Growth in Saudi Arabia’s district cooling market is set to jump ahead of current world leader the UAE, according to new analysis.
A Frost & Sullivan report values the Saudi district cooling market at US$468.2 million, with an installed capacity of 1.25 million tonnes. The report attributes the expected growth to several main market drivers: a construction boom; innovative technologies; a growing demand for energy efficiency in cooling; and government stimulus through the Saudi Industrial Development Fund.
The market is dominated at present by commercial offices, but the report predicts that the retail sector will catch up, with a 30% market share by 2016.
‘Saudi Arabia has become one of the most attractive district cooling business hubs with 26% market share compared to 74% of the all the other Gulf Cooperation Council countries put together,’ said Kumar Ramesh, Frost & Sullivan’s industry manager, environment and building technologies, Middle East and North Africa.