Big Project ME

ALSO INSIDE BECHTEL ON TRACKPUMPED UP TOWERSBRAZIL UNCOVERED: WORLD CUP LESSONSGETTING IT COVERED

088JULY 2013

Big Project disects the region’s healthcare industry

CONSTRUCTION IN GOOD HEALTH

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MY

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CMY

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AD234x290_BigProject_HR.pdf 1 6/25/2013 6:31:19 PM

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CONTENTS

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JULY 2013

PAGE 24How the Mané

Garrincha stadium is moving towards

LEED Platinum status

09 The Big picTure

EmiraTES GBC warNS Of rETrOfiTTiNG ExpENSES

Offers recommendations for uptake of energy efficient retrofitting

16 News aNalysis

mOviNG ON up

gih report finds reasons for local contractors to cheer

18 iN prOfile

puShiNG fOr pErfECTiON

Bechtel’s amjad Bangash outlines his plans for the gcc

24 siTe visiT special ThE liTTlE Bird’S hOmE

Big project Me flies to Brazil to see the Mané garrincha stadium

30 special repOrT

whaT qaTar CaN lEarN

The lessons Qatar can learn from Brazil as it prepares wc2022

32 MaiN feaTure

lETS makE ThiNGS BETTEr

Big project Me talks to the experts about healthcare construction

40 TiMe & MONey

CONSTruCTiON COmpuTEr SOfTwarE

ccs gulf outlines why contractors need their software

50 special feaTures

pump iT up

Designing pumping systems for high-rise buildings

a prOTECTivE COaT

how coatings can help preserve the lifecycle of buildings

59 cOMMeNT

imprOviNG hEalThCarE

why gcc governments need to step up social infrastructure

60 TeNDers

BiG BudGET TENdErS

Outlining the region’s biggest tenders

66 cONsTrucTive criTicisM

why Brazil maTTErS

gavin Davids says planning for world cups go beyond the games

You’re smartYou’re in the highly competitive construction industry. You are ten-dering while still overseeing existing construction projects, not getting information from all your sites on time. Accounts are battling to give you up to date reports. It’s seat of the pants stuff, and all the time... you are signing cheques.

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EDITOR’s COMMENT bigprojectMe.COM

Stephen whiteGroup Editor

I HAD PROMISED myself that I would try and avoid talking about Qatar this month as I felt that the tiny state has had far too much attention considering its slothenly haze. However the protests in Brazil – timed to coincide with World Cup curtain-raiser the Confederations Cup – served as a timely reminder that hosting the event places countries under intense scrutiny. The construction industry has benefitted greatly from investment into the country. While most of the energies of protestors and NGOs are focused on how the government has chosen to spend its money, a likely moratorium on who has benefitted most could possibly highlight the way construction contracts have been handled to ensure that building is completed on time.

Comparing Brazil with Qatar may be a little like oranges and lemons – one of the world’s largest populations versus one of the smallest, an average national wage of $698 per month versus $2,142 per month – but now is the time for Doha to take the initiative and ensure that its house is fully in order when it comes under the media spotlight.

Yes, its sustainability creditentials will be hotly contested and, yes, it will be continued to be dogged by questionmarks over its right to host the event. In my view, any valid criticism along these lines should be directed FIFA’s way as there are other goals in need of impetus.

I think now is the time to make good on promises to overhaul the existing employment rules. The Migrant Workers Welfare Charter introduced last year is a worthy programme for reform; the Qatar Foundation has said it is prepared to enforce its standards. If it sees it through, Qatar will quickly win friends and the support it so desires at international level.

A labour of love

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Publisher Dominic De SouSa

GrOuP COO naDeem HooD

ManaGinG DireCtOr RicHaRD JuDD eDiToRiaL

GrOuP eDitOr STepHen [email protected] +971 55 795 8740

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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.

nOW Online You can now get the online edition every month at: www.bigprojectme.com

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xyleminc.com | Bell & Gossett | Lowara | Goulds Water Technology© 2013 Xylem Inc. Lowara and Bell & Gossett are trademarks of Xylem Inc. or one of its subsidiaries. Goulds is a registered trademark of Goulds Pumps, Inc. and is used under license.

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You know what we’re doing this summer.We are getting ready for you.Our website is currently on holiday, getting a makeover. We will be back soon, looking fresh and fantastic.

50 - 57 S.Feats (2).indd 57 7/1/13 11:27 AM

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THE BIGGEST piCTurE

BIG ProJEcT ME TaLkS To aMJad BanGaSH, Md of raIL aT BEcHTEL cIvIL, aBoUT HIS PLanS for 2013 – on PaGE 16

EMIraTES GBc: BUILdInG ownErS can’T Afford GrEEn rEtrofittinG

cOuNcil recOMMeNDs fiNaNciNg scheMe TO sTreNgTheN The upTake Of viaBle, eNergy efficieNT reTrOfiTTiNg prOjecTs iN The uae

THE EMIRATES GREEN Building

Council has proposed the creation

of a financing scheme to promote

the green retrofitting of existing

buildings, to make them more

energy efficient.

According to the proposal,

Emirates GBC will serve as the

facilitator of the project, which

aims to strengthen the uptake of

financially viable, energy efficient

projects in the country. It will

meet with financing institutions,

insurance agencies, suppliers and

regulators to lend momentum to

the project, the Council said.

A dedicated taskforce has been

set up to support the creation of

the green financing scheme. It has

worked with various stakeholders

to address the current challenge

of funding green retrofit projects,

and has been in discussions with

banks and financial institutions to

obtain their inputs.

“One of the key issues

identified in our extensive

studies to promote sustainable

built environments is the lack of

adequate financial support for

retrofitting existing buildings to

new green building standards. We

observed a lack of awareness in

the market about opportunities for

energy retrofitting, and a scarcity

of funds among landlords to make

the necessary changes. Building

owners also do not have any

incentive to implement the energy

savings because electricity bills are

largely paid by the tenants,” Adnan

Sharafi, Emirates Green Building

Council chairman, explained.

“This encouraged us to focus

on promoting the creation of

a green financing scheme for

existing buildings, as making

them ‘greener’ will be a strategic

step to address the energy sector

challenges we face today. A

concerted industry approach,

where stakeholders come together

to create a financing scheme

will significantly boost the green

building sector of the UAE, and

in turn contribute to the nation’s

sustainable development.”

Research conducted by the

Intergovernmental Panel for

Climate Change (IPCC) has

highlighted that improving the

efficiency of existing buildings

– estimated to contribute 80%

of total power usage – has the

highest potential for cost-effective

reductions in carbon emissions.

“With the nation now focusing

more on a strong energy

management strategy led by

renewables and boosting efficient

use of existing resources, green

buildings can complement the

approach effectively by reducing

power consumption,” added

Adnan Sharafi.

80% Percentage of total power usage that buildings account for 40% Percentage by which power demand will increase by 2020

8,271 kilogrammes of oil equivalent energy per annum consumed by a UaE resident on average

170% Percentage increase in regional energy use from 1990 to 2008

big project, big numbers

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THE BIG PICTURE bigprojectMe.Com

emirates to open indoor aviation attraction in London

first of its kind attraction opens this month

Emirates has announced plans to open an indoor aviation-themed attraction in london this July, which will be the first of its kind in the world.

The ‘Emirates aviation Experience’ will be located at the South side of the Emirates air line cable car system in london. it will cover an area of 300sqm and aims to provide ‘an insight into the operations and modern achievements of commercial air travel’.

“This high-tech facility will bring to london a one of a kind insight into the dynamic world of aviation,” said Tim Clark, president of Emirates airline.

“The purpose of this centre is to provide a fun, yet educational, overview of just

what it takes to successfully get a 560 tonne aircraft off the ground and 40,000 feet into the sky. Our aim is to explain the intricate science of modern aviation, in a hands-on, entertaining and instructive environment,” he added.

utilising state-of-the-art technology, interactive displays and life-size aircraft models this immersive experience will incorporate several zones that will take visitors on an interactive aviation journey. The Emirates aviation Experience will also feature the world’s first public commercial flight simulators including two airbus 380s and two Boeing 777s, fully equipped with landscape visuals, allowing participants to practice their take-off and landing skills.

The centre will cater to all ages and will open to the public in time for the city’s peak tourism period this July.

PlANS FOR REAl Madrid’s

$1 billion fantasy island in

Ras Al Khaimah have been

abandoned due to lack of

investment.

According to the RAK

Investment Authority, one of

the co-signatories behind the

deal, the ambitious resort,

on Marjan Island, which was

set to include a 10,000-seater

stadium and a Galacticos

museum, was entirely

dependent on funding from

France and luxembourg,

which has since fallen through.

“Building won’t start any

time soon,” a spokesman

told Big Project ME’s sister

magazine, Sports Talk. “Plans

are indefinitely on hold. The

resort stands no chance of

opening in January 2015, if at

all,” he said.

“We have been searching

for funding over the past two

months, but due to harsh

economic times none has

materialised. We haven’t

totally abandoned the project,

but it will need fresh backers,

since we were banking on

promised funds from France

and luxembourg. Even if we

got some today nothing would

be open until the end of 2016,

at the earliest.”

Real Madrid are highly

unlikely to wait, given they

now have firm links in the

region courtesy of their new

$39 million shirt sponsor,

Emirates Airline.

“We only lent our brand to

the Real Madrid Resort Island,”

revealed club president

Florentino Perez. “Real

Madrid did not contribute

financially. We hope the resort

is completed in a timely and

cost-effective manner, but

right now that looks unlikely.

We wanted a base in the UAE

to bring us closer to our MENA

and Asian fan base, but that

may not be possible now.”

rak investment authority confirms that plans to build real Madrid-themed resort are indefinitely on hold

BIG ProJEcT ME vISITS THE ManE GarrIncHa STadIUM In BraSILIa aHEad of THE 2014 worLd cUP – on PaGE 22

miLLion contrAct vALUE for dSi in doLLArS in KSA

Dsi wiNs $460MN sauDi TOwer prOjecT

contractor will oversee and undertake construction work on restarted Lamar Tower project in Jeddah

DRAKE AND SCUll International, the

Dubai based construction firm, has

announced that its general contracting

unit has won a $460 million contract

in the Kingdom of Saudi Arabia. The

contract win from lamar Investment

and Real Estate Development Company

will see DSI Saudi Arabia oversee and

undertake construction on the lamar

Tower project in Jeddah. Having originally

been halted in 2009, the lamar Tower

project has since been restructured and

refinanced in 2013 and is now expected to

be completed by the end of 2015.

rONalDO NOT cOMiNg TO rak resOrT

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THE BIG PICTURE

Ksa’s aL jouf cement to stop production Line for unscheduLed maintenance

cement maker insists that halt in operations will not impact on its customer obligations

THE TENDER FOR the

construction of Package 2

at the Oman Convention &

Exhibition Centre Precinct,

which is being developed by

Omran, has been awarded

to Carillion Alawi llC, as

approved by the Government

Tender Board.

Worth a total of $202.6

million, the package will

include the construction of

exhibition halls, car park

facilities and the district

cooling plant.

The scope of Package 2, for

the construction of a project

considered one of Oman’s

most highly anticipated,

includes a structured car

parking facility that will

hold 4,200 vehicles on three

parking levels over an area of

143,000sqm.

Exhibition halls of

approximately 45,000sqm

gross area are also part of

the package. These will also

provide five divisible, state

of the art walls, with service

trenches, plant rooms and

acoustically treated, vertically

movable partitions to enable

separation and sound

isolation in each hall.

Additionally, the scope

will also cover the ancillary

buildings, namely the Energy

Center which serves as the

District Cooling Plant for

the entire precinct, security

screening facility, taxi amenity

building, waste management

building, a landscape

maintenance building and

electrical substation facility.

The project also features

a number of sustainable

initiatives in conservation of

energy, potable water and use

of treated sewage effluent for

cooling and irrigation and

thus targeting leadership in

Energy and Environmental

Design (lEED) certification

from the United States Green

Building Council.

Eng Wael Al lawati, CEO

of Omran said that the award

would make the first part of

the project materialise within

20 months.

carilliON alawai wiNs $202MN OMaN cONveNTiON ceNTre cONTracT

developer omran awards Package 2 contract to omani contractor

BIG ProJEcT ME aSkS THE IndUSTrY ExPErTS aBoUT HEaLTHcarE conSTrUcTIon – on PaGE 30

miLLion doLLArS vALUE of PAcKAGE 2 ocEc contrAct

202Saudi arabia’s al Jouf Cement Company announced that it had to stop its production line for unscheduled maintenance work for two weeks last month.

in a statement posted on the Saudi bourse website, the cement maker said that the halt in operations would not impact on its ability to fulfil its obligations towards its customers.

maintenance work on the plant is expected to cost $1.6 million, the cement maker said, which would be reflected in its second quarter results.

al Jouf Cement has an annual production capacity of 1.23 million tonnes of clinker and 1.47 million tonnes of cement, according to zawya.

$11BN iN cONTracTs awarDeD fOr DOha MeTrO prOjecTs

Qatar railways company hands out construction contracts to consortiums for metro line

LEnGth of UndErGroUnd StrEtch of GrEEn LinE to bE bUiLt bY conSortiUm

LEnGth of thE rEd

LinE SEction of thE mEtro

vALUE of contrAct to bE AwArdEd to conSortiUm LEd bY SAUdi binLAdin

GroUP

$2.19 BilliON

vALUE of contrActS AwArdEd to

Qdvc to bUiLd UndErGroUnd

SEctionS

$2.19 BilliON

$5.9 BilliON

AmoUnt AwArdEd in

contrActS bY QAtAr rAiLwAYS

comPAnYLEnGth of thE

dohA mEtro LinE

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THE BIG PICTURE bigprojectMe.Com

tav wins $400mn terminaL contract in saudi arabia

Turkish construction firm to build Terminal 5 at king khaled International airport in riyadh

Tav Construction, the Turkish construction firm, has announced that it has won a tender worth $400 million from the Saudi arabian government to build a new terminal at the king khaled international airport in riyadh.

Terminal 5 is scheduled to be built within 18 months, Tav said in a press statement, adding that the tender was for the design and construction of the building. with the project win, the total contract value of projects Tav Construction has undertaken so far has exceeded $16 billion.

The king khaled airport Terminal 5 project is the third tender Tav Construction has won in Saudi arabia after the Jeddah airport aircraft maintenance hangars and medinah airport projects.

it will involve a 100,000sqm passenger terminal and various auxiliary facilities. The project also includes a 90,000sqm, 3,000-vehicle capacity multi-

storey car park, a fire brigade building, an operations centre, power station, and an apron and other air-side infrastructure.

furthermore, elevated roads and infrastructure work will be done to connect Terminal 5 to already existing terminals.

“as our construction company progresses to expand in the middle East it also continues creating opportunities for our airport operations company. we won the construction project of the new terminal building in riyadh, Saudi arabia for a contract value of $400 million. This is a very important project,” said Sani Sener, Tav Group CEO.

The design of king khaled airport Terminal 5 stands out as a project that will be completed at international standards, satisfy user requirements and display suitability to the local culture, as in all Tav Construction projects, Sener said.

DUBAI IS NOW home to the ‘most

sustainable commercial building in the

world’ – The Change Initiative – on Sheikh

Zayed Road, it was announced after it

secured the highest lEED Platinum rating

from the US Green Building Council.

The Change Initiative is a 4,000sqm

shop that provides sustainable solutions

in Dubai. It secured 107 points out

of a possible 110, making it the most

sustainable commercial building in the

world. The record was previously held by

the Pixel four-level building in Australia,

with 105 points.

“Congratulations on setting a new

record with your lEED for Commercial

Interiors Platinum project. The store is a

great prototype for sustainable real estate

applicable worldwide,” said Richard

Fedrizzi, president, CEO and founding

chairman of the US GBC and chairman of

the World GBC, in his letter to Gundeep

Singh, TCI founder and CEO.

TCI incorporates all aspects of green

building design on its structure, from its

roofing to energy efficient lighting to its

water system.

TCI has 26 technologies, including

solar panels and heat reflective paint, on

its roof that provides 40% of the building’s

energy requirements. Its outer structure

has insulation three times more than that

of a normal building.

DuBai’s Tci raTeD as wOrlD’s MOsT susTaiNaBle cOMMercial BuilDiNg

Building secures 107 points out of a possible 110 from US GBc

biLLion doLLArS totAL vALUE of tAv contrActS

ashghal TO awarD $329.5 MilliON cONTracTs fOr healThcare prOjecTs

Seven projects part of ashghal’s $3.9 billion plans to develop 124 buildings in Qatar over the year

vALUE of contrActS to bE AwArdEd bY AShGhAL nUmbEr of

ProJEctS bEinG

AwArdEd bY AShGhAL

nUmbEr of PLAnnEd

ProJEctS in QAtAr for 2013/2014

vALUE of ProJEctS bEinG bUiLt in QAtAr in 2013/2014

SizE of AL mUntAzAh hEALth cEntrE

22,148sQM

17,165sQM

SizE of thE PLAnnEd AL

nUAim hEALth cEntrE in

LAEbib

WWW.CONSTRUCTIONMACHINERYSHOW.COM

16-20 February 2014

25,000 SQM EQUIPMENT DISPLAY 10,000 SQM

LIVE DEMONSTRATIONS 5DAYS100 LEADING

BRANDS

DON’T MISS OUT ON THE REGION’S LARGESTEQUIPMENT EXHIBITIONFor information contact:Michael Stansfield | [email protected]: +971 55 150 3849

Co-located with Organised by

DAMMAM 2014

Dhahran International Exhibition Center Dammam, Kingdom of Saudi Arabia

FP_standard_24x30cm_left page v5.indd 3 7/3/13 4:43 PM

WWW.CONSTRUCTIONMACHINERYSHOW.COM

16-20 February 2014

25,000 SQM EQUIPMENT DISPLAY 10,000 SQM

LIVE DEMONSTRATIONS 5DAYS100 LEADING

BRANDS

DON’T MISS OUT ON THE REGION’S LARGESTEQUIPMENT EXHIBITIONFor information contact:Michael Stansfield | [email protected]: +971 55 150 3849

Co-located with Organised by

DAMMAM 2014

Dhahran International Exhibition Center Dammam, Kingdom of Saudi Arabia

FP_standard_24x30cm_left page v5.indd 3 7/3/13 4:43 PM

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THE BIG PICTURE bigprojectMe.Com

rta wiLL fast tracK $1.3bn expansion of red Line if dubai hosts worLd expo 2020

dubai Metro expansion project will run to dubai world central, chairman of authority says

dubai’s road and Transport authority will fast track the $1.36 billion expansion of the dubai metro red line to connect to dubai world Central, if the Emirate wins the bid to host the world Expo 2020, a top official has said.

dubai has already earmarked a large venue for the Expo at dubai world Central, a 140sqkm airport city that will host the 160 million passenger capacity al maktoum international airport, which is set to be the world’s biggest greenfield airport project.

“as soon as the bid results are out and if we win — which we will inshallah (God willing), we start the planning and development of the project,” mattar mohammad al Tayer, chairman of the Board and executive director of roards and Transport authority (rTa), told media personnel.

al Tayer added that the plan to extend the red line to dwC had been in place for quite a while.

Originally, the plan was for the project to be linked with the growth in passenger traffic at the airport, which is scheduled to launch commercial flights in October, through a temporary five million passenger terminal.

however, should dubai win the right to host the world Expo in 2020, he said that work would begin in November of this year.

214 hOTels TO Be BuilT iN sauDi araBia

ScTa drafts plans to boost investment in hospitality and tourism sector

scc sigNs fuNDraisiNg package fOr $19.3BN ksa peTrOcheMical cOMplex

facility will be world’s largest chemical complex ever built in a single phase

SADARA CHEMICAl COMPANY, a joint

venture between Saudi Aramco and

Dow Chemical, has signed a fundraising

package for a $19.3 billion petrochemical

complex being built in the east of Saudi

Arabia.

Three banking sources told Reuters that

the financing package totals around $12.5

billion and consists of loans from banks,

export credit agencies and the state-

owned Public Investment Fund. Proceeds

from an Islamic bond issue will also be

used. The remaining costs will be met by

the two partners.

located in Jubail City, the facility

will be the world’s largest chemical

complex ever built in a single phase. It

will produce more than three million

tonnes of petrochemicals each year when

completed in 2016. The sources spoke on

condition of anonymity as the matter has

not been made public.

The split between the different portions

of the facility were changed from an

original outline released in May 2012

after the success of the sukuk, which was

completed at the start of April, two of the

bankers said. Sadara raised $2 billion from

an Islamic bond as well as a $4.975 billion

direct loan from the US Export-Import

Bank – its largest ever loan.

biLLion doLLArS LoAn from thE US ExPort-imPort bAnK for SAdArA

bEinG bUiLt in SAUdi ArAbiA ovEr thE nExt

two YEArS

to bE PUmPEd into thE hotEL SEctor bY 2020

thE ProJEct iS ExPEctEd to ProvidE

into AL AQEEr bEAch to tUrn it into A toUriSt

dEStinAtion

ExPEctEd to bE bUiLt in mAKKAh

thE ProJEct wiLL ProvidE to thE hoSPitALitY

SEctor

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THE BIG PICTURETHE BIG piCTurE

A GlOBAl INvESTMENT House report has found that

construction contractors have had an upturn in fortunes in the

first quarter of 2013. The report breaks down the sector and

examines the major talking points.

cONTracTOrs ON The up iN Q1 2013

run up in stocK price of contractors

in the past three months there have been significant run up in the stock price of contractors. drake and Scull stock rose by 31% in the past three months amid speculation builder arabtec may buy a stake in the company, a prospect denied this month by management of both arabtec and dSi. alkhodari stock price on the other hand witnessed a run up after it received significant number of new awards during q113.

On a quarter on quarter (qoq) basis the new awards almost quadrupled to Sar1.1bn while backlog rose by 31%. arabtec stock price which witnessed significant run down after announcement of the right issue also witnessed a good ride in the last month after the terms of its right issue clarified. The stock price also rose because of rumors regarding stake purchase of dSi which later became untrue.

AL KhodAri, KSA

ArAbtEc, UAE

dSi UAE

nASS corP,

bAhrAin

dEPA, UAE

cGc, KUwAit

GALfAr, omAn

702.2

1818.0

782.2

88.1

247.5

537.2

736.2

31.6

2.1

1.0

0.2

0.4

1.3

0.5

5.7%

19.3%

8.2%

4.0%

2.6%

0.6%

0.0%

29.0%

5.4%

31.3%

3.4%

2.6%

-2.3%

0.0%

5.4%

-9.9%

37.7%

22.6%

-11.1%

8.4%

0.0%

11.80

21.00

20.80

n/a

13.60

n/a

12.77

1.90

1.10

0.80

n/a

0.53

n/a

1.37

SOURCE: BLOOMBERG & GLOBAL RESEARCH

* MARKET PRICE FOR AL KHODARI AS OF 29 MAY 2013 AND FOR OTHER STOCKS AS OF 30 MAY 2013

MkT cap(usDMN)

priceiN (lc) 1M 3M 12M

sTOck perfOrMaNce p/e2013e

p/Bv2013e

contractors financiaL performance

The GCC construction sector’s top line was $1.4 billion in q1 2013, down 12.1% qoq but up 21.1% yoy. The sector’s top line was dragged down by industry heavyweights arabtec and akS, whose top lines declined 6.5% qoq and 7.9% qoq, respectively, which more than offset the 1.8% qoq rise in dSi’s top line in q1 2013.

The sector’s decline is mainly ascribed to slower execution of projects during the quarter. This could hurt revenue growth in the upcoming quarters. at the same time, a large decline in project awards during q1 2013 could also translate into muted revenue growth. among uaE firms, dSi remained the better performer, with revenues rising 1.8% qoq to $334 million in q1 2013. in contrast, arabtec’s revenues declined 6.5% qoq to $420.64 million;

besides the existing tough competitive environment, the biggest concern for the uaE contractor is the steep fall in project awards in q1 2013. dSi’s project awards fell 61.3% qoq, while that of arabtec declined 77% qoq during the quarter. Nevertheless, the companies’ margins improved significantly in q1 2013.

arabtec’s gross margin surged to 12.3% in q1 2013 from 5.0% in q4 2012, while net profit margin rose to 4% in q1 2013 from 1.9% in q4 2012. dSi’s gross margin also improved to 10.6% in q1 2013 from 8.6% in q4 2012, while operating margin rose to 4.6% in q1 2013 from 2.2% in q4 2012.

The rise in margins was primarily due to a fall in construction costs. reduced financial charges also boosted the margins.Overall, GCC companies put up a weak performance during q1 2013, after recovering strongly throughout 2012. a steep decline in project awards and slower execution remain major concerns for the immediate future, while rising construction costs and competition are expected to keep margins under pressure in the medium term.

projects country by country1,800.0

1,440.0

1,080.0

720.0

360.0

-SAUdi ArAbiA UAE omAn KUwAit QAtAr Gcc

gcc projects marKet siZe 2,500.0

2,000.0

1,500.0

1,000.0

500.0

-2004 2005 2006 2007 2008 2009 2010 2011 2012

(USd

bn)

mena contract awards80

70

60

50

40

-

30

20

10

1Q

-08

2Q

-08

3Q

-08

4Q

-08

1Q

-09

2Q

-09

3Q

-09

4Q

-09

1Q

-10

2Q

-10

3Q

-10

4Q

-10

1Q

-11

2Q

-11

3Q

-11

4Q

-11

1Q

-12

2Q

-12

3Q

-12

4Q

-12

4Q

-13

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following a positive first quarter, the

GCC’s construction industry looks

set to continue its upbeat trend in

2013, with government spending and

strong economic performance fuelling

growth in the sector, a new report released

by Global Investment House has claimed.

After a drop off in 2011, the

construction industry rebounded in 2012

and is expected to maintain its upward

trajectory going forward in 2013.

“The total value of ongoing projects in

the GCC region stands at $2,620 billion,

with the UAE leading the pack with $894

billion, followed by Saudi Arabia ($875

billion) and Qatar ($364 billion). We

remain positive on the sector, considering

the expansionary budgets of governments

and focus on infrastructure development

in the region. Furthermore, a favourable

level of oil prices is expected to augur well

for the sector,” the report by GIH said.

It pointed out that the UAE’s

construction market remained attractive

due to its focus on infrastructure projects

and investor friendly policies. The report

expects the sector to be driven by the

UAE’s rapidly growing population, which

is expected to reach 6 million by 2014,

from 5.4 million in 2010. Consequently,

the UAE’s construction sector is expected

to account for around 11.1% of the UAE’s

GDP by 2013, a sizeable jump from 10.3%

in 2011. Meanwhile, in Saudi Arabia, the

Kingdom’s strong construction market is

being driven by government spending and

high oil prices, the GIH report said. For

2013, the Kingdom budgeted $219 billion

for spending, up by 18.8%, year-on-year,

“i SEE dUbAi AS hAvinG hUGE PotEntiAL And EconomicALLY, thinGS ArE SEttLinG down And confidEncE iS rEtUrninG. So wE viEw it in A vErY PoSitivE LiGht”

mOviNG ON upA report by Kuwait’s Global Investment House finds reasons for construction contractors to be cheerful

17JULY 2013 MID

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from 2012. Out of this, almost $76 billion

has been set aside for capital expenditure

on investment projects, the report added.

“The Kingdom remains focused

on investing in road, railway, power

and housing projects. Moreover, the

introduction of a new mortgage law is

expected to contribute to the growth

of the residential sector in the coming

quarters,” said Faisal Hasan, CFA and

researcher for the report.

“High oil prices remain an important

driver for KSA’s economy, which will

further drive the construction sector.

Despite a projected fall in oil prices

in 2013, the forecasted prices are

substantially higher than the estimates for

KSA’s 2013 budget. However, slow project

awards continue to be a concern for KSA’s

market. Despite the large pipeline of

projects, the authorities have struggled to

plan and approve projects,” he added.

Qatar’s construction market continues

to be fuelled by its ‘vision 2030’ and

ongoing preparations for the 2022 FIFA

World Cup.

The Qatari government intends to

spend around $200 billion in the next ten

years, out of which, $140 billion has been

allocated for the next five years, the report

said, adding that the construction market

remained focused on infrastructure

projects related to transportation and

commercial facilities.

Kez Taylor, CEO of AlEC, added that as

a contractor, he sees Qatar and the UAE as

the two major growth areas in the region,

with airports and other transportation

infrastructure construction the biggest

drivers of business for him.

“We’re working on the Doha Airport and

we’re doing the fit out of all the Duty-Free

Areas there,” he tells Big Project ME. “We’ve

got to look at where the market trends are.”

“If you look at Dubai, I see Dubai as

having huge potential and economically,

things are settling down and confidence is

returning. So we view it in a very positive

light,” he said.

It is increasingly clear then that there’s

significant positivity in the regional GCC

market, but there are area of concern

that need to be addressed as a matter of

priority, Hasan says in the report.

“Despite the momentum gained

over the previous quarters, higher costs,

intense competition, and slow project

execution remain the key obstacles for

the MENA construction sector,” explained

Faisal Hassan.

He added: “Construction costs rose

significantly in the construction markets

of Saudi Arabia and Qatar, while the

UAE market has been struggling due to

increasing competition.”

The UAE construction market has

been suffering from severe competition

due to the entry of new players over the

past few years coupled with the ongoing

consolidation in the industry.

Availability of fewer projects combined

with higher number of contractors has

considerably reduced margins of firms in

recent times.

Meanwhile, the Saudi Arabian

construction market continues to be

adversely impacted by rising construction

costs driven by employee costs.

Ongoing implementation of

Saudisation across the Kingdom, coupled

with visa issuance hurdles, continue to

affect industry players negatively, Hasan

explained further.

The rapidly growing construction

market in Qatar remains burdened with

high input costs that are driven by rising

cement prices.

Current estimates show that the

country’s cement production would be

inadequate to meet the market demand

and lead to a major supply shortage in the

next three to four years.

Thus, the government has been

working on signing new supply contracts

with firms in the UAE and Oman to

prevent a sudden increase in prices.

Moreover, the country continues to face

shortage of skilled labour due to the

existing salary levels being lower than

those of other markets. n

“thE KinGdom rEmAinS focUSEd on invEStinG in roAd, rAiLwAY, PowEr And hoUSinG ProJEctS. howEvEr, SLow contrAct AwArdS continUE to bE A concErn”

gcc projects (2013)

n $2,620 billion Total value of ongoing projects in Gcc

n $894 billion value of UaE projects

n $875 billion value of kSa projects

n $364 billion value of Qatar projects

conStrUction SUrGEThe UAE construction sector is expected to account for 11.3% of GDP in 2013.

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19JULY 2013 MID

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In ProfILE amJad BaNGaSh

ever since it was founded more than

a century ago, Bechtel’s history has

always been closely linked with

the railways. In fact, according to

company history, its founder, Warren A

Bechtel, began his career as an employee

of the US railroad industry before starting

up a contracting business that specialised

in railroad and highway building.

Over time, the company grew to

become the largest construction and

engineering company in the USA, with

revenues of more than $37.9 billion

annually and more than 50,000 employees

working across some 40 countries.

At present, Bechtel’s portfolio extends

across all sectors of the construction

industry, encompassing energy,

transportation, communications, mining,

oil and gas and government services.

However, despite this diversification, the

company has never forgotten its roots

in the railway industry. This is where

Amjad Bangash comes into the picture.

As managing director of Rail at Bechtel

Civil and a senior vice president, he is

responsible for overseeing a vast array of

rail projects, ranging from the ambitious

and complex Crossrail project in the UK to

tendering for the Riyadh Metro project in

Saudi Arabia.

Having worked for the company for

more than 20 years, Bangash has been

involved in a number of major projects

in the region, most notably as project

director for Bechtel at both Khalifa Port

and Khalifa Industrial Zone Abu Dhabi in

the UAE.

Bangash originally joined the

company as a senior engineer at the San

Francisco head office and undertook

project assignments in construction and

engineering in the US, Nigeria, Thailand

and Guyana. From there, he moved into

engineering management and has helped

lead projects such as the Kowloon-Canton

RC West Rail Project in Hong Kong and

the Airport MAX light-Rail Project in

Portland, Oregon.

Moving into senior management,

Bangash has since been in charge of an

ambitious renewal and upgrade of the

london underground, specifically the

Jubilee, Northern and Piccadilly lines.

Following immense success in this role,

in August 2012, he was appointed as

managing director for Rail at Bechtel,

where he has been tasked with expanding

its global rail and transit business.

With this in mind, he sat down with

Big Project ME to discuss his plans for the

“riYAdh iS ProbAbLY AS fAr AhEAd AS AnYbodY riGht now in tErmS of AdvAncinG thE dEvELoPmEnt of A mEtro SYStEm And thAt’S drivEn JUSt bY mASS trAnSPortAtion nEEdS in An UrbAn EnvironmEnt” AmJAd bAnGASh

Bangash aims to focus on infrastructure in the Middle East.

bechteL by numbers

n $37.9 billion Bechtel annual revenues

n 50,000 Global number of employees

n 40 number of countries Bechtel is present in

Big Project ME meets with Amjad Bangash, managing director of Rail and senior vice president at Bechtel Civil, to find out what his plans are for one of the fastest growing markets in Bechtel’s portfolio

puShiNG fOr

pErfECTiON

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Middle East and outline the potential he

sees in what he calls ‘one of the largest

global rail markets.’

“We think that this region is projected

to grow at about 16% in the rail business,

compared to, globally, about 9%. I’d say

it’s the only region, other than let’s say

China, where numbers vary, that there are

lots of pockets (of growth).”

“This is one, Brazil another one. Brazil

has a very aggressive rail investment plan.

Of course, in expanding the region here,

Africa is right behind, but the drivers

in Africa are more bulk movement,

mining-related and energy-related rail

development. But coming back to this

region, the drivers are obvious. In KSA,

you see a fairly big concentration of cities

that are growing and have growing needs,”

he explains.

“Riyadh being a very good example

of a city that is at the front end. They’re

probably as far ahead as anybody

right now in terms of advancing the

development of a metro system and that’s

driven just by mass transportation needs

in an urban environment. The other piece

of course, is the huge amount of recent

development in industrial zones across

the Middle East,” Bangash adds.

It’s clear then that the Middle East is

going to play a huge part in any future

plans Bechtel has. Therefore, it comes as

no surprise that the construction giant

plans to set up what Bangash says is a

‘Centre of Excellence’ in Dubai.

Aiming to be a global resource of

engineering talent, the centre will initially

focus on rail and marine engineering

projects, but will eventually branch out to

all areas of Bechtel’s portfolio.

“The purpose of the office here is more

about tomorrow than today,” Bangash

says. “The idea is to start small and then

continue to develop this. I would say that

we’d probably start with about 100 people

and then continue to develop that.”

Given the amount of work available

in the Middle East region and its

neighbouring regions, he adds that it

made sense to set up in Dubai, for a

variety of reasons.

“It’s not just the fact that we’re within

an eight-hour flight of many of the

regional centres, but it’s also because

Dubai and Abu Dhabi have a lot of talent

in the industry – just about every major

engineering company is based here.”

“Of course, it’s a place where we

can bring people from just about any

country, without barriers to bringing

them in,” he points out.

“Not many countries offer that sort

of transparency to concentrate on the

talent, rather than the passport they

hold. For a business like this, we need to

bring talent in globally, rather than be

“thE PUrPoSE of thE officE in dUbAi iS morE AboUt tomorrow thAn todAY. thE idEA iS to StArt SmALL And thEn continUE to dEvELoP thiS”

KhALifA PortThe Khalifa Port in Abu Dhabi was a major project for Bechtel.

Conversion to cold storage, Alsafi Danone, Al Kharj, KSA

Planning ASG Contracting RiyadhBuild 2012Application - Roof 3000 m2, FOAMGLAS® READY BOARD T4+, 70 mm thick and T4+ slabs, 30 mm thickApplication - Wall 2000 m2, FOAMGLAS® T4+ slabs, 70 mm thickFinish UV resistant bituminous layer waterproofing

Roof system1 Existing PU-panel, 50 mm2 FOAMGLAS® T4+ filler,

30 mm, in corrugation glued with PC® 11 adhesive

3 FOAMGLAS® READY BOARD, 70 mm, glued with PC® 11 adhesive and mechanical fixation

4 Two layers of bituminous waterproofing membrane; top layer UV-resistant

5 Anchor F fixed into existing PU-Panel

Upgrade for a lifetime with durable and fire safe FOAMGLAS® insulation material.Web: www.foamglas.ae Email: [email protected] Dubai office Tel: +9714 434 7140 Doha office Tel: +974 465 5360

FOAMGLAS® Insulation

The Alsafi farm in al Kharj KSA is the largest integrated dairy farm worldwide with Guinness World Book of Records entry 1998. The farm is fully integrated from the growing of forage to the final distribution of milk and dairy products and includes factory and storage facilities. Due to the adjustment of the daily need the upgrading of a storage to a cold storage needed to be done. The client decided to follow a proposal to upgrade the building envelope on the roof and the wall with FOAMGLAS® systems which are FM approved. The existing PU-panels on the hall were the base for the application of the FOAMGLAS® on the roof. The corrugation filler and the top layer are executed with FOAMGLAS® cellular glass insulation. A double layer bitumen membrane is the waterproofing and final finish of the roof. Final performance testing of the client showed excellent performance to the full satisfaction of Alsafi Danone.

Roof Upgrade to High ThermalPerformance

ASTM E84, E136

ThE

BEST

FACA

DE FoR high RiSE BuilDingS

FIRE SAFE

1

2

3

4

22 JULY 2013MID

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limited to where we come from and then

get mired in immigration issues. So it’s

an attractive spot.”

Situated in Dubai Marina, the Centre

will initially start off small, with just one

floor in an office tower near Marina Mall.

About 100 individuals will be trained

at first, with the numbers continuing

to grow, dependent on future success.

Bangash says that operations will

start in the summer of 2013, with final

preparations close to being completed.

In time, he hopes that this ‘Centre of

Excellence’ will grow to be an institution

that will serve a huge section of the world,

taking advantage of Dubai’s central

location and connectivity to South East

Asia, Africa and the wider Middle East.

“not mAnY coUntriES offEr thAt Sort of trAnSPArEncY to concEntrAtE on thE tALEnt, rAthEr thAn thE PASSPort thEY hoLd. for A bUSinESS LiKE thiS, wE nEEd to brinG tALEnt in GLobALLY, rAthEr thAn bE LimitEd to whErE wE comE from”

“Iraq is definitely on the map. We

are looking (into it) and we do have a

team that goes there. We’re doing some

work there and as the security situation

improves, you’ll see a lot more work going

on there. Today, there’s still a lot caution

about Iraq,” he tells Big Project ME.

“In South East Asia, let’s talk about

India. We have a fairly big office in India

– about 600 to 700 people in New Delhi

– but I think you’ll see better synergy

between this office (in Dubai) and India.

The idea is to maintain the workload so

that we’re not creating a bust and boom

in one office versus the other. The office in

India has a lot of expertise and if they have

a lot of expertise in certain areas, then we

may use those rather than duplicating

them here,” Bangash explains.

“In Africa, we’re currently supporting

Mozambique and we have a fairly

large presence in Gabon. A lot of these

projects (in Africa) are mining and port-

related developments. Therefore, the

infrastructure, we could support from

here (Dubai). Those are some of the

projects that we’re currently supporting

from london, which we would eventually

support from here in Dubai.”

n 15% revenue growth in 2012

n $24 billion new work booked in 2012

n $32.9 billion Total revenue in 2011

n $53 billion new work booked in 2011

rAiL focUSBechtel believes the up-coming rail projects will be a major opportunity for business.

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centre of exceLLence

Bechtel’s global centre of engineering

excellence in the UaE will initially focused

on rail and marine engineering projects.

The centre uniquely positions Bechtel

to provide customers with high-quality,

innovative engineering solutions more

efficiently and cost effectively.

“rail and port infrastructure go hand-in-

hand and are the lifeline for transporting

goods around the world from major

petrochemical, power, and mining

facilities,” said amjad Bangash, managing

director of Bechtel’s global rail business.

“The global demand for rail and port

infrastructure will increase substantially

during the course of the next 10-15 years.

This centre provides customers around the

world with a comprehensive solution for a

successful project right from the start.”

“Much of the growth for new railways

and ports is in the Gulf region. we have

worked in this region for more than 70

years, and our decision to base the centre

in the UaE represents part of our ongoing

commitment to the region,” added david

welch, Bechtel’s regional president for

Europe, africa, and the Middle East.

The centre will draw upon Bechtel’s

global experience and expertise in the

design and construction of railways and

ports, and will offer services from master

planning studies through to engineering

execution.

The new centre will open in the third

quarter of 2013.

For the mean time though, the focus is

firmly on the Middle East, and on the GCC

in particular. Therefore, Bangash has his

eye on the number of huge rail projects

that are coming up in the region. The

Riyadh Metro is one in particular that he’s

determined to get.

“With the Metro, we’re part of a

consortium with Siemens, CCC and

Almabani. We were part of the original

design-build qualification process, and at

that stage, we did not have a global rolling

stock partner with us, and we didn’t make

the original cut,” he relates.

“But later on we were able to come

back in and took part in it. You’re

probably aware that most of the consortia

changed, so that was part of the process

and we were part of that development.”

“The client wants to award the contract

before Ramadan, which with a job that

size, anything can happen if all parties put

their heads together, but it’s a tall order.

But that still is the plan, to award that, and

we’re still in the running,” he says.

“In the current bid cycle, we’ve been

in the Mecca Metro, also with the SAR

(Saudi Railways Company) with the Jubail-

Dammam project. There’s nothing in Doha

(at the moment), but we are looking at the

railway in Oman, I think that will be good.”

“And of course, we’re part of the

industry consultation for the Abu Dhabi

metro and we definitely have an interest

in that. Right now, the interest is EPC,”

he adds, making it clear that there are

major plans afoot for the contractor from

California as it looks to move away from

its traditional Oil and Gas operations.

“The area we’d like to see a growth in

is in the infrastructure business in the

Middle East,” he says. n

“wE thinK thAt thiS rEGion iS ProJEctEd to Grow At AboUt 16% in thE rAiL bUSinESS, comPArEd to, GLobALLY, AboUt 9%.”

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Project Name

Location

Site Area

Project type

Construction cost

Estádio Nacional Mané Garrincha

Brasilia, Brazil

218,800m2

Multi-use Stadium

$445 million

The Estádio Nacional Mané Garrincha is the first stadium in the world that is applying for LEED Platinum status. Big Project ME’s Gavin Davids flies out to the capital of Brazil to investigate.

ThE liTTlE

Bird’S hOmE

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brasilia, the capital of Brazil, is a

city that is known for its vibrant

architecture and design, having

being designed, almost completely,

by the world-renowned Brazilian

architect, Oscar Neimeyer.

While most planned cities can come

across as fairly cold and functional,

Neimeyer used his considerable talents

to help imbue Brasilia with a sense of

his style, turning the city into a living,

breathing tribute to the art of architecture.

It was no surprise then, that when plans

for the construction of a new football

stadium in the city were announced,

the remit from its owner, Novacap

(Urbanisation Company of New Capital

of Brazil) was to create a structure that

would pay tribute to the ideals espoused

by the creator of the city.

As such, the Mané Garrincha Stadium,

which is the second largest football

stadium in the country, was built as an

eight storey structure that is divided into

four sections. It stands at 46m tall and has

a built up area of 218,800m2.

The stadium is named after the

Brazilian football legend, Mané

Garrincha, who starred in Brazil’s World

Cup wins in 1958 and 1962. Garrincha,

who’s name translates as ‘little Bird’, was

beloved by the Brazilian people, and this

“thE EStádio nAcionAL mAné GArrinchA iS onE of thE moSt modErn StAdiUmS in thE worLd”

mane garrincha in numbers

n stadium capacity: 72,788

n cost of stadium: $445 million

n height: 46m

n façade: 288 pillars surrounding the stadium

n Number of workers on project: 15,000

n promenade area: 618 thousand sqm

n concrete: 117 thousand cubic metres

n pre Moulded parts:1064

n steel: 22.2 thousand tonnes

n sand: 170 thousand tonnes

n Timber: 15 thousand cubic metres

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devotion is borne out by the battle the

Brazilians waged with football’s governing

body FIFA to ensure that this stadium was

named in his honour.

Officials at the stadium told Big

Project ME that given Mané Garrincha’s

chequered personal history, FIFA was

reluctant to allow them to give the

stadium his name.

However, they refused to be swayed

and eventually the weight of public

opinion won out.

Designed in a circular shape, the

stadium has been built with 228 1.2m

diameter pillars creating a façade that

surrounds the stadium. The pillars also

sustain a concrete compression ring

which supports the roof of the stadium.

The roof itself is designed as a double-

shell structure with an outer compression

ring. It also has metal cables and trusses

that are covered by a fibreglass membrane

that is coated with Teflon, the builders

say. The membrane is 40,000m2 in size.

Furthermore, there is a 618,000m2

promenade surrounding the stadium,

with crowd flow facilitated by 50 ramps,

four escalators, 60 stairways and 20 lifts.

Named after the iconic football

player, the construction of the Mané

Garrincha Stadium began by the end of

2010, following the demolition of the old

ground, which was deemed unsuitable

for the demands posed by the 2014 FIFA

World Cup.

As such, the Federal District

Development Agency (Terracap), who

provided the resources for construction,

and Novacap decided to build a

completely new stadium that would

measure up to the highest levels of

sustainability and design.

To that end, they first awarded the

construction contract a consortium of

Andrade Gutierrez and via Engenharia to

build the $445 million stadium. German,

Marg und Partner (GMP) and Castro

Mello provided the design of the stadium.

Schlaich Bergermann und Partner

(SBP), along with Engserj and Belo

Horizonte were appointed to provide the

structural engineering services.

Not content with building the stadium

to the highest levels of quality, the

Brazilian government was determined

to ensure the stadium embraced

sustainability across the board. To that

end, they decided to ensure that the Mané

Garrincha Stadium would become the

first lEED Platinum certified stadium in

the world, and one of the few buildings

awarded that recognition.

“(This stadium) is to be an example

and a reference for using energy, recycling

water and residues,” says Aldo Rebelo,

Sports Minister for Brazil, and the

man tasked with ensuring that all the

preparations to host the globe’s biggest

sporting event are up to scratch.

“All the stadiums are up to date,

in terms of the timeline and their

schedule. We’ve been monitoring their

schedule ever since the beginning of

the programmes, the evolution of the

construction work, month by month, and

we conclude that they’ll all be ready for

delivery by the end of the year,” he says

ahead of a tour of the Mané Garrincha

Stadium in Brasilia.

He adds that it was vital for the

government to meet the lEED

specifications, despite the costs it would

“(thiS StAdiUm) iS to bE An ExAmPLE And A rEfErEncE for USinG EnErGY, rEcYcLinG wAtEr And rESidUES”

SUStAinAbLE iconThe stadium is set to be a landmark for sustainable construction.

n sectors: 4

n storeys: 8

n gates: 19

n Turnstiles: 158

n ramps: 50

n escalators: 4

n stairways: 60

n elevators: 20

n Boxes: 74

n Toilets: 276

n Bars: 40

n restaurants: 2

n snack Bars: 14

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incur, starting with the Estadio Nacional

Mané Garrincha.

“It was very important, though it’s

extremely expensive to meet these

specifications, but everyone values it

immensely that they will receive this

certificate of sustainability. Because, not

only are we having a model of energy

saving solutions, but we also have a

management system to make the most of

these projects,” he explains.

To this end, German energy and

infrastructure giant Siemens were brought

in to work on the project, which was

no surprise given its vast expertise and

experience of similar projects in Europe.

“Siemens is supplying the intelligence

systems for the stadium,” says Stefano Fay,

Siemens operations manager. “It is one of

the most modern stadiums in the world.”

“We have a lot of experience in

stadiums, many of the technologies

in German stadiums have Siemens

equipment, and European ones also have

them. So we took this experience and

brought it to Brazil and we built up a team

here for this project.”

“It was done according to the

requirements of FIFA first of all, and

then the owners. It was a design and

construction project. Several of the

solutions were discussed with the

customer and adapted to their needs and

according to the green building council

requirements,” he adds.

The first task was the development of

a comprehensive Building Management

System, which would help tie in all the

stadium’s various systems to one central

operating hub.

“The system is conceived is to gather

the data and give it to operations so that

they can analyse and take decisions on

how to optimise the system. It’s not a

fully automatic, closed loop yet, this is

“oUr bmS monitorS And controLS PowEr, frESh wAtEr And Air conditioninG. it iS fULLY rEAdY for AnY AUtomAtion rEQUirEd in thE fUtUrE”

something that we’re looking at in the

future,” he adds.

“Our BMS monitors and controls

power, fresh water and air conditioning. It

is fully ready for any automation required

in the future.”

Furthermore, one of the other main

scopes that Siemens have been tasked

with are the security and surveillance

tasks for the stadium. With more than 400

cameras and 150 turnstiles, the German

firm will have quite a job on its hands.

“In coordination with partners, we have

a complete IT network for all the systems

that are in the stadium. We also have, with

partners, a complete sound system. The

sound system is also digital and running

on the same IT network,” says Fay.

So what are the differentiators when it

comes to this project?

“First off is to have all of them on IT,

the videos all run on the same high speed

backbone that we supplied. We have

access control using our hardware and

software, and this particular software has

been also developed and integrated with

FIFA,” he explains.

“So the ticketing system is integrated

with the automated systems. So you

can buy a ticket off the internet, and

automatically our system will have your

barcode when you enter the stadium. The

system is already working, it worked in a

match between Brazil and England, and

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ON SITE Estádio NacioNal MaNé GarriNcha bigprojectMe.coM

it is ready for the Confederations Cup and

the World Cup,” he says during the tour of

the stadium.

Pablo Bartolomeu, project manager for

Siemens on the Mané Garrincha project,

adds that with the security systems,

access controls and turnstiles all installed,

the BMS that Siemens has developed

specifically for this project means that the

fire detection systems, CCTv and BMS are

all integrated with the software designed

for the project.

“We have all the management of

the electrical power, all the danger

management systems, everything will be

integrated in one software,” he says.

According to Bartolomeu the biggest

challenge was time.

“Because it was a very tight schedule –

the opening was supposed to be in March

– then we postponed it a month. Time was

always the big challenge.”

“Also because it is a big building, it’s

not something you build every day, so it

(the BMS) is a bespoke solution for this

stadium, and therefore I would say the

biggest challenge was time and then the

dimensions of the buildings,” Pablo tells

Big Project ME.

He adds that security is something that

the client takes very seriously, and as a

result, Siemens had to ensure that their

security systems were up to the demands

placed on them.

“We have around 400 cameras, in high

traffic areas and in the dome. We have

HD cameras in the dome for identifying

people, as well as cameras to monitor and

control people,” he explains.

“Furthermore, we have the Tv

screening systems, the access control

systems, composing of the turnstiles,

they’re connected with the CCTv systems,

which allow people to be identified

through the ticketing system.”

Given that the stadium holds more

than 72,000 people when at full capacity,

crowd safety was another major concern,

and as such, the Siemens team had to

install thousands of fire detection in the

building, says Bartolomeu.

“There are 6000 fire detectors all

over the building,” he says. “There’s

construction under the stadium as well

and it needed to be have an accurate fire

detection system.”

“We have more than 6000 points on the

building management system, the control

rooms and the IT backbone and data

centre, and we have distribution all over

the stadium, so that you have IT available

whenever it is necessary.”

“What’s important to say is that

we have all the systems IT based and

talking to one another. We have building

automation talking to access control, and

sending out alarms (if necessary) there. So

we have a fully integrated system with the

same IT network,” he adds. n

“wE hAvE morE thAn 6000 PointS on thE bmS, thE controL roomS And thE it bAcKbonE And dAtA cEntrE, ALL ovEr thE StAdiUm”SEcUritY SYStEmS

All security systems are integrated with the BMS.

stadium it numbers

n 6000 Points on the BMS system

n 6000 fire detectors

n 400 cameras

n 32 Hd cameras

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Hidden inno- vation.

30 JULY 2013MID

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Special RepoRt Brazil 2014 bigprojectMe.com

with less than a year remaining for

the 2014 FIFA World Cup, there

is a definite sense of anxiety over

whether Brazil is truly ready to

host the event.

While organisers and the Brazilian

government remain confident that all

the issues will be ironed out ahead of the

World Cup, there are valuable lessons that

can be learnt from their struggles, which

can be applied to Qatar as it gears up for

its own considerable challenge in 2022.

Keeping that in mind, Big Project ME

spoke to the one man who is best placed

to judge both countries’ preparations in a

fair and balanced manner.

Jan Schoenig is the Siemens program

manager for the 2022 Football World Cup

in Qatar. Prior to his current role, he was

heavily involved in the preparations for

the Brazilian World Cup. Furthermore, he

has extensive experience in developing

stadium technology, having been involved

in global sporting events over the last

eight years.

“It’s a bit early to say, there’s still nine

years to go,” he says. “But all what I see

(in Qatar) is perfect. They have already

established a programme office, they

already have the stadiums partially

assigned to architects and they even have

a vision for transportation, which is going

to be tendered soon.”

“I’m very optimistic that it’ll be totally

different to the way things were done

in both South Africa and Brazil, where

things were done at the very last minute,”

Schoenig says.

The advantage that Qatar has, compared

to Brazil and South Africa, is that the

people in charge of the World Cup have

“it’S A bit EArLY to SAY, thErE’S StiLL ninE YEArS to Go, bUt ALL whAt i SEE (in QAtAr) iS PErfEct”

whaT qaTar CaN lEarNFollowing a visit to Brazil ahead of the 2014 FIFA World Cup, Big Project ME ponders on what lessons Qatar can learn as it gears up for its own challenges in the build up to 2022

31JULY 2013 MID

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Special RepoRt Brazil 2014

taken a long, hard look at what went wrong

during the preparation process in those

two countries, and have resolved not to

allow the same mistakes to happen again.

The government will play a massive

role in developing the stadium and

assorted infrastructure, but in an effort

to mitigate any confusion and hold ups,

the Supreme Committee for Qatar 2022

has appointed Clifford Chance, the

international law firm to be an advisor for

its technical programme.

Amongst its duties, the law firm will

advise on the development of the main

‘iconic stadium’ for the FIFA event, which

will seat more than 85,000 fans.

It is this attitude that gives Schoenig

hope that the Qatar World Cup will be a

completely different experience for him,

compared to the one in Brazil.

“In Brazil, they’re struggling in a lot of

areas because they believe that it could

have been done differently,” he explains.

“We had a conference recently, where

a contractor expressed surprise at all the

FIFA requirements, and I thought ‘It is

publicly available!’ You can download

it, so there shouldn’t be any kinds of

surprise!” Schoenig asserts.

“He was complaining about the

number of parking spaces FIFA requires,

that is well stated in the booklet! This

is what happens when companies that

haven’t done it before (get involved),

they think ‘oh it’s just another building

and we’ll apply it just like we do in

the shopping malls’ and go for it, and

then they’re struggling with all these

‘surprises’,” he points out.

And this is where he says Qatar can

learn its most important lessons for its

World Cup.

“These two countries are very different,

but from the stadium perspective, there

is definitely something (they can share).

Qatar needs to choose partners who have

done it before. FIFA requirements are

specific, the requirements for the World

Cup are high in quality, and the reliability

has to be there,” he warns.

“If you go for first time movers or

companies who are not established in

the country, you undertake a high risk of

failing,” he warns grimly.

Another issue that will be taken

seriously is ensuring that construction

projects coordinate so as to ensure that

there is no blockages in the pipeline.

“This is what programme management

has to do, so that you can really access the

construction sites and they are not locked

due to road-works and major project work

and so on,” he says. “My only concern

is that the coordination of ongoing

construction should be done in such a

way that they don’t block each other, but

apart from timing itself, there shouldn’t be

any problems.” n

“QAtAr nEEdS to chooSE PArtnErS who hAvE donE it bEforE. fifA rEQUirEmEntS ArE SPEcific And thE rELiAbiLitY hAS to bE thErE”

bAd AttitUdEBrazil’s lax attitude has cost it, Schoenig says.

Qatar worLd cup spend

n $115 billion Qatar’s project spend on the 2022 world cup

n $8.2 billion doha metro contract awarded for wc

n $10 billion new airport being built ahead of wc

n $20 billion on roadworks and infrastructure

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HEaLTHcarE iN fOCuS BigprOjecTMe.COm

33JULY 2013 MID

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HEaLTHcarE iN fOCuS

in 2011, Deloitte released a report

that surveyed the state of the UAE’s

healthcare sector. It found that rapid

growth was underway in the country,

fuelled by a long-term strategy to become a

preferred destination for domestic patients

and a hub for global medical tourists’.

Furthermore, it predicted that there

would be a considerable change in the way

the UAE approached the healthcare sector,

with more Private Public Partnerships

(PPPs) being encouraged as it strove to

improve both ‘hard and soft infrastructure’.

“In Abu Dhabi, the government’s move

towards PPPs, driven by a need to elevate

the quality of healthcare delivery, started

in 2006, and is based on management

partnerships with international hospitals

such as vamed, Cleveland Clinic, John

Hopkins and Bumrungrad. A number of

MoUs related to healthcare partnerships

have been signed.”

So this process towards developing

healthcare infrastructure and construction

has been in motion for quite some time.

In the two years since the release of the

report, healthcare spending has reached

astronomical levels.

A report released by Frost + Sullivan,

shows that the GCC had spent $46.12

billion on healthcare expenditure in 2011,

while its analysts predict that spending will

hit $133.19 billion by the year 2018.

This is backed up by AECOM’s

Construction Handbook for 2013.

“Regulatory and funding reforms,

together with increasing demand for

healthcare services due to population

and income growth, as well as an

increase in lifestyle diseases, means that

the Middle East healthcare market is

undergoing significant changes and major

development,” says Anthony McCarter,

regional business line leader, Buildings +

Places, AECOM.

“With many governments planning

further expansion of the sector, they

are seeking increased private sector

participation to fill gaps in services

provision and infrastructure.”

Supported by large budget surpluses,

GCC governments are making investments

to support healthcare provision. This will

bring the industry up to international

standards in terms of bed capacity and the

quality of healthcare services, he notes.

“Promoting the industry to private

players is a priority for all GCC

governments, as it is clearly stated in their

strategic and development plans.”

Given the PPP healthcare projects

springing up across the region it should

come as no surprise that the actual

construction of these healthcare project

is a major concern for developers and

clients. These projects no longer serve

as mere places of treatment or healing.

They are meant to be landmarks, icons

“thE GovErnmEnt’S movE towArdS PPP iS drivEn bY A nEEd to ELEvAtE hEALthcArE QUALitY”

With healthcare construction set to be one of the biggest boom sectors for the region, Big Project ME talks to the experts to find out what needs to be done to ensure that our hospitals rank amongst the best

biLL JoLLY

lET’S makE ThiNGS

BETTEr

gcc heaLthcare spend

n $46.2 billion Healthcare expenditure in 2011

n $133.19 billion Expected expenditure in 2018

34 JULY 2013MID

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HEALTHCARE IN FOCUS bigprojectMe.COm

of the UAE’s burgeoning reputation as

healthcare destination.

“Construction costs for iconic/

landmark hospitals are generally higher

than for typical district general hospitals.

Unlike teaching hospitals, where capital

cost increases are driven by medical

equipment, higher costs for iconic

hospitals are due to detailed architectural

design, landscaping or furnishings,”

McCarter explains.

Construction costs increase with the

size of a hospital but there are two key

elements to note, says McCarter

“First, operational efficiency of

equipment and technology does not

depend on hospital size as much as other

requirements (ie. bigger receptions and

waiting areas to accommodate larger

number of patients.)”

“Secondly, capacity utilisation typically

increases as hospital size increases. Up

to a certain size, commonly 500 beds, the

construction cost per bed decreases as the

hospital size increases, due to economies

of scale and optimising the use of support

equipment and facilities,” he remarks.

“Construction costs for larger hospitals

“conStrUction coStS for An iconic hoSPitAL ArE GEnErALLY hiGhEr thAn for A tYPicAL diStrict GEnErAL hoSPitAL”

aL maKtoum accident and emergency hospitaL

This 300 bed, 95,000sqm facility

includes a four-storey inpatient unit, a large

clinical space, an emergency department

and a dedicated support area.

ramboll says this highly integrated design

provides significant flexibility and focus

on patient care and family needs, utilising

the most advanced medical technology,

international design and healthcare

planning solutions available.

The building is planned around a

significant flexibility and focus on central

atrium, which creates a striking patient

care and family needs, utilising visual

element whilst allowing natural the most

advanced medical technology, light to

penetrate the interior.

The space also provides a central

gathering point for patients and visitors.

due to the high volume of occupants and

significant numbers of patients who may

be immobile, hospitals pose a high fire

and safety threat. These risks increase

in units with high-tech infrastructures and

potentially volatile medical stores.

To minimise and mitigate these risks,

the experienced team in the ramboll

fire Engineering department were

commissioned to produce a peer review of

the fire and safety designs for the building,

identifying and assessing non-compliant

and high risk aspects of the design.

The team provided advice and practical

solutions on how to meet international

safety standards and obtain fire authority

approval, while maintaining the integrity of

the architectural design.

lOcaTiON: dubai, UaE

clieNT: dubai Health authority

archiTecT: canadian brand of Perkins

Eastman International

eNgiNeeriNg services: fire & life

safety

AL mAKtoUm A&E hoSPitAL95,000sqm project will house four storey inpa-tient facility

KhALifA mEdicAL citYSKMC is a tertiary care medical centre in Abu Dhabi.

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HEALTHCARE IN FOCUS bigprojectMe.COm

“hoSPitALS ArE vErY EnErGY intEnSivE, So wE LooK At how wE cAn controL thE intErnAL EnvironmEnt to SAtiSfY rEGULAtionS”

with more beds tend to increase again as

support facilities need to be larger and

construction premiums associated with

specialist consultants and contractor fees

are added.”

Therefore, Big Project ME decided to

speak to one of the foremost experts in

healthcare construction in the region,

to find out just what it takes to build a

landmark hospital project in the GCC.

Bill Jolly has worked on Central

Sterilisation Services Departments and

supersize decontamination facilities for the

UK’s National Health Services. He has also

worked on and helped design Psychiatric

Intensive Care Units and numerous

theatres and hospital wards.

Furthermore, he was, until recently,

an international member of the ASHRAE

healthcare technical committee. He

currently works as director of MEP and

Sustainability for Ramboll Middle East.

“(When working on a project) I think

the first thing to consider is the stability

of its infrastructure. That’s obviously very

important for a hospital, to ensure that

it’s got its securities in place,” he says. “It

depends on what the hospital is doing.

If the hospital is doing theatres and

operations, then you need to ensure that

the incoming services supplies are stable.”

“We (Ramboll) recently looked at

a project in Pakistan and it was quite

interesting. While we were there, there

were maybe 15 power cuts, and we were

doing the overall master-plan for that

project, which included a hospital.”

“As part of the master-plan, we looked at

the incoming supplies and strategies. We

considered the installation of Combined

Heat and Power (CHP) because we

believe that Pakistan is close to signing an

agreement for gas supplies.”

“So with a secure gas supply coming

into the master plan, it would make more

sense to generate our own electricity on

site,” Jolly explains. “We look at the security

of the supply, that’s a critical factor from a

utility perspective.”

“We identify what it is that’s critical for

the hospital, such that the MEP service

engineers can provide the solutions that

they’re looking for,” he adds.

“So the first thing is the security of

supplies, the second thing is energy

efficiency. Hospitals are very energy

intensive, so we look at how we can control

the internal environment so that we’re

satisfying the regulations to ensure that the

standards are being best achieved from a

cLeveLand cLinic

The 7-star, state-of-the-art, 22-storey

cleveland clinic was designed to

symbolise the future of healthcare in the

Middle East region.

ramboll was commissioned to check

all engineering of the facade systems,

including complex double skin

arrangements, glass fin walls, skylights etc.

as is often the case in a project of this

scale, with a rapid building schedule, the

design remit evolved.

“This raised design and technical questions

that required immediate consideration and

implementation,” says ramboll.

lOcaTiON: abu dhabi, UaE

clieNT: aldar/Mubadala Healthcare

archiTecT: aedas and Hdr

eNgiNeeriNg services: façade

engineering

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HEALTHCARE IN FOCUS

King faisaL speciaList hospitaL and research centre, Ksa

“our client desired to introduce sustainable

design into the king faisal Specialist

Hospital & research centre, Jeddah,

kingdom of Saudi arabia,” says ramboll.

The total built up area is approximately

100,000sqm for the hospital and research

centre.

“we provided a sustainability review

during the master planning stage of this

project to help our client achieve LEEd

accreditation. our holistic approach to

design and operation was valued during

the early stage of the project,” says

ramboll.

“we focused on improving the energy and

environmental performance of the design,

which was viewed as the most effective

way of achieving LEEd accreditation.

we also undertook high level energy

modelling as part of the exercise. This

helped with the design, and also ensured

that the architect understood the impact of

his design decisions during further design

stages.”

following the master planning process, the

project is pursuing LEEd rating based on

the recommendations made by ramboll.

lOcaTiON: Jeddah, kingdom of Saudi

arabia

clieNT: king faisal Specialist Hospital

and research centre

eNgiNeeriNg services: Sustainability

services

clean perspective.”

“The third thing is the critical places,

how we control the internal environment,

such as the clean room spaces, or the

theatres, or whatever classification you’re

trying to design to,” he says. “What we do

identify, within the hospital, what elements

of the building are energy intensive. Once

we’ve identified those areas, we look at

strategies about how we can reduce the

energy consumption, yet satisfy the rules

and regulations, the codes and standards

(that need to be met).”

One of the most energy intensive areas

of any hospital is its CSSD or Central

Sterilisation Services Department. These

are areas where the instruments used in

operating theatres are cleaned, sterilised

and packaged for reuse. Tremendous

amounts of water, both heated and

normal, are used to wash the instruments

out thoroughly, and then superheated

steam is used to sterilise them.

Jolly advocates a more sustainable

European model that is currently in

use, where the CSSD is taken out of the

hospital and a centralised ‘Supersized

Decontamination Unit’ is set up to serve a

number of hospitals in close proximity to it.

“What you’re actually doing is taking

the energy consuming components out of

the hospital and putting it in one location.

You can start to reduce the capital costs

because you can have the facility working

24 hours a day, and so you start to reduce

the quantity of equipment that’s required,

you’re placing all the energy in one

location, where you can deal with it in an

energy efficient manner,” he explains.

Hospitals are notorious consumers

of huge amounts of water. Not just in

specialised units such as the CSSD, but

during normal day to day operations as

well. Therefore, sensible consultants are

keen to involve suppliers and contractors

as early as possible when it comes to

designing the water delivery systems.

Rada-Kohler is one such supplier that

deals with healthcare facilities. Russell

Maycock, commercial international sales

and market development manager, tells Big

Project ME that his firm has been making

“wE idEntifY, within thE hoSPitAL, whAt ELEmEntS of thE bUiLdinG ArE EnErGY intEnSitivE”

KinG fAiSAL hoSPitALJeddah project is aiming for LEED accreditation.

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HEALTHCARE IN FOCUS bigprojectMe.COm

King saud university, medicaL city extension project

a multi-disciplinary, international team

is working together on this important

healthcare project, says ramboll.

The extension of the king Saud University

Medical city comprises several new

buildings for the university covering an

approximate area of 350,000sqm.

The first stage includes a new national

diabetic center, a new dental college and

an expansion of the medical college.

The medical college extension project

includes teaching facilities, lecture

halls, public spaces, a full scale skills

lab, mosques and a spectacular main

auditorium with audience capacity of

1,400. The national diabetes centre

will be a national institution for diabetes,

containing research and central functions,

as well as treatment for complicated

cases.

The administration of kSU has been

constantly committed to equipping the

school with the state-of-the-art facilities

beneficial to advance dental education.

The extension to the existing dental

college will provide these facilities,

including the very latest technologies.

ramboll has been entrusted with the

building design for this project.

“In order to ensure high class delivery

we have created project teams bringing

together our experts from ramboll

Sweden, denmark, norway, United

kingdom and the Middle East.all

together we have around 80 dedicated

competencies involved. ramboll Group is

the lead consultant bringing together all of

the resources to ensure a smooth design

and construction process.”

lOcaTiON: riyadh, kingdom of Saudi

arabia

clieNT: king Saud University

archiTecT: Samkark architects

eNgiNeeriNg services: Building

services, fire & life safety

inroads into the Middle Eastern market on

the back of the practical savings they’ve

been able to offer in Europe.

“The two key issues in a healthcare

project are thermostatic performance:

that’s what we call ‘safe to use hot water’, so

hospitals will have specific requirements

in terms of accurate thermostatic

performance of the faucets. So they’ll

have particular maximum temperatures

that they’ll want to achieve, depending on

whether it’s for a shower, a bath or hand

washing, or something like that.”

“But it’s also a product which will be able

to cope with, if for example, there’s a failure

in the cold water supply, a thermostatic

product which will close down to prevent

hot water scalding accidents within a

hospital,” he says.

“The other key thing with hospitals is the

prevention of cross infections by HCAIs,

which stand for HealthCare Acquired

Infections, an example of those would

be MRSA. A lot of these infections are

associated with the water supply, and so

hospitals will be looking for water delivery

systems which will help contain how

possible sources of cross infection within a

healthcare facility.”

“A KEY thinG with hoSPitALS iS thE PrEvEntion of croSS infEction bY hEALthcArE AcQUirEd infEctionS”

infEction focUSHospitals have stringent demands to prevent the spread of infections.

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new mafraQ hospitaL

High-rise hospital with 749 number of

beds.

ramboll Middle East was awarded the

life safety and fire protection peer review

subconsultancy, by canadian architectural

firm, Burthill.

The task is to provide the life safety and

fire protection strategy guidance for

the construction of their new al Mafraq

Hospital project, a new modern hospital

located in the new abu dhabi central

Business district.

The project is intended to provide health

care and the necessary medical needs of

the people at this community. The hospital

will contain 499 beds, and is considered

for an internal expansion of up to 749

beds depending on the operational

demand and growth of the population at

this community. The new hospital will be

distinguished by its four patient towers built

in a style that resembles to the state-of-the-

art in medical care facilities.

lOcaTiON: new abu dhabi central

Business district

clieNT: Habtoor Leighton Group, in joint

venture with Murray & roberts contractors

Middle East (HLMr)

archiTecT: Burthhill - Stantec

cOMpleTiON: 2011 - 2014

prOjecT value: $626.2 million

eNgiNeeriNg services: fire & life

safety

“One obvious area is a system that can

be operated with a minimum amount of

hand contact. A lot of our digital systems

are completely non hand contact in terms

of you being able to operate them and be

able to turn them on and off without having

to touch it. That’s going to be a key way for

hospital management to control infections,”

Maycock explains further.

Thus, collaboration between contractor,

consultant and supplier is key for a hospital

project to work smoothly. Jolly says that

the process towards that collaboration is

fairly lengthy, with consultants taking care

to ensure that the design first meets the

client’s specifications, and then that the

contractor chosen is able to cope with the

demands set before them.

“When we do designs of hospitals at

the very initial stage, the contractors aren’t

involved. We deal with the main consultant

and the client. We understand the client’s

needs, then we start to work on the design

and work in conjunction with architects,

because we’re just an engineering

consultancy. We’ll develop the design to a

certain level and then we’ll approach the

client about engaging a contractor,” he says,

outlining the process.

“We then go into early engagement

with various contractors whilst the design

work is continuing, or we’ll seek tender

clarifications with the contractors and then

during the interview stages, we’ll start to

engage them from a technical perspective.”

“We look at what are their capabilities for

maintaining the good parts of the design.

What are their capabilities? What’s their

experience? What’s their site set up? How

do they propose putting people on site?

What’s the level of staff you’d put on site?

What’s the qualifications?”

We gauge an overall assessment of

the contractor, both from a technical

perspective and from a financial

perspective. We would then make

recommendations to the client of the

contractor, to move forwards,” Jolly says.

However, Maycock says that as far as

suppliers are concerned, they’d like to

get involved in the specification process

as early as possible. This helps design a

system better and prevent problems.

“Our approach to healthcare, is to get

onto the specification process as early as

possible. That’s really at design stage. Once

the facility is going up, then you’re in a

situation where you’re trying to get people

to change specifications, which is always a

challenge. Once we know a consultant has

been awarded a healthcare facility, we look

to get in at a very early stage and help them

design the specifications for the showering

areas, for the ward basins, for the clinical

basins and the scrub up areas and so on,”

he explains. n

“GEt into thE SPEcificAtion ProcESS AS EArLY AS PoSSibLE, thAt’S At thE dESiGn StAGE”

EArLY EntrYSuppliers need to get involved with hospital projects as early as possible.

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TIME & MonEY CCS BigprOjecTMe.COm

cCS (Construction Computer

Software) has been in operation for

over 30 years in the construction

IT sector and in the Middle

East since 1994. Its success is built on

dedicated development, training and

support infrastructure and providing an

unparalleled service to the challenging

construction industry.

whaT iS CCS aNd iTS CaNdy aNd BuildSmarT prOduCTS all aBOuT?iaN haupTfleisch Candy is our leading

project estimating and control software

package that uniquely combines

its powerful features of analytical

Estimating, critical path Planning,

dynamic Forecasting, Cash Flow

modelling, monthly valuations and

Earned value Management conveniently

into a single user interface.

We have a saying that ‘estimating only

ends at final account’ - whether pricing

variations or pricing the job to complete,

things change and your estimate or

budget has to be adaptable considering

all the variables and unknowns we deal

with on a daily basis.

paT cOOper BuildSmart fits in on

a company and project level and is

the foremost construction enterprise

solution for Procurement, Payroll, Plant

and Accounting. BuildSmart is a web-

based, Integrated Cost Management

System (ICMS) that dynamically and

Helping you make the smartest decisions

Big Project ME sat down with Ian Hauptfleisch, General Manager, and Pat Cooper, Senior Consultant, to discuss what the CCS solution can offer contractors

CONSTruCTiON iT SOluTiONS prOvidEr

UnPArALLELEd SErvicECCS has been in the Middle East since 1994.

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TIME & MonEY CCS

seamlessly integrates with Candy

estimating and project control

Candy & BuildSmart together

provide the most powerful tool in

the construction industry today to

provide critical real-time management

information to you to take timely

management actions to control your

project cost and to increase your

margins.

• Candy produces a powerful financial

and engineering model for the project –

What we budget to spend and utilise.

• BuildSmart, with its web based and SQL

database architecture, provide a real time

analysis of what we actually are spending

and utilising.

Both systems use basic resource and

activity costing which then allows real-

time comparison by project Activity and

Cost Code – all in real time.

hOw dOES CCS aNd iTS prOduCTS hElp CONTraCTOrS?ih CCS was developed, from day one,

from the ground up for contractors by

contractors.

The biggest challenge most

contractors face, besides securing work,

is proper, effective and reliable cost

control. In construction you’re dealing

with productive resources like labour

and plant making up a large component

of the project cost as well as numerous

variables and unknowns, that contribute

“SoftwArE doESn’t mAKE PEoPLE worK - PEoPLE mAKE SoftwArE worK”

to a formidable cost control challenge

but this is exactly what our products were

designed for.

Candy and BuildSmart’s pedigree

stems from an extremely challenging

construction environment in South

Africa in the late 1970s and 1980s, which

meant as accurate a measurement

and estimate of the work to be done as

possible and pedantic control of costs

and budgets on site in terms of quantity,

wastage, production and value.

A common misconception is that the

software will do the job for you. CCS,

like any software application, is merely

another tool that has to be used properly

and effectively to give you the best

results. Software doesn’t make people

work – people make software work.

whaT’S ThE BiGGEST ChallENGE iNvOlvEd wiTh CONviNCiNG CliENTS Of ThE SySTEmS’ viaBiliTy?ih People don’t like change. That’s fact

and also just human. However, in most

cases companies are approaching us,

which means they or someone in the

organisation has realised the need for

change and improvement, whether it be

for something they don’t have or aren’t

getting and/or deficiencies in their

existing systems.

Secondly, software, being somewhat

intangible, is often considered a grudge

purchase and price plays a big role.

The real cost of any system is not in

the purchase of the software, but in

the immeasurable losses accumulated

due to the lack of timeous, reliable and

presentable information.

pc It’s an education process, getting

prospective clients to understand that

in order to get complete cost control,

you have to start from a resourced based

analytical estimate, dynamically linked to

procurement, for the whole procurement

to pay process, including costing and

financials, which will provide information

to all levels of the business. n

ccs cLients incLude:

n alec UaE

n el seif kSa

n petroserv Qatar

n kharafi National kuwait

n carillion alawi oman

n Nass contracting Bahrain

n sTfa Turkey

n The arab contractors Egypt

n MiD contracting Jordan

n MaN enterprises Lebanon

rEAL timE comPAriSionBoth systems allow contractors to track their costs in real time.

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CPD modules bigprojectMe.com

Practitioners and academics

have progressively updated

our understanding of what

“procurement” is over the last 30

years to reflect not only the increased

complexity of the construction products,

process, and technology but more

importantly the increased sophistication

of the markets and their customers. This

has created an immense pressure from the

clients and the supply chain to develop

and embrace new approaches to the way

construction projects are procured

The CIB, the International Council

for Research and Innovation in Building

and Construction (www.cibworld.nl)

has defined procurement as the strategy

through which clients achieve and satisfy

their objectives. Procurement can also

be viewed as the framework that defines

the organisational structure and the

roles of the different individuals, groups,

and organisations that would enable the

realisation of the stakeholders’ project

objectives.

It is not surprising that over the last

three decades we saw the increased

popularity of “non-traditional”

procurement methods which reflects

the changes the sector and its economic

environment have experienced. Increased

interest in procurement methods such

as Design and Build, Management

Contracting, and Partnering, Public Private

Partnerships (PPP) have presented clients

and their advisors with opportunities

to improve the value they realise from

their projects. The increased knowledge

of clients gave them the courage to take

advantage of the “flexibility” of such

frameworks and introduce changes

to whatever is the published standard

framework. This has challenged project

managers, consultants, and lawyers to

ensure that such changes do not create

legal problems or complications to the way

projects are organised and managed.

The main question facing clients and

Prof Mohammed Dulaimi, of the British University of Dubai, writes this CPD module about how effective procurement can satisfy a client’s needs and objectives

effective Procurement of construction Projects

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cPd mOdulES

their consults/advisors when it comes

to deciding on the procurement strategy

to adopt is to what extent the adopted

procurement strategy would give the

confidence that it would enable the project

stakeholders realise the desired outcomes.

let us examine one of recent incidents

that have attracted worldwide attention.

A number of reputable suppliers and

retailers/supermarkets in the UK and

Europe discovered that their products

do not meet their requirements on very

key and critical standards. Their ‘100%

beef burgers’ were tested to have horse

meat. A senior manager in one of the

most reputable supermarkets in the UK

stated then that they could not guarantee,

then, that any of such products, meet that

basic requirement. In effect the client is

declaring no confidence in the adopted

procurement strategy and the supply

chain it has created. In other words the

different activities of the supply chain are

no longer focused on satisfying the needs

and priorities of the client. Either by design

or incompetence when clients’ priorities

are no longer driving the supply chain then

the commercial interests of the different

organisations in the supply chain takes

control of the project.

The building of a potentially complex

network of consultants, contractors,

specialist contractors, suppliers, and

subcontractors needs to be orchestrated

in order to create cooperative inter-

organisational relationships aimed

at delivering what would satisfy and

even delight the different stakeholders.

Therefore, profiling of the stakeholders’

objectives and priorities and

understanding their business strategies

should form the foundation of effective

project procurement.

The client should ensure the

involvement of all key stakeholders in

setting the objectives that need to be

satisfied by the completed project. In

order to achieve that there needs to be

enough time allowed for the advisors

and consultants to establish a consensus

among the stakeholders as to the trade-

off between any conflicting priorities

and objectives.

If this important issue is not resolved

and the project is allowed to proceed then

all other decisions regarding the project,

including on the appropriate procurement

strategy to adopt, will be flawed and form

the basis for future conflicts.

“thErE nEEdS to bE EnoUGh timE ALLowEd for thE AdviSorS And conSULtAntS to EStAbLiSh A conSEnSUS AmonG thE StAKEhoLdErS.”

maKing a successfuLprocurement strategy

n strong foundation Establish a consensus among the stakeholders as to the trade-off between any conflicting priorities and objectives

n formulate Select an appropriate strategy

n The right one Select the right contractor

brEAKinG GroUndChanging client attitudes have altererd the approach of PMs, lawyers and consultants.

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The advice that the client needs to

decide on the appropriate procurement

strategy to adopt on any particular project

should be based on firm understanding of

the objectives, priorities and sensitivities

of the key stakeholders. In many cases the

advice clients receive tends to be focused

on their cost, time and quality priorities

but missing on a host of other issues that

relate to not only the client but also the

nature of the project, the market, and

economic environment. For example the

client may want to be closely involved

in the development of the design and

construction phases to ensure that the

project would address their most detailed

needs. In this case the consultant may

feel fit to advise the use of the traditional

procurement strategy, Design-Bid-Build

(DBB).

However, this client may lack the

knowledge, skills, or the capacity to

embrace DBB procurement. This client

may be sophisticated enough to adopt DBB

procurement but lacks the resources that

would enable the effective management of

the interfaces that that procurement would

create. This would create huge problems

with serious delays due to the time the

client would take to make a decision or

provide and input.

The next important stage in the

procurement strategy is to decide on the

most suitable contractor. If clients and

their advisors failed to address the issues in

the previous section effectively then they

will have very little chance in satisfying the

requirements of this stage. Many would

argue that choosing the contractor that

is more suitable to delivering a particular

project is so obvious. However, experience

in projects here in the United Arab

Emirates, and probably beyond, that this is

not the case in many projects.

Anecdotal evidence shows that the

main reasons for failure in identifying and

engaging the appropriate contractor are

the organisational structure and the set

process in many client organisations.

The organisational structure in many

clients’ organisations would split the

responsibility for defining the objectives

and priorities of the project from that of

setting the criteria for contractor selection.

On the assumption that the client was

successful in setting the objectives there

is very little effort to explain the same

for the department(s) responsible for

the contractor selection. The process of

selection in many cases is rigid and uses

fixed criteria that would not give the same

priorities that were defined earlier. It is

critical that for in order to have an effective

procurement strategy for any project

there should be a strong and unbreakable

thread of clearly defined needs and

priorities that runs from the point when

the client committed to the project through

the different stages of the project until

completion and commissioning.

Any proposed variation to the project

should only be sanctioned after careful

consideration of its impact on what has

already been committed to. In particular,

projects that require innovation in the

design, process, or technology will be

“in ordEr to hAvE An EffEctivE ProcUrEmEnt StrAtEGY for AnY ProJEct thErE ShoULd bE A StronG And UnbrEAKAbLE thrEAd of dEfinEd nEEdS And PrioritiES.”

movinG SitESChanges to the plan should come only after proper consideration.

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vulnerable to pressures to conform to

“this is not how we do things here” mind

sets and long established processes that

would gradually water down the client

set objectives and priorities. For example,

views from the construction industry

suggest that many clients who set bold

environmental sustainability targets as

a key objective only to see this priority

compromised through the long process of

design, tendering, and construction.

It would be expected that having stated

clearly the objectives and priorities during

tendering that should enough to bring

positive results during construction. The

critical role of the client in monitoring,

evaluation, and feedback to the consultant

and contractor can either reinforce the

stated objectives and priorities or distract

and confuse the whole supply chain.

Clients and their advisors need to

effectively communicate their perception

of the contractor’s performance and

capability to reinforce positive behaviours

and give an opportunity to address

gaps in the contractor performance.

The contractor and the set supply chain

will be put under extreme pressure if

their evaluation is based on priorities

and criteria that were overlooked or not

emphasised during selection process. In

contrast, an evaluation and feedback that

is consistent with the selection criteria

would contribute to enhancing the

contractor’s commitment that is critical to

his performance.

All the above demonstrates the

importance of establishing cooperative

relationships across the network of

organisations that have been formed

from the start of the development process

to the completion and commissioning

of the facility to the satisfaction of the

stakeholders. There may be an expectation

that to orchestrate this whole network

to ensure the creation of value and

extracting value from this network is

the responsibility of clients and their

advisors. However, in certain procurement

strategies that role should be that of the

main contractor. In this case the client

should ensure that the contractor is

capable of delivering on this role and has

the incentives that would ensure that it

delivers on the clients’ objectives.

The orchestrator here will engage

the project network, armed with full

knowledge of the client’s priorities

and objectives, and identify the

needed`knowledge and resources that

would be needed to enhance project

performance.

Recent research conducted by Shaikha

Al Shamsi from the British University

in Dubai (MSc in Project Management)

examined the concept of orchestration in

innovation project networks argued the

need for the orchestrating firm to be able

to articulate the vision of the project, ability

to influence if not shape the network, and

effective management of the process.

In conclusion clarity of what the

stakeholders want to achieve should

enable the client and advisors to identify

the procurement strategy and the

processes that would give the confidence

that there outcome would be beneficial to

all parties involved. n

Provide answers below:

Q1 There is one best procurement method

for any one client that needs to be identified

and deployed on every project that client

would commission. what is it?

ans:

Q2 The contractor’s selection criteria should

be based on:

ans:

Q3. The role of the client is very important.

why?

ans:

naME (capitals)

JoB TITLE

coMPanY naME

addrESS

P.o.Box:

MoBILE:

facSIMILE:

EMaIL:

privacy poLicyn Information you supply to cPI may be used

for publication and also to provide you with

information about our products or services

in the form of direct marketing by email,

telephone, fax or post. Information may also

be made available to third parties.

n “This module will contribute 30

minutes(general) towards your cPd

obligations. If successfully completed,

certificates will be distributed two weeks after

the module closes.

n Email [email protected] if you have

any questions about our cPd programme.

n You can also contact us on:

corporate Publishing International

P.o. Box 13700, dubai, UaE

Tel: +971 4 440 9100

fax: +971 4 447 2409

web: cpidubai.com

Questions for moduLe 3: procurement

CONSULTANTS AND ARCHITECTS CUP

CONTACT:

PUBLISHING DIRECTORRaz Islam +971 4 440 9129 [email protected]

COMMERCIAL DIRECTORMichael Stansfield +971 4 440 9128 [email protected]

MARKETING MANAGERCarole McCarthy+971 4 440 9157 [email protected]

GOLF DAYS

Big Project ME will be hosting a Buyer & Sponsor only Golf Day in

October. The aim is for you to meet the consultants and architects on a one

to one basis and network in a relaxed, fun-filled

environment!

24TH OCTOBER, 2013VENUE: EMIRATES GOLF CLUB, DUBAI.

FALDO COURSE

BPME Golf days_October_July_v1.indd 1 7/2/13 1:13 PM

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Special feature PUMPS bigprojectMe.coM

it’s only natural that when a visitor in

Dubai looks around at the high rise

buildings that make up the emirate’s

impressive skyline he focuses on

the architecture and the design of the

buildings. After all, there’s plenty to look

at and it’s the first thing to catch the eye.

But behind the bright lights and

shiny façades, there are arguably more

impressive engineering feats being done

in these buildings, and Big Project ME

decided to take a look at them and find

out how they operate.

One thing no building, or indeed

any habitable structure, could survive

without is water. It is vital to even the most

mundane of tasks in our day to day lives.

It’s vital that everyone has access to it, no

matter where they are.

So when you factor in that there are

buildings in Dubai that reach heights of

400m (or in the case of the Burj Khalifa,

double that), then the engineering feats

behind delivering water to the upper

reaches of these buildings becomes a

seriously impressive feat of engineering

and planning.

“On a high-rise building, we would

have what we call vertical, multi- stage

pumps. They’re pumps (designed) so

that basically, the discharge of one stage,

pump iT upBig Project ME examines how pumping systems are evolving to meet the needs of high rise buildings, while also striving to stay energy efficient and cut down costs

“on A hiGh riSE bUiLdinG, wE woULd hAvE whAt wE cALL vErticAL, mULti-StAGE PUmPS. thEY’rE PUmPS (dESiGnEd) So thAt bASicALLY, thE diSchArGE of onE StAGE, iS thE inLEt of AnothEr StAGE. YoU’vE thErEforE Got A mULtiPLiEr EffEct dUE to thE vErY hiGh PrESSUrE within A SYStEm”

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Special feature PUMPS

“if YoU tAKE A StAndArd PUmP thAt oPErAtES At 2,000rPm, thEn whEn thE PUmP KicKS in, it AUtomAticALLY hitS 2,000rPm And it miGht onLY comE onLinE for A fEw SEcondS to ProvidE wAtEr for SomEonE who iS mAYbE SwitchinG A tAP on. thEn whEn thE tAP iS cLoSEd, thE PUmP ShUtS itSELf bAcK off AGAin”

is the inlet of another stage. You’ve

therefore got a multiplier effect due to

the very high pressure within a system,”

explains Philip Hedigan, Sales and

Marketing director for Bin Moosa Daly,

a local, Abu Dhabi based pump supplier

that works with a number of international

pump manufacturers.

“In a typically large multi- storey

building, of 40 or 50 floors, you use

pumps that are located on the ground

floor, probably with a below ground tank

and vertical multi-stage pump units

that would provide enough pressure to

overcome gravity and get up to a storage

roof tank. If you’re looking at a very high

building, then what you do is, maybe

with the top two or three floors, is have a

pressurised system to provide pressure

to the top floor combination units, while

below those floors, you’d operate the

gravity system,” he adds.

Weighing 62.4 pounds per cubic foot,

water is significantly heavier than water.

Therefore, it needs a mass of 0.433 psi to

lift water one foot (62.4lbs/144in in feet).

In other words, one psi lifts water up by

2.31 feet.

While this may be seen as somewhat

irrelevant in a single storey building, when

extrapolated to a high-rise multi- storey

building, it becomes a crucial factor in

designing the entire layout of the water

distribution systems.

High rise design and construction

poses a number of special challenges to

pump system designers. One of the biggest

challenges relating to the design of the

systems is controlling the pressure.

This is where having variable frequency

drives and pressure switches can help a

building maintain a regular flow of water

through the different floors. variable speed

pumps can be used to regulate the flow of

water and reduce the amount of energy

used. Therefore, they can provide large

energy savings for buildings thanks to the

pump only using the power required to

meet the duty required of the system.

“What we recommend to clients is

the variable Frequency Drive,” says

Hedigan, “If you take a standard pump

that operates at 2,000RPM, then when

the pump kicks in, it automatically hits

2,000RPM and it might only come online

for a few seconds to provide water for

someone who is maybe switching a tap

on. Then when the tap is closed, the pump

shuts itself back off again.”

“When you have a variable Frequency

Drive, if a tap opens, the pump will open

up to 300RPM (for example), and then to

700 to 800 RPM if a second tap opens. So

you only have the speed of the motor that

you require,” he explains.

“It’s like having a car and driving it in

top gear all the time, and not bothering

about first or second gear. So when we

have a variable frequency drive, it’s

definitely more energy efficient, uses less

power and adds more life to the motor.

But to actually do that comes at a cost.”

And this is a crucial factor in the

uptake of the system, as Hedigan

hiGh-riSE hiGh PrESSUrETall buildings pose major challenges to pump system designers.

water caLcuLations

n 62.4 lbs weight of water per cubic foot

n 0.433 psi Mass of pressure needed to lift water one foot

n 2.31 ft distance water is lifted by one psi

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SPEcIaL fEaTUrE pumpS BigprOjecTMe.COm

says that he’s noticed that clients and

customers would rather not pay the

upfront capital cost and would instead

prefer to pay the running costs on the

day-to-day operation of a system.

However, he points out that this may

be changing thanks to international

regulations that have made energy

efficient motors a requirement for most

types of pump systems.

“The thing is that everything comes at

a cost, but we look at what we call MEPS,

which are motors that are more efficient

than normal pumps. They’re not required

in the UAE, but in lots of other countries,

they are,” he says, implying that this may

soon filter down into the country’s market

and industry.

He adds that there has been increased

emphasis on pump manufacturers

providing filtration systems with their

systems. Although this isn’t a requirement

yet, he says there has been significant

interest in the technology.

“If we’re asked to, we can also provide a

water filtration unit with activated carbon

and a polishing unit that will clean up the

water and take out some of the fluorides

and taste out of it, and also any suspended

solids in it. You can get into micro-

filtration as well, but typically, if we were

looking at standard villas, they typically

wouldn’t have that,” he explains. n

Indian energy saving firm, “Bijili Bachao!”

explains how a hydro-pneumatic pumping

system works.

whaT is a hyDrO pNeuMaTic Or pressure BOOsTer puMpiNg sysTeM?a hydro-pneumatic pumping system has

a ground level storage tank instead of an

overhead storage tank. Pressure sensors are

installed at various parts of the plumbing

in a building that make sure that there is

a constant pressure of water everywhere.

whenever a sensor senses that the pressure

is low, the pump close to the ground level

storage tank starts and pushes the water up to

the level where it is required. It maintains the

same pressure everywhere.

whaT is a TraDiTiONal graviTy BaseD sTOrage sysTeM?Traditionally most high-rise buildings have a

water storage tank at the top. Pumps installed

at the bottom of the building push the water

to the overhead tank. The pumps are run for

a few hours a day to ensure that the water is

adequate in the overhead tank. If right size

pump is used for a given load the pumps can

run close to the best efficiency point during

the time of operation. The distribution of water

from the overhead tank to the houses happens

though gravity (or the weight of water) and

there is no electricity required for the same.

challeNges wiTh a hyDrO-pNeuMaTic puMpiNg sysTeMat a high level a hydro pneumatic system

looks neat and sophisticated but the problem

is with the efficiency of the system.

In buildings we evaluated, every time anyone

opened a tap for water or used water in the

bathroom, the pumps got switched on.

we observed that it started and stopped

almost every 2 seconds. any pump takes

higher current to start up (6 to 7 times more

than stable operation) and since the pumps

were starting very frequently, the electricity

consumption was very high. Extra energy is

also required to achieve constant pressure

across the building.

The other drawback of such a system is

that it will not work in places where there

are frequent power cuts. from an energy

efficiency perspective, a hydro pneumatic

system is just too expensive to operate.

hydro pneumatic pumping system

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SPEcIaL fEaTUrE COaTiNGS BigprOjecTMe.COm

when it comes to preserving the

lifecycle of a building substrate,

one of the simplest and most

cost-effective ways of doing so

is to apply a protective coat to it. Over the

years, there has been many advancements

in coating technology which have brought

numerous benefits to the structures that

they’re applied to.

Not only can they increase and protect

the substrate, but they can also help

reduce emissions, increase efficiency and

help improve indoor air quality.

Furthermore, the technology has

advanced to such an extent that exteriors

and interiors made of different materials

can now be coated in a protective

covering, and in various colours and hues,

to suit the design of a building.

This is especially true of metalwork,

which has long been a particular bugbear

for contractors, who have been unable to

customise them to meet the requirements

set out by their clients.

“Advances in coating technology mean

that metal ceilings can be provided with

anti-bacterial coatings, which are applied

during manufacture,” says Andrew

Jackson, a director at SAS International, a

British manufacturer of interior products.

“Such coatings effectively inhibit the

growth of micro-organisms and control

potential risk when used in conjunction

with routine cleaning procedures.

They are suited to various applications

including hospitals, laboratories and

schools.”

In addition, coatings can also be

used to protect systems and units that

Big Project ME finds out how protective coatings can help preserve the lifecycle of structures, while also providing additional benefits that contribute towards efficiency and sustainability

a prOTECTivE COaT

“SUch coAtinGS inhibit thE Growth of micro-orGAniSmS And controL PotEntiAL riSK whEn USEd in conJUnction with roUtinE cLEAninG ProcEdUrES”

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“USinG chromE-bASEd PrimErS iS cArcinoGEnic in nAtUrE And iS cAUSinG hEALth concErnS in EUroPE”

exhibit varying temperatures, such as air

conditioning units.

One such material is HvAC paints,

which works in conjunction with electro-

galvanisation to increase the performance

and life expectancy of air conditioning

units by a considerable distance. The

constant flow and convergence of hot

and cold air causes damage to the base

material of the main metal unit.

Traditionally, prior to applying a prime

coat of HvAC paint to the unit, painters

would apply a zinc epoxy primer to the

unit by either brushing or spraying.

The primer consists of 3% to 4% of zinc

content in the undercoat, which is then

mixed with promoters, resins, solvents

and more.

“When you put a layer of electro-

galvanized zinc on the component, you

are putting on 7 – 20 microns of pure zinc

as an undercoat. Although this is seen as

an extra cost, treating the base material

in this way will enhance the overall life

of the component,” says Rajeev Daswani,

managing director of Marami Metal

Plating, a firm based in Dubai.

The process of electro-galvanising

forms an electrical bond between the

zinc and the metal from the unit being

coated, allowing for better surface

adhesion. Furthermore, there is increased

tensile strength and compared to other

alternatives, it is extremely eco-friendly.

“An alternative to zinc coating is

chrome, which is still being done

today in the region,” says Daswani.

“However, using chrome-based primers

is carcinogenic in nature and is causing

health concerns in Europe. We would

highly recommend that people opt

for zinc epoxies as it is proven to be

significantly effective in corrosion

resistance and safe across all industries

regardless of its use.”

In the long run, Daswani states that

HvAC painted units can significantly

benefit from extremely strong three-fold

protection by first electro-galvanising

the unit, then adding a thin layer of zinc

epoxy primer and then finish with a coat

of HvAC paint.

Another benefit of electro-galvanising

the base metal is that painters can reduce

or even eliminate the amount of zinc

primer that is sprayed or brushed on the

component, reducing costs, whilst still

providing optimal protection.

“Initially, there will be an incremental

cost to maximize protection of the units

with these three steps, however in the long

run, performance increases, inevitable

corrosion is delayed, and the aesthetic

finish is close to perfect,” he adds.

Andrew Jackson points out that this

increase in longevity has additional

benefits for buildings and developers.

“Interior metal ceiling solutions have

a lifespan in excess of 25 years with

only the need for basic maintenance,”

he says. “At the end of their life they

can be recycled into new virgin steel

without any loss of properties and can

count towards accreditation such as

lEED environmental credits. They offer

an inert and inherently hardwearing

surface, making metal ceiling systems

both hygienic and requiring little ongoing

maintenance,” he says.

“Polyester powder coated metal

ceilings are not susceptible to the

hvac paint

n Zinc primer 3% to 4% of zinc content in primers

n 7-20 microns amount of pure zinco in undercoats

n increased lifecycle of units can be gained using Hvac paints

n corrosion protection Hvac paint delays inevitable corrosion

coAtinG ProtEctionCoatings can significantly increase a project’s lifecycle.

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paint chipping and accidental damage

normally associated with alternative

ceiling finishes. less wastage and speed of

installation are key benefits for a fit-out.”

“As the ceiling void needs to be

accessed for maintenance of integrated

services metal provides a long-lasting and

durable option for ceiling tiles. Approved

powder coatings on metal mean that the

paint finish can be guaranteed for 30-40

years, and this can count towards credits

such as lEED and Estidama’s Pearl rating

systems,” he explains further.

“If architects and contractors work

closely with manufacturers like SAS

International it is easier to ensure their

design and performance specifications

are met. Providing long-term value of any

product balanced with environmental

credentials and greater design flexibility

to meet occupant comfort demands is

essential.”

Hans Monsebakken, a general

manager at Jotun Powder Coatings,

adds that his firm has been focusing

on the development of powder coating

technology that works on different

substrates. Of particular interest, he says,

is heat reflective powder coatings that are

showing promising results in the lab.

“We have heat reflective powder

coatings that we launched about two

or three years ago. For this region

(the Middle East), it’s clearly the most

beneficial,” he explains.

““Current efforts made by our Research

and Development (R & D) team are

focused on seeing how heat reflection can

help in energy reduction. Surfaces where

our heat reflective paints and coatings

are applied have demonstrated a 5 to 10

degree drop in temperature. The concept

here is lesser heat equals to savings on

cooling energy and electricity cost.””

Monsebakken adds.

He adds that Jotun has been looking

at launching a number of sustainable

and eco-friendly coatings that will help

their clients meet their lEED and other

sustainable requirements.

“Energy efficiency has always been a

significant factor and key consideration in

developing our products. Jotun is looking

at working closely with façade consultants

and industry experts to find out the

percentage of electricity saved when using

our products.”

“Our current range of powder coatings

and paints reflect the new innovations

that we have introduced in today’s

markets. One of our key objectives is to

come up with products that can undergo

the process of curing at low temperatures,

which in turn, allows users to save energy

at the time of application,” Monsebakkan

adds in conclusion. n

jotun reveaLs edge

Jotun has launched a new range of

powder coatings it calls ‘reveal Edge’,

which are specially formulated to ‘bring

distinct visual character, colour and

personality’ to interiors.

The reveal Edge range comprises of 20

vibrant metallic colours under four main

themes, including matt and sparkle effects.

Michele azouri, project manager -

Industrial at Jotun Powder coatings Middle

East, says that the new range taps into a

growing trend amongst regional designers

to ‘inject personality into their home

appliances and products, for display as

forms of art’.

Jotun believes that this category has the

potential to grow with the demand for

new housing and increased relocations

amongst the region’s cities.

“wE’rE trYinG to LAUnch Low tEmPErAtUrE cUrE ProdUctS which hELP YoU SAvE EnErGY At thE timE of APPLicAtion”

Big Project ME, the region’s leading monthly B2B magazine for the construction industry, is proud to announce the GCC 2014 Construction Book

PROFILE OPTIONS AND ADD-ONS AVAILABLE - CONTACT US NOW

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Michael Stansfield | +971 4 440 9128

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SALES MANAGER

Carol D’Souza | +971 4 440 9163

carol.dsouza]@cpimediagroup.com

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Now in its 4th edition, the GCC 2014 CONSTRUCTION BOOK will be a celebration of the very best companies in their respective fields of expertise. Ensure that your company is the first to secure exclusivity in your category.

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BPME2013AWARDS_June(1).indd 1 7/2/13 9:54 AM

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COMMENT HEALTHCARE

in a departure from the predominantly

real estate focus of previous years, the

GCC countries are currently investing

in housing, healthcare and education

for their young and growing populations.

Both Saudi Arabia and Kuwait are

exploring ways of improving and investing

in their social infrastructure.

Healthcare facilities have come

under the spotlight for both countries.

Increasing life expectancy, together

with the Middle East’s high prevalence

of non-communicable diseases such

as cardiovascular disease, diabetes and

obesity, are putting considerable pressure

on existing systems of care. Preventative

and primary care are therefore seen as

priority areas for the future.

In Saudi the Ministry of Health covers

more than 60 per cent of healthcare

expenditures and is encouraging more

private sector involvement by providing

grant assistance through the Ministry of

finance to private healthcare companies.

A number of international healthcare

providers are interested in moving into

the buoyant Saudi market to capitalise on

the growing middle class and to provide

an alternative to Saudi’s going overseas for

‘medical tourism’. In Kuwait the healthcare

sector is undergoing rapid expansion,

with the government currently spending

an additional US$178 million to upgrade

existing hospitals.

Governments in the Middle East are

increasingly turning to the private sector

for support in developing and delivering

large scale projects. There is huge potential

and growing appetite for Public Private

Partnership (PPP), which has to date been

popular in the services and utilities sectors.

Both Kuwait and Saudi are now exploring

ways of mobilising PPP to develop their

social infrastructure.

There are a range of economic,

social and political motivations for

developing PPPs including the sharing

or apportionment of risk, the integration

of specialist skill sets, culminating in

improved efficiency, as well as the

provision of a recognised investment

vehicle conducive to the attraction of

private sector investment.

The Middle East impetus is less funding-

related and more focused on PPP’s key role

in delivering projects more efficiently. PPP

also promotes knowledge transfer to the

local economy and Kuwait in particular

is actively keen on this. The long-term

commitment from international and

local companies is critical to develop PPP

facilities and operate them successfully.

like other countries that have achieved

success with PPP, the Middle East will need

to build its own specific PPP models based

on local requirements. n

Improving HealthcareGovernments in the Middle East are stepping up to the challenge of delivering much needed social infrastructure. Faithful+Gould’s Campbell Gray explains how.

cAmPbELL GrAY

Campbell Gray is responsible for

Faithful+Gould’s operations in the Middle

East region, with 20 years of technical

advisory experience across infrastructure,

energy, hospitality, health, education

and property sectors. He’s currently been

elected a Fellow of the Royal Institution of

Chartered Surveyors (RICS).

Prior to joining the ME business, Campbell

held the position of International PPP

Director, with expertise on all three sides

of the transaction process including; public

sector advisory, consortia and funders.

gcc heaLthcare spend

n $43.9 billion Projected value by 2015

n 11% Projected annual rate of growth

n $25.6 billion Market value in 2010

n 93,992 Projected demand for hospital beds in 2013

60 JULY 2013MID

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TENDERS bigprojectMe.com

toP tEndErSbUdGEt $1,100,000,000

clieNT ministry of transport & communication (iraq)

regiON Kurdistan, iraq

DescripTiON construction of 58-kilometre-long tramway system for Sulaimaniyah

sTaTus new tender

prOjecT NaMe: JEBEL aLI THEME EnTErTaInMEnT dEvELoPMEnT ProJEcT

bUdGEt $2,700,000,000

clieNT meraas development (dubai)

regiON dubai, UAE

DescripTiON development of five different theme parks in Jebel Ali area to promote tourism

sTaTus new tender

prOjecT NaMe: vIcEroY rESorT ProJEcT - PaLM JUMEIraH

bUdGEt $272,000,000

clieNT SKAi holdings Ltd (dubai)

regiON dubai, UAE

DescripTiON construction of viceroy resort com-prising (481) rooms and (221) residences, including (10) restaurants, an 800-square-metre spa, a 350sqm gymnasium, a 106-metre swimming pool and a beach club

sTaTus current Project

prOjecT NaMe: SULaIManIYaH TraMwaY SYSTEM ProJEcT

bUdGEt $200,000,000

clieNT new medical centre Group - nmc (Abu dhabi)

regiON Abu dhabi, UAE

DescripTiONconstruction of new medical centre (nmc) Specialty hospital comprising basement and ground floors, as well as three upper floors, capable of accommodating (250) beds, offering (170) beds, seven operating rooms.

sTaTus current ProjectprOjecT NaMe: BaHraIn - SaUdI araBIa raILwaY LInE

bUdGEt $5,000,000,000

clieNT bahrain Government

regiON bahrain

DescripTiON construction of a 90-kilometre-long railway line linking bahrain and Saudi Arabia

sTaTus new tender

prOjecT NaMe: nMc SPEcIaLTY HoSPITaL ProJEcT - kHaLIfa cITY

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uae

DuBai fraMe TOwer prOjecT - ZaBeel park

prOjecT NuMBer nPr026-UTerriTOry dubai, UAEclieNT NaMe dubai municipalityaDDress deiraciTy dubai pOsTal/Zip cODe 67cOuNTry United Arab EmiratesphONe (+971-4) 206 4620 / 324 3666 / 206 3030/800 900fax (+971-4) 221 0530 / 324 7465 / 224 8026eMail [email protected] www.dm.gov.aeDescripTiON construction of dubai frame (Al berwaz) tower, a window-shaped, 150-metre by 105-metre complete glass, transparent structure resembling a huge window frameperiOD 2014 sTaTus new tenderMaiN cONsulTaNT hyder consulting middle East Ltd (dubai)fOuNDaTiONs, eNaBliNg & piliNg cONTracTOr bin Ladin contracting Group LLc (dubai) TeNDer caTegOries Leisure & Entertainment, Prestige buildingsTeNDer prODucTs high-rise towers, museums/Art Galleries

saaDiyaT rOTaNa resOrT prOjecT

prOjecT NuMBer mPP743-UTerriTOry Abu dhabiclieNT NaMe rotana hotels, Suites & resorts (Abu dhabi)aDDress 7th floor, East wing, Abu dhabi mallciTy Abu dhabi pOsTal/Zip cODe 45200cOuNTry United Arab EmiratesphONe (+971 2) 699 4444fax (+971-2) 699 4445eMail [email protected] www.rotana.comDescripTiON construction of 5-star Saadiyat rotana resort comprising (354) rooms and (13) beach villasperiOD 2015 sTaTus new tenderMaiN archiTecT Gazi Awad Architects & Engineers (Abu dhabi)prOjecT MaNager Ec harris international Limited (Abu dhabi)TeNDer caTegOries construction & contracting, hotels, Leisure & EntertainmentTeNDer prODucTs hotel construction, villas construction

sauDi araBia

riyaDh NaTiONal aQuariuM prOjecT - kiNg aBDullah fiNaNcial DisTricT

prOjecT NuMBer mPP2669-SA

TerriTOry Saudi ArabiaclieNT NaMe Arriyadh development Authority (Saudi Arabia)ciTy riyadh 11614 pOsTal/Zip cODe 94501cOuNTry Saudi ArabiaphONe (+966-1) 488 3331fax (+966-1) 482 9331eMail [email protected] www.ada.gov.saDescripTiON construction of riyadh national AquariumclOsiNg DaTe July 13, 2013 sTaTus new tenderDesigN cONsulTaNT cambridge Seven Associates inc. (USA)TeNDer caTegOries construction & contracting, Leisure & EntertainmentTeNDer prODucTs civil works, construction & Addition works

alDara hOspiTal & MeDical ceNTre prOjecT

prOjecT NuMBer nPr025-SATerriTOry Saudi ArabiaclieNT NaMe Aldara medical corporation (Saudi Arabia)ciTy riyadh 11431 pOsTal/Zip cODe 1105cOuNTry Saudi ArabiaphONe (+966-1) 463 1667fax (+966-811) 142 9679eMail [email protected] www.aldarahospital.comDescripTiON construction of six-storey Aldara hospital & medical centre covering a total built-up area of 107,000 square metresBuDgeT $110,000,000 periOD 2015

MIddLE EaST tEndErS prOviDeD By

Tel +9712-6348495web www.MiddleEastTenders.com

email [email protected]

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sTaTus current ProjectMaiN cONTracTOr Arabtec construction L.L.c (Saudi Arabia)TeNDer caTegOries construction & contracting, medical & healthcareTeNDer prODucTs construction & Addition works, hospital construction

MeDiNa MeTrO prOjecT

prOjecT NuMBer mPP2757-SATerriTOry Saudi ArabiaclieNT NaMe madinah development Authority (Saudi Arabia)ciTy madinah cOuNTry Saudi ArabiaDescripTiON construction of an urban metro system in medina aimed at easing congestion in the holy city during the pilgrimage seasonBuDgeT $1,000,000,000 sTaTus new tenderDesigN cONsulTaNT Khatib & Alami consolidated Engineering company (Saudi Arabia)DesigN cONsulTaNT 2 istanbul Ulasim (turkey)TeNDer caTegOries Public transportation ProjectsTeNDer prODucTs metro

OMaN

sulTaN QaBOOs MeDical ciTy prOjecT

prOjecT NuMBer biP147-oTTerriTOry omanclieNT NaMe ministry of health (oman)aDDress opposite Khoula hospital, bldg no. 105

ciTy muscat Pc 113 pOsTal/Zip cODe 393cOuNTry omanphONe (+968-24) 602 177fax (+968-24) 602 647weBsiTe www.moh.gov.omDescripTiON construction of Sultan Qaboos medical city comprising more than (2,000) beds and five specialist tertiary hospitalsBuDgeT $1,000,000,000 sTaTus new tender TeNDer caTegOries construction & contracting, medical & healthcareTeNDer prODucTs hospital construction

QaTar

leD lighTiNg sysTeMs facTOry prOjecT

prOjecT NuMBer biP139-QTerriTOry QatarclieNT NaMe Qatar intermediate industries holding company Ltd. (Qatar)

aDDress Q-tel tower, diplomatic Area, west bayciTy doha pOsTal/Zip cODe 23224cOuNTry QatareMail [email protected] www.qatarholding.qaDescripTiON construction of a light-emitting diode (LEd) lighting systems factory.BuDgeT $36,000,000 periOD 2014 sTaTus new tenderTeNDer caTegOries industrial & Special Projects, Power & Alternative EnergyTeNDer prODucTs factories

BahraiN

warehOuse DevelOpMeNT prOjecT - BahraiN iNvesTMeNT wharf

prOjecT NuMBer biP146-bTerriTOry bahrainclieNT NaMe majaal warehouse company (bahrain)aDDress bahrain investment wharf, hidd

ciTy manama cOuNTry bahrainphONe (+973) 1756 7553fax (+973) 1756 7554eMail [email protected] www.majaal.comDescripTiON construction of a warehouse spanning a land area of 252,000 square feet, which will serve as a new distribution centreBuDgeT $45,000,000 periOD 2014 sTaTus current ProjectMaiN cONsulTaNT mohammed Salahuddin consulting Engineering bureau - mScEb (bahrain)DesigN cONsulTaNT mohammed Salahuddin consulting Engineering bureau - mScEb (bahrain)cOsT cONsulTaNT baker wilkins & Smith (bahrain)MaiN cONTracTOr Abdulaal construction Services (AcS) – bahrainTeNDer caTegOries construction & contractingTeNDer prODucTs warehouse construction

64 JULY 2013MID

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DaliaN suMMer real esTaTe fair 2013daLIan, cHInajuly 18 – 22, 2013The largest scale and most influential real estate expo in the North of china that promotes national brand real estate, as well as being a bridge for the overseas real estate establishments to march into china. attending the fair will bring exhibitors considerable economic and social benefit.

4Th MODular cONsTrucTiON aND prefaBricaTiON 2013BrISBanE, QUEEnSLand, aUSTraLIajuly 23 – 24, 2013Modular construction and prefabrication 2013 will explore modular project delivery and how this can be utilised across a range of sectors. if you want to discover and understand the many benefits of modular construction, prefabrication and the risk mitigation strategies deployed to optimise project quality, shorten timelines and minimise

project risk, then this event is for you.

perfOrMaNce excelleNce fOr cONsTrucTiON aND eNgiNeeriNgaTLanTa, GEorGIa, USajuly 24 – 25, 2013join Big Data iQ at the performance excellence for construction & engineering conference where thought-leaders and top performing construction and engineering firms will share key insights and strategies to help you achieve performance excellence in your organizations.

MODular cONsTrucTiON aND prefaBricaTiON asiaSInGaPorEjuly 31 – augusT 1, 2013it is the objective of this event to bring together decision makers and influential personnel from across south east asia and australia in order to directly assess and confront the most daunting industry challenges.

The 15Th chiNa iNTerNaTiONal BuilDiNg aND DecOraTiON fairGUanGzHoU, cHInajuly 8 – 11, 2013The number one trade show for interior decoration and materials in asia, with more than 320,000sqm of exhibition area. There are five sub-shows and nine pavilions, with more than 2,400 exhibitors. approximately 120,000 visitors, from around 50 countries, visit the show annually.

4Th ecO-frieNDly Office/ecO-frieNDly facTOry expOTokYo, JaPanjuly 10 – 12, 2013eco-Office / eco factory expO is a professional exhibition of negotiations energy-saving and power-saving measures. This exhibition is a place of great that you can compare and introduction consultation on the spot all the energy-saving and power-saving measures products and services. in addition, it set up a special three zones, including energy-saving lighting.

BuilDiNg aND hOMe iMprOveMeNT expO 2013MELBoUrnE, vIcTorIa, aUSTraLIajuly 12 – 14, 2013The Build & renovating expo showcases the latest trends, building technologies and innovative products by industry leaders specialising in: bathrooms, kitchens, flooring, lighting, heating/cooling, doors and windows, energy efficiency & solar products, roofing, fencing & gates, building materials, pools & spas, sustainability solutions and more.

InternatIonal

HaPPEnInG THIS MonTH...

BOOK YOUR STAND TODAYTo enquire about exhibiting email Patrick Gedeon on [email protected] or call +971 (0)4 445 3639

www.thebig5.ae/bp9

Gold Sponsor Free Zone PartnerDiamond Sponsor Organised byPlatinum Sponsor

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00509_Big5_Dubai_2013_Big_Project_ME_Magazine_224x280mm.ai 1 6/19/13 11:53 AM

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GAvin dAvidS

HAvING SPENT A week in Brazil last

month, touring the Mané Garrincha

Stadium and other assorted projects

currently underway in Sao Paulo, Brasilia

and Rio de Janeiro, it’s with some interest

that I’ve been viewing the demonstrations

that have broken out across the South

American country.

The concerns that have been put

forward by the Brazilian people are very

real and hold the government and leaders

of the country to an uncomfortable truth.

Just what will be the long term benefit

of the World Cup and Olympics to the

country and its people?

While FIFA and the IOC has often sold

its premier event as a force for good, the

reality is that host nations often end up

massively in debt and forced to tighten

their belts economically. According to

data collected by the BBC, South Africa’s

World Cup saw FIFA rake in revenue of

$3.2 billion on a budget of $1.23 billion.

Meanwhile, South Africa’s budget for

the event was a mammoth $5.3 billion,

or 1.72% of GDP....on one month-long

event. This included building and

redeveloping stadiums, creating new

transport infrastructures and upgrading

the country’s security systems.

This is what Brazil’s people are

protesting about. While these sporting

events are massive prestige building

exercises, there needs to be tangible long

term benefits from them. Otherwise, the

money could be better spent on education,

healthcare and other social benefits.

This is what Qatar must realise as it

continues to build for the 2022 World Cup.

The need for transport infrastructure is

vital in the Gulf state and the growth of its

planned public transport network must

continue on past the World Cup.

Right now, a lot of what I’m hearing

from Qatar seems to be short term

thinking. ‘Get everything sorted out for

the World Cup and worry about the rest

later,’ is the general attitude and that is

deeply worrying for the future.

Yes, Qatar deserves to hold the event

and it should be given every opportunity

to prove that it can, and I’m confident

that it will. But equally importantly, the

country needs to ensure that its people

benefit from the work that’s gone into the

building for the World Cup.

This is why Brazil matters to Qatar. We

need to look at what is happening there as

a wakeup call. Sometimes, there’s more to

life than football. n

Gavin Davids says that the protests going on in Brazil are a wakeup call to Qatar about its own priorities when it comes to hosting the 2022 World Cup

Why Brazil Matters

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