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LED conversion - how much will I save?

Author: Jon Sharman
Published: April 14, 2014

Lighting accounts for an incredible 20 per cent of the world's energy consumption, so it’s fair to assume that lighting is also going to count for a significant amount of your businesses’ electricity costs. Investing in an LED conversion (converting from your existing light bulbs to LED bulbs) may involve spending a bit of money upfront, but ultimately you'll end up making huge savings in the long run, and enjoy all kinds of benefits into the bargain.

LED conversion advantages

LED lighting products have been around for a while and are consistently coming down in price. Whilst the initial cost of converting has previously been a sticking point for businesses and electricians, the benefits of LED for any business are well established:

  • Lifespan - LED light bulbs can last up to 50 times longer than the equivalent traditional light bulb, so you spend far less time and cost changing them, and can reduce your stock of spare light bulbs too.
  • Energy-efficiency - LED technology is dramatically more efficient, using up to 90 per cent less energy than your current lighting setup. Traditional lighting sees a massive amount of energy lost to heat, rather than being used to produce light.
  • Temperature - Given the lower overall light temperature of LED, converting to LED reduces the risk of fire and can also lead to a reduction in air conditioning costs and easier handling of bulbs

How much can I save by converting to LED?

Great question – And the answer is one you’ll like! The combination of longer life and lower energy consumption means LED conversion will lead to a guaranteed reduction in energy costs, whether you're talking one bulb or a thousand.

The Telegraph recently agreed that switching to LED bulbs will save you money in the home but in the grand scheme of things when you're running a business those savings can pale into insignificance...

Useful example

To give you a real idea of how much you can save, we have put together an example scenario, where the premises is looking to benefit from an LED conversion. Each of the bulbs featured is 'on' permanently - 24 hours a day.

Current Running costs

Area Bulbs used # of Bulbs Elec. cost per unit Total Kwh Annual cost
Women’s WC Bar Area

50W Halogen MR16

29

£0.100

35

£1,270.20

Men’s WC Bar Area

50W Halogen GU10

14

£0.100

17

£613.20

Conference Café

60W Incandescent Bayonet

15

£0.100

22

£788.40

Main Bar

28W Fluorescent 2D

53

£0.100

36

£1,299.40

Total

109

£3,971.20

Post conversion running costs

Area Bulbs used # of Bulbs Elec. cost per unit Total Kwh Annual cost
Women’s WC Bar Area

6W LED MR16

29

£0.100

4

£153.30

Men’s WC Bar Area

6W LED GU10

14

£0.100

2

£73.00

Conference Café

6W LED Bayonet

15

£0.100

2

£80.30

Main Bar

6W LED 2D

53

£0.100

8

£277.40

Total

16

£584.00

As you can see the total running costs are reduced by 85% offering an annual saving of £3387.20!

Having made a convincing case for conversion on the basis of running costs the only objection left is that of outlay, as the cost of LED bulbs is higher than that of traditional ones. With that in mind let’s take a look at the cost comparison over a four year period (which is the average lifespan of an LED bulb, if left on permanently)…

Current on-going replacement costs

Area

Bulbs used

# of Bulbs

Cost per bulb

Times replaced in 4yrs

Total bulb cost

Women’s WC Bar Area

50W Halogen MR16

29

£0.89

16

£412.96

Men’s WC Bar Area

50W Halogen GU10

14

£2.19

4.36

£133.79

Conference Café

60W Incandescent Bayonet

15

£1.19

16

£285.60

Main Bar

28W Fluorescent 2D

53

£4.79

16

£4,061.92

Total Bulb Cost

£4,894.27

LED replacement costs

Area Bulbs used # of Bulbs Cost per bulb Times replaced in 4yrs Total bulb cost
Women’s WC Bar Area

6W LED MR16

29

£17.99

1

£521.71

Men’s WC Bar Area

6W LED GU10

14

£15.99

1

£223.86

Conference Café

6W LED Bayonet

15

£16.99

1

£254.85

Main Bar

6W LED 2D

53

£38.99

1

£2,066.47

Total Bulb Cost

£3,066.89

Over the four year period a further saving of £1827.38, on top of the initial electricity saving, is evident!

The figures are compelling with the only perceived negative being a defined upfront cost required, but such projects are generally done on an ‘area by area basis’, which does allow for a more gradual outlay.

LED conversion conclusion

It’s fair to say that the up-front cost of an LED conversion remains the biggest reason why most businesses are reluctant to consider making the switch. Having said that, with dramatic improvements in energy efficiency, running costs, maintenance requirements and safety, the benefits to your business if you do are blatantly obvious. Throw in the government initiatives that will increasingly penalize ‘high energy consumers’ in the future, and the decision is practically a 'no-brainer'.

Converting your lighting to LED can be done with very little disruption to your business. Lyco Direct have helped some of the UK’s biggest companies convert to LED, so if you want free expert advice on converting your businesses’ lighting to LED feel free to give us a call on 0843 3177820 and we’ll be happy to help.

Why not take a look at our full range of LED bulbs and LED fittings.

Looking for more information on Lighting? Try Lighting Advice.


This article was tagged with Conversion, LED, Light bulbs