Background Story

 

A prominent shopping mall in the UAE, known for its large-scale retail, entertainment, and hospitality offerings, faced increasing energy costs and operational inefficiencies. The mall management sought to implement a comprehensive energy efficiency strategy to optimize performance, reduce costs, and enhance sustainability. Ark Energy was engaged as the energy consultant to lead the project, overseeing the process from feasibility assessment to implementation and verification.

Problems
 

• High energy consumption due to outdated HVAC and lighting systems
• Rising maintenance costs for inefficient chillers and cooling systems
• The need for an optimized water management system
• Ensuring minimal disruption to mall operations during implementation

Main Objective
 

• Reduce energy consumption through the implementation of high-impact Energy Conservation Measures (ECMs)
• Enhance operational efficiency by optimizing cooling, ventilation, and lighting systems
• Lower maintenance costs by replacing outdated equipment with modern, energy-efficient alternatives
• Ensure financial viability through a performance-based contracting model with guaranteed savings
• Improve environmental sustainability by reducing the mall’s carbon footprint and water consumption

Approach


 

Ark Energy supervised the energy efficiency and solar project from auditing and contracting to implementation. The project focused on:
 

• Business Case Assessment: Conducted a Preliminary Energy Audit (PEA) to benchmark energy performance, identify inefficiencies, and assess the savings potential

• Tendering & ESCO Selection: Developed a Request for Proposal (RFP) and facilitated a competitive tendering process to select an ESCO capable of delivering guaranteed savings

• Supervision of Investment Grade Audit (IGA): Once the ESCO was selected, Ark Energy supervised the IGA process, ensuring a detailed analysis of the mall’s major energy-consuming systems. The audit confirmed significant opportunities for energy and cost savings

• Third-Party M&V Audit: Ark Energy conducted independent Measurement & Verification (M&V) audits during the contract term to ensure sustained energy savings and performance optimization
  
   

ESPC Contract Execution & Project Implementation: Based on the IGA findings, an Energy Savings Performance Contract (ESPC) was executed. Ark Energy oversaw the implementation of key Energy Conservation Measures (ECMs), including:

 

• Chiller Replacement – Upgrading 10 chillers to high-efficiency models, resulting in 4 million kWh savings annually

• Lighting Retrofit – Replacing conventional lighting with energy-efficient LEDs, saving 1.7 million kWh per year

• Cooling Tower Optimization – Implementing advanced cooling strategies to enhance efficiency

• Ice Rink Chiller Replacement – Installing a modern, energy-efficient system to optimize ice rink operations

• Water Optimization – Introducing demand-based sequencing for domestic water usage, saving 16,287 m³ annually

• Digital Energy Management – Deploying monitoring systems to track and optimize energy performance in real time
  
  
   

Results

 

The results that were generated from the project include the following:

 

• Cost Savings: 3.2 mAED per year

• Payback Period: 5.3 years

• Overall Energy Reduction: Significant decrease in HVAC and lighting consumption

• Extended Equipment Life & Reduced Maintenance Costs