PowerAdvocate | Capital and O&M Cost Indices

Take Control Over Critical Operational and Project Costs

PowerAdvocate's Capital and O&M Cost Indices provide visibility and predictability into operation and project costs, which are critical to optimize operations, minimize project risk, and achieve supply chain excellence. Today's utility construction boom has created unprecedented uncertainty in material and equipment costs making it difficult to optimize operations, plan projects, and manage supply chains.

Granular, Multi-layer Visibility

Each of the facility indices are developed through a rigorous build-up of commodity, item, subcategory, and category costs that provides a full and transparent view into the energy market's supply chain cost structure. PowerAdvocate's item level demand curves and supply market information deliver powerful insight to gauge all aspects of an item's costs, including underlying material and service costs and market demand forces, in order to anticipate future price escalation risk.

Predictability: Forecasted "Probability Cone" to Gauge Risk of Future Price Movement

Predictability means gaining a view on the direction and magnitude of future project and operation cost changes. The forecast methodology uses historical cost trends to predict future escalation. PowerAdvocate's probability cone shows probability curves that indicate the chance that cost escalation will be below that curve.

What You Receive

PowerAdvocate's Capital and Operational Cost Indices products include two semi-annual reports, delivered in February and August. The reports detail the change in costs to operate or construct generic "facilities" in the U.S.

These two reports include:

• Facility, Category, and Sub-Category Indices as well as 40+ Item level Indices
• Forecasted probability cones for all indices
• Expert analysis and market opinions on key cost drivers and projected trends
• Dashboards on cost trends of 40+ items (specific equipment) to assist strategic decision making
• Underlying spreadsheets of index & weighting information for your own analysis

PowerAdvocate Cost Indices Standard Reports

The reports combine the depth and breadth of over $40B in sourcing transactions with respected third-party and government databases and a proprietary methodology to build-up cost components starting from the bottom.

Custom Capabilities

PowerAdvocate provides customized solutions that are individually tailored to a particular client's capital program or O&M budget. The customized indices build off the same component cost database as our standard reports, but deliver precise analysis based on a client's unique facility configuration, technology, location-specific labor rates, and other client-specific qualities.