issue 1 / 2009 an abb group publication intouchfile/abb+intouch+1_2009.pdf6 abb intouch 1/2009 abb...

LongmeadowA shining example of environmental best practice

When a great plan comes togetherGetting to know ABB South Africa’s new legal counsel, Bobby Barua

Youth in energyAn exciting programme at underprivileged schools in the Eastern Cape

Ultra-high voltageABB commissions switchgear rated at more than one million volts

Issue 1 / 2009An ABB Group publication

inTouch

Cities that consume 30% less energy?

Certainly.

As a leading producer of energy-efficient solutions, ABB helps deliver

major power savings, without compromising performance. Our lighting

control systems can deliver power savings of up to 50 percent, and our

building automation up to 60 percent. While everyone else is talking

about energy prices, power shortages and climate change, ABB is doing

something about it, right here, right now. www.abb.com/energyefficiency

�ABB InTouch 1/2009

4 Editorial

6 ABB South Africa reports strong growth

Record power and automation business

achieved in 2008.

7 ABB helps Eskom boost power transmission capacity

FACTS technology will boost capacity and

enhance grid efficiency.

7 Technology Top 100 recognition

8 Solid operational results in a demanding market

The ABB Group achieved record revenues,

EBIT and cash from operations in 2008.

8 Robust solutions for mining project in Mozambique

Electrification and automation to maximise

efficiency of coal handling plant.

9 Ultra-high voltage � ABB commissions switchgear rated at

more than one million volts.

10 When a great plan comes together

� ABB South Africa’s new legal counsel,

Bobby Barua.

12 Longmeadow: environmental best practice in action

The company’s new headquarters is

a shining example of a green building

incorporating the latest environmental

concepts and technology.

14 An exciting journey of advancement

ABB South Africa’s Information Systems is

undergoing a radical makeover.

15 IT: culprit or catalyst? Are IT departments missing

an opportunity?

16 Medium voltage is buzzing Boosting the capacity of the medium

voltage business unit.

17 Youth in energy ABB South Africa and the WWF are partners

in an exciting programme at underprivileged

schools in the Eastern Cape.

In this issue 1 / 2009

Managing Editor:Chesney�Bradshawchesney.bradshaw@za.abb.com

Assistant Editor:Eubulus�Pillayeubulus.pillay@za.abb.com

Editor – Power Technologies:Shivani�Chetramshivani.chetram@za.abb.com

Editor – Automation Technologies:Nicoline�Venternicoline.venter@za.abb.com

inTouch

Technology Solutions is published on behalf of ABB South Africa by:

Syzygy�MediaTelephone: +27 82 552 �1�7brandon@syzygymedia.co.za

This publication was designed, compiled and produced on behalf of ABB South Africa by Syzygy Media. Whilst the compilation and production of ABB inTouch is done with great care and attention and every effort is made to prevent mistakes, neither ABB in Southern Africa nor its principals or subsidiaries, nor Syzygy Media, accept any responsibility for any errors or the consequences thereof.

ABB South Africawww.abb.com/zainfo@za.abb.com

Telephone: +27 (0) 860 ABB 12� / 0860 222 12�

Address: 2 Lake Road, Longmeadow Business Park, ModderfonteinPostal: Private Bag X10004, Edenvale, 1610

In this issue

Contents

9

12

4 ABB InTouch 1/2009

ABB South Africa’s concerted focus on providing

its customers with leading-edge power and auto-

mation technologies, world-class engineering and

superb customer service has contributed to our

company performing exceedingly well in recent

years. Last year, for example, was a record year

(there’s more about the results inside this issue).

We started 2009 on a strong footing by winning

large orders in both our power and automation

businesses. One order worth R380-million

($53-million) was from Eskom, to strengthen

the transmission network in the Western Cape

region. Another order, worth R230-million

($32-million), was from Vale in Mozambique for

complete electrification and automation solutions

at a new coal mine.

Since starting operations in this country in 1992,

ABB has continued to grow and expand its local

manufacturing and engineering operations. We

manufacture AC machines, medium voltage

switchgear, low voltage switchgear, power

electronics systems, rectifiers and high voltage

systems in Johannesburg, as well as enclosures at

our factory at Botshabelo in the Free State.

We have continued to expand and build

engineering capabilities in our power and

automation businesses. Our local engineering

capabilities in the power business for utilities and

industry include substations, HVDC, FACTS,

power station plant instrumentation and control,

and MV switchgear. In our automation business,

engineering capabilities include integrated

solutions for control, motors, drives, power

electronics, plant optimisation and industry-

specific application knowledge. We serve

many industries, including oil and gas, mining,

metals and minerals, electricity, chemicals

and pharmaceuticals, pulp and paper, marine

and turbocharging.

This year is an exciting one for ABB in South

Africa. We will further strengthen our local

organisation when we move into our new head

office, manufacturing and logistics centre at

Longmeadow, Johannesburg. These state-of-the-

art facilities will offer our customers even greater

quality in manufacturing and engineering services

under one roof, and a centralised logistics

operation – making ordering easier and faster.

The new ABB building will showcase our

building automation technologies, demonstrating

ABB’s capabilities in this growing area. Building

automation technologies enable companies to

save energy in their buildings, offices and

industrial premises by controlling lighting and

HVAC (heating, ventilation and air-conditioning)

systems. We have, however, gone further by

ensuring that our building incorporates the most

up-to-date green building technologies, processes

and systems in the country. (An article in this

issue of InTouch highlights our green building

philosophy and technologies.)

Investment in our operations and people in

South Africa demonstrates our commitment to

our customers throughout the country in utilities

and industry. Through our global technology and

local expertise we are committed both to

supporting public sector initiatives to develop

and build electricity infrastructure and to

providing products and systems that help

increase industrial customers’ competitiveness

and energy efficiency.

It is tremendously important for ABB South

Africa and its employees to keep focus on the

needs and requirements of our customers in

power generation, transmission, distribution and

industry. As we have done in previous years,

building our business in South Africa into the

leadership position it holds today, we will

continue to focus on serving our customers with

leading global technology and engineering skills

that provide the best solutions for our customers

in this country.

Carlos Poñe

CEO and Country Manager

for ABB South Africa

Carlos Poñe.

Editorial

Focusing on customers

ABB InTouch 1/2009

The skills shortage has challenged corporate

South Africa to contribute to fast tracking

projects that can support industry. At the same

time, the economic downturn is placing a sharp

focus on the necessity for corporate social

investment projects that contribute meaningfully

towards economic growth and social develop-

ment in the long term.

A sphere of industry where skills need to be

urgently increased, and where programmes

continue to appeal to corporate investment, is in

electrical and mechanical engineering at college

level – to support the country’s massive electricity

infrastructure capacity strengthening project.

ABB South Africa recognised this challenge in its

early stages and had discussions with various

industry organisations before beginning to work

closely with the Swiss-South African Co-operation

Initiative (SSACI). Last year, ABB South Africa

invested R1.5-million in a SSACI project to

support technical skills development at

disadvantaged technical colleges.

This working relationship has developed into a

fruitful partnership, producing considerable gains

for the longer term.

To backtrack briefly, between 2002 and 2007, the

Department of Education undertook a major

overhaul of secondary-level technical colleges,

the mainstay of pre-service technical skills training

for many decades. More than 150 small colleges

were rationalised into 50 multi-campus institutions

– called Further Education & Training (FET)

colleges that were then massively recapitalised.

The curriculum was revised and rebuilt around a

new National Certificate (Vocational), a three-

year programme prioritising skills in growth

sectors of the economy. The first intake of NCV

learners was in January 2007. They are due to

graduate in December 2009.

Although the NCV was praised for its strong

academic underpinnings, the programme needed

a strong practical link with industry. The SSACI

project assists colleges struggling to implement

the NCV effectively because their staff are under-

qualified in both technical and teaching skills

and lacking in recent industry experience.

ABB is involved in the programme to help

bridge the academic learning by providing

learners with workplace-based experience and

lecturers with industry relevant training.

SSACI believes FET colleges, with their high

student enrolments and easy accessibility, will

be the main pipeline for intermediate-level

technical and vocational skills in future. The

NCV has the potential to be an excellent

foundation upon which a wide range of

vocational and occupation-specific training

programmes can be placed. It equips learners

for employment in a modern economy with

rapidly developing technology and ever-

changing skills needs.

The FET sponsorship was in line with ABB South

Africa’s commitment to the goals of the govern-

ment’s growth and skills programmes with an

emphasis on fast-track engineering skills devel-

opment. It acknowledges that South Africa faces

huge challenges in the area of technical skills.

We look forward to the programme promoting

college-industry partnerships and helping to

develop participating colleges as centres

of excellence.

A large number of learners enrolled for the new

engineering curriculum at FET colleges are set to

benefit from the project as SSACI involves other

companies with Swiss links.

Important to ABB was the involvement of all key

stakeholders. SSACI is running the project in

collaboration with the national Department of

Education, the provincial departments of

education and an initial group of four FET

colleges in three provinces – the Western Cape,

KwaZulu-Natal and Gauteng.

The colleges are the South West Gauteng College

in Johannesburg; Umfolozi College (Richtek

Campus) in Richards Bay; Umgungundlovu

College in Pietermaritzbug, and the College of

Cape Town.

ABB was one of the first companies to embrace

the project. Other Swiss companies that have

shown interest are Buhler, Schindler, Holcim and

Nestlé. Local companies are also canvassed to

provide internships.

As a large player in the power and automation

business and a supplier to utilities and industry,

ABB South Africa believes this programme has

the potential to make a significant contribution to

more effective skills training in public colleges.

Nthabiseng Dube

Group Marketing & Communications Director,

ABB South Africa

Special message

5

Nurturing skills at technical colleges

Nthabiseng Dube.

6 ABB InTouch 1/2009

ABB South Africa, a subsidiary of the global

power and automation technologies group,

reported a 45% increase in revenue to

R3.3-billion, and power and automation orders

of R4.4-billion – up more than 50% – for 2008.

Carlos Poñe, CEO of ABB South Africa, said

rapid infrastructure development in power

generation and transmission to support demand

in mining, oil and gas and other sectors drove

growth in South Africa and sub-Saharan Africa.

“It has been an excellent year for ABB in South

Africa,” he said. “Our broad portfolio of products

and services in our power and automation

divisions continue to sustain our growth.”

To accommodate its expansion, ABB South Africa

and its developer have invested R400-million in

new Gauteng premises at Longmeadow, Johan-

nesburg. The modern manufacturing centre will

be a green building incorporating solar heating,

grey water and an automated building system to

control all energy consuming equipment.

ABB South Africa has a strong local manufactur-

ing capability with four sites around the country

and employs more than 1 500 permanent staff.

Longmeadow will hold about 1 000 employees.

In 2008, ABB South Africa secured substantial

power and transmission orders. It won a

R149-million order for series capacitor banks at

Serumula on the Beta-Delphi 400kV transmission

line, and at Iziko on the Hydra-Poseidon 400kV

transmission line. The company also won a

R640-million contract from Matla power station to

upgrade control systems and instrumentation, as

well as an order worth R520-million to strengthen

the transmission network in the Western Cape

region. ABB also completed the Apollo converter

station upgrade worth R440-million.

ABB’s automation business performed

exceptionally well with more than R400-million

in mining contracts and large orders for drive

systems at Arcelor Mittal and Sappi. Other large

orders included a R110-million contract from

Sulzer for boiler feed pumps and a R40-million

rectifier plant order from Anglo Platinum.

Expansion in the business led to the company

employing more than 170 additional staff in

2008, training 28 engineering artisans and

investing in industry skills with the Swiss-

South African Co-operation Initiative (SSACI)

to support technical skills development at

FET (Further Education and Training)

technical colleges.

“In South Africa the demand for power

generation, transmission and distribution

products as well as energy-efficient equipment

remained solid throughout 2008,” said Poñe.

“Demand in industries such as oil, gas, metals

and minerals also remained positive, although

some smaller customers in the mining industry

began to delay investments in the face of the

current market uncertainty.”

Looking at the prospects for 2009, the CEO said

demand in the electricity market remains high

because of the renovation of South Africa’s

national power infrastructure.

“However, with the current market conditions, it

is difficult to make near-term forecasts about

growth and investments in the industrial sector,”

he noted.

Carlos Poñe, CEO of ABB South Africa, presents a strong set of results to journalists at the annual media briefing at the site of the company’s new premises in Longmeadow, Johannesburg.

Local news

ABB South Africa

ABB South Africa reports strong growthRecord power and automation business achieved in 2008 reflects balanced portfolio. By Chesney Bradshaw.

Journalists toured the head office, manufacturing and logistics centre under construction at Longmeadow.

7ABB InTouch 1/2009

ABB South Africa

Local news

ABB won an order worth R380-million

($53-million) earlier this year from Eskom to

strengthen the transmission network in the

Western Cape region.

ABB will design, manufacture, install and

commission six 765-kilovolt capacitor banks at

Alpha, Beta, Mercury and Perseus substations.

The installations, which form part of an

initiative to increase power capacity in Cape

Town and surrounding areas, will allow Eskom

more flexibility and reduce its reliance on the

existing Koeberg power station.

The compensators used in the project are part of

a family of technologies known as flexible

alternating current transmission systems (FACTS).

The order was booked in the fourth quarter of

2008 and is expected to be completed by 2010.

“ABB’s FACTS technologies allow more power

to be delivered more efficiently using existing

infrastructure,” said Peter Leupp, head of

ABB’s Power Systems division. “This reduces

the need to build additional transmission

lines, lowering environmental impact and

minimising cost.”

The project includes ABB’s Mach2 technology,

which is an advanced control and protection

system, and the most widely applied platform

for HVDC (high voltage direct current) and

FACTS solutions. It brings the benefit of

fast, flexible, real-time control. Fuseless

capacitor units and high-speed bypass switches

will further increase system reliability.

“This project offers ABB the scope to yet again

partner with Eskom to achieve its priority on

the delivery of efficient power,” said Carlos

Poñe, CEO of ABB in South Africa.

ABB is a pioneer in FACTS technologies, with the

largest installed base in the world. Eskom has

awarded ABB a number of contracts in recent

years, including a $90-million order to upgrade

control systems and instrumentation at the Matla

power plant in north-eastern South Africa.

For help with any technical terms in this article,

please go to: www.abb.com/glossary

Helping Eskom boost power transmission capacityFACTS technology will deliver more power and enhance grid efficiency. By Shivani Chetram.

ABB South Africa was a qualifier in the

prestigious Technology Top 100 (TT100)

awards held in Johannesburg in February.

The 2009 ceremony acknowledged 71 South

African companies out of the approximately

500 that entered.

The TT100 awards, an initiative by the

Department of Science and Technology, aims to

reward companies that have achieved success

using technology, innovation and people.

Companies were required to detail their

innovation in defined areas and prove their

business could meet the challenges of the

market through new technologies.

The Minister of Science and Technology,

Mosibudi Mangena, applauded the

winners and qualifiers. “We call on the

people of our nation to look with pride

on those who have made the technology

that can add value to the business

activities of investors, and benefit the

South African economy,” he said.

ABB submitted a detailed entry and attended

a three-hour adjudication process. Chesney

Bradshaw, Corporate Communications and

Sustainability Manager for ABB South Africa,

said it was important that ABB subject itself

to such local awards to assess its technology

standing in the marketplace.

Technology Top 100 recognition ABB South Africa was a qualifier in the recent prestigious awards.

ABB South Africa was one of 71 companies that qualified from the 500-odd that entered the technology awards.

8 ABB InTouch 1/2009

ABB International

Global news

The ABB group achieved record revenues, EBIT and cash from operations in 2008.

For the full year ending December 2008,

ABB’s orders rose 11% (local currencies: 7%)

to $38.3-billion and were up in all divisions

except Power Systems.

Revenues were supported in the fourth quarter

by the strong order backlog, which ended the

year at $23.8-billion, up 5% (local currencies:

14%) compared to the end of 2007.

Earnings before interest and taxes (EBIT) and

net income in the fourth quarter were reduced

by previously announced provisions, but full-

year EBIT nevertheless reached a record

$4.6-billion.

Cash flow from operations was $1.4-billion

in the fourth quarter and reached a record

$4-billion for the full year, while free cash flow

for the full year amounted to $2.9-billion.

“Our solid revenue growth and cash flow in the

quarter show the underlying operational

strength of the company,” said Joe Hogan,

ABB’s Chief Executive Officer. “Orders were

down as customers delayed projects or cut

capital expenditures. But the long-term drivers

of our business – to increase energy efficiency,

secure reliable power and improve industrial

productivity – have not changed.

“The outlook for 2009 remains uncertain,”

Hogan said. “We are taking steps now to ensure

that we remain competitive, no matter how the

market develops. With our leading market

positions and technology, combined with a

flexible global production base, we aim to come

out of this downturn in a stronger competitive

position and we confirm our 2011 targets.”

Management’s priority for 2009 will be to

ensure that the company has the flexibility to

respond quickly to changing market conditions,

taking advantage of its global footprint, strong

balance sheet and leading technologies to

improve its cost competitiveness while simulta-

neously tapping further opportunities for

profitable growth.

Joe Hogan, ABB’s Chief Executive Officer.

ABB has won a R230-million ($32-million)

order from Vale in Mozambique for complete

electrification and automation solutions to

maximise productivity, monitor energy use

and minimise energy consumption at a new

coal mine.

The new mine is one of Vale’s major invest-

ments in Africa and will be built at Moatize,

in Tete province. When completed, it will

have a nominal capacity of 11 million tons

per year: 8.5 million tons of metallurgical

coal and 2.5 million of thermal coal.

“ABB’s vast industry experience, combined

with our comprehensive automation and

power offerings, provide our customers with

the robust solutions they need for these large

scope projects,” said Veli-Matti Reinikkala,

head of ABB’s Process Automation division.

“Our ability to provide a complete scope of

supply, global expertise and excellent local

resources helped us to win this order.”

Construction of the entire facility will take an

estimated 36 months, and ABB’s portion of

the work is expected to be completed by the

end of 2010.

“We are thrilled to have won this project as it

demonstrates ABB’s global and local

capabilities combined to benefit our

customers,” said Carlos Poñe, CEO of ABB in

South Africa. “It also shows our specialised

industry-specific knowledge within mining

and energy efficiency solutions.”

Robust solutions for mining project in Mozambique Electrification and automation to maximise efficiency of coal handling plant. By Nicoline Venter.

Solid operational results in a demanding market

9ABB InTouch 1/2009

Global news

ABB International

ABB has commissioned a switchgear rated to

handle more than one million volts (1 100kV),

touching new heights in terms of global

voltage levels.

The ultra-high voltage gas-insulated switch-

gear (GIS) has a switching capability of 6 900

megawatts, which means it can turn power

equivalent to the average electrical consumption

of Switzerland – a country with more than

seven million inhabitants – on or off within

milliseconds.

ABB successfully designed, tested and

commissioned the GIS for a pilot project

launched in 2006 by State Grid Corporation of

China to demonstrate the feasibility of AC power

transmission at ultra-high voltage.

The GIS is a central component of ultra-high

voltage electricity transmission designed to carry

huge amounts of electricity over vast distances

with very low losses. ABB completed the

assignment in just two years with technology

partner Xian Shiky, a leading Chinese switchgear

manufacturer that worked in close co-operation

with ABB throughout the project.

“This is a breakthrough that will serve as a

benchmark for future ultra-high voltage projects

and is another example of ABB’s constant quest

for technological innovation and commitment to

energy efficiency,” says Bernhard Jucker, head of

ABB’s Power Products division.

State Grid has announced plans to invest more

than $14-billion in the next three to four years to

expand its ultra-high voltage (UHV) network.

Ultra-high voltage transmission reduces power

losses and requires a smaller transmission

corridor than conventional technologies. It is

particularly suitable for countries like China,

where energy resources are often far from the

centres of power consumption.

ABB pioneered gas-insulated switchgear 50 years

ago. This application level is the biggest leap in

capacity and efficiency of AC power transmission

in more than two decades.

Ultra-high voltageABB commissions switchgear rated at more than one million volts.

The ABB switchgear installed at Jingmen substation in China.

Ultra-high voltage transmission reduces power losses and requires a smaller transmission corridor than conventional technologies.

Starting his legal career as a research clerk in

the Constitutional Court, Bobby Barua, ABB

South Africa’s recently appointed general

counsel, had the privilege of participating in

some of the most groundbreaking decisions of

South Africa’s new democratic era.

“While clerking for Justice Kate O’Regan in

the year before the 1999 elections, one of the

cases before the court at that time was whether

prisoners should be given the right to vote,”

he recalls.

“A revolutionary socio-economic issue brought

before us was the Grootboom case in which the

court was asked to give effect to the

constitutional right to adequate housing. And a

matter which captivated the country and the

media was that of South African Rugby Football

Union head and business tycoon Louis Luyt,

who wanted then-President Mandela to give

evidence in a civil matter in relation to the

performance of his duties.

“This was an invaluable beginning to my

legal career and it sparked a deep interest in

When a great plan comes togetherJudy Gilmour, freelance journalist, spoke to ABB South Africa’s new legal counsel, Bobby Barua.

Legal and compliance

Profile

Bobby Barua, ABB South Africa’s recently appointed general counsel.

10 ABB InTouch 1/2009

11ABB InTouch 1/2009 11

constitutional law,” says Bobby, who has BA and

LLB degrees from the University of Cape Town.

After 18 months at Constitutional Hill, Bobby

served a six-month pupilage period to become

an advocate, under the guidance of Advocate

Azhar Bham. His focus was mainly on

commercial and labour law, with occasional

criminal work. When he was admitted to the

Johannesburg Bar he found the life of an

advocate very insular. “It is a highly academic

profession and it can be very competitive.

Starting out on one’s own and striving to set up

a client base was very challenging.”

After three years as an advocate, Bobby moved

into the corporate world as AngloGold Ashanti’s

Head of Compliance. With the mining group

having an international presence, he travelled

extensively, throughout Africa, the Far East,

Europe and South America.

“This was a wonderful opportunity for me as it

was a newly created position and I had to set

up the function from grassroots level.”

At the beginning of this year Bobby joined

ABB as General Counsel – South Africa and

Southern Africa, based at head office in

Sunninghill, Johannesburg. As head of ABB

Legal and Compliance, his experience as an

advocate is proving invaluable. “It taught me

how to think independently, it refined my

research skills and instilled a culture of

integrity. All these qualities serve me well in my

present position.”

Although still new in the job, Bobby says he is

impressed by the high quality of the ABB

systems and processes that form part of the

compliance function. “Also inspiring is that

there is commitment from the highest level to

doing the right thing.”

Comparing the corporate world to the more

isolated life of the advocate, Bobby says being

part of a large multinational means far greater

interaction with a diverse range of disciplines,

cultures and nationalities. “It also allows one to

live a more balanced life.”

Part of that balanced lifestyle, for Bobby,

includes much adoration for his Jack Russell

terrier and black Labrador – Chilli and Pepper. It

also means time for family and friends, theatre,

television and reading, with The Economist

always first priority in a busy schedule.

Strong on sustainability issues, he aspires

towards a paperless environment and pushes the

print button only when absolutely essential.

Born with celebral palsy, Bobby makes use of a

motorised wheelchair, and getting his driver’s

licence ten years ago was a defining and freeing

moment. “Public transport, particularly in South

Africa, is not friendly to those with disabilities.”

He serves as the ABB representative on the

working group of the African Employers for

Disability. This infant organisation is supported

by some of South Africa’s top corporates,

including Sasol, Absa, Standard Bank, Nedbank,

KPMG, Ernst & Young, SABMiller and

Barloworld to name a few. The organisation

aims to give effect to an overlooked provision of

the Employment Equity Act – to bring more

disabled people into the workforce.

“We have made great strides in bringing black

and female employees into the workplace and

now need to focus on doing the same for the

disabled,” says Bobby.

Through the forum, companies share best

practice on how to accomplish this aim and how

to most effectively accommodate disabled

people – down to the detail of building

entrances and bathrooms, appropriate

equipment and supplier lists, and working with

recruitment agencies specialising in disabled

workers. “We hope in the near future to

establish a database for disabled workers

containing their details, experience and

qualifications so potential employers can easily

access them,” says Bobby.

In his personal capacity, Bobby is a member of

the Policy and Strategy Committee of The

National Council for Persons with Physical

Disabilities. While this focuses on physical

disabilities, Bobby would like to see more done

for those with mental disabilities. “These are

often hidden in the workplace and those affected

also need to be accommodated and helped.”

Although his parents are from Bangladesh, Bobby

was borne in Serowe, Botswana, and attended

school in Bulawayo in Zimbabwe and Rustenburg

in North West Province. He is the only one in the

family to have pursued a career in law. “It is an

empowering profession and has enabled me to

effectively ‘stand up’ for myself and others,

despite this not being physically possible.”

Bobby considers himself to be highly privileged

despite his disability because of the

opportunities he has been given and the people

who have supported him throughout his life and

career. He looks forward to an invigorating

experience at ABB.

Legal and compliance

Profile

“We have made great strides in bringing black and female employees into the workplace and now need to focus on doing the same for the disabled.”

12 ABB InTouch 1/2009

ABB South Africa’s new headquarters, factory and logistics centre on a 96 000m2 site at Longmeadow near Modderfontein, Johannesburg, is a shining example of a green building built with the very latest environmental concepts and technology. Dave McDermott, a former business journalist, investigates.

Longmeadow:Green building

Developments

Lessening environmental impact to slow

down global warming and halt its

devastating effect of polar ice melts and rising

sea levels is an international imperative.

It is a scenario that ABB worldwide takes

serious cognisance of, and here in South Africa

we have a shining example of how we put into

practice what we preach: ABB South Africa’s

new headquarters, factory and logistics centre

on a 96 000 square metre site at Longmeadow

near Modderfontein.

The building symbolises a change of mindset that

is occurring throughout South African commerce

and industry. Longmeadow demonstrates an

impressive depth of research and focus on

design, construction, facilities management,

automation, recycling and ongoing minimal

environmental impact.

From the outset, ABB South Africa took

decisions to implement green elements into the

construction at Longmeadow and became one of

the first companies to put the green ethos into

practice at significant levels.

Chesney Bradshaw, Sustainability Manager for

ABB South Africa, points out that lighting and

air-conditioning account for the lion’s share of

energy use in a building and that a 35% saving

can be achieved through energy efficient

technology and systems.

“The return on the investment can be high and

the payback period relatively short. ABB South

Africa also intends adhering to ABB’s ‘Green

Building Policy’ that includes an internal

verification system for buildings.”

Longmeadow will reduce energy through use of

solar heating, recycling heat from air-conditioning

motors, extensive use of “grey water” and by

implementing building automation systems

developed by ABB.

The man driving the ABB Longmeadow

construction and design is Project Manager Paulo

David, who provided the following detail of the

building’s green elements:

A daily average of 15 cubic metres of “grey

water” from showers and hand basins in the

complex will be collected, cleaned and recycled.

Thereafter it will be piped into the toilet

reticulation system and used to flush toilets.

There is a rainwater collection system. The

22 000 square metre roof area is designed as a

catchment. Should a rainstorm deliver ten

millimetres of rain, 2 220 litres of rainwater will

be diverted from the roof into two attenuation

ponds, and then to tanks from where it can be

used to water gardens and top up water

features. A ball-valve system automatically

distributes this water.

A north-facing solar heating system on the roof

heats water delivered to the showers. This

natural, free energy source replaces electrical

heating and does not produce carbon emissions.

Energy consumption for the building’s heating

system is also reduced with a heat reclaim pump

system that captures hot air from the air-

conditioning system and diverts it to supplement

the building’s boilers.

The building’s H-shaped design contributes to

lower energy demand for lighting by ensuring

that office workstations are located on the

outside edges of the building where they receive

A shining example of environmental best practice

A north-facing solar heating system on the roof heats water delivered to the showers.

ABB InTouch 1/2009

good natural light. Each workstation is fitted

with a photo-sensitive switch that turns on low-

energy lights when people arrive and off when

they depart. All service areas are located in the

middle of the building, with 12V down-lighters

and emergency lighting installed.

In the factory section, low-energy compact

fluorescent lights are fitted. The power

reticulation grid to the lights allows individual

units within the factory to turn lights on and off

as required. When overtime is worked, only the

section involved need be lit.

Building insulation and air-conditioning were

other areas where energy efficiency was top of

mind. The open basement was designed for

effective natural ventilation. Fans are fitted but

have carbon dioxide detection meters that

automatically turn air-conditioning on when

carbon dioxide reaches a pre-determined level.

The fans and air-conditioning plant are driven

by ABB low energy, high efficiency, variable

speed drives that use energy more efficiently

and pick up speed in a slow, controlled

manner that eliminates high power demand

burst at start-up.

Temperatures in the basement in winter can be

as low as five degrees Celsius and therefore the

ground floor’s 200 millimetre-thick concrete

slab is insulated with a Styrofoam layer 100

millimetres deep, as are the walls and roof. The

insulation ensures that the air-conditioning

plant is 20-30% more efficient in maintaining

the right temperature.

Last but not least is the ABB Building Manag-

ment System (BMS), which is programmed to

automate, control and manage all energy

demands within the building – resulting in the

entire operation being as energy efficient as

possible. The BMS provides a wide range of

control functions, including fire control, security,

power monitoring and air-conditioning control.

Variable speed drives, or VSDs, provide infinite

control over the speed of motors driving pumps

and fans, maximising the building’s environment

by matching the temperature and humidity to

the demands of the prevailing weather and the

number of occupants.

The other major advantage of VSDs is energy

saving – by controlling the speed of the motor,

energy usage is controlled via the BMS and

results in significant cost savings. Lower pump

speeds extend mechanical life and reduce

maintenance costs.

Llewellyn van Wyk, a construction sector expert

at the CSIR, summed up the green building

concept in a recent address to delegates at a

Council for the Built Environment lecture at

Pretoria University. As reported by Engineering

News, he said that if green buildings are to gain

credibility, they must include respect, and even

have reverence for, the multi-dimensional and

evolving potential of the human experience way

beyond the indoor and external environment.

ABB South Africa is confident that Longmeadow

Park will live up to this aspiration.

Green building

Developments

1�

ABB’s new head office and manufacturing centre at Longmeadow, Johannesburg – an impressive depth of research and focus on design, construction, facilities management, automation, recycling and ongoing minimal environmental impact.

14 ABB InTouch 1/2009

Green IT

There is never a dull moment with the

ABB South Africa Information Systems

team, and things have been particularly exciting

over the last 12 months with planning and

implementation of two key business initiatives –

adoption of the SAP enterprise software

solution in line with the OsA initiative (One

Simple ABB) and the planned relocation of ABB

businesses and factories to Longmeadow.

“Both of these initiatives are very closely

aligned,” said ABB CIO Marlon Reddy. “The

objective for the IS team is to ensure that we

have the right infrastructure and IP backbone to

support the business at Longmeadow.”

In implementing SAP the IS department evaluated

the existing IT infrastructure and opted for a new

business-critical architecture based upon blade

server technology and the achievement of high

availability and redundancy. Blade centre servers

are also more energy efficient – in line with the

green building status of Longmeadow – and will

enable ABB to move towards the adoption of

virtualisation, another technology that will further

reduce energy requirements.

“By introducing blade technology and

virtualisation we will be immediately reducing

the number of servers we require for our

operations,” said Reddy. “This allows freedom to

achieve further consolidation by means of

significant reduction in the number of servers

and data storage requirements.”

A detailed study of the IT infrastructure was

conducted, driven by the need to optimise

resources and obtain more efficient distribution

of servers and storage. The outcome was a

recommendation that ABB could significantly

consolidate its IT infrastructure and create an

environment that would allow a move to

virtualisation in well defined steps.

Planned for this year is commencement of the

rationalisation of servers with VMWare

technology. Essentially, virtualisation allows one

server to do the job of multiple servers with the

technology enabling the resources of a single

server to be shared across multiple environments.

Virtual servers and virtual storage allow multiple

operating systems and multiple applications to be

hosted locally and remotely without physical or

geographical limitations.

So virtualisation has a huge impact on costs.

Savings accrue in many ways, including reductions

in space required and the cost of server and

system maintenance drops. Other savings can be

achieved on data centre costs, including air

conditioning and cooling, uninterruptible power

supplies and generator systems.

Achievements of the IS department already

include:

The commissioning of a Telkom VPN (virtual

private network) solution that will increase

capacity and provide high levels of

redundancy and availability essential for the

new applications such as SAP.

The establishment of a new SAP ERP

landscape with high availability and

redundancy and the successful migration of

the SAP HR and Payroll system to the new

ERP landscape. The application is now live.

The “Siza ABantu” project to replace the

existing helpdesk with an upgraded solution

that is expected to bring significant

improvements in service level management.

Implementation of a Microsoft System Centre

Configuration Manager (SCCM). It assesses,

deploys and updates servers, clients and

devices across physical and distributed

environments and will address shortcomings

in IS asset management

and patching.

The overall goal is to significantly enhance and

evolve the IS infrastructure to global operational

standards. “Achieving this will improve end-user

experience and enhance the business value of

our information systems,” said Reddy.

When the move to Longmeadow takes place, the

department will ensure implementation of

An exciting journey of advancementABB South Africa’s Information Systems is undergoing a radical makeover to meet the needs of the rapid growth of the business in the country. From implementing SAP on energy-efficient blade server technology to implementing unified communications at Longmeadow, the IS team is supporting ABB’s competitiveness.

Marlon Reddy, ABB South Africa CIO.

Information systems

Blade servers will increase energy efficiency.

15ABB InTouch 1/2009

Information technology is surprisingly often

ignored in business initiatives that drive

positive changes in respect of CO2 emissions

and energy reduction.

Tim James of SustainableIT, a company special-

ising in implementing green technologies, be-

lieves chief information officers and IT depart-

ments are missing an opportunity. He says IT

should be providing the toolsets that allow

businesses to measure and reduce their emis-

sions and actively drive the process.

IT is largely ignoring its own emissions as well,

he says. In IT intensive organisations, such as

financial institutions, energy consumed by

technology amounts to as much as 40% of the

total energy consumed in the business. Not

enough is done to reduce this energy,

particularly in the PC environment where a

single PC and monitor can consume as much as

1 000 kWh per annum if left on continuously.

“If you are not using it, turn it off, even

at night!”

Technologies exist today that can automate

many of these processes without losing the

control that many IT departments desire.

James is convinced that CIOs need to embrace

the new carbon economy. Taking energy and

carbon out of the business, through a

measurable process, gives IT the opportunity

and ability to report on actual savings and

improvements to the bottom line.

technologies that require less by way of energy

and cooling, and the data centre space required

will be less than the current operations.

“The Longmeadow environment is one that will

allow us to simplify and streamline our IT land-

scape. Our focus now is on implementing key

technologies to drive flexibility and efficiency.

We will have a completely new IT infrastructure

at the new building with an IP-based network

that will allow multiple systems and applica-

tions to run on the same standardised architec-

ture. It will allow us to converge and integrate

all of the related technologies, and with such

compatibility we will be better able to manage

the entire environment.”

Unified communications at Longmeadow will

help to address key environmental concerns.

New and improved audio-visual, video

conferencing and teleconferencing facilities are

expected to generate significant benefits for ABB

through more effective communications that will

reduce the need for travel, contribute to energy

efficiency and reduce costs. Systems and

infrastructure that are in line with this overall

objective are being installed and aligned with

the ABB building management systems,

including those capable of automatic turnoff

overnight or when not in use.

Reddy added that the IS infrastructure and

capability will better support mobile and remote

work execution. “Unified communications will

also provide improved and more efficient means

for remote collaboration and teleworking.”

IT asset management is a major challenge and

the IS department has embarked on a drive to

ensure there is proper disposal or re-use of IT

equipment. “With SCCM, we will be able to

better manage our IT equipment and software

applications, with improved remote monitoring

and patching, thereby optimising on resources

and time.”

There will be advanced monitoring of the server

rooms at Longmeadow, including fire, smoke

and temperature variance detection, ensuring an

optimal operating environment and proactive

early warnings. The equipment includes

environmentally friendly gas blanketing for fire

suppression and protection.

Whatever has been planned is in line with the

overall group strategy to reduce the complexity

and hence reduce the operating costs of the

environment. “Longmeadow has given us a

unique opportunity to rebuild our IS

infrastructure to address the need for improved

performance, better security and greater energy

efficiency, while at the same time being more

cost effective. Further, with a business-critical

system such as SAP, the new infrastructure must

address the need for greater availability,

flexibility and reliability.

“There are building blocks in place. We have

the right architecture design to better support

the business currently and in the future. This

will enable the IS team to better support the

business in its drive to improve energy and

operational efficiencies,” said Reddy.

Green IT

Information systems

Tim James believes chief information officers and IT departments can play an important role in sustainability.

ABB South Africa has made major strides in Green IT at its Longmeadow premises. In this article Tim James of SustainableIT discusses the vital role that chief information officers and IT departments can play in climate mitigation – and points out some of the shortcomings in some IT departments around the world that have not yet caught on to their important role in this area.

IT: culprit or catalyst?

Information technology is surprisingly often

ignored in business initiatives that drive

positive changes in respect of CO2 emissions

and energy reduction.

Tim James of SustainableIT, a company special-

ising in implementing green technologies, be-

lieves chief information officers and IT depart-

ments are missing an opportunity. He says IT

should be providing the toolsets that allow

businesses to measure and reduce their emis-

sions and actively drive the process.

IT is largely ignoring its own emissions as well,

he says. In IT intensive organisations, such as

financial institutions, energy consumed by

technology amounts to as much as 40% of the

total energy consumed in the business. Not

enough is done to reduce this energy,

particularly in the PC environment where a

single PC and monitor can consume as much as

1 000 kWh per annum if left on continuously.

“If you are not using it, turn it off, even

at night!”

Technologies exist today that can automate

many of these processes without losing the

control that many IT departments desire.

James is convinced that CIOs need to embrace

the new carbon economy. Taking energy and

carbon out of the business, through a

measurable process, gives IT the opportunity

and ability to report on actual savings and

improvements to the bottom line.

ABB South Africa has made major strides in Green IT at its Longmeadow premises. In this article Tim James of SustainableIT discusses the vital role that chief information officers and IT departments can play in climate mitigation – and points out some of the shortcomings in some IT departments around the world that have not yet caught on to their important role in this area.

IT: culprit or catalyst?

16 ABB InTouch 1/2009

Medium voltage technology

Innovative technology

The ABB medium voltage business unit

is abuzz at the prospect of soon moving

to the group’s new home at Longmeadow,

Johannesburg, citing benefits such as increased

capacity and the ability to take a wider range

of high quality, high specification products to

market more quickly and efficiently and at the

right price.

Sha Khayyam, Local Business Unit Manager

Medium Voltage Products, said Longmeadow

Park would provide a much better working

environment with many advantages for his staff.

“We will take up approximately 30% of the total

factory area of the 18 000 square metres at

Longmeadow for our manufacturing operations,

and a further 10% for storage. Of the office

accommodation, we will take up about 20%.”

Product Group Manager for Medium Voltage

Products, Bryan Johnson and Technology

Manager Manie Jooste concur that major

benefits will accrue from materials handling

facilities at the new factory with its state-of-the-

art cranes, pallet jacks and other equipment.

The new accommodation will also eliminate the

need to travel to meetings.

“This is an extremely positive development that

we expect will have a considerable impact on

the cost efficiency of the business unit, which in

turn will have positive knock-on effects into the

market,” said Sha.

The business unit will be better placed to

consistently manufacture to the most stringent

international standards, with products being

the equal of anything made in Europe and

the United States.

Much work has taken place in the background

to standardise the medium voltage product

range and to ensure product quality is on a par

with that achieved in Europe. There is a strong

focus on looking after the needs of local

customers and on achieving economies of scale

without affecting the unit’s capability to meet

individual customers’ specialised needs.

Another focus is on technology, through

which opportunities to extend the range of

switchgear will be realised in the near future.

Through local research, development and

engineering, possibilities exist for introducing

new ranges of MV switchgear and extending

local testing capability to full international IEC

standard certification.

Great strides have been made in upgrading

and developing new products and the division

expects to launch a new range of protection

devices soon. Lighter, more compact sensors

have been developed to monitor wider ranges

of voltage and current in transformer systems.

Standardisation of these products will reduce

the cost to end-users and will make it easier

for customers to specify.

Circuit breakers now feature built-in sensors,

imbedded protection functionality and “plug

and play” technology, allowing them to be

connected to SCADA (supervisory control and

data acquisition) systems without hardwiring.

The division has invested a lot of effort into

adding value for customers. These efforts

enable it to offer customised, unique switchgear

panels tailor-made to the customer’s preference;

one such customer being the City of Cape

Town, which needs switchgear suited to the

coastal environment.

Another recent development is a self-powered

protection relay that eliminates the need for

batteries. Current within the system is converted

to operate the relay, a useful innovation for

remotely located or underground systems that

results in cost savings through efficiency and

reduced maintenance.

Particularly significant from a damage reduction

and safety improvement aspect is the division’s

work on arc eliminator enhancements to

protection devices that reduce fault occurrence

time. The devices are able to detect and clear a

fault within ten milliseconds, significantly

reducing or eliminating fault damage, plant

damage and, more importantly, injury to

personnel. Another benefit is the reduction of

costly downtime.

“This development has taken a lot of costly

research and experimental work by the R&D

section,” said Johnson. “A fault creates a

shockwave, explosion and fire which can result

in a lot of damage to people and equipment.

Our work on improving safety in this area has

given us great satisfaction. Taking care of safety

aspects is always a major challenge and it is one

that we take very seriously.”

Medium voltage is buzzingABB South Africa’s medium voltage business unit is boosting capacity and its ability to take quality products to market more quickly and efficiently.

UniGear 550 series, medium voltage, arc proof, air insulated metalclad switchgear.

When eight primary school girls present

ideas on energy and ways to save it at a

school in Motherwell, Port Elizabeth, they talk

with great passion. It is almost possible to forget

that they live in the harshest of surroundings, in

shacks with no access to electricity, and rely on

biomass for heating and cooking.

Recognising that the youth in South Africa

should be more involved in energy, ABB South

Africa has partnered with the WWF (World

Wide Fund for Nature) and WESSA (Wildlife

and Environment Society of South Africa) to

support a programme in the poverty-stricken

township of Motherwell in the Eastern Cape,

home to about 400 000 people. The programme

covers five schools and reaches 5 000 primary

school children.

As a leading supplier of power and automation

technology products to the electricity industry,

ABB South Africa pledged to support the

programme as long as it included a component

of energy awareness and education for the

young learners. WWF gladly acceded and the

sponsorship began in 2007.

“The programme helps bring environmental and

sustainability education to primary schools and

integrates it with the learner’s curriculum,” says

Chesney Bradshaw, Corporate Communications

and Sustainability Manager of ABB South Africa.

“Environmental education is closely linked to

primary health care in that polluted

environments often have a direct impact on

people’s health.”

Environmental education is seen as important

for the new generation that will face

environmental challenges on an unprecedented

scale. Young people need to be more aware of

energy efficiency, one of the cornerstones of

ABB’s market offering as well as its

sustainability focus. The group’s technologies

help industry and power utilities and

distributors to increase their energy efficiency

throughout the world and ABB wishes to extend

its reach to society at large.

The Eco-Schools Programme has been

developed in partnership with the Department

of Education and is implemented and co-

ordinated by WWF and WESSA. It is an

international programme of the Foundation for

Environmental Education (FEE), with more than

46 countries participating.

“The programme extends learning beyond the

classroom and helps to develop responsible

attitudes and commitment both at home and in

the wider community,” says Hettie Gets,

Manager of WWF-SA Conservation Education

Programme and partner of the WESSA/WWF-SA

Eco-Schools Programme.

Programmes typically look at social issues such

as poverty alleviation, biodiversity loss, water

management and energy efficiency. Educators

show learners how to audit their school for

waste, energy and water use. Some schools

grow food gardens to support their own feeding

schemes.

“We thank ABB for their spirit of willingness to

assist the Motherwell community to address the

key issues,” says Pearl Jonas, Motherwell

Freshwater Node Co-ordinator for WESSA

Eastern Cape. “The programme is being met

with enthusiasm.”

ABB hopes to continue to ignite the interest of

children in discussing energy choices and

exploring ideas on how energy efficiency can

contribute to communities. Young minds

exposed to the Eco-Schools project may also be

encouraged to adopt mathematics and science

as secondary school subjects and go on to

science and engineering careers.

The primary schools and educators face

challenges in implementing the Eco-Schools

Programme in underprivileged areas, but are

committed to helping prepare a new generation

to tackle environmental issues that are critical to

the quality of human life, sustainability and

human survival.

Sustainability

Education partnership

17

Youth in energy ABB South Africa and the WWF are partners in an exciting programme at underprivileged schools in the Eastern Cape.

Learners at a primary school in Motherwell, Eastern Cape, talk about what they have learned about energy in their community.

ABB InTouch 1/2009

Other Eastern Cape school children inform fellow pupils about a water audit they conducted at the school.

18 ABB InTouch 1/2009

Power�ProductsPower Products are the key components to

transmit and distribute electricity. The division

incorporates ABB’s manufacturing network for

transformers, switchgear, circuit breakers, cables

and associated equipment. It also offers all the

services needed to ensure products’ performance

and extend their lifespan. The division is

subdivided into three business units.

Power�SystemsPower Systems offers turnkey systems and

services for power transmission and distribution

grids, and for power plants. Substations and

substation automation systems are key areas.

Additional highlights include flexible alternating

current transmission systems (FACTS), high-

voltage direct current (HVDC) systems and

network management systems. In power

generation, Power Systems offers the

instrumentation, control and electrification of

power plants. The division is subdivided into

four business units.

Automation�ProductsThis ABB business serves customers with

energy efficient and reliable products to

improve customers’ productivity, including

drives, motors and generators, low voltage

products, instrumentation and analytical, and

power electronics. More than one million

products are shipped daily to end customers

and channel partners, spanning a wide range of

industry and utility operations, plus commercial

and residential buildings.

Process�AutomationThe main focus of this ABB business is to

provide customers with integrated solutions for

control, plant optimisation, and industry-

specific application knowledge. The industries

served include oil and gas, power, chemicals

and pharmaceuticals, pulp and paper, metals

and minerals, marine and turbocharging. Key

customer benefits include improved asset

productivity and energy savings.

RoboticsABB is a leading supplier of industrial robots –

also providing robot software, peripheral

equipment, modular manufacturing cells and

service for tasks such as welding, handling,

assembly, painting and finishing, picking,

packing, palletising and machine tending. Key

markets include automotive, plastics, metal

fabrication, foundry, electronics, machine tools,

pharmaceutical and food and beverage

industries. A strong solutions focus helps

manufacturers improve productivity, product

quality and worker safety. ABB has installed

more than 160 000 robots worldwide.

Our businesses ABB is a leader in power and automation technologies that enable utility and industry customers to improve their performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs more than 120 000 people.

Technology

Fast facts