Cost of 'going green' slashed
Cost of 'going green' slashed
Dubai tower's pay back period for investing in energy saving module
falls dramatically from 23 to 14 months
The cost of going green by reducing their carbon footprint has just become dramatically easier to afford for commercial building owners and operators in Dubai, says an award-winning energy conservation company.
The pay back period for investing in intelligent energy and cost-saving solutions that can substantially cut electricity consumption for major buildings, has been slashed by 40%, as a result of a new electricity tariff introduced this month in Dubai.
Total facilities management company Farnek Avireal cites City Tower 2 on Dubai's Sheikh Zayed Road where it has won a contract to reduce the electricity consumption of the building's refrigeration and air conditioning systems.
The company has calculated that after their Energy Saving Module is introduced for the 22-floor tower built in 1997, the building's electricity demand will fall by 457,667 kilowatts in a year – leading to annual carbon dioxide emissions being slashed by 198,628 kilogrammes.
Based on the old electricity tariff in Dubai, that would have amounted to substantial annual monetary savings of AED91,533 ($24,934). But under the new tariff introduced on March 1 - which means companies pay higher unit charges for consuming more - annual savings will be an even more impressive AED151,030 ($41,141).
With the cost of the supply, installation and engineering of the Energy Saving Module at AED176,000 ($47,943), the return on investment pay back period is now calculated at just 14 months instead of 23.1 months under the old tariff.
"We always felt that the investment return period of our modules was impressive but the new tariff underlines just how quickly that companies can save money by using our system and, at the same time, dramatically contribute towards Dubai's drive to reduce its carbon footprint," said Markus Oberlin, General Manager of Avireal Middle East.
Dubai has one of the world's biggest carbon footprints on a per person basis. Average individual electricity usage is said to be 20,000 kilowatt hours per annum and 130 gallons of water daily, putting Dubai among the cities with the highest consumption per person in the world. The new tariffs introduced in Dubai for both electricity and water are aimed at encouraging consumers to use less by paying more.
“We estimate major buildings using our Energy Saving Module can reduce their consumption from air conditioning and refrigeration systems by between 25 to 30% - producing savings that can pay back the investment in just a few months," Oberlin added.
“These kinds of potential energy savings apply to virtually any type of building, from residential and commercial complexes to shopping centres, hotels, hospitals and large institutions. On top of the obvious environmental benefit, we firmly believe this is something every building manager or operator concerned about ever-increasing costs will want to take account of."
City Tower 2, owned by Deira Tower Estates, is the latest in a growing list of companies and buildings that Farnek Avireal is assisting reduce or limit energy consumption. Two of the world’s leading premium hotel chains - Mővenpick and Swissôtel - have brought in Farnek Avireal's auditing system to help them to go green by trimming their energy and water costs and reduce carbon dioxide emissions across their properties.
Farnek Avireal is also to utilise the power of the sun to help reduce the heat of the kitchens for regional contract catering business, Abela & Company. Farnek Avireal will be coming up with the best energy concepts for efficient lifecycle running costs, including solar technologies.
"We believe there are many, many more companies that care about the impact they have on the environment and want to take action," said Oberlin.
Farnek Avireal last year won an Emirates Energy Award after conducting a survey which showed five-star hotels in Dubai use up to 225% more energy than their counterparts in Europe.