UAE-based cooling solutions utility National Central Cooling Company PJSC (Tabreed) has entered into a 30-year concession with Andhra Pradesh Capital Region Development Authority (APCRDA) to build, own, operate and transfer India's first district cooling system in Amaravati. The agreement is for a contracted cooling capacity of 20,000 refrigeration tons (RTs).

Tabreed's district cooling system will cater to the state's assembly, high court, secretariat and other government buildings currently being constructed, for which cooling services will start in early 2021, according to CRDA authorities.

Describing the UAE firm as a global district cooling leader, CRDA commissioner Sreedhar Cherukuri said, "Tabreed demonstrated strong commercial flexibility, operational depth, and understanding of the complexity of well-constructed district cooling concession schemes through the bidding process."

Touted as a highly efficient, cost-effective form of air conditioning, district cooling uses only 50 per cent of primary energy consumption for cooling urban buildings thereby reducing carbon emissions, according to Tabreed.

"As UAE flagship district cooling providers we are very pleased to be taking a leading role in the development of the new capital city of Andhra Pradesh. As our first district cooling project in India, this signals a significant step for Tabreed to penetrate one of the world's biggest and fastest growing markets," Tabreed chairman Khaled Abdulla Al Qubaisi said.

District cooling was first set up in India at Gujarat International Finance Tec-City (GIFT). The first phase of this system, with a capacity of 10,000 RTs, has been operational since April 2015.