Keeping it cool!
Real Estate

Keeping it cool!

The HVAC industry in India is on a growth chart owing to its constant technological innovations, writes AHLAM RAIS.

The Indian HVAC-heating, ventilation and air-conditioning-industry has witnessed healthy and steady growth despite the sluggish economy in recent times. Currently valued at Rs 53 billion, this industry is expected to reach about 5 million TR (tonne of refrigeration) by 2015 with a total market capitalisation reaching over Rs 70 billion by FY2015-16. Ravichandran Purushothaman, President, Danfoss India, expects the market to grow by 30 per cent to over Rs 20,000 crore over the next two years. "With rise in population, rapid urbanisation, and higher disposable incomes, the future looks stable for this market," he affirms.

In vogue

The major demand for HVAC systems is from the construction and real estate industry. As these two sectors are expanding their presence across the country, there has been an increase in demand. "With changing lifestyles, the demand for air-conditioners in the residential sector has increased," says Arvind Surange, Chairman & Managing Director, ACR Project Consultants. "Similarly, segments such as hospitality and pharma have witnessed average demand. However, the demand in the commercial segment and the industrial sector has not shown any growth pattern in the past couple of years." But Purushothaman has a different viewpoint. For him, the major demand have been commercial, pharma, hospital and the aviation sectors. He further adds, "We would also like to expand to commercial establishments in the IT sector like data centres. Further, cooling buildings and cold storage for food chains are two big opportunity areas for us." Todd Bluedorn, Chairman & CEO, Lennox International, confirms, "We see major potential in the cold storage segment; this is our biggest market opportunity in India."

Apart from these sectors, there are also other factors such as technological innovations and government policies that play a vital role in the demand for these systems. Kanwal Jeet Jawa, Managing Director & COO, Daikin Airconditioning India, explains, "Government policies on refrigerant use, stricter eco-friendly norms and safety prerequisites, efficient use of products, services and technical usage have made players in the market retag their strategies that have thus played a greater role in creating a pertinent demand in the industry."

Emerging trend

Construction of green buildings that conform to sustainable design construction standards thus reducing the consumption of energy, water and natural resources is one of the greater trends witnessed in the HVAC sector. The focus is more on offering energy-efficient technologies that help reduce cost and save power. The trend clearly indicates that the consumer is willing to invest a 15-20 per cent premium for more efficient units.

Dipak Barma, National President, Indian Society of Heating Refrigerating & Air-Conditioning Engineers (ISHRAE), confirms this by adding, "A five-star rated air-conditioner at a higher price is now being preferred over a less priced two or three-star rated unit of the same capacity." Through this, it is evident that the amount of power savings is taken into account while arriving at purchase decisions. Barma continues, "Of the 4.2 million units sold, 68 per cent were split-type units that are more value-wise than window-type, room air-conditioners." This was due to the VRV (variable refrigerant volume) systems, the latest technology for centralised conditioning installed in these air-conditioners that save substantial power. Jawa agrees, "Faster growth of VRV systems and inverter-based, air-conditioning solutions has been witnessed as a strategic trend." Purushothaman offers another perspective, saying, "The trend of retrofit and usage of drives for energy saving is increasing day by day." More consumers preferring energy-efficient inverter products with non-ozone depleting refrigerants, along with a greater awareness towards star labelling, is another emergent trend.

Technological revolution

With newer technologies making a beeline for consumer attention the growth seen over the past couple of years has been phenomenal and has resulted in the acceptance of cutting-edge innovations by potential consumers, thus leading to the growth of the industry. Amit Maheshwari, Director-Marketing & Strategy, UTC Climate, Controls & Security Products, India Region, says, "Carrier has launched over 10 new products for commercial and light commercial markets, all designed to deliver performance and environmental benefits including the high-efficiency dual compressor centrifugal chiller, 19XR-E. Other innovative products include 30XWV, VWV which combine the benefits of traditional hydronic system and variable refrigerant flow (VRF)." Carrier has also introduced next-generation, energy-efficient technologies such as the inverter technology for air-conditioning systems in India. This technology-based, air-conditioning system consumes up to 30 per cent less power. The company has developed the first Digital Scroll-based ducted air-conditioning systems in the country and is probably the first to introduce locally manufactured R410a-based ducted and cassette systems. The 1.5 TR and 2.0 TR cassette systems are four-star BEE labelled, even though the standards and labelling programme is in a voluntary phase.

Apart from these products, Prashanth BS Iyengar, Senior General Manager, Central Airconditioning Products Division, Blue Star, also introduces a few innovative technologies such as the magnetic centrifugal chillers in the HVAC industry. "Magnetic centrifugals operate in capacities 315 kW-1,575 kW (90-450 TR) and aim at the traditional screw market rather than the centrifugal market," he tells us. This technology includes features such as an environment-friendly R134a refrigerant, magnetic bearings that eliminate frictional losses, low in-rush current of 2 amp that reduces generator cost, best-in-class low sound levels (72 dBA at 1 m with no sound attenuation), almost non-existent vibration, smallest footprint for equivalent size, in-built inverter in the compressor along with the rest of the control system, in-built pressure and temperature transducers, in-built motor and electronic cooling circuits, up to three compressors in a single refrigerant circuit, and highest part load efficiency (IPLV 0.35 kW/TR; CKD (knock-down and assembly at site) option available for ease of installation. These chillers are expected to grow at a very high pace over the next five to six years. The twin-circuit, falling film technology, water-cooled screw chiller is another technology launched by Bluestar. Iyengar says, "This technology is available in 260 TR to 450 TR range, provides unmatched efficiency up to IPLV 0.426 kW/TR 8.25 COP, six technology backed performance, break-through falling film technology evaporator heat exchanger, total system refrigerant quantity reduction by 30-35 per cent, nano-coated copper tubes condenser and low-pressure refrigerant return or oil return with zero energy. It is best fit for green buildings and is Air-Conditioning, Heating, and Refrigeration Institute (AHRI) certified." The company also offers a single-circuit, integrated oil separator, water-cooled screw chiller. "We make the most energy-efficient products by providing better optimisation and sustainable design," says Bluedorn. "We use technologies like the mico-channel heat exchanger that helps reduce the refrigerant used by about 50-60 per cent. Lennox is the first and only company to integrate solar energy in a meaningful way in HVAC systems."

Meanwhile, Purushothaman comments, "Danfoss offers an energy-efficient range of commercial compressor solutions such as Danfoss VZH inverter compressor that can save energy of over 30 per cent compared to a unit equipped with a fixed or mechanically modulating compressor. The Danfoss SH485 innovative 40 tonne scroll is ideal for large chillers and rooftop units. Its large capacity and unique features help Original Equipment Manufacturers (OEMs) to reduce development, installation and servicing costs with superior part-load efficiency coupled with enhanced reliability and optional electronic monitoring and communication abilities. Further, it provides great savings, low sound levels, increased lifetime and lower maintenance costs to end-users."

Apart from this, Danfoss has also introduced its latest Scroll technology in the MLZ and LLZ series that is purpose-engineered for applications in refrigeration with medium and low temperatures respectively. It helps cut down operating costs and meet the most demanding food standards for units and racks for cold rooms, supermarkets, mushroom growing tunnels, fermentation rooms and air dryers. Among its other offerings specific to HVAC, Danfoss Turbocor's oil-free compressor redefines energy-efficiency and lifetime operating costs for mid-range HVAC chiller and rooftop applications. It performs beyond the boundaries of conventional oil-lubricated compressors in 60 tonne and larger applications by exploiting fluid dynamics, flexibility and control features previously available only in large, variable-speed centrifugal compressors, enhanced by the use of oil-free, magnetic bearing technology.

Daikin, another major player in the HVAC market, offers a new range of inverters, non-inverters, five-star, three-star and two-star rated ACs, which offer improved energy efficiency being in line with the new BEE energy-efficiency standards. Jawa says, "The company has also launched a super, multi-hot, water air-conditioning solution for the first time in the country that utilises disposed energy to heat water, thus finding an innovative way to reuse the oft-neglected disposed energy. This outdoor unit that can be connected with up to three indoor units and one storage water heater is one of the new-age solutions for energy efficiency that is the result of the world-class technical acumen of Daikin India."

Rising prospects

With India's warm climatic conditions and growth in affluence, an increasing number of people have adopted air-conditioning systems today. The country is currently witnessing a huge demand in the segment and many efforts have been undertaken in this sector to ensure energy-efficient technologies. They say, 'Change is the only constant'-in the same vein, innovation seems to be the new factor that remains constant in the HVAC industry. Hence, with the introduction of the latest innovative technologies, the segment has witnessed a positive momentum that is nothing short of - well! - cool.

CASE STUDY

Project: Terminal 2 at Chhatrapati Shivaji International Airport
Client: Mumbai International Airport Pvt Ltd
Cost: About Rs 150 crore (air-conditioning and plumbing works)
HVAC supplier: Blue Star
Features: Blue Star's scope of work comprised supply, installation, testing, commissioning, handover, training, maintenance and warranty of all HVAC and plumbing systems. The equipment and material supplied under the HVA scope included six cooling towers of 2,500 TR each, 80 floor-mounted AHUs (air-handling units) ranging between 25,000 cfm (cubic feet per minute) to 55,000 cfm, 311 ceiling-suspended AHUs and FCUs (fan coil units) and 290 inline centrifugal and axial fans. It also comprised 1,600 variable air volume boxes, 21 primary and secondary chilled and condenser water pumps, 3.35 lakh sq m of air-conditioning and ventilation ducting and 23 km of piping. Perfect insulation, in the form of 2.65 lakh sq m of thermal insulation and 80,000 sq m of underdeck insulation, has been offered. Further, about 30,000 sq m of room acoustics, 2,600 jet nozzles, about 5,500 air outlets, 3,500 fire and volume control dampers, 60,000 sq m of fire-rated ducting as well as the corresponding electrical and building management systems have been supplied. Challenges: Blue Star faced several challenges while executing this project. Being a brownfield project, there were several concerns with respect to equipment and material handling, project clearances and material storage. A high-calibre project of this nature also necessitated meticulous planning of resources in terms of manpower, materials, tools and tackles, among others. Stringent safety and quality systems led to numerous stages of inspection at each and every activity level. Seismic supports were provided for all equipment and pipes, special custom supports were designed and installed for ducts supported by perlin, making the entire structure earthquake-proof. The working height at the terminal ranged from as low as 4.5 m to a height of 26 m, which was another challenge Blue Star overcame efficiently.
Client's take: "GVK MIAL selected HVAC for its comprehensive and efficient systems. We are confident that these energy saving systems will help to reduce power consumption cost of the terminal Heating, Ventilation and Air Conditioning (HVAC) systems," shares GVK MIAL Spokesperson.

Market moves

Prashanth BS Iyengar, Senior General Manager, Central Airconditioning Products Division, Blue Star, shares his market analysis of the HVAC market.

"After another relatively sluggish year presently due to 2014 elections, it is expected that from 2015, the entire construction industry will become more buoyant. The share of water cooled chillers in the market has been rising consistently due to the increasing importance placed on the building's energy-efficiency. Screw and scroll chiller markets were barely growing in 2013 due to several issues in the commercial construction segment, which is where these chillers are normally used.

Centrifugal chillers with inverters account for a very significant portion of sales volume and it is likely that within the next several years, half of all centrifugals will be sold with inverters. Magnetic centrifugal models are being sought for lower capacity levels up to 450 TR. Sales of custom-built AHUs is still very high due to demand coming from infrastructure projects, which always need a high level of customisation. Recently, VRFs have started increasingly penetrating into the hotel sector, thus diminishing the potential of fan coil sales. Since some buildings may not have full occupancy after project completion, instead of installing chillers with full loading capacity for the whole building, developers often install VRF systems, which project partial cooling capacity only to the occupied area."

To share your views on India's HVAC market, write in at feedback@ASAPPmedia.com

The HVAC industry in India is on a growth chart owing to its constant technological innovations, writes AHLAM RAIS. The Indian HVAC-heating, ventilation and air-conditioning-industry has witnessed healthy and steady growth despite the sluggish economy in recent times. Currently valued at Rs 53 billion, this industry is expected to reach about 5 million TR (tonne of refrigeration) by 2015 with a total market capitalisation reaching over Rs 70 billion by FY2015-16. Ravichandran Purushothaman, President, Danfoss India, expects the market to grow by 30 per cent to over Rs 20,000 crore over the next two years. "With rise in population, rapid urbanisation, and higher disposable incomes, the future looks stable for this market," he affirms. In vogue The major demand for HVAC systems is from the construction and real estate industry. As these two sectors are expanding their presence across the country, there has been an increase in demand. "With changing lifestyles, the demand for air-conditioners in the residential sector has increased," says Arvind Surange, Chairman & Managing Director, ACR Project Consultants. "Similarly, segments such as hospitality and pharma have witnessed average demand. However, the demand in the commercial segment and the industrial sector has not shown any growth pattern in the past couple of years." But Purushothaman has a different viewpoint. For him, the major demand have been commercial, pharma, hospital and the aviation sectors. He further adds, "We would also like to expand to commercial establishments in the IT sector like data centres. Further, cooling buildings and cold storage for food chains are two big opportunity areas for us." Todd Bluedorn, Chairman & CEO, Lennox International, confirms, "We see major potential in the cold storage segment; this is our biggest market opportunity in India." Apart from these sectors, there are also other factors such as technological innovations and government policies that play a vital role in the demand for these systems. Kanwal Jeet Jawa, Managing Director & COO, Daikin Airconditioning India, explains, "Government policies on refrigerant use, stricter eco-friendly norms and safety prerequisites, efficient use of products, services and technical usage have made players in the market retag their strategies that have thus played a greater role in creating a pertinent demand in the industry." Emerging trend Construction of green buildings that conform to sustainable design construction standards thus reducing the consumption of energy, water and natural resources is one of the greater trends witnessed in the HVAC sector. The focus is more on offering energy-efficient technologies that help reduce cost and save power. The trend clearly indicates that the consumer is willing to invest a 15-20 per cent premium for more efficient units. Dipak Barma, National President, Indian Society of Heating Refrigerating & Air-Conditioning Engineers (ISHRAE), confirms this by adding, "A five-star rated air-conditioner at a higher price is now being preferred over a less priced two or three-star rated unit of the same capacity." Through this, it is evident that the amount of power savings is taken into account while arriving at purchase decisions. Barma continues, "Of the 4.2 million units sold, 68 per cent were split-type units that are more value-wise than window-type, room air-conditioners." This was due to the VRV (variable refrigerant volume) systems, the latest technology for centralised conditioning installed in these air-conditioners that save substantial power. Jawa agrees, "Faster growth of VRV systems and inverter-based, air-conditioning solutions has been witnessed as a strategic trend." Purushothaman offers another perspective, saying, "The trend of retrofit and usage of drives for energy saving is increasing day by day." More consumers preferring energy-efficient inverter products with non-ozone depleting refrigerants, along with a greater awareness towards star labelling, is another emergent trend. Technological revolution With newer technologies making a beeline for consumer attention the growth seen over the past couple of years has been phenomenal and has resulted in the acceptance of cutting-edge innovations by potential consumers, thus leading to the growth of the industry. Amit Maheshwari, Director-Marketing & Strategy, UTC Climate, Controls & Security Products, India Region, says, "Carrier has launched over 10 new products for commercial and light commercial markets, all designed to deliver performance and environmental benefits including the high-efficiency dual compressor centrifugal chiller, 19XR-E. Other innovative products include 30XWV, VWV which combine the benefits of traditional hydronic system and variable refrigerant flow (VRF)." Carrier has also introduced next-generation, energy-efficient technologies such as the inverter technology for air-conditioning systems in India. This technology-based, air-conditioning system consumes up to 30 per cent less power. The company has developed the first Digital Scroll-based ducted air-conditioning systems in the country and is probably the first to introduce locally manufactured R410a-based ducted and cassette systems. The 1.5 TR and 2.0 TR cassette systems are four-star BEE labelled, even though the standards and labelling programme is in a voluntary phase. Apart from these products, Prashanth BS Iyengar, Senior General Manager, Central Airconditioning Products Division, Blue Star, also introduces a few innovative technologies such as the magnetic centrifugal chillers in the HVAC industry. "Magnetic centrifugals operate in capacities 315 kW-1,575 kW (90-450 TR) and aim at the traditional screw market rather than the centrifugal market," he tells us. This technology includes features such as an environment-friendly R134a refrigerant, magnetic bearings that eliminate frictional losses, low in-rush current of 2 amp that reduces generator cost, best-in-class low sound levels (72 dBA at 1 m with no sound attenuation), almost non-existent vibration, smallest footprint for equivalent size, in-built inverter in the compressor along with the rest of the control system, in-built pressure and temperature transducers, in-built motor and electronic cooling circuits, up to three compressors in a single refrigerant circuit, and highest part load efficiency (IPLV 0.35 kW/TR; CKD (knock-down and assembly at site) option available for ease of installation. These chillers are expected to grow at a very high pace over the next five to six years. The twin-circuit, falling film technology, water-cooled screw chiller is another technology launched by Bluestar. Iyengar says, "This technology is available in 260 TR to 450 TR range, provides unmatched efficiency up to IPLV 0.426 kW/TR 8.25 COP, six technology backed performance, break-through falling film technology evaporator heat exchanger, total system refrigerant quantity reduction by 30-35 per cent, nano-coated copper tubes condenser and low-pressure refrigerant return or oil return with zero energy. It is best fit for green buildings and is Air-Conditioning, Heating, and Refrigeration Institute (AHRI) certified." The company also offers a single-circuit, integrated oil separator, water-cooled screw chiller. "We make the most energy-efficient products by providing better optimisation and sustainable design," says Bluedorn. "We use technologies like the mico-channel heat exchanger that helps reduce the refrigerant used by about 50-60 per cent. Lennox is the first and only company to integrate solar energy in a meaningful way in HVAC systems." Meanwhile, Purushothaman comments, "Danfoss offers an energy-efficient range of commercial compressor solutions such as Danfoss VZH inverter compressor that can save energy of over 30 per cent compared to a unit equipped with a fixed or mechanically modulating compressor. The Danfoss SH485 innovative 40 tonne scroll is ideal for large chillers and rooftop units. Its large capacity and unique features help Original Equipment Manufacturers (OEMs) to reduce development, installation and servicing costs with superior part-load efficiency coupled with enhanced reliability and optional electronic monitoring and communication abilities. Further, it provides great savings, low sound levels, increased lifetime and lower maintenance costs to end-users." Apart from this, Danfoss has also introduced its latest Scroll technology in the MLZ and LLZ series that is purpose-engineered for applications in refrigeration with medium and low temperatures respectively. It helps cut down operating costs and meet the most demanding food standards for units and racks for cold rooms, supermarkets, mushroom growing tunnels, fermentation rooms and air dryers. Among its other offerings specific to HVAC, Danfoss Turbocor's oil-free compressor redefines energy-efficiency and lifetime operating costs for mid-range HVAC chiller and rooftop applications. It performs beyond the boundaries of conventional oil-lubricated compressors in 60 tonne and larger applications by exploiting fluid dynamics, flexibility and control features previously available only in large, variable-speed centrifugal compressors, enhanced by the use of oil-free, magnetic bearing technology. Daikin, another major player in the HVAC market, offers a new range of inverters, non-inverters, five-star, three-star and two-star rated ACs, which offer improved energy efficiency being in line with the new BEE energy-efficiency standards. Jawa says, "The company has also launched a super, multi-hot, water air-conditioning solution for the first time in the country that utilises disposed energy to heat water, thus finding an innovative way to reuse the oft-neglected disposed energy. This outdoor unit that can be connected with up to three indoor units and one storage water heater is one of the new-age solutions for energy efficiency that is the result of the world-class technical acumen of Daikin India." Rising prospects With India's warm climatic conditions and growth in affluence, an increasing number of people have adopted air-conditioning systems today. The country is currently witnessing a huge demand in the segment and many efforts have been undertaken in this sector to ensure energy-efficient technologies. They say, 'Change is the only constant'-in the same vein, innovation seems to be the new factor that remains constant in the HVAC industry. Hence, with the introduction of the latest innovative technologies, the segment has witnessed a positive momentum that is nothing short of - well! - cool. CASE STUDY Project: Terminal 2 at Chhatrapati Shivaji International Airport Client: Mumbai International Airport Pvt Ltd Cost: About Rs 150 crore (air-conditioning and plumbing works) HVAC supplier: Blue Star Features: Blue Star's scope of work comprised supply, installation, testing, commissioning, handover, training, maintenance and warranty of all HVAC and plumbing systems. The equipment and material supplied under the HVA scope included six cooling towers of 2,500 TR each, 80 floor-mounted AHUs (air-handling units) ranging between 25,000 cfm (cubic feet per minute) to 55,000 cfm, 311 ceiling-suspended AHUs and FCUs (fan coil units) and 290 inline centrifugal and axial fans. It also comprised 1,600 variable air volume boxes, 21 primary and secondary chilled and condenser water pumps, 3.35 lakh sq m of air-conditioning and ventilation ducting and 23 km of piping. Perfect insulation, in the form of 2.65 lakh sq m of thermal insulation and 80,000 sq m of underdeck insulation, has been offered. Further, about 30,000 sq m of room acoustics, 2,600 jet nozzles, about 5,500 air outlets, 3,500 fire and volume control dampers, 60,000 sq m of fire-rated ducting as well as the corresponding electrical and building management systems have been supplied. Challenges: Blue Star faced several challenges while executing this project. Being a brownfield project, there were several concerns with respect to equipment and material handling, project clearances and material storage. A high-calibre project of this nature also necessitated meticulous planning of resources in terms of manpower, materials, tools and tackles, among others. Stringent safety and quality systems led to numerous stages of inspection at each and every activity level. Seismic supports were provided for all equipment and pipes, special custom supports were designed and installed for ducts supported by perlin, making the entire structure earthquake-proof. The working height at the terminal ranged from as low as 4.5 m to a height of 26 m, which was another challenge Blue Star overcame efficiently. Client's take: "GVK MIAL selected HVAC for its comprehensive and efficient systems. We are confident that these energy saving systems will help to reduce power consumption cost of the terminal Heating, Ventilation and Air Conditioning (HVAC) systems," shares GVK MIAL Spokesperson. Market moves Prashanth BS Iyengar, Senior General Manager, Central Airconditioning Products Division, Blue Star, shares his market analysis of the HVAC market. "After another relatively sluggish year presently due to 2014 elections, it is expected that from 2015, the entire construction industry will become more buoyant. The share of water cooled chillers in the market has been rising consistently due to the increasing importance placed on the building's energy-efficiency. Screw and scroll chiller markets were barely growing in 2013 due to several issues in the commercial construction segment, which is where these chillers are normally used. Centrifugal chillers with inverters account for a very significant portion of sales volume and it is likely that within the next several years, half of all centrifugals will be sold with inverters. Magnetic centrifugal models are being sought for lower capacity levels up to 450 TR. Sales of custom-built AHUs is still very high due to demand coming from infrastructure projects, which always need a high level of customisation. Recently, VRFs have started increasingly penetrating into the hotel sector, thus diminishing the potential of fan coil sales. Since some buildings may not have full occupancy after project completion, instead of installing chillers with full loading capacity for the whole building, developers often install VRF systems, which project partial cooling capacity only to the occupied area." To share your views on India's HVAC market, write in at feedback@ASAPPmedia.com

Related Stories

Gold Stories

Hi There!

Now get regular updates from CW Magazine on WhatsApp!

Click on link below, message us with a simple hi, and SAVE our number

You will have subscribed to our Construction News on Whatsapp! Enjoy

+91 81086 03000

Join us Telegram