Repair Replace Rehabilitate Options

Decisions made on long-lived assets are usually irreversible and have long lasting effects once they are implemented. It is necessary to be able to identify the effects of the different decisions and to compare them, in present value terms, with the relative merits of each option.

Also, in the current business environment with reducing capital and increasing demand for budget justification, there is pressure on management to further enhance the performance of the assets and extend their lives, instead of constructing new capital works. The operations and maintenance of the existing assets have become the primary issues. Any rehabilitation or maintenance option, which can help to reduce this recurrent expenditure, would be worth exploring.