Why cutting corners does not cut costs

Nathan Hudson believes that the most obvious ways of saving money on electrical-distribution systems are usually not the best.In every area of business today, there are constant pressures to cut costs. Electrical contracting is certainly no exception. It is therefore understandable that contractors are tempted to source the cheapest possible components for their distribution installations, simply so they can submit a competitive tender to increase their chance of winning the contract. Compromise quality The problem is, of course, that cheap components often compromise on quality. The metalwork used in distribution boards may, for example, be thin and lacking in strength, and the breakers themselves may offer a very limited range of options. That said, the pressure to cut costs is not going to go away, so how can it be addressed without affecting quality and performance? As is so often the case, advances in technology provide the answer. Take, for example, an ordinary TP&N distribution board. For applications with loads up to 63 A, the automatic choice is a board with an MCB. However, with today’s proliferation of electrical equipment, there are an increasing number of instances where larger loads are involved. The standard answer is to move up to a board that uses MCCBs. Technically, this approach cannot be faulted but, unfortunately, there is a substantial price difference between an MCB board and one based on MCCBs. A better solution is to use one of the recently introduced distribution boards that can accommodate MCBs rated up to 125 A for the outgoing circuits. It is also worth bearing in mind that component cost is not the whole story. A board that is heavy will require two people to install it. In contrast, a board with a removable pan assembly can be installed single-handed, leading to useful savings in expensive site labour. Another important factor is wiring space. Cheap boards can be notoriously difficult to wire, which means that any savings made on buying them are quickly outweighed by the extra time taken on site — not to mention the increased risk of wiring problems and errors. Drawbacks The drawbacks of supposedly cheap components are becoming even more marked as the demand for intelligence in power distribution systems grows. As well as low initial costs, specifiers want security of supply and minimal downtime — and are quickly realising that intelligent breakers provide the key. The ability to monitor real-time current information is, for example, an important aid to setting up and maintaining the installation, as is, in the event of trip, a clear indication of why that trip has occurred. Warning of an impending trip is also invaluable in applications, such as hospitals and industrial plant, where supply failures can have serious and expensive consequences, since the warning gives time for action to be taken to prevent the interruption to the supply. For enlightened specifiers who consider not only the initial price but also the lifetime costs when choosing electrical systems, the attraction of reducing expensive downtime is clear. Intelligent breakers can, however, do even more by facilitating energy monitoring and management. The issue of energy management has assumed particular importance since the introduction of Part L2 of Building Regulations in April 2006. This requires that, in new buildings, energy-metering systems are installed that enable at least 90% of the estimated annual consumption of each fuel to be assigned to various end-use categories such as heating and lighting. These requirements effectively mean that energy and monitoring and management features in electrical distribution systems are no longer merely desirable options but have become essential. Factory-fitted While intelligence in breakers is clearly desirable, many suppliers offer intelligent features as factory-fitted extras. These add significantly to the basic cost of the breaker and can potentially extend delivery times. A simpler and more cost-effective approach is to build in intelligence as standard in selected product ranges. There is no doubt that competitive pricing is essential to success in electrical contracting, but I firmly believe that using cheap components is not a good way to achieve this, especially because, as the contract progresses and the equipment enters service, it often turns out to be a rather expensive option. Hopefully, however, I have been able to show that there is a better way to cut costs by taking full advantage of the possibilities opened up by the innovative power-distribution products that are now entering the marketplace. Nathan Hudson is business-development manager with Moeller Electric.

Related links:

• www.moeller.co.uk

Related articles:

• Putting the business case back into Net Zero
• The evolution of the UK hot water & heating market
• Heatwaves – making the argument for home cooling grants
• How our services ‘superpower’ can beat the tariffs
• UK HVAC & heat pump skills shortage - where do we go from here?