Construction of Life Cycle Cost Analysis Model for Economic Asset Management in Water Supply System

Abstract

A life cycle cost analysis model has been constructed to economically perform asset management, a series of systems implemented to not only satisfy the life cycle cost of a water supply structure but also meet the level of service required. Life cycle cost is consisted of initial installation cost, maintenance cost, and disposal and replacement cost, while the calculation methods used are NPV (Net Present Value) and EUAC (Equivalent Uniform Annual Cost). In this paper, an LCC analysis is performed with a portion of data on the water supply system of YW filtration plant being used as a reference. Also, the ways to secure financial stability in the future are suggested and, thus, an economic asset management direction is also proposed.