On average lighting accounts for 30% of Commercial energy consumption , 37% of Retail properties and Hospitals using up to 50%. So for every $100K spent on electricity , that translates to between $22K and $50K spent on lighting. LED lighting saves 30% of the lighting portion of monthly electricity bills. Since LED bulbs can reduce the cost so significantly, the payback typically comes between just 2 – 4yrs. For properties that operate 24/7, the payback is often inside a year and a half !
LED bulbs last up to 50 000 hours with consistent output of light. This means that you will get better light quality for much less wattage consumption due to the number of Lumens to Watts ratio. For example a conventional 40W bulb can easily and efficiently be replaced by a 7Watt LED bulb equivalent.
Since LED bulbs do not produce anywhere close to the level of heat that conventional bulbs emit it means that air-conditioning compressors are not taxed with cooling the space more often due to the heat generated from regular light bulbs. This is a good example of the exponential savings that are gained from using LED lighting.
LED lighting qualifies for Federal Tax deductions under EPACT179 of 2005 in most cases, increasing tax Benefits, Occupant productivity and the advantage of control and dimmability.
Incandescent and fluorescent light bulbs not only produce most of their energy as heat, but they scatter light in all directions, unlike LEDs. This uni-directionality provides additional energy savings, because a conventional bulb in a recessed socket wastes as much as half of the light it produces by scattering it back into the recess, where it does not provide any illumination to the room. Designing LEDs with brightness controls allows dimming when users need less light. According to the U.S. Department of Energy, rapid adoption of LED lighting could reduce lighting electricity demand by as much as 33 percent by 2027. Good design is important for longevity.
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