WET News

September 2014

Water and Effluent Treatment Magazine

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SEPTEMBER 2014 WET NEWS 25 Companies continue to 'play safe' by persevering with fixed water pumping systems, or perhaps needlessly investing heavily in new one. The challenge: Reducing capex while optimising assets Existing assets may not be appropriate for the application, and the conditions for pumping equipment are increasingly demanding W ith AMP6 now just months away, water companies face the challenge of managing the costs of investment in new in- frastructure while ensuring that projects are delivered on time. And yet, when it comes to hir- ing equipment rather than pur- chasing new assets, many are still reluctant to hire rather than buy. Some of that reluctance is prompted by the need to agree terms and conditions and con- cerns that this will precipitate onerous delays for the project. It is true that there are no stand- ard equipment hire terms and conditions for the water indus- try, unlike the construction sec- tor, for example, where most contractors use the Construc- tion Plant Association (CPA) standard terms. The challenge also involves the thorny issue of costs, how- ever. With the pressure on water companies to achieve signifi- cant improvements within a time critical period, budgets are under scrutiny. As a result, the decision to hire pumps rather than use existing assets can all come down to the numbers. Advanced processes But making do with existing pumps can be a false economy. These assets may not be appro- priate for the application and, with so much of the new invest- ment being tied to advanced processes, the conditions for pumping equipment are increasingly demanding. For example, a recent project requiring hire equipment from Sykes Pumps involved a move to a new Advanced Digestion plant where the existing pump assets struggled at times to cope with the viscosity of the sludge. Relying on existing assets may also mean that the required equipment is not available when it is needed. The logistics of ensuring that in-house equipment is trans- ferred to where it is required may seem simple for planned infrastructure improvements, maintenance or repairs, how- ever, in reality, there could be transport considerations or reli- ability issues. These risks are increased when pumps are required for THE CONCEPT • Contingency hire plans provide access to instantly available pumps for any application • Technical support can ensure that the specification matches the requirement • Hire costs are usually a temporary outgoing and do not involve the addition of assets to the balance sheet • Maintenance is handled as part of the hire package, reducing the time and costs involved in maintaining owned equipment NEED TO KNOW Existing pumps may not be appropriate for re-deployment There could be problems with asset availability There may be maintenance and reliability issues with older in-house pumps New treatment processes may call for more specialist pump models Pump hire specialists can offer specification advice and technical support THE VERDICT • Increased demand for consistently high quality drinking water and waste management is putting pressure on water company assets • If multiple fixed pump assets failed at the same time with no pump hire contingency plan in place, it could compromise water safety or waste treatment capacity • INSIGHT PUMPS & VALVES emergency replacement or back up of existing assets and, on these occasions, identifying suitable equipment from within the client's own inventory that can be made available within the required time frame is oŠen impossible. n Costs can be saved by hiring pumps on a short-term basis for seasonal, project-based or emergency require- ments, ensuring equipment is only on site on an 'as needed' basis

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