Iran plans to build small-scale power plants in the north

Iran plans to build small-scale power pl…

Tuesday, 20 February 2018 06:23

Iran’s Energy Ministry has launched plans to establish 40 small-scale power plants with distributed generation systems in the Northern provinces of Mazandaran and Golestan with the help of the private...

Oman names advisors for privatising five power firms

Oman names advisors for privatising five…

Tuesday, 20 February 2018 06:16

Oman’s state-owned electricity holding firm, Nama Holding, has appointed a consortium of advisors, jointly led by London Economics and Lazard Freres, to privatise its five subsidiary power distribution and transmission...

Coperion Middle East opens new service centre in Al Jubail, Saudi Arabia

Coperion Middle East opens new service c…

Tuesday, 20 February 2018 06:00

Coperion Middle East Co, Ltd has opened a new facility in the Jubail 2 district with a two day customer event in early February 2018

JinkoSolar and Marubeni’s Sweihan project wins MESIA award

JinkoSolar and Marubeni’s Sweihan projec…

Monday, 19 February 2018 06:27

The record-breaking 1,177MW Sweihan project, co-developed by JinkoSolar, Marubeni, and the Abu Dhabi Electricity and Water Authority (ADEWA), won ‘Large Scale Solar Project of the Year’ by the Middle East...

Abu Dhabi Ports opens ME’s first Port Digital Innovation Lab

Abu Dhabi Ports opens ME’s first Port Di…

Monday, 19 February 2018 06:21

Abu Dhabi Ports has launched the first Port Digital Innovation Lab, as part of its commitment to innovation, through providing a platform for creative minds in the UAE to develop...

Volvo CE’s electric compact excavator prototype wins INTERMAT Innovation Award

Volvo CE’s electric compact excavator pr…

Sunday, 18 February 2018 06:36

Volvo Construction Equipment’s (Volvo CE) electric compact excavator prototype, the EX2, has won equipment and machinery award at the INTERMAT Innovation Awards in the earthmoving and demolition category

Iraq receives US$30bn aid to rebuild economy

Iraq receives US$30bn aid to rebuild eco…

Sunday, 18 February 2018 06:33

International donors and investors have pledged US$30bn to help Iraq rebuild its economy after its massive war against the Islamic State group

Voltalia to build two hydropower plants in Morocco

Voltalia to build two hydropower plants …

Sunday, 18 February 2018 06:02

Voltalia, a renewable energy producer and service provider, has obtained permits to develop two hydropower plants of 9.8MW and 7.2MW in Morocco’s Middle-Atlas region

Konecranes receives first CXT Explorer order from Johnson Arabia LLC

Konecranes receives first CXT Explorer o…

Thursday, 15 February 2018 10:44

Konecranes has received the first CXT Explorer order from Johnson Arabia LLC in Dubai to deliver one unit with two containers

Dubai launches 26 government projects under ‘Dubai 10X’ initiative

Dubai launches 26 government projects un…

Thursday, 15 February 2018 06:16

Dubai has launched 26 projects to be undertaken by 24 Dubai government entities under ‘Dubai 10X’ initiative, aiming to transform government operations and enhance their flexibility

Siemens signs MoU with Kuwait to push digital transformation

Siemens signs MoU with Kuwait to push di…

Thursday, 15 February 2018 06:00

Siemens will provide technical education for local workforce in Kuwait through Siemens Power Academy and Siemens Training for Industry Siemens has taken its knowledge-sharing commitment to Kuwait up a notch and...

Disruptive future technologies take centre stage at Autodesk’s inaugural Futures’ Forum in Saudi Arabia

Disruptive future technologies take cent…

Thursday, 15 February 2018 04:32

Autodesk hosted its first Saudi edition of the Futures’ Forum at the Four Seasons Hotel in Riyadh on 14 February 2018

Serco wins facilities management contract in Abu Dhabi

Serco wins facilities management contrac…

Wednesday, 14 February 2018 06:46

Serco, an international service provider of outsourced services, has received a contract from Aldar Properties PJSC to deliver integrated facilities services for various Aldar properties in Abu Dhabi

PDO and GlassPoint inaugurate Miraah solar plant in Oman

PDO and GlassPoint inaugurate Miraah sol…

Wednesday, 14 February 2018 05:31

Petroleum Development Oman (PDO) and GlassPoint Solar have inaugurated the Miraah solar plant, located at the Amal oilfield in the south of Oman, which will be among the world’s largest...

ABB launches string inverter to reduce operational costs for solar installations

ABB launches string inverter to reduce o…

Tuesday, 13 February 2018 06:56

ABB, the global provider of electrification products, robotics and motion, has introduced new PVS-100/120 range of cloud connected, three-phase string inverter solutions for decentralised photovoltaic systems

Wärtsilä to support operation at Turbah power plant in Saudi Arabia

Wärtsilä to support operation at Turbah …

Tuesday, 13 February 2018 06:34

Wärtsilä and Saudi Arabia-based Hail Cement Company have announced to continue their co-operation by renewing three-year asset management agreement for Hail Cement Company’s power plant in Turbah, Saudi Arabia

GCC construction surveyed ahead of Big 5 opening

GCC-construction-survey-Big-5-openingThe Big 5 will be co-located with PMV Live and Middle East Concrete.As The Big 5 rolls back into town, Technical Review takes a look at recent research carried out by Ventures Middle East on the growing amount of investment in infrastructure projects throughout the GCC region

Despite the “weak rhythm” in energy prices, a sound future for the region’s construction industry has been forecast by Abu Dhabi-based business consultancy Ventures Middle East in a report specially commissioned by the organisers of The Big 5 exhibition ahead of this year’s opening in Dubai on 17 November.

According to the report, GCC construction market 2014 – The boom, challenges and future outlook, countries within the GCC are being “perceived by global investors as a safe haven for international investment”.

When combined with a more recent Ventures Middle East report entitled GCC infrastructure market 2014 the results reveal that the good times may be set to return for the region’s construction industry.

Apart from the usual reasons for such confidence, the analysts cite preparations well under way for World Expo 2020 in Dubai and the FIFA World Cup 2022 in Qatar.

They also cite the general diversification of individual national economies, the construction of facilities for the increasing number of world-scale cultural and entertainment events, the growth of tourism in all its forms including religious, and the rapid expansion of a GCC-wide overland transport network with a particular focus on moving freight.

In a snapshot taken in May 2014, the current construction workload has been summed up by Ventures Onsite Projects’ database as Saudi Arabia accounting for 45 per cent of the total value of projects across the GCC, the UAE responsible for 31 per cent of projects across the community and Qatari projects accounting for 10 per cent of the total value. Together, projects in Bahrain and Kuwait add up to nine per cent.

Grouped together by value, ongoing buildings and infrastructure projects by country are listed as (infrastructure in brackets, all in US$ millions):

• Saudi Arabia: 787,101 (163,402)
• UAE: 621,788 (95,121)
• atar: 138,187 (103,022)
• Kuwait: 70,476 (32,871)
• Oman: 52,411 (32,121)
• Bahrain: 49,798 (14,270)

Aggregated construction contracts awarded by each country last year alone were: KSA – US$77,137mn; UAE – US$40,338mn; Qatar – US$18,022mn; Kuwait – US$11,169mn; Oman – US$10,922mn; and Bahrain – US$3,069mn.

“Contractor awards in the buildings and infrastructure sectors alone was US$119.05bn in 2013 and is anticipated to reach nearly US$134.11bn by 2014,” the mid-year report states. The UAE’s share of buildings and infrastructure-only awards of this amount is expected to reach US$37.8bn this year.

A list of key ‘movers and shakers’ in the period 2015 and beyond was also provided, which includes the preparations for World Expo 2020 in Dubai, the world’s tallest commercial tower in the same city, the revival of Kuwait’s Causeway project connecting Shuwaikh Port to the city, and the finalisation of work on the landmark Kingdom Tower in Jeddah.

“Regional and transportation linkages [are] the key to maximising growth potential of the GCC,” the authors say. But all of this will come at a price, including heavy demand on both building materials and labour.

No such single-sector report would be complete without a “Looking ahead” conclusion, presented in this case as a handy ‘check list for GCC construction market participants' based on simple tick-box questions designed for participants from overseas in particular.

As summarised by Technical Review, these include:

• Are you already licensed to do business here, with identified agents/distributors in place?
• Are your products specified with the professionals – architects and consultants – in the region?
• Is your company/its products and services registered with major government project owners?
• Are you registered with relevant government entities such as the Health Authority and those responsible for updating the Building Code?
• Have you established contacts with local contractors?
• Is your after-sales service and support mechanism in place?
• Do you have a marketing plan that demonstrates and showcases your products at events like The Big 5?

All in all, just what the visitor from overseas to the largest construction event held anywhere in the Middle East needs in the form of a concise background briefing.

The more recent of the two reports from Ventures ME, focusing specifically on rail transport, roads, airports, other ports and Free Trade Zones (FTZs), predicts that more than US$45bn of infrastructure contracts will be awarded by the end of the current year – twice the level of business achieved back in 2012.

The study says that US$97bn worth of rail contracts are already under way as the 2,100+ km GCC rail network aims for completion towards the end of the current decade. Spend on GCC airports over the next five years will approach US$300bn, while investment in seaports will be of the order of US$25bn. Doha’s New Port project, for example, should be completed in 2020, well in time for deliveries associated with the 2022 FIFA World Cup.

A vital part of most GCC countries’ infrastructure development takes place within FTZs, the consultants point out, with the UAE being the best example.

With this in mind, companies set to attend this year’s Big 5 exhibition at Dubai World Trade Centre will be looking to benefit from attending the show.

Alain Charles Publishing, University House, 11-13 Lower Grosvenor Place, London, SW1W 0EX, UK
T: +44 20 7834 7676, F: +44 20 7973 0076, W: www.alaincharles.com

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