Dubai Electricity and Water Authority (DEWA) and Etihad Energy Service Company (Etihad ESCO), announced yesterday the signing of two comprehensive Energy Savings Performance Contracts (ESPC) at a combined value of Dh 37 million to improve and enhance overall energy efficiency of the lighting infrastructure of the power plants at Jebel Ali, Al Awir, and 7 DEWA-owned buildings including its headquarter.
As part of the guaranteed savings project, Etihad ESCO conducted a technical energy audit on DEWA facilities, which identified significant energy efficiency improvement measures as well as related capital improvement measures that will support sustainability and overall energy efficiency. This project will serve as a showcase for the energy performance contracting market at the level of Dubai and the region.
Saeed Mohammed Al Tayer, Vice Chairman of the Dubai Supreme Council of Energy, and MD and CEO of DEWA expressed his satisfaction with the award of the projects and stated that this initiative is in line with the Green Economy for Sustainable Development national initiative and the directives of Vice President and Prime Minister and Ruler of Dubai, His Highness Sheikh Mohammed bin Rashid Al Maktoum, to make the UAE a world leader in green economy. It also support the Dubai Integrated Energy Strategy to reduce energy consumption by 30 per cent and carbon emissions by over 5 million tonnes by 2030.
"DEWA is proud to lead by example by implementing energy efficiency through the innovative energy performance contracting model which is new for the region. The partnership with Etihad ESCO will further drive public-private partnerships that support the vision of making Dubai a leading example of energy efficiency for the region and the world," said Al Tayer.
One of the projects consists of a comprehensive lighting upgrade with high-efficiency LED technology within DEWA's power stations in Jebel Ali and Al-Awir.
The contract guarantees a 68 percent electricity savings for 6 years with a payback of 3.5 years. The second project focuses on energy efficiency and water conservation in 7 DEWA-owned buildings, including the improvements of the building control systems, chiller plant facilities, air conditioning equipment, and water systems. It will improve comfort and productivity for customers and staff with the contract guaranteeing an overall savings in electricity and water use of 31 percent for 6 years with an overall payback of 6 years. Both projects will measurably reduce carbon dioxide (CO2) emissions, which are projected to decline by 8,531 metric tonnes each year, equivalent to removing 1,796 cars from the road each year.
In line with Etihad ESCO's vision of enabling a performance contracting market in Dubai, Etihad ESCO is partnering with Philips Lighting on the lighting project and MAF Dalkia Middle East on the building project. Construction on both projects is scheduled to be completed in December 2015. Comprehensive long-term maintenance, repair and replacement of the installed components are also funded through guaranteed energy savings to ensure the installed improvements remain in good working order over the respective contract duration.
"This comprehensive project helps DEWA to enhance its operational efficiency and lower the carbon footprint of its facilities which adds to its already outstanding record of achievements in energy conservation and sustainability. Etihad ESCO is proud of its partnership with DEWA as it will showcase how energy performance contracting can enable energy efficiency, a far more effective way of conserving energy resources than traditional energy conservation efforts that may be limited in savings," said Stephane le Gentil, CEO of Etihad ESCO.
Source: WAM