Energy Storage EPC Power Station Cost

4 FAQs about Energy Storage EPC Power Station Cost

What are EPC fees?

EPC fees are applied to the sum of direct and indirect costs. 2. Owner's costs include project development, studies, permitting, legal, owner's project management, owner's engineering, and owner's start-up and commissioning costs. Other owner's costs include electrical interconnection costs, gas interconnection costs, and land acquisition costs.

What does EPC stand for?

Source: Energy Information Agency Annual Energy Outlook 2023 (AEO2023). Definition: Engineering, Procurement and Construction (EPC) costs represent the expenditures associated with the construction of renewable energy projects—notably, labor costs for constructing these facilities.

What is the difference between EPC materials & owner services?

Materials include all construction materials associated with the EPC scope of work, material freight costs, and consumables during construction. Owner's services include project development, studies, permitting, legal, owner's project management, owner's engineering, and owner's start-up and commissioning costs.

Why are EPC costs so volatile?

EPC costs, along with related challenges, have emerged as obstacles to development, particularly exacerbated by pandemic-induced labor shortages. The continued volatile environment for EPC costs is driven by a confluence of factors, including inflationary pressures, increased demand for renewable energy projects and rising wage requirements.