Cost Optimization of Net-Zero Energy House

Environmental and resource limitations provide increased motivation for design of net-zero energy or net-zero CO₂ buildings. The optimum building design will have the lowest lifecycle cost. This paper describes a method of performing and comparing lifecycle costs for standard, CO₂-neutral and net-zero energy buildings. Costs of source energy are calculated based on the cost of photovoltaic systems, tradable renewable certificates, CO₂ credits and conventional energy. Building energy simulation is used to determine building energy use. A case study is conducted on a proposed net-zero energy house. The paper identifies the least-cost net-zero energy house, the least-cost CO₂ neutral house, and the overall least-cost house. The methodology can be generalized to different climates and buildings. The method and results may be of interest to builders, developers, city planners, or organizations managing multiple buildings.