Cost Estimation in Engineering

In modern world the use of resources must be carefully allocated for the biggest benefit to society. In order to make rational decisions when it comes to civil works or engineering projects, the decision makers must be able to weigh in the overall cost, alongside with benefits and potential detrimental consequences. It is important to know the cost of a project before starting construction in order to ensure that the client or the municipality will have enough resources to complete the project. Experienced consultants are often employed to deal with rigorous calculations that are involved in a major project. An experienced estimator will understand that a good cost estimate will also include such items as the right of way and the environmental concerns that the client may have overlooked.

Prior to construction of a major project the client must be sure that proper rights of way are in order. Not having a right of way can have a major financial impact on a project. Due to extremely high cost of land acquisition an estimator must consider the potential cost that will be incurred. Another potentially important factor to consider when making an estimate is the reluctance of rights-of-way to be sold by owners. This may cause the issue to escalate into courts with expensive legal battles.

Environmental costs can be a major variable to a construction project. When taking into account the environmental costs and estimator must consider the potential of facing contaminated soil or encroachment on a territory of a protected species. At times environment costs can be so great that they may exceed the overall cost of the project. An estimator must be knowledgeable of the environmental regulations of local jurisdictions when making an estimate. Therefore knowing how a project will be affected by environmental issue is extremely important to overall success of the project.