Equivalent annual costThe cost per year of implementing a NWRM over its entire lifespan. EAC is used when comparing NWRMs of unequal lifespans. It is estimated through listing all capital expenditures and when they are incurred; calculating the net present value of expenditures, once discounted; and converting this net present value into an annuityhttps://demo-water.devel5cph.eea.europa.eu/freshwater/admin/resources/glossary/equivalent-annual-costhttps://demo-water.devel5cph.eea.europa.eu/freshwater/admin/++resource++plone-logo.svg
Equivalent annual cost
The cost per year of implementing a NWRM over its entire lifespan. EAC is used when comparing NWRMs of unequal lifespans. It is estimated through listing all capital expenditures and when they are incurred; calculating the net present value of expenditures, once discounted; and converting this net present value into an annuity
Title
Equivalent annual cost
Description
The cost per year of implementing a NWRM over its entire lifespan. EAC is used when comparing NWRMs of unequal lifespans. It is estimated through listing all capital expenditures and when they are incurred; calculating the net present value of expenditures, once discounted; and converting this net present value into an annuity