Cost Estimation Guidance
The Department is in the process of developing a series of cost estimation Guidance Notes which, in aggregate, will constitute the Cost Estimation Guidance referred to in Appendix B to the Department's Notes on Administration for Land Transport Infrastructure Projects 2014–15 to 2018–19 (the NOA). The Cost Estimation Guidance will provisionally comprise the following key components:
- Guidance Note 1 (Project Scope)
- Guidance Note 2 (Base Cost Estimation)
- Guidance Note 3A and 3B (Probabilistic and Deterministic Contingency Estimation)
- Guidance Note 4 Outturn (Escalation) Cost Estimation
It is not intended that the Cost Estimation Guidance be available as a printed bound document. Rather it will be published on the Department's website in PDF form, both as individual components, as well as a single consolidated document, that can either be read online or downloaded for subsequent use.
The version date of each component of the Cost Estimation Guidance will be listed on the webpage and will also appear as Appendix A Current Component Version Status–Cost Estimation Guidance to the Cost Estimation Guidance Overview component.
The Guidance will outline the principles that must be followed by proponents in preparing cost estimates accompanying Project Proposal Reports, submitted in accordance with the NOA, which seek Australian Government funding for road and rail infrastructure projects. The NOA and the associated National Partnership Agreement is available at the following link:
Published Guidance Notes
The following Guidance Notes have been published following a thorough consultation process and are available for download:
- Guidance Note 1 – Project Scope, Version 1.0, March 2017 PDF: 354 KB
- Guidance Note 2 – Base Cost Estimation, Version 1.0, March 2017 PDF: 514 KB
As it progressively develops the Cost Estimation Guidance, the Department will be undertaking a process of consultation with the aim of seeking feedback on each component prior to final publication.
Users should check this webpage periodically for the opportunity to view and comment on the Guidance Notes as they are developed. It is anticipated that the various components of the Cost Estimation Guidance will be available for review and comment via this webpage according to the following schedule:
- Overview - May 2017
- Guidance Note 1 - Version 1.0 available for download
- Guidance Note 2 - Version 1.0 available for download
- Guidance Note 3A - April 2017
- Guidance Note 3B - Consultation period closed 17 February 2017, publication TBA
- Guidance Note 4 - May 2017
The Department is not seeking feedback on any Guidance Notes at the present time. Refer to the anticipated schedule above for indicative consultation timeframes.
Register your interest
Enquiries regarding the consultation process, or the published guidance notes, should be directed to:
Director, Change and Project Review
Ph: 02 6274 8190
Ben Du Bois
Civil Engineer, Change and Project Review
Ph: 02 6274 6993