Published: 18 May 2010.

Contributed by David Whitfield of Enlighten

Electricity costs are predicted to double in the next five to seven years, dramatically increasing the costs of lighting common areas and tenancies.
Traditional lighting is inefficient and costly to maintain.  LED lighting is energy efficient and long lasting but the “up front cost” of retrofitting existing lighting with LED’s is high.
Apart from energy savings of up to 70%, a major benefit of LED lighting is its longevity.  This longevity provides an opportunity to offer LED lighting in a full service contract.

The Offer
enLighten is offering a 10 year service contract with an annual fee and NO up front capital costs.  The annual fee is less than the first year’s savings, so from day one, your building lighting costs are reduced and you lose a maintenance headache.

With the development in LED technology, we expect lighting efficiency of LED’s to double over the next four to five years.  Reliability and longevity will also increase.  With this in mind, enLighten intends to upgrade the client’s lighting in either year four or year five of the contract.  This will provide an additional 40% to 50% saving in the cost of operating the lighting at that time.

The Service
The service will include the following components

• Retrofit existing lighting to LED lighting
• Upgrade lighting fixtures where applicable  
• Re-lamp with up to date technology in year 4 or year 5  
• Annual service and cleaning of all lamps
• 24 hour turn around on replacement of defective lamps

On an LED retrofit project, annual savings are approximately $34 per lamp, but with energy costs expected to soar, annual savings will be substantial later in the contract.  Also, savings are compounded when the next generation of lamps is installed in 4 to 5 years

After payment of the annual service fee, the client is slightly ahead in the first year but will see an increasing benefit as the prices of energy increases.  The 10 year benefit is expected to be over $300 per lamp, subject to expected energy cost increases.

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