[BLDG-SIM] life cycle costing assumptions for non-federal projects

Renee J. Azerbegi renee at ambient-e.com
Thu May 4 19:28:35 PDT 2006

I was using BLCC for life cycle costing and the end life cycle cost results
were less than if I took the maintenance costs, energy costs, and first
costs and added them together over the 25 year study period I was examining!
Then I noticed the NIST/DOE fuel escalation factors which have negative
values for many of the years. This I believe contributed to this error. My
first question is, doesn’t this seem odd that the fuel escalation factors
are negative at a time like now?


Also, as this was a non-federal project, I used a default factor of 2%
instead. But my other questions are, for life cycle costing analysis, what
are the most commonly used sources you might have found for inflation rates,
real or nominal discount rates, or fuel escalation rates? I made some
assumptions based on doing some web research but is there an acceptable
method of choice other than using defaults in BLCC which are designed more
for federal projects?


Thanks in advance for your feedback!




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