Holistic Life-cycle Cost-benefit Analysis of Green Buildings: A China Case Study

Abstract

Green buildings, compared with conventional ones, can mitigate the rapid growth of China's carbon emissions. They offer many advantages, such as saving resources and reducing negative environmental impacts. However, few studies have assessed their incremental costs and social benefits. This study comprehensively analyzed the incremental costs and benefits of green buildings in China through the life cycle stages of preparation, design, construction, and operation-management. The Analytic Hierarchy Process and Matter Element Analysis were jointly applied to establish a comprehensive green-building cost-benefit evaluation system. Based on expert judgment, an embracive two-level index scheme and a three-step grading strategy were developed. A residential case study tested the applicability of the model. It yielded the largest share of incremental cost in the construction phase at 90.5%. The economic benefits accounted for the largest proportion of incremental benefits at 72.22%, meeting the green building criteria and achieving the highest 3-star rating. The study has developed a full life-cycle costing methodology for green building design and quantified the benefits at each stage. The findings offer the theoretical and practical basis to refine the assessment of green building projects and improve green building performance to meet sustainable development goals.