| According to the overall emission reduction objective State Grid identified in the “Eleventh Five-Year” period, to ensure the fulfillment of energy saving measures, comprehensive concept of “improve the energy efficiency, protect the environment” should be set during the whole process of network planning, designing, construction and operation, and energy saving should be put into their strategic planning and daily work. Meanwhile, with the social and economic development, rapid growth of electricity load came up with the gradually improvement of living standards in recent years. The original town grid structure is unable to meet the needs of the increasing power load. In order to optimize the county power structure and increase the capacity, quality, reliability, security and efficiency of power supply, and to optimize the combination of investment and revenue, our county decided to implement the renovation of grid construction in time.This paper hopes to apply relative theory of cost management to the branch line to the power branch line renovation project, through the analysis on the cost factors which influence the power branch line renovation project, combined with the case study in a certain Development Zone, then strives to find key factors which will influence the cost in this project, analyze the process and strategies of cost management to ensure the effective realization of the project cost management. Thus give some guidance and help to this kind of project to reduce the cost of power branch line renovation for State Grid.Based on the case study on the cost management of 10 KV branch line renovation project in Sujia Village, Zibo, in the form of theoretical research and empirical analysis, the paper analyzed the necessity of implementation of cost management in the construction process of branch line renovation project with scientific methods, and with the consideration of branch line renovation project, the paper managed to find out the composition of the project cost and the main affective factors, thus find the objectives and priorities of cost management to effectively implement the cost management in the whole process of project through pre-, during and after administration.During the process of project implementation, the project team has analyzed and researched the process of cost management after the successful completion and acceptance of delivery of the project, based on this research, this paper summarizes the obstacles appeared in the cost management and strategies to deal with: data preparation in advance; a special advocacy group should be set to give wide publicity of construction; Strengthen the concept and establish full awareness of cost management and cost control; Improve the cost management system, implement the cost control in the whole process; employ new technologies to reduce project costs; Strengthen the control of engineering materials; apply cost management software scientifically; adopt economic measures to control costs; Improve the management level to strengthen the control of project in the whole process; Strengthen the supervision of cost accounting. |