IFE E C CYC CL LE E A ASS SE ET T MA ANAG GEMENT IN N MA ATERIA AL PR ROC CUR RE EM ME EN NT T

To lower the equipment operation cost, malfunction level and enhance the comprehensive equipment efficiency, State Grid Corporation of China (SGCC) puts forward the method of Life Cycle Cost (LCC) to engage in tender and procurement, which transforms the original program of paying attention to the initial equipment procuring cost and achieves a better actual result. This paper introduces the LCC tender model from SGCC, including purchase expense, operational cost, maintenance cost, repair cost and disposal cost. Then, it goes on to discuss the specific procedure of LCC in the tender, including selecting equipment, establishing model, preparing tender document, pre- appraising supplier's qualification, holding meetings before tender, evaluating tender deciding, concluding contract and making post-appraisal. At the end of paper, the 500kV transformer substation for Shanghai World Expo is taken as example to introduce the LCC tender process of 220kV transformer.