Modular turn-key plants have several benefits compared to building a plant on site. We look at a few of the main ones here.
1. Preserve CAPEX
Plants built on site require significantly more capital expenditure than a modular plant. The funds saved on a modular plant can be used in other parts of the business. Being modular means the plant can be more easily moved to a new location when required so the asset potentially has a longer life than if it is fixed.2. Lead Time
There is significantly less time needed to get a plant up and running if it can be built off-site. Building work on modular plants can begin as soon as the design is finalised where as on-site takes time to gain building approvals. The other local authority approvals can be finalised while construction is underway. By the time everything is in place, the building is ready for transport. Testing can also be completed off-site so once the plant has been fitted on-site, the time needed to get to full production is minimised.3. Remote Locations
Plants are often required in remote conditions. On-site construction is costly due to a lack of trades in the local area. When staff are needed to be brought in, costs increase quickly when they need to be housed and transported from site to the nearest capital city. The logistics also adds significantly to the time required to build the plant. A modular plant can be built in an area where labour is much cheaper than a plant’s final remote location. Also, the factory and all of the tools and equipment needed are on hand and don’t need to be transported anywhere.4. Smaller Footprint
When space isn’t needed for building and housing equipment, a much smaller area of land can be prepared. The area of land that needs to be cleared and compacted is just the size of the modular plant. Building on-site may require double the land area. There are also fewer costs involved in fencing and protecting the site during the construction phase.In the time it takes to gain building approvals, transport building materials and labour, a modular turn-key plant can be well on the way to being built. Time is money and being able to fast track to operation is one of the main reasons why companies decide to use modular plants rather than onsite construction.
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