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Plant Cost Index (CEPCI) equation (Equation 7-6). Based on the above assumption, the cost is evaluated to be about £111,866.45. Indirect Costs Indirect costs include other costs such as the cost of freight to deliver the equipment to the plant site with associated insurance and taxes. Also involved in this category is the cost of engineering, including salaries for projects and process engineers, procurement expenses and so on. These costs are usually very difficult to estimate. In this work, the indirect costs considered include the cost of freight and the engineering cost. Estimation of Engineering Costs Based on the correlation from the aforementioned real-life project in Lienz, Austria, the cost of engineering is estimated to be about 15% of the cost of the ORC module. Implementing a similar correlation in this project, the cost of engineering would amount to about US$65,684.79 (£42,333.58). Estimation of Freight Costs, Import Duties, VAT and Taxes Most of the major ORC manufacturers are based outside the UK. Hence there will be a need to include the cost of transportation, import duties and VAT in order to obtain a more realistic value of the total investment cost. From the cost analysis carried out so far, it can be seen that cost values from two major players in ORC manufacturing (Turboden®, Italy and Infinity Turbine®, USA) have been used. If the ORC system under study were imported from Italy, there would not be any charges for import duty and VAT; however, if it were imported from the USA, import duty and VAT have to be charged on the imported goods. In order to achieve a good economic 161PDF Image | Northumbria Research Link
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