Independent Cost Estimate

A cost estimate, prepared by an organization independent of the project sponsor, using the same detailed technical and procurement information to make the project estimate. It is used to validate the project estimate to determine whether it is accurate and reasonable.

A documented cost estimate that has the express purpose of serving as an analytical tool to validate, cross check, or analyze estimates developed by proponents of a project. An independent cost estimate also serves as a basis for verifying risk assessments.