Conserve Green Building & MEP Solutions Conserve Green Building & MEP Solutions WLL Office No: 6, 6th Floor, Building Number: 24, Al Khalidiya Street, Najma, Doha, Qatar. P.O. Box: 31718 T: +974 4442 7968 | F: +974 4437 4210 www.conservesolution.com | bazeeth@conservesolution.com GSAS Certification Initial and Operational Cost of different Air Conditioning Systems in GCC: A supporting case for VRF Systems In one of our recent projects targeting GSAS Certification, we have advised the client to change the HVAC system from Split to VRF. The client asked us about the return of investment and payback period. We have worked out on the initial and operational cost for different AC systems. We are publishing the basis of calculation, so that it can guide other projects pursuing LEED or GSAS Certification to choose the right system. LEED Certification In this article we will discuss 1. Installation cost of different AC systems 2. Energy Performance of different AC systems 3. Financial analysis of VRF over air cooled central system and split/package system 4. In what cases the projects can go for VRF systems 1. Installation cost of different AC systems: Air Conditioning System Type Price in QAR per Nominal TR Ductless Wall mounted/Ceiling mounted split system 1800-2000 Ducted split units 2500-3000 Package Units 3500- 4000 VRF Units 5000-6000 Air Cooled chilled water systems 6500-7000 Water cooled chilled water systems 8000-9000 Note: The prices can vary based on the manufacturer, project specifications, Air distribution system etc. The prices mentioned here only approximate based on interview with different manufacturers and contractors. 2. Energy Performance of different AC Systems: In the absence of much literature on Energy performance of different AC systems in the region, the study recently conducted by RSB Dubai appears to be very close and hence we will consider the same for our calculation Energy Audit It is very clear that district cooling plants are the most efficient followed by water cooled central cooling system. VRF Vs. Split System Cost Vs. Benefit S.No System type kW/TR Installation Cost QR 1 Split/Window 1.73 1800 2 Ducted Split/Package 1.62 2750 3 Package 1.62 3800 4 VRF 1.07 5800 5 Air cooled chiller 1.42 7000 6 Water cooled chiller 0.93 9000 7 District Cooling 0.92 9000 Equivalent full load hours 3750 Installed Nominal TR 500 Electricity Tariff 0.35 Energy Consumption of split units kwh 3037500 Energy Cost of split units QAR/annum 1063125 Initial Cost of split units in Million QAR Initial cost of VRF Units Million QAR Additional Investment in VRF Million QAR 1.375 2.9 1.525 Energy Consumption of VRF system kwh/annum 2006250 Savings in kwh/annum in VRF 1031250 Savings in Million QAR/Annum in VRF 0.360938 Simple payback period 4.225 Energy Conservation 1. Financial analysis of VRF over air cooled central system and split/package system Air cooled Central AC System: The prices of Air cooled system and VRF systems are very much similar hence there is no incremental capital cost for the project. The operational cost VRF system is lesser resulting in significant reduction in Life cycle cost of the AC system Let us do the math for 500 TR building, Energy Consumption in Central Air Cooled System per annum = 500 TR * 3750 Equivalent Full load operational Hrs. * 1.42 KW/TR =2662500 kWh Energy Cost = 2662500kWh * 0.35 QAR/kwh = 931875 Energy Consumption in VRF System per annum = 500 TR * 3750 Equivalent Full load operational Hrs. * 1.07 KW/TR =2006250kWh Energy Cost per annum = 2006250kWh * 0.35 QAR/kwh = 702187 Savings per annum = 656250 kWh Considering the life of the equipment to be 10 years, the life cycle cost savings shall be 2.3 Million QAR. Split Air Conditioning System: The prices of split or package shall be around lesser by QR 2500/TR compared to VRF systems. Let us do the math again for 500 TR building, Incremental Cost = 500 TR * QR 2500/TR = QAR 1.25 Million Energy Consumption Energy Consumption in split or ducted AC system per annum = 500 TR * 3750 Equivalent Full load operational Hrs. * 1.62 KW/TR =3037500kWh Energy Cost = 3037500kWh * 0.35 QAR/kwh = 1063125 Energy Consumption in VRF System per annum = 500 TR * 3750 Equivalent Full load operational Hrs. * 1.07 KW/TR = 2006250 kWh Savings per annum =1031250 kWh Simple payback period = 4.225 In the next article we will discuss more about commercial aspects of Energy Conservation Measures like Life cycle cost, Net Present Value (NPV) and Internal rate of Return (IRR) which is useful in Energy Audit. Factors to be taken care when going for VRF System: 1. Limitation in refrigerant pipe length 2. Integration with conventional BMS system 3. Skilled maintenance. Summary and conclusion: If the project is evaluating VRF against Air Cooled chilled water system and if there is feasibility of VRF systems. The straight choice would be to go for VRF system If the project is evaluating VRF against split units the decision has to be taken based on financial priorities. Thank You Conserve Green Building & MEP Solutions WLL Office No: 6, 6th Floor, Building Number: 24, Al Khalidiya Street, Najma, Doha, Qatar. P.O. Box: 31718 T: +974 4442 7968 | F: +974 4437 4210 www.conservesolution.com | bazeeth@conservesolution.com