Waste management solutions provider CDEnviro is offering its customers a total expenditure (Totex) business model which enables them to take a longer term view on the infrastructure used for waste treatment works. It believes the industry needs confidence in the value of the plant and machinery it purchases and uses.
Purchasing companies want to ensure that they are buying best value for money at the lowest total life costs, and CDEnviro believes it is sensible to focus on longer term investment.
Adrian Convery, business development manager, explained: “For years, low capital expenditure (CapEx) and high operating expenditure (OpEx) have been accepted, but this approach is short-sighted and often more expensive than budgeted for.
“With a Totex approach, decisions are based on the full economic consequences. The industry needs to invest in new technologies that are much more efficient and specifically designed to reduce OpEx/downtime.”
CDEnviro designs and manufactures high-frequency wet processing equipment for materials that are typically difficult to process.
Convery said: “As a supplier, it is not always easy to prove that our offering is the lowest cost option for the life of the technology. So we have introduced a business model which gives purchasers the confidence to choose a Totex solution rather than risking high OpEx costs further down the line.”
CD Enviro says its offer includes: no upfront capital cost requirement for technology for tier 1 contractor or utility provider; known and fixed operating costs covered for the duration of the asset management plan cycle, or beyond, providing long-sight budgeting for operations; and full maintenance coverage, including servicing and spare parts covered within the contract.
All this is covered by a simple monthly charge for the provision of a primary treatment service.