How LED Lights Can Save You Money When Times Are Tough
Energy Savings Breakdown:Information you will need about your current lighting system before you start:
- The current number of lamps you have
- The total wattage of your current fixtures ( This is the wattage of your current lamps + The ballast factor of your current lamps (the amount of power your ballast uses to run your lamp)
- How many hours a day your lamps are on
- How many days a week your lamps are on
- The current kilowatt hour rate (The amount of energy being used at a constant rate of power over a period of time. A kilowatt-hour is how by energy companies to charge consumers for the energy being delivered.)
- An Estimated Labour Cost per hour to change the original bulbs and also include the price of changing a ballast every 3 bulb changes.
- The cost of original bulbs (include ballast change every 3 bulb changes)
Work though the following questions and calculations to find out how much money you will be saving by switching to LED lights:
B. Lifetime Power Cost Savings B1. Replacement Bulb Life: How many hours will the bulb last for. B2. Average Hours of Use per Year: (((Hours Per Week) / 24) x A3) B3. Average Lifetime of Replacement Bulbs: (B1 x 0.000114155) B4. Lifetime Power Cost Savings: (A7 x B3)
C. Maintenance / Inventory Savings By Upgrading to LED Lighting C1. Estimated Number of Times New Lights will Outlast the Old Lights: ((Original Bulb Life) /(Replacement Bulb Life)) C2. Labour Cost to Change Original Bulbs (include ballast every 3 bulbs): Example: $50.00 for Labour and maintenance and then for every 3rd bulb $110.00 (the price of maintenance for the bulb and ballast) times by the # of fixtures C3. Cost of Original Bulbs (include ballast every 3 bulbs): Example: $70.00 per bulb for a 400W HB and then for every 3rd bulb $140.00 (the price of a bulb and ballast) times by the # of fixtures C4. Total Lifetime Replacement Cost Savings: ((C2 + C3) x C1) C5. Amortized Total Lifetime Replacement Cost Savings per Year: (C4 / B3)
D. Payback Period & ROI By Upgrading Lighting D1. Total Net Cost of Lighting Upgrade: This number will come from your quote D2. Total Power Savings + Replacement Cost Savings per Year: (A8 + C5) D3. Simple Payback on Power Consumption + Replacement Costs: (D1 / D2) D4. Simple Annual Return on Investment (ROI): (D2/D1)
E. Lifetime Savings Summary E1. Lifetime Power Cost Savings: B4 E2. Lifetime Replacement Cost Savings: C4 E3. Total Lifetime Costs Savings: (B4 + C4)
So now that you have done the calculation you should be able to see for yourself why it makes sense to invest in your lighting and make the switch to LED lights because in the long run they are much, much cheaper because of their low maintenance and energy costs. By making the switch now you will immediately begin to capitalize on your savings and as an added bonus have a much more uniform and high quality light. You will also be decreasing helping to decrease your carbon footprint which means you are helping to do your part in decreasing the impact we have on the environment.