FACE TO FACE: Tabreed strengthens its stature in the Middle East

Khaled Salmeen, chief operating officer of Tabreed

Khaled Salmeen, chief operating officer of Tabreed, discusses energy-efficient systems, UAE's carbon footprint and the Dubai Metro project.

What is Tabreed’s background?
Tabreed is a multi-national company that is a utility provider of energy efficient systems related to cooling. Tabreed has gone through its own period of development in the ’90s, as it was the first company to develop district cooling in the area.

Our first major contract was with the army, as a part of that contract and were able to build the T1, T2 and T3 plants. These plans were definitely the door openers that allowed Tabreed to strengthen its presence, to be financially and technically viable organisation and to be able to prove to everyone in the region that district cooling is a viable solution. In the initial years we were trying to convince people of 200 tonnes plants, now we talk about 200,000 tonnes and 300,000 tonnes. 

What are the current projects you are working on?
Currently we have 60 plants under development, out of which 31 are in operation and 28-29 are under construction. We have a number of joint ventures with developers such as Aldaar and Surouh.

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We are working on the Dubai Metro project in Dubai. For the first time such a massive transit system of this nature in the Middle East is being served by district cooling. Around the Metro stations, there will be developments that will also be served by district cooling systems. The Dubai Metro is our most challenging project, and it is expected to flag off on September 9 this year.

What advantages does district cooling offer?
It has the advantage of less power, it varies 60-100% depending upon the efficiency of the overall system. It has the lowest environmental impact.

District cooling can also enable a project to qualify for CDM (clean development mechanism). CDM is an arrangement under the Kyoto Protocol which allows industrialised countries with a greenhouse gas reduction commitment to invest in projects that reduce emissions in developing countries as an alternative to more expensive emission reductions in their own countries.

We are closely working with Masdar to get CDM credits for projects including the Dubai Metro.

The economics for district cooling are very advantageous as long as there is density of development. As the density lessens, the tonnage of cooling drops, area and infrastructure spreads out, and the economic viability gets lowered.

Currently there are no off peak rates, so electricity is not conserved during peak hours. In the UAE, there is a difference of 70% of electricity consumption during off-peak and peak hours. According to published data of ADWEC in 2007, there is a 2.4 megawatt peak in the winter and 6.4 megawatt peak in the summer and the only reason for this huge difference is cooling.

There is no incentive or regulation to allow district cooling provider or any energy provider to go off peak. In the US, very favourable off-peak rate are offered. System designer design systems to have ice chillers that are a little more efficient.

Come 6 pm, when off-peak rates kick in, the chillers begin producing ice. The ice is made and stored overnight and in the morning, the chiller is shutdown and just the pump runs. Making ice in the chillers takes up 70% of the power required to run district cooling. Unfortunately, that is not done in this region.

Will the concept of off-peak electricity rates be introduced here as well?
We are definitely fighting for it. The authorities are very aware of the situation. It is not easy thing to create a law, it requires years of intensive discussions and planning that are ongoing. I assure you that it is coming, as it is the only way to go forward.

According to WWF Living Planet 2008 report, the UAE tops world on per capita carbon footprint. Will this situation change by the time the next report comes out?
When the WWF team came to evaluate the UAE and for their meeting with the Abu Dhabi government, I was a part of Mubadala team and was present at the meeting. The governments of Abu Dhabi and the UAE know and understand the situation very well. And I am confident concrete steps will be taken to rectify the situation.

Unfortunately, we succumb to marketing tools such as the cool beach at the Palazzo Versace. The story got so many hits around the world that half the world has heard about the hotel now. It is very hard to change mind-sets, and we have to drive people to think more efficiently.

CURRICULUM VITAE

Khaled Salmeen started his career in 1998 as the mechanical project and design engineer at M-E Engineers in Colorado, USA, where he designed and built mechanical systems and sporting facilities.  In 2000, he moved to Abu Dhabi and held several positions at the Abu Dhabi Polymers Company and Borouge, part of the ADNOC Group Petrochemical Company. He became deputy plant manager in 2005, overseeing the operational activities within the petrochemical plant.

Prior to Tabreed, Salmeen was project manager of Mubadala Development Company in 2006 where he managed major energy investment projects in Masdar.