ABSTRACT

Historically, sustainability has generally been considered to add to the bottom line of construction projects and building facilities management. The main drivers were framed in terms of meeting legislative requirements, obtaining planning consent or ticking corporate sustainability reporting (CSR) boxes. Ideally, all cost modelling and option studies should be based on life cycle cost models. The biggest problem in applying life cycle costing, however, has always been where a developer or landlord does not benefit from the reduction in running costs that accrue from a reduction in energy or water use. This tends to be less of an issue for refurbishment and retrofitting where the capital expenditure (capex) is frequently borne by those benefiting from reduced running costs.