CEPCI

For updating see the Chemical Engineering Plant Cost Index (CEPCI, [ 12n]). 

Because the maintenance cost typically is calculated as a percentage of the TCI, the CEPCI can also be used for its escalation ... 

Selecting the right escalation index is often difficult, as different published indices can appear to be applicable. For instance, when escalating the capital cost of a refinery hydrosulfurization unit, should one use the CEPCI, the Nelson-Farrar Refinery Index, or a combination of the two indexes The decision often rests as much on engineering judgment as it does on hard data. 

A composite index for the United States process plant industry is published monthly in the journal Chemical Engineering this is the Chemical Engineering Plant Cost Index (CEPCI), usually referred to as the CE index. Chemical Engineering also publishes the Marshall and Swift index (M S equipment cost index). 

The Chemical Engineering Plant Cost Index (CEPCI) is taken as 650. Its value was 397 in the period May to September 2001 when the PCE data were obtained (Turton et al, 2009). 

Capital costs of SJEs are estimated from the chart in Power (2005). All capital costs are adjusted for inflation using the Chemical Engineering s Plant Cost Index (CEPCI) of 577 for July 2014. Capital costs for absorption/mechanical chillers, LRVP and DVP are based on... 

The guideline FOB cost is in US for a value of the Chemical Engineering Index (1957-59 = 100), CEPCI Index = 1000. The value of the CEPCI Index for the year 2003 was 395.6 so that the costs reported here are more than double the value in 2003. 

Here are the details of the cost correlations for the equipment discussed in the text. The subheading captions correspond directly with the titles in the text. All costs are FOB costs (unless stated otherwise). All costs are for the basis CEPCI = 1000. 

Control systems In the past, the cost of the control system for different process equipment was often estimated as a percentage of the FOB cost of the equipment and thus was included in the sothis book, we use the L+M factors that exclude an allowance for the cost of the instrumentation and control system. The instmments and control system should be costed separately. The installed instrumentation costs, excluding control valves, are (US dollars, CEPCI = 1000) for gas phase reactors, 63000 for liquid phase reactors 70500 for condensers, 40000 heat exchanger or reboilers, 27000 for distillation columns, 150000 evaporators, 25000 for storage tanks, 7000 pressure tank, 8300 intermediate process tank, 17 400 pump or a stage of a centrifugal compressor, 7000. 

Example use Estimate the cost, at CEPCI = 800 for the installation of a conventional AVS centrifugal pump whose FOB cost (at CEPCI = 1,000) is 20000. From Section 2.3 the pump L+M =... 

The fixed capital investment = BM cost plus contractor s fee (3-5 % BM, select 5) plus contingency (10-15 % BM, select 15) plus design contingency for changes in scope during the project (10-30% BM, select 10) to give a total = 126 620 at CEPCI = 1000. 

The cost in June 2010 can be estimated from Eq. 111-41 and the CEPCI indices. The base cost was in September 2001 with the CEPCI = 397. The June 2010 CEPCI index = 556. 

In order to calculate the CO2 avoidance costs, the capital investment costs are first calculated using a conceptual cost estimation method with an accuracy of 40%. In this method, the main equipment costs are estimated. The costs for blowers, the heat exchanger and the columns have been calculated using correlations reported by Seider et al. [24] and Loh and Lyons [25] and are updated to costs in 2010 using the Chemical Engineering Plant Cost Index (CEPCI). 

Unless otherwise stated, the Chemical Engineering Plant Cost Index (CEPCI) will be used in this text to account for inflation. This is a conposite index, and the items that are included in the index are listed in Table 7.5. A comparison between these two indices is given in Example 7.6. 

The Chemical Engineering Plant Cost Index (CEPCI) can be used to account for changes that result from inflation. The CEPCI values provided in Table 7.4 are conposite values that reflect the inflation of a mix of goods and services associated with the chemical process industries (CPI). 

In a similar manner, the CEPCI represents a basket of items directiy related to the costs associated with the construction of chemical plants. A breakdown of the items included in this index was given in Table 7.5. The index is directiy related to the effect of inflation on the cost of an average chemical plant, as shown in Example 7.7. 

The capital cost of a 30,000 metric ton/year isopropanol plant in 1992 was estimated to be 23 million. Estimate the capital cost of a new plant with a production rate of 50,000 metric tons/year in 2007 (assume CEPCI = 500). 

Update the cost from 2001 (CEPCI - 397) to the present by using Equation 7.4. 

A process vessel was purchased in the United Kingdom for our plant in the United States in 1993. A similar vessel, but of different capacity, was purchased in 1998. From the data given below, estimate the cost in U.S.S of a vessel of 120 m capacity purchased today (assume the current CEPCI = 500). 

You have been hired as a consultant to a legal firm. Part of your assignment is to determine the size of a storage tank purchased in 1978 (CEPCI = 219), before computerization of records. Many records from this era were destroyed in a fire (not in the plant, but in a distant office building). The tank was replaced every 10 years, and the sizes have changed due to plant capacity changes. You have the information in the table below. Estimate the original capacity of this vessel. 

In your role as a consultant to a legal firm, you have been requested to determine whether calculations submitted in a legal action are valid. The problem is to determine what year a compressor was placed into service. The information in the table is available. It is claimed that the compressor was placed into service in 1976. History suggests that during the period from 1976 to 1985 there was significant inflation. Do you believe the information submitted is correct If not, what 12. year do you believe the compressor to be placed into service Use CEPCI = 500 for 2006. 

The following problems may be solved either by using hand calculations or by using CAPCOST (use a value of CEPCI = 500). 

A column with similar dimensions, number of trays, and operating at the same conditions as given in Problem 18 is to be used to separate a mixture containing the following chemicals. For each case determine the bare module cost using a CEPCI = 500. a. 10% nitric acid solution... 

Figure 8.1 shows that fuel costs have increased somewhat more rapidly and in a much more chaotic fashion than the cost index (CEPCI) that we have used previously to correct costs for inflation. As a result of the regional variations in the availability and costs of fossil fuels, along with the inability of the cost index to represent energy costs, we take the position that site-specific cost and availability information must be provided for a valid estimation of energy costs. We assume, in this text, that natural gas is the fuel of choice unless otherwise stated. 

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