life cycle costing of a building adapting to ashrae standards

Life Cycle Costing of a Building Adapting to ASHRAE Standards SEMINAR ‘1’

P R O J E C T S E M I N A R 1

PRESENTED BY-

DIVISHA JINDAL BEM/471 SCHOOL OF PLANNING & ARCHITECTURE


Chapter: 1 INTRODUCTION

Introduction

Life Cycle of a building

Life Cycle Costing

Energy Efficiency

Energy Efficiency in

Buildings

ASHRAE

1.2 Need of the Study

1.3 Aim

1.4 Objectives

1.5 Scope of work

1.6 Methodology

……………………………………………

Chapter: 2 LITERATURE

REVIEW

……………………………………………

Chapter: 3 ASHRAE

STANDARDS

3.1 Introduction

3.2 ASHRAE 90.1 - 2007

3.2.1 Purpose

3.2.2 Scope

3.3. Integrated Design Process

for Achieving Energy Savings

3.4 Introduction to case study

3.4.1 Introduction

3.4.2 Climatic Data CONTENTS

Contents 3.5 Guidelines by ASHRAE AND ECBC

3.5.1 Building Envelope Requirements for

Climate Zone – 1, Composite Climate

3.5.1.1 Roofs

3.5.1.2 Opaque Walls

3.5.1.3 Floors

3.5.1.4 Opaque Doors

3.5.1.5 Vertical Glazing

3.5.2 Heating, Ventilating and Air

Conditioning Requirements for Climate

Zone 1

3.5.3 Lighting Requirements for

Climate Zone 1

3.6 Energy Efficient Design Practices

3.6.1 Building Envelope

3.6.2 Lighting

3.6.2.1 Day lighting

3.6.2.2 Interior Electric Lighting

3.6.2.3 Exterior Lighting

3.6.3 HVAC

……………………………………………………


Chapter: 4 PROCEDURES FOR LCC &

LCA

4.1 Introduction

4.1.1 General definitions

4.2 Fundamental study of LCC

4.2.1 Historical development of

LCC

4.2.2 LCC – as a tool for Value

engineering

4.2.3 Recent trends and their LCC

concerns

4.2.4 Purpose of Life Cycle Cost

Analysis (LCCA)

4.2.5 Effectiveness of LCC in

various stages of a project

4.2.6 Applications and limitations of

LCC

4.2.7 Comparison with other

economic evaluation tools

4.3 Life Cycle Cost Analysis Methodology

4.3.1 Steps in Life Cycle Cost

Analysis

4.3.2 Type of costs included in LCC

4.3.3 Methods of Calculation of LCC CONTENTS

4.3.4 Parameters for Present

Worth Method

4.4 Uncertainty Assessment in LCCA

4.4.1 Sensitivity Analysis

4.4.2 Break- even Analysis

4.5 Detailed LCCA procedure

4.6 Fundamental study of Life Cycle

Assessment

4.6.1 Introduction

4.6.2 Fundamentals of LCA

4.6.3 Historical Background of

LCA

4.6.4 Parameters for LCA

4.7 LCA generic procedure

4.8 Conclusion

…………………………………………………


Chapter: 5 OVERVIEW OF CODES AND

STANDARDS FOR LCC and LCA

5.1 Introduction

5.2 Life cycle costing

5.3.1 IS 13174 (part 1): 1991

5.3.2 IS 13174 (part 2): 1991

5.3.3 ASTM E917-99

5.3.4 ASTM E2150-02

5.3.5 Code of Federal Regulations

5.3 Life cycle assessment

5.3.1 ISO 14041: 1998(E)

5.3.2 ISO 14043: 2000(E)

5.3.3 ASTM E1991-98

5.4 Conclusion

………………………………………………………

CONTENTS

Chapter: 6 CASE STUDY &

IDENTIFICATION OF ALTERNATIVE

FOR LCCA

6.1 Introduction

6.2 Review of Life Cycle Cost Calculation

for a sustainable building

6.3 Introduction to case study – MTNL

Office Building, Sector-6, Dwarka, New

Delhi

6.4 Analysis of Building Envelope, HVAC

and lighting system in case study

6.5 List of various building materials and

technologies – conventional & energy-

efficient

6.6 Inventory of specifications and systems

in case example and their alternatives

6.7 Conclusion

…………………………………………………


Chapter: 7 VALIDATION OF ASHRAE

STANDARD COMPLIANT BUILDING

PROPOSAL

7.1 Introduction

7.2 LCC Calculation Spreadsheets

7.2.1 Building Envelope

7.2.2 HVAC

7.2.3 Lighting

7.3 Payback calculation for the case example in

terms of building envelope, HVAC & lighting

7.4 Limitations of existing design

7.5 Advantages of ASHRAE compliant design

7.6 Statistical comparison of the existing design

and the ASHRAE compliant proposal

7.7 Conclusion from case study and LCC

calculations

………………………………………………………

CONTENTS

Chapter: 8 CONCLUSIONS AND

FUTURE SCOPE OF WORK

8.1 Conclusion

8.2. Recommendations

8.3. Future scope of study

…………………………………………………

List of References

…………………………………………………

Appendices

A. Definitions, Abbreviations and

Acronyms – from ASHRAE 90.1- 2007

B. Codes for LCC

C. Codes for LCA

D. Interest Table for Life Cycle Costing –

at 8% discount rate

………………………………………………


1. INTRODUCTION


Buildings

Transportation

Industries

1. INTRODUCTION

The construction sector alone counts for nearly 50% towards the

country‟s economics as well as energy consumption..

Buildings and building related activity:

• Largest consumer of resources whether it is material, capital or energy

• Causes the largest amount of environmental degradation

• Largest progenitors of waste output i.e. construction debris etc.


1. INTRODUCTION

Source: www.emsd.gov.hk


In the past, economic assessment of alternative designs, constructions, or otherinvestments has been based on initial (first) cost which ignores the total cost incurred forthe investment throughout its lifetime.The concept of life cycle costing provides an economic tool which takes into accounttotal costs for an investment during its life span.

1. INTRODUCTION

LIFE CYCLE COST

Life Cycle Cost is the total

cost of owning, operating,

maintaining and (eventually)

disposing off any product,

asset, building, etc. over a

given study period, with all

costs adjusted (discounted)

to reflect the time value of

money.

LIFE CYCLE COSTING

(LCC)

It is a comprehensive

method to evaluate the

overall economic

performance of investments

in building and building

systems.


1. INTRODUCTION

Various codes and standards are available nowadays, that serve as reference benchmarkto achieve at least a certain percentage of energy savings consumed in a building, thateventually aid in reducing the life cycle cost of the building; such as :• ‘Energy Conservation Building Code – 2007’ by Bureau of Energy Efficiency• ASHRAE Energy Standards 62.1, 62.2, 90.1, 90.2, 189.1• ‘Handbook on Functional Requirements of Buildings’ by Bureau of Indian Standards

ASHRAE was founded in 1894 at a

meeting of engineers in New York City.

The American Society of Heating,

Refrigerating and Air Conditioning

Engineers is an international technical

society organized into Regions,

Chapters and Student Branches; it

allows exchange of heating, ventilation,

air-conditioning, and refrigeration

(HVAC&R) knowledge & experiences for

the benefit of field's practitioners and

public.

ASHRAE also publishes a well

recognized series of standards and

guidelines relating to HVAC systems

and issues. In most of the proposed

Green Buildings, energy efficiency

parameters are compared with ASHRAE

standards as a base case.

ASHRAE


1. INTRODUCTION

Firstly, the most criticized issue about constructing environment-friendly

buildings is the high amount of cost involved in their design and construction

processes. The stigma is between the knowledge of up-front cost vs. life-cycle

cost.

Secondly, although the concept of LCC is well developed, very little

application is made in the construction sector. This is mainly due to the

technique being a mathematical computation with the help of some economic

formula, without considering the overall value of any asset. Value includes the

costs, but studies indicate that many times maintenance and operating cost

of assets are much higher than the initial costs. Thus, the decisions made on

initial cost considerations are many times misleading.

Need of Study

Aim

To evaluate the life cycle cost for an existing conventional building.

Identification of an alternative proposal complying to ASHRAE 90.1-2007

Comparison of life cycle costs of the existing design and ASHRAE compliant

proposal, over an economic life period.

• The specific aim is to verify if energy- efficient standards and technologies

contribute to savings in the life cycle cost of a building.


• Understanding the concept of life cycle of a building, the various stages

involved.

• To illustrate generic procedures for life cycle assessment (LCA) and life

cycle costing (LCC).

• To illustrate various tools and methods for life cycle costing analysis.

• To study ASHRAE standards and apply these in a case study building. Thus,

provide an alternative building design that complies with these standards.

•To compare the life cycle costs of the existing building and the proposed

alternative.

1. INTRODUCTION

Scope of Work

• Study of life cycle of a building – understanding of LCC and LCA.

• Illustration of the various tools and techniques for calculating LCC and LCA.

• Studying the ASHRAE standards.

• Detailed analysis of a case example and application of the ASHRAE

standards to identify an energy- efficient alternative.

• Calculation and comparison of the LCC of the existing and the alternative

ASHRAE compliant proposal.

Objectives


1. INTRODUCTION

Methodology

1. Introduction

2. Literature Study

4. Procedures for LCC

3. ASHRAE Standards

8. Conclusion & Future Scope

1

2

3

4

5. Overview of Codes & Standards for LCC

6.Case Study & Identification of Alternative

7. Validation of ASHRAE compliant proposal


2. LITERATURE STUDY


• UNPUBLISHED WORKS

• PUBLISHED WORKS

2. LITERATURE STUDY

Literature Study

1. Seminar on “Life Cycle Costing for Sustainable Buildings” Dec.‟09 by Rajesh Kumar

Mani

2. Thesis on “Framework for selection of appropriate building envelope material based

on energy performance and economic evaluation” – Dec. 2009 by Thambiarajan G.

3. Seminar on “Life Cycle Assessment of Green Building Materials and Technologies” –

December 2008 by Prajakta Bakshi

4. Seminar on “Life Cycle Cost Analysis and Applications” – Dec.‟07 by Vanaja

Srivastava

5. Seminar on “Life Cycle Assessment of Green Building Materials from Environmental

Considerations” – May 2002 by Jyotisubray Hegde

6. Seminar on “Life Cycle Costing for HVAC Services” by Hemant Kaklij

1. Life Cycle Costing for Design Professionals” – Second Edition by Dr. Stephen J. Kirk &

Alphonse J. Dell‟Isola

2. “Life Cycle Cost Data ” by Dr. Stephen J. Kirk & Alphonse J. Dell‟Isola

3. “Life Cycle Cost Analysis Handbook ” – First Edition by Deptt. of Education & Early

Development, Alaska Publications


• RESEARCH WORKS

• CODES & STANDARDS

• WEBSITES

www.wbdg.org www.buildnova.com

www.greencampusharvard.edu www.greenbuilding.com

www.buildlca.edu.au www.wiley.com

www.Nibs.org www.archenergy.com

www.ashrae.org

www.usgbc.org

Literature Study

1. IS 13174 (Part 1 & 2): LCC Terminologies & Methodologies

2. ASTM E917-99: Standard Practice for Measuring Life Cycle Costs of Buildings and

Building Systems

3. ASHRAE Energy Standards 90.1-2007

4. Advanced Energy Design Guide for Small Office Buildings – Achieving 30% energy

savings over ANSI / ASHRAE / IESNA Standard 90.1 - 1999

1. RICS Research - “Life Cycle Costing of Sustainable Design” – Feb.‟09 by Professor

John Kelly, Dr. Kirsty Hunter

2. “LCA tools, data & application in the building & construction industry” – Jan.‟01 by

Centre of Design at RMIT University

2. LITERATURE STUDY

http://www.wbdg.org/





http://www.greencampusharvard.edu/





http://www.buildlca.edu.au/







http://www.nibs.org/





http://www.ashrae.org/





http://www.usgbc.org/






3. ASHRAE

STANDARDS


Purpose

The purpose of this standard is to provide minimum requirements for the

energy- efficient design of buildings except low- rise residential buildings.

3. ASHRAE STANDARDS

Scope

This standard provides:

a) Minimum energy- efficient requirements for the design and construction

of:

b) Criteria for determining compliance with these requirements.

ASHRAE 90.1 - 2007

This particular standard provides guidelines to determine the orientation

and geometric shape of building on site, number of storey, thermal comfort

parameters; selection of building envelope, heating, ventilation, air-

conditioning and refrigeration (HVAC & R) systems, minimizing electrical

loads and energy cost budget methods.

1. New buildings and their systems

2. New portions of buildings and their systems

3. New systems and equipments in existing buildings


3. ASHRAE STANDARDS

The provisions of this standard apply to:

a) The envelope of buildings, provided that the enclosed spaces are

b) The following systems and equipment used in conjunction with buildings:

1. Heated by a heating system whose output capacity is greater than

or equal to 3.4 Btu/h. ft2

2. Cooled by a cooling system whose sensible output capacity is

greater than or equal to 5 Btu/ h.ft2

1. Heating, ventilating, and air conditioning

2. Service water heating

3. Electric power distribution and metering provisions,

4. Electric motors and belt drives, and

5. lighting


Life cycle energy = Operational energy + Embodied energy

3. ASHRAE STANDARDS

The ASHRAE standards provides guidelines that would assist the user in

achieving energy efficiency credits for LEED or other building energy rating

systems, by making improvements in the following technical areas:

Building Envelope

• Roofs

• Walls

• Floors

• Slabs

• Doors

• Vertical Glazing

Lighting

• Day lighting

• Interior Electric Lighting

• Controls

• Exterior Façade Lighting

• Parking Lot Lighting

• Plug Loads

HVAC Equipment and Systems

• Cooling Equipment Efficiencies

• Heating Equipment Efficiencies

• Supply Fans

• Ventilation Control

• Ducts


INTRODUCTION

MTNL Office Building, Sector 6, Dwarka, New Delhi

3. ASHRAE STANDARDS

• Client & Project Manager MTNL

• Architect / Consultants Design Well India Pvt Ltd

• Contractors Ralon Associates

SCOPE:

• The site consists of four blocks namely – Administration block, Technical

block, Substation/ Service block and a temporary R.L.U. ( Remote Line Unit).

• The Administration block i.e. the main office building will be studied for the

purpose of the seminar.

• The MTNL building has very few measures taken for energy- efficiency and

thus it has immense scope for application of various energy- efficient

practices to produce alternative solutions, which can be then compared on

the basis of their life cycle costs.


In accordance with ASHRAE 90.1-2007, Table B-3; New Delhi, India falls

under climate zone 1. Therefore, the various requirements and U-

factors, R-factors etc. shall be studied in terms of climate zone 1 only.

3. ASHRAE STANDARDS

Climate Study

Source: www. bbc.co.uk


Climate Zone Map of India:

New Delhi falls under the

„composite climate‟ zone

Latitude 28° 35‟ N

Longitude 77° 12 E

3. ASHRAE STANDARDS

Climate Study

Source: ECBC, 2006


3. ASHRAE STANDARDS

Building Envelope Requirements for Climate Zone 1

*ECBC standards are basically derived from the ASHRAE standards

according to the Indian climatic conditions.

**1 W/m²-°C = 0.176 Btu/h.ft².°F

1 m²-°C/W = 5.678 h.ft².°F/Btu

1. ROOFS

ASHRAE : Maximum U-factor of the overall assembly: U-0.063 Btu/h.ft².°F

Minimum R-value of insulation alone: R- 15.0 c.i. h.ft².°F/Btu

Minimum Surface Reflectance / emittance: 0.65 / 0.86

ECBC* : Roof assembly– Day time use buildings– Composite climate

Maximum U-factor of the overall assembly: U-0.409 W/m²-°C

i.e. U-0.072 Btu/h.ft².°F **

Minimum R-value of insulation alone: R- 2.1 m²-°C/W

i.e. R- 11.92 h.ft².°F/Btu

Minimum Surface Reflectance / emittance: 0.70 / 0.75


3. ASHRAE STANDARDS

HVAC Requirements for Climate Zone 1

ASHRAE: Minimum equipment efficiencies for air conditioning

( water chilling packages)


3. ASHRAE STANDARDS

HVAC Requirements for Climate Zone 1

ECBC: Minimum equipment efficiencies for air conditioning

( water chilling packages)


3. ASHRAE STANDARDS

Interior Lighting Requirements for Climate Zone 1

ASHRAE:

Ductwork Insulation

ECBC:

Luminaries in day lighted areas greater than 250 ft2

shall be

equipped with either a manual or automatic control device that is

capable of reducing the light output of the luminaries in the day

lighted areas by at least 50%.


3. ASHRAE STANDARDS

Exterior Lighting Requirements for Climate Zone 1

ASHRAE:

ECBC:


3. ASHRAE STANDARDS

DESIGN CRITERIA FOR „COMPOSITE CLIMATE‟ BY ECBC

Thermal Requirements Physical Manifestation

Reduce Heat Gain in Summer and Reduce Heat Loss in Winter

Decreased exposed surface

area

Orientation and shape of building. Use of trees as wind

barriers

Increase thermal resistance Roof insulation and wall insulation

Increase thermal capacity

(time Lag)

Thicker walls

Increase buffer spaces Air locks/ Balconies

Decrease air exchange rate Weather stripping

Increase shading Walls, glass surfaces protected by overhangs, fins &

trees

Increase surface reflectivity Pale color, glazed china mosaic tiles, etc.

Reduce solar heat gain Use glazing with lower SHGC and provide shading for

windows. Minimize glazing in East and West

Promote heat loss in Summer/ Monsoon

Increase air exchange rate

(Ventilation)

Courtyards/ wind towers/ arrangement of openings

Increase humidity levels in dry

summer

Trees and water ponds for evaporative cooling

Decrease humidity in monsoon Dehumidifiers/ Dessicant cooling


3. ASHRAE STANDARDS

Energy Efficient Design Practices

For Building Envelope: Source: Advanced Energy Design Guide by ASHRAE


3. ASHRAE STANDARDS


For Lighting: Source: Advanced Energy Design Guide by ASHRAE

1. DAY LIGHTING


3. ASHRAE STANDARDS



2. INTERIOR ELECTRIC LIGHTING


3. ASHRAE STANDARDS



3. EXTERIOR ELECTRIC LIGHTING


3. ASHRAE STANDARDS


For HVAC: Source: Advanced Energy Design Guide by ASHRAE


4. PROCEDURES FOR

LCCA


4. PROCEDURES FOR LCC & LCA

Life Cycle Cost Analysis (LCCA)

Method for assessing the total cost of facility ownership.

All costs of acquiring, owning, operating, maintaining and disposing of a

building or building system.

Helps us choose, out of available alternatives based on life cycle

cost, the most effective option on the basis of total life cycle costs incurred

In order to select the one that maximizes net savings.

Should be performed early in the design process.

The Department of Natural Resources, Iowa, USA defines life cycle costing

as:

“Life cycle cost analysis (LCCA) is an economic method used to evaluate building

design alternatives with different levels of energy efficiency. It is a method that

can be applied to any capital investment decision in which higher initial costs

are exchanged for reduced future operating costs. The mutually exclusive design

alternative with the lowest life cycle cost is the most cost-effective. “



Fundamentals of LCCA

LCC is calculated as NPV i.e. Net Present Value of the accumulated future

costs ( C) over a certain time period (t), e.g. 30 years (N), at an agreed

discount rate (s), say 6% p.a. (r), dependent on prevailing interest and

inflation rates.

Various costs included in LCCA are:

Initial Costs – Purchase, Acquisition, Construction Costs

Operation, Maintenance, and Repair Costs

Replacement Costs

Energy Costs

Residual Values – Resale or Salvage Values or Disposal Costs

Finance Charges – Loan Interest Payments

Non- monetary Benefits or Costs



Effectiveness of LCC in various stages

INCEPTION STAGE: To determine the most economic way of meeting a

need for additional building space.

PRELIMINARY DESIGN STAGE: To assist in developing the most

economic plan shape, structural form and internal layout.

DETAILED DESIGN STAGE: To identify the design

features, components and finishing that have the lowest total cost.

CONSTRUCTION STAGE: By incorporating this aspect in tender

documents for design and build proposals/ submitting alternative

methods, components and materials which if incorporated, result in overall

life cycle cost saving.

OCCUPATION PERIOD: To assist in formulating planned maintenance

and renewal policies.



Applications of LCC:

To determine whether or not a given project is economically justified.

To determine the efficient scale of investment when several levels of

investment are under consideration.

Alternative designs or systems for a given purpose are compared on the

basis of their Life cycle costs.

If a number of non- mutually exclusive projects (for example, retrofitting

a high- efficiency heating system, a high- efficiency lighting system, and

new windows in an existing building) are being considered for a single

facility for which a single overall LCC can be evaluated, and a limited

budget is available to fund those projects, use LCC analysis to allocate that

budget efficiently. The combination of projects resulting in the overall LCC

for that facility, and whose overall funding requirement fits within the

budget constraint, is the most economic combination.



Example showing advantage of LCC:

Source:

www.insideoutarch.com



Steps in Life Cycle Cost Analysis:

Select design alternatives to evaluate.

Compute the initial cost associated with each alternative.

Establish the economic life, in years, for each alternative.

Determine the future costs for each alternative.

Using the appropriate calculation method, compute the life-cycle cost of

each alternative over a period.

Analyze the results.

Methods of Calculation of LCC:

Present Worth Method

Annualized Cost Method



Present Worth Method:

Annualized Cost Method:

Cost Type Formula Cost ($) PW** PWA* N yrs. i % Present Worth ($)

Initial (I) ----------- 10,000 ---------- ------ -------- ----- 10,000

Energy (E) A x PWA 750 ---------- 8.514 20 10 6,386

Maintenance(M) A x PWA 500 ---------- 8.514 20 10 4,257

Replacement(R) F x PW 3,000 0.3855 ------- 10 10 1,157

Salvage (S) F x PW 2,000 0.1486 ------- 20 10 297

Total LCC I+E+M+R-S ---------- --------- ------- 20 10 21,503

*A = Uniform Sum of money in each period

**PWA = Present Worth Annuity

Cost Type Formula Cost ($) PW ($) PP* PWA N yrs. i % Annualized Worth ($)

Initial (I) P x PP 10,000 10,000 0.117 -------- 20 10 1,170

Energy (E) --------------- 750 750 ------- -------- -------- ----- 750

Maintenance(M) --------------- 500 500 ------- -------- -------- ----- 500

Replacement(R) P x PP 3,000 1,157 0.117 -------- 20 10 142

Salvage (S) P x PP 2,000 297 0.117 -------- 20 10 35

Annual Cost I+E+M+R-S --------- -------- ------- -------- -------- ----- 2,527

Total LCC P x PWA --------- 2,527 ------- 8.514 -------- ----- 21,515

*PP = Periodic Payment

Reference: Published work – Life Cycle Costing for Design Professionals by

Stephen J. Kirk and Alphonse J. Dell’Isola



Introduction to Life Cycle Assessment

Tool for the systematic evaluation of the environmental aspects of a

product or service system through all stages of its life cycle.

Aim is to reduce the ever-increasing consumption of production and

services.

Focused on the understanding about the driving forces behind

consumption-using them to inspire cost effective improvements, thereby

raising the quality of life and reducing the environmental impacts

The Code of Practice‟, SETAC, Brussels defines life cycle assessment as:

“Life Cycle Assessment is a process to evaluate the environmental burdens associated with

a product, process, or activity by identifying and quantifying energy and materials used

and wastes released to the environment; to assess the impact of those energy and materials

used and releases to the environment; and to identify and evaluate opportunities to affect

environmental improvements. The assessment includes the entire life cycle of the product,

process or activity, encompassing, extracting and processing raw materials;

manufacturing, transportation and distribution; use, re-use, maintenance; recycling, and

final disposal“



Parameters for Life Cycle Assessment

Material Usage

Embodied Energy

CO2 Emissions

Air Pollution

Solid Waste Generation

Water Pollution

Environmental Costs

Phases of Life

Cycle

Assessment

Source:

www.emsd.gov.hk


6. CASE STUDY &

ALTERNATIVES


CASE STUDY


SITE PLAN AND VIEW


CASE STUDY



CASE STUDY


Area under consideration:

Administration block B+G+5

Technical block B+G

Total built up area 10,403.36 m2

(1,11,981 sq.ft.)

Site Layout Plan

Administration Block –

Ground Floor Plan


CASE STUDY

INVENTORY OF SPECIFICATIONS AND SYSTEMS USED IN CASE

EXAMPLE AND THEIR ALTERNATIVES

BUILDING ENVELOPE


CASE STUDY



BUILDING ENVELOPE

PROPOSED WALL ASSEMBLY


CASE STUDY



BUILDING ENVELOPE


CASE STUDY



HVAC


CASE STUDY



LIGHTING


7. VALIDATION OF

ASHRAE COMPLIANT

BUILDING PROPOSAL


7. VALIDATION OF ASHRAE COMPLIANT PROPOSAL

Introduction

The intent of this chapter is to:

• Compute Life Cycle Cost of the case example as well as its alternative

proposal in terms of Building Envelope, HVAC and Lighting.

•This is done with an intent to finally analyze the more cost- effective design

option over an economic life period of 30 years, assuming the discount rate

to be 8%.

•The analysis also gives the cost savings during the life cycle period, usually

for the proposed solution as it is designed considering the energy efficiency

guidelines prescribed by ASHRAE.



Format of LCC calculation spreadsheet



LIFE CYCLE COSTING ESTIMATE FOR BUILDING ENVELOPE –

MASONRY

In the alternative design proposal:

Initial cost is higher by a value of Rs. 15,84,357/-

Replacement Costs are higher by a value of Rs. 72,880/-

Annual Expenditures for Operation & Maintenance and Energy costs are

lesser by a value of Rs. 6,04,422/- which is the value for annual cost savings.

( Annual cost for original design is Rs.22,66,680/- and for alternative design

proposal is Rs. 16,62,258/-)

The total savings during the economic life period turn out to be Rs.

51,47,345/-.

Therefore, the payback period for the lighting system (= Extra capital cost/

Annual savings) = 1584357/604422 = 2.62 years




FINISHES



Replacement Costs are higher by a value of Rs. 2,82,017/-



( Annual cost for original design is Rs.4,02,385/- and for alternative design



9,89,968/-.






ROOFING



Replacement Costs are higher by a value of Rs. 129251/-


lesser by a value of Rs. 64,005/- which is the value for annual cost savings. (

Annual cost for original design is Rs.166395/- and for alternative design



3,95,428/-.






FLOORING






( Annual cost for original design is Rs. 62,18,504/- and for alternative design



56,17,667/-.






FENESTRATIONS









31,75,333/-.





PAYBACK CALCULATION FOR THE OVERALL BUILDING

ENVELOPE







1,53,25,741/-.





LIFE CYCLE COSTING ESTIMATE FOR HVAC



Replacement Costs are lesser by a value of Rs. 2,40,104/-






2,90,34,578/-.


1st

year savings) = 4465350/ 475691 = 9.4 years



LIFE CYCLE COSTING ESTIMATE FOR LIGHTING


Initial cost is higher by a value of Rs. 68,309/-

Replacement Costs are higher by a value of Rs. 20,388/-




proposal is Rs. 3,33,035/-; which is almost half the expenditure per year)


24,10,506/-.


1st

year savings) = 68309/111993 = 0.61 years



PAYBACK CALCULATION FOR THE CASE EXAMPLE IN TERMS

OF BUILDING ENVELOPE, HVAC & LIGHTING


Initial cost is higher by a value of Rs. 1,30,44,946/-





4,67,70,825/-.





STATISTICAL COMPARISON OF THE EXISTING DESIGN AND

ASHRAE- COMPLIANT PROPOSAL

For the 1st

year, the comparison

between the initial, replacement and

annual costs is as shown in the graph

below:

0

2

4

6

8

10

12

Existing Design Proposed Design

Annual Costs

Replacement Cost

Initial Cost

For the economic life period of 30

years, the comparison between the

initial, replacement and annual costs is

as shown in the graph below:

0

2

4

6

8

10

12

Existing Design Proposed Design

Annual Costs

Replacement Cost

Initial Cost



LIMITATIONS OF EXISTING DESIGN

The existing design is a Government building under consideration. As per

latest rules and regulations for new Government buildings, they should be

ECBC compliant. But still, most of the materials and systems used in the

building are of conventional type and less consideration to energy- efficiency

has been done.

Though the initial cost of the building is less, but it incurs higher energy

costs than could have been in an energy- efficient alternative.

Operation and maintenance costs are varying as they are nearly

equal, sometimes lesser but usually more than the ASHRAE compliant option.

As a result, the existing design has lesser initial and replacement

costs, but due to the annual expenditures on operation and maintenance

costs and energy costs, it turns out to be a more expensive option over the

economic life period.

Also, the energy consumption of the materials and technologies used in

the building such as embodied energy, operational energy etc. is high. So, it

is not so environment- friendly.

Though orientation of building is favorable, but absence of shading devices

leads to high thermal gain through unshielded fenestrations.



ADVANTAGES OF ASHRAE COMPLIANT BUILDING PROPOSAL

The proposed alternative not only complies to ASHRAE standards, but

leads to 20% - 30% more energy savings than a baseline model.

Though the initial and hence the replacement costs are comparatively

higher in case of the proposed design, but due to energy savings, the

HVAC, electrical and lighting loads are lesser. Therefore, it leads to lesser

annual energy costs.

Operation and maintenance costs too are lesser especially in case of

HVAC and lighting.

Over a period of years, the accumulated annual energy and O&M costs will

eventually payback for the extra capital costs spent initially.

Also, the overall energy consumption of the proposed design is

comparatively much less, thus it is more environment- friendly.



CONCLUSION FROM CASE STUDY

The above Life Cycle Cost Analysis proves that an energy- efficient design

proposal conforming to ASHRAE standards turns out to be cost- effective

during the economic life period of the building, though the initial investment

may be comparatively higher.

The payback periods too are not very long.



FUTURE SCOPE

This study has been limited to life cycle cost analysis of the building

primarily in terms of building envelope, HVAC and lighting, as the basis of

comparison for the two designs is ASHRAE. The analysis may be further

carried out for other services such as

plumbing, mechanical, electrical, infrastructure works etc. Though ASHRAE

recommendations are not available for all, but more energy- efficient options

that are available may be explored and the comparison can be continued.

Also, the Life cycle Assessment i.e. quantification of energy getting

consumed at various stages of the building‟s life cycle from pre- construction

to post- occupancy stage, can be an attempt to evaluate.

Simultaneously, measures to reduce the respective consumption can be

explored.

The case study taken here is an office building. Similar attempts can be

done for various other type of buildings such as hospitals, apartments, hotels

etc. This may prove beneficial for presentation to professionals who have not

yet understood the economic benefits that can be achieved from energy-

efficient building designs.



FUTURE SCOPE

Various costs such as Downtime costs, cost of carbon, salvage costs etc.

have been included in the calculation datasheets but due to non- availability

of required data for their calculation/assumption, they could not be

evaluated. Attempts can be done to gather data for various type of costs

required for evaluation of LCC, or at least a complete proforma indicating

basis of assumption for value of various costs.

A list of various building materials and technologies can be identified – both

conventional and energy- efficient. Life cycle energy consumption and costs

associated with each can be evaluated. This will form a good reference for

future projects to identify better alternatives and concentrate more on the

calculation part rather than mere identification of alternatives.

The application of various software‟s in the LCA and LCC study can be

explored. There are quite a few available such as Bridge LCC etc. but the

limitation with them lies that they do not accept our currency INR.

Instead of analyzing and proposing any building on manual basis, attempt

can be made to do modelling it on softwares such as Ecotect etc. so that an

accurate energy consumption can be obtained.


THANKYOU

life cycle costing of a building adapting to ashrae standards

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