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ROI Calculator
This calculator will determine the annual energy cost savings and life-time energy cost savings when you upgrade bulbs to a newer LED type bulb. You can also calculate the savings in the reduction in bulb changes due to the longer bulb life. You can use this sheet for each bulb type upgraded. It requires the wattage and bulb life for both the old and new bulb and the local cost per kilowatt-hour. This averages $.10 though can be as low as $.04 or up to $0.14 in California. Additionally the cost to change a single light bulb and the cost of the initial install of the LED light bulb. You may want to include all of the costs of changing bulbs such as labor, inventory, warehousing and purchasing/accounting.
Simply fill in the shaded cells.
1. Compute the total power (kilowatts, kW) saved by upgrading older Bulbs to energy saving LED replacements
Original
Bulb Wattage
Replacement
Bulb Wattage
Watts Saved
per Bulb
# of Bulbs
to Replace
Total Watts
Saved
Total Kilowatts
Saved
W
-
W
=
W
X
Bulbs
Label
W / 1000
Label
kW
2. Compute the total energy (kilowatt hours, kWh) saved annually by performing this upgrade
Total Kilowatts
Saved
Hours of Use
per Day
Days of Use
per Week
Week of Use
per Year
Total kWh
Saved per Year
Label
kW
X
hrs/day
X
day/week
X
wks/yr
=
Label
kWh/yr
3. Compute the total energy cost savings per year
Total kWh
Saved per Year
Your Energy Cost
per kWh (typically $0.10)
Total Energy Cost
Savings per Year
Label
kWh/yr
X
$
=
$
Label
4. Compute the lifetime energy cost savings
Replacement
Bulb Life (hours)
Hours per Year
Usage
Your Energy Cost
per kWh (typically $0.10)
Lifetime Energy
Cost Savings
Hr
/
Label
hr/yr
X
$
Label
=
$
Label
Simple Payback on
=
Initial Cost of LED Light Bulb
=
$
X
Label
Bulbs
=
Label
years
Energy Consumption
Total Energy Cost Savings per Year
$
Label
Return on Investment
=
100
=
100
=
Label
%
(ROI)
Simple Payback
Label
5. Compute the lifetime labor/inventory/acquisition costs savings from upgrading to longer life LED replacements
Replacement
Bulb Life (hours)
Original
Bulb Life (hours)
Labor Cost to
Change Original Bulb
Cost of
Original Bulb
# of Bulbs
to Replace
Cost to Install
Replacement LED Bulb
Total Lifetime Bulb
Changing Cost Savings
Label
Hr
/
Hr
X
($
+
$
)
X
Label
Bulbs
-
$
=
$
Label
6. Compute the amortized bulb changing cost savings per year
Total Lifetime Replacement Cost Savings
Total Lifetime of Replacement Bulb
Total Amortized Replacement
Cost Savings per Year
$
Label
/
Label
years
=
$
Label
Simple Payback on
=
Initial Cost of Lighting Upgrade
=
Label
=
Label
Years
Energy Consumption
Plus Replacement Costs
Total Energy + Replacement Cost
Savings per year
Label
Return on Investment
=
100
=
100
=
Label
%
(ROI)
Simple Payback
Label
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Application:
Architectural Lighting
|
Commercial Lighting
|
Contractor Lighting
|
Fine Art Lighting
|
Flash Lights and Torches
|
Flood Lights
|
Indoor Lighting
|
Kitchen Lighting
|
Living Area Lighting
|
Merchandise and Display Lights
|
Outside and Waterproof Lights
|
Recessed Light Fixtures
|
Specialty Lights
|
Spot Lights
|
Table, Desk, Floor & Other Lamps
|
110 Volt Lights
|
12 Volt Lights
Shape and Sockets:
E26 & E27 Screw-in Sockets
|
Globe and Bulb
|
GU10 Bi-pin
|
GU5.3 Bi-pin
|
MR16
|
PAR20 and R20
|
PAR30
|
PAR38