contractors for meeting key energy performance
indicators (KPI) with regards to the performance
of the cooling system
DEVELOPMENT POLICY MAKING
Decision Making Process
Apar t from some developments such as
Putrajaya, KL Sentral and KLCC, township
development and engineering decisions are
made independently by different authorities, by
different decision makers, on different timelines
and with different design practices. Decisions on
DC are made without any proper guidelines and
more often are dictated by marketing trends and
commercial incentives rather than sustainability
objectives. “Green” technologies are marketed
with the objective to increase profitability; not
sustainable living.
Policy
Efforts by the Kementrian Tenaga, Teknologi
Hijau dan Air (KETTHA) through Low Carbon
Cities Framework (LCCF) have yet to bear fruit
as adoption by local authorities still leave much
to be desired. Lack of clear direction on energy
efficiency policies in Malaysia hampers the
growth of DC industry and exposes the players
and consumers to too many uncertainties.
Development of the DC industry should be put
on the same pedestal as the development of
other utilities such as, power distribution and
generation plants, telecommunication and water
supply scheme. DC requires integrated planning
to ensure viability and sustainability of the
business. DC investment is capital intensive with
a long gestation period. Therefore, without proper
planning during the project inception stage, a
DC provider may face financial difficulties in the
future and may not be able to provide quality
service to the customers. Examples of successful
integrated DC planning in township development
are KLCC, Putrajaya, Cyberjaya and KL Sentral.
Similarly, campus DC planning such as USIM and
UITM Puncak Alam benefit from savings in capital
expenditure and high utilization of assets by
using DC rather than having multiple in-building
chiller plants.
Figure 2 Shinjuku Tokyo DCS
plant
Sustainability Planning
Town planners often locate the DC plant at the
far-end corner for fear of unsightly cooling towers.
This practice further increases the capital cost
of serving the load due to distance. Practices in
other countries such as Japan Shinjuku DC Plant
(see Figure 2); have located the plant at the centre
of the township which helps ensure a sustainable
business.
Integrated planning between various utilities
also allows for resource efficiency. For example,
the DC plant may use treated water from a
waste treatment plant or drainage water from
the retention pond for the cooling tower use.
This encourages efficiency and conservation of
natural resources. However, without having proper
perspectives of planning these utilities, the lofty
ideals may come to nought.
IS A REGULATORY FRAMEWORK
THE ANSWER?
At this juncture, the DC business is unregulated
although it involves public safety, financial risks
and creature comfort. The current business model
is based on a “willing buyer-willing seller” basis.
Due to this, there are complaints of over-charging
by DC operators and poor quality of service or
the lack of it. On the other hand, the DC operator
relies entirely on the commercial contract with the
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