THE APPLICATION OF LIFE CYCLE COST ANALYSIS

TO PNEUMATIC CONVEYING SYSTEMS

by

M. F. Crawley and J. M. Bell
Macawber Engineering Inc. (USA) | www.macawber.com
Mactenn Systems td (U!) | www.mactenn.com
S"mmary#
$%e con&entional a''roac% to analysis o( an economical ca'ital 'lant '"rc%ase
decision %as normally in&ol&ed com'arison o( t%e total (irst)cost o( t%e installed
system ) (ollowed by a se'arate cost com'arison o( t%e o'erating cost o( t%e
e*"i'ment. $%e second se'arate cost com'arison concerning o'erating cost wo"ld
embrace all as'ects o( o'erating cost s"c% as 'ower cost to r"n t%e e*"i'ment+
o'erating labor+ maintenance labor+ re'lacement 'arts+ and ot%er cons"mables
associated directly wit% t%e o'eration o( t%e system.
$%is a''roac% 'ro&ides t%e decision ma,er wit% two ma-or economic meas"res
wit%o"t regard to ot%er 'ossibly signi(icant indicators o( ("t"re 'er(ormance o( t%e
e*"i'ment relating to its ("nctionality and d"rability. .it%in organi/ations dominated
by strong acco"nting management w%ere little attention is gi&en to t%e 'eo'le w%o
ma,e a 'lant '"rc%asing decision wor,+ t%is a''roac% may be an acce'table criteria
(or '"rc%asing decision ma,ers. 0owe&er+ a more analytic a''roac% to economic
com'arison wo"ld be more e((ecti&e and a''ro'riate (or t%e s'ecial conditions
relating to t%e 'er(ormance o( 'ne"matic con&eying systems. $%e tec%ni*"e ,nown
as i(e Cycle Cost Analysis 'ro&ides (or a single all)embracing economic indicator
w%ic% incor'orates t%e s'ecial cost creating c%aracteristics o( 'ne"matic con&eying
systems.
1ne"matic Con&eying Systems
A 'ne"matic con&eying system is a 'rocess by w%ic% b"l, materials o( almost any
ty'e are trans(erred or in-ected "sing a gas (low as t%e con&eying medi"m (rom one
or more so"rces to one or more destinations. 2ew b"l, materials and new 'rocesses
'rod"cing or "sing t%e b"l, materials+ toget%er wit% t%e enco"ragement o(
reg"latory a"t%orities+ are ca"sing a growt% in t%e "tili/ation o( 'ne"matic con&eyors
(or cleaner wor,ing en&ironments.
As wit% most 'rocesses+ t%ere are conce't"al di((erences in designs o( 'ne"matic
con&eying systems. $%e di((erences are 'ro&ided by design engineers also moti&ated
by economic ob-ecti&es. .it% t%eir intimate ,nowledge o( t%e s"b-ect+ t%ey too+
attem't to ac%ie&e economic im'ro&ement associated wit% (irst)cost and o'erating
cost.
Conce't"ally+ all system design ty'es con&ey b"l, material t%ro"g% a 'i'eline "sing
com'ressed or e&ac"ated gas as t%e con&eying medi"m. $%e con&eying medi"m may
be liberally mi3ed wit% t%e b"l, material allowing t%e indi&id"al 'articles to tra&el in
an airborne condition along t%e 'i'eline+ or t%e b"l, material may be com'letely solid
wit%o"t any (l"idi/ation or mi3ing wit% t%e gas ta,ing 'lace. Between t%ese e3treme
con&eying regimes+ a wide range o( intermediate regimes are 'ossible+ de'ending
"'on t%e trans(er or in-ection system design ob-ecti&es. $%e 'ne"matic con&eying
system designer selects an a''ro'riate 'ne"matic con&eying regime to economically
target t%e ob-ecti&es o( t%e system re*"irements w%ile considering any restraints
t%at may be im'osed by t%e c%aracteristics o( t%e b"l, material.
$%e c%aracteri/ation o( t%e material to be con&eyed 'lays a &ery large 'art in t%e
selection o( t%e regime. $%is can be "nderstood by com'aring+ say cement 'owder+
wit% wet l"m' coal. Alt%o"g% bot% materials can be con&eyed 'ne"matically+ t%e
'ne"matic con&eying regime (or cement 'owder is li,ely to be *"ite di((erent (or t%e
regime selected (or wet l"m' coal. $%e reason (or t%is concerns t%e 'ro'erties o( t%e
b"l, material and %ow t%ese 'ro'erties interact d"ring t%e 'ne"matic con&eying
'rocess. For e3am'le+ cement 'owder may be easily (l"idi/ed and mi3ed wit% air.
.%en con&eyed at %ig% &elocities+ it will not degrade to t%e detriment o( t%e b"l,
material. .et+ l"m' coal (45 6 7)+ on t%e ot%er %and+ cannot be (l"idi/ed wit%o"t
se&erely
degrading t%e material to t%e e3treme detriment o( t%e coal 'rod"ct. $%ese (actors
a((ect t%e c%oice o( allowable material &elocities t%ro"g% t%e 'i'eline.
2ow also consider t%e additional c%aracteristic o( abrasi&e materials in a similar
com'arison to wet+ l"m' coal and cement. Many materials w%ic% are e3tremely
abrasi&e will+ i( allowed to con&ey at %ig% &elocities normally em'loyed (or cement
'owders+ will *"ic,ly erode t%e 'i'eline and m"c% else o( t%e system also.
In addition to t%e iss"es o( (a) e((ect o( t%e b"l, material "'on t%e system8 and (b)
e((ect o( t%e system "'on t%e material as we %a&e disc"ssed+ t%ere are ot%er
cost)ca"sing conditions o( t%e con&eying 'rocess t%at are im'ortant. Energy
cons"m'tion is an ob&io"s cost center. $%e iss"es described relating to b"l, material
&elocity and t%e selected con&eying regime directly a((ect t%e gas cons"m'tion o( t%e
system. 0ig%)&elocity systems may or may not "se %ig%er gas &ol"mes t%an
low)&elocity systems. $%e gas so"rce may be at a %ig%er 'ress"re (or one 'artic"lar
regime t%an (or anot%er. $%e in(l"ence o( trans(er or in-ection distance re*"ired will
a((ect t%e gas &ol"me (or "nit &ol"me o( material con&eyed. 9( co"rse+ in t%e case o(
in-ection systems+ t%e gas &ol"me is a((ected by any bac, 'ress"re into w%ic% t%e
in-ection system is o'erating.
$o bring order to t%is &ast array o( &ariables in any system design t%at may be
deemed a''ro'riate (or a 'artic"lar re*"irement+ a disci'lined meas"re o( t%e
cost)creating com'onents o( t%e 'rocess is re*"ired to be a''licable to any
'ne"matic con&eying regime.
$%ere(ore+ two general descri'tions o( 'ne"matic con&eying system conce'ts are
'ro&ided and s%o"ld be considered as (ollows#
(a) :il"te '%ase systems (generally o'erating at lower 'ress"res) in w%ic% a rotary
&al&e or ot%er sim'le air loc, is "sed to introd"ce t%e material into t%e system. $%e
'ress"re a''lied in t%is category is below ;< 1SI=.
(b) :ense)'%ase systems (generally o'erating at %ig%er 'ress"res) in w%ic%
con&eying gas 'ress"re will re*"ire t%e "se o( a 'ress"re &essel as t%e means o(
material introd"ction into t%e system. $%e 'ress"res a''lied to t%e system will
normally be in e3cess o( ;< 1SI=.
i(e Cycle
An e*"i'ment li(e cycle is considered to be t%e planned economic li(e e3'ectation. It
may be <+ ;7 or 47 years+ as may be decided by management (or cost analysis
'"r'oses.
i(e Cycle Cost
A li(e cycle cost is t%e entire ,nown and antici'ated cost o( a system analy/ed to a
single (ig"re. $%e single (ig"re cost may be 'resented as a 'eriodic l"m' s"m+ i.e.+
mont% or year+ or related to t%e wor, being 'er(ormed+ i.e.+ >?ton or lbs. trans(erred
or in-ected.
$%e li(e cycle cost is deri&ed (rom two ma-or categories#
(a) First cost8 and
(b) $otal o'erating cost
First cost+ ot%erwise ,nown as t%e investent or capital cost is t%e ac*"isition
cost re*"ired to establis% t%e system in a ready)to)o'erate condition. $%e ob&io"s
s%ortcoming o( t%is single economic meas"re is t%e disregard o( t%e o'erating costs
o( t%e e*"i'ment+ w%ic% in t%e case o( a 'ne"matic con&eying system may be
considerably di((erent (rom one 'ne"matic con&eying system to anot%er. Additionally+
t%e o'erating costs o( a 'oorly designed 'ne"matic con&eying system may
considerably e3ceed t%e (irst)cost many times o&er.
9'erating Cost
Eac% o( t%e cost)creating com'onents are e3amined in detail b"t are (irst
s"mmari/ed as (ollows#
;) Energy Cons"m'tion
4) 1i'e Erosion
@) Maintenance
<) 1rod"ction loss t%ro"g% "nsc%ed"led system downtime
Energy Cons"m'tion
Air or ot%er gas cons"m'tion is t%e 'rime energy cost creating (actor o( a 'ne"matic
con&eying system. Additional energy cons"med by rotary &al&es or control
e*"i'ment may be disregarded.
1i'e Erosion
It %as become well establis%ed t%at t%e ca"se o( 'i'e erosion is largely d"e to t%e
&elocity o( t%e material as it is con&eyed. .or, carried o"t by Mills and Mason at
$%ames 1olytec%nic in ondon+ and Agarwal o( t%e Indian Instit"te o( $ec%nology (;)+
s%owed t%at a relations%i' between s'eci(ic erosion and &elocity gi&en by#
S'eci(ic erosion A (Batio o( &elocity)
4.C<
In n"merical terms+ t%is wo"ld mean+ (or e3am'le+ i( a dense)'%ase system was
o'erating at <77 (t.?min"te+ and dil"te)'%ase system at @<77 (t.?min"te+ t%e
increase in wear on t%e 'i'eline "sing t%e dil"te)'%ase system wo"ld be#
(@<77)
4.C<
or abo"t ;D< times greaterE
(<77)
$%e low)&elocity+ dense)'%ase system+ t%ere(ore+ is (ar more e((ecti&e in red"cing
'i'e wear+ and in general s%o"ld always be "sed (or materials t%at are abrasi&e.
Maintenance
0ow many times %as a s'eci(ying engineer res'onsible (or 5li&ing5 wit% a system
a(ter installation been o&err"led in %is selection by an acco"ntant w%o insists on
b"ying 5lowest dollar5+ i.e.+ lowest (irst cost. .%en t%e engineer is maintaining and
re'airing t%e system at @#77 a.m.+ t%e acco"ntant is "s"ally at %ome in bed.
$%e (ail"re %ere is t%e engineerFs+ and %is inability to 'resent t%e total cost e!!ect o(
a '"rc%ase+ i.e.+ t%e li(e)cycle cost analysis o( %is alternati&es (%ence t%is 'a'er).
Maintenance is t%e most &isible as'ect o( a 'oor '"rc%asing decision+ and normally
t%e biggest 5s"r'rise5 a(ter t%e system start)"'.
Material oss?:amage
1ro'erly managed 'recontract testing will re&eal o'tim"m material &elocity and
con&eying regime (or a (ragile b"l, material. $o be s"re t%at a test does+ in (act+
o'timi/e t%e st"dy+ a selection o( system ty'es in a test (acility s%o"ld be a&ailable in
w%ic% to e3amine 'er(ormance. Sam'le con&eying in a single system wit%o"t &elocity
or regime control a&ailability is not a test+ b"t a demonstration and t%ere(ore not an
o'timi/ation.
1rod"ction oss $%ro"g% Unsc%ed"led System :owntime
Bealism re*"ires t%at we (orecast an allowance (or losses d"e to system ino'erability.
An arbitrary estimate a''lied to a 'artic"lar system design is not a''ro'riate+
%owe&er+ and again+ a disci'lined and 'ro(essional a''roac% to establis%ing t%is
estimate m"st be made to s"''ort yo"r general li(e)cycle cost analysis.
i(e Cycle Cost Analysis and Com'arison
LIFE CYCLE COST ANALYSIS SYSTEM COST COMPA"ISON#
GE))Hi( Es"''ortistsI))JK GE))Hendi(I))JEstiated on System E3am'le# Si/ed co,e
) C to ;7 mes% ) 4< tons?%o"r ) ;<7 (t. wit% L 6 M7
o
bends to a single rece'tion
%o''er ) Material dry and (ree (lowing. 1ower cost is <?!.0.
NNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNN
NNNNNNNNN
:il"te Fl"idi/ing Non$!l%idi&in'
Cost Com'onent 1%ase :ense)1%ase (ense$P)ase
NNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNN
NNNNNNNNN
First cost (;7)year system li(e) L+<77 C+<77 O+777
1rod"ct loss ) degradation cost O7+777 <7+777 47+777
Energy cost <+D77 <+777 L+<77
1i'eline re'lacement cost 4L+777 ;;+777 4+777
Maintenance cost ;;+777 C+777 ;+<77
Unsc%ed"led downtime cost ;4+777 <+777 ;+777
PPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPP
PPPPPPPP
$otal Ann"al Cost ;@D+477 O@+<77 @D+777
(Qear a(ter year)
PPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPPP
PPPPPPPPP
$otal i(e)Cycle Cost ;+@D4+777 O@<+777 @D7+777
NNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNNN
NNNNNNNNN
Be&iew
$%e e((ecti&eness and im'ortance o( li(e)cycle cost analysis is 'artic"larly im'ortant
(or t%e re&iew o( 'ne"matic con&eying system 'ro'osals beca"se o( t%e (ollowing
considerations#
(a) 1ne"matic con&eying systems "se a lot o( e3'ensi&e energy to 'er(orm t%eir
("nction com'ared wit% any ot%er (orm o( b"l, %andling.
(b) It is &ery easy to be misled by &endor claims w%en &endors do not s"bscribe to
international standards o( tec%nical terms+ 'er(ormance calc"lations+ or et%ical
be%a&ior (see A''endi3 I).
(c) Rario"s 'ne"matic con&eying designs can be deonstrated to 5wor,5+ b"t yo"
may not be s"((iciently in(ormed to assess t%e economic &al"e o( a 'ro(essional test.
Concl"sion
Certain well)'er(orming international com'etitors o( o"r national ind"strial
comm"nity %a&e been "tili/ing li(e)cycle cost analysis (or more t%an twenty years.
$%e logic we %a&e described %ere s"''orts t%eir longer term and more conser&ati&e
strategies t%at %a&e been so s"ccess("l.
Engineers res'onsible (or e*"i'ment selection m"st ac%ie&e greater control o(
selection criteria by 'resenting meaning("l and s"''ortable n"merical arg"ment. $%is
tec%ni*"e will assist t%em in t%is e((ort+ and %o'e("lly will also %el' t%em wit% a
better "nderstanding o( 'ne"matic con&eying systems.
A11E2:I6 I
An e((ort is being made to establis% national standards (or 'ne"matic con&eying
systems by t%e 'ne"matic con&eying di&ision o( CEMA (Con&eying E*"i'ment
Man"(act"rerFs Association). For ("rt%er details contact# Mr. Bay loyd+ Con&eyor
E*"i'ment Man"(act"rerFs Association+ M@4 0"nger(ord :ri&e+ S@C+ Boc,&ille+ M:
47O<7+ 1%one# (@7;) D@O)4LLO+ Fa3# (@7;) D@O)77DC
BIBI9=BA10Q
;) R.!. Agarwal+ India8 :. Mills and J.S. Mason+ United !ingdom. 5Some As'ects o(
Bend Erosion in 1ne"matic Con&eying System 1i'elines5+ 9ctober ;MO<.
4) J.S. Mason. 51ne"matic Con&eying Into t%e 4;st Cent"ry5+ B"l, Solids 0andling
Unit+ $%ames 1olytec%nic+ England+ ;MOD.