Shedding Some (LED) Light on Operating Costs

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We’re a fairly handy crew here at In Balance, so when Mike Horgan – licensed contractor and Passive House consultant – recently joined our ranks, we put him right to work … on our own office.  While our work spaces enjoy plenty of daylight, on cloudy winter days and toward the back of the office, we can use a little boost. Recently, some of the lamps finally died, so we decided to replace them (and the rest of our fixtures) with LEDs.

Here’s a breakdown of the costs and considerable benefits.

Our office has six fluorescent lights – each consisting of three 32 Watt lamps inside a 2’x4’ ceiling troffer - with a total wattage of 109w including the ballasts. Assuming electricity @ $0.20/kWh:

·      When operating 8 hours each day, 5 days a week, at $0.20/kWh, the total annual operating cost for each fluorescent fixture is $45.41.

·      The new 40 Watt, recessed LED panel operating 8 hours each day, 5 days a week, at the same $0.20kWh, will cost just $16.64 annually to operate.

*LED bulbs rated for 50,000 hrs/2000 per year = 25 years. Fluorescents need to be changed every 20,000 hours.

*LED bulbs rated for 50,000 hrs/2000 per year = 25 years. Fluorescents need to be changed every 20,000 hours.

Net Savings

The material cost for the 2’x4’ LED fixtures is $80. Mike did the install, but let’s assume hiring a licensed contractor for a total cost of $200/fixture. 

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At a net savings of over $3,000 over the life of the bulbs for our fairly cozy space (and even more when considering labor costs for installation on CFL replacements), the economic benefits of the retrofit are evident.  Equally dramatic, though less quantifiable, are the improved color rendering and absence of humming or flickering with our new lighting, which make being in our space more comfortable. And of course, we are saving energy and carbon emissions, which we love most of all.

Want to take on energy retrofits? We can help identify cost-effective strategies. Contact us.