Research On Life-Cycle Cost Management Of FGD Project For Guangxi Laibin B Thermal Power Plant

In recent years, along with the rapid development of China’s economy, the demand for resources in all walks of life is at unprecedented rate. Electricity, as an important livelihood material and a critical factor of production, is prerequisite for the national economy in keeping good development. The electric power engineering How to get the maximum benefit at minimum cost is now a focus widely concerned by the power engineering field. General speaking, power engineering projects are characterized by large scale of construction, wide range of works, long operating period, many parties involved, uncertain risk, etc., but the whole process cost management (WPCM) mode, as the traditional cost management mode prevailing in China, which only considers the initial construction cost of a project, has already presented its inadaptability obviously.Currently, the life-cycle cost management (LCCM) theory is widely used abroad, whose core is to gain the maximum value at the minimum cost by controlling the cost from cradle to grave of a project but not in only one or some of its whole life. Comparing with the WPCM mode based on fixed quota pricing presently used in China, LCCM mode is more comprehensive, reasonable and suitable for project cost management.This paper firstly introduced the LCC theory and relatives; secondly, it presented the necessity of adopting LCCM mode by using Flue Gas Desulphurisation (FGD) Project for Guangxi Laibin B2×360MW Thermal Power Plant as an example to analyze the inadequacies of WPCM; thirdly, after considering the reality in China, it divided the whole life of its FGD project into reasonable stages, established a LCC computational model, and optimized its cost management work; and finally, it discussed how to generalize the LCCM mode into the entire electrical engineering industry.