Saudi energy efficiency programs gain ground

(MENAFN- Arab News) Prince Abdulaziz bin Salman vice minister for petroleum and mineral resources has laid out the government's program on energy efficiency.

'We have programs for various industries such as air-conditioning insulation as well as fuel efficiency. We have embarked on huge activities relating to transportation' he said.

Prince Abdulaziz bin Salman also the chairman of the executive committee of the Saudi Energy Efficiency Center was addressing the Saudi-German Business Forum session on 'Energy and Energy Efficiency' at a local hotel.

He also said that the government also has programs for fuel efficiency for chemicals cement and steel which are considered as major industries.

'By the way they consume about 80 percent of the energy sector and we have a commitment with them' he said.

He added that 'one of the fundamental achievements we've done is to ensure that there would be a tool available for these industries to use as a lending facility.

'This is an exceptional facility since what is considered is the profitability of the project itself as opposed to the profitability of the company' he said.

'Even at times when we saw resistance in the execution phase for example in air conditioning the cascading effect made it amenable for us. We ignored the few pockets of resistance' he said.

But in general he added: 'We were able to take away from the market something in the neighborhood of about a million air-conditioning units which were substandard.'

He added: 'It would have cost the economy somewhere in the vicinity of SR15 billion of wasteful energy consumption and about1-1.5 million bills to the consumers' he said.

He said: 'It just so happened that weak standards and regulations will tend to achieve higher things for the business community.'

He said: 'Because you create a better market environment for quality products and services you also create more business opportunities for local and foreign companies and investors.'

He added that the focus on the more productive market environment for high quality products is done through standards.

'We go for example for strict enforcement of minimum energy efficiency standards. Moreover we also go through regulations such as the standards for cars' he said.

Mubarak Al-Kafra TASNEE chairman talked on 'Industrial Diversification' for the Saudi side while Hans Christoph Atzpodien chairman of the management board of ThysssenKrupp Industrial Solutions AG spoke for the German side.

Aimo Buelte CEO of Dornier Consulting Group discussed 'Infrastructure Transport' for the German side while Fahad A. Al-Rasheed Group CEO of King Abdullah Economic City and Mohammed I. Al Faris vice chairman of the National Industrial Development and Cluster Program spoke for the Saudi side.

Mohammed Al-Jasser minister of economy and planning and SAGIA Gov. Abdulatif Othman spoke on 'Opportunities and Regulatory Challenges in Bilateral Trade' for the Saudi side.

Andreas Hergenroether delegate from the German-Saudi Arabian Liaison Office for Economic Affairs (GESALO) also spoke at the event.

Khaled Al-Juffali and Wolfgang Buechele co-chairmen of the Saudi-German Business Council delivered the closing remarks.

Ibrahim Al-Assaf minister of finance and Sigman Gabriel minister of economy and energy of Germany signed the agreed minutes.