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Achieve savings without up-front spend with Lighting-as-a-Service

Reduce ongoing energy costs with no up-front capital with Lighting as a service.

Any business can benefit form a reduction in energy use and the costs associated. Both public and private sector organizations are realizing these benefits through LED lighting, among other benefits. 

  1. Increased energy efficiency/reduced energy costs: With 80% - 90% energy efficiency, LEDs use significantly less power than traditional fixtures. (Fluorescent bulbs are at approximately 40% efficiency, and incandescent bulbs only 10%)
  2. Longer life/reduced maintenance: LEDs last approximately 11 years of continuous operation, or 22 years at 50% operation.
  3. Improved sustainability: LED lights contain no toxic materials and are 100% recyclable.

When paired with sensors and software, LEDs become part of the industrial internet of things (IoT), opening up more opportunities to collect, analyze and take action on data-driven insights.

So, why hasn't everyone made the transition?

LED lighting offers proven results, but the initial costs and complexities associated with implementing new lighting systems can be a tough sell internally. A substantial capital investment may be required to cover product and installation costs. Adding large capital expenditures to the balance sheet is rarely popular – especially when competing with other, revenue-generating business priorities. Managing the installation and maintenance of the LEDs and their controls presents additional obstacles for many organizations.

One solution to this is to simply do nothing, but this will ensure no savings are realized. Alternatively, a more creative solution allows you to take advantage of the savings of LEDs without the up-front costs – Lighting as a Service.  

Lighting-as-a-Service (LaaS) presents an attractive alternative to the traditional approach for upgrading lighting systems.  Rather than dealing with the costs, challenges, and risks themselves, organizations are looking to third-party partners to assume the financial, technical, design, installation and management responsibilities associated with upgrading their lighting systems.

When done right – working with program providers with the necessary experience and capabilities (financial, technological, construction, measurement, reporting, and monitoring) LaaS provides a stress- and risk-free solution for upgrading lighting. 

Benefits of this approach include:

  • No capital investment required
  • Reduced operating costs
  • Reduced maintenance costs
  • Improved employee morale and productivity
  • Reduced carbon emissions

The lighting program provider assumes all capital costs, implements the lighting, controls and retrofitting and then shares the energy savings with the customer. Concerns regarding fluctuating energy pricing and actual energy savings – as well as the risks associated with technology selection and performance – are erased, so customers can focus on what they do best. 

Learn more about Lighting Solutions and our full suite of Energy Efficiency Solutions.