Life-cycle costs

Once considered the theoretical concept of academics, rarely applied in practice, life cycle cost analysis is fast becoming the accepted method for the evaluation of both capital projects and items of replacement plant. Indeed to assist pump users in the evaluation of whole life costs the Confederation of Pump Manufacturers has in 1999 issued a specification
(LLC) for establishing and reducing Life-cycle costs.

The developing world has become acutely aware of the effect of its waste and the introduction of levies on CO2 emissions now directly taxes the inefficient users of energy. Globalisation is squeezing maintenance budgets and demanding an increased mean time between major service outages.

Initial capital cost is, in most instances, a fraction of the whole life cost of a typical pumping installation. Energy, unplanned downtime with resultant loss of productivity and replacement of “lower life expectancy consumable parts” such as seals and bearings equates to as much as 80% of the total
life-cycle cost.