance. From 2003 to 2008, massive infrastructure investment was a major factor and contributor to economic growth, productivity gains, increased private sector investment and diversification in the GCC countries. As Dr Nasser Saidi, Chief Economist, Dubai International Financial Centre (DIFC) reaffirmed at a recent seminar, continued infrastructure spending has helped stabilise the region’s economies, insulated them to some extent from the contagion effect of the credit crunch and helped sustain growth. However, given the major restructuring of the financial sector underway, post-2008, there is a question mark on the availability of sufficient project finance to fund infrastructure projects, water included. Private sector investment seems to be taking a back seat to increased government involvement while developers and EPC contractors are cribbing about higher fees and decreasing pool of lenders. But not every government can step in and do a Ras Azour, like the Saudis; so alternative fund raising options doing the rounds included tapping the local bond market. This is easier said than done, as Middle Eastern capital markets are dominated by bank assets and equities. Bond financing for infrastructure projects did not get due consideration since the region’s large current account and fiscal surpluses, thanks to its hydrocarbon wealth. encouraged funding via banks or the government. However, post-crisis, things are being looked at afresh. Lower hydrocarbon revenues, reluctant lenders and very high long term borrowing costs are resuscitating interest in the development of debt markets in local currencies. According to a DIFC note, given the pool of wealth accumulated in the region, local investors could be relied on to provide liquidity since alternative options, like US treasuries, aren’t too attractive. The steps needed to taken to develop such debt markets are beyond the scope of this editorial. But it would suffice to say that a strong local currency debt market can become a alternative financing resource for the region’s infrastructure and development projects, and simultaneously, strengthen the overall resilience of the region’s economies against external shocks. On a different note, starting with this issue of H20, we are launching a supplement, called Retrofit News and Chronicle which will track the retrofit activities in the region across the power, water and HVACR industries. As the name suggests, the supplement will contain news relating to ongoing retrofit projects in the region, the people involved and the products and services infrastructure available. In addition, it will feature case studies of marquee projects in the region and elsewhere and chronicle the evolutionary stages of ongoing projects. This may be a case of stating the obvious, but the aim of chronicling the projects is to get a feel for the progress being made, the challenges encountered along the way and the expertise and solutions at work to surmount the obstacles.
Anoop K Menon
Get the next issue of H2O early! Did you know that H2O is also available electronically? Get a digitised copy of the magazine before the issue goes for print! As a bonus, the digital version includes such features as a keyword search, annotation, highlight, note-making and hot links. For more details, please access www.cpi-industry.com/digital (Zinio is a digital publishing firm based in the USA.)
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february 2010
Publisher Dominic De Sousa Managing Director & Associate Publisher Frédéric Paillé • fred@cpi-industry.com Editorial Director & Associate Publisher B Surendar • surendar@cpi-industry.com Editor Anoop K Menon • anoop@cpi-industry.com Features Writer Samantha Keck • samantha@cpi-industry.com Business Development Manager Vedran Dedic • vedran@cpi-industry.com Design Rey Delante • rey@cpi-industry.com Ulysses Galgo • uly@cpi-industry.com Head of Digital Services Nadeem Hood • nadeem@cpidubai.com Webmaster Troy Maagma • troy@cpidubai.com Database/Subscriptions Manager Purwanti Srirejeki | purwanti@cpi-industry.com ADVERTISING ENQUIRIES Frédéric Paillé: +971 50 7147204 fred@cpi-industry.com Vedran Dedic: +971 50 3756834 vedran@cpi-industry.com Euro Zone and UK Joseph Quinn, HORSESHOE MEDIA Tel: +44 (0)20 8687 4139 Fax: +44 (0)20 8687 4130 Marshall House, 124 Middleton Road Morden, Surrey, SM4 6RW, UK North America Rakesh Saxena, CPI INDUSTRY North America Branch Tel: +1 905 890 5031 Fax: +1 905 890 5031 GSM: +1 416 841 5050 rakesh@cpi-industry.com Published by
Head Office PO Box 13700 Dubai, UAE Tel: +971 4 3756830 Fax: +971 4 4341906 Web: www.cpi-industry.com Printed by: Excel Printing Press, Sharjah, UAE © Copyright 2010 CPI. All rights reserved. While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.
news briefs SWCC clears projects worth SR40 billion
The board of directors of Saline Water Conversion Corporation (SWCC) have approved four water projects worth SR40 billion. The board approved the implementation of the Ras Azour IWPP, phase three of Yanbu desalination plant (Yanbu III) and three pipelines linking Ras Azour with Riyadh, Hafr Al Batin-Naeeriya and third pipeline for Yanbu-III. The meeting also thanked The Custodian of the Two Holy Mosques, King Abdullah bin Abdulaziz, for allocating SR13.4 billion for SWCC in the national budget for 2010, the highest budget in the corporation’s history. Saudi Arabia requires new investments worth more than $50 billion for desalination projects during the next 10 years.
INNOVATION Norit’s next gen Aquaflex system Norit X-Flow has introduced a new generation Norit Aquaflex, which the company claims offers the best performance at the lowest financial and environmental footprint available in the industry today. Combining the smallest membrane pore size, highest permeate output and lowest energy requirement, Norit X-Flow delivers ultrafiltration (UF) technologies with a higher capacity and lower resource requirement. The next generation of Norit Aquaflex features 40% more filtration surface per membrane module; up to 25% higher flux rates from the re-engineered Aquaflex skid; 90-98% recovery rate; 75% overall increase in permeate output; 50% reduction in chemical use; Microbiological retention (Bacteria: 99.9999% and Viruses: 99.99%) and up to 40% reduction in capex/opex.
Vented seal carrier Nitto Denko/Hydranautics has released a vented seal carrier design for all RO membrane elements which prevents pressure shocks to the element shell and reduces element burst risk. The design incorporates a series of vents, or notches, in the anti-telescoping device 8
february 2010
(ATD) that releases air trapped between the membrane element and the pressure vessel, preventing a pressure difference around the elements from occurring. Without this release, the build up of differential pressure can result in element bursting.
Advanced MBBR technology An advanced biological treatment for highly loaded industrial process or waste waters is being deployed in Australia by Eimco Water TechnologiesAJM Environmental Services (EWT-AJM), reports Water 21. The FlooBed Moving Bed Bioreactor (MBBR) technology tolerates higher variations in water quality and flow compared with other wastewater technologies yet maintains high treatment efficiency. John Koumoukelis, AJM-EWT national sales manager said: “This is a reliable and easy to operate technology that has been employed extensively with great success by the global Eimco Water Technologies Group, for which it is a key technology. The success, originally founded on the pulp and paper industry, has now been extended to cover applications across the industrial spectrum, including food and beverage, manufacturing, resources and municipal. Already its potential has been demonstrated in Australia with the first projects here involving treatment of highly loaded wastewater in the food and beverage sector.”
Tracing gadolinium MWH Laboratories has introduced a new method to identify the presence of wastewater in ground and surface waters. MWH Laboratories now can analyse at ultra-low levels for gadolinium (Gd), a rare earth element typically injected into patients undergoing MRI scans to improve the imaging quality of the medical test. Once it passes through the body, gadolinium enters sewer systems. In samples of reclaimed water, a high level of gadolinium relative to other earth elements is one indicator of wastewater contamination. MWH Laboratories experts can now identify a “gadolinium anomaly,” or excess levels of Gd, at parts per trillion (ppt) levels to determine the presence of wastewater despite extremely low concentrations or significant dilution. MWH Laboratories is a division of MWH, a global wet infrastructure sector leader and provider of environmental engineering, construction and strategic consulting services.
research IDA’s Fellowship Award Programme The International Desalination Association (IDA) is seeking applications for its 2010 Fellowship Award Programme. The Association has named the Water Corporation and Murdoch University in Western Australia as joint host agencies for its 2010 Fellowship Award Programme. The goal of the IDA Fellowship Programme is to facilitate the advancement of global expertise in desalination and water reuse through the exchange of talents, knowledge and skills. The programme consists of both a monetary award, funded through the IDA Foundation, and an attachment spanning several weeks with the host agency to work on a specific project. Through this process, the IDA Fellow becomes a conduit for knowledge transfer when he or she shares their learning with their own organisation, as well as with other fellow professionals through IDA’s publications or presentations at major IDA events. The application deadline for the 2010 Fellowship Programme is April 15. Guidelines for eligibility, selection criteria and other important dates are available at www.idadesal.org.
environmental technologies such as water reuse, membranes and desalination.
in passing Stover exits from ERI
Sustainable water inititaive Texas A&M University Qatar (TAMUQ) will launch Qatar Sustainable Water and Energy Utilisation Initiative (QWE) early February 2010, reports The Peninsula. The Minister of State for Energy and Industry Affairs H. E. Dr Mohammed Saleh Al Sada will formally launch the initiative. The QWE was organised in 2009 under the patronage of the Deputy Prime Minister and Minister of Energy & Industry H. E. Abdulla bin Hamad Al Attiyah, to be a centre of excellence that will provide scientific and technical support needed to sustain the water and energy resources of Qatar. According to a university communiqué, the launch will be the formal endorsement of the Institute and the prelude to a significant expansion of its activities.
Nalco to partner KAUST The King Abdullah University of Science and Technology (KAUST) and Nalco, a leading water treatment and process-improvement services company, have signed two agreements establishing the latter as a Founding Member of the (KAUST) Industrial Collaboration Programme (KICP) and as a research partner of the Centre Industrial Affiliates Programme (CIAP). These agreements will create opportunities for cooperation between KAUST and Nalco. KAUST President Choon Fong Shih said that Nalco is a natural choice as a strategic partner for KAUST to harness science and technology and catalyse innovation and enterprise for the benefit of the Kingdom and beyond. Nalco Chairman and CEO Erik Fyrwald and Chief Technology Officer Manian Ramesh noted that by partnering with universities like KAUST to combine the extensive intellectual talent available outside, Nalco hopes to help advance important
Dr. Richard L. Stover, Chief Technology Officer and Senior Vice President of Aftermarket, is leaving Energy Recovery to pursue other endeavours. During his eight years at Energy Recovery (ERI), Stover has made numerous technical contributions and was instrumental in the fast growth of the Company during a critical period. He also built a strong, talented team in research and development and technical services. “We are extremely grateful for Dr. Stover’s contribution to the growth of our business and wish him all the best in his new work,” said G G Pique, president and CEO of Energy Recovery. “He developed a solid R&D organisation with the experience and skill sets to implement future generations of the Company’s PX technology, and to enable other product breakthroughs.”
project Testing initiated The implementing company of the Al Ghubrah Al Athaibah wastewater project has started pilot connections of the wastewater network to buildings and installations, reports The Times of Oman. About 98% of the wastewater network (350-km long) has been completed. Within the next six months, approximately 5,500 buildings will be connected with the network at different intervals. The connectivity scope has been limited so far in order to carry out the relevant testing and inspection on the networks. The experimental operation is currently being conducted at the Central Pumping Station at Al Athaibah area which pumps out all of the flowing effluents through the main conveying line from different parts in the wilayat of Bausher to the Al Ansab plant for treatment.
Jeddah sewerage update Abdullah Al-Hussayyen, Minister of Water and Electricity has maintained that there were no shortcomings in the execution of the sewerage projects worth SR1 billion in Jeddah, reports The Saudi
Gazette. The minister was responding to the findings of the General Auditing Bureau (GAB) regarding issues impeding the execution of the sanitary drainage networks in northern and central districts in Jeddah. The minister noted that the report only focussed on the contractor’s shortcomings, but failed to consider the lack of co-operation by other agencies including the Jeddah Traffic Police and mayoralty. The Ministry of Water has extended the 36-month execution period by 13 months and also delayed its implementation to another 26 months.
Time frame for Al Ghubrah Oman Power and Water Procurement Company is targeting an October 1, 2010 timeframe for the award of a contract for the establishment of a new Independent Water and Power Project (IWPP) at Al Ghubrah in Muscat Governorate, reports the Oman Daily Observer. Al Ghubrah will be a gas-fired plant with a power generation component of 450-600MW and desalination component of 30MIGD and a 15-year power and water purchase agreement. The project is estimated to involve a capital investment of around $1-1.2 billion. Muscat Zone, an area covering Muscat Governorate and the South Batinah and Dakliyah regions, is currently served by the Al Ghubrah Power and Desalination Plant, with a capacity of around 40MIGD and the Barka I Power and Desalination Plant, with a capacity of 20MIGD.
JV bags Nablus water project A joint venture between Arabtec and Al Mukawilon Contracting Company has signed an agreement with Nablus Municipality for the Water Loss Reduction Phase Two project. The time for completion of the Dh44.7 million project is 20 months. The project is financed by KFW Bank and is a part of the donations programme set for Nablus Municipality. The project is part of the strategic plan developed by the municipality which stipulates changing and developing the major and minor water networks and domestic water connection in the entire areas of Nablus city including several streets to reduce the water cost on consumers. Riad Kamal, the CEO of Arabtec Holding PJSC said, “This is an important social project for helping the people of februARY 2010
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news briefs Nablus, and is part of our geographic expansion in the MENA Region.”
PAEW plans leak detection system Oman’s Public Authority for Electricity and Water (PAEW) is is planning to launch a SCADA-based leak detection and breakdown monitoring system for the Muscat Governorate’s extensive water transmission network, reports the Oman Daily Observer. The initiative will allow PAEW to be alerted to any supply disruptions stemming from pipeline ruptures, leaks, machinery breakdowns and other causes, and to take immediate remedial action. A state-ofthe-art Supervisory Control and Data Acquisition System (SCADA), complete with flow meters, pressure gauges, and other instrumentation that will monitor the health of the transmission network from a Central Control Room at Bausher. The system is expected to become operational in 2012. PAEW has appointed engineering consultants W S Atkins to study the need for replacing parts of the transmission network, built largely in the 1970s with cement and ductile iron pipes. Separately, it has commissioned Mott MacDonald to design water network extensions catering to the capital city’s rapidly expanding suburbs.
World’s biggest wastewater plant ATLATEC, a subsidiary of Mitsui & Co together with IDEAL, ICA and ACCIONA AGUA concluded a 25-year wastewater treatment service agreement with National Water Commission of Mexico (CONAGUA) which involves the construction and operation of the world’s biggest wastewater treatment plant, constructed in a single stage. The consortium will design and build the wastewater treatment plant with a nominal capacity of 35,000 litres per second and peak capacity of 52,000 litres per second (during the monsoon) at Atotonilco, Hidalgo state, which is about 60 kilometres north east of Mexico City. The State of Hidalgo is one of the breadbasket states in Mexico and has been irrigated using untreated wastewater coming from the Mexico City and its metropolitan area. Thus environmental pollution had become 10
february 2010
an urgent issue in that region. The plant will treat nearly 60% of the wastewater emitted by the metropolitan area of Mexico City and is expected to increase level of wastewater treated in Mexico from 36% to 60%.
Kahramaa outlines $9-billion spend The Qatar General Electricity and Water Corporation (Kahramaa) is planning to spend $9 billion for augmenting its water distribution network across the country, reports The Peninsula. A QR41 million water network project within the New Doha International Airport (NDIA) has been completed while a QR90 million work for replacing the water network system in Doha is also fast progressing. Kahramaa has also launched several projects to replace the old and obsolete water distribution networks in airport area, Old Salwa, south-West Doha, Mesaieed, West Bay, Umm Salal and Al Khor.
Desal plant in Yemen A Yemeni-Saudi joint venture has started the implementation of a $31- million water desalination plant in the western port city of Hodeida. The project is located in the Duraihimy area along the western coastline and would be implemented in three phases with a capacity of 40,000 m3/day.
regional programme Bahrain signs up for UNDP initiative Bahrain has signed up for the Regional Water Governance Programme for Arab States, which is aimed at strengthening the governance, management and effective use of scarce water resources in the Arab world. The $10.4 million programme is being spearheaded by the United Nations Development Programme (UNDP). Funding for specific activities for Bahrain will be provided by the Coca Cola Eurasia partnership. The Regional Water Governance Programme aims to support the achievement of UN Millennium Development Goals in regards to improving water supply and sanitation as well as promoting an integrated approach to water resources management in the Arab region. It is envisaged to act as a
catalyst for effective water governance through the provision of technical and policy support, and capacity building. The programme will also be addressing some cross cutting issues such as climate change, trans-boundary water management, gender mainstreaming and awareness.
venture capital
Dow invests water filtration start-up Clean Filtration Technologies has announced that it has concluded a first closing of $1.5 million in a new round of financing led by The Dow Chemical Company (Dow) through its Venture Capital group. An additional and final closing is anticipated in 2010 that will bring the total investment to $3 million. CFT is the company behind the CFT Turboclone hydroclone system, a patented water filtration device designed to efficiently reduce total suspended solids (TSS) from difficult-to-filter water. Reducing this particulate matter produces a consistent high quality feed stream that is suitable for numerous applications such as wastewater reuse, potable water processing, industrial processing and agricultural irrigation. The CFT Turboclone filtration device utilises both hydroclone and cross flow filtration technologies. This combination creates an efficient treatment solution for difficult to filter feed waters, such as those from many surface or water reuse sources. In addition to investment support from Dow Venture Capital, the Dow Water & Process Solutions business is looking at the potential of the CFT Turboclone system as a separation device for various water treatment applications, including those that utilise ultrafiltration. Commercial supplies of CFT Turboclone systems will be available in the second half of 2010 for customers in the US and Mexico.
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Happenings > the region
Water on the radar Abu Dhabi sets up permanent committee on water and agriculture resources Under the directives of H.H President Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE, H.H. General Mohammad bin Zayed Al Nahyan Crown Prince of Abu Dhabi, Deputy Supreme Commander of the UAE Armed Forces and Chairman of the Executive Council of the Emirate of Abu Dhabi, Decree No. (87) was issued on December 24, 2009 to set up a Permanent Committee for Water and Agriculture Resources. The Committee is chaired by H.E. Mohammad Al Bowardi, Secretary General of Abu Dhabi Executive Council with H.E. Majid Al Mansouri, Secretary General of Environment Agency - Abu Dhabi (EAD) as deputy chairman of the committee. The decree was issued because it is in line with the aspirations of the Government of the Emirate of Abu Dhabi to develop ambitious policies, strategies and plans in the water and agriculture sector. Moreover, it reflects the integration of efforts to preserve water resources, in addition to rationalising and maximising efficiency to serve the various development sectors and maintain the prosperity of the Emirate and its global leadership in this area. The Committee’s responsibility includes developing an inventory of all water resources in the Emirate. This includes groundwater, desalinated and treated wastewater. It shall review the modern techniques of water production and treatment and adopt the development of these techniques and the use of renewable sources of energy in the production of water. It will be responsible for evaluating, reviewing and adopting policies, strategies and action plans related to the treatment of waste water and reusing it. The Committee will also study the best techniques used in the agricultural field and how they could contribute in increasing the food self-efficiency, as well as reviewing and analysing the criteria of the underground water for the provision of a strategic storage, in addition to developing a plan for providing water at 12
february 2010
emergency circumstances. Moreover, the Committee will study ways of rationalising water consumption and establishing water and treated waste water networks. It will study the use of native plants to adorn the cities and streets and will also look into the establishment of an Abu Dhabi Water Council. At its first meeting, H.E. Mohammed Al Bowardi stressed the importance of water resources in the development process and the economic, environmental and social impact of the challenges facing the rationalisation of water usage. He stressed the need to develop a general framework for the development of water resources through giving attention to all available resources including treated waste water to be used for all purposes as done in Singapore, noting that the use of treated waste water for irrigation and the application of better irrigation systems and agricultural techniques is an integral part of the agriculture strategy and food security, which could bring precedence and leadership to the Emirate at the global level and provides a lot of investments. The Permanent Committee’s recommendations included: • To form a technical secretariat of the Committee that would include a number of experts in water resources, agriculture, irrigation, the reuse of treated water and the calculation of water requirements and consumption of crops and plants to water and this is to be done by the best experts in this field. • To adopt a proposed study of advanced treatment (nano, ultra) for wastewater. • To study and develop the terms of reference for the establishment of a productive farm. • EAD to conduct the project of inventorying all the wells and farms as well as measuring soil and water salinity and classifying them in addition to developing an exemplary data base. • To link waste water treatment units, which has a non-used surplus of treated wastewater, to irrigate the forests or the parks and the gardens in these areas.
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Desal projects firmed up by PAEW in Oman in 2010 Source: Oman Daily Observer
200,000
M3/day: Total treated effluent discharged by Abu Dhabi Sewerage Services Co (ADSSC) into the sea Source: ADSSC
4,682
Km. Projected increase in the length of Qatar’s water network system by 2012. Source: The Peninsula
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Average life span of membranes (wastewater treatment) Source: EIMCO
Moulding water heroes
EWS-WWF and EAD announce water conservation campaign to combat water wastage in the country The Emirates Wildlife Society in association with the World Wide Fund for Nature (EWS-WWF) and the Environment Agency - Abu Dhabi (EAD) has launched the ‘Heroes of the UAE’ water campaign to encourage UAE residents to adopt simple tips to reduce their water wastage. High consumption of water is an important contributor to the UAE’s Ecological Footprint, the highest Footprint per capita of the world. This is largely because almost 100% of the country’s drinking water is desalinated. Speaking at the launch, H.E. Dr Rashid bin Fahad, Minister of Environment and Water, explained that the Heroes campaign is focused on highlighting the need to reduce our water consumption, and demonstrating the difference every resident can make through implementing simple every day changes to their routine, “At its heart, the Heroes of the UAE campaign carries a powerful motto, that we believe resonates with all of us – it is about our future, it’s about intergenerational equity, our one planet and our children: ‘A sustainable UAE – every child’s right’.” By implementing just three of the ‘Heroes’ water tips, households can reduce water consumption by up to 46% (252 litres per person) without noticing a change in comfort or lifestyle. If implemented by everyone in the UAE, these tips can save 410 billion litres of water per year, or the equivalent of 164,250 Olympic sized swimming pools. At the launch of the campaign, H.E. Majid Al Mansouri, Secretary General of EAD said, “As part of our commitment, EAD will be installing water saving devices for free in mosques, schools, commercial and government buildings, and households throughout 2010 in the Emirate of Abu Dhabi. These devices will reduce the water consumption of the Emirate by 30%, and will have a significant positive impact on the environment.” ‘Heroes of the UAE’, is a national campaign which aims to raise awareness and inspire all sectors of UAE society – individuals, households, schools,
businesses and government -- to adopt more sustainable lifestyles and practices. The campaign launched its energy conservation component in February last year to urge UAE society to take action and reduce their high energy consumption. The campaign is now building on the successes of this first phase to launch a water conservation component. The campaign’s interactive website (www. heroesoftheuae.ae) has been designed specifically to educate visitors about the
UAE’s water problem, simple solutions that can be implemented, as well as provide a forum for people to pledge support to take action and join the campaign. Major sponsors of the ‘Heroes of the UAE’ are the Abu Dhabi Media Company, ADWEA, HSBC Bank Middle East and Masdar. The campaign has also been endorsed by the Ministry of Education, Ministry of Energy, Ministry of Environment & Water and the Executive Affairs Authority of Abu Dhabi.
H.E. Dr Rashid bin Fahad, Minister of Environment and Water
februARY 2010
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Happenings > the region
Toray bags Al Dur order Toray wins two large orders in Bahrain and Spain to supply RO membranes for desalination plants Toray Industries has won an order to supply reverse osmosis (RO) membranes for the Al Dur desalination plant in Bahrain. The Al Dur deal closely follows a similar order for the 500,000 m3/day Magtaa desalination plant in Algeria. The 218,000 m3/ day Al Dur SWRO plant is being developed as part of the Al-Dur Independent Water and Power Project. This is the largest project of its kind in Bahrain under a 20 year-contract between GDF Suez of France and the Electricity & Water Authority of Bahrain to supply water and power. Degrémont a subsidiary of Suez Environnement won the order to build the plant. This is the first time that Toray is supplying its RO membranes to a largescale desalination plant in Bahrain. The Al Dur Desalination Plant is second only to the recently announced Magtaa Seawater Desalination Plant in Algeria in terms of size,
and the biggest in the Middle East using Toray membranes. Toray also bagged the order to supplt RO membranes for the 98,600m3/day Campo de Dalías Desalination Plant in Spain for which a consortium consisting of Veolia Water Solutions & Technologies Ibérica, Veolia Agua, Sando Construcciones, Inypsa and Montajes Eléctricos Crescencio Pérez have signed a 15 year DBO (design, build and operate) contract. Toray has supplied RO membranes to the world’s largest urban sewage reuse plant in Sulaibiya, Kuwait (with a capacity of 320,000 m3/day). Toray’s RO membranes process 1.2 million m3/day in sewage reuse globally. The RO membrane market has been expanding at an annual rate exceeding 12%; demand is expected to grow at an annual rate of 30% in seawater and
brine desalination applications as plant capacities expand. Further growth in demand for RO membranes is anticipated as new markets such as urban sewage and wastewater reuse plants are expanding in addition to the growth in industrial applications, such as production of water for use in boilers. Toray has enhanced the production capacity of RO membrane elements at its existing facilities – Ehime Plant in Japan and Toray Membrane USA (TMUS) in the US - to address the growing demand. It established a joint venture company Toray BlueStar Membrane Co in Beijing with China National BlueStar (Group) in July 2009 to produce RO membranes. The facility under this joint venture is scheduled to start operations in April 2010. These expansions and the new facility will quadruple Toray’s RO membrane element production capacity.
Singapore acquistion
Bahrain-based Moya Holding is acquiring a 51% stake in the Singaporean water services major Dayen
Moya Holding Company, a Bahrainbased water treatment and services company, is acquiring a majority stake in the Singapore-based Dayen Environmental, one of the leading water services company in the city state. Dayen is listed on the Singapore Stock Exchange and is a founding member of Singapore International Water Week (SIWW). On December 17, 2009, Dayen announced a strategic Share Placement with Moya for the latter to invest approximately S$20 million in cash, in return for shares and share options representing a 51% interest in the enlarged capital of Dayen. Adil Bushnak, executive chairman of Jeddah-based Moya Bushnak and vice chairman of Manama-based Moya Holding Company, said: “This acquisition is our first step toward considering more 14
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such acquisitions and help broaden our water sector capabilities, locally, regionally and globally.” The completion of the transaction is subject to a number of conditions including shareholder approval. Moya has already successfully concluded a commercial and business review of the company. “This transaction will be a bridge between the GCC (Gulf Cooperation Council), Singapore and Asian water markets,” Nahed Taher, founder and CEO of Gulf One Investment Bank. The S$20 million investment from Moya is expected to strengthen Dayen’s participation in higher value contracts, and enable the company to expand its portfolios to include significantly larger and more complex projects. Dayen has entered FY 2010 with
additional two new projects in Bahrain and Qatar worth S$2.99 million. It signed a contract with Waagner Biro Qatar (Waagner Biro) for a new Ultra-Filtration (UF) project in Qatar. The contract, which is valued at $583,000, will entail designing, supplying, installation and commissioning of an UF system for a treated sewage effluent polishing plant for Waagner Biro. Last year, Dayen Environmental entered into a contract with Habib Ali Awachi & Sons Group (Habib Awachi) for a new sewage treatment plant (STP) in Bahrain. Under the contract, Dayen will supply and supervise the installation and commissioning of a 1,000m3/ day municipal STP system using MBR technology for The Bahrain Petroleum Company (BAPCO). The contract is worth $1.55 million.
Power & Water Conference & Exhibition 4-6 October 2010 Qatar International Exhibition Centre, Doha, Qatar www.power-gen-middleeast.com
under the Patronage of his Excellency mr. abdullah bin hamad al-attiyah, Deputy Prime minister and minister of Energy & Industry
new solutions for the region’s
Power & Water Challenges Call fOr PaPErs abstraCt submIttal DEaDlInE: 5 marCh 2010 POWER-GEN Middle East is the annual gathering of the region’s power and water industry who will discuss this challenge, and many other power and water related issues. as a professional in the power and water industry, it’s the event you cannot afford to miss... Strategic Power Track - market structure and regulation - strategic planning - Emerging market trends - Industry investment - Project issues
Technical Power Track - Power generation technologies - Operation and maintenance - Power augmentation - transmission and distribution
Water Track - Water sector structure and regulation - strategic planning & management - Desalination - Water treatment - Wastewater treatment - Collection and distribution networks
to submit your abstract for the conference, or for further information on exhibiting or participating at the event visit www.power-gen-middleeast.com If you are involved in power and water industries and are looking to increase your business in the middle East, don’t miss this prime opportunity to stay ahead of the competition and reach the region’s key decision makers. For information about participating at the conference as a speaker or delegate, please contact: samantha malcolm Conference manager t: +44 (0) 1992 656 619 f: +44 (0) 1992 656 735 E: paperspgme@pennwell.com
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Happenings > the region
Water services deal Modon awards BOT contract worth SR600 million for water and sanitation infrastructure in Jeddah 2nd Industrial City H.E. Dr. Tawfig bin Fawzan Alrabiah, the Director General of Saudi Industrial Property Authority (MODON) signed a network construction contract for water, sanitation, industrial drainage, irrigation and a 45,000 m³/day wastewater treatment plant in the Jeddah 2nd Industrial city. The BOT contract was signed with Mowah Company, one of the leading companies in the field of water services in Saudi Arabia. The project includes establishment of wastewater treatment plant, establishment of three (drinking, irrigation, and sanitation) water networks, industrial drainage network, pumping stations and a modern control system. Dr. Alrabiah said: “The company’s investment in this project is SR600 million, while the expected time frame for the completion of the project is three years in its first phase. The project will cover the needs of factories in Jeddah 2nd industrial city which is spread across an area of eight million square metres and will provide different types of water, from which the industries established in the city
and district cooling shall This project is benefit.” expected to create direct The chairman of Mowah employment for 360 Company Eng. Sami people in the construction Ben Fahd Al-Rayes said phase and 66 people in that the project provides its operational phase, in infrastructure services for addition to about 1,000 the new factories which indirect jobs. The project are expected to benefit will help relieve the from drinking water and traffic burden caused by industrial water supplies the movement of water along with sewage disposal, tanks on Jeddah roads. irrigation water as well as Furthermore, it will H.E. Dr. Tawfig bin Fawzan Alrabiah water for the district cooling reduce or limit pollution system of the city. and aggravation of sanitation problem Key project highlights are: of Jeddah city, by treating and re-using • Drinking water network: 90 kilometres sewage in industry. • Industrial wastewater network: 70 MODON currently oversees 18 existing kilometres industrial cities in various regions of the • Irrigation water network: 80 kilometres Kingdom (Riyadh 1 & 2, Jeddah 1 & 2, • Wastewater treatment plant: 45,000 m³/day. Dammam 1 & 2, Makkah, Qassim, Ahsa, • Drinking treatment plant: 35,000 m³/day. Madinah, Assir, Al Jouf, Tabuk, Hail, • Water pumping stations: 35,000 m³/day Najran, Al-Kharj, Jazan, and Ar’ar. The and 25,000 m³/day investments in these cities exceed SR200 • SCADA systems for monitoring all the billion and approximately 300,000 workers facilities are employed in these cities.
Solar desalination scheme KACST has launched the first phase of a national initiative for desalination by solar energy in Saudi Arabia King Abdulaziz City for Science and Technology (KACST) has launched an initiative to desalinate water using the solar energy under the patronage of the Custodian of the Two Holy Mosques King Abdullah Bin AbdulAziz and the participation of the Ministry of Finance, the Ministry of water & Electricity and the Saline Water Conversion Corporation (SWCC). At a press conference in Riyadh, Dr. Mohammed Ibrahim Al-Suwaiyel, KACST President said the Joint Search Centre for
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nanotechnologies opened in collaboration with IBM has been working on applying advanced nanotechnologies for solar power generation and in membranes used for desalination. Desalination is Saudi Arabia’s strategic choice to secure drinking water supply with 18% of the global desalination capacity based in the kingdom. The KACST President said that the national initiative on solar desalination will seek ways to reduce the high energy costs involved in desalination through solar
energy and thereby, reduce the cost of producing desalinated water. Prince Dr. Turki Saud Mohammad Al Saud, KACST Vice President for Research Institutes said that KACST has been working for over three decades on R&D programmes to tap the solar potential in the Kingdom, estimated at 20,000 kilowatt per every square meter annually. The National Initiative for Water Desalination using Solar energy would be executed on three phases over a period of nine years. The first phase targets the
Climate impact Study reveals effects of climate change on the UAE A report to identify and assess the potential magnitude of the physical impacts associated with climate change on the United Arab Emirates (UAE) was released by the Environment Agency - Abu Dhabi (EAD) recently. The three-volume report, titled ‘Climate Change and the UAE: Impact, Vulnerability and Adaptation in the UAE,’ focuses on the most vulnerable sectors: the UAE’s coastal zones and Abu Dhabi Emirate’s water resources and dry land ecosystems. This study was based on the international model and guidelines set for scenarios. “The UAE is seriously concerned about climate change on many levels. We are a country that already faces extreme climatic conditions and has precious natural resources; so long-term variations in temperature and precipitation will produce adverse impacts,” said H.E. Majid Al Mansouri, Secretary General of EAD.
will be adversely impacted. 3. Sea grass productivity will diminish. 4. Coral reefs will likely experience greater bleaching frequency. 5. Fishery habitats will be degraded. Dryland Ecosystems 1. Ecosystem displacement and/or disappearance. 2. Reaching a “tipping point” with subsequent ecosystem collapse. 3. Reduced biodiversity of flora and fauna. 4. Increased level of aridity and corresponding reductions in soil moisture. 5. Natural and managed ecosystems in mountains and Wadis are not droughtresistant and are at risk as temperatures rise and precipitation patterns change.
Impact of Climate Change on UAE Coastal Zones 1. Sabkhat areas will likely experience inland migration. 2. Much of the UAE’s mangrove forest area
Abu Dhabi Water Resources 1. Current patterns of water use are unsustainable. 2. Irrigated agriculture policy needs strategic reconsideration. ‘Greening the desert’ programmes and agricultural, forestry, and plantation irrigated areas make up more than 80% of the total annual water use.
building of a 30,000 m3/day RO plant, powered by a 10MW solar plant to meet the drinking water needs of Khafji city. The first phase, which has commenced, will cover a period of three years. The second phase targets the construction of a 300,000m3/day desalination plant, again spread over three years; the third phase targets the construction of a number of solar energy-powered water desalination plants for all parts of the kingdom. The KACST Vice President also said KACST would own production rights that would be licensed to the others and marketed abroad. Dr Ibrahim Abdulaziz Ala’ssaf, Minister of Finance assured the ministry’s full support for the initiative. Eng Abdullah Alhusayyen, Minister of Water & Electricity and Chairman of the
Board, SWCC, pointed out that demand for water and electricity in the kingdom is growing at seven per cent per annum, which is three times the population growth. Dr Khalid Al Suleiman- Deputy Minister of Commerce and Industry said that the targeted cost of generating electricity by using the solar energy is within 30 Halala/KWh, while the current cost is four times the figure and will be an enormous achievement. Mansour Al-Maiman, secretary general of the Public Investment Fund shed light on the role of the fund in supporting sectors whose nature of work requires large boosting. Dr Abdullah Abdulaziz Al-Sheikh, SWCC deputy-governor also attended the event.
3. Climate change will have a marginal impact on future water supply/demand; Even though average annual precipitation in Abu Dhabi has reached its lowest recorded levels during the last decade, future climate change is likely to have little impact on future water supplies compared to the effect of water demand. 4. Reducing future water demand represents a strategic priority. Without demand management strategies in place, the Abu Dhabi Emirate will face future water deficits that would need to be offset by large new supplies of water. In 2009, EAD also drafted a Climate Change Policy for Abu Dhabi Emirate, in accordance with the UNFCC requirements, and discussed it with relevant stakeholders on the national level. EAD is currently coordinating with the Ministry of Environment and Water to develop a Climate Change Policy for UAE. EAD has shared a copy of this study, which was conducted in cooperation with the Stockholm Environment Institute in the US, with the Secretariat of the Framework Convention on Climate Change in Bonn, to be published on their website. Copies of the study were also distributed to several country and party representatives, including the European Union, United States and Switzerland, during the 15th United Nations Climate Change Conference (COP15). februARY 2010
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Happenings > at large
Human centred design
Reversing the Master/Servant relationship between technology and people will reduce product complexity and improve productivity Signalling an important change in technology trends, Emerson is making process control technology easier to use with its introduction of the Human Centered Design Institute. This announcement culminates more than five years of customer work-practice analysis, new product development re-engineering and organisational training. The goal is simple: make products that are not only reliable, compatible and cost-effective, but also bring about a significant improvement in ease-of-use and workforce productivity. “Process control technologies have come a long way in the past 40 years,” said Peter Zornio, chief strategic officer at Emerson. “But the industry has invested almost exclusively on feature and technology enhancement, instead of designing around how people actually use the technology. We believe it’s time technology began serving people, instead of the other way around.” Emerson Process Management demonstrated its commitment to Human Centered Design (HCD) and reduced product complexity with the announcement of its new DeltaV S-series digital automation system hardware, and more than 50 new field Device Dashboards. “We observed that customer project engineering and design processes across the industry put too much emphasis on locking down designs very early in the project, often before the process design was complete,” noted Zornio. “Not only does
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this increase FEED and Detailed Design cost and time, it also exposes the project to increased labour and potentially significant change order costs during construction. Additionally, the existing wiring processes were time consuming and laborious…and ripe for an innovative approach.” With the new DeltaV S-Series of hardware, customers and engineering contractors can have unprecedented flexibility in I/O engineering thanks to Electronic Marshalling. Hard-wiring each device as a unique connection from field to controller and every contact in between is eliminated. This means less engineering up front and fewer change orders later in the project. This could revolutionise I/O and project engineering. Emerson also turned its attention to day-to-day operations, focusing on the repetitive tasks operators and maintenance staff perform and how they interface with field devices. “We evaluated device interfaces across the industry and found a common problem,” said Zornio. “Routine steps which operators and maintenance personnel perform frequently were cumbersome, confusing and illogically laid out. It’s an endemic problem throughout the industry. Based on user input, we have overhauled Emerson’s Device Dashboard designs to improve speed and accuracy of confidently performing these tasks.” The primary goal of Emerson’s Human Centered Design Institute is to ensure
that user work practices and improved task completion (usability or workforce productivity) are at the heart of every new product that Emerson introduces. “There is a demographic paradox facing the industry,” said Zornio. “In mature markets, knowledgeable workers are retiring. In emerging markets, finding knowledgeable and skilled workers is very difficult. By putting increased emphasis on ease-of-use, we can meet this demographic challenge head-on and simply make it easier to extract value from technology investments.” “We’ve been incubating this HCD process since the early days of our Smart Wireless designs some years ago, collaborating with Carnegie Mellon University in Pittsburgh, USA, a recognised leader in human interface and interaction with technology,” said Duane Toavs, director of Emerson’s Human Centred Design Institute. “CMU helped us set direction and get it started, leading to our staffing of this virtual Emerson Human Centred Design Institute that spans design teams for all of our brands.” HCD is a multi-disciplined science. User Personas, Stakeholder Maps, along with intensive observational research, usability testing and heuristics analysis are key elements of the practice. They provide the insight to blend the disciplines of Industrial, Graphical and Human Interface design into products which are easier to use. “Getting inside the heads of users, including how they interface with each other and the technologies, is the foundation of Human Centered Design,” continued Toavs. “Based on interviews with more than 100 customers, we developed Personas and Stakeholder Maps which help us define the ecosystem of a plant. This includes how those users interact with technology, and how the design of those products affects their productivity. Simple in theory, but really challenging in practice. The products Emerson will introduce based on this and ongoing research will make a profound difference in how people accomplish their tasks.”
Wind powers desal
Sydney’s desalination plant is powered by a wind farm with 67 huge turbines Sydney’s $1.9 billion wind-powered SWRO desalination plant went on line on January 28, after a formal inauguration by Premier Kristina Keneally. The plant, located at Kurnell, Botany Bay, will meet up to 15% of Sydney’s water needs, but can be expanded to 30% if required. “Sydney’s desalination plant is on time and more than $60 million under budget. Along with dams, recycling and water efficiency, desalination is one of four key ways to ensure Sydney has enough water in the future,” Keneally said. In 2004, the NSW government embarked on the Metropolitan Water Plan to protect Sydney’s drinking supplies in the face of extreme drought. The Kurnell SWRO plant is part of the plan. It is currently producing 55 million litres/day, which will gradually be increased to full capacity of 250 million litres/day over coming months.
Water from the desalination plant will enter the system at Erskineville and be distributed to 1.5 million people. Minister for Water, Phil Costa, said Sydney’s desalination plant is 100% offset by wind energy, and a new wind farm with 67 huge turbines is now up and running at Bungendore. “Sydney’s wind powered desalination plant will run for a two-year proving period to ensure it is working. How the plant will run after the two year proving period will be determined in the updated Metropolitan Water Plan due out this year, and will be based on factors including rainfall, climatic outlook and dam levels.” Incidentally, the Kwinana plant which provides about 17% of Perth’s needs is powered by a wind farm at Emu Downs. NSW Metropolitan Water Plan’s key initiatives include:
$119 million on deep water storage from Sydney’s dams providing up to an extra 10%, providing Sydney with six months supply in extreme drought; $30.5 million has been spent on recycled water projects across greater Sydney towards the target of providing 12% savings by 2015; $26 million on almost one million rebates and offers helping to save up to 24% along with educational campaigns and our new Water Wise Rules The Blue Water Joint Venture, comprising John Holland and Veolia Water Australia, built the desalination plant. The 18-kilometre desalination pipeline was built by the Water Delivery Alliance, comprising Bovis Lend Lease, McConnell Dowell, Worley Parsons, Kellogg Brown & Root, Environmental Resources Management and Sydney Water.
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Happenings > at large
Acid Alert
Ocean acidification from CO2 emissions causes substantial irreversible damage to ocean ecosystems A study by Secretariat of the Convention on Biological Diversity titled ‘Scientific Synthesis of the Impacts of Ocean Acidification on Marine Biological Diversity,’ launched during the climate change negotiations in Copenhagen, highlights the direct link between climate change, ocean health, and human well-being. According to the study, seas and oceans absorb approximately one quarter of the carbon dioxide emitted to the atmosphere from the burning of fossil fuels, deforestation, and other human activities. As more and more carbon dioxide (CO2) has been emitted into the atmosphere, the oceans have absorbed greater amounts at increasingly rapid rates. Without this level of absorption by the oceans, atmospheric CO2 levels would be significantly higher than at present and the effects of global climate change would be more marked. However, the absorption of atmospheric CO2 has resulted in changes to the chemical balance of the oceans, causing them to become more acidic. It is predicted
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that by 2050, ocean acidity could increase by 150%. This dramatic increase is 100 times faster than any change in acidity experienced in the marine environment over the last 20 million years, giving little time for evolutionary adaptation within biological systems. “Ocean acidification is irreversible on timescales of at least tens of thousands of years, and substantial damage to ocean ecosystems can only be avoided by urgent and rapid reductions in global emissions of CO2. Attention must be given for integration of this critical issue at the global climate change debate in Copenhagen,” said Ahmed Djoghlaf, Executive Secretary of the Convention. “This CBD study provides a valuable synthesis of scientific information on the impacts of ocean acidification, based on the analysis of more than 300 scientific literatures, and it describes an alarming picture of possible ecological scenarios and adverse impacts of ocean acidification on marine biodiversity,” he added. Among other findings, the study shows
that increasing ocean acidification will mean that by 2100 some 70% of cold water corals, a key refuge and feeding ground for commercial fish species, will be exposed to corrosive waters. In addition, given the current emission rates, it is predicted that the surface water of the highly productive Arctic Ocean will become under-saturated with respect to essential carbonate minerals by the year 2032, and the Southern Ocean by 2050 with disruptions to large components of the marine food source, in particular those calcifying species, such as foraminifera, pteropods, coccolithophores, mussels, oysters, shrimps, crabs and lobsters, which rely on calcium to grow and mature. An emerging body of research suggests that many of the effects of ocean acidification on marine organisms and ecosystems will be variable and complex and will affect different species in different ways. Evidence from naturally acidified locations confirms, however, that although some species may benefit, biological communities under acidified seawater conditions are less diverse and calcifying (calcium-reliant) species absent. Many questions remain regarding the biological and biogeochemical consequences of ocean acidification for marine biodiversity and ecosystems, and the impacts of these changes on oceanic ecosystems and the services they provide, for example, in fisheries, coastal protection, tourism, carbon sequestration and climate regulation. Dr. Thomas E. Lovejoy, Biodiversity Chair of Heinz Centre for Science, Economics and the Environment, in the Preface to the publication, noted: “This publication by the CBD on the impacts of ocean acidification on marine biodiversity is very timely and germane, as it confirms again how great the stakes of sustainability are in the climate change negotiations. It is expected that a continuing effort be made within CBD, in collaboration with relevant international organisations and scientific communities, to build upon this publication, further enhancing scientific research on ocean acidification, particularly its biological and biogeochemical consequences, including the accurate determination of sub-critical levels of impacts or tipping points for global marine species, ecosystems and the services and functions they provide.”
marketplace Siemens Photometer P15 plus The new version of the Photometer P15 plus from Siemens Water Technologies has a measured value memory and a real-time clock. It can store the values of up to 16 of the most important water treatment quality parameters, together with their times of measurement. Factors that could impair measurement – such as excess turbidity of the water sample – are automatically detected and displayed. The illuminated display makes the device easy to use, even under difficult conditions. Parameters such as pH value, acid capacity, free and total chlorine content, chlorine dioxide, bromine, ozone and cyanuric acid can be measured quickly, easily and precisely. The portable photometer is compact, ergonomically designed, and powered by a nine volt battery. The cell compartment is hermetically sealed to prevent water penetrating into the electronic components. The P15 plus has a softwaresupported calibration facility, which qualifies it for use as a testing instrument. The scope of supply includes 400 reaction tablets. Siemens Water Technologies also provides liquid reagents on request. The photometer is very easy to use. The sample tube is first filled with the water to be tested, and placed in the cell compartment.
The device is zeroed simply by pressing a button. The sample tube is then removed, and a measuring reagent added to the sample water. After colour has developed in the sample, the tube is returned to the cell compartment. Pressing the button once more displays the values of the constituents and other quality parameters. The photometer has a count-down function for determining parameters that require a certain reaction time. It emits an acoustic signal as soon as the displayed value is valid and can be recorded.
Advanced Groove System (AGS) for large-diameter piping Victaulic, a leading global manufacturer of mechanical pipejoining systems, has extended its line of patented Advanced Groove System (AGS) for faster and easier installation of large-diameter piping systems. The line extension means Victaulic now offers rigid and flexible couplings with the AGS technology for pipe sizes up to 60” (1,525mm) in diameter
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for HVAC, mining, water and wastewater and industrial applications. A typical large-diameter joint that requires several hours to weld can be installed easily in less than an hour using Victaulic AGS couplings. With a two-piece housing and a wedge-shaped groove that delivers pressure ratings up to 350 psi/2,400 kPa, depending on the pipe size and wall thickness, Victaulic AGS couplings offer speed of assembly and reliability. Until now, joining methods for larger-size piping systems required multiple housings to achieve the same results. Victaulic is the only manufacturer to offer a two-piece housing for couplings in this size range. To further simplify installation, the new larger-size AGS coupling housings feature lifting lugs for added convenience when lifting individual housings. AGS couplings also provide a union at every joint for easy access to the piping system for scheduled and unscheduled maintenance and system retrofits. In addition, the coupling provides visual confirmation of proper assembly—assembly is complete when housings are metalto-metal and torque requirements have been met—an added benefit that helps to ensure proper assembly. Available in diameters of 14-60” /350-1525 mm, Style W07 and W77 AGS couplings are equipped with plated bolts and nuts and a Victaulic FlushSeal gasket in Grade “E” EPDM, Grade “T” nitrile or Grade “L” silicone gaskets.
Measuring disinfectant levels Severn Trent Services has added three new measuring cells to the Series KC4000 product line to provide online measurement for low pressure, dusty and wet environments and high temperature applications. The Series KC4000 measuring cells are used in conjunction with the MicroChem 2 transmitter/ controller to measure residual chlorine (free and total), chlorine dioxide, ozone, iodine and bromine. No pH correction is needed when measuring free chlorine (pH 4 – 7.5), chlorine dioxide, or ozone. Optional pH, conductivity, and/or ORP measurements are
also available and can be measured simultaneously with most KC versions. The system is ideal for measuring
disinfectant levels in potable water at water treatment plants and cooling systems, industrial water or any other situation where the suspended solid and salinity levels are low. The expanded Series KC4000 cells include a measuring cell for low pressure samples at 1.4 - 7 psig, a cell with IP 66 case that provides protection against dust and water, and a cell for hot water applications at 2°C 65°C. The Series KC4000 cell is mounted on a differential pressure regulator and includes a PT100 temperature probe. They operate in a sample range of 7 - 60 psig and temperature from 2°C - 40°C; ambient temperature is to 50°C.
Culligan introduces the G Series Culligan, a leading supplier of advanced filtration and water softening solutions, has unveiled a comprehensive new line of commercial and industrial reverse osmosis (RO) products. As the newest addition to Culligan Matrix Solutions, Culligan’s new G Series is a family of RO membrane-based systems that offer customers a wide range of support based on their water capacity needs – from less than two gallons per minute (gpm) up to 200 gpm. This entire RO product line operates on Culligan’s proprietary Smart Controller technology, which monitors the performance of the equipment, stores historical operating data and proactively alerts customers of any issues with their systems or water quality. The Culligan Smart Controller is a reliable, easy-to-install-and-maintain, costeffective alternative to traditional
programmable logic controllers (PLC). It can operate independently or communicate directly with the customer’s control room equipment or building maintenance systems (BMS). The new Smart Controller also has landline and cellular modem capabilities which allow Culligan and customers to monitor equipment in remote locations. The company claims that using the G Series of RO products, commercial and industrial companies can eliminate up to 98% of dissolved minerals, particles and organics from their water for an array of applications, including: ice production/drinking water to improve taste and clarity; boilers/ steam production to decrease scaling and maintenance; humidification to minimise scaling and dusting; misting to reduce scaling and extend equipment lifespan; pretreatment for high purity systems to lessen
regeneration requirements; reclaim/ recycling for water conservation; and washing and spot-free rinse. Culligan’s G Series product line includes the G1 RO system, which is designed for customers needing less than two gpm of RO quality water; the G2 RO system for companies with capacity requirements of up to 13 gpm; and the G3 RO system for organisations with larger capacity requirements up to 200 gpm. The G2 RO system is well suited to reduce energy and chemical consumption for boiler and cooling towers, as well as help companies with brackish water potabilisation. The G3 RO system meets the same application goals as the G1 and G2 RO systems, and is suitable for food companies mandating high quality water; heavy industrial manufacturing; power generation/co-generation; high purity ingredient mixing; beverage and fluid mixing; and cooling tower reuse.
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cover sTORY
The essence of purification
The ins and outs, and upcoming plans of Tanqia, the first privately owned wastewater collection and treatment system in the UAE as well as the Middle East. By Samantha Keck
S
tepping into Tanqia’s headquarters, you cannot help but be pleasantly surprised by the impeccability of its staff and office. Almost immediately you understand the reason behind it. Sami Mowaswes, CEO, Tanqia, extends a friendly, yet firm, handshake welcoming you into his office. “Tanqia means purification in Arabic,” said Mowaswes. “We want the company name to signify, not only what the company does but we hope that Tanqia will eventually come to represent wastewater treatment.” Established as a privately owned limited liability company in 2004, Tanqia operates
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out of Fujairah’s Free Zone. Tanqia’s shareholders are Elwan Group (formerly known as ICG, Infrastructure Capital Group), Mubadala Development Company and Overseas Trading Company. “Tanqia was started by the Elwan Group. They are the major shareholders
in Tanqia,” explained Mowaswes. “Elwan Group has always been involved in sustainability projects such as power and wastewater plants.” Why Fujairah? “Because the Fujairah government needed a wastewater treatment plant,” came the simple, yet matter-of-afact, reply from Mowaswes. He continued, “It was a case of demand meeting supply at the right place and time.”
Operation wastewater treatment Tanqia was granted a 33-years concession agreement by the Fujairah Municipality.
Mowaswes elaborated: “The first three years of the concession is for the building of the project. This was implemented in two phases. Tanqia is responsible for the operation and management of the system for the next 30 years.” Mowaswes added that during the concession period, all newly constructed properties will be connected by Tanqia by extending the pipe network. In geographical terms, the concession area covers an approximate area of 88 square kilometres, comprising the city of Fujairah, and the towns of Qidfaa and Mirbah. The plant is located about 11 kilometres north of the city of Fujairah and about four kilometres South of Qidfaa. The wastewater collection networks in the city of Fujairah and Qidfaa consist of more than 200 kilometres of main and lateral pipelines, and pumping stations. In total, 6,000 registered connections are now linked to the system. “In the beginning, Tanqia assumed the role of a project company, overseeing the plant and pipe network,” said Mowaswes. He further added: “Now that the treatment plant is complete, Tanqia’s role is changed to that of a utility company. Tanqia provides Fujairah’s residents with wastewater treatment services. The setting up of Tanqia is in compliance with a federal regulation that states that by 2010, all emirates should have their own wastewater treatment plant.” According to Mowaswes, 90% of the population have been offered
... we hope that Tanqia will eventually come to represent wastewater treatment to the people of Fujairah februARY 2010
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cover sTORY wastewater treatment services. The remaining 10% of the population would be connected to the network during the operating period. Mowaswes highlighted that the plant has a flexible, modular design that allows for increased wastewater treatment capacity by simply adding modules as needed. This flexibility to expand is of utmost importance as the population of Fujairah is projected to reach almost 120,000 by 2020. He continued, “The concession agreement also includes periodic reviews of the tariffs paid by the public. The tariff is set based on agreement with the Fujairah and one of the main concerns about the rate is that it should be sustainable by the public.”
Facts and figures about the Fujairah wastewater treatment plant Area 16,000m2 Projected capacity 32,000m3/day
The business of wastewater “At Tanqia, we treat the wastewater to a very high standard,” said Mowaswes. “We deploy technology developed by environmental engineering firm PassavantRoediger. The wastewater that comes into our plant is treated and, now, pumped into the sea for disposal.” No doubt, the
No doubt, the treatment plant ... passed the smell test with flying colours, there was hardly any foul odour in the vicinity of the plant. 26
february 2010
treatment plant, and hence the technology, passed the smell test with flying colours, there was hardly any foul odour in the vicinity of the plant. Mowaswes continued: “As a utility provider, we complement the services offered by FEWA (Federal Electricity and Water Authority). We provide wastewater treatment services, on behalf of the Municipal government, to the people of Fujairah.” Tanqia is currently studying plans for the EDN (Effluent Distribution Network) so that the TE (Treated Effluent) will be sold as a product in the near future. Mowaswes said, “Already we have numerous requests from farms and industries to get connected to the EDN. They are very interested in using TE for irrigation and other industrial uses. TE is after all cheaper than potable
water. Take for example, the Fujairah port - TE can be used in the port to wash ships.” The Tanqia CEO was also positive about the use for TE for district cooling. “Just think about the money, and quantity of potable water, you can save if you channel TE into district cooling,” he stressed. In addition to the possibility of selling TE, Mowaswes also pointed out that the sludge, collected during the process of treating the wastewater, is another revenue source. “At the moment, the sludge is separated from the wastewater, treated, dried and then sent to a landfill. We will eventually sell the treated sludge as a soil enhancer and ground fertiliser for use in aboveground agriculture and forestry.” True to its roots of hailing from a portfolio of sustainability projects,
Continued on page 27
From page 26
Tanqia will grow in tandem with the development of Fujairah ... it will be hard for any competition to gain a foothold in the emirate. the Tanqia wastewater treatment plant is an example of service with a green consciousness. Part of the TE that is produced at the plant is used to irrigate the greenery that constitutes the plant’s landscape. “Tanqia did the landscaping,” said Mowaswes with just the slightest hint of pride. “It makes the treatment plant look and feel so much more pleasant, especially in the summer.” Mowaswes added that the methane gas produced during the treatment of sludge may in the future be channelled into power generation, producing electricity for some parts of the plant. Will Tanqia expand its operations and venture into providing potable water from wastewater? A gentle, but firm, “No,” was the answer. “We have good water sources
TE Compliance
put into its outreach programmes. “Our Public Relations manager formed a team, and they went door to door to talk to people. The team explained to people what wastewater is, what Tanqia is, and the benefits of wastewater treatment for the population as well as the environment. We also have radio programmes and open days in public parks as well as at the plant for visiting students. Tanqia plays an active role in engaging the wider public to promote wastewater treatment. We believe that social interaction with the community and social responsibilities like employing young and educated locals areis very important in order to get our message across to them. This is solely a Tanqia initiative.”
The road ahead here, I hope we don’t get to that stage where we have to produce potable water from effluent. Tanqia will remain a wastewater treatment facility. Hyflux in Singapore produces potable water from effluent but the situation in Singapore is different. There is a lack of water source in Singapore.”
Reaching out In addition to the technology and capabilities of Tanqia’s wastewater treatment facility, Mowaswes was also quick to point out the efforts Tanqia has
Tanqia monitors the compliance of the TE through a series of tests. These tests are undertaken at the various places including the in-house laboratory within the wastewater treatment plant, the Food and Environment Laboratory of Fujairah as well as several internationally recognised laboratories in the UAE. The in-house laboratory is manned by two qualified chemical engineers. These tests confirm that quality of the effluent and sludge produced by the wastewater treatment plant. The frequency of the tests are spelt out in the Concessions Agreement, and conducted on daily, weekly, monthly and quarterly intervals.
Mowaswes pointed out Tanqia is obligated to expand under the concession agreement. He said, “Tanqia will grow in tandem with the development of Fujairah. Our expansion is planned along the considerations of the growth of Fujairah.” Mowaswes was also confident that Tanqia will remain the only wastewater treatment provider well beyond the concession years since the network will last beyond the concession period. This would make it hard for any competition to gain a foothold in the emirate. Mowaswes continued: “Tanqia has assumed the role of a utility company. Thus we face different challenges as compared to when we first started. Our upcoming challenges include the need to expand so that we can cope with the growth of the emirate. We also need to re-invest to serve our customers better. We are aware of such challenges and we believe we are ready for them. At Tanqia, we have state-of-the-art technology and a very advanced plant. More importantly, we believe in good services and we produce effluent of very high standard. We, at Tanqia, have always believed in the quality of our product.” februARY 2010
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FEATURE: SINGAPORE
Water Singapore style Michael Toh, Managing Director, Singapore International Water Week (SIWW), sat down with Samantha Keck to talk about SIWW, the development of Singapore’s water industry and how Singapore can learn from as well as contribute to the Middle East’s water sector Nestled in the middle of a bustling exhibition area at the IDA World Congress is the Singapore pavilion. On one of the cocktail rounds inside the pavilion, a relaxed Michael Toh sat down for a briefing on the Singapore International Water Week (SIWW), which has rapidly climbed to the pole position in the global water events circuit since its inception in 2008. Introducing the event, Toh said that the SIWW has been developed as a platform focusing on water solutions. “SIWW integrates technology, solutions, policy, and successful case studies; it is an all-inone event where you can meet everybody under one roof. It is aimed at practitioners, experts, the industry, international organisations and even people who are just keen to find out more about water and what they can do for water,” he explained. Toh also took the opportunity to give an update on the Singapore water narrative. He said, “Singapore is a small island with plenty of rainfall, but a small land mass means very small reservoirs. Water is an essential component of our development and needless to say, survival. Over the years, we have worked towards water independence by having a diversified supply of water. We buy water from Malaysia to supplement our own catchment, and now we have desalination and NEwater.” NEwater is potable-grade water produced after further purifying treated sewage effluent (TSE) through a three-step multiple-barrier membrane treatment process. Toh continued, “NEwater really is our pillar to sustainability. With NEwater, you can technically use the water more than once. The technological advances now enable us to harvest recycled water in a large quantity. I must also add that NEwater has been certified as safe for drinking but at present, NEwater is mainly used to cater to water demand in industries.” 28
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A welcome offshoot of Singapore’s relentless focus on achieving water independence has been the development of world class water industry in the country. Michael explained:“We have at least 50 Singaporean companies operating in key water markets worldwide. Singapore is also regarded as an incubator of innovations in water management. Through PUB (Public Utilities Board) and our partners, we have been able to put in place the right policies, practices, technologies and skill sets, to close the water loop. Our companies have the right capabilities and are well placed to capture more of the global water market as well. In a nutshell, we feel that water reuse is a big strategy that we can promote during the SIWW.” However, for water management policy to succeed, public support is crucial. So Singapore has come with a unique initiative to get the public to conserve water. Toh said, “Our key initiative is the ABC Programme, short for Active, Beautiful and Clean programme, which we initiated in 2008. The idea is to get the community closer to the water and enjoy it; once you begin to enjoy water, you will learn to own it and take care of it. We have begun to beautify our canals and simultaneously, create community spaces for the public to enjoy. Another key strategy has been the pricing of water. In Singapore, we have priced water correctly so that everybody understands that water is not free and they must use it carefully. In fact, water is priced from the very first drop.”
Toh said, “The SIWW is now a successful brand name and a global water event in its right. There are several components in the SIWW that we are particularly proud of, like for example, the Water Leader Summit which we hope to make a sort of Davos of Water. We also have high hopes for the Lee Kuan Yew Water Prize (which focuses on the achievements of industry people) on becoming ‘the prize’ in the global water industry.” He pointed out that SIWW is probably the largest water event in Asia right now if not the most important. The SIWW is not only a platform to showcase what
Building a 360o solution Singapore has so far hosted two consecutive and highly successful water weeks, with the second edition in 2009 attracting more than 10,000 people from over 80 countries.
Michael Toh
Singapore can do for the global water industry; it is also a place where people from all over the world can come and exchange ideas. As organisers of the SIWW, we are ourselves a leading contributor to the global water scene.” Toh also highlighted the priorities of Singapore’s government with regard to the country’s water industry. “Our government is going to invest SGD30 million in funding to develop R&D and skilled labour, the two essentials that will keep Singapore at the forefront of water technology. We firmly believe in building the right team for our water strategy. For this, we are glad to be working with international partners such as the International Desalination Association (IDA), International Water Association (IWA) and Asian Development Bank (ADB), as well as local partners like the SWA (Singapore Water Association) and the Institute of Water Policy in the Lee Kuan Yew School of Public Policy.” Toh then moved on to business opportunities presented by the SIWW.
He said, “The global water market is a big market. With rapid urbanisation, both desalination and water re-use will be increasingly important. There is also corresponding growing awareness of protecting the environment. When you discharge water into a water body, chances are you might affect people downstream. Governments and communities are realising the need to protect the environment. There will be many opportunities for people who provide water solutions – they can leverage their technology with this growing opportunity.” In the light of the current economic crisis, Toh stressed upon the need for effective and efficient solutions for treating water. “At the back of our minds, we must always ensure that the water produced is of high quality,” he said. “For the SIWW in 2010, our theme is Clean and Affordable Water, where we will be talking about how we can continually provide clean water that is affordable to everybody. Response to the SIWW has been ideal so far.”
Singapore & the Middle East Toh readily admitted that Singapore has much to learn from the Middle East in the field of desalination, but also pointed to the value-add that Singapore could bring to the region since companies in Singapore have developed their own solutions. For example, Singapore has used membranes of very high standards for its desalination plants, which could be used in the Middle East too. Toh continued: “Technology is just one part of the equation, operations and maintenance is the other. For example, in terms of network management, we have put in many successful practices and a comprehensive management policy to bring down leakage losses to 4-5 per cent, among the lowest in the world. Beyond the technology of seeping water, protecting the environment, and management systems, PUB has 40 years of quality management knowledge. We are more than willing to share that knowledge and at the same time, also learn from others.”
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Gulf Environment Forum
Held under the high patronage of HRH Prince Turki bin Nasser bin Abdulazziz, Chairman of Presidency of Meteorology and Environment
International Exhibition and Forum
Dates: 7th-9th of March 2010 Venue: Jeddah Hilton, Jeddah, Kingdom of Saudi Arabia
Capitalise on a wealth of opportunities A staggering $100 billion has been scheduled for investment in the GCC Region and the Gulf Environment Forum presents your opportunity to become part of the huge shift towards a greener future for the GCC Region. Sectors currently receiving huge investments include: • • •
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Supporting Orgnisations
For more information please contact: Alain Marhic Phone: +44 207 511 9582 E mail: alain@bme-global.com Fax: +44 207 022 1722 Talaat Idriss Phone: +966 507 600 400 E mail: tidriss@mena-ex.com Fax: +44 207 022 1722
Website: www.gulfenvironmentforum.com
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februARY 2010
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feature: Pump special
Pump life-cycle cost demystified Steve Graham of SPP Pumps looks at ‘low life-cycle cost’ (LLC) in the context of centrifugal pumps (for utility applications), and why it is becoming an interesting topic for capital and replacement projects
T
he developed world has become acutely aware of the effect of its waste and the introduction of levies on CO2 emissions, now directly taxes the inefficient users of energy. Globalisation is squeezing maintenance budgets and demanding an increased mean time between major service outages. Initial capital cost is, in most instances, a fraction of the whole life cost of a typical pumping installation. Energy consumption, unplanned downtime, maintenance and replacement parts can easily equate to in excess of 95% of the total life-cycle cost. The increasing recognition amongst pump users that post installation costs clearly outweigh capital costs and are therefore the only true economic indicator applicable to capital purchases, prompted us to set up a combined Marketing & Engineering team to develop a range of low life-cycle cost utilities pumps.
Operating/energy costs Energy costs can easily equate to as much as 90% of the whole life cost of a pumping installation, dependant on installed power and equipment utilisation. Analysis of operating costs, in terms of energy consumption, is relatively straightforward, given that pump utilisation and demand profiles are understood and predictable. The wire to water efficiency of existing or proposed installations can be compared and the results projected over the estimated lifetime of the installation. This should be a fundamental component of any tender assessment process or existing asset review procedure. The chart below clearly depicts the cost of inefficiency, whilst providing visibility into the post installation savings associated with installing the most efficient equipment for a given duty.
Life-cycle cost analysis What are the real costs associated with procuring, operating and maintaining water utility pumping plant? What are the largest, most variable or most invisible costs? Life-cycle cost can be broken-down for analysis purposes into a number of key components. • Initial capital cost • Operating/energy costs • Replacement/wear part costs • Maintenance & Repair Costs • Disposal costs
Initial capital cost Capital cost is the most visible cost and 30
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has historically been the primary selection criterion for most items of capital equipment. Pump users are now becoming increasingly aware of post installation costs and their impact on the total cost of ownership. Lowest capital cost purchases rarely prove economic in the longer term and given that the initial capital cost of a centrifugal pump, inclusive of installation, typically equates to between 5 - 20% of whole life cost, placing more emphasis on post installation cost will clearly prove much more economic.
* The calculation assumes typical 2007 energy tariffs (UK) and 100% utilisation.
Less visible however, is an installations capacity to operate at or near optimum efficiency throughout its operational life. A degree of degradation in hydraulic performance is inevitable with time.
Singapore International Water Week 2010 Sustainable Cities: Clean And Affordable Water 28 June - 2 July 2010
Address challenges. Showcase innovations. Discover opportunities. Celebrate achievements. All these at one of the largest and most important global water solutions event, the Singapore International Water Week. The Singapore International Water Week is the global platform for water solutions. More than 10,000 policymakers, industry leaders, experts and practitioners from over 80 countries congregated at the second Singapore International Water Week in June 2009. Themed ‘Sustainable Cities: Clean and Affordable Water’, the 2010 edition promises to be bigger and better, focusing on the need for efficiency in our water solutions to address water problems in the region amidst a constantly changing environment. The flagship programmes comprise the Lee Kuan Yew Water Prize, Water Leaders Summit, Water Convention, Water Expo and Business Forums. Held in conjunction with the World Cities Summit, the 2010 Water Week will also see exciting co-located events including the Asia Pacific Water Ministers Forum. The solution to clean and affordable water for Asia, and the world, lies here. Visit www.siww.com.sg to find out how you can be a part of this exciting programme.
Global Platform For Water Solutions
feature: Pump special This degradation in performance is primarily a result of wear and erosion of internal clearances. Wear rings limit fluid re-circulation between the high and lowpressure areas within a centrifugal pump. A combination of erosion from high velocity fluid passing between the wear ring surfaces and mechanical wear, resultant from shaft deflection widens the clearances allowing an increase in internal re-circulation. Significantly, highlighting the importance of optimum pump selection, this process will be accelerated if the pump operates at a duty point less than 70% or more than 115% of best efficiency flow. The resultant loss of performances usually leads to the pump running for longer periods to deliver a given quantity of fluid. Erosion of hydraulic profiles and increases in the relative roughness of surfaces in contact with the pumped fluid, will also significantly impact on pump performance.
Replacement/wear part costs The replacement of major components within a pump, whether as a result of wear, erosion or following a component failure is often a very significant contributor to whole life costs. A replacement rotating assembly will typically equate to 70% of the costs of a replacement pump. It is not uncommon for all components forming the rotating assembly to require replacement within the lifetime of an installation. The selection of a conservatively engineered pump, manufactured from high-grade materials should negate this, substantially reducing maintenance costs and increasing the mean time between failure and major service outages.
Maintenance/repair costs The cost of regular monitoring and preventative maintenance is a necessary component of an installation’s whole life cost and historical evidence shows that regular maintenance is a lower cost option than unplanned emergency repairs. When calculating the cost of maintenance, installation downtime and resultant loss of productivity should be considered. Savings associated with increased mean time between failure and service outages will offset any higher initial capital costs incurred when installing a well-engineered pump, designed for ease of maintenance. A well-engineered installation should be so designed as to offer good bearing 32
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and seal life and facilitate all but a major overhaul in-situ, without recourse to disturb either pipe work or prime movers.
Features of an LLC centrifugal pump Having identified the key constituent parts of whole life cost, what key features would be required of a low life-cycle cost centrifugal pump? The majority of pumps employed on utility type applications fall into the category of either, Horizontal Split Casing, Vertical Suspended Bowl or End Suction Pumps. Only the latter are regularly manufactured to recognised international standards like ISO 5199. The requirement for low life-cycle cost pumps was identified as being mainly for branch sizes 150mm and above and not really applicable to the majority of end-suction pump applications. The following key areas were identified following discussions between pump users and designers.
Mechanical design A significant change has taken place over the last decade in that the switch from soft packed glands to mechanical seals for shaft sealing on utility applications
is near universal. The benefits of this change however have not been fully realised, as mechanical seal life is generally proportional to certain key aspects of pump performance, not least shaft deflection, vibration levels and seal chamber design. The vast majority of utility pumps available today have their design roots in the packed gland era. In many instances this is leading to premature bearing and seal failures, as many pump shafts are quite simply too flexible without the support of numerous packing rings and neck bushes. This is arguably the most significant factor, influencing the mean time between failures of utility pumps. Mechanical seals and bearings are intolerant of shaft deflection and residual unbalance. Therefore, a pump designed for low life-cycle cost would have a shorter span between bearings and an increased shaft diameter when compared to a similar pump designed in the packed gland era. Specifically shafts should be so designed, as to limit shaft deflection at the limits of the operating range of say, 50 – 115% of best efficiency flow, to a maximum of 0.05mm at the seal faces. Bearings likewise should be designed to provide a minimum L10 life of 50,000 hours at these limits.
Hydraulic design With the aid of 3-Dimensional Computational Fluid Dynamics, pump manufacturers are now able to produce hydraulic designs that achieve the theoretical maximum efficiency for a given specific speed or impeller geometry. The challenge is then to consistently replicate these designs in material form. High quality manufacturing techniques and procedures are therefore essential, particularly as pump casings and impellers (the most dimensionally critical components of any centrifugal pump) tend to be produced as castings. Only foundry techniques that ensure a high standard of dimensional accuracy and surface finish should be employed in low life-cycle cost pump production.
Efficiency degradation The maximum benefit of installing an energy efficient machine will only be realised if performance levels can be maintained for long periods of time between overhauls. Performance degradation is inevitable; however, a combination of good hydraulic and mechanical design can have a positive impact in this area and prolong optimum efficiency for much longer periods of time. Important hydraulic designs considerations are:
• Maintenance of optimum clearances between the impeller outside diameter and the volute cut-water, which will avoid vane pass cavitation. • Optimisation of impeller geometry with satisfactory suction specific speed values, this will limit internal re-circulation and facilitate a wide band of operation (30115% of best efficiency flow). • Apply internal hydrophobic coating (low electronic affinity) in order to reduce the relative surface roughness value of the pump casing; thus maintaining the relative surface roughness values at a more constant level, unlike that of a bare metal casing, which will oxidise once in service immediately impacting on hydraulic performance. Mechanical design considerations: • Minimisation of shaft deflection will ensure no contact between impeller eye ring and sealing/wear rings surfaces, thus maintaining as new clearances for longer periods. • Often overlooked but highly important is wear ring design. A labyrinth profile will help to provide a staged pressure drop across the wear ring, rather than simply allowing high velocity fluid to flow across wear ring faces rapidly eroding internal clearances. • High-grade materials of construction for the pump impeller with good erosion/
corrosion properties will ensure that the relative roughness of hydraulic surfaces remain reasonably smooth throughout.
Packaging the pump set When packaging a low life-cycle cost pump with a suitable prime mover, it is important to ensure that the same fundamental design principles are applied to the prime mover, base plate/ mounting assembly. The benefits of a superior hydraulic design and first class component quality can easily be forfeited by coupling the highly efficient pump to a lower efficiency driver. Likewise bearing and seal design lives will not be realised if the pump and driver are connected via a flexible and inadequate base plate or mounting frame. The mounting arrangement as well as being rigid should facilitate a high degree of in situ maintenance. Mechanical seals and bearings should be accessible without recourse to disturb either driver alignment of connecting pipe work. This dictates the use of spacer type couplings, if drive end bearings and seals are to be maintainable in situ.
Design Brief Following the marketing & design review it was decided to develop a range of low lifecycle pumps, for water utility applications, based on the following brief: A low life-cycle cost centrifugal pump will have hydraulic efficiency close to the theoretical maximum, thus minimising energy costs, identified as the largest single component cost. In order to meet the demands of the 21st century utility application the pump should show stable characteristics associated with optimum suction specific speed, thus being able to operate reliably and efficiently across a wide range of flow conditions. Shaft deflection should be kept to the absolute minimum in order to reduce vibration and maximise bearing and seal life. Specifically shaft deflection at the seal face with mechanically sealed pumps should not exceed seal manufacturers recommendations. This calculation should be carried out across all potential operating conditions. The pumps should firstly be designed for mechanical seals, which should be fitted directly onto the pump shaft, facilitating larger shaft diameters februARY 2010
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feature: Pump special and reduced bearing spans. Pumps should be so designed and pump sets so configured that mechanical seals and bearings can be removed and replaced in situ without recourse to disturb either pipe work or driver alignment. This will substantially reduce maintenance costs. High-grade materials of construction should be utilised to maximise component life. Pumps must not only be energy efficient as new, but must maintain a high efficiency for longer period between major overhauls. The findings of SPP’s project team align very closely with that of the European Commission Report of February 2001, based on a study of improving the energy efficiency of pumps carried out by ETSU (UK), CETIM (France), NESA (Denmark) and Technical University Darmstadt (Germany). During October 2004, SPP Pumps successfully launched their Lowest Lifecycle Cost Series pumps. The range incorporates all of the key features identified by our business partners and design engineers. Standard materials of construction for low life-cycle cost utility pumps are:Casing- Cast Iron (option coated) Impeller – Austenitic Stainless Steel Shaft – Chrome Steel Wear Rings – Grade SG Iron
Hydraulic Design
performance of a 200 mm discharge Horizontal Split Casing, radial vane impeller, from the Lowest Life-cycle Cost Series range. Values of NS 1,191 and NSS 7,886, in imperial units. Note that high efficiency is achieved from 50% of best efficiency flow, peaking at 90% actual efficiency.
Mechanical design Vertical Direct Mounted Low Life Cost Axial Split Casing pump The section drawing below depicts a packaged axial split casing pump. Firstly note the maintenance features of the pump; the motor mounting stool is extended to accommodate a spacer type coupling, sized to facilitate removal of the drive end seal and cartridge mounted mechanical seal in situ. Also note that a product lubricated bearing is fitted at the none-drive end. An antifriction bearing would be susceptible should the installation flood or the lower seal fails. A double row thrust bearing assembly is chosen for the drive end. The short bearing span and generous shaft diameter are clearly evident. In order to replicate good hydraulic design in material form, world class manufacturing methodology is required.
Note the internal surface finish on the above double suction impeller in the photo below. SPP Low Life-cycle cost pumps achieve predicated performance levels with very little variation or need to hand finish components. Austenitic stainless steel is the optimum impeller material combining excellent corrosion and mechanical properties with good castability.
Base Plates Low levels of vibration and accurate alignment of pump and driver cannot be maintained without a substantial base plate. See the photo at the centre. A low lifecycle cost base plate should be rigid, easily
The above test curve depicts the hydraulic 34
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suspended bowl pumps require removal from site into a workshop environment for minor service/replacement of bearings and mechanical seals. Major overhaul can often result in a need to replace line shafting and connecting coupling which are screwed together. When applying the same low life-cycle cost philosophy to suspended bowl pumps, major consideration was given to mechanical seal replacement in-situ and as such a bespoke spacer coupling was developed, capable of transmitting the total thrust generated by the bowl assemblies, through to the headpiece thrust bearing. This facilitates mechanical seal replacement in-situ, without recourse to disturb either the drive motor or thrust bearing
grouted in and incorporate motor alignment screws and machined mounting pads to assist with site alignment.
assembly. It was decided to connect all intermediate shafting by keyed couplings thus facilitating disassembly without risk of damaging these expensive component parts. Shaft lengths were limited and diameters set to ensure all pumps operate well below the first critical speed, an important consideration, given the growing use of variable speed drives.
Summary A thorough understanding of the intended application, operation and maintenance of pumping plant is a fundamental requirement when considering such a project. This could not have been achieved without the input of pump users and designers alike. For more details contact nikhil_kapoor@ spppumps.com
also tend to be low when compared to TEFC energy efficient machines. The majority of vertical
Vertical Suspended Bowl Pumps Major savings in civil engineering costs can be achieved by suspending a vertical shaft driven or submersible pump directly into a wet sump, as opposed to constructing a wet sump with accompanying flood resistant dry well. This has resulted in a growth in vertical turbine and submersible pump sales. The majority of these pumps supplied for utilities applications however are not maintainable in-situ and are proving very expensive to repair. Submersible pumps are prone to electrical failure, owing to ingress of water and tend to have limited bearing life. Motor efficiencies
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advertorial
Resilient vision
Sujith Nair, Regional Sales Manager, AEON International (Dubai) on the company’s product offering for the Middle East region, its unique optimal Resilient Seated Gate Valve (RSGV) design for the water and allied industries and future expansion plans. Aeon and its offerings for the water sector Aeon International was founded with a vision to create the optimal resilient seated gate valve (RSGV) for the water, wastewater and gas industries. Headquartered in Billingham, UK, Aeon is a leading designer and manufacturer of advanced design valves with many unique and patented features. For example, we developed the unique RSGV design with patented integral wedge providing the real double seal, guarantees 100% security from any leakages. Today, we manufacture and supply valves for Water and Wastewater
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industries, Construction, District Cooling, Irrigation, Desalination and other allied industries. Over the past few years, we have worked closely with major water and wastewater utilities in the Middle East as well as in Europe to develop products that meet the region’s requirements. We offer a wide range of valves and related services to customers in the region through our manufacturing and warehousing facility in Dubai Investment Park (DIP). In addition to Dubai, we also have a strategically sited production facility in Poland. Our product range comprises Gate
valves (RSGV up to DN 600 and Metal Seat Gate Valve up to DN1200); Butterfly valves up to DN1200 (wafer, lug, flanged); Check valves (swing, wafer, silent); Air valves (single and double orifice air valves); Fire protection valves; Strainers (Y, basket foot); Quarter turn valves (ball, eccentric plug) and Speciality products (fittings, expansion joints, balancing valves) Existing Setup and operations in the MENA region We started our Dubai operations in order to be closer to our clients in this region, and supply and service them quickly and efficiently. Our manufacturing and warehousing facility in DIP inspects, assembles, tests, certifies and supplies valves as per client’s requirements. The Dubai manufacturing facility is approved by BSI in accordance to Kitemark and the Pressure Equipment Directive. In addition to the UAE supplying, we also supply to the rest of the GCC and the Middle East, some key markets being Oman, Qatar, Bahrain, Kuwait and Egypt. Our in house valve Hydrostatic pressure test facility coupled with stringent quality management systems (QMS) guarantees the superior quality of the valves coming out of the facility. Areas of product differentiation vis-a-vis competition As previously stated, we developed the RSGV design which represents a stepchange in valve technology. The RSGV’s unique and patented wedge design, with double sealing guarantees a 100% leak tight shut off, every time and under all conditions. This feature is our unique selling proposition giving improved operational efficiency, longevity, security and ease of use. The wedge is designed to seal as it travels. Therefore, the final closure effort is extremely low compared to traditional designs. The low closure torque allows the selection of a smaller actuator, reducing the overall installed cost. The wedge design is such that compression occurs in the final 15% of travel. This results in a ‘positive stop’ that prevents the need to re-tighten and eliminates the possibility of the stem back-winding. Another important feature is the ductile iron valve body construction, which results better life. Moreover, a smooth, clear bore with no recess means no trap for dust or
Sujith Nair
Details about our company and products are available on www.aeon-online.com. AEON will be exhibiting @ WETEX 2010, Stand F- 26 Water and related markets being targeted Apart from the water and wastewater projects, we are also working on building, infrastructure, district cooling and irrigation projects in the UAE. We are also gearing ourselves to reach out to Syria, Jordan and Yemen very soon.
debris and zero potential for non-closure. Our valves come with double start stem thread which ensures lower number of turns to close than traditional valves, a time and labour saving advantage. Patented back seals (gland seals) replaceable under pressure in fully open position ensure zero interruption in service. Aeon Type A and B, RSGV water valves carry all the major international certifications for potable water including WRAS and DVGW. Another important differentiator is our Dubai manufacturing and warehousing facility, which helps ensure adequate stock available to give a quick response to the customer requirements.
Challenges in marketing AEON products in the region One of the main challenges is to supply products with different specifications that each sector requires for the same applications. It is important to understand the specifications on each project and delivering the same to clients to avoid all delays and misunderstanding. Another challenge we face is to ensure the benefits and advantages of quality products (valves) are fully passed on and understood by the End-users. Future plans The future plans include expansion of sales and distribution network in the GCC and the rest of the Middle East for water and gas valves, broadening the product types and ranges and working together with different utilities in the region to meet their specifications and requirements. februARY 2010
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(No) Appetite for risk Is project financing for water projects in the Middle East headed for uncertain times?
“
Given the dramatic restructuring of the financial sector post-2008, can we still look to privatisation to drive the quest to deliver competitively priced water? Has this (restructuring) forced a rebalancing of the risk appetite? Has the cost of financing increased? Are funds still really available for water and power projects? If so, where?” These formed a part of bunch of questions posed by Paddy Padmanathan, President & CEO of ACWA Power Projects as he, together with session cochair, the venerable Ghassan Ejjeh, Director of Six Construct, prepared the ground for the roundtable on ‘The relevance of private finance in delivering competitively priced desalinated water’ at the IDA World Congress session on ‘Financing, privatisation, economics and project delivery’ which they were co-chairing. The round table panellists were Usha Rao Monari, Senior Manager, Utilities and Private Public Partnerships, International Finance Corporation (IFC); Ravi Suri, Head of Project and Export Finance, MENASA, Standard Chartered Bank and Alexandra Boleslawski,
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Managing Director, Global Head of Power, Project Finance, Calyon. Privatisation can be rightfully regarded as the key contributor to the development of a booming desalination market in the past five years. It has been credited with diversifying the technology (as the mix of RO, MED and MSF high capacity plants within the IWP and IWPP framework bear out), striking a balance between technical risk, reliability and price competitiveness, and most important, putting the spotlight on the true cost of water or as Padmanathan delicately put it, “the true cost of water affected and possibly diluted by fuel price.” Has the financial crisis discredited privatisation?
Given the funding squeeze and the ongoing restructuring of the financial sector, can privatisation deliver competitively-priced water? What are the consequences of the focus on bulk IWPs and IWPPs that privatisation basically encouraged? As water and power sector privatisation ran its course in the Middle East, the cost of desalination dropped from around $5/m3 to nearly $1/ m3, though the true price of desalination could be much higher given the fuel price embedded within the $1/m3 figure. The question is: Did this reduction come about purely due to technological innovation or did financing cost reduction too contribute to it? During the years leading to the current crisis, project
finance had matured, risks got understood better and lender’s margins had dipped below 100 basis points (bps) before 2008 re-balanced everything. Does this mean that the limited private financing capacity postcrisis is causing an increase in the cost of desalinated water? While growth of new water capacity in countries who can afford $1/m3 or over is fine, what about the really under-served countries? Can the privatesector really serves them or are they to be denied the efficiency and through that the lower cost of water that privatisation is able to bring? Is there a role for multilateral agencies like IFC in hedging country and currency risks? Padmanathan felt that the focus on increasing water availability through bulk IWPPs and IWPs addresses less than half the real cost of inefficiencies within the sector. “Are opportunities for optimisation – particularly demand management and distribution losses – getting ignored along the way because we are focussed on
LEADING PERSPECTIVES putting more and more water into the system?” he wondered. Moreover, the average daily water consumption per capita in a water starved region like the GCC is 1,000 litres, in stark contrast to 90 litres for a city like Munich in Germany. The bottom line is: How long can this subsidisation of water be sustained? Padmanathan also drew attention to the issue of carbon footprint and energy consumption associated with desalination. He suggested that “we are better off using this resource for treating and reusing wastewater effluent,” and invited Monari of IFC to kick off the discussion.
The cost balance Monari chose cost of supply side infrastructure (which includes desalination, wastewater plants, related transmission
& distribution networks) as her starting point, observing that the two major supply side costs are a) the cost of energy used to pump out or desalinate or re-use water, and b) the financing cost or the overall cost of the contractual/financing arrangement. To contain supply infrastructure costs, IFC is supporting innovative solutions, like using alternative energy to power desalination and wastewater plants on the technology side and putting together new instruments and funding packages on the finance side. At the same time, IFC is also putting equal emphasis on demand management and more efficient use of water. Monari explained, “If we produce a lot of water - by developing the supply infrastructure or by reducing desalination costs through
technology - but lose 60-70% in the distribution system, what have we really achieved? The issue of getting water out to the largest number of people still remains open. Also, not many financial institutions are ready to put their money into or influence the demand side of water.”
Alive if not kicking Boleslawski of Calyon asserted that even during the worst period of the current financial crisis, the project finance market didn’t shut down except that deals took a bit more time and creativity to structure, like for example, the use of bridge loans where sponsors had to shoulder a degree of refinancing risk to close the funding till the time liquidity was restored. Al Dur in Bahrain, Rabigh in Saudi Arabia, Shuweihat 2 in Abu
Dhabi and Astoria Energy II project in the US were some of the major power and water deals that were closed in the midst of the financial crisis. Boleslawski also contended that the financial crisis didn’t challenge the benefits of privatisation or project finance. “Project financing continues to remain the best method of allocating risks among different players. It is a straightforward way of raising money in a consortium rather than the corporate debt route and brings with it the benefit of excellence and discipline in the contractual structure,” she noted. On the cost of financing going up, she felt that crisis has resulted in a dynamic situation where the market changes quickly. “You need to be flexible enough to be able to capture this dynamic. One of the lessons that emerged from this crisis was that for
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LEADING PERSPECTIVES a very large transaction, we need to think of multiple things, like mixing diverse sources of financing and building some redundancy in the financing plan so as to get to the optimal structure.” Suri debunked what he described as the three big myths of project financing prevalent today – first, project financing is dead; second, it is expensive and third, the risk allocation is not healthy for banks. The shrinking of the project finance market, catalysed by the financial crisis, means that only correctly structured projects, with strong sponsors and in sectors where sector laws have been passed or unbundling correctly carried out can get financing, unlike the heady pre-crisis days when lenders were less disciplined. He also dismissed the perception on project finance becoming more expensive after the credit crisis. He continued, “If one looks at the tenor of the debt and the ballooning of the structure one can get in debt, it works out to be very attractive from an equity ROI standpoint. Bank debt in the GCC can go longer than 20 years, which is longer than the bond market. So it is very attractive, even though the coupon may be higher.” During the financial crisis, while margins did increase, this was offset by the decline in Libor. “The Libor plus spread cost, even during the peak of the crisis, was pretty much close to what it was before the crisis as Libor had come down though margins had gone up. So project finance debt continues to be attractive and is not expensive,” Suri explained. The third and biggest myth of project finance, Suri continued, was that the risk profile of project finance not being healthy for banks. Pre-crisis, the risk profile was 40
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skewed with EPC contractors, who typically exit after construction, enjoying huge profits, while the sponsors and lenders, who remain around for a longer period, had to be satisfied with very low margins. Post-crisis, the EPC market has become much more competitive and there is much better risk sharing between all the parties involved, helping balance short term and long term interests. “With Basel II coming into play, banks have also started pricing project financing risks appropriately,” Suri concluded. However, Monari cautioned that the perception of project finance being ‘not dead’ varied depending on which part of the world one was talking. She argued that post-financial crisis, project financing more or less dead in the not-sostrong markets, where even well structured projects have country risks and if the country doesn’t have risks, the project is not well structured. Monari reminded the audience about the Asian financial crisis of the late 1990s, which resulted in a ‘lost decade’ when infrastructure projects in many Asian countries died from lack of finance. Putting those lessons to use, IFC and its peers have set up crisis facilities to avoid a repeat of the Asian experience as stories about projects not getting financed or getting closed or project pipelines getting shut down because sponsors are afraid of starting a project and worrying about finance began to resurface. However, Suri disagreed that development status of a country is a yard stick for availing limited recourse project finance, reiterating the point he made earlier that post-crisis, only good projects get financed. As an example, he cited the successful closing
of limited recourse project financing in Djibouti, where his bank was involved.
Co-chair observations Session co-chairman Ghassan Ejjeh contended that Suri’s observation about EPC contractors making fat profits was incorrect given that EPC contractors have to deal with huge projects and related risks too. “We are asked to do things which are not within our power or meet deadlines even if things happen that are beyond our control,” he argued. Ejjeh also chided banks for pushing financial models that make it very difficult for engineers to introduce innovations like nano-filtration that improve the performance of desalination plants, unless these innovations or improvements behave within the model. He suggested that financial models be reworked to introduce new and beneficial technologies. Ejjeh blamed the impact of subsidised or low energy costs, especially in the Gulf States, for distorting the power and water markets in the region leading to artificially low prices. “If we don’t get rid of the energy subsidy, we are distorting efficiency in the productions which is again of great importance. Why should a developer bend backwards and pay over the odds for capital cost when he is getting his energy practically at no price. Though he will have a minimum design with some efficiency, he is certainly not going to pay the cost of having greater efficiency for the love of country or the environment. At the end of the day, he has to balance his books,” Ejjeh observed. He was also emphatic that demand management cannot happen in the absence of an appropriate cost recovery mechanism. Such a mechanism would also help
develop an income stream which, in the long run, would help governments in the region to meet the payment responsibilities towards IWPPs they have piled on themselves. Ejjeh said unless Gulf States show real intent at some stage to go for cost recovery and an income stream to support the IWPP, fear of future financial crisis may deter developers from investing in the region.
Vital interface Contract structures in the water sector, and the interfaces between the different water facilities were the key themes in a series of questions posed by an audience member to the round table panel. As he put it, in a typical project financing scenario, thinly capitalised SPVs with ‘take or pay’ contracts look after the front end i.e. water production and also the back end i.e. sewage works. In between, there is the city with its political risks, volume risks and billing & collection risks. The main issue, the questioner continued, is how to sweeten out the losses that come from take or pay availability payments when all these risks are bundled in the middle (leaving out production side). Without linking the two, it is not going to be easy to reduce the inherent losses in contract structures, he contended, adding that “the water industry seems to be the one industry that proves by exception all of the laws of economics in relation to bundling.” He painted a scenario where, the city’s municipal water company is owned by a municipality, everything is bundled together, and privatisation takes the form of lease mechanisms or similar arrangements in relation to reducing costs every 15 years or so, the situation would be one “where we can lend and
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evolve at a much lower cost to a municipal service company. This might be an alternative form of private finance which comes into the sector in the future in order to drive efficiencies.” He also wondered about the practice of banks taking security in relation to the assets in place. “There is not a lot you can do with a big water treatment facility or
wastewater treatment facility other than that. But surely, the value is in the customer database,” he concluded. Appreciating the points raised by the questioner, Paddy drew his attention to the Ajman sewerage project in the UAE, which he described as truly retail wastewater concession in this
region and possibly around the world, and which faced a lot of the problems alluded to by the questioner. The Ajman sewerage project was structured to develop a brand new sewage collection and treatment system substantially funded by user tariff, connection fees and service fees to replace the traditional septic
tank soak-a-way system which was incapable of handling the emirate’s growing population pressures. Teething problems included convincing people to pay for a service they had never paid for before and getting the buy in of lenders in the absence of underpinning sovereign guarantee. The latter had to be convinced they were
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LEADING PERSPECTIVES better off taking security across 50,000 customers (a majority of them foreigners who wouldn’t break the sewer law that underpinned this project) instead of a quasisovereign guarantee support. Agreeing with Padmanathan, Monari pointed out that even IFC believes that ring fencing of account receivables is a much more powerful security than the underlying pipes and water treatment plants. To strengthen the municipalities, IFC is also directly reaching out to them. Instead of financing at the sovereign level for fund disbursal to the municipal water entities, IFC has adopted a more direct approach through municipal finance to make them much stronger off takers. Usha also declared that municipal finance will transform the way contracts and regulations are framed in the future in the water sector.
Unsustainable subsidies Agreeing with Ejjeh’s earlier observation about the unsustainability of subsidies, Suri said whatever lending institutions do in terms of risk mitigation is basically “bandaid’ because the panacea lies in making water cost effective. In that sense, water sector privatisation is expected to tread the same route as power, but at a slower pace given greater political sensitivity of the topic. Ravi pointed out that in the early and mid-1990s, mega power projects like Dabhol in India, Paiton in Indonesia and projects in China were partial to debt. However, the ultimate tariff was very high and a lot of money and time went into ensuring that the risks were well mitigated. Most, if not all of these deals, got re-negotiated not because the country declared a default, but due to lacunas in the project contracts. 42
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Today, in the power sector, banks and sponsors tend to take a close look at the ‘merit order dispatch position’ in the grid and examine the competitiveness of the tariff before taking a decision on financing. Suri predicted that water sector too is heading down the same path. He said, “Ultimately, the tariff has to be increased and passed on. In the case of Abu Dhabi, privatisation of water sector was motivated by the need for efficiency, not capital. They got the tariff structure right, from the beginning.” Boleslawski concurred with Suri on the importance of an acceptable the tariff scheme. She said, “If a project looks expensive, we will look to what extent it is competitive compared to existing source of power or water. However, there are many instances where such projects proved to more competitive than existing ones. If a project is not competitive, it probably means that it is not the right technical solution to implement.”
Alternatives to project finance Citing a contrary experience to Suri’s contention about lower Libor keeping a lid on financing costs, an audience member said that he was compelled to ask his off taker to increase tariffs to compensate the higher financing costs. He observed that new technological developments and improvements were driving down EPC and O&M costs; but except banks, all other parties in the project seem to be taking on more risks. “Are there solutions other than traditional project finance?” he asked. However, Padmanathan disagreed with the observations made by the questioner about higher cost of financing. He pointed out that during
the past four and half years, which spanned the full cycle of ups and downs in the world economy and ran right through the financial tsunami, he was involved in structuring nearly $12.4 billion of project financing, with the most recent closing - a four-month-old $2.5 billion deal - technically taking place in the middle of the crisis. He continued, “The cost of financing, defined as interest rate plus risk margin charged by the lenders - taking into account the upfront fees and thus valuing it on a holistic basis - actually went down in the case of Rabigh IPP project which we closed four months ago. The total cost of financing Rabigh was lower than that for Shuqaiq, which was done during the ‘pre-crisis’ period. So I beg to disagree.” Suri noted that during the liquidity overhang days preceding the financial crisis, lenders were giving money for projects on very loose terms and easy interest rates, an unsustainable situation which the financial crisis set right. This in turn led to a rebalancing of risk and re-alignment between what equity can take and what banks can take. Post crisis, sponsors have taken a small hit on the equity IRR, EPC contract prices have come down and lenders have become a bit pricier, but overall, the financial markets have undergone a healthy correction. Suri repeated his earlier Libor argument that today costs have come down though tenors have got elongated, with average life longer than the bond markets. “Though banks don’t go longer than 20 years, it has been the other way round in the GCC,” he said. Commenting on the alternatives to project finance, Ravi pointed to corporate banking debt, where one borrows on the sponsor’s balance sheet, as an option
used by many companies in the region. However, most prefer to mitigate risk and save their balance sheet for further expansion using the tried, tested and well accepted project financing route. Boleslawski proposed re-financing as another alternative. Postconstruction, once a project is up and running and proved to be working well and efficiently, sponsors could look at refinancing options like bonds so that banks can free their capital for financing new projects. An SWCC official from the presenter panel preceding the round table underlined the importance of adopting integrated water resource management (IWRM) in the Gulf region to meet the region’s future water demand instead of relying on IWPPs alone. Ejjeh agreed that IWRM is not a matter of choice but a must for the Middle East region, holding up Singapore as the role model to emulate. He noted that even financiers who are not directly concerned with IWRM stand to benefit from it because the sustainability of water resources that IWRM promises helps make analysis easier and the risk matrix a lot better. Monari proposed a more cautious approach towards IWRM because despite its good intent, IWRM’s hasn’t worked particularly well in most of the countries that tried to put it into practice, primarily due to the fact that responsibility for water was vested in a maze of ministries and power centres. She advised governments considering IWRM to seriously think about how far up the political totem pole they want to push water and also bring the different ministries together. But she also appreciated IWRM holistic approach to water, which fleshes out the
risks much more clearly. “Five years ago, many of IFC’s clients didn’t regard water as a risk; they thought it was infinite resource which they could get wherever and whenever they wanted it. However, today, in any risk analysis that IFC does for projects it is setting up, water is considered as one of the top business risks,” she pointed out. Boleslawski added that in project financing, water projects have always been a bigger challenge than power projects; so an efficient and streamlined management process as well as decision making process at the government level is critical for the financial community to be able to progress on the financing of these projects.
Fixing the risk An audience member pointed out that a major problem faced by investors in the water sector is currency exchange risk to which Monari proposed local currency financing as a viable solution. “We have tried to put in place a series of products that provide the sponsor with local currency financing,” she said. In the emerging markets that IFC is involved in, local currency financing if available, is too short to provide the matching financing needed for the long term nature of assets in water projects. Therefore, IFC either finances banks to finance sponsors or guarantees them or enters into pre-agreed swap facilities with the central bank of the country which enables sponsors to get long term local currency financing directly from IFC. Boleslawski added that sponsors should optimise these swaps to get a fix on the interest rate for the longest period possible. A Japanese EPC contractor representative wanted to know which party is responsible for
cost escalation risk during the construction period. Ravi pointed out that in the case of limited recourse project financing, EPC contracts for power and water projects are typically in the form of lump sum fixed price turnkey agreements, where the cost escalation or inflationary risks have to be borne by the EPC contractor. Hedges against cost escalation risk has to be incorporated into the price that the contractor charges. If the EPC is complicated or entails new technology as is the case in refining or petrochemical industry, sponsors are expected to provide debt service undertaking and associated risks which then get passed on back to back to the contractor. Padmanathan noted that that the issue of material price escalation got out of control during 2007-08; but the fact remains that the people best placed to manage that risk are EPC contractors themselves because the decision-making responsibility for procuring whatever is needed for timely execution of the project ultimately rests with them. “Competent EPC contractors manage the risk through different instruments and ultimately price it,” said Padmanathan. Moreover, EPC contractors also have the benefit of buying in large volumes across the various projects they are executing. During 2007-08, the prices that EPC contractors were starting to apply to manage their risks increased significantly and disproportionately, forcing developers/sponsors to talk to their EPC contractors on how to share that risk. Paddy said, “Quite frankly, the only two parties who can have this discussion are the sponsors and the EPC contractor. There is no
logic in expecting the lender to share it because the lender’s job is to deliver the lowest cost of finance. In order to do that, they have to get out of as much of risks as possible.” Where sponsors have to step in to share cost escalation risk with the EPC contractor, they may be compelled to impose supervision, guidance and monitoring on the EPC contractor to see whether the latter is managing and mitigating the risks efficiently and effectively. But such an approach can be counterproductive since it restricts the flexibility and freedom of the EPC contractor in executing the project. “We weren’t very successful in coming up with ‘out of the box’ solutions other than increasing the advance payments which
gave the EPC contractor an opportunity to lock in the raw material prices in the early stages and therefore, minimise the time period over which they are carrying the risk,” Padmanathan concluded. The approach adopted by the Saudi authorities of tendering EPC contracts for power and water projects despite the current economic environment came in for praise from Ejjeh, who commended SWCC for deciding to go ahead with Ras Azour on EPC basis and revisit the situation as the global economy recovers. Ejjeh pointed out that in the current economic scenario, projects stand to benefit from lower costs and risks, the spare capacity available EPC contractors and ready suppliers.
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interview: PURE TECHNOLOGIES
Leak specialists
Ramuel Garcia is the Abu Dhabi Branch Manager of Canada-based Pure Technologies, the company behind the ‘SmartBall’ leak detection system for water and wastewater pipelines. Garcia has over 25 years experience in inspection of oil, gas, water and wastewater pipelines in the Middle East region. In an email interview, he responded to questions on reasons for setting up the Abu Dhabi branch office, the water/ wastewater leak detection technology developed in-house, and market potential for such technologies in the Gulf region. Toronto Venture Exchange (TSX Venture) under the symbol: PUR.V
Could you tell us about Pure Technologies’ offerings for the water sector? Pure Technologies is among the leading companies involved in the development and application of innovative technologies for inspection, monitoring and management of physical infrastructure. From monitoring the health of large bridges to protecting pipelines, Pure’s technologies and expertise are being used around the world to help manage deterioration and reduce loss. Our optical fibre distributed acoustic sensing systems are being used to protect large-diameter pre-stressed water pipelines from San Diego to Libya. Since 1998, our SoundPrint acoustic monitoring systems have been used on some of the world’s largest bridges to identify and locate corrosion so that the long-term integrity of these critical links can be assured. Our innovative new SmartBall leak detection system will detect and locate tiny leaks in oil, gas, water and wastewater pipelines. Through our specialist engineering subsidiaries - Jason Consultants, Openaka and Price Brothers (UK), we can provide expert advice on asset management, condition assessment, trenchless technologies and pipe manufacturing to complement our technology offerings. Our corporate head office is in Calgary, Canada and we have offices in Columbia, Maryland; Benghazi, Libya; Weybridge, UK and, now Abu Dhabi. We have over 100 employees and we are growing quickly. We are a listed company and we trade on the 44
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Prior to opening an office in Abu Dhabi, how did you operate in the Gulf market? We have spent the last two years evaluating the opportunities in the Gulf region. We arrived at the conclusion that establishing a direct presence is critical to winning the confidence of our clients and assure them of strong support. Abu Dhabi is a natural location for developing our business in the GCC region. It is centrally located and has excellent connectivity to Europe and Asia. It also has a skilled technical workforce that minimise the need to send in engineers and technicians from North America to service projects here. As the centre of the oil and gas sector in the UAE, it also has a number of potential clients for our technologies. The recent economic downturn has had no impact on our decision as we take a long-term view of our investment and believe that this region will be an important contributor to our future growth. Now that you have established a direct presence, what are the markets that you will be initially targeting? From a water and wastewater sector perspective, what is the growth potential for your business? We see a growing awareness of the need to conserve expensive water resources in the region. Therefore the main utility companies in the UAE, such as Transco, ADDC, ADSSC, DEWA, FEWA and others such as SWCC in Saudi Arabia are potential users of our leak detection and condition assessment technologies, particularly for trunk main systems. We are also introducing long-range robotics with multiple sensing capabilities that facilitate assessment of sewers and water mains, and, through Jason Consultants and Price Brothers UK subsidiaries, we have
specialist engineering capabilities that can complement and assist the larger engineering companies’ services to the sector. What are the innovations that differentiate your products from competitors, especially with regard to those targeted at the water and wastewater markets? We focus on developing solutions for previously unsolved problems, and all of our technologies are developed in-house. A good example is our SmartBall system for finding leaks in trunk mains. Conventional leak detection methods involve the use of leak correlators using surfacemounted sensors on the pipeline. These have proven to be not very effective for large-diameter pipelines, and for non-ferrous pipe materials such as AC or GRP. We took a different approach to conventional practice by putting the sensor inside the pipe and letting it roll with the flow, collecting data on leaks as it travels along the pipeline – similar to a smart pig in an oil pipeline. Now, pipeline owners have a tool that can detect every leak in a line and can survey over 20 kilometres in a day – an innovative and cost-effective solution that has attracted a lot of attention in the industry. What are the challenges you expect in marketing your products in this region? Public agencies around the world take time to adopt new technologies and to make decisions. This region will be no different, so we have to be patient. Also, in this part of the world, I think there has been a tendency in the past to not admit there is a problem, for example, with water loss. But we see this changing as there is a desire within senior levels of government in the region to be seen as environmentally responsible and to promote sustainable practices. We believe that if we are patient, and provide good service to our clients, we will be successful.
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30th – 31st March 2010 Fairmont Bab Al Bahr, Abu Dhabi, UAE Keynote speakers: H.E. Abdulla Saif Al Nuaimi Director of Privatisation Directorate Abu Dhabi Water & Electricity Authority
Ar a b i a n
H.E. Loay Ahmed Al Musallam Chief Executive Officer National Water Company
P wer & Water SUM M I T Dr. Ranald Spiers Chief Executive Officer MENA International Power
Su Pr m em it
Alternative Energy Forum
Ahmed Ali Gumatti Chairman General Desalination Company
Monday 29th March 2010
A strategic review of the Arabian world’s alternative energy developments
Dr. Fareed M. Al Yagout President National Power Company
Abdulsattar Al Rashid Executive Managing Director Qatar Power Company
Eng. Bander Allaf Senior Planning Engineer Saudi Electricity Company (SEC)
Kamel Sid Director CEEGSpa Sonelgaz, Algeria
Shankar Krishnamoorthy Chief Executive Officer Suez Energy Middle East and North Africa
• Discover the opportunities • Discuss and debate the challenges • Meet those companies awarding contracts
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Dr. Mostafa Al Guerzeri General Manager ABB
Masterclasses
Thursday 1st April 2010
Masterclass A - 09:00 – 12:30
Successful Project Finance Strategies
Masterclass B - 14:00 – 17:30 SaveDiscounts US$300 when you book and Power PPP Projects in focus are only available over the telephone on: +971 (0)4 390 0049 pay before 15th February 2010
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TENDERS Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Status Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
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PROJECTS
1/1431/1432-SA/4 Water Pipeline Execution Project Saudi Arabia Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country: Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Execution of water pipeline for a water directorate. 270 March 2, 2010 Tender No. 1/1431/1432 This project calls for execution of water pipeline between Alqareena and Sadoos pumping station in Saudi Arabia. Tender documents can be obtained from: Tenders & Procurement Department, Riyadh Water Directorate Riyadh, Saudi Arabia. Potable Water Works 2/1431/1432-SA/2 Purification Station O&M Project Saudi Arabia Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country: Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Carrying out operation and maintenance of purification station for a water directorate. 270 March 2, 2010 Tender No. 2/1431/1432 This project is at Alkharj in Saudi Arabia. Tender documents can be obtained from: Tenders & Procurement Department, Riyadh Water Directorate Riyadh, Saudi Arabia. Potable Water Works 3/1431/1432-SA/2 Pumping Station Execution Project Saudi Arabia Name: Ministry of Water & Electricity (Saudi Arabia) Address: King Fahd Road City: Riyadh 11127 Postal/Zip Code: 5729 Country: Saudi Arabia Tel: (+966-1) 205 6666/ 205 2981 Fax: (+966-1) 205 0557 email: info@mowe.gov.ae URL: http://www.mow.gov.sa Execution of pumping station for a water & electricity authority. 270 February 21, 2010 New Tender Tender No. 3/1431/1432 This project is at North Altathabya in Saudi Arabia. Tender documents can be obtained from: Tenders and Procurement Department Ministry of Water and Electricity Riyadh, Saudi Arabia. Sewerage & Drainage Potable Water Works 18/1431/1432-SA Potable Water Networks O&M Project Saudi Arabia Name: Ministry of Water & Electricity (Saudi Arabia) Address: King Fahd Road City: Riyadh 11127 Postal/Zip Code: 5729 Country: Saudi Arabia Tel: (+966-1) 205 6666/ 205 2981 Fax: (+966-1) 205 0557 email: info@mowe.gov.ae URL: http://www.mow.gov.sa Carrying out operation and maintenance of potable water networks for a water & electrical company. 270 March 7, 2010 Tender No. 18/1431/1432 This project is at Sahrora in Saudi Arabia. Tender documents can be obtained from: Tenders Department,
Ministry of Water & Electricity Riyadh, Saudi Arabia. Tender Categories Potable Water Works Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
4/431/432-SA Water Projects Study & Implementation Project Saudi Arabia Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country: Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Study and implementation of water projects for a water directorate. 1335 March 8, 2010 Tender No. 4/431/432 This project is in Saudi Arabia. Tender documents can be obtained from: Procurement Department, Madina Water Directorate Madina, Saudi Arabia. Potable Water Works 25/2010-O/1 Consultancy Services-895 Oman Name: Public Authority for Electricity & Water (Oman) Address: Ministries Road, Al Khoweir Area City: Muscat Postal/Zip Code: 106 Country: Oman Tel: (+968) 2460 3906 / 2460 3800 Fax: (+968) 2460 7076 Provision of consultancy services for an electricity & water authority. 425 March 15, 2010 Tender No. 25/2010 This tender calls for the provision of consultancy services for updating geo-database collection of water utility network and other related components at Bowsher Wilayat in Oman. Tender documents can be obtained from: Public Authority for Electricity & Water Muscat, Oman. The last date to purchase tender documents is February 24, 2010. Potable Water Works 24/2010-O/1 Consultancy Services-894 Oman Name: Public Authority for Electricity & Water (Oman) Address: Ministries Road, Al Khoweir Area City: Muscat Postal/Zip Code: 106 Country: Oman Tel: (+968) 2460 3906 / 2460 3800 Fax: (+968) 2460 7076
Description Provision of consultancy services for an electricity & water authority. Tender Cost $ 425 Closing Date March 15, 2010 Remarks Tender No. 24/2010 This tender calls for the provision of consultancy services for updating geo-database collection of water utility network and other related components at Muscat, Muttrah and Al-Amerat Wilayats in Oman. Tender documents can be obtained from: Public Authority for Electricity & Water Muscat, Oman. The last date to purchase tender documents is February 24, 2010. Tender Categories Potable Water Works Project Number Project Name Territory Client
JB-B-M-1072-SA Pipes Renovation Works Saudi Arabia Name: Saline Water Conversion Corporation - SWCC (Saudi Arabia) City: Riyadh 11691 Postal/Zip Code: 85369 Country: Saudi Arabia Tel: (+966-1) 463 1111/ 463 4546/ 463 0503
middleeasttenders.com / +971 2 634 8495
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Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
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Fax: (+966-1) 464 3235 email: info@swcc.gov.sa URL: http://www.swcc.gov.sa Carrying out renovation of pipes for conversion condenser from Unit 31 to 40 for a water conversion corporation. 135 March 20, 2010 Tender No. JB-B-M-1072 This tender service is in Saudi Arabia. Tender documents can be obtained from: Procurement Department, Saline Water Conversion Corporation Riyadh, Saudi Arabia. Potable Water Works 6/1431/1432-SA/4 Water Connection Works Project Saudi Arabia Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Carrying out connection of water for a water directorate. 270 March 13, 2010 Tender No. 6/1431/1432 This project is at Alsseh district in Saudi Arabia. Tender documents can be obtained from: Tenders & Procurement Department, Riyadh Water Directorate Riyadh, Saudi Arabia. Potable Water Works
Project Number 5/1431/1432-SA/2 Project Name Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country: Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Territory Saudi Arabia Client Water Directorate (Saudi Arabia) Description Execution of water network for a water directorate. Tender Cost $ 270 Closing Date March 13, 2010 Remarks Tender No. 5/1431/1432 This project is at Altashash Village in Wadi Addawaser of Saudi Arabia. Tender documents can be obtained from: Tenders & Procurement Department, Riyadh Water Directorate Riyadh, Saudi Arabia. Tender Categories Potable Water Works Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories
TPR8927-SA Flood Hazards Prevention Project-40 Saudi Arabia Name: Eastern Province Municipality - Emara (Saudi Arabia) City: Dammam Country: Saudi Arabia email: it@easternemara.gov.sa URL: http://www.easternemara.gov.sa Provision of flood hazards prevention for a municipality. 535 April 2, 2010 This project is in Saudi Arabia. Tender documents can be obtained from: Alolaya Governorate, Eastern Province Municipality Riyadh, Saudi Arabia. Municipal Services Sewerage & Drainage
Project Number TPR8902-SA Project Name Flood Hazards Prevention & Storm Water Drainage Project-42 Territory Saudi Arabia Client Name: Eastern Province Municipality-Emara (Saudi Arabia) City: Dammam Country: Saudi Arabia email: it@easternemara.gov.sa URL: http://www.easternemara.gov.sa
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februARY 2010
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TENDERS
PROJECTS
Description Implementation of flood hazards prevention and storm water drainage for a municipality. Tender Cost $ 1,335 Closing Date April 19, 2010 Remarks This project is in Saudi Arabia. Tender documents can be obtained from: Abgaig Governorate, Eastern Province Municipality Riyadh, Saudi Arabia. Tender Categories Sewerage & Drainage Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
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4/1431/1432-SA/3 Wastewater Networks Execution Project-4 Saudi Arabia Name: Water Directorate (Saudi Arabia) City: Riyadh 11195 Country: Saudi Arabia Tel: (+966-1) 476 1377 Fax: (+966-1) 401 2365 Execution of wastewater networks for a water directorate. 535 March 13, 2010 Tender No. 4/1431/1432 This project is at Dwadmi in Saudi Arabia. Tender documents can be obtained from: Tenders & Procurement Department, Riyadh Water Directorate Riyadh, Saudi Arabia. Sewerage & Drainage 11/31-SA/4 Wastewater Treatment Station Project-4 Saudi Arabia Name: King Saud University (Saudi Arabia) Address: University Street, Dirriyeh City: Riyadh 11451 Postal/Zip Code: 2454 Country: Saudi Arabia Tel: (+966-1) 467 0000/ 467 6935/ 467 4000 Fax: (+966-1) 467 7008/ 467 7580 email: eng@ksu.edu.sa URL: http://www.ksu.edu.sa Supply and installation of wastewater treatment station with capacity of 10,000 cubic metres per day at a university. 8,000 March 9, 2010 Tender No. 11/31 This project is in Saudi Arabia. Tender documents can be obtained from: Procurement & Stores Department, King Saud University Riyadh, Saudi Arabia. Sewerage & Drainage TPR8724-SA SCADA Modernisation Project Saudi Arabia Name: Saline Water Conversion Corporation - SWCC (Saudi Arabia) City: Riyadh 11691 Postal/Zip Code: 85369 Country: Saudi Arabia Tel: (+966-1) 463 1111/ 463 4546/ 463 0503 Fax: (+966-1) 464 3235 email: info@swcc.gov.sa URL: http://www.swcc.gov.sa Modernisation of supervisory control and data acquisition (SCADA) for water transmission. 1,335 March 2, 2010 This project calls for modernisation of SCADA from Riyadh to Alqassim of water transmission in Saudi Arabia. Tender documents can be obtained from: Procurement Department, Saline Water Conversion Corporation Riyadh, Saudi Arabia. Potable Water Works
middleeasttenders.com / +971 2 634 8495
Project Number MPP031-Q Project Name Reverse Osmosis Desalination Plant Project-2 Territory Qatar Client Name: Qatar General Electricity & Water Corporation (Kahramaa) Address: NBK Building City: Doha Postal/Zip Code: 41 Country: Qatar Tel: (+974) 484 5111/ 555 5901/ 484 5555 Fax: (+974) 484 5191/ 466 2046 email: aalnajjar@kahramaa.com.qa URL: http://www.km.com.qa Description Engineering, procurement and construction (EPC) contract to build a reverse osmosis (RO) desalination plant with capacity of 2.5 million gallons a day (g/d) of desalinated water. Post Date December 5, 2009 Remarks This project is in Qatar. Client has awarded a Project Manager contract to Serbian contractor Energoprojekt Entel for conducting a pilot study on the scheme. Under the contract, Energoprojekt will recommend a suitable location for the plant and issue the construction tender. It will then supervise construction of the plant and monitor its performance. The client may decide to move from a pilot plant to a commercially sized plant at an unspecified date in the future. A tender for construction of plant is expected to be issued by end of February 2010. The plant is due to commence production before the end of October 2010. Energoprojekt - Entel (Qatar) Tender Categories Potable Water Works Project Number Project Name Territory Client
Description
Budget $ Period Remarks
Tender Categories Project Number Project Name Territory Client
Description Tender Cost $ Closing Date Remarks
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february 2010
SPR2553-U IWPP Project Abu Dhabi Name: Abu Dhabi Water & Electricity Authority (ADWEA) Address: ADWEA Building, Al-Falah Street City: Abu Dhabi Postal/Zip Code: 6120 Country: United Arab Emirates Phone: (+971-2) 627 1300 / 694 3333 Fax: (+971-2) 626 7725 / 626 6089 URL: http://www.adwea.gov.ae Engineering, procurement and construction (EPC) contract for the design and execution of an independent water and power plant (IWPP) with capacity of 1,500 MW and 60 to 100 million gallons per day of desalination. 2200,000,000 20/12/2013 This project is in Abu Dhabi. The scheme is currently in planning stage. Location of the plant has not been decided yet. A tender for the EPC contract is expected to be issued in March 2010, with submission of bids anticipated by May 2010. Potable Water Works Power Generation & Distribution TPR8726-SA Steel Pipes-19 Saudi Arabia Name: Saline Water Conversion Corporation - SWCC (Saudi Arabia) City: Riyadh 11691 Postal/Zip Code: 85369 Country: Saudi Arabia Tel: (+966-1) 463 1111/ 463 4546/ 463 0503 Fax: (+966-1) 464 3235 email: info@swcc.gov.sa URL: http://www.swcc.gov.sa Fabrication and supply of steel pipes for water transmission system. 26,670 May 2, 2010 This tender supply is at Ras Alzoor and Hafr Albatin in Sauid Arabia. Tender documents can be obtained from: Procurement Department, Saline Water Conversion Corporation Riyadh, Saudi Arabia. Potable Water Works
eventsCALENDAR MARCH March 7-9, Saudi Arabia
Gulf Environment Forum Organised under the high patronage of HRH Prince Turki bin Nasser bin Abdulaziz, Chairman of the Presidency of Meteorology and Environment and with the support of the United Nations Environment Programme and the GCC union of chambers of commerce and industries, the Gulf Environment Forum is the first all encompassing environment conference and exhibition held in the region. The first Gulf Environment Forum will focus upon Sustainable development, Water, Clean energy, Carbon trading, Bio system and nature preservation, Climate change, Audit; studies and consulting and legal framework and policies. Contact: Alain Marhic, BME Global Tel: +44 207 511 9582 Fax: + 44 207-022-1722 E-mail: alain@bme-global.com URL: www. gulfenvironmentforum.com March 9-11, 2010, Dubai
WETEX 2010 WETEX 2010 is an important regional resourcing platform for national and international companies to access wide range of latest technology and
50
february 2010
management solutions. This event also provides avenue for industry leaders to keep abreast of the latest developments in the Gulf region in the field of Water, Energy and Environment, as well to network and tie up with strategic partners to pursue innovative solutions WETEX 2010 will hold the convergence of decision-makers, representatives from government organisations, policy makers, trade associations and chamber of commerce around the world. Contact: Hina Ali Tel: +971 4 3072275 Fax +971 4 3248111, 3244922 Email: contracts@dewa.gov.ae URL: www.wetex.ae March 29-31, 2010, Abu Dhabi
Arabian Power & Water Summit H.E. Abdulla Saif Al Nuaimi, Director of Privatisation Directorate at the Abu Dhabi Water & Electricity Authority (ADWEA), which is the patron and exclusive partner of Arabian Power & Water Summit (APWS) will deliver the keynote address. The event will be held at Fairmont Bab Al Bahr in Abu Dhabi city. Chairman of Libya’s General Desalination Corporation, Ahmed Gumatti, will speak about the ambitious power and water plans in Libya. Kamel Sid from Sonelgaz will provide an update about developments in
Algeria. The summit will also be preceded by an Alternative Energy Forum which will be held on 29 March 2010 at the same conference venue. This will provide vital fresh information and insights about trends in the GCC and an assessment of the implications for the region of the Copenhagen Climate Change conference held in December. Expert speakers from across the region and internationally will address the forum. Contact: Cassie Start MEED Tel: +971 4 390 0045 Fax: +971 4 368 8023 Email: cassie.start@meed-dubai. com URL: www.meed.com
april April 11-14, 2010, Riyadh
2010 April 25-27, 2010
Gulf Water & Power Forum, Bahrain The first Gulf Water & Power Forum (GWPF) will be be held at Bahrain International Exhibition Centre, Manama in partnership with the Federation of GCC Chambers. GWPF will bring government, power and water project developers, contractors and suppliers together to discuss investment opportunities in the Gulf Water & Power sectors which is expected to attract an estimated $120 billion over the next 10 years. Contact: BME Global Tel: +44 207-023-9240 Fax: + 44 207-022-1722 Email:eidriss@bme-global.com URL: www.bme-global.com
Company Index
Arwadex 2010
H2O February 2010
Water Desalination Conference in Arab Countries (Arwadex) aims at encouraging exchange of expertise among the parties and bodies in the Arab countries concerned with the desalination industry and the environment, encouraging the private sector to invest in desalination projects, technology transfer opportunities, enhancing the performance of employees in the desalination domain and evaluating the feasibility of using alternative energies in desalination. The conference will also host two workshops on pumps in the desalination plants - design, materials, problems and Design of pipelines and water transportation systems. The venue of the conference is Intercontinental Hotel, Riyadh. Contact: Basim El Zahab The Specialist Group Tel: +966 1 460 2332 ext. 116 Fax: +966 1 460 2316 Mobile: +966 50 341 1003 Email: bassem@specialist.com.sa
ACWA Power Projects AEON International Aqua Master Calyon CST Tanks Culligan Dow Eimco Emerson ERI Hydranautics International Finance Corporation Modon Moya Holdings Nalco Norit Pure Technologies Saline Water Conversion Corporation Severn Trent Services Siemens Water Technologies Six Construct SPP Pumps Standard Chartered Bank Tanqia Technopark Toray Valvotubi Victaulic Waterworks Technologies
Tel: +44 (0)1740 â– Fax: +44+971 (0)1740 661237 Tel: +971 661236 4 8859225 Fax: 4 8859224 Email: Email: contact@aeon-online.com contact@aeon-online.com â– www.aeon-online.com www.aeon-online.com
(also offices in Poland and Dubai)
(also offices in UK and Poland)
AEON (Gulf) LLC AEON International Ltd, LionInternational Court, Hanzard Drive, P.O.Box- 115069, ArabTS22 Emirates Wynyard BusinessDubai, Park, United Billingham 5FD
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With 160 years experience, MWH is one of the world’s largest providers of water, environmental, infrastructure and energy services. We pride ourselves on our expert advice and wide-ranging support, from highly talented teams and top calibre individuals. Engineering News Record (ENR) The Global Sourcebook Issue, December 2009:
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