Experts discuss unplugged power in the Middle East

Whether you’re in the market for generators, compressors, light towers, or even a combination of the three, FAMCO has you covered. With represented brands such as Himoinsa, Yanmar, Ingersoll-Rand, and Doosan Portable Power, the UAE-headquartered distributor supplies a diverse array of these products to dealers and customers across the region.

As general manager of FAMCO’s Power & Industrial Products Division, Terry McGuire is a happy man at present, primarily because of how busy he is in the UAE.

“When you look around at the local skyline, you can see that the cranes are moving,” he told PMV.

“FAMCO’s Truck & Bus Division is very active at present because of all the stone being moved up and down local highways. This is a strong indication that the construction sector is picking up,” he explained.

Fortunately for McGuire, a resurgent construction sector spells good news for him and his team. FAMCO has already experienced a rise in demand for its gensets.

“Demand for generators in the first quarter of 2014 has been more than 30% higher than the levels we witnessed during the same period of last year,” he said.

“Things are definitely on the up. Of course, the market is very competitive, but we have a broad product portfolio capable of meeting a wide variety of requirements. We’re not necessarily the cheapest at the outset, but we’re cost effective. Just look at the robustness of our units; they’re solid,” he added.

Unsurprisingly, the spectrum of sectors to which FAMCO caters is as diverse as its product arsenal. In terms of gensets, Yanmar caters to the more compact end of the market whilst Himoinsa offers products for users with larger power requirements.

Himoinsa light towers sporting Yanmar engines deliver reliable illumination, whilst Ingersoll-Rand compressors have proven popular within the food and beverage, pharmaceutical, and off-shore sectors.

“We supply a lot of Ingersoll-Rand compressors to the oil and gas industry, especially companies active in Abu Dhabi’s offshore market,” said McGuire.

“Following the downturn, we’ve also enjoyed great success with Yanmar products in Deira. There are cheaper brands on the market, but customers are willing to pay a premium for the reliability offered by these generators,” he said.

Moreover, with Expo 2020’s hype gradually turning into tangible business, McGuire is confident about the future of the UAE market.

Ending on an optimistic note, he said: “I think the outlook is bright. There’s a good feeling now that Expo 2020 has been awarded. Construction has already started to pick up, and I think that all sectors are going to benefit significantly from increased footfall in the UAE over the coming years.”

Positive signs for portable power
Doosan’s Hazem Elnaqeeb says that although demand varies from product to product and from country to country, the Middle East’s portable power sector is looking pretty bright

As district manager for portable power in the Middle East at Doosan Infracore Construction Equipment (DICE), Hazem Elnaqeeb is responsible for a diverse suite of products. The South Korean manufacturer produces a range of generators, compressors, and light towers for the region, and Elnaqeeb says that, overall, business is positive at present.

“Although generators, compressors, and light towers belong to the same industry, demand varies, not just from country to country, but also from product to product,” he told PMV.

“The demand for generators is fairly high, the simple reason being that there is a gap between the production of and demand for electricity within the Middle East. As a rule of thumb, the total production of power in the region is not sufficient to meet demand. In addition to production, there is the challenge of distribution; even when electricity is being produced, it is not always feasible to transfer this power to remote areas,” he explained.

Demand for compressors, meanwhile, is not quite as high, but there are encouraging signs. Elnaqeeb said: “Demand for compressors is steady. The business environment in the Middle East is positive; budgets are healthy. This is positively affecting the market in general.”

DICE has also started to target the region’s light tower sector outside the KSA with the launch of a 50Hz LSC model earlier in the year.

“We are doing very well in Saudi Arabia, and we are exploring the market in the rest of the Middle East,” Elnaqeeb concluded.

Diesel Gensets fit for a kingdom
Mohammed Qunaibi, director of power equipment sales at Saudi Diesel, discusses some of the challenges involved in supplying reliable and effective diesel gensets to the KSA market

At 2,150,000 km2, Saudi Arabia is by far the largest country in the GCC. Meeting power needs across such a vast expanse poses a major challenge, especially when one considers those living and working in the country’s remotest parts.

One man helping to serve such requirements is Mohammed Qunaibi, director of power and equipment sales at Saudi Diesel.

“The demand for generators in Saudi Arabia is growing; every year, we are experiencing increases of between 10% and 15%,” he told PMV.

“I would say that this has been the case for around five years now, and studies suggest that this trend will persist for the coming seven to 10 years. The geographical distances in Saudi Arabia and the number of projects that are to be carried out by the government during the coming five years represent major driving forces,” he explained.

With genset brands such as Doosan and Mitsubishi, Saudi Diesel can serve applications ranging from 50kW up to 2MW. However, Qunaibi and his team are also able to cater to larger power requirements, should the situation demand.

“Some customers require synchronised units within short delivery times, so we have to support our products in terms of availability and after-sales support,” he explained.

Perhaps the most important requirement, however, is to ensure that generators operate reliably.
“Temperatures in the KSA can reach 55°C, so Saudi Diesel also has to ensure it provides proper cooling systems to allow units to operate satisfactorily,” Qunaibi concluded.

Industry Facilitators
Speedy’s Nic Rae explains why factors such as transportation and operational efficiency make rental firms the ideal partners for those operating in construction and oil and gas

Four years after entering the Middle East’s equipment rental market, Speedy International Asset Services has grown to become one of the sector’s biggest players. The UK-headquartered firm is active in countries across the region, including Oman, Qatar, Iraq, and the UAE.

“We provide prime power, standby power, air, and lighting, primarily to those operating in the construction, and oil and gas sectors,” explained Nic Rae, deputy managing director at Speedy International Asset Services.

“Customers rely on rental equipment to meet unplanned or infrequent needs. Power and air, for example, are often used to meet temporary or emergency requirements. As such, hiring a piece of equipment aids cost control by avoiding unnecessary capital expenditure,” he added.

In addition to capital expenditure, the rental option also helps end users to avoid the hidden costs that can arise when using generators, compressors, and light towers.

“The rental firm is responsible for ensuring that the equipment is safe and compliant with applicable regulations,” said Rae.

“Transporting equipment can prove expensive, time consuming, and logistically challenging. Hiring also removes the need to employ a third party to move these units.

“The operational advantages of hiring heavy equipment provide users with valuable time and money to compete in ways that might not be feasible if they owned the units.

“Finally, hired equipment gives customers the flexibility to control costs by supplementing their existing fleets,” Rae concluded.

Project Projections
GENAVCO’s Asif Sayeed Khan is confident that projects stemming from Expo 2020 will help to sustain the already high levels of portable power-related demand in the UAE

As divisional manager of GENAVCO’s Heavy Equipment Business Unit, Asif Sayeed Khan is confident that demand for generators, compressors, and light towers in the UAE will continue to grow in the lead-up to Expo 2020.

“Due to the number of infrastructure projects announced during the fourth quarter of 2013, there is a huge demand for generators, compressors, and light towers in the UAE market,” he told PMV.

“In addition, a lot of ongoing projects require these units in order for work to be completed on time,” Khan added. GENAVCO represents a number of related brands, such as SDMO, Boge, and CompAir.

“The CompAir C110-9 was GENAVCO’s top-selling compressor within its class during 2013,” revealed Khan.

“For Boge compressors, the S-3 series is the most popular due to its IE3 high-efficiency motors, which reduce electricity consumption for end users. Our SDMO generators, meanwhile, range from 20kVA to 500kVA,” he explained.

Of course, when it comes to generators, compressors, and light towers, users need to be confident that the power, air, and light will keep flowing. Interrupted operations can delay projects, so it’s vital that these units are reliable.

“The products that we have under our umbrella are able to meet the needs of end users in high temperatures, high humidity, and tough site conditions,” said Khan.

For now, GENAVCO is looking forward to taking advantage of a resurgent UAE market.

“We’re optimistic about the future due to projects linked with Expo 2020,” he concluded.

Hire Power
Byrne’s Patrick Fallon tells PMV why hiring portable power units often represents a more attractive proposition to Middle Eastern end users than buying

UAE-headquartered Byrne Equipment Rental is a major regional player within the fields of generators, compressors, and light towers. When it comes to overcoming portable power challenges in this territory, it often makes more sense for customers to hire than to buy, as Patrick Fallon, Byrne Equipment Rental’s chief operating officer, told PMV.

“Besides causing clients to deviate from their core competencies through the implementation of service support, manpower, and spare parts availability options, buying these types of equipment for projects means that companies must make unnecessary capital investments that could easily fund their core business requirements,” he explained.

“This remains Byrne’s unique selling point. When renting, we take away the problems of maintaining and servicing equipment, and offer a dedicated, 24/7 call-out service,” he added.

Byrne offers multiple options across all three of the product categories. It supplies generators ranging from 12.5kVA to 1,650kVA, and multiples of 1,000kVA and 1,250kVA for synchronised, multi-mega installations.

Its portable compressors include low and high pressure 185-to-900 cubic-feet-per-metre units, and oil-free machines with desiccant dryers. Moreover, Byrne has plans to expand the range of light towers that it offers within the region.

“We are introducing a range of eco-friendly, vertical lighting masts,” said Fallon.

“These units are supplied with anti-glare LED lighting and a dusk-to-dawn automatic stop feature,” he added.

With all product bases covered, Byrne is equipped to supply portable power products for an array of applications, including those within the oil and gas, marine, events, construction, and accommodations sectors. As such, the company must ensure that the products it supplies are able to cope with typical operating conditions across the region.

“Byrne procures from premium brands, not only from the GCC but worldwide,” said Fallon.

“We ensure that the highest specifications of products are introduced to our fleet and offered to customers. Byrne has developed a strong set of in-house technical skills along with an excellent rapport from its suppliers,” he concluded.

Taking on the desert
JCB’s QS generators have been designed to cope with the Middle East’s heat, dust, and fuel, as Faisal Hamze explains

It’s widely accepted that the Middle East represents one of the toughest operating territories on the planet. Its unforgiving climate and dusty locales can play havoc with the reliability of equipment.

UK-headquartered manufacturer JCB, however, views the region’s operating environment as a challenge rather than a problem. Indeed, the QS generator range has been specifically designed to provide reliable power in even the harshest conditions.

“JCB’s QS generators have been designed expressly to tackle head on the challenges of high temperatures, dusty work sites, poor fuel quality, and varying output requirements,” said Faisal Hamze, JCB Power Products’ regional sales manager in the Middle East.

“By offering a range of options, the customer can spec a machine to suit his or her application. Options such as fuel pre-filters, scavenging air filters, and double-protection alternators, help to ensure that service intervals are easily met,” he told PMV.

The QS models will complement JCB’s existing range of generators and light towers; Hamze is pleased with the launch’s timing.

“Demand for generators is growing in line with the mega developments, road, and rail projects that are taking place at the moment,” he said.

“Light towers are also in high demand with JCB dealers across the Middle East. They are ordering large quantities in order to supply major infrastructure developments. The rental market has definitely picked up as well.

“JCB delivers robust, reliable, and durable products that can cope with arduous operating conditions in the region. In addition to factors such as heat, dust, and fuel, our products can meet varying output requirements across the GCC,” concluded Hamze.