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Life Cycle Cost

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Life Cycle Cost

๐ŸŒฑ Sustainability & Planning

Life Cycle Cost

ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ

๐Ÿ“ Sustainability & Planning
๐Ÿ› RICS ยท ISO ยท Dubai Municipality ยท Al Sa’fat
๐Ÿ‡ฆ๐Ÿ‡ช UAE Regulatory Context

ISO 15686
Life Cycle Costing Standard
NPV
Net Present Value โ€” Key Financial Metric
30โ€“50yr
Typical Assessment Period
3โ€“5x
O&M vs Capital Cost Ratio Over Life
English Term
Life Cycle Cost

Arabic Term
ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ

Authority / Standard
RICS ยท ISO ยท Dubai Municipality ยท Al Sa’fat

Key Standards
ISO 15686-5 ยท RICS NRM3 ยท ASTM E917 ยท Al Sa’fat ยท LEED MR

Tags
Life Cycle CostLCCWhole Life CostInvestmentGreen Building ROISustainability
๐Ÿ‡ฌ๐Ÿ‡ง
English Definition

The total cost of owning, operating, maintaining, and eventually disposing of a building or building system over its entire useful life โ€” the financial framework that demonstrates the superior long-term value of green building investment over conventional construction despite higher initial capital cost.

Life Cycle Cost Analysis

Life Cycle Cost (LCC) โ€” also called Whole Life Cost (WLC) or Total Cost of Ownership โ€” is the sum of all costs incurred over the entire life of an asset, from initial design and construction through to operation, maintenance, periodic replacement, and eventual demolition or disposal. LCC analysis provides a more complete and accurate basis for investment decision-making than initial capital cost alone, because it reveals the cumulative financial impact of decisions made at design stage โ€” particularly material and system specification choices โ€” that have long-term implications for operating and maintenance expenditure.

LCC in Green Building Investment

The life cycle cost framework is central to the commercial case for green building investment. Green buildings typically carry higher initial capital costs than conventional construction โ€” due to improved envelope specification, higher-efficiency HVAC, renewable energy systems, and enhanced commissioning. However, over a 30โ€“50-year assessment period, these higher initial investments are typically recovered through lower operating costs: reduced energy and water utility bills, lower HVAC maintenance costs, extended equipment service life, and reduced refurbishment frequency.

Research consistently demonstrates that green buildings deliver superior life cycle economics. Studies of LEED-certified buildings in comparable markets show energy cost savings of 25โ€“35% versus non-certified equivalents, contributing to life cycle cost advantages that significantly exceed the green premium in capital cost. In the UAE, where utility tariffs โ€” though partially subsidised โ€” are rising as subsidies are progressively reduced, the operational cost advantage of energy-efficient green buildings compounds over time.

LCC Methodology and Standards

Life cycle cost analysis is conducted in accordance with ISO 15686-5 (Buildings and constructed assets โ€” Service life planning โ€” Life cycle costing) or RICS NRM3 (Order of cost estimating and cost planning for building maintenance works). The analysis requires: definition of the assessment period (typically 25โ€“50 years for major commercial buildings); identification of all cost elements across capital, operational, maintenance, and end-of-life phases; projection of future cost streams using appropriate escalation rates for energy, labour, and materials; and discounting of future costs to present value using a defined discount rate, producing a Net Present Value (NPV) for comparison between design alternatives. Under Al Sa’fat and LEED, LCC analysis supports the business case for green investments and informs material selection decisions in the MR credits framework.

Arabic / ุงู„ุนุฑุจูŠุฉ
ุงู„ุชุนุฑูŠู ุจุงู„ุนุฑุจูŠุฉ
๐Ÿ‡ฆ๐Ÿ‡ช

ุงู„ุชูƒู„ูุฉ ุงู„ุฅุฌู…ุงู„ูŠุฉ ู„ุงู…ุชู„ุงูƒ ู…ุจู†ู‰ ุฃูˆ ู†ุธุงู… ู…ุจู†ู‰ ูˆุชุดุบูŠู„ู‡ ูˆุตูŠุงู†ุชู‡ ูˆุงู„ุชุฎู„ุต ู…ู†ู‡ ููŠ ู†ู‡ุงูŠุฉ ุงู„ู…ุทุงู ุนู„ู‰ ู…ุฏุงุฑ ุนู…ุฑู‡ ุงู„ุงูุชุฑุงุถูŠ ุงู„ูƒุงู…ู„ โ€” ุงู„ุฅุทุงุฑ ุงู„ู…ุงู„ูŠ ุงู„ุฐูŠ ูŠูุซุจุช ุงู„ู‚ูŠู…ุฉ ุทูˆูŠู„ุฉ ุงู„ุฃู…ุฏ ุงู„ู…ุชููˆู‚ุฉ ู„ุงุณุชุซู…ุงุฑ ุงู„ู…ุจุงู†ูŠ ุงู„ุฎุถุฑุงุก ุนู„ู‰ ุงู„ุจู†ุงุก ุงู„ุชู‚ู„ูŠุฏูŠ ุนู„ู‰ ุงู„ุฑุบู… ู…ู† ุงู„ุชูƒู„ูุฉ ุงู„ุฑุฃุณู…ุงู„ูŠุฉ ุงู„ุฃูˆู„ูŠุฉ ุงู„ุฃุนู„ู‰.

ุชุญู„ูŠู„ ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ

ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ (LCC) โ€” ุงู„ู…ุนุฑูˆูุฉ ุฃูŠุถุงู‹ ุจุงู„ุชูƒู„ูุฉ ุงู„ูƒุงู…ู„ุฉ ุฃูˆ ุงู„ุชูƒู„ูุฉ ุงู„ุฅุฌู…ุงู„ูŠุฉ ู„ู„ุชู…ู„ูƒ โ€” ู‡ูŠ ู…ุฌู…ูˆุน ุฌู…ูŠุน ุงู„ุชูƒุงู„ูŠู ุงู„ู…ูุชูƒุจูŽู‘ุฏุฉ ุนู„ู‰ ู…ุฏุงุฑ ุงู„ุนู…ุฑ ุงู„ูƒุงู…ู„ ู„ู„ุฃุตู„ุŒ ู…ู† ุงู„ุชุตู…ูŠู… ูˆุงู„ุจู†ุงุก ุงู„ุฃูˆู„ูŠูŽู‘ูŠู† ูˆุญุชู‰ ุงู„ุชุดุบูŠู„ ูˆุงู„ุตูŠุงู†ุฉ ูˆุงู„ุงุณุชุจุฏุงู„ ุงู„ุฏูˆุฑูŠ ูˆุงู„ู‡ุฏู… ุฃูˆ ุงู„ุชุฎู„ุต ุงู„ู†ู‡ุงุฆูŠ. ูˆูŠููˆููู‘ุฑ ุชุญู„ูŠู„ LCC ุฃุณุงุณุงู‹ ุฃูƒุซุฑ ุงูƒุชู…ุงู„ุงู‹ ูˆุฏู‚ุฉู‹ ู„ุงุชุฎุงุฐ ู‚ุฑุงุฑุงุช ุงู„ุงุณุชุซู…ุงุฑ ู…ู‚ุงุฑู†ุฉู‹ ุจุงู„ุชูƒู„ูุฉ ุงู„ุฑุฃุณู…ุงู„ูŠุฉ ุงู„ุฃูˆู„ูŠุฉ ูˆุญุฏู‡ุง.

LCC ููŠ ุงุณุชุซู…ุงุฑ ุงู„ู…ุจุงู†ูŠ ุงู„ุฎุถุฑุงุก

ูŠูุซุจุช ุงู„ุจุญุซ ุจุงุณุชู…ุฑุงุฑ ุฃู† ุงู„ู…ุจุงู†ูŠ ุงู„ุฎุถุฑุงุก ุชูุญู‚ูู‘ู‚ ุงู‚ุชุตุงุฏูŠุงุช ุฏูˆุฑุฉ ุญูŠุงุฉ ู…ุชููˆู‚ุฉ. ูˆุชูุธู‡ุฑ ุงู„ุฏุฑุงุณุงุช ูˆููˆุฑุงุช ููŠ ุชูƒุงู„ูŠู ุงู„ุทุงู‚ุฉ ุจู†ุณุจุฉ 25โ€“35% ู…ู‚ุงุฑู†ุฉู‹ ุจุงู„ู…ูƒุงูุฆุงุช ุบูŠุฑ ุงู„ู…ุนุชู…ุฏุฉุŒ ู…ู…ุง ูŠูุญู‚ูู‘ู‚ ู…ุฒุงูŠุง ููŠ ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ ุชููˆู‚ ุจุดูƒู„ ู…ู„ุญูˆุธ ุงู„ุนู„ุงูˆุฉ ุงู„ุฎุถุฑุงุก ููŠ ุงู„ุชูƒู„ูุฉ ุงู„ุฑุฃุณู…ุงู„ูŠุฉ. ูˆููŠ ุงู„ุฅู…ุงุฑุงุชุŒ ุญูŠุซ ุชุชุตุงุนุฏ ุชุนุฑูุฉ ุงู„ู…ุฑุงูู‚ ู…ุน ุงู„ุชุฎููŠุถ ุงู„ุชุฏุฑูŠุฌูŠ ู„ู„ุฏุนู…ุŒ ุชุชุฒุงูŠุฏ ู…ูŠุฒุฉ ุงู„ุชูƒุงู„ูŠู ุงู„ุชุดุบูŠู„ูŠุฉ ู„ู„ู…ุจุงู†ูŠ ุงู„ุฎุถุฑุงุก ุนุงู„ูŠุฉ ุงู„ูƒูุงุกุฉ ุจู…ุฑูˆุฑ ุงู„ูˆู‚ุช.

ู…ู†ู‡ุฌูŠุฉ LCC ูˆุงู„ู…ุนุงูŠูŠุฑ

ูŠูุฌุฑู‰ ุชุญู„ูŠู„ ุชูƒู„ูุฉ ุฏูˆุฑุฉ ุงู„ุญูŠุงุฉ ูˆูู‚ ISO 15686-5 ุฃูˆ RICS NRM3. ูˆูŠุณุชู„ุฒู… ุงู„ุชุญู„ูŠู„: ุชุญุฏูŠุฏ ูุชุฑุฉ ุงู„ุชู‚ูŠูŠู…ุ› ูˆุชุญุฏูŠุฏ ุฌู…ูŠุน ุนู†ุงุตุฑ ุงู„ุชูƒู„ูุฉุ› ูˆุฅุณู‚ุงุท ุชุฏูู‚ุงุช ุงู„ุชูƒุงู„ูŠู ุงู„ู…ุณุชู‚ุจู„ูŠุฉ ุจุงุณุชุฎุฏุงู… ู…ุนุฏู„ุงุช ุงู„ุชุตุงุนุฏ ุงู„ู…ู†ุงุณุจุฉุ› ูˆุฎุตู… ุงู„ุชูƒุงู„ูŠู ุงู„ู…ุณุชู‚ุจู„ูŠุฉ ุฅู„ู‰ ุงู„ู‚ูŠู…ุฉ ุงู„ุญุงู„ูŠุฉ ุจุงุณุชุฎุฏุงู… ู…ุนุฏู„ ุฎุตู… ู…ุญุฏุฏุŒ ู…ูู†ุชุฌุงู‹ ุตุงููŠ ุงู„ู‚ูŠู…ุฉ ุงู„ุญุงู„ูŠุฉ (NPV) ู„ู„ู…ู‚ุงุฑู†ุฉ ุจูŠู† ุจุฏุงุฆู„ ุงู„ุชุตู…ูŠู….

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