9A -i APPENDIX 9A. USER INSTRUCTIONS FOR LIFE

- CYCLE COST AND PAYBACK PERIOD SPREADSHEET

TABLE OF CONTENTS

9A.1 INTRODUCTION ........................................................................................................ 9A-1 9A.2 MODEL CONVENTIONS ........................................................................................... 9A-1 9A.3 INDIVIDUAL WORKSHEETS ................................................................................... 9A-19A -1 APPENDIX 9 A . USER INSTRUCTIONS FOR LIFE

- CYCLE COST AND PAYBACK PERIOD SPREADSHEET

9A.1 INTRODUCTION

The results obtained for the life

- cycle cost (LCC) and payback period (PBP) analysi s can be examined and reproduced using the Microsoft Excel spreadsheet available on the U.S. Department of Energy (DOE) Building Technologies website at: www1.eere.energy.gov/ buildings/appliance_standards/product.aspx/productid/60

. There is one spreadsheet covering all combi nations of high -intensity discharge (HID) lamp equipment classes. The LCC and PBP spreadsheet performs calculations to forecast the change in LCC from a potential energy conservation standard and the PBP that such a change implies. These concepts are expla ined in the interim technical support document (TSD) chapter 9.

To operate the spreadsheet , a user chooses values of interest in the LCC &PBP tab . In the interim analysis phase of this rulemaking, some functionality will be disabled, but will be enabled in the notice of proposed rulemaking phase. Analysis Mode, Subgroup, and Economic Growth Scenarios are all selected via drop

- down menus. In this inte rim analysis, users can only select different economic growth scenarios. A ny market and energy price behavio r can be set by adjusting the named ranges embedded throughout the LCC/PBP spreadsheet model . Therefore, strictly speaking

, no “instructions” are ne cessary to operate the spreadsheet. Rather, in this appendix, DOE describes the model in case users wish to examine DOE’s assumptions and methods or t o test alternative assumptions.

9A.2 MODEL CONVENTIONS

Both of the model’s primary outputs, LCC savings and PBP , are calculated on the LCC worksheet by using base- case and standards

- case HID lamp systems as inputs ( e.g. , the LCC savings for a particular HID lamp system are calculated by subtracting the LCC associated with that unit from the LCC associated with a unit of the same equipment class at a baseline efficiency ). In general, logic flows from the data sources and assumption worksheets ( assembled

as the right-most worksheets) toward outputs (produced i n the left -most worksheets).

9A.3 INDIVIDUAL WORKSHEETS

The L CC/PBP spreadsheet or workbook consists of the following worksheets.

Instructions Contains notes from the model developer for spreadsheet users.

LCC &PBP P resents LCC savings and PBP results by HID lamp system type to produce the results that DOE provides in the i nterim TSD chapter 9. Also condenses the information from the Lifetime Costs worksheet for ease of use.9A -2 Lifetime Costs C ompiles data from several other worksheets to calculate the actual LCC of each HID lamp system . This worksheet also contains assumptions for labor costs, some equipment prices, and mark -up values.

Discount Rate Derives discount rates for commercial, industrial, and outdoor stationary sector systems

. Operating Hours Provides the data and calculations used to develop operating hours for commercial, industrial, and outdoor stationary sectors.

Electricity and Tax Rates C ontains data and calculations for electricity prices over time, and sales tax rates. Also contains e conomic growth scenario information.

Information Hub Contains the engineering summary data, and many important quantities that pertain to each equipment class and representative piece of equipment.

Monte Carlo In the interim analysis phase of this rulemaking, this tab is hidden. It c ontains distributions of many different components of LCC computations, for use in the Monte Carlo analysis.