5 Major Benefits Of District Cooling Systems For Businesses


5 Major Benefits Of District Cooling Systems For Businesses

5 Major Benefits Of District Cooling Systems For Businesses

Cooling systems can be considered a necessity in Singapore. In fact, according to statistics, Singapore witnesses more air-conditioner installations per capita than any of our Southeast Asian neighbours. The amount of energy used to cool the country is projected to increase by at least 73% between 2010 to 2030. The statistics consequently mean an increase in energy costs and emission of greenhouse gases as well.

As such, it has become a challenge for energy experts to come up with viable solutions that minimise the negative impacts of cooling systems on the environment without eliminating their usage entirely. One of these solutions is the installation of district cooling systems in Singapore. To learn more about this modern solution, read on and discover the significant benefits of a district cooling system, particularly to the commercial sector.

1. Saves energy

A District Cooling System (DCS) is rising in popularity for its high energy efficiency today. A DCS is considered an ideal energy-saving system for heating, ventilation, and air-conditioning (HVAC) since it utilises efficient systematic production and distribution of chilled water. It also takes full advantage of the diversity in cooling demands for various buildings and the economy of scale.

Although energy-saving levels vary according to the individual configuration of each DCS — such as the application of heat rejection method or the length of distribution pipe works — a saving of about 20% and 35% can usually be achieved with a DCS as compared to traditional air-conditioning systems.

2. Saves costs

With minimised energy consumption, one can naturally expect a reduction in costs when adopting a DCS. A DCS typically enables building owners to do away with their on-site chiller operation and maintenance. That means you will no longer need to operate, maintain and or replace chillers at the end of their life cycles. As a result, you can minimise your capital investment and the subsequent maintenance costs of air conditioning.

3. Minimises greenhouse gas emission

Aside from being a huge energy guzzler, air-conditioning systems are also known for contributing vast amounts of hydrofluorocarbons (HFCs) to the environment and negatively impacting the climate in turn. These HFCs are present in the refrigerant fluid, which may escape from an air conditioning unit. While HFCs are not toxic, they are a form of greenhouse gas that significantly contributes to the rising temperature on earth.

The installation of a DCS ensures a reduced emission of HFCs as well as carbon dioxide. As a result, the decrease in energy consumption and improvement of energy efficiency through DCS help minimise fossil fuel consumption for power generation, consequently reducing greenhouse gas emissions.

4. Improves space utilisation of buildings

As chiller plants are no longer required once a DCS is in place, buildings or facilities that adopt this system can save remarkable amounts of space usually intended for plant rooms. On average, building owners can save 75% of plant room space when using a DCS compared to conventional air-conditioning plants. Additionally, removing chiller plants also allows power companies to save space typically intended for transformer rooms.

5. Enhances flexibility and reliability

Building owners and facilities management teams can streamline their facilities management processes without running and maintaining chiller plant equipment. The use of DCS provides these building owners or management teams with fewer restrictions when expanding their cooling capacity and eliminates the need to allow provisions for chiller replacement. As a result, building owners or facilities management teams can concentrate more on their core business.

Unlike a traditional centralised air-conditioning system, a DCS is typically built with standby cooling capacity to ensure that cooling remains available at the central plant at any time. As such, properly designed and well-constructed DCS ultimately provides commercial buildings with more reliability.


As the effects of excessive energy consumption, global warming, and space scarcity worsen each year, the benefits of district cooling systems are becoming more and more relevant. Much of the world’s excessive energy consumption levels have caused irreversible impacts on the environment. For this reason, it is crucial for the various sectors of society, particularly the household and business sectors, to look towards adopting viable environmental solutions.

Suppose you are looking for more ways to reduce your business’ energy consumption to a significant level. In that case, you should consider engaging a company that provides reliable energy management services in Singapore. Here at KJFEM, we have an experienced team of reputable facilities and energy managers who believe in the ability of performance-based solutions to solve energy management problems you might face. With our comprehensive solutions, let us help you boost your energy saving in an instant.

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