Topic:"Cost Considerations" in M12370

This project is being filed as an AACE Class 3 Estimate. The defined deliverables for this project indicate that 97% of Class 3 deliverables are complete. According to AACE Guidelines, a contingency value between 10% and 30% is recommended...

AI summary This document outlines a Class 3 estimate for a project, with 97% of deliverables complete. A 10% contingency is applied to account for risks such as component wear, inspection findings, market variability, and potential additional scope during refurbishment.

CI C0061003 – POA LP HP IP Turbine Refurbishment (NSEB M12370) NSPI Responses to NSEB Information Requests 1 Request IR-11: 2 3 Regarding the Project Cost Estimate Input Checklist and Maturity Matrix on pages 4 to 5 4 of the application: 5...

AI summary NSPI responds to NSEB's information request regarding the turbine refurbishment project, explaining that the project cost estimate is classified as Class 3 due to risk and uncertainty factors, despite 97% of Class 1 deliverables being complete. It also notes that the checklist excludes power generating facilities and high voltage transmission as per AACE International standards.

Request IR-11: - Regarding the Project Cost Estimate Input Checklist and Maturity Matrix on pages 4 to 5 of the application: - a) The matrix suggests that 97% of the Class 1 deliverables for the proposed project are complete (the same perc...

AI summary The document raises questions about the Project Cost Estimate Input Checklist and Maturity Matrix, specifically regarding the discrepancy between the completeness of deliverables and the level of cost estimation, as well as the relevance of inclusions noted in the application.

Request IR-14: - a) If this project were not to proceed, please identify the net present value of the total replacement cost of energy to replace POA energy for 2026 to 2029, assuming 7555, 2592, 1264 and 481 service hours for POA in 2026,...

AI summary Request IR-14 asks for the net present value of replacing POA energy from 2026 to 2029 under specific service hours, as well as the assumptions used in the analysis, to be provided in pdf and electronic format with all formulae intact.