December 16, 2019
Hi! I’m Michael, the Senior Vice President at Nania Energy Advisors. Now you’ve probably heard that upgrading your facility’s lighting to LEDs is one of the easiest ways to reduce your energy costs and to reduce your carbon footprint.
And that’s true. But what does it look and feel like to do a lighting upgrade project?
In today’s video, you’ll get an inside look at an in-progress LED upgrade, along with some before and after shots. You’ll be amazed by the results. Come see what I mean!
How does a lighting project affect day-to-day activities?
Today we’re on site at one of our industrial clients who is currently undergoing an LED upgrade project. As you can see, the contractor is able to do the lighting project with minimal disruption to manufacturing activities.
What can you expect from a lighting upgrade project?
So after the lights have been replaced and the project is complete, what can you expect to see?
1) Energy Savings
Depending on the energy of your current system, you should expect energy costs and usage related to lighting to drop anywhere from 20-80%.
As an added bonus, those organizations with sustainability goals should also see a reduction in in their carbon footprint, improving LEED scores and Energy STAR ratings.
2) Quick Return on Investment (ROI)
The average LED project will have a payback period of 1-3 years.
- A payback period is defined as the amount of time that it would take for your electricity savings to accumulate to equal the initial project cost.
Your individual payback period will depend on a few factors, most notably:
- The efficiency of your current system,
- The number of hours that your lights are on during an average week, and
- Any utility rebates that are provided to help pay for the initial project cost.
3) Lower Maintenance Costs
While a typical fluorescent bulb will last between 20,000 and 30,000 working hours (or 2-3 years), you can expect an LED bulb to last over 100,000 working hours (or 10 years).
Because LEDs last longer, you won’t have to replace them as often, saving you money on labor and supplies related to lighting.
What are the benefits of a LED lighting upgrade?
So how is this industrial client benefiting from their lighting project?
- This client will see an annual savings of over $31,000 a year on their electricity costs.
- They’ll see a project payback of 2.6 years.
- And they will see the lighting quality in their facility improve by over 250%.
How can you pay for a LED lighting upgrade?
Now, if you’re worried about how to pay for a lighting project, the good news is that you don’t have to pay for it all up front. There are many creative ways to pay for an LED upgrade.
For example, this customer selected to use on-bill financing. This project is being funded by one of our electricity supply partners, and the client is paying for the project through a small fee on their monthly electricity invoice.
Consider doing a lighting project at your facility.
As you can see, a lighting project can be extremely beneficial to your facility. If you’d like to learn more about LED upgrades or other efficiency projects, please check out our website or contact us.
Thank you for watching, and look for future energy videos.
Follow us on LinkedIn!