N0. 2 / 2016 INTERNATIONAL MAGAZINE ON DISTRICT HEATING AND COOLING DISTRICT COOLING IN THE MIDDLE EAST DBDH - direct access to district heating and cooling technology www.dbdh.dk CONTENTS 4 THE COLUMN 5 HOW TO SET UP STATE OF THE ART DISTRICT HEATING SYSTEMS IN ARCTIC AREAS 7 DISTRICT HEATING COMPANIES CAN BENEFIT FROM RETHINKING THEIR BUSINESS 9 DISTRICT HEATING AND COOLING A MATTER OF OWNERSHIP 12 BUILDING TRUST IN HEAT 14 DISTRICT COOLING IN THE MIDDLE EAST 1 DISTRICT HEATING FROM A-Z RELY ON 50 YEARS OF EXPERIENCE IN ALL DISTRICT HEATING APPLICATIONS 16 CHP POWER PLANT SUB-STATION BOILER HOUSE CONSUMER CONNECTIONS MAIN PUMPS DISTRIBUTION PUMPS BOILER SHUNT PUMPS PLATE HEAT EXCHANGE FLOW FILTER PUMPS PRESSURE HOLDING SYSTEM LULL HEAT PUMPS P4 THE COLUMN Lars Hummelmose, Managing Director, DBDH THE MIDDLE EAST TAKES THE LEAD IN DISTRICT COOLING DEVELOPMENT The global demand for cooling is exploding and it will continue to grow. It is expected that within the next 40 years, the use of energy for cooling will be larger than the amount P5 By Peter Sonne, Senior Advisor, Sweco HOW TO SET UP STATE-OF-THE-ART DISTRICT HEATING SYSTEMS IN ARCTIC AREAS Most people and especially women likes to decorate themselves with gold and diamonds. Jewelries are important issues of modern living. But where do these come from? We know that many d P6 In order to overcome the challenge with the permafrost and the freezing water pipes, the project concept is aerial pipes laid on columns and with loops. The fresh water pipe is constructed and insulated together with one of the main heating pipes. For all the network pipes, pre-insulated pipes a P7 DISTRICT HEATING FINANCING AND OWNERSHIP By Kristina Lygnerud, PhD University of Halmstad DISTRICT HEATING COMPANIES CAN BENEFIT FROM RETHINKING THEIR BUSINESS The preconditions for district heating companies are fierce and district heating companies cannot afford to let heat go up the chimne P8 Internal efficiency and revisited business models is a possible way forward It is known that business models in use that still yield profit tend to linger on even if they are partially obsolete. One hurdle is fear amongst management that the existing revenue flows will be distorted, which impact P9 DISTRICT HEATING AND COOLING A MATTER OF OWNERSHIP Cities, an opportunity for cost-effective low-carbon energy DISTRICT HEATING FINANCING AND OWNERSHIP By Anders Dyrelund, Senior Market Manager, Ramboll Energy In this small town of Vojens the district heating consumer co-operative have thro P10 What will the manager then do? In most cases, we find that universities, military camps, hospitals and airports have found DH&C as the most cost-effective solution. Moreover, they do their utmost to optimize from building installation to production. Most campus areas in the US have district ene P11 companies, undertake large investment projects with a small staff by engaging consultants and advisers in the first phase. Thereby they control the budget of the natural monopoly and find the most competitive suppliers, contractors, service companies and financial institutions. ESCO companies I P12 DISTRICT HEATING FINANCING AND OWNERSHIP By Michael King: Social entrepreneur, researcher, author and commercial adviser BUILDING TRUST IN HEAT In 2013, the United Kingdoms Department of Energy & Climate Change published The Future of Heating which set out the Governments ambition to de-carb P13 Consumer concerns The past few months have seen increased activity centred on the need for consumer protection on heat networks. This follows a Citizens Advice study in January of this year summarising a survey of local authorities on heat networks and district heating user complaints gathered P14 DISTRICT COOLING IN THE MIDDLE EAST By Muhammad Ali, Design Manager, District Cooling, Marafeq Qatar DISTRICT COOLING IN THE MIDDLE EAST Air-conditioning is an essential commodity to survive in the blistering heat of Middle East where the basic climate is hot and dry with coastal air laden wi P15 Key Highlights- District Cooling Market in GCC ~4.2 millions TR Installed Capacity US$ 5.5 bn Market Size in 2014 6% Current Penetration 16% Project Growth till 2019 The district cooling market in GCC is forecasted to grow at an outstanding compound annual growth rate (CGAR) of approxim P16 END USER MARKET DISTRIBUTION IN GCC Different procurement strategies are adopted in GCC for district cooling plants. These range from traditional procurement to joint ventures, design-build-operate (DBO) to concession agreements based on build-own-operate (BOO) and build-operate-transfer (BOT) P17 DISTRICT COOLING IN THE MIDDLE EAST By Niels Vilstrup, Project Manager, Energy, COWI COWI DESIGNS DISTRICT COOLING FOR NEW METRO IN QATAR The demand for district cooling is on the rise. This also counts for oil and gas rich Qatar where part of the cooling in the upcoming Doha Metro will be del P18 It has taken many unique and creative solutions to make it work, but fortunately we have an advantage, because of our specialists both within tunnel construction, pipe design and district cooling design. One of the creative solutions has been to customize the tunnels pipe supports and especiall P19 SCALING NEW HEIGHTS IN THE MIDDLE EAST DISTRICT COOLING IN THE MIDDLE EAST Trust and interoperability hold the key to success in the region By Daniel McCabe, Editor, Kamstrup Etihad Towers, home to one of the tallest buildings in Abu Dhabi (above), stands as a shining example of the potenti P20 A guarantee of long-term accurate metering is vital in the UAE and is thus a main selling points for Kamstrup. Their state-ofthe-art cooling meters are based on the ultrasonic measuring principle. This has been scientifically proven to be the most accurate and stable measuring method on the mar P21 DISTRICT COOLING IN THE MIDDLE EAST By Tildy Bayar, Associate Editor, Decentralized Energy DISTRICT COOLING HEATS UP Article originally printed in Decentralized Energy, autumn 2015. The article has been shortened. District cooling is a multi-billion dollar industry in the Middle East, with de P22 In addition, Dubai has targeted a 20% reduction in building energy use, a 30% reduction in energy demand, and 5% of renewable energy in its power mix by 2030. The city also aims to incorporate thermal energy storage into all new district cooling plants, representing at least 20% of the design c P23 In July, Mitsubishi Heavy Industries (MHI) announced that it had received an order for 80 units of its large-scale centrifugal chillers for a district cooling plant associated with an urban development project in Medina. The plant is expected to provide 200,000 RT to an area of 1.6 million m2. P24 By Tanja Lund, Communication Officer, Frederikshavn Municipality HOW TO GET CHEAP AND GREEN SURPLUS HEAT FROM INDUSTRY In the Danish municipality Frederikshavn, situated in the northern part of Denmark, people demonstrate commitment and activity, when it comes to finding solutions and utilizin P25 Competitive alternative Frederikshavn Forsyning, the local district heating company, and MAN Diesel & Turbo in Frederikshavn go hand in hand to meet the needs of locals and businesses in Frederikshavn Municipality regarding heating and hot water. District heating is an environmentally friendly P26 Today, the surplus heat from the fishing industry in the city contributes with 20 % and the waste heat contributes with 35 % to the total heat production of the district heating plant. The fees on the heat have decreased, leading to lower heat expenses overall. We work to increase the share of P27 arconsunmark. NEW MEMBER OF DBDH com ENEXIO EneXio is a Danish company, which is a highly specialized supplier of absorption heat pumps for the industry and district heating plants. Our heat pump solutions are ideal for increased energy efficiency in district heating by utilizing waste heat P28 MEMBER COMPANY PROFILE F.W. RØRTEKNIK 15000 m3 pressure tank being built inside a building. 23.4 m in diameter x 40 m. Around 50% of the Danish storage tanks are produced by F.W. Rørteknik, a family-owned company from West Jutland, Denmark. Ella Lambertsen, owner and project manager, explai P29 When it comes to business succession, it was not self-evident that Ella would take over the company after her father. F.W. Rørtekniks new owner has, nevertheless, always been part of the company from the very beginning. Having accompanied her father to construction sites since her very early ye P30 LIST OF MEMBERS Aaen Consulting Engineers Amager Ressource Center COWI DIN Forsyning Phone +45 8617 5055 www.aaenas.dk ra@aaenas.dk Phone +45 3268 9300 arc@a-r-c.dk www.amfor.dk Phone +45 5640 0000 cowi@cowi.dk www.cowi.dk Phone +45 7474 7474 post@dinforsyning.dk www.dinforsyning.dk Aal P31 HOFOR Forsyning Helsingør Copenhagen Energy Næstved Varmeværk TVIS Phone +45 4840 5050 pkm@fh.dk www.fh.dk Municipal district heating supply. Waste 80%, gas 20%. Heat sales: 200,000 MwH. 5000 customers Phone +45 3395 3395 Phone +45 5575 3623 hofor@hofor.dk info@naestved-varme.dk www.hofor YOUR PARTNER IN DISTRICT ENERGY SOLUTIONS isoplus Piping Systems is a leading manufacturer within pre-insulated piping systems with low heat loss for district energy solutions. Low heat loss guarantees low running costs throughout the entire service life of your pipe network. The environment also b