Category: Quantities & pricing
Prepared by Eng. Ahmed Fathy, Projects Manager ·
Definition
Equipment cost is the cost of plant and tools used in the works, such as excavators, cranes, pumps, scaffolding and vibrators, whether hired by the day or month or owned with depreciation, fuel, maintenance and operator.
Why it matters on a project
It can be a large share of earthworks and structural cost. Equipment hire was among the fastest-rising parts of the construction cost index in 2026.
Measurement and pricing
Per unit by dividing daily plant cost by its output, or as a general item in indirect costs for shared plant such as a tower crane.
Worked example
An excavator hired at 1,800 SAR a day with operator and fuel, digging 300 m³: plant cost 1,800 ÷ 300 = 6 SAR per cubic metre (illustrative).
Common mistake
Charging plant only for working days, forgetting standby, mobilisation and transport days.
Frequently asked questions
Hire or buy?
Hire suits intermittent use; buying suits continuous use across many projects.
Where does the tower crane cost go?
Usually in site indirect costs because it serves all trades.
Related terms
- Labour productivityThe amount of work a worker or crew completes per day.
- Direct costThe sum of material, labour and equipment cost of an item excluding overheads.
- Indirect costs (overheads)Site and head-office costs not attributable to a single item, added as a percentage.
- Concrete pumpPlant that pumps ready-mix concrete through pipes to the pour.
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