Emirates Central Cooling Systems Corporation (Empower), district cooling provider, has announced that it has recently cleared a half-yearly loan installment of Dh83 Million, part of the syndicated loan facility from a consortium of banks with Emirates NBD being the facility agent.
The company said the clearing of the installment is part of its commitment to settle its loans on schedule.
This loan was used to build Empower's plants and networks in Dubai International Financial Centre (DIFC), Business Bay, Mirdif, TECOM C and Al Quoz projects.
CEO of Empower Ahmed Bin Shafar said: "Our company has succeeded in positioning itself as a major player in the global district cooling industry through prudent management. Clearing our loans on scheduled demonstrate the robustness and sustainability of Empower's business model and effectiveness of its financial strategy. Empower had total loan of approximately AED 1.2 billion, of which the current outstanding balance stands at Dh580 million".
Bin Shafar said: "Empower has adopted a business model that works on the strategy of investing in plants and network infrastructure driven by actual demand in specific projects. This has resulted in sustainable growth and avoided unproductive investments and financial losses. Our prudent and conservative strategy has also been acknowledged by the banks and financial institutions."
Empower is providing district cooling services which significantly reduces energy consumption as compared to traditional air conditioning systems. District cooling services achieve economies of scale by using centralised plants instead of individual cooling units in each building. The centralised system results in reduced capital and operating costs, thus lowering air-conditioning set-up and energy costs per building.