8.3-i

APPENDIX 8.3. LCC AND PBP RESULTS USING ALTERNATIVE INSTALLATION

COST SCENARIOS

TABLE OF CONTENTS

8.3.1 INTRODUCTION ................................................... 8.3-1

8.3.2 LCC AND PBP RESULTS FOR NON-WEATHERIZED GAS FURNACES 

USING ALTERNATIVE INSTALLATION COSTS ........................ 8.3-1

8.3.3 LCC AND PBP RESULTS FOR GAS BOILERS USING ALTERNATIVE 

INSTALLATION COSTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-7

LIST OF TABLES

Table 8.3.2.1 LCC and PBP Results for Non-Weatherized Gas Furnaces 

Using GRI Installation Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-1

Table 8.3.2.2 LCC and PBP Results for Non-Weatherized Gas Furnaces 

Using NRCan Installation Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-4

Table 8.3.3.1 LCC and PBP Results for Hot-Water Gas Boilers 

Using GRI Installation Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-7

LIST OF FIGURES

Figure 8.3.2.1 National LCC Savings for Non-Weatherized Gas Furnaces, 

Using GRI Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-3

Figure 8.3.2.2 National LCC Savings for Non-Weatherized Gas Furnaces, 

Using NRCan Data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.3-6

Figure 8.3.3.1 National LCC Savings for Gas Boilers, Using GRI Data ............... 8.3-8
8.3-1

APPENDIX 8.3. LCC AND PBP RESULTS USING ALTERNATIVE INSTALLATION

COST SCENARIOS

8.3.1 INTRODUCTION

This appendix presents life-cycle cost (LCC) and payback period (PBP) results using

alternative installation costs for non-weatherized gas furnaces and gas boilers. These results are

presented as high and low sensitivity cases. For non-weatherized gas furnaces, DOE used two

alternative sources: a 1994 Gas Research Institute (GRI) report, and data from Natural Resources

Canada (NRCanada) (see Chapter 8 for references). For gas boilers, DOE used the GRI report as

an alternative source.

8.3.2 LCC AND PBP RESULTS FOR NON-WEATHERIZED GAS FURNACES USING

ALTERNATIVE INSTALLATION COSTS

Table 8.3.2.1 LCC and PBP Results for Non-Weatherized Gas Furnaces Using GRI

Installation Costs

LCC Payback

Design Option:

AFUE/Electricity

Average Average

Savings

Net Cost No

Impact*

Net

Benefit

Median Average*

$ $ % % % years years

78% $10,022

80% $10,042 -$1 1% 99% 1% 21.2 60.3

80% PSC+ $10,031 $7 17% 27% 56% 5.4 5.8

80% ECM $10,121 -$60 60% 27% 14% 23.1 33.8

80% BC/ECM+ $10,069 -$22 51% 27% 22% 17.3 26.4

80% 2-stage mod. $9,965 $40 33% 27% 40% 8.6 13.8

80% 2-mod. ECM $10,042 -$14 48% 27% 26% 15.4 21.2

80% 2-stage mod. BC/ECM+ $10,029 $0 45% 27% 28% 14.4 21.0

81% 8% Cat. III $10,088 -$42 7% 27% 66% 1.4 38.2

81% PSC+ $10,077 -$34 8% 26% 66% 2.2 29.4

81% ECM $10,167 -$101 49% 26% 25% 15.5 30.9

81% BC/ECM+ $10,115 -$63 42% 26% 32% 13.0 26.7

81% 2-stage Mod, no Cat. III $9,892 $88 19% 26% 55% 5.6 10.0

81% 2-stage Mod ECM $10,094 -$59 42% 26% 32% 13.0 24.6

81% 2-stage Mod BC/ECM+ $10,080 -$44 40% 26% 34% 12.3 23.6
8.3-2

82% $10,808 -$579 70% 26% 4% 8.4 204.4

82% PSC+ $10,798 -$571 70% 26% 4% 12.0 192.8

82% ECM $10,887 -$638 71% 26% 3% 66.6 189.6

82% BC/ECM+ $10,836 -$600 67% 26% 6% 49.1 141.3

82% 2-stage Mod $10,741 -$543 65% 26% 9% 20.9 146.0

82% 2-stage Mod ECM $10,817 -$598 67% 26% 7% 47.6 143.9

82% 2-stage Mod BC/ECM+ $10,802 -$582 65% 26% 8% 40.9 121.2

83% $11,685 -$1,235 74% 26% 0% 177.5 345.8

90% Baseline Cond. $10,181 -$168 49% 26% 25% 15.8 46.1

90% PSC+ $10,171 -$159 51% 15% 34% 11.8 41.0

90% ECM $10,272 -$240 60% 15% 24% 20.3 48.6

90% BC/ECM+ $10,221 -$194 58% 15% 27% 18.1 43.5

91% 2-stage Mod ECM $10,163 -$155 54% 15% 30% 15.2 40.7

91% 2-stage BC/ECM+ $10,142 -$133 53% 15% 31% 15.1 37.7

91% Step Mod ECM $10,383 -$342 63% 15% 21% 21.3 54.4

91% Step Mod BC/ECM+ $10,375 -$329 63% 15% 22% 21.0 48.9

92%Incr. HX Area $10,189 -$180 55% 15% 30% 14.6 43.3

92% PSC+ $10,179 -$170 58% 2% 40% 11.7 36.8

92% ECM $10,280 -$269 72% 2% 26% 20.6 45.8

92% BC/ECM+ $10,229 -$219 69% 2% 30% 18.4 39.6

93% 2-stage Mod ECM $10,177 -$168 63% 2% 35% 15.0 39.2

93% 2-stage Mod BC/ECM+ $10,155 -$147 63% 2% 36% 15.0 36.2

93% Step Mod ECM $10,399 -$387 75% 2% 24% 21.1 50.4

93% Step Mod BC/ECM+ $10,389 -$376 74% 2% 24% 21.0 45.4

96% Step Mod ECM $11,018 -$996 87% 2% 11% 31.7 91.9

96% Step Mod BC/ECM+ $11,031 -$1,009 89% 0% 11% 32.6 87.3

* “No impact” means that the base case furnace assigned to the household has greater efficiency than the level

indicated, so the household is not affected. 
8.3-3

LCC Savings Ranges By Design Option

80% Incr. HX Area

80% PSC+

80% ECM

80% BC/ECM+

80% 2-stage Mod

80% 2-stage Mod ECM

80% 2-stage Mod BC/ECM+

81% with 8% Cat. III

81% no Cat. III

81% PSC+

81% ECM

81% BC/ECM+

81% 2 stage Mod, 8% Cat. III

81% 2 stage Mod, no Cat. III

81% 2 stage Mod ECM

81% 2 stage Mod BC/ECM+

90% Baseline Cond.

90% PSC+

90% ECM

90% BC/ECM+

91% 2 stage Mod ECM

91% 2 stage Mod BC/ECM+

91% Step Mod ECM

91% Step Mod BC/ECM+

92% Incr. HX Area

92% PSC+

92% ECM

92% BC/ECM+

93% 2 stage Mod ECM

93% 2 stage Mod BC/ECM+

93% Step Mod ECM

93% Step Mod BC/ECM+

96% Step Mod ECM

96% Cont Mod BC/ECM+

-2500

-2000

-1500

-1000

-500

0

500

1000

1500

Median

Mean

Figure 8.3.2.1 National LCC Savings for Non-Weatherized Gas Furnaces, Using

GRI Data
8.3-4

Table 8.3.2.2 LCC and PBP Results for Non-Weatherized Gas Furnaces Using NRCan

Installation Costs

LCC Payback

Design Option:

AFUE/Electricity

Average Average

Savings

Net Cost No

Impact*

Net

Benefit

Median Average*

$ $ % % % years years

78% $9,656

80% $9,483 $1 0% 99% 1% 1.0 1.3

80% PSC+ $9,472 $9 17% 26% 57% 5.3 4.7

80% ECM $9,561 -$57 60% 26% 14% 22.6 33.0

80% BC/ECM+ $9,508 -$18 50% 26% 23% 17.0 25.7

80% 2-stage mod. $9,407 $42 33% 26% 41% 8.4 13.2

80% 2-mod. ECM $9,482 -$11 48% 26% 26% 15.0 20.4

80% 2-stage mod. BC/ECM+ $9,468 $4 45% 26% 29% 14.2 20.2

81% 8% Cat. III $9,472 $2 7% 26% 67% 1.4 20.1

81% PSC+ $9,462 $10 8% 26% 67% 2.1 16.2

81% ECM $9,551 -$57 49% 26% 25% 15.3 24.8

81% BC/ECM+ $9,498 -$17 42% 26% 32% 12.8 21.8

81% 2-stage Mod, no Cat. III $9,333 $90 19% 26% 56% 5.4 9.1

81% 2-stage Mod ECM $9,477 -$14 42% 26% 32% 12.7 20.0

81% 2-stage Mod BC/ECM+ $9,463 $2 40% 26% 35% 12.0 19.6

82% $9,970 -$375 70% 26% 4% 7.3 100.6

82% PSC+ $9,959 -$367 69% 26% 5% 9.6 102.7

82% ECM $10,048 -$433 71% 26% 4% 53.5 128.2

82% BC/ECM+ $9,996 -$394 67% 26% 7% 39.0 94.8

82% 2-stage Mod $9,903 -$339 65% 26% 10% 16.4 72.7

82% 2-stage Mod ECM $9,977 -$392 67% 26% 8% 37.8 99.4

82% 2-stage Mod BC/ECM+ $9,962 -$376 65% 26% 9% 33.2 87.6

83% $10,422 -$718 74% 26% 0% 93.0 193.7

90% Baseline Cond. $9,373 $18 45% 26% 29% 10.7 25.2

90% PSC+ $9,363 $27 46% 16% 38% 8.9 23.0

90% ECM $9,463 -$54 57% 16% 27% 15.8 33.5

90% BC/ECM+ $9,412 -$8 54% 16% 31% 14.3 31.0
8.3-5

91% 2-stage Mod ECM $9,353 $31 50% 16% 34% 12.6 29.5

91% 2-stage BC/ECM+ $9,332 $53 49% 16% 36% 12.4 27.2

91% Step Mod ECM $9,574 -$156 61% 16% 24% 18.2 42.8

91% Step Mod BC/ECM+ $9,565 -$143 60% 16% 24% 17.9 39.1

92%Incr. HX Area $9,380 $6 51% 16% 33% 12.0 28.3

92% PSC+ $9,370 $15 55% 2% 44% 10.1 25.2

92% ECM $9,471 -$84 69% 2% 29% 17.6 35.7

92% BC/ECM+ $9,420 -$33 65% 2% 33% 15.6 31.1

93% 2-stage Mod ECM $9,367 $17 59% 2% 39% 13.4 31.3

93% 2-stage Mod BC/ECM+ $9,345 $39 58% 2% 40% 13.3 27.8

93% Step Mod ECM $9,589 -$201 72% 2% 26% 18.9 41.2

93% Step Mod BC/ECM+ $9,579 -$190 72% 2% 27% 18.7 38.0

96% Step Mod ECM $10,176 -$779 87% 2% 11% 27.7 74.0

96% Step Mod BC/ECM+ $10,189 -$792 89% 0% 11% 28.3 76.3

* “No impact” means that the base case furnace assigned to the household has greater efficiency than the level

indicated, so the household is not affected. 
8.3-6

LCC Savings Ranges By Design Option

80% Incr. HX Area

80% PSC+

80% ECM

80% BC/ECM+

80% 2-stage Mod

80% 2-stage Mod ECM

80% 2-stage Mod BC/ECM+

81% with 8% Cat. III

81% no Cat. III

81% PSC+

81% ECM

81% BC/ECM+

81% 2 stage Mod, 8% Cat. III

81% 2 stage Mod, no Cat. III

81% 2 stage Mod ECM

81% 2 stage Mod BC/ECM+

90% Baseline Cond.

90% PSC+

90% ECM

90% BC/ECM+

91% 2 stage Mod ECM

91% 2 stage Mod BC/ECM+

91% Step Mod ECM

91% Step Mod BC/ECM+

92% Incr. HX Area

92% PSC+

92% ECM

92% BC/ECM+

93% 2 stage Mod ECM

93% 2 stage Mod BC/ECM+

93% Step Mod ECM

93% Step Mod BC/ECM+

96% Step Mod ECM

96% Cont Mod BC/ECM+

-2000

-1500

-1000

-500

0

500

1000

1500

Median

Mean

Figure 8.3.2.2 National LCC Savings for Non-Weatherized Gas Furnaces, Using

NRCan Data
8.3-7

8.3.3 LCC AND PBP RESULTS FOR GAS BOILERS USING ALTERNATIVE

INSTALLATION COSTS

Table 8.3.3.1 LCC and PBP Results for Hot-Water Gas Boilers Using GRI Installation

Costs

LCC Payback

Design Option:

AFUE/Electricity

Average

LCC

Average

Savings

Net Cost No

Impact

Net

Benefit

Median Average

80% Baseline $10,564

81% $10,299 $93 0% 65% 35% 2.1 2.4

81% 2-stage modulation $10,527 -$36 38% 44% 18% 9.9 14.8

81% Imp Circ Pump $10,549 -$48 41% 44% 16% 15.1 55.9

82% $10,243 $125 3% 44% 53% 2.5 3.3

82% 2-stage modulation $10,470 -$36 48% 30% 22% 9.3 19.6

82% Imp Circ Pump $10,492 -$51 51% 30% 19% 19.1 42.9

83% $10,184 $166 5% 30% 66% 2.5 3.3

83% 2-stage modulation $10,412 -$29 59% 15% 27% 9.9 23.3

83% Imp Circ Pump $10,434 -$46 61% 15% 24% 17.8 39.6

84% $10,127 $215 6% 15% 79% 2.5 3.4

84% 2-stage modulation $10,355 $0 62% 6% 32% 10.5 22.7

84% Imp Circ Pump $10,377 -$20 63% 6% 31% 15.1 31.4

88% $11,288 -$870 68% 6% 26% 27.7 54.0

91% $11,902 -$1,466 82% 3% 15% 40.3 97.0

99% $12,383 -$1,946 90% 0% 10% 33.2 75.1
8.3-8

LCC Savings Ranges By Design Option

81% Imp Ht Xfer/Elec Ign

81% 2-stage Mod + Indc Draft

81% Imp Circ Pump

82% Imp Ht Xfer/Elec Ign

82% 2-stage Mod + Indc Draft

82% Imp Circ Pump

83% Imp Ht Xfer/Elec Ign

83% 2-stage Mod + Indc Draft

83% Imp Circ Pump

84% Imp Ht Xfer/Elec Ign

84% 2-stage Mod + Indc Draft

84% Imp Circ Pump

88% 91% 99% 

-6000

-5000

-4000

-3000

-2000

-1000

0

1000

2000

Median

Mean

Figure 8.3.3.1 National LCC Savings for Gas Boilers, Using GRI Data