Cost Benefit Analyses of Energy Efficient Technologies Available for Use in Roadway Lighting

1. Cost Benefit Analyses of Energy Efficient Technologies Available for Use in Roadway Lighting Presenters: Gary A. Swanson, PE Energy Management Solutions and John Paulson, City of Hutchinson Moderator: Mary Sue Lobenstein February 20th, 2014

2. …with funding from the Minnesota Conservation Applied Research and Development (CARD) Grant Program

3. Info on this project • What did it accomplish? • How it can be useful to utility CIP managers? • Report available at DER website: • mn.gov/commerce/energy-roadway-leds

4. Brief presentation by John Paulson • City of Hutchinson

5. Summary • Introduction to LED Lights • What to look for and look out for in Lighting • 10 Step How to Manual for LED Lights • Economic Evaluation • Excel Tool Available • What’s Next?

6. Introduction to LED Lights (Induction Too) • 13 Million Road way lights in USA • 487,000 in Minnesota (many time more for smaller streets and parking lots) • LED Shoe Box • LED Acorn • LED Cobra Head

7. Sizes And Types • Many Types and Sizes Today • HID – High Intensity Discharge Lights • Metal Halide (White light) • High Pressure Sodium (Yellow Light) • 400, 250, 175 Watts most common sizes

8. Why LED or Induction? • Last Longer - 50,000 to 100,000 hours • Less maintenance cost • Safer if lights don’t fail as often • Saves Energy – 50% to 75% of the energy • Brighter Looking Light • Better options for Controlling • Dimming • Part time lighting control • Instant On with interruption of power

9. Why Consider LEDs Today • There are now hundreds of options for Lights • Costs are coming down dramatically • Quality and consistency have increased • Efficiencies are increasing • Net Result are improved paybacks

10. Are LEDs Right for You? • 10 Step How-To Manual • Economic Evaluation • Look at all Options • Test Lights – “Seeing is Believing”

11. Step 1 – New language • Understand the New Terms • Important to Know the Differences • Coefficient of Utilization (CU) • Color Rendering Index (CRI) • Efficacy • Correlated Color temperature (CCT) • See page 3-6 of the report

12. Step 1 (Cont’d) • Existing Lighting Sources • Metal Halide (MH) • High Pressure Sodium (HPS) • New Lighting Sources • LED or Light Emitting Diode • Induction

13. Step 2 – Who to Select? • There are hundreds of vendors • Many calling with the “Best in the Market” • Work with reputable companies • They will still be there when you have problems • They will have similar products and color matches • More reliable and better warranty

14. Step 3 – Compare Apples to Apples • Complete the Roadway Lighting Form and send to selected Manufactures • This will help them give you options for similar products • Some manufactures have 54 options of lights • New Lighting Fixtures • Include mounting costs and options • Review Retrofit Options • More options and lower costs

15. Base Roadway Form

16. Forms – Diagram A

17. Form – Diagram B

18. Form – Diagram C

19. Average Maintained Illumination Guideline

20. Average Maintained Illumination Guideline

21. Step 4 – Compare Data • Review Useful Life, Operating Temperature and Lumen Depreciation • Most important life factor is thermal management • L70 will show hours it will take for LED to reach 70 % of lighting levels • Life time is important – will range from 50,000 to 100,000 hours – read fine print. • Hours of lamps or drivers – based on X hours per day

22. “Seeing is Believing” Discrepancy of distribution and glare between HID and LED roadway lights. Source: LED Roadway Lighting

23. Step 5 – Review Photometric Reports • AGi32 – is standard independent light simulation software that all manufactures should have to simulate their lights • Avoid comparing to Manufactures software • Important that all are simulated the same to compare anticipated lighting outputs

24. Step 6 – Warranty • Average warranty is 3-5 years • Important to see how manufacture will match replacement lights/modules when LEDs are changing every 6 months. • Warranty for lumen output not just failed light? • Warranty for color shifting?

25. Step 7 – Controls • Controls are changing daily • Dimming • Daylight • Motion • Timed Illumination • Individual Lights • Wireless controls and programmable • Save 25% more energy

26. Step 8 – Economics • Evaluate economics of lights to see if payback is acceptable. (See Payback Analysis Sheet) • Can range from 3 to 10 years • Be sure to include discounts from rebates • Local utilities (up to 50%), state and federal (up to 25%) • Make sure to use avoided cost of energy and not average cost of energy ($/kWh) • No demand components (kW) at night • Off Peak energy rates (kWh) • Fuel Cost Adjustment • Riders

27. Step 8 (Cont’d) • A spreadsheet calculator as well as the guidelines and diagrams A, B, & C shown earlier are available: • mn.gov/commerce/ • energy-roadway-leds

28. Step 9 – Test Lights First • Test in pairs to get true impact of lights • Test for 4 weeks • Many Manufactures will let you test their fixtures for free for 90 days • Make sure to order mounting brackets if needed and correct voltage

29. Step 10 – Measure Results • Lumens can be measured before and after • LEDs will have different characteristics • Pupil Lumens, (S/P)0.78, Photopic • Evaluate glare to see if adversely impacting area

30. Options to Consider • Leasing vs Buying • Many utilities such as Xcel energy offer an option to lease the fixture, energy only, or lease pole/fixture. • Advantages are that you don’t have to take care of the fixture • Disadvantages are that it will cost you more and you will continue to pay • Need to work with utilities on costs if using LED since energy costs will be less

31. For Utility CIP Managers • Street Lights are many times the highest cost a city has to pay for energy. • One city spent $300,000 in street lighting and only $50,000 for all other energy used. • Cutting street lighting costs by 50% can reduce energy budget by 43%. • Maintenance costs by 80%

32. For Utility CIP Managers • Consistent lighting can provide bring positive attitude to city • Less outages means less calls, less headaches and more safety for the city • Can save 50% of the energy without controls and 75% with controls • New controls can be added later

33. For Utility CIP Managers • Select criteria for qualifying products under customer-owned rate codes • Can be used to help meet CIP goals

34. Any Questions Presented by: Gary A. Swanson, PE Email Address: gswanson@EMSenergy.com Phone Number: (612) 819-7975