ECONOMICS EQUIPMENT MAINTENANCE POWER

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Abstract

Why would our facilities want to know our water production costs? All operations staff, and our plant management really care about is whether we have enough good water when the units needed it, right? What about those times when parts of our water plant break down? No big deal, unless it is a vital part. Then, weﾒre in a hurry to get it back on line, or to provide an alternate source, and we catch the flack for those failures, too. But each of these failures, large and small, have a cost associated with them. Hopefully, just a repair or replacement water cost, and not unit availability cost. So what does this have to do with water production cost? If we track the water production costs, often we can see where areas of improvement or change are needed. This cost is our justification to management to make those improvements or changes. We can also use these costs to compare with other water treatment options in order to select the least cost solution to our plant water treatment issue. So, water production costs are a big deal to us. In this article, the author will outline the way Ameren Services went about justifying, implementing, and creating a calculation for water production costs.

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