Dubai towers plan to slash energy consumption by a third


  • English
  • Arabic

DUBAI // Measures to reduce energy consumption by a third could be introduced in 39 residential towers in Dubai early next year.

Novus Community Management, which oversees 52 buildings in the emirate, has commissioned Emrill Energy to carry out energy audits in 39 of its freehold buildings and propose measures to cut electricity consumption.

Over the next month, the results will be presented to owners’ associations in Palm Jumeirah, Dubai Marina, JLT and Downtown Dubai, said Alastair McCracken, the chief executive of Novus, who expects any recommendations to be welcomed.

“I would think installation will commence over the next three to six months,” Mr McCracken said. “By early next year, we would hope that all of these buildings will have some degree of energy demand reductions installed.”

The company estimates that the scheme will cut 410,000 tonnes of greenhouse emissions over 10 years if measures are taken in all 39 buildings. It says the scheme will also bring financial benefits for property owners.

Depending on the building and size of apartment, owners could expect reductions in their service fees of up to Dh10,000 a year because of the reduction in energy used, Mr McCracken said.

The measures would not require owners to pay any upfront costs as the savings would be used to fund the project, he said. EnergyX, a Hong Kong-based energy performance financing group, is funding the scheme.

“This programme enables building owners to reduce their energy cost and, obviously, therefore, reduce their consumption and most importantly reduce their carbon emissions with no risk and no upfront capital expenditure,” Mr McCracken said.

He said the availability of financing was key to the success of the scheme in jointly owned properties where, in many cases, there is no cash to invest in building improvements and owners are already complaining about high fees.

One reason for high service charges is that many buildings in freehold areas were built between 2003 and 2006, when energy efficiency was not factored in to construction considerations.

In the 39 buildings surveyed, utilities accounted for 15 to 62 per cent of service charges.

“Because of the timing of Dubai’s great construction boom, because of the time in which most of these buildings were built, and because of the period in which the designs were being put together for these buildings, they were very rarely designed for energy efficiency,” he said.

“And of course, now, these buildings are ageing.”

Ben Churchill, managing director of Emrill Energy, said many of the proposed measures would involve installing remote monitoring systems that collect information on how the buildings perform and that allow for building-management systems to be operated more efficiently.

“Building-management systems, even old ones, are actually fine, there is nothing wrong with them. It is generally just the way they have been commissioned,” he said.

“Traditionally, they have been used as glorified time clocks to just turn things on and off, whereas we can actually tune them to be far more dynamic.”

The measures will also involve installing high-efficiency air-conditioning chillers and other measures to reduce energy demand for air-conditioning, which typically accounts for up to 70 per cent of electricity consumed in buildings in Dubai.

“It is about good engineering across a wide range of things to create an outcome,” Mr Churchill said.

Novus estimates that were the measures introduced in all high-rise buildings in Dubai, 5.9 million tonnes of greenhouse emissions could be cut over 10 years.

vtodorova@thenational.ae

BMW M5 specs

Engine: 4.4-litre twin-turbo V-8 petrol enging with additional electric motor

Power: 727hp

Torque: 1,000Nm

Transmission: 8-speed auto

Fuel consumption: 10.6L/100km

On sale: Now

Price: From Dh650,000

Timeline

2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

180 Petrofac employees laid off in the UAE

Know before you go
  • Jebel Akhdar is a two-hour drive from Muscat airport or a six-hour drive from Dubai. It’s impossible to visit by car unless you have a 4x4. Phone ahead to the hotel to arrange a transfer.
  • If you’re driving, make sure your insurance covers Oman.
  • By air: Budget airlines Air Arabia, Flydubai and SalamAir offer direct routes to Muscat from the UAE.
  • Tourists from the Emirates (UAE nationals not included) must apply for an Omani visa online before arrival at evisa.rop.gov.om. The process typically takes several days.
  • Flash floods are probable due to the terrain and a lack of drainage. Always check the weather before venturing into any canyons or other remote areas and identify a plan of escape that includes high ground, shelter and parking where your car won’t be overtaken by sudden downpours.

 

Avatar: Fire and Ash

Director: James Cameron

Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana

Rating: 4.5/5

How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

The specs: McLaren 600LT

Price, base: Dh914,000

Engine: 3.8-litre twin-turbo V8

Transmission: Seven-speed automatic

Power: 600hp @ 7,500rpm

Torque: 620Nm @ 5,500rpm

Fuel economy 12.2.L / 100km

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Profile of VoucherSkout

Date of launch: November 2016

Founder: David Tobias

Based: Jumeirah Lake Towers

Sector: Technology

Size: 18 employees

Stage: Embarking on a Series A round to raise $5 million in the first quarter of 2019 with a 20 per cent stake

Investors: Seed round was self-funded with “millions of dollars”