What is an EPC Contract?
Engineering, procurement, and construction (EPC) is the full version of the phrase. Despite the fact that there are a few tiny variations between the two, it is sometimes referred to as the Turnkey contract. However, for the sake of common conversation, both names can be used interchangeably.
Turnkey contracts are as simple as turning a key, which is exactly what they sound like. The only thing that the project owners must do is submit a tender to an EPC company. The contractor that wins the bid will accept it and complete the project on schedule and at a guaranteed price, which is essential to the contract’s success.
In the construction industry, an LSTK contract (Lump Sum Turnkey contract) is a common type of Turnkey contract in which the money is paid up front.
Differences Between EPC and Turnkey Contracts
In an Engineering procurement and construction contract, the project firm will complete some preliminary engineering work before handing over the project to the contractor for construction.
But under a turnkey contract, the owner specifies the technical parts of the project that must be completed. Once this is accomplished, the turnkey contractor will be in complete charge of the project until the contract is completed.
In contrast to a turnkey contract, the commissioning of an EPC project is not included in the contract.
Roles and responsibilities of a Turnkey Contractor
A Turnkey Contractor is a company that is responsible for the design, procurement, and construction of a project from start to finish. As well as construction, the contractor is responsible for commissioning the project and giving it over to the owner or the customer when it is complete and ready to be used.
The EPC Contractors are responsible for completing the project at a guaranteed price. The team is also under strict instructions to execute all project delivery tasks by the specified timeframe. The contractors should also adhere to the performance guarantees that they have made.
Engineering or designing part in an EPC Contract
The Design Duties of EPC Contractors are:
- Basic Engineering
- Detailed Engineering
- Detailed Design
- Construction Engineering
- Civil Engineering
- Procurement part in an EPC Contract
The responsibilities in the Procurement are:
- Receiving the materials
- Construction part in an EPC Contract
The following are the tasks that must be completed during the building of a project:
- An EPC contractor is in charge of the design and construction management of the project.
- Electrical Installation
- Water Supply
- Sanitation and Drainage Work
- Carving cupboards and showcases
Advantages of an EPC Contract
Advantages of using an EPC contractor for a construction project include those listed below. :
- A Single Point of Responsibility
- Fixed Contract Price
- Fixed Completion Date
- Can Set a Performance Specification
- Performance Guarantee
- Caps on Liability
- Has Rights to Suspend the Project
- Flexibility in Ordering Variations
Energy Storage Systems
Energy storage has been a critical component of electricity generation, transmission, distribution, and consumption for many decades, and it continues to be so today. With the increasing use of renewable energy, the electricity landscape is undergoing significant transformation right now. Because of the change to renewable energy sources, supplying reliable electricity where and when it is required has become a more difficult problem than it has ever been.
Energy storage systems provide a diverse range of technical techniques for managing our supply-demand situation, as well as for building a more robust energy infrastructure while reducing costs for utilities and end users alike.
What Is Battery Energy Storage?
Storage batteries are rechargeable batteries that store energy from solar panels or the electric grid and then deliver that energy to a residence or company. Because they feature advanced technology that is not present in normal batteries, they are able to do tasks that were previously difficult or impossible, such as peak shaving and load shifting, with relative ease.
While the sun is shining, the battery storage system is being charged with clean power provided by solar panels.
Intelligence battery software use algorithms to coordinate solar production with usage history, utility pricing structures, and weather patterns in order to maximize the time at which stored energy is utilized.
During periods of high demand, energy is drawn from the battery storage system, therefore lowering or eliminating the need for costly demand charges. The concept of integrating solar panels with batteries is not a novel one. Early solar pioneers frequently linked their solar arrays to a series of marine deep cycle batteries to store excess energy. Prior to the widespread adoption of net metering, this was the sole method of utilizing stored solar energy at night.
Modern battery energy storage devices are conceptually comparable to their predecessors, but they are far more complex and powerful. If those old battery arrays were analogous to flip phones, then contemporary battery energy storage systems are analogous to the newest smartphone – they do the same main purpose, but everything else is a world apart from the previous generation of devices.
Modern battery energy storage systems are typically equipped with an integrated inverter as well as computerized control systems. These systems are complete turnkey solutions that are simple to install, almost maintenance-free, and need no effort or skill on the part of the owner. They’re also waterproof and non-toxic, making them suitable for both people and dogs.
Applications – What Energy Storage Can Do?
Energy storage systems based on batteries have a wide range of uses. Peak shaving, load shifting, emergency backup, and a variety of grid services are all examples of commercial uses. Among the residential uses are self-consumption systems, off-grid dwellings, and emergency backup systems.