- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 13 Aug 2017
The amount of time it will take to recover an initial investment through energy savings, calculated by dividing the marginal additional cost of implementing an energy efficiency measure by the value of the annual energy savings achieved by that measure taking no account of VAT.
When making this calculation, the following guidance should be used:
- The marginal additional cost is the additional cost (materials and labour) of incorporating, for example, additional insulation, not the whole cost of the work.
- The cost of implementing the measure should be based on prices current at the date the proposals are made known to the building control body (BCB) and be confirmed in a report signed by a suitably qualified person.
- The annual energy savings should be estimated using an energy calculation tool approved by the Secretary of State pursuant to regulation 24.
- For the purposes of the approved document, the energy prices that are current at the time of the application to building control should be used when evaluating the annual energy savings. Current energy prices can be obtained from the Department of Energy & Climate Change (DECC) website.
Typically, an initial investment, in for example the achievement of U-values, will be considered economically feasilbe if the simple payback period is not greater than 15 years. However, other periods may be considered economically feasible for other elements.
 Related articles on Designing Buildings Wiki
Featured articles and news
A document can be called a bond or a guarantee. Does the name matter and what is the difference between them?
New briefing note is launched focusing on increasing knowledge of housing that promotes health and wellbeing.
Arbitration is a private, contractual form of dispute resolution used in the construction industry.
The European Parliament has approved a revised Energy Performance of Buildings directive.
One in six MPs supports the ring-fencing of retentions as proposed in the 'Aldous Bill'.
A stakeholder is anyone who has an interest in the process or outcome of a construction project.
BRE launches online self-assessment tool for ethical labour sourcing.
Tower refurbishment failed to meet safety standards on several counts, according to leaked report.
It may seem obvious but what does the term 'structure' refer to within a built environment context?
Carillion's liabilities could be much higher than previously thought, according to Receiver.
Photographing Historic Buildings, by the former head of photography at English Heritage.