Research On The Life Cycle Costs Management Of Electric Substation Construction Project

For a long time, our country only emphasizes the reduction of construction costs when investing electric substation construction projects. Nevertheless, a large number of facts make it clear that the future costs may sometimes exceed construction costs. For this reason, the cost management of electric substation construction projects should consider not only investment costs but also operation costs, maintenance costs and discard costs to build a complete and coherent system of cost management and achieve economy and reasonableness throughout an electric substation's life cycle. It is imperative to solve how to apply the theory of life cycle cost(LCC) to the cost management of electric substation construction projects.This paper goes deep into analyzing the life cycle cost management (LCCM) of electric substation construction projects. Its main contents to research are as the following:(1) This paper studies the theory of LCC and LCCM. On one hand it explains the concept, classification and character of LCC, on the other it explains the meaning, character and methods of LCCM.(2) This paper proposes how to implement electric substations'LCCM. It first explains the significance of LCCM's application to electric substations, and then expounds the main points of LCCM phase by phase. At last it introduces the existing conditions of electric substation construction projects'cost management in our country.(3) This paper elaborates how to optimize electric substations'LCC. It first raises the issues of electric substation construction projects'cost optimization in our country, and then explains the concept and goals of LCC optimization. At last it introduces the ways to optimize LCC in the different phases of an electric substation project.(4) By the example of cost optimization in the design phase of an electric substation project, this paper illustrates that LCCM is more advanced and advantageous than the whole process cost management.By linking LCCM theory with electric substation construction projects'cost management practice, this paper inquires into how to carry out LCCM to help power grid enterprises set up the LCC idea and enhance the economic benefits and social results of electric substation construction projects.