Professional Documents
Culture Documents
6761 2 Equipment Cost Estimation
6761 2 Equipment Cost Estimation
BAB II
Equipment Cost Estimation
Estimation Method
- Direct Estimation (Manufacture Price)
- Estimation Chart
- Empirical Estimation
Direct Estimation
Direct estimation can be done by asking
directly to the factory, agent, or distributor
whose selling the equipment.
exp onent
size of sec ond
cos t of sec ond equipment known cos t first size
size of first
- Commonly size exponent known on the chart and
the number would be various depends on the
equipment itself.
- When the chart do not include this number then
usually sixth-tenth or 0,6 used for the size exponent.
Estimation Chart :
CE-Index
This is an inflation indicator made
specifically for the chemical industry to
correct the cost of each piece of equipment
to the data of our estimate, by the
relationship.
CE Index, our date
equipment cos t of our date chart cos t
CE Index, chart
Estimation Chart :
CE-Index
CE-index main component
- Equipment, machinery, and support 61%
- Erection and Installation labor 22%
- Building, material, and labor 7%
- Engineering and supervision 10%
Example:
Rotary dryer would include
- freight (muatan), crane service, foundation and support
- all labor, electrical, switch gear and control
- gas or oil piping connections
- mounting (rollers, bolts, motor coupling, chain drives,
etc)
- inlet and outlet chutes and hoods, painting
- safety guard, and so on
Estimation Chart :
Module Factor
Similar to installation factor but this factor include the
purchase and installation cost of all the supporting
equipment and connection.
Example:
Rotary Dryer would include
- Previous equipment on installation factor
- feed and discharge conveyor
- the dust collection equipment
- fan, ducting, and etc to make entire rotary dryer section of the
plant operational
Disadvantage
- Accuracy of this method cannot claimed
better than 25% due to incomplete
characterization and variation among
manufacturers, qualities of construction,
design variation, market situations, and
other factor.
Empirical Estimation
Use Chemical Process Equipment,
Selection and Design Stanley M.
Walas, Chapter 20.