Costing is always a factor & concern in project planning, financing, budgeting & execution.
Every organization or management desire cost cutting. When ever cost cutting is declared by the mgmt. then it is observed that every department. looks opportunities & start putting efforts. Surprised to see that admin department. even reduce frequency of tea means if provided 3 times in a day then it is done only for two times. My concern is that we must attack on major cost saving areas instead on food or tea or some other facilities for employees. Major cost is idling of fixed resources due to lack of decisions from top management or delayed supply of material.
Normally promoters of the company never wants all these but it vary per top management style & also working style of middle management impacts the costing. If we talk for wind projects then major cost factors are as below:
1. Crane idling for WTG erection being non availability of wtg civil foundation or logistic route or major material or ROW not cleared
2. Logistic Road or pathways-Wrong selection of route, High road development cost, lack of proper survey.
3. 33 KV line-Improper line routing being non clarity on WTG locations during initial stage.
4. PSS land-Fixed on initial planning & availability of land at that time but proved wrong sometime if major variation on final locations. 33 KV line length significantly vary & EHV line length also get impacted.
5.ROW-Both genuine & created-Major cost factor.
6.Rework cost for roads, failed wtg civil foundation & 33 KV line rerouting due to change in locations or connectivity plan & replacement of WTG major material & quality gaps due to 48:24 rule
7. Permanent Security during project start to commissioning-Unwanted costing if CoD delays due to various reasons
8. Improper crane marching plan from one location to another
9. Timing Gap between major equipment procurement to erection to final commissioning
10. Logistic of major material from factory to wind farm site-distance matters
11. High area development cost on specific locations. Crane platform & boom area require major cutting & filling of soil.
12. Delivery speed of project (Lack of regulations & monitoring by statutory agencies)
14. Idling of resources due to untimely payment to project implementing agency
