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Applications of Life-Cycle Cost Analysis in Water and Wastewater Projects: Lessons from European Experience

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Governing the Nexus

Abstract

Experiences of applying the life cycle costing concept for designing and implementing water and wastewater projects in Europe indicates, that LCC is suitable to support strategic planning decisions. The entire life cycle approach helps to implement more integrated thinking in settlement and infrastructure planning. The contribution describes current challenges of the water sector in Europe such as demographic change or climate change, gives a short introduction in LCC as part of the concept of life cycle management and presents various cases of planning tasks in the water sector for Germany and Europe. Based on this political economy, considerations are done in applications of LCC for strategic planning.

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Notes

  1. 1.

    In finance, discounted cash flow (DCF) analysis is a method of valuing a project, company or asset using the concepts of the time value of money. All future cash flows are estimated and discounted to give their present values (PVs). The sum of all future cash flows, both incoming and outgoing, is the net present value (NPV), which is taken as the value or price of the cash flows in question. Present values may also be expressed as a number of years the purchase of the future undiscounted annual cash flow is expected to arise (Wikipedia 2014).

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Authors and Affiliations

  1. Leibniz-Institut of Ecological Urban and Regional Development, Dresden, Germany

    Georg Schiller & Stefan Dirlich

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  1. Georg Schiller
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  2. Stefan Dirlich
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Correspondence to Georg Schiller .

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Editors and Affiliations

  1. UNU-FLORES United Nations University, Dresden, Germany

    Mathew Kurian

  2. UNU-FLORES United Nations University, Dresden, Germany

    Reza Ardakanian

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Schiller, G., Dirlich, S. (2015). Applications of Life-Cycle Cost Analysis in Water and Wastewater Projects: Lessons from European Experience. In: Kurian, M., Ardakanian, R. (eds) Governing the Nexus. Springer, Cham. https://doi.org/10.1007/978-3-319-05747-7_7

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