Hello Amber,
Thanks for reaching out. This is a question specific to the NAMS+ tool.
Let me clarify on the previous response which I have removed. The question you raised requires some additional considerations.
- We need to confirm that we are actually acquiring these new assets and that they are leading to additional operating and maintenance costs, and not renewal of existing assets.
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We need to ensure that the future generations of renewal are material in the bigger picture. If there is the acquisition of a few additional pieces of equipment over the 20 year planning period, is the future renewal material in the bigger picture? Remembering that if the AMP is updated every year, once the equipment actually comes into the asset register and is acquired, then all future generations of renewal will be captured.
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You can add the asset to the register in the year that it will be acquired and it will show future generations of renewals.
For your situation where you are expanding the fleet and acquiring an asset in the first year of the planning period (2023). Enter this as an acquisition and then also in the asset register enter 2023 as the year acquired and the useful life in the asset register and this will forecast the renewal costs of Generation 2..3..4, etc. See example below.
4. Finally, if you do not want to add it to the asset register, there is an option to use the results from the asset register model and create an alternate method that does include these future renewals.
If you would like assistance with this I can be contacted at support@namscanada.org
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Jolene Callum
NAMS Canada Inc
Saskatoon SK
Canada
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Original Message:
Sent: 14-06-2023 05:51
From: Amber Dewar
Subject: Future Renewals on Acquisitions
Hello, we are currently completing detailed asset management (AM) plans and using the NAMs+ Lifecycle Model tool. We noticed for this round of detailed AM Plans that we have a lot of assets with short useful lives (i.e. 6 years). Therefore, if we anticipate an acquisition during our 30-year forecast, how do we account for these renewals in our forecast using the tool? For instance, say we acquire a truck in 2023 and it requires a Gen 1 renewal in 2029 and then Gen 2 renewals in 2035, 2041, 2047 etc., the limitations of this tool do not allow us to encompass these Gen 1 and Gen 2 renewals because the asset has been considered an acquisition. Has anyone had any success modelling this? Or is this a standard limitation in AM Planning that we should be citing?
Thanks,
Amber
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Amber Dewar
City of Hamilton
Program Analyst
HAMILTON ON
Canada
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