The Budget
Specifications
Specifications for a desalination plant's subsystems and project scope are unique to a client's resources and requirements. Our goal is to provide clients with the most accurate estimates possible, based on a thorough understanding of their unique specifications. Our Getting Started section outlines the information to be gathered and defined, so that we can generate a pricing estimate for your system.
Optimization of the System
Any RO system can be optimized for either operating cost or capital cost. The determination of how to design the system to accommodate your budget is highly dependent on the local costs for power and labor. For instance, in an area with high fuel costs, we recommend a highly efficient plant with low operating costs. Although the equipment and facilities expense may be more capital intensive, this type of plant may save significant amounts of money over the life of the operation.
The determination of how to design the system is also dependent on whether the customer is going to sell the equipment outright or own the plant. In some cases, the client will finance the plant and will sell the water in a BOOT water-sale contract.
Build Own Operate and Transfer (BOOT) Sale Agreement
A Build Own Operate and Transfer (BOOT) sale agreement is a financial arrangement in which a water seller finances, installs and operates the desalination plant for a fixed period, and then transfers the plant to the customer at the end of the contract period. Such arrangements can be beneficial for both the water seller and the end customer. The quality of BOOT projects is generally higher than plant sales due to the fact that the water seller must guarantee production and quality for a long period, typically 10-20 years. The end-customer can benefit because he has no risk in operations and maintenance of the system.
Pricing within these agreements typically include both a fixed fee and a variable fee. The fixed fee includes to plant installation and maintenance costs such as capital repayment and operations staff. Variable fees include all operations costs that are proportional to the amount of water produced, such as electrical power, fuel, chemicals and filtration supplies.