PIPING COSTING
Presented By
1) Minimum Cost 2) Quality 3) On time Delivery 4) Profits Return On Investment ( ROI ) 5) Meeting Customer Expectation & Satisfaction 6) Competitive Advantage 7) Information ( All Right Factors ) 8) Benchmarking Adherence World Standards
1) Owner (Client) 2) Shareholders 3) Financer 4) Licensor 5) Government (Statutory) 6) EPC Contractor (Equipment Vendor) 7) Various Contractors 8) Consultants 9) Detailed Design & Engineering etc..
1) Advertisement @ Intention 2) Submission of PQs 3) Evaluation of PQs 4) Issue of Tender to Pre-qualified Bidders (Techno-Com) 5) Submission of Technical Bids 6) Evaluation of Technical Bids 7) Submission of Commercial Bids 8) Evaluation of Commercial Bids 9) Finalization of Contractor & Issue of LOI 10) Contract Agreement
PRE-QUALIFICATION
1) Company Information 2) List of Directors, Management & Organization Chart 3) List of Clientele 4) Types of Work Done & Same Type of Experience 5) Work Completion Certificates 6) Details of Staff & Workforce 7) Details of Construction Equipments 8) Financial Capabilities from the Bankers 9) Memorandum & Articles of Association (Limited Co.) 10) Balance Sheet for Last 3 Years
Technical Part 1) Technical Terms & Conditions with Deviations 2) Work Methods & Detail Technical Specifications 3) Equipment & Organizational Deployment 4) QA Plans, Planning, Control & Reporting Systems 5) Overall Schedule (Bar Chart) 6) Original Bidding Documents Stamped & Signed Commercial Part 1) Price Schedule (Schedule of Rates) 2) Commercial Terms & Conditions 3) Rates for Extra Work
TYPES OF GUARANTEES
1) EMD (Alongwith Tender) (% or Fixed Amount) 2) Advance Payment (10 %) 3) Security Deposit (10 %) 4) Retention Money (5%) 5) Performance Guarantee (10%)
1) Types of Projects (Fertilizers, ..) 2) Types of Disciplines (Civil, ..) 3) Types of Works Involved (Piping, ..) 4) Types of Piping (Offsite, ..) 5) Piping Materials (CS, ) 6) Piping Schedules & Weights 7) Pipe Fittings & Valves 8) Fabrication of Pipes from Plates 9) Painting Works (Primer, ..) 10) Insulation Works (Hot, ..) 11) NDT Works (Radiography ..) 12) Testing & Commissioning
Inch-Mtr When a Pipe of 1 Inch Dia having a length of 1 Mtr is installed, it is termed as 1 Inch-Mtr. (Ex. 6 Inch Pipe, Length 5 Mtr = 6 x 5 = 30 IM)
Inch-Dia When a Pipe of 1 Inch Dia Size is welded having 1 joint, it is termed as 1 Inch-Dia. (Ex. 10 Inch Pipe, 4 Joints = 10 x 4 = 40 ID)
Normal Figures as per the Average working of any Company, certain Norms are as below a) Shop Floor 50 - 60 ID / Day / Welder (Marking, Cutting, Grinding, Tacking etc..) b) Erection at Site 25 - 30 ID / Day / Welder (Laying, Fit-up, Welding, Testing etc..)
Normally, above 30 Inch Size Pipes are Prefabricated out of Plates by Rolling & Welding.
Plate Bending Machine is very much important aspect in this Fabrication. It is Specified as Thk (mm) x Width (Mtr)
Pipe Supports Fabrication & Erection Mitres Fabrication (Tee, Reducer, Elbow ..) Insulation (Hot & Cold) Sand Blasting (SA 2 ) Painting (Primer, Intermediate, Final) Hydro Testing Chemical Cleaning etc..
Visual Inspection Radiography (X Ray, Gamma Ray) DP / MP Testing Vacuum Box Testing Ultrasonic testing (UT) etc..
CS API 5L, A 106 Gr B (IBR, Non IBR) LTCS A333 Gr 6 AS A335 Gr P1, P11, P22 SS 304, 304 L, 316, 316 L, 347 H GI IS 1239 HDPE / Plastic C.I. / Cement Pipes Cement Lined
a) Unit Piping Involved within the plant mostly coming on Equipments & has more number of welding joints is referred as Unit Piping. b) Offsite / Rack / Yard Piping Involved within the plant mostly on Racks & across the plant, but has less number of welding joints is referred as Offsite Piping. c) Cross country Piping Out of plant mostly coming across the cities & has naturally less number of welding joints is referred as Cross-country Piping. (Oil, Gas, Water) d) Under Ground Piping Involved under the ground / buried may be within or outside the plant & has less number of welding joints is referred as Underground Piping
Piping Gangs
a) Piping Prefabrication Pipe Fabricator, Gas Cutter, Tack Welder, Grinder, Helper
b) Piping Erection Pipe Fitter, Tack Welder, Rigger, Helper c) Piping Welding Qualified Welder, Rigger, Helper
(Considering CS as a base)
C.S. 1.00 CSLT 1.25 AS 2.50 SS 3.50 G.I. 0.60 PVC / HDPE 0.40
Direct Cost
Direct Labor Direct Supervision Consumables R & M of Tools / Tackles & Vehicles Rental Charges of Equipments Power & Water consumption
Indirect Cost
Administrative Staff Indirect Labor Accommodation Tools / Tackles & Vehicles Depreciation Insurance Preparatory Expenses Travel Bank Guarantees General Expenses Guarantee Obligation
Total Price
Direct Expenses + Indirect Expenses + Material Supplies + Subcontracting Charges + Taxes & Duties + Agents Commission + Overheads + Profits
1) 6 Inch Size pipe having 15 Mtr length laid on a rack will have how many total InchMtr of work -2) 12 Inch size pipe 5 Joints to welded will be having total -------- Inch dia of work. 3) For Unit piping installed to be in Plant will have Inh-mtr to Inch-dia ratio approximately -----4) Pipe Fabrication from Plates is done at site normally above ------- Inch Size Pipe. 5) Fabrication of Larger diameter Piping Fittings like Tees, Elbow, Mitre, Reducer etc.. is done on basis of Per -- rate. (Please mention unit)
1) 6 Inch Sch 40 CS piping of 2000 Mtr is to be erected as Offsite Piping & the same quantity is to be erected as Unit Piping in one Refinery Plant. Then Offsite piping will have Less number of joints than Unit piping. 2) SS rate will be More than CS of the same schedule. 3) Various Schedules of Piping Inch-dia work is converted to single unit of inch-dia of work for easy calculation purpose. This concept is called Weighted Inch-dia. 4) One welder gang in Erection Site will give an average of 25-30 ID Productivity in a working shift of 8 hours. 5) The Piping, which is involved across cities & has less number of welding joints, is referred Cross-country Piping
1) 5 Welders work for one daily shift of 8 hours per day for 10 days. Calculate total man-hours worked by them. 2) Total work done on one piping job was of 5,200 Manhours. Assuming one ManMonth (MM) of 208 Manhours, find total ManMonths spent on piping job. 3) One piping project has got total workers strength of 100 during its peak period. Find out the total Direct Supervision strength (Engineers & Supervisors) as per the normal experience of few standard norms. 4) Write the Elements of Direct Cost. 5) Write the Elements of Indirect Cost.
Question 1) Estimate the Total Cost in Rupees, which will be required to carry out the work, as the Contracts Department has to get Top Management Approval.
2) Shriniwas Construction Ltd., Lucknow has offered 10 % discount on Total Pricing. Hence, also calculate the Discount & Final Tender Price in Rupees Separately to inform to the Top Management.
Item
Piping Laying Piping Welding Pipe Support Insulation Painting
Unit
IM ID MT M2 M2
Qty
3,000 2,000 10 50 100
Rate
50 100 2,500 100 50
Amount
6
7 8 9
Mhrs
--Mhrs Days Ltrs
200
? 100 5 10
75
50 50 2000 200