Main Factors Influencing the Cost of Constructing Reservoirs for Pumped Storage Hydroelectric (PSH) Projects
Constructing reservoirs for PSH projects involves complex considerations that significantly impact costs. Here are the key factors:
Economic Aspects
- Labor Costs and Availability: High labor costs, especially in regions with scarce skilled labor, can increase overall project costs. Delays due to labor shortages can lead to additional expenses for overtime and penalties.
- Materials and Market Fluctuations: Changes in material prices, such as cement and steel, between bidding and actual construction times can lead to cost overruns.
- Financial Resource Management: The construction party’s ability to manage finances effectively, including timely payments and resource allocation, affects project costs.
Technical Aspects
- Engineering Complexity: Reservoir construction involves technical challenges like managing water pressure, treating walls and bottoms, and constructing blocking dams, which can increase costs.
- Operational Challenges: Technical proficiency of operators and physical conditions during high-altitude operations can impact project quality and costs.
Social and Environmental Factors
- Public Opinion and Resettlement: Public resistance due to resettlement needs and lack of communication can delay projects and increase costs.
- Environmental Regulations: Compliance with environmental laws and impact assessments can lead to delays and higher project expenditures.
Capacity and Regulatory Factors
- Permitting and Regulatory Hurdles: Obtaining necessary permits and adhering to safety and environmental regulations can be time-consuming and costly.
- Human Resources and Capacity Risks: Ensuring that the construction team has sufficient qualifications and management capabilities affects project efficiency and costs.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-are-the-main-factors-influencing-the-cost-of-constructing-reservoirs-for-psh-projects/
