The operating cost of construction machinery comes into play only when the machine starts to operate. The operating cost is dependent on the period of operation (hours), location of the construction site, the site conditions under which the machine is operated, the type and category of the machinery.
Different costs that come under operating costs are explained in this article.
There are seven main types of costs that come under the operating cost of an equipment. They are:
This cost is the amount needed for the repair and maintenance of the construction equipment subjected to wear and tear due to the daily operations it performs. Repair and Maintenance cost covers a substantial percentage in the overall operating cost. This cost includes:
Proper and timely maintenance of the construction machinery helps to decrease the repair and maintenance cost with time. This cost increases with the age of the machinery. Major repairs can be performed at a specific facility set up for the machinery by skilled and authorized dealers of the machinery. Most of the minor repair is performed at the site without any delay.
The annual repair and maintenance cost of the machinery is calculated as the percentage of annual depreciation cost of the machinery. This cost can also be determined by reviewing the past records of similar machinery or by referring the manufacturer’s guidelines of the machinery.
These use gasoline or petrol or diesel as fuel. The internal combustion engines provide power to the construction machinery. The amount of fuel consumed depends on the nature of working conditions and rated flywheel horsepower (fwhp).
Flywheel horsepower is defined as the power that is needed to operate a piece of equipment.
Hourly fuel consumption can be estimated by checking the past records of fuel that is consumed by similar equipment under similar working conditions. In the absence of past records, the equipment’s fuel consumption given by the manufacturer can be used to estimate the fuel cost.
The tire cost has two main expenses, the tire repair cost and the replacement charges . The cost of pneumatic tires comes under the operating cost category.
It is to be noted that the pneumatic tires wear out fast compared to the machinery. More the wear, lesser the life of the tire.
Tire repair charges = Percentage of tire depreciation cost.
Here also, the repair cost can be obtained from the past records of similar machinery that was working under similar environmental conditions.
The hourly wages and the additional benefits given to the operators also come under the operating cost of the machinery. This cost includes normal wages, bonus, fringe benefits, etc.
The operator’s wages vary with undertakings. It is normally calculated as a separate cost category and finally added to the operating cost.
Some parts of the equipment have a shorter life as compared to the service life of the equipment. These include cutting edges, drill bits, bucket teeth, blades, etc. These are hence categorized as high-wear items.
The normal expected life of these items can be estimated either from the past records or from the manufacture guidelines.
The quantity of lubricating the oil, grease and filter is dependent on the frequency of changes, operating hours, engine characteristics and working conditions at the construction site.
The time period between the changes can be determined from the past records.
Quantity of lubricating oil need by an Engine = Amount added during complete change + Smaller amounts added between the changes.
Quantity of oil needed by the engine is given by the equation,
q 1 = {[hp x f x 0.006]/7.4 } + c/t
q 1 = quantity of oil required in gal/h, hp = rated horsepower of the engine, f = operating factor, c = capacity of the crankcase in gallons, t =number of hours (i.e. duration) between the oil changes.
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