DUBAI DEMAND SIDE MANAGEMENT STRATEGY Introduction and Progress To Date
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1 DUBAI DEMAND SIDE MANAGEMENT STRATEGY Introduction and Progress To Date August 2014 ENERGY & UTILITIES
2 The Dubai Integrated Energy Strategy 2030 DSM is part of the Dubai Integrated Energy Strategy 2030 Demand Side Management Targets Electricity consumption savings: 30% by 2030 vs. BAU Water consumption savings: 40%+ by 2030 vs. BAU DIES 2030 Supply Side Targets (Energy Mix) Solar share: 5% by 2030 Clean coal share 12% by 2030 Nuclear share 12% by
3 Context for the DSM strategy The strategy fits with a series of initiatives in Dubai and UAE How the DSM Strategy fits UAE and Dubai strategy National agenda 2021 vision Promoting sustainable environment and information Green strategy Unifying building codes and other sustainable regulations EXPO 2020 Preparing for a new wave of growth DIES 2030 & DSM strategy Making Dubai a role model in energy efficiency and security Smart Dubai Making Dubai one of the smartest cities in the world Promotes energy conservation by affecting consumption behaviours Creates additional jobs and capabilities through efficiency initiatives (e.g. energy efficiency services) Supports energy security by inducing lower dependency on external supply and lower exposure to price volatility Supports safety and environment, by introducing modern equipment and best practices (e.g. xeriscaping, TSE) Promotes the creation of a smart city by introducing/extending the use of new technologies (e.g., remote load control, BMS, control sensors, smart grid ) 2
4 Recap of DSM scope and objectives The DSM strategy is one of the main areas of focus for the Supreme Council of Energy and the involved government entities Background DSM Goal Dubai to become a role model in energy efficiency by implementing cost-effective electricity and water demand saving measures and developing of a green service market 8 DSM Programmes 1. Building regulations 2. Building retrofits 3. District cooling 4. Standards and labels for appliances & equipment 5. Water reuse and efficient irrigation 6. Outdoor 7. Power and water tariff rates 8. Demand response 8 DSM Implementation Mechanisms Institutional setting and capability building Policies and regulations Information systems Governing by example Technologies and studies Financing mechanisms Public awareness Measurement and verification 3
5 Program scope and objectives The DSM strategy comprises 8 programs, including an ambitious outdoor program Programs 1. Building regulations 2. Building Retrofits 3. District Cooling (DC) 4. Standards and labels for appliances 5. Water reuse and efficient irrigation 6. Outdoor 7. Power and water tariff rates 8. Demand response Program Owner Etihad Energy Services Etihad Energy Services (retrofits) RSB (new dev t) ESMA RTA (streets) (parks) Scope Implement the existing green building code and introduce updates to enforce more stringent energy efficiency regulations, resulting in savings between 18% and 36% for power and between 20% and 40% for water Execute a building retrofitting program that targets the main components of a building in an integrated manner (cooling,, water, industrial process, building envelope, other). Ambition to retrofit about 30,000 buildings by 2030 Increase penetration of district cooling from 16% of refrigeration capacity tin 2011 to 40% in 2030 by regulating the district cooling industry and supporting connection of existing buildings to district cooling Introduce minimum energy efficiency standards and labels for major power and water end-uses in Dubai, and manage periodic updates of the same Reduce use of desalinated water for irrigation by promoting efficient landscaping practices and irrigation technologies (80% green areas to be efficiently irrigated) and maximizing the use of treated sewage effluent (100% of public areas irrigated with TSE) Use more efficient fixtures (retrofitting 75% of existing lights with LED) and implement a switch off program (addressing 100% of residential streets) Adjust tariff rates to promote energy conservation and economic efficiency of consumption decisions Gradually introduce time-of-use tariffs, curtailable load management and direct load control measures to reduce future capacity needs and environmental impacts 4
6 Outdoor program scope and objectives The outdoor program aims at saving over 50% of consumption through switch-off measures and LED technology Street lights Lights for parks and walkways Switch off program 100% residential streets by 2030 Partial switch-off or dimming LED 75% of street lights replaced with LED by 2030 Switch off program 100% public parks by 2030 Reduced time of operations (6 hours) LED 100% main lights replaced with LED (or other efficient technologies) by 2030 Consumption (GWh) Expected savings 50% BAU 2030 DSM 5
7 Organization set-up for implementation Each program has a responsible government organization, and the DSCE provides project management support, through a PMO DSCE Board HH Sheikh Ahmed Bin Saeed Al Maktoum, Chairman DSM Executive Committee Temporary project structure within DSCE, to be replaced in the long run by a permanent DSM Agency DSCE RTA RSB ENOC PMO DSCE DSM PM DSM Programs Standards Water reuse Power and Building Building District for Outdoor Demand and efficient water tariff regulations Retrofits Cooling (DC) appliances response irrigation rates and equip.t Resp. Organizations (Stakeholders) Etihad RSB Etihad RSB ESMA RTA 6
8 The DSM policy document Stakeholder entities are strongly committed to implementing the DSM strategy, as formalized in a joint DSM policy document A position paper, whereby the main government entities driving the 8 DSM programs commit to pursuing targets and initiatives What it is DSM POLICY DOCUMENT Objectives Provide a common understanding of scope and objectives of the DSM strategy Formalize commitments from participating government entities Provide a platform for consistent internal and external communication related to DSM strategy Benefits, objectives and targets of the DSM programs Scope of the DSM programs and initiatives Institutional set-up Implementation roadmap Main content Recipients Executives and project teams engaged in implementing DSM programs In simplified versions, a broader audience comprising all public and private institutions as well as the entire population of Dubai 7
9 Roadmap and key milestones We have a well defined roadmap in front of us, built on some first important achievements Today onward Approval of DIES 2030 Introduction of new tariffs for electricity and water Introduction of the Dubai Green Building Code, mandatory application for government buildings and voluntary (grace period) for the private sector First switch-off initiatives Approval of the DSM strategy Establishment of the Super- ESCO Nomination of the DSM Executive Committee and first meeting held Implementation of switch-off programs Mandatory application of the Dubai Green Building Code to all new buildings Appointment of external PMO Policy document approved Gap assessment and mitigation plan developed Development of regulatory frameworks (retrofits, DC) First government retrofits projects Introduction of star rating standards for appliances Pilots/first implementations with LED Launch of the DSM agency First pilots on new tariff structures (Time of Use) Intensity mapping capability developed First large building retrofit projects Introduction of building labelling scheme Progressive deployment of tariff and demand response programs Implementation of water reuse and efficient irrigation program Roll-out of street replacements Building code and tariffs revisited Progressive update of standards for appliances Periodic review of the strategy 8
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