Piping Allowance Philosophy

Why we need allowance 

During EPC Project, many constrain to be considered to complete the project. One of the major item is Materials.

In case piping material which is many piping bulk material are need allowance.

Before go to that part, let me explain that piping have two type materials, piping bulk materials and pipe specialty materials. For both type of material depend on the project philosophy how to manage the allowance.

In general pipe specialty no need allowance except some item such as steam trap, piping bulk material need allowance except some part such as large bore and exotic materials which is already fix the quantity.

Objective of the allowance

Piping allowance objective are to take care such as condition below:

1. Design changes due to unclear design or possibility changes.
2. Waste and scrap
3. Field Design Change 
4. Pre-Commissioning
5. Damages

And many other consideration depend on the situation. Please discuss with Project Manager.

Rules of allowance

During Material Take Off activity, some consideration shall be taken such as :

• Percentage of shall be discussed and agreed with project team. It shall be describe on BMBQ Policy.
• During final MTO, reducing percentage shall be reviewed as necessary.
• If necessary brown field area should be considered higher than green field.
• Hydro test and commissioning MTO shall be added separately.
• Timing to take MTO shall be considered the ROS (Required on site)

BMBQ Policy

Bill of Material and Bill of Quantity Policy is describe in early stage of project as guidance for lead engineer to take action.

In BMBQ policy mention about

• How many time the MTO.
• The timing of MTO.
• The reference for MTO.
• Method of MTO.
• MTO allowance.
• etc.

This BMBQ policy shall be reviewed by Project Manager and Piping Management .