The pitfalls of automation planning

A paper written by port staff for the city council pointed to three critical elements that led to the cost overruns.

For the electrical system, the baseline estimate was $15.01m, but the current estimate is $67.08m; a difference of $52.07m). The port staff noted: “As design of the terminal progressed, it was evident that automation requires a much more extensive electrical infrastructure than estimated,a 4.16 kV power supply system was assumed in the baseline estimate.

“During the design process, it was determined that a 12.47kV power supply system was required, which resulted in additional infrastructure including new high voltage 34.5kV electrical substations, multiple feeds, switchgear,transformers, voltage conversion switchgear, and extensive underground conduit for telecommunication, fibre optics, and power. 12.47 kV is a US standard voltage; Norfolk, VA is supplied by 13.2 kV and CTB Hamburg is 10 kV.

“Construction activities in the San Pedro Bay are at a historic high. The current bidding climate is showing significant signs of large cost increases, particularly with electrical infrastructure. With the number of AMP (alternative maritime power) projects in construction, in both ports, the availability of equipment and resources have been stretched and is resulting in increased costs showing up in recent bids.”

On the storm drain system side, the baseline estimate was $1.63m, but the current estimate is $14.53m. On this, the staff note: “The original storm drain design consisted of infiltration to comply with the City of Los Angeles Watershed Protection Program and the Standard Urban Stormwater Mitigation Plan (SUSMP). The existing site is contaminated. Since infiltration is prohibited due to the high levels of contamination, the storm drain system resulted in a very intricate design, including sand filtration, subdrains, trench drains, and overflow system.”

The third critical budget blower was the concrete pavement and foundations, which was estimated at $3.8m and now stands at $24.6m.

“Due to site conditions and geotechnical studies, design is resulting in thicker concrete pavement sections, pile supported buildings and structures, thicker and stronger crane rail,and surcharge to decrease long-term settlement,” said port staff.