Life Cycle Cost Analysis
CHAPTER 2
LITERATURE REVIEW
Pollution caused by sewage discharged from cities and towns is the primary cause for degradation of our water resources. A solution to this problem not only requires bridging the ever widening gap between sewage generation and treatment capacity but also calls for development of facilities to divert the treated sewage for use in irrigation to prevent nutrient pollution of water bodies, utilize the nutrient value of sewage in irrigation and bring down fresh water use in irrigation.
2.1 MUNICIPAL WASTEWATER TREATMENT IN INDIA
As per population in 2001 census, about 15,644 MLD of sewage is generated by metropolitan cities in India. The sewage treatment capacity is only for 8040 MLD, which means there is a gap of
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This includes cost of construction, design, Operation & Maintenance, electricity, etc. The cost estimation developed is the projection of the life cycle cost from modifications to an existing action. These costs typically include construction costs that are utilized at the commencement of the project, for example construction costs, and costs in subsequent years that are required to implement, maintain and monitor the particular project after the initial construction period. These may include Operation & Maintenance costs, Periodic costs, etc.
A Life Cycle Cost analysis is a more realistic method for comparing costs of alternatives than simply comparing initial costs. Life-cycle cost analysis evaluates the total cost of ownership over the life of the project, including cost of money, length of service life of the units or components, maintenance, and operating costs. A life-cycle cost analysis compares the present worth of the total annual costs of ownership for different alternatives by estimating costs in today’s currency value and amortizing those costs over the life of the project.
The Life Cycle Costs can be used
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