Financial Summary

 

A detailed costing of the proposed plant has been calculated by the team. The capital costs, operating and maintenance costs and the revenues have been considered, and a summary of each section can be found in the figures below. The full breakdown of each item included in the financial summary can be found in the appendices. In order to calculate an accurate estimate of the total costs, the team has made the following key assumptions for the entire design life of the plant:

 

• Annual Population Growth of the UK: 0.6% (ONS, 2015)

• Annual Inflation: 2.6% (ONS, 2015)

• Equipment Maintenance: 2% of equipment costs (City of Piqua, 2015)

• 50 members of staff at the plant

• A factor of safety of 5% was added to the total cost in order to account for unforeseen costs

 

Capital Costs

The capital costs comprise of the cost of all the plant equipment, excluding land acquisition. This ranges from the cost of the individual tanks and machinery to transport costs of materials to and from the site. All the components in the plant gives a total cost just under £59.4 million.

 

Operating and Maintenance Costs

The components of the yearly operational and maintenance costs of the plant detailed in Table 7.2  sum up to £18.6 million. The following costs have been overestimated and items such as miscellaneous costs have been included to cater for unforeseen and extra cost incurred during the year. 

 

Revenue

The main revenue streams generated  by the plant will be from the sale of Struvite, Enzymes, Biogas, Fertilizer and also site tours. The total projected revenues are £17.4 million.

 

Projections

A further analysis into lifetime costs of the plant has been done in order to determine the break-even point as well as the cash flows as the plant.