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LIFE CYCLE COST
TOPIC
Economic Quality
CRITERIA GROUP
Life Cycle Cost
RELEVANCE FACTOR
3
SHARE OF TOTAL SCORE
9,6%
© DGNB GmbH
Economic Quality Page 2 of 26
ECO1.1 LIFE CYCLE COST
Costs arise throughout a building’s life cycle: from construction, through operation and maintenance, to
demolition. From an economic perspective, the aim is to reduce the building’s total life cycle costs (LCC) to
a minimum.
The objective of the LCC analysis in certification is to facilitate a comparison between different buildings with
the same use. This requires clear rules for identifying and documenting building costs as well as compara-
ble benchmarks for their evaluation. These rules create clear parameters which allow evaluations of differ-
ent buildings with the same use to be compared.
In order to focus on construction-based LCC, the evaluation is based on certain key costs categories which
are calculated for a pre-defined study period.
Additional Explanation
Design and construction processes often focus on reducing initial construction cost. Costs incurred through-
out the building’s entire life cycle, such as the follow-up costs during its use, are often neglected.
As part of a holistic approach to LCC, the analysis should be based on a defined scope and time period.
Thus decisions about the design and the construction decisions can be taken with a long term view, taking
into account selected costs in use, weighted for the individual use phases.
METHOD
LCC is a valuable technique that is used for predicting and assessing the cost performance of constructed
assets. LCC is one form of analysis for determining whether a project meets the client’s performance re-
quirements (ISO 15686-Part 5).
All of the costs, from project development to construction and handover of the building, are defined as ac-
quisition costs. Maintenance and operation costs are determined at net present value over a period of 50
years. Costs are given as a net value per m² of gross floor area (GFA, total floor area according to ISO
9836). The evaluation is performed by comparing the building’s ecological performance data to comparable
buildings.
The following selected cost categories should be taken into account when calculating building-related life-
cycle costs:
© DGNB GmbH
Economic Quality Page 3 of 26
ECO1.1 LIFE CYCLE COST
Calculation methods
The final energy demand is included in the evaluation. Data for the following items should be taken from
ENV 1.1. and ENV2.1:
If systems in or on the building are connected to the grid (i.e. PV-systems), the following applies:
(1) For the first 20 years, the feed-in tariff is identified separately as a negative cost and included in the
life-cycle cost calculation.
(2) After the first 20 years, the building’s energy demand is reduced by the capacity of the installed
system and thus accounted for in the calculation via energy costs.
C C C
= C + + +. . . +
1+d 1+d 1+d
C
= C +
1+d
whereby
Period of analysis p:
Generally, the DGNB method considers life cycle cost over a period of 50 years. In some DGNB schemes,
this period may vary to reflect market conditions in the relevant sector.
Costs must be entered into the LCC tool at 2010 levels (December). The tool generates project specific
costs per square meter in local currency as well as in Euro and calculates the checklist points to be entered
into the evaluation matrix.
Operation
Methods of upkeep and restoration to a structure's proper condition, as well as determination and evaluation
of the present condition of a system's technical equipment. Operation comprises maintenance, inspection,
and repair.
Repair
Measures to restore the proper condition of a system's technical equipment.
Replacement
Whilst repairs are aimed at maintaining constant operability, replacement involves a renewal investment
necessitated by aging, damage, or advances in technology. Cost estimates are always based on the
assumption that components will not be replaced until their calculated service life has expired.
Categorization
The building must be classified in one of the three following categories. The documentation of the classifica-
tion has to be plausible and comprehensible.
Category 1
Standard buildings
Category 2
Buildings with above-average demands for prestige:
Category 3
High rise buildings where the finished floor level of the top floor of usable space is more than 60 m above
the surrounding ground level.
Additional costs must be quantified and documented (e.g. product sheets, quantity, and cost of components
etc.). Additional costs may be excluded from construction costs in order to arrive at standard construction
cost levels. Where additional costs cannot be quantified due to the innovative nature of the measures pro-
posed, standard costs may be included in the LCC calculation without further documentation or quantifica-
tion of additional costs arising from the innovation in question.
EVALUATION
The weighted life-cycle costs in €/m²GFA for selected structural and technical building components and for
selected costs of operation and maintenance, based on a 50-years period.
Conversion table
TABLE 2
LIMIT VALUE L 10 1
REFERENCE VALUE R 50 5
DOCUMENTATION REQUIRED
Examples of possible evidence include the following items. The allocation of points for individual indicators
must be backed up by comprehensive and plausible evidence.
1. Construction costs
Construction costs based on a cost determination or cost estimate; net cost per m²GFA
Listing and documentation of the building components listed in APPENDIX 1.
2. Occupancy costs
Water supply, power supply, and waste disposal cost information
Evidence of selected water supply, power supply and waste disposal costs in accordance with the
specifications laid out in APPENDIX 1and APPENDIX 4.
final energy carrier demand for space heating and domestic hot water
demand for auxiliary energy and lighting
APPENDIX 1
The following building components, systems must be included in the respective cost types:
RELEVANT FOR
CONSTRUC RENEW AL MAINTENANCE ENERGY W ATER CLEANING BUILDI NG COMPONENTS CONTENT
TION
Structural building components Cost of construction and supplies to manufacture the building, but not including technical building equipment (see technical building equipment). Installed
components permanently affixed to the building structure are included if they serve a specific purpose, as well as overarching measures in connection
with the built structures
X X X Excavation Soil clearing, excavation, including working areas and embankments, storage, backfilling, transport to and from the site
X X X ExcavationRe Soil clearing, excavation including working areas and embankments, storage, backfilling, transport to and from the site
X X X Shoring works Lining, e.g. slurry, pile, sheet pile, soldier pile, injection and shotcrete walls including anchoring, bracing
X X X Water control Ground and formation water rectification during the building period
X X X Excavation, misc.
X X X Foundation Associated earthworks and blinding layers
X X X Ground improvement Soil replacement, compression, injection
X X X Shallow foundations Single foundations, strip foundations, foundation plates
X X X Deep foundations Pile foundation including grills, well foundations; anchoring
X X X Subfloors and floor plates Subfloors and floor plates which do not form part of the foundation
X X X Flooring Flooring on ground and foundation plates e.g. screed, sealing, damp course, protective, wear layers
X X X Construction waterproofing Sealing of the construction including filter, separating and protective layers
X X X Drainage Pipes, shafts, packing
X X X Foundation, misc.
X X X X X Exterior walls Walls and columns exposed to the elements or bordering the soil or other structures
X X X Roof surfaces Surfaces on roof structures including shuttering, battens, slopes, sealing, damp course, protective and wear layers; Roof drainage up to connection to the
drainage system
X X X Roof covering Roof covering below roof structures including plaster, sealing, damp course, protective coats; illuminated and combined ceilings below roofs
X X X Roofs, misc. Rails, running boards, protective grids, snow guards, roof ladders, sun protection
X X X Fitted furnishings Costs of the fixtures permanently linked to the structure, however without the use specific equipment. It is proper that the fixtures make structural
planning measures necessary through their condition and attachment e.g. preparation of work plans, static and other calculations, connection of
installations
X X X General fixtures Fixtures which serve a general purpose e.g. furniture such as sitting and reclining furniture, seating, podiums, tables, counters, cabinets, cloakrooms,
shelves, fitted kitchens
X X X Special fixtures Fixtures which serve the particular purpose of an object e.g. workbenches in workshops, laboratory benches in laboratories,
stage curtains in theatres, altars in churches, fitted sports equipment in sports halls, operating tables in hospitals
X X X Structural fixtures, other e.g. smoke control curtains
X X X Other structural measures Overarching work related to building structures which cannot be classified under individual building-structure cost groups and is not covered by the other
cost groups
X X X Building site installation Installing, keeping available, operating, clearing of the superordinate building site installation, e.g. material and appliance sheds, storage rooms wash
rooms, toilet and common rooms, construction vehicles, mixing and transport equipment, energy and construction water connections, site access roads
storage and workplaces, traffic safety measures, covers, building signs, construction and protective fences, building lighting, rubble rectification
X X X Scaffolds Erecting, converting, dismantling, storing scaffolds
X X X Securing measures Securing measures on existing structures, e.g. underpinnings, bracings
X X X Termination measures Termination and dismantling work including intermediate storage of reusable parts, removal of the termination material provided that it is
not covered in other cost categories
X X X Repairs Measures to recreate the condition suitable for appropriate use provided that it cannot be covered in other cost categories
X X X Material disposal Disposal of materials and substances which occur on termination, on dismantling and on removal of components or in the course of construction work for
the purpose of recycling and or landfill
X X X Additional measures Additional measures during building work e.g. protection of people, material goods; cleaning prior to commissioning; measures on the basis of
requirements for water, landscape noise and vibration protection during the building period; protection for poor weather and winter building, heating of the
structure, snow clearing
X X X Temporary buildings Costs for the creation, rectification of temporary buildings, adaptation of the building until commissioning of the final building
X X X Other measures for building work, misc. structures which involve several cost categories e.g. locking systems, shafts, chimneys unless covered in other cost categories
Technical building components Cost of all permanently installed building-technical building equipment and its subassemblies. Individual technical building equipment include their
mounting frames, fasteners, fittings, heat and cold insulation, sound and fireproofing measures, covers, claddings, surface coatings, labeling, as well as
measuring, controlling, and regulating equipment
X X X X Sewage, water and gas systems
X X X X Sewage systems Drains, sewage pipes, sewage collection systems, sewage treatment facilities, pump systems
X X X X X Water systems Water supply, treatment, and pressurization systems, plumbing, distributed hot water heaters, sanitary facilities
X X X Gas systems Gas systems for commercial heating: Gas storage and production systems, transfer stations, pressure regulation systems and gas lines not included in
no. 2 and 7)
X X X Fire extinguishing systems Sprinkler systems and associated water lines, wall hydrants, fire extinguishing devices
X X X X Sewage, water and gas systems, misc. Installation blocks, sanitary units
X X X X Heat supply systems
X X X X Heat production systems Fuel supply, heat distribution stations, fuel-fired heating systems or renewables-
X X X X Heat distribution networks based heating including chimney connections, central water heaters
X X X X Space heating surfaces Pumps, distributors, ducts for space heating, air handling systems, and other
X X X X Heat supply systems, misc. heat consumers
X X X X Air handling systems Systems with or without a ventilation function
X X X X Ventilation systems Exhaust-air systems, supply air systems, supply and exhaust-air systems with or without a thermodynamic air treatment function
X X X X Partial Air-conditioning systems Systems with two or three thermodynamic air treatment functions
X X X X Air-conditioning systems Systems with four thermodynamic air treatment functions
X X X X Cooling systems Cooling systems for air-handling systems: Refrigeration and recirculation cooling systems, including pumps, distributors, and ducting
X X X X Air—handling systems, misc. Ventilated ceilings, cooling ceilings, exhaust-air windows, and floating floors not covered by other cost groups
X X X Three-phase current systems
X X X High and medium voltage systems Substations, transformers
X X X Internal power supply facilities Electric generators, including cooling, exhaust air and fuel supply systems, central battery and uninterrupted power supply systems, photovoltaic systems
X X X Low-voltage switching stations Low-voltage mains, power factor correction systems, maximum monitoring systems
X X X Low-voltage installation systems Cables, ducts, junction boxes, wiring systems, installation equipment
X X X X Lighting systems Permanent lighting, including bulbs
X X X Lightening and grounding facilities Collection devices, discharge systems, grounding systems
X X X Three-phase power systems, misc. Frequency converter
X X X Telecommunications and information technology Distribution systems, cables and ducting
systems
X X X Telecommunication systems
X X X Search and signalling equipment Paging systems, light and ringing signalling, door intercom and door opening systems
X X X Time equipment Clocks and time recording equipment
X X X Electro acoustic equipment PA systems, conference and interpreter systems, intercoms and intercommunication systems
X X X Television and aerial systems Television systems if not covered in the search, reporting, signal and hazard reporting systems including transmission and receiving antenna systems,
converters
X X X Hazard and alarm warning systems Fire, attack, burglar alarms, guard control systems, access control and room monitoring systems
X X X Transmission networks Networks for transmission of data, language, text and image provided that they are not covered in other cost categories, laying systems as long as they
are not covered in KG 444
X X X Telecommunications and information technology Parking management systems
systems, misc.
X X X Conveyance systems
X X X Elevator systems Personnel and freight elevators
X X X Escalators and people movers
X X X Lifts Façade lifts and other lifts
X X X Transport systems Automatic product conveyance systems, file conveyance systems, postal tube
systems
X X X Cranes Including lifting equipment
X X X Conveyance systems, misc. elevating platforms
X X X Building automation Cost of system-overarching automation, including distribution systems, cables and ducting
X X X Automation systems Automation stations with operating and observation installations, building automation functions, application software, licences, sensors and actuators,
interfaces for field appliances and other automation installations
X X X Switchgear cabinets Switchgear cabinets for housing automation systems with power, control and cut out components including associated cables and wiring, laying systems
provided that they are not covered in other cost categories
X X X Management and operation installations Superordinate installations for building automation and building management with operating stations, programming installations, application software,
licences, servers, interfaces for automation installations and external installations
X X X Room automation systems Room automation stations with operating and display installations, actuators, interfaces for field appliances and other installations
X X X Transmission networks Networks for data transmission provided that they are not covered in other cost categories
X X X Building automation, misc.
X X X Other technical building equipment Overarching work related to technical building which cannot be classified under individual building services cost groups and is not covered by the other
cost groups
APPENDIX 2
Cleaning
(see also chart in LCC-Tool)
1 Glass surfaces
average 3,00
4 Floor coverings
5 Sanitary rooms
up to 10m² 89,25
up to 30m² 59,50
APPENDIX 3
(For the purpose of certification, cost estimates shall not include the cost of system operation.)
MAINTENANCE IN %
PER YEAR
B Technical components
2.2 Distribution 50 0 1
2.3 Generation 25 1 2
2.7 Generation 25 1 2
3 Indoor air-handling systems As a total value - when costs are not detailed enough
3.5 Humidifier/Dehumidifier 15 2 3
3.6 Distribution 25 0 1
APPENDIX 4
Energy supply
APPENDIX 5
APPENDIX 6
Adaptation factors
(see also chart in LCC-Tool)
The project’s cost of manufacture has to be multiplied with the coefficient from the table to get a weighted
cost of manufacture that is comparable. This step is automatically completed by the LCC tool.
TION COSTS
source: Construction Statistics Annual No. 12, edition 2011; office for national statistics (inverted value).
Local currency
RATE