LIFE CYCLE COST ANALYSIS
Energy Life Cycle Cost Analysis (ELCCA) or Life Cycle Cost Analysis (LCCA) are common requirements for various projects. At Energy System Engineers, we take pride in developing accurate and thorough ELCCA and LCCA Reports.
All projects receiving matching funds from Washington Office of Superintending of Public Instruction (OSPI) requires an ELCCA report that compares alternative mechanical system and other efficiency measures. Each ELCCA takes into consideration health, comfort, productivity of occupants, economics, and maintenance.
What is an Energy Life Cycle Cost Analysis (ELCCA)
"An ELCCA is a decision making tool that compares owning and operating costs for an energy using system in new and remodeled facilities. The ELCCA provides a method for the owner to evaluate different energy using systems and select the most cost effective." -Washington Department of Enterprise Services
When is an ELCCA Required
Per Legislation RCW 39.35 and the Washington Administrative Code (WAC) 180-27-075, ELCCA reports are required to be submitted to and reviewed by the Department of Enterprise Services for the following:
1. New Major Facilities, having 25,000 square feet or more of usable floor space
2. Building Renovations/Modernizations, additions, alterations, or repairs of an existing major facility (25,000 square feet or more) completed within any 12-month period where the project cost is over 50 percent of the replacement value of the facility and the project affects energy-using system(s). Example: An agency plans to remodel a 25,000 square foot building for $80 per square foot. The building replacement value is $150 per square foot. The project cost (25,000 x $80 = $2,000,000) divided by the building replacement value (25,000 x $150 = $3,750,000) is equal to 0.53, which is greater than 0.50. Therefore, the project requires an ELCCA.
3. Combinations (or multiples) of new and renovated facilities that will be built on the same site during any 12-month period, if the sum of the affected areas is equal to or greater than 25,000 square feet. Example: An agency plans to remodel a 15,000 square foot building and add 20,000 square feet in two phases with separate contracts. The addition is to be completed in October and the remodel will be bid the following May. This is considered a single project, and an ELCCA is required because the area is greater than 25,000 square feet (15,000 + 20,000) and the phases will occur within a 12- month period (October to May).
4. Prototypic Buildings: Identical buildings built on the same or different sites during any 48-month period shall have a full ELCCA performed for the initial or prototypic building, but subsequent buildings may only need to have an abbreviated report. This applies to buildings less than 100,000 square feet in area. The prototype building must meet current guidelines, and the Reviewer and Analyst must agree that a full analysis will not benefit the project.
If you are unsure if you project requires an ELCCA, please do not hesitate to contact us. We are happy to help determine the requirements.
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