KING FAHD UNIVERSITY OF PETROLEUM AND MINERALS

DEPARTMENT OF CONSTRUCTION ENGINEERING AND MANAGEMENT

TERM PROJECT PRESENTATION

CEM 512: Value Engineering

Ring Main Unit

SF6
BY
ABUL KARIM AL SULAIS

OUTLINE OF
PRESENTATION

Introduction
Objectives
Job Plan

Information Phase
Speculation (Generate alternatives)
Evaluation
Deployment
Presentation
Implementation

INTRODUCTION

Electric Panel Factory at Dammam

has decided to modify compact
substation production line by
replacing Oil Ring Main Unit (RMU)
with sulphur hexafluoride insulation
(SF 6).

Replaced Oil Ring Main Unit (RMU)

by SF6 insulation

OBJECTIVES
1.

Replace Old and Obsolete Oil RMU

2.

Use SF6 RMU

3.

Select the best RMU

4.

5.

RMU should be delivered in six lots / 2

year
The cost of oil type RMU is 15,000 SR

SF6 in RMU

SF6 gas is used in electrical power

equipment

It is insulation and arc quenching

medium in RMU

Type of Ring Main Unit

SF6

Oil

Compact Substation

Compact substation
Layout

Transformer
MV

LV

Infromartion- Requirment
1.

Type- tested

2.

Independent of climat

3.

Maintenance - free

4.

5.

15 KV , 630 Amp , 60 HZ
,SF6,21 KA/sec
Hermetically -sealed welded
switchgear enclosure

6.

Compact and clear design

7.

Short Delivery Period

InfromartionRequirment

maintenance free

compact

Easy cable installation

Easy cable instalation

Encapsulated, climate proof,

Easy accessable , etc.

Information- Data

Quotations
Catalog
Competitor

Information- Cost Data

Dimension
No

Item

Q.T

U.SR

T.SR

Delivery
L

900

1700

Oil type RMU

500

17,000

8,500,000

400

14

ABB

500

22,000

10,450,000

355

775

1600

12

SIEMENS

500

23,000

11,040,000

105

835

1400

12

Merlin Gerin

500

20,000

9,600,000

500

775

1600

10

Saudi Lucy

500

20,000

9,200,000

600

1200

1400

Alstom

500

20,000

9,600,000

1010

700

1315

16

Hoeco

500

19,000

8,835,000

500

700

1200

20

Ormazabal

500

19,500

9,360,000

370

900

1800

20

F&G

500

19,500

9,400,000

320

640

1400

22

Function Worksheet
Why
To install RMU in Compact S/S
To have good market share

Function
Buy 500 RMU Select RMU

How
Select RMU

Identify Present Function

What dose it now do

Verb

Feed
Link
Used

noun
Transformer
Load
Oil insulation

What must it do

Verb

Improve
Reduce
Easy
Increase

Noun
marker share
Maintenance
operation & installation
Customer acceptance

Analysis Phase- Ideas

The most used RMUs in KSA

1.
2.
3.
4.
5.
6.
7.

ABB
Siemens
Merlin Gerin
Saudi Lucy
Alstom
Hoeco
Ormazabal

Function Worksheet

Function :

Why :

Re Design Compact substation using SF6

RMU

To be competitive in the market

How

Select SF6 RMU

pl
Re
ac
tC

To
ta
l

Ra
nk

ta

t
os

o f en
e m
m e
Ti pl
Im n
o

en
em

Pr
ob
I
m
Re
on pl ab
em i l i
lia
t
en y o
bi
lity
ta f
ti

ti

1 ABB

32

2 Siemens

10

33

3 Saudi Lucy

30

4 Merlin
Gerin

28

5 Alstom

19

6 Hoeco

13

7 Ormazabal

12

8 F&G

15

Idea Comparison
Advantag
e

Disadvanta
ge

Rank

ABB

Compact

Delivery +Spare
parts

12

Alstom

Compact

Poor After Sales

F& G

Price

No Technical
support

Holec

Price

After sales support

Merlin Gerin

Price + Delivery After sales support

Ormazabal

Price and
compact

after sales support

+ Spare parts

Siemens

Compact

Delivery

10

Weight Evaluation
Raw Score

Assigned
Weight

Price

11

10

Dimension

Delivery

Technical Support

Service after sales

Number of installed units

Installation time

Weights for Evaluation

How Important

3-Major Preference

2- Medium Preference

1- Minor Preference

A-3

A-2

A/D

A/E

A-2

G-1

B-2

D-2

E-2

F-2

G-2

D-2

C/E

C-2

G-2

D-2

D-2

D/G

E/F

E/G

F/G

Low life cycle costs!

independent of
dust, animals and
climate
insensitive to
failures

maintenancefree
Salvage value
after 15 years

easy to operate
safe for people
compact
low building and
real estate expenses

Life Cycle Analysis for 500

units
Original

N.o

ABB

Saudi Lucy

8,500,000

8,500,000

10,450,000

10,450,000

11,040,000

11,040,000

9,200,000

9,200,000

500x 250

125,000

500 x 120

60,000

500 x 100

50,000

500 x 150

75,000

500 x150

75,000

500 x 1000

500,000

500 x 1200

600,000

500 x 800

400,000

Install Cost

Annual operation

Salvage cost
15

Siemens

Item

Life years

15

15

15

Life Cycle Analysis

I = 8%
P/A= 8.5595

N= 15
P/F = 0.3152

P- Original
P-ABB
P- Siemens
P-Saudi Lucy

=
=
=
=

9,546,298
11,121,170
11,657,095
9,501,895

Choose Saudi Lucy since it is the lowest

Savings

Original :
Total SR 9,546,298
Proposed Saudi Lucy
Total SR 9,501,895
Saving = 44,403
# 0.465 %

Value Study Summary

Comprising between SF6 and Oil RMU

Reduce the cost of compact substation

Easy to install
Increase customer acceptance of co S/S
Increase the Factory market share
RMU`s manufacturer will provided technical
support for changing implement the new
design
Reduce maintenance cost
Increase breakdown
The difference in price between oil and SF6 is
slightly very small

Implement Plan
1- How Should it be implemented?
The propped RMU from Saudi Lucy will be discussed with factory , purchasing and
engineering managers to overcome any road blocks prior to management
presentation
2- What should be changed and in what sequence?
Within approval the purchasing department should finalize the price and delivery
time. Then , the designer shall revise the drawings to meet new approved SF6 RMU.

3- Who should do it?

Engineering department and do necessary changes prior compact substation
submittal to procurement department

Implement Plan
4- How long should it take?
Two weeks

5- Any deadline required

As per management report forcast

6- Implementation cost , internal house

30 hours for engineering
20 procurement 50.
Total cost SR 3000

THANK YOU