this document will allow the reader to understand t8led limited’s value€¦ · this document...

11

Example Assessment Report

This document will allow the reader to understand T8LED Limited’s value proposition for retrofitting old fluorescent-lights with LED-tubes and providing

transparent cost-savings.

Jin Ha [email protected] | 021 162 4055 | WWW.T8LED.CO.NZ

Business Proposal 18th August 2017

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Executive Summary

T8LED Limited is a lighting supplier and installation company that offers unique lighting as a service-offer, that sees the retrofitting of old fluorescent-lights with LED-tubes providing immediate cost savings and environmental benefits. Our lighting service offering requires you to make no upfront payments or take any financial risk in the replacement of your lights for LED technology. We will replace all your fluorescent lights, allowing you to make immediate savings on your power bill and you just pay us a monthly amount which is substantially less than the savings you make. We promote a journey with our clients where we assure the delivery and quality of the lighting over a fixed contract-period, typically three years at which you keep the LED tubes at the end. In addition to power bill savings our service improves the health of your operating environment by improving the quality of light and removing hazardous substances as studies have shown that fluorescent tubes contain elevated levels of Mercury. In New Zealand, the commercial sector accounts for 23% of the total estimated energy consumption. Indoor lighting accounts for the largest portion of commercial electricity consumption at a 33% share. There is also indirect energy use associated with the removal of heat generated by energy inefficient lighting, through increased demand on air-conditioning. About 90% of lamp heat in the commercial sector is released into air-conditioned spaces. The following content within this document displays the analysis and assessment undertaken by T8LED. Through this, the cost-savings involved will be transparent. Although T8LED is a business which seeks profit, the unique business model allows you to stay within your budget; as we request payment out of the calculated savings.


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Table of Contents 1. Introduction ................................................................................................................................... 3

1.1 Profile ...................................................................................................................................... 3

1.2 Company Description .............................................................................................................. 3

1.3 The Assessment ..................................................................................................................... 3

2. Potential Costs & Savings ............................................................................................................ 4

2.1 Current Consumption Projection ............................................................................................. 4

2.2 After Direct Tube-Replacements ............................................................................................. 4

2.3 After Full T8LED Retrofit via Bypass of Ballasts ..................................................................... 4

2.4 Longer Product Lifespan ......................................................................................................... 5

2.5 Electrician’s work for Bypassing Ballasts ................................................................................ 5

2.6 Recycling the Old Fluorescents .............................................................................................. 5

3. Why LED Lighting? ....................................................................................................................... 6

3.1 First: Frequent Switching ........................................................................................................ 6

3.2 Second: Fluorescent Tubes Contain Mercury ......................................................................... 6

3.3 Third: Fluorescent Tubes Radiate Ultraviolet Rays ................................................................ 7

3.4 Fourth: The “Buzzing” on Fluorescent Ballasts ....................................................................... 7

3.5 Fifth: Power Quality and Radio Interference ........................................................................... 7

3.6 Sixth: Inefficiency at High and Low Temperatures.................................................................. 7

3.7 Seventh: Retrofit Issues due to Lamp-Shade ......................................................................... 8

3.8 Eighth: Most Fluorescent Tubes Cannot be Dimmed ............................................................. 8

3.9 Ninth: Contaminants cause Disposal and Recycling Issues ................................................... 8

3.10 Tenth: Light-Rays from Fluorescent Tubes are Non-Directional ............................................ 8

4. Conclusion ..................................................................................................................................... 9


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1. Introduction 1.1 Profile

Screenshot sourced from Google Maps for 53 Hereford Street, Christchurch, 20th June 2017

Address 53 Hereford Street, Christchurch Central, Christchurch 8013 (Example)

Company Name Christchurch City Council (Example)

Date(s) N/A

Attendees Hamish Coney (Managing Director) & Jin Ha (Senior Project Manager)

1.2 Company Description The company delivers…..1

1.3 The Assessment At (time) am/pm, (date/month/year), H Coney and J Ha assessed the …… as per ‘Profile’ above. Lighting ballasts, tubes/bulbs, layout and height were identified/assessed. To compliment this, photos were taken, example LED tubes were installed (Frosted, 1200mm) and lumen-readings were recorded. The floor consists of …….

Due to the nature of Fluorescent Tube-Ballasts, the system requires an extra 10 Watts to keep the

tubes alight. The layout consists …….

Note: If the ballasts are to be bypassed, more significant cost-savings will be seen; however, only a

registered Electrician has the qualification/training to action this process. Therefore, installation costs

may apply via Electrician and Labour.

1 COMPANY WEBSITE


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2. Potential Costs & Savings 2.1 Current Consumption Projection

2.2 After Direct Tube-Replacements

Costs

T8LED Tube (mm)

Time per Week

(hours)

Weeks per

Year

Amount of Tubes (Units)

Power Consumption + Ballasts’ Power

Consumption (W)

Average Cost per Unit

($/kW)

Total Costs per Year ($)

1200mm (4 ft.)

70

52 500 18W + 10W $0.20

(Assumption) $10,192.00

1500mm (5 ft.) 500 25W + 10W $12,740.00 Savings

Tube (mm)

Fluorescent Tube Cost per

Year ($)

LED Tube Cost per Year ($)

Savings per Year after Retrofit ($)

TOTAL SAVINGS PER

YEAR ($)

1200mm (4 ft.) $16,744.00 $10,192.00 $6,552.00

$18,564.00 1500mm (5 ft.) $24,752.00 $12,740.00 $12,012.00

2.3 After Full T8LED Retrofit via Bypass of Ballasts

Costs

T8LED Tube (mm)

Time per Week

(hours)

Weeks per

Year


Power Consumption

(W)

Average Cost per

Unit ($/kW)


1200mm (4 ft.) 70

52

500 18W $0.20 (Assumption)

$6,552.00 1500mm (5 ft.) 500 25W $9,100.00

Savings

Tube (mm)

Fluorescent Tube Cost per

Year ($)

LED Tube Cost per Year ($)

Savings per Year after Retrofit ($)

TOTAL SAVINGS PER YEAR ($)

1200mm (4 ft.) $16,744.00 $6,552.00 $10,192.00

$25,844.00 1500mm (5 ft.) $24,752.00 $9,100.00 $15,652.00

Fluorescent Tube (mm)

Time per

Week (hours)

Weeks per

Year


Power Consumption + Ballasts’ Power

Consumption (W)

Average Cost per Unit

($/kW)


1200mm (4 ft.)

70

52 500 36W + 10W $0.20

(Assumption) $16,744.00

1500mm (5 ft.) 500 58W + 10W $24,752.00

RE

CO

MM

EN

DE

D


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2.4 Longer Product Lifespan The currently installed Fluorescent Tubes may have a maximum lifespan of 8,000 hours (highest

quality). This further causes costs to replace the fluorescent tubes constantly. LED tubes/bulbs in

general have a 50,000-hour lifespan.

T8LED will guarantee the quality and lifespan of its products, for the whole three-year period; this is to

show confidence in our quality assurance (If you would like to view Jin’s Project Management

Plan/Methodology, please request it through him). Our factory runs extensive tests to assure the product

meets requirements in New Zealand (reports can be provided at request).

REPLACEMENTS REQUIRED OVER 10 YEARS Presuming lights on for 3000 hours per year

Tube/Bulb Type

1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th TOTAL (Unit & Price)

Fluorescent (@$4.00 per unit)

0 0 1000 0 0 1000 0 0 1000 0 3000 Units = $12,000.00

LED

0 0 0 0 0 0 0 0 0 0 0 Units = $0.00

This graph displays the lifespan of each product and the costs that follow with replacements. A standard

fluorescent tube would last 8000 hours on average; therefore, fluorescent tubes would have to be

replaced every three years to achieve quality-lighting (as fluorescents’ light-effect deteriorates

overtime). The costs behind replacements can be up to $24,000.00 if we consider a 20-year timeframe.

During this 20-year timeframe, only ONE replacement-process is required for LED tubes, as

opposed to EIGHT replacements for fluorescents. This not only shows savings achieved in terms of

tube-value, but it saves extensional costs in terms of labour, installation and maintenance.

Not only do fluorescents have a shorter lifespan, but the nature of this product causes damage to the

surrounding ballast and connectors. LEDs do not emit severe thermal-radiation, so these will have a

longer lifespan.

2.5 Electrician’s work for Bypassing Ballasts As per 3.2 Full T8LED Retrofit via Bypass of Ballasts, a registered Electrician will be required to do the

Bypassing of the existing Ballasts. Per tube, the ballasts cause an extra 10 Watts per Hour to be drained

due to the nature of fluorescent ballasts, therefore further costs are incurred. T8LED highly recommends

this bypass-procedure as it allows further cost-savings.

If your company has a preferred and/or contracted Electrician, do let us know as we can arrange

guidance in the bypass-procedure for him/her.

2.6 Recycling the Old Fluorescents T8LED has arranged business relationships with Environmental Recycling Companies to ethically

better New Zealand’s environment. (Please view 4.2 Second: Fluorescent Tubes Contain Mercury

below for more information regarding pollution.)

Your old fluorescent tubes can be arranged for pick up at $1.00 per tube; to which we will recycle

through our partnering Recycle-Centre.

The payment for this will be required within the first month, following the initial invoice. Once this

payment has been made, we will arrange to pick up the tubes from the front entrance or loading zone

of your building within 10 business working days.


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3. Why LED Lighting? 3.1 First: Frequent Switching

It is a well-known fact that if a lamp is installed where it is frequently switched on and off, it will age

rapidly. Under extreme conditions, its lifespan may be severely shorter than a cheap incandescent lamp.

Each start cycle slightly erodes the electron-emitting surface of the cathodes; when all the emission

material is gone, the lamp cannot start with the available ballast voltage.

3.2 Second: Fluorescent Tubes Contain Mercury When a fluorescent tube is broken, an averaged amount of 5.3mg of mercury is released (1200mm

fluorescent tubes). To dampen this effect, compact fluorescent tubes have been designed to contain

the least amount of mercury, although it still contains the chemical. 2 A very small amount of this can

contaminate the surrounding environment. Approximately 99% of the mercury is typically contained in

the phosphor, especially tubes at the end of their lifespan.

The broken glass is considered a greater hazard than the small amount of spilled mercury, as the build-

up of this can pollute the environment. New Zealand’s Ministry for the Environment assesses the

relative environmental impact of mercury-containing products and states that it is a potential source of

emission in New Zealand; contributing approximately 50 kg/year which is 3% of total anthropogenic

emissions and less than 2% of overall mercury emission from New Zealand.3

2 New Moa. (2010, 06 15). NEW MOA: Mercury Use in Lighting. Retrieved from IMERC Fact Sheet: Mercury Use in Lighting: http://www.newmoa.org/prevention/mercury/imerc/factsheets/lighting.cfm 3 Pattle Delamore Partners Ltd: Leila Chrystall & Andrew Rumsby. (2009, August 1). Mercury Inventory for New Zealand 2008. Retrieved from The Ministry for the Environment: Manatu Mo Te Taiao: http://www.mfe.govt.nz/sites/default/files/mercury-inventory-new-zealand-2008.pdf


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3.3 Third: Fluorescent Tubes Radiate Ultraviolet Rays Fluorescent lights emit a small amount of ultraviolet (UV) light. Sensitive individuals may experience a

variety of health problems relating to light sensitivity that is aggravated by artificial lighting. Ultraviolet

light can cause damage to paintings, especially watercolours and textiles.

As evolution proves, light-emitting products have been only a recent discovery compared to the lifetime

of humans. The light bulb gave humans the ability to do more at night and work in enclosed rooms

without the requirement of windows. However, light produced by this human-creation is nothing

compared to natural-sunlight.

The sun gives us a full spectrum of light which means the light spans the entirety of the visual spectrum.

Fluorescent lights give off a limited spectrum. Most the human-body’s chemistry is based on the day-

night cycle and it is referred to as the “Circadian Rhythm”. The theory is that if an individual does not

get sufficient exposure to natural sunlight, his/her Circadian Rhythm can potentially be thrown out of

sync; thus, causing effects such as:

• Eye Strain

• Seasonal Affective Disorder

• Depression

• Stress/Anxiety due to cortisol suppression

• Obesity

• Agoraphobia (Anxiety Disorder)

The flickering effects of fluorescent tubes can be a potential cause of the stated symptoms also.4 5

3.4 Fourth: The “Buzzing” on Fluorescent Ballasts Magnetic ballasts have a low power factor. Fluorescent tubes require a ballast to stabilize the current

through the lamp, and to provide the initial striking voltage required to start the arc discharge. This

increases the cost of fluorescent light fixtures, though often one ballast is shared between two or in

some cases more tubes.

Electromagnetic ballasts even with a minor fault can produce an audible humming or buzzing noise.

These ballasts are usually filled with tar-like potting compound to reduce emitted noise. Noise-pollution

is eliminated in lamps with a high-frequency electronic ballast. Energy lost in magnetic ballasts can be

significantly high, on the order of 10% of lamp input power – electronic ballasts reduces this loss. Small

lamps may use an incandescent lamp as a ballast if the supply voltage is high enough to allow the lamp

to start. 6

3.5 Fifth: Power Quality and Radio Interference Inductive ballasts include power factor correction capacitors. Simple electronic ballasts may also have

a lower power factor due to their rectifier input stage.

Fluorescent tubes are a non-linear load and generate harmonic currents in the electrical power supply.

The arc within the lamp may generate radio frequency noise, which can be conducted through power-

wiring. Slight suppression of radio interference is possible. Satisfactory suppression is also possible,

but adds to the costs of fixtures and appliances.7

3.6 Sixth: Inefficiency at High and Low Temperatures Fluorescent lamps operate best around room temperature. At much lower or higher temperatures,

efficiency decreases. At below-freezing temperatures standard lamps may not start. Special lamps

4 Adams, C. (2017, March 14). How Fluorescent Lights Affect You and Your Health: The Effect Fluorescent Lights can have on Your Productivity and Welfare. Retrieved from Thought Co.: https://www.thoughtco.com/how-fluorescent-lights-affect-you-1206641 5 D. S. Minors & J. M. Waterhouse. (1981). Circadian Rhythms and the Human. Bristol: John Wright & Sons Ltd. 6 Walter T. Grondzik & Alison G. Kwok. (2015). Mechanical and Electrical Equipment for Buildings. New Jersey: John Wiley & Sons, Inc. 7 Y P Abbi & Shashank Jain. (2006). Handbook on energy audit and environment management. The Energy and Resources Institute (TERI) Press: New Delhi.


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may be required for reliable service to various outdoor temperatures – which may cause further

costs.

3.7 Seventh: Retrofit Issues due to Lamp-Shade Fluorescent tubes are long, low-luminance sources compared with high pressure arc lamps and

incandescent lamps. However, low luminous intensity of the emitting surface is useful due to reduced

glare.

Lamp fixture design must control light from a long tube instead of a compact globe. The compact

fluorescent lamp (CFL) replaces regular incandescent bulbs. However, some CFLs do not fit some

lamps, because the harp (heavy wire shade support bracket) is shaped for the narrow neck of an

incandescent lamp, while CFLs contrast to this as they tend to have wide housing for the electronic

ballast close to the lamp’s base; thus, causing extra costs.8

3.8 Eighth: Most Fluorescent Tubes Cannot be Dimmed Fluorescent light fixtures cannot be connected to dimmer switches intended for incandescent lamps.

1. The waveform of the voltage emitted by a standard phase-control dimmer interacts badly with

many ballasts.

2. It becomes difficult to sustain an arc in the fluorescent tube at low power levels.

Dimming installations require a compatible dimming ballast. These systems keep the cathodes of the

fluorescent tube fully heated even as the arc current is reduced, promoting easy thermionic emission

of electrons into the arc stream.9

3.9 Ninth: Contaminants cause Disposal and Recycling Issues The disposal of phosphor and particularly the toxic mercury in the tubes is an environmental issue, as

stated above.

Governmental regulations in many areas require special disposal of fluorescent lamps separate from

general and household wastes.

For large commercial or industrial users of fluorescent lights, recycling services are available in many

nations, and may be required by regulation. In some areas, recycling is also available to consumers.

However, even though recycling is available, it can be expensive and time-consuming. As people

experience costly/timely procedures to dispose of the lamps, people are not motivated to recycle; which

causes disposal of lamps in ways that are harmful to New Zealand’s environment.

3.10 Tenth: Light-Rays from Fluorescent Tubes are Non-Directional The light from fluorescent bulbs are a non-directional light source. When this bulb is lit, it gives off

lighting all the way around the bulb or otherwise, 360 degrees. This proves that 60-70% of the actual

light emitted by the lamp is being used with the remaining rays going to waste. This wasted light tends

to lead to light-pollution.10

8 Matthews, J. H. (1993). Introduction to the Design and Analysis of Building Electrical Systems. New York: Chapman & Hall: International Thompson Publishing (ITP). 9 Marian Keeler & Bill Burke. (2009). Fundamentals of Integrated Design for Sustainable Building. New Jersey: John Wiley & Sons, Inc. 10 McMullan, R. (2012). Environmental Science in Building - 7th Edition. New York: Palgrave Macmillan


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4. Conclusion Overall, it is a pleasure that COMPANY is looking to retrofit their lighting system to a more efficient LED

set-up.

Please view the quote attached separately which will consider the power-savings, installation-costs and

maintenance costs. The Client will be allowed to keep the LED tubes at the end of the contract, as the

monthly payments would have accumulated over the 3-year contract.

Contact our Project Manager on 021 162 4055 or email him via [email protected].

For further information regarding our services, please visit www.t8led.co.nz.

T8LED Limited is looking forward to doing business with you.

mailto:[email protected]

http://www.t8led.co.nz/

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