An Overview Of Life-Cycle Cost Analysis Page 2

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What is Life-Cycle Cost Analysis (LCCA)?
• “…method of project evaluation in which all
costs arising from owning, operating,
maintaining, and ultimately disposing of a
project are considered….” (NIST Handbook
135)
• Used to compare and select from competing
alternatives
– Retrofit: existing situation vs. more efficient
scenario(s)
– New construction: two or more options
2
Energy Exchange: Connect • Collaborate • Conserve

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