Life-cycle costs approach : costing sustainable services

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Authors

Snehalatha, M
Reddy, R
Potter, A
Pezon, C
Nyarko, K
Naafs, A
Moriarty, P.B
Komives, K
Klutse, A
McIntyre, P

Issue Date

2011-11

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en

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Water and Sanitation

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Abstract

Estimating the true cost of extending sustainable WASH services to poor households is an on-going problem for WASH service providers. How can we achieve the most while spending the least? This briefing note describes the life-cycle costs approach and the main cost components for water and sanitation in rural and peri-urban areas. It uses a regulatory accounting approach to calculate aggregated total expenditure costs and provides a step-by step approach to comparing and reporting costs.

Description

Estimating the true cost of extending sustainable WASH services to poor households is an on-going problem for WASH service providers. How can we achieve the most while spending the least? This briefing note describes the life-cycle costs approach and the main cost components for water and sanitation in rural and peri-urban areas. It uses a regulatory accounting approach to calculate aggregated total expenditure costs and provides a step-by step approach to comparing and reporting costs.

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