QUESTION $2$

The development of a typical small$-$scale hydropower plant in South Africa showed the

following data $($Table $1)$ within world acceptable guidelines.

Table $1.$ Costs of typical small$-$scale hydropower plant components

Assumptions on capital costs of components:

The pair of electro$-$mechanical equipment and planning, and design cost R$19\mathrm{.}5$

million.

Electro$-$mechanical equipment costs are $114\mathrm{.}28\%$ of civil works and

implementation costs.

Implementation costs are $40\%$ of civil works costs.

Planning and design, and electro$-$mechanical equipment constitute $65\mathrm{.}020\%$

of the total capital costs.

$2\mathrm{.}1.$ Approximate the capital cost $(R)$ for each component. Show clearly detailed

steps of your calculations.

$2\mathrm{.}2.$ Interpret your results in terms of component contributions to the capital costs

$($maximum $5$ lines$).$