Pipe Competition Reveals Cost Savings

Pipe Competition Savings: Ohio

Pipe competition can save huge dollars for necessary infrastructure repairs.

OHIO Pipe Competition Could Save Millions

Open pipe competition vs. closed competition: The primary objective of this study was to provide a comparison of water distribution and transmission (pressurized) pipeline installation and costs between two Ohio communities.

OHIO Pipe Competition Could Save Millions

Ohio Resources:

Open Competition Can Save Ohio Nearly $1 Million/10 Miles

  • OPEN COMPETITION Delaware County, OH, allows all materials that meet specifications to bid on a pipe project. It enjoys lower pipe capital costs on average. However, Franklin County mandates only one material for water supply pipe, granting a virtual monopoly costing taxpayers an average of $97,680 per mile in additional pipe capital cost.
  • Savings on average, for pipe capital costs in OPEN COMPETITION Delaware County, OH were 32% to 35% compared to Franklin County, OH with a virtual pipe monopoly for one material, ductile iron.
  • Even considering total pipeline construction costs, OPEN COMPETITION Delaware County, OH saved 13.6%, on average, compared to Franklin County, OH on pipe projects.
  • Eight to 12” pipe in Franklin County, OH, which maintains a virtual monopoly, cost on average $51.83 per foot, but in OPEN COMPETITION Delaware County, OH it cost $33.33 per foot on average, a difference of $18.50 per foot, saving $97,680 per mile in pipe capital costs alone.
  • For every ten miles of pipeline, OPEN PIPE COMPETITION could save nearly $1 million in pipe capital costs alone.

Pipe Competition Savings: North Carolina

NORTH CAROLINA Pipe Competition Could Save Millions

North Carolina Resources:

NORTH CAROLINA Pipe Competition Could Save Millions

  • OPEN COMPETITION Charlotte, NC allows all materials that meet specifications to be considered for a project. It enjoys lower pipe capital costs on
    average. However, Raleigh, NC, mandates only one material for 8-12” water supply pipe, granting a virtual monopoly costing taxpayers an average of $155,902 per mile in additional pipe capital cost alone.
  • Savings on average, for 8-12” pipe capital costs in OPEN COMPETITION Charlotte, NC were more than 49% compared to Raleigh, NC with a virtual pipe monopoly for one material, ductile iron.
  • Eight to 12” pipe in Raleigh, NC, which maintains a virtual monopoly, cost on average $57.73 per foot, but in OPEN COMPETITION Charlotte, NC it cost $28.21 per foot on average, a difference of $29.53 per foot, saving $155,902 per mile in pipe capital costs alone.
  • For every ten miles of pipeline, OPEN PIPE COMPETITION could save $1.55 million in pipe capital costs alone.
  • BCC Report Pipe Costs North Carolina Open v. Closed Competition