Commercial Solutions

Case Study

heat pumps

Case Study
Scotts Road, Singapore
on Scotts Road, close to the famous Orchard Road and

Royal Plaza on Scotts Hotel
The Problems
Royal Plaza on Scotts hotel Management and Engineering staff were also vitally concerned with: i. Ageing boilers that were costing US$7,000 per annum in maintenance costs alone. ii. Unacceptable carbon emissions from the diesel boilers. iii. Fire and workplace environment hazards associated with the boilers. Situated in an exclusive position

exclusive shopping district of lively Singapore, the Royal Plaza on Scotts hotel is a landmark hotel. Voted “Best City Hotel” by Travel Trade Gazette Asia, the Royal Plaza on Scotts is a hotel that not only takes care of its clientele but also has a watchful eye on the environment. In 1997 facing ever increasing diesel fuel prices and mindful of environmental concerns, the Royal Plaza on Scotts replaced its ageing diesel boiler with Quantum Energy heat pumps. At that time the hotels average 145,000 litres per day of hot water use was costing around US$80,000 per annum. However it was not just cost that drove this decision.

Saved over US$35,000 a year
on diesel fuel and boiler maintenance

Return on Investment
that the Royal Plaza on Scotts had achieved was

a remarkable 1.36 years.

The Solution
The decision to install Quantum Energy high performance units was influenced by the ability to combine large numbers of Quantum’s high efficiency Titan units and manifold them together forming a system which would cater for the hotel’s peak demand periods, without having to install extra storage capacity. This installation and resultant energy savings was studied by Singapore’s National Energy Efficiency Committee (NEEC) and was found to have saved over US$28,000 of diesel fuel per annum and US$7,000 of annual boiler maintenance costs. Further the Singapore NEEC found that the Return on Investment (ROI) that the Royal Plaza on Scotts had achieved was a remarkable 1.36 years.

Quantum Energy’s International Sales Manager Mr. Robert McLean comments that “while these figures are very commendable in themselves, one should remember that this was done in 1997. Diesel prices then were around US$0.70/litre. Now with current pricing the payback (ROI) for a system installation such as in this particular case, would be closer to only one year.” Additionally, in 1997 while far sighted organisations such as the Royal Plaza on Scotts hotel were concerned with environmental impact, no–one was talking carbon abatement figures. Mclean has calculated that this installation alone saves around 35 MT of carbon dioxide emissions every year. Quantum Eco Hot Water heat pumps are a total solution for replacement of electric, gas or diesel hot water systems in commercial environments. The Quantum range includes self storage units and expands up to large water sourced models for hotels and commercial operations which have a large ongoing need for hot water. All Quantum models feature proprietary tankwrapTM technology which delivers excellent cost savings and reduction in green house gas emissions.

Quantum Energy
Titan hot water heat pumps

Typical installation of

For more information on this installation please visit the Singapore Governments National Climate Change committee website. building/HP-RPS.pdf

Example of Potential Savings
Potential Financial and Environmental Calculations
A 300 room hotel with 80% occupancy wishes to evaluate both the financial and environmental impacts of changing current diesel fuel boiler water heaters to Quantum Eco Hot Water heat pumps. The hotel currently uses around 78,000 litres per annum of diesel to cater for hot water demand.

Current Diesel Boilers
Diesel Used (Litres/Annum) Cost ($US/Litre) Diesel Cost ($US/Annum) Maintenance Cost Boilers ($US/Annum) Total Costs Diesel Boilers ($US/Annum) Desired Hot Water Temperature (°C) Air Temperature Ambient (°C) Water Temperature Ambient (°C) Power Requirement (kW/Day) Quantum 134CAW2 Heat Pumps required (Quantity) Power Output 134CAW2 (kW) Power Input 134CAW2 (kW) Heat Pump Run Time (Hours/Day) Power Consumption Heat Pumps (kWh) Cost Daily Running ($US) Heat Pump Annual Operating Cost ($US) 78,000 1.12 87,360 5,000 92,360 50 25 25 122 3 48 11.43 17 583 64 23,405

ROI Calculation
Cost Of Three Installed Quantum Energy 134CAW2 Heat Pumps ($US) Annual Operating Cost Of The Quantum Units ($US) Current Annual Operating Cost Of Boilers ($US) Return Investment of Purchase and Operation (Years) Five Year Cash Flow ($US) Net Present Value Of Project ($US) 96,624 23,405 92,630 1.4 249,503 170,000

Environmental Considerations
Estimated Carbon Dioxide Reduction (MT CO2/Annum) 33

Quantum Energy Technologies Pty Ltd
ABN 88 095 959 327 Phone: +61 (2) 9699 7444 Web: Postal Address: PO Box 553 Strawberry Hills, NSW 2012 Australia

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