Military Government Agencies Municipalities Energy … LED - Public... · Military Government Agencies Municipalities . ... From the U.S. NAVY’s Military Sealift Command (MSC)

www.IndependenceLED.com

MADE in USA

Military Government Agencies Municipalities

U.S. Public Sector Solutions

Energy Smart Lighting

www.IndependenceLED.com 2

Commitment

IMPACT: Our energy saving initiatives now include a diverse range of installations: U.S. NAVY - Over 25 Ships for Military Sealift Command

U.S. Department of Veterans Affairs - The first VA Hospital with LEDs

U.S. Department of Interior - National Park Service and the

U.S. Department of Agriculture - Forest Service Administrative buildings

U.S. Postal Service - Took an early interest in LED technology

U.S. Marine Corps - Recently embraced the efficiency and strength of Independence LED’s products for the world famous Quantico Marine Corps Base and Officer Candidates School in Northern Virginia. We also have installations that we are not at the liberty to disclose within other Federal Agencies.

OUR COMMITMENT: We are committed to US manufacturing and energy intelligence that saves tax payer dollars, reduces CO2 emissions, and fosters American Energy Independence and Energy Security. After moving our manufacturing from China to Southeastern Pennsylvania in 2010, we started working with U.S. Government Civilian and Military Agencies to educate facility managers and demonstrate the energy saving advantages of US Made Light Emitting Diode (LED) Technology. Since then we have provided cost-effective solutions that reduce lighting costs by 50% or more for a diverse range of facilities from the east to the west coast of and on ships that navigate the oceans of the world.


ABOUT US: • Sample Accounts • Company Overview • Industry Leadership • Efficiency Testing • SDVOSB and GSA • The Ripple Effect

MARKET TRACTION: • Proven Results: Public and Private Sectors • Sample Public Sector Case Studies

TECHNOLOGY: • Top Warranty and Efficacy • Top Standards • Top Components • US Factory: Pennsylvania • External vs. Internal Driver • Top Products

SAVINGS: • Sample Savings Report • Lighting Service Contract - $0 Upfront Cost Solution • Total Cost of Ownership (All four fixture categories) • Tips on Bid Solicitations

Table of Contents


MADE in USA

ABOUT US


U.S. Department of Defense U.S. NAVY U.S. Marine Corps U.S. Department of Veterans Affairs U.S. Department of the Interior U.S. National Park Service U.S. Department of Agriculture U.S. Forest Service U.S. Postal Service

Sample Accounts


#1: Proven Track Record #2: Multiple Industry FIRSTS #3: The Made in America Advantage #4: The Right Technology for Longevity #5: The Right Quality Assurance & Warranty #6: The Right Management & Support Team #7: The Right Auditing & ROI Software #8: Rebate Ready Products #9: Industry Leadership #10: $0 Down Financing

10 Reasons why Independence LED is the preferred choice in the LED Tube and Fixture marketplace.

Independence LED is a leading U.S. Manufacturer of award winning high-efficiency LED tube retrofit kits and fixtures that replace the less efficient fluorescent tubes, troffers, parking garage fixtures and industrial high bays that dominate commercial lighting. The Company is committed to building the highest quality and most reliable “Mission Critical” commercial and industrial LED lighting products on the market. In 2010, Independence LED moved its manufacturing from China to southeastern Pennsylvania. The Company has installations across the Fortune 100 from Morgan Stanley to MetLife and in the public sector from multiple NAVY ships to the first Veterans Affairs Hospital. Independence LED has patent filings in over 40 countries and provides a 10 Year Warranty that is the strongest coverage on the market. In addition to winning the Green Business of the Year in 2011, the Company’s LED tubes won the 2013 Best Lighting Retrofit by the US Green Building Council’s Urban Green Award. Independence LED plays an increasing role in the Global Energy Revolution.

Company Overview


Old Tubes: Fluorescent New Tubes: LED

32 Watts 20,000 Hour Life

(7 years)

12 Watts 60,000 Hour Life

(20 + years)

LED PERFORMANCE: 50% to 65% Savings

2013 Winner Best Lighting Retrofit

Industry Leadership

R2-42240K-85- CB2-V2 + MORE


Efficiency Testing

Independence LED works with multiple independent testing laboratories to assess a diverse range of product attributes and efficacy. The U.S. DEPARTMENT OF ENERGY included Independence LED among 31 global products tested in its 2014 Report. The lamps were tested according to IES LM-79-08, using both an integrating sphere and a goniophotometer. See Report: http://apps1.eere.energy.gov/buildings/publications/pdfs/ssl/caliper_21_t8.pdf

Highlights: Page #7 & #8: CALiPER Linear LED Test Data DOE CALiPER Test ID The Independence LED Lighting ID is 13-31 Page #22: Appendix B: Product Identification Independence LED Lighting

Prepared for: Solid –State Lighting Program Building Technologies Office Office of Energy Efficiency and Renewable Energy U.S. Department of Energy Prepared by: The Pacific Northwest National Laboratory


Independence LED’s products are listed on the GSA Schedule. This provides a fast and easy way for facility managers and procurement officers to purchase the LED lights. As the demand increases, Independence LED is increasing the number of product types listed on the GSA Schedule. With over 1,000 different fixture and linear “tube” types with variable output, length, color, wattage, lens, end caps, and other factors, we are pleased to work with buyers to provide options beyond the GSA Schedule offerings.

SDVOSB and GSA

Independence LED has a network of over 100 Authorized Resellers across the U.S. and overseas. Several of the network members are SDVOSB and well equipped to provide energy auditing, distribution, and installation services. Plus, Independence LED is actively expanding its outreach to Veterans (most recently from the wars in Iraq and Afghanistan) as demand increases for the Made in America LED technology across the public sector.


LOCAL SUPPORT: Beyond the U.S. Federal Government, we have also worked across the public sector to develop savings programs at the local level. From Fire Stations to Emergency Rescue Centers, we have installations that help communities reduce their operating costs. Local public safety facilities often operate 24/7, so the Return on Investment (ROI) on energy-efficient lighting is excellent. LOCAL FLEX-FINANCING: Independence LED understands that Fire and Police Chiefs as well as other public facility managers face similar budgetary challenges as those in the private sector. So, Independence LED offers flex-financing and $0 upfront cost programs for local, state, and federal agencies. The programs are designed so that the monthly financing cost is less than the monthly savings. LOCAL JOB CREATION: We work with Veterans and Service Disabled Veteran Owned Small Businesses (SDVOSB) as well as Minority Business Enterprises (MBE) and Women Business Enterprises (WBE) for energy auditing, installations, and product distribution. We have seen a ripple effect of new job creation that ranges from package production to transportation and from marketing to other professional services. Independence LED also provides job training through its “LED BOOT CAMP” programs. Energy smart domestic manufacturing is good for the government, good for tax payers, good for the environment ,and good for domestic job creation in the new global energy economy.

The Ripple Effect

$0 Upfront Cost

24/7 Facilities

GOOD WORK


MADE in USA

MARKET TRACTION


PRIVATE SECTOR Energy Savings

Sample Market Traction

New

LED

vs.

Exi

stin

g

Proven Results: Corporate


PUBLIC SECTOR Energy Savings

Sample Market Traction

From the U.S. NAVY’s Military Sealift Command (MSC)

to the first Veterans Affairs (VA) Hospital + GSA Schedule

Proven Results: Government


MSC Ships: (Independence LED product from 2011 through 2013)

USNS Kaiser T-AO 187 USNS John Lenthall T-AO 189 USNS Walter S. Diehl T-AO 193 USNS Big Horn T-AO 198 USNS Guadalupe T-AO 200 USNS Patuxent T-AO 201 USNS Rappahannock T-AO 204 USNS Ericsson T-AO 193 USNS Pecos T-A0 197 USNS Yukon T-A0 202 USNS Laramie T-AO 203 USNS Comfort T-AH 20 USNS Waters T-AGS 45 USNS Henson T-AGS 63 USNS Supply T-AOE 6 USNS Arctic T-AOE 8 USNS Bridge T-AOE 10 USNS Navajo T-ATF 169 USNS Grasp T-ARS 51 USNS Salvor T-ARS 52 USNS Grapple T-ARS 53 USS Ponce AFSB(I) 15 USS Mount Whitney USNS Zeus T-ARC 7 USNS Benavidez USNS Dahl

MSC: Military Sealift Command Over 25 Ships LED Pilot Installations


MSC: Military Sealift Command Sample Retrofits

Hazardous Location Fixtures: MSC provided Independence LED with a Hazardous Location Fixture for retrofit applications with LED tubes. After more than a year of third party testing, the Underwriters Laboratories (UL) has approved Independence LED as the first manufacturer in this new LED category. The retrofit solution provides massive savings given that replacing the tubes may cost under $200 while replacing each fixture is over $1,000. LED Specifications Report to MSC: In October 2013, Independence LED was invited to MSC HQ in Washington, DC to meet with the Specifications team. The subsequent LED Specification Report provided by Independence LED is another reflection of our commitment to American Energy Independence and Energy Security.

Most Popular Products to Date: After multiple rounds of testing, MSC favors to date the 4’ 22 Watt LED Tube and the 2’ 9 Watt LED Tube. On GSAAdvantage.gov search: “R1-422XXX-70-CB2-V1” and “109-2311203-1LMS”


Project: Durham Veterans Administration Medical Center Highlights: First LED Retrofit at a VA Medical Center Address: 508 Fulton St, Durham, NC 27705 Owner: U.S. Department of Veterans Affairs (www.va.gov) LED Installation: Q1 2013

Opportunity Lighting consumes a significant amount of electricity in the 24/7 areas of a hospital. Like similar structures, the Durham VA Medical Center had inefficient T12 fluorescent fixtures illuminating the back of house and common areas of the 271 bed facility. With a run time of 8,760h/year, the existing 1,200 fixtures used 355,025 kWh per year. At a $.10/kWh electricity rate, the T12 tubes cost $35,501 per year to operate.

Results By replacing fluorescent tubes with new LEDs, the annual energy savings is 171,398 kWh, yielding an electricity savings of $17,140 per year. Over the life of the LEDs, the energy and maintenance savings will be over $150,000. If each of the more than 1,700 facilities in the VA health system were to switch to LED technology, the ten year savings could exceed $1 Billion. This adds up to tax payer savings and more resources for the VA to service our heroes.

CASE STUDY: GOVERNMENT Hospital

Solution Independence LED’s U.S. Made LED tubes cut the wattage consumption by over 50% while also improving light levels in the machine rooms, adding to the safety of working conditions. The LED lights reduce the annual kWh to 183,627, enabling the Durham VA Medical Center to become the first VA Hospital to set an efficiency benchmark for other public and private sector hospitals.

SAVINGS

LEDs MADE in USA

53%

© 2014 www.IndependenceLED.com - Names and logos in this file are the registered trademarks of the respective entities.


Solution Independence LED’s Authorized Reseller, ERSI, based in Albany, NY, provided the LED solution with a pair of 4’ 16 watt LED tubes to created an average energy savings of 66% over the existing fluorescent tubes.

Opportunity Like many Public Safety and Service facilities Bruen Rescue had a combination of inefficient 95 watt 8’ T12 fluorescent tubes and troffers with two and four 32 Watt T8 tubes. With a 24/7 run time of 8,760h/year, each 8’ tube used 832 kWh per year. At a $.16/kWh electricity rate, the T12 tubes cost $113.15 per year to operate.

Results By reducing the critical 24/7 bay area 8’ tube wattage by an average of 66%, the annual savings is 552 kWh and $88.30 per 8’ length every year. Over the approximate 7 year life of the LED’s at 24h/day, the lifetime energy savings is over $600. The environmental impact of the retrofit is significant. At the U.S. average of 1.34 lbs of CO2 emission reduction for every kWh saved, each 8’ tube retrofit saves 5,065 lbs of CO2 over the long life of the energy saving LED technology.

CASE STUDY: Public Safety - Rescue

66% SAVINGS

Retrofit Highlights: Bay Areas: (15) 8’ fixtures Rec Room: (26) 4’ fixt. Six Offices: (12) 4’ fixt. Two Bathrooms: (2) 4’ fixt. Utility & Storage: (5) 4’ fixt. Bunk Rooms: (10) 4’ fixt. Plus, Elevator and Hallways

Project: W.F. Bruen Rescue Squad Highlights: Bruen Rescue responded to 1,832 calls for help in 2012 Address: 1116 Redmill Rd, Rensselaer NY 12144 Owner: Municipality LED Installation: 2013



Project: Treasure Island Fire Rescue Highlights: First LED Tube Retrofit at a U.S. Fire House Address: 180 108th Ave, Treasure Island, FL 33706 Owner: See: www.mytreasureisland.com/departments/fire_department LED Installation: 2012

CASE STUDY: Public Safety - Fire

53% SAVINGS Solution The Independence LED 15 Watt tubes reduced the energy cost and created an average energy savings of 53% over the existing fluorescent tubes. Plus, the fire fighters no longer have the risk of bulbs burning out on shifts given the long life of the LED technology.

Opportunity Treasure Island Fire Rescue took a leadership role as the first Fire House in the U.S. to retrofit with LED tubes. The municipality had 600 32 Watt T8 tubes in their facilities. With a 24/7 run time of 8,760h/year, the 4’ tubes used 168,192 kWh per year. At a $.10/kWh electricity rate, the T8 tubes cost $16,819 per year to operate.

Results By reducing the critical 24/7 area tube wattage by an average of 53%, the annual savings is 89,352 kWh and $8,935 every year. Over the approximate 7 year life of the LED’s at 24h/day, the lifetime energy savings is over $61,000. The environmental impact of the retrofit is significant. At the U.S. average of 1.34 lbs of CO2 emission reduction for every kWh saved, the retrofit saves 820,00 lbs of CO2 over the long life of the energy saving LED technology.



MADE in USA

TECHNOLOGY


Top Warranty + Efficiency


Deep Fin Aluminum Heat Sink

External Driver

Made in USA (Meets Buy American Standards of the American Recovery and Reinvestment Act – ARRA)

10 Year Warranty

UL Classified

Key Differentiators: Best of Breed

10

Top Standards


22 Best of Breed Engineering, Component Parts, Quality

Assurance & Assembly

Top Components


Facility: 36,000 Sq. Ft. - 4 Automated Lines Capacity: 18,000 to 40,000 Diodes Per Hour Per Line Tolerance: 1/1,000 Inch 4 lines x 3 shifts x 7 days = $162 M in annual sales capacity Expansion to Lower Level if necessary and to Second and Third facilities.

Office

Multi-Line Automated Diode/PCB Assembly

Tube and Fixture Assembly

Shipping and Handling

U.S. Factory: Pennsylvania


Our EXTERNAL Driver Tubes perform better than internal driver tubes, and we also have advanced Thermal Management Heat Sinks that dissipate

rather than trap the heat that damages the diodes.

Discolorations at The Burn Zone from Internal Drivers

NOT OUR TUBES!

The Danger of Internal Driver LED Tubes

External vs. Internal Driver


The Danger of Internal Driver LED Tubes

The Failure of Internal Driver LED Tubes

Driver Burn Zone

25

Driver Burn Zone

Technology External vs. Internal Driver


Sample: Independence LED relative to Class A-10 Standards #1: Efficiency: 100 lumens / watt or higher. Independence LED: 112 l/w at CRI 70 and 100 l/w at CRI 85. #2: Longevity: 50,000 hour rated life or higher with third party LM80 testing. Independence LED: 50,000 hour life (L70) with LM80 testing. #3: UL Certification: Underwriters Laboratories (UL) Classified, not just recognized LED Driver. Independence LED: UL Classified. #4: CE Certification: Conformity European. Independence LED conforms to the following directives: Artificial Optical Radiation Directive: 2006/25/EC Low Voltage Directive (LVD): 2006/95/EC Electromagnetic Compatibility (EMC) Directive: 2004/108/EC Restriction of Hazardous Substances Directive (RoHS): 2002/95/EC #5: Thermal Management: Heat Sinks with over 7” (17.78cm) of circumferential “perimeter” conductive surface. Independence LED: 9.13” (23.19cm) of circumferential conductive surface via its deep fin aluminum heat sinks. #6: Power Supply: External Driver with multi-tube Driver Options for fixtures. Independence LED: Single, Double, Triple, Quad, and Six Tube External Driver configurations. #7: Warranty: 5 years or longer on both the Tube and Power Supply. Independence LED: 10 Year Limited Lifetime Warranty up to 60,000 hours on the LED Tubes and on the Power Supplies. #8: Rebate Ready Products: Performance Criteria across multiple regions and countries. Independence LED: The company’s tubes were some of the very first to qualify and set the rebate standards in 2011 through the industry leading Con Edison Commercial and Industrial Incentive program, administered by Lockheed Martin. An additional U.S. example: The DesignLights Consortium (DLC) Qualified Products List, ranging from Troffer fixtures to Industrial High Bay fixtures, sets minimum lumen output levels per fixture. The Independence LED multi-tube fixtures meet or exceed key levels. For example, the 2’x 4’ (4) Tube Troffer fixture emits 4,000 lumens and the 4’ (6) Tube High Bay fixture emits 19,000 lumens. #9: LED Tube Light Quality and Control: Color Rendering Index (CRI) options for 80 or higher Independence LED: Offers multiple CRI levels over 80. #10: LED Controls: Dimming down to 20% or lower + Beam angle adjustment within existing tombstone end brackets. Independence LED: Offers these and other smart control features.

Class A-10 Standards


HIGH BAYS

VAPOR TIGHTS

TROFFERS

TUBES

Top Products


Modular Fixture Index

TUBES 1 Tube Module

TROFFERS 2 Tube Module

3 Tube Module

4 Tube Module VAPOR TIGHTS 2 Tube Module HIGH BAYS 4 Tube Module 6 Tube Module

TOP PRODUCTS

Replaces: 400 Watt

Metal Halide Typ.13,000

or 19,000 lm

Replaces: 128 Watt

Fluorescent Typ. 4,000 lm

Replaces: 175 Watt

Metal Halide Typ. 5,000 lm

Replaces: T12, T8, and

T5 any lm


MADE in USA

SAVINGS


Office and Data Center Estimated Property Size Sq. Ft.: 150,000 11/14/2013123 Main Street Calculated Retrofit Area(s) Sq. Ft.: 105,844Avg Town, USA Annual Current Cost Per Sq. Ft.: $0.72 Watts/Sqft:

Annual LED Cost Per Sq. Ft.: $0.24 ASHRAE: 1Price per kWh: $0.120 Current: 1.00Annual kWh Saved: 420,179 LED: 0.34

70%

Annual LifetimeCurrent Lighting Electricity Cost $76,210 $916,580Projected Lighting Electricity Cost (LED) $25,789 $314,032 Reduction in Electricity Costs with LEDs $50,421 $602,548

Additional Operating Savings: Annual Lifetime Bulb Replacement Savings $1,948 $19,302 Maintenance Labor Savings $5,292 $75,867 Reduced Air Conditioning Load $1,513 $18,076 Total Additional Operating Savings $8,753 $113,245

Annual Lifetime$59,175 $715,793

*Bulb Replacement Savings based on standard cost of existing lamps*Maintenance Labor Savings based on $0.01/sq. ft. for Parking Garages, and $0.05/sq. ft. for all other facil ities*Reduced Heating/Air Conditioning Load based on an average of $0.03 for every dollar saved on l ighting*Lifetime calculations based on rated l ifespan of each product. Weighted average rated l ife of LEDs = 14.3 years

Payback (Months) ROICost of LED Product $128,110 ------------> 26 46%Installation Estimate (15%) $19,217Less Tax Deduction Cash Value ($22,227)Est. Rebate (e.g. $.10/Annual kWh Saved) ($42,018)Total Net Cost to Customer $83,082 ------------> 17 71%Note: Pricing valid for 45 days from issue; does not include sales tax and shipping

NPV: $263,688 12% Discount Rate IRR: 23%

OPTIONS #2: On-Balance Sheet FINANCING Finance Adjustable Initial Cash Outlay $0 Payments Net Cash Flow

19 Months @ 7.5% ($4,931.23) $0.0036 Months @ 7.5% ($2,584.36) $2,346.8760 Months @ 7.5% ($1,664.79) $3,266.44

OPTION #3: Energy Saving Share SERVICE ServicePayments Net Cash Flow

Adjustable Initial Cash Outlay & Months $084 Months @ 7.5% ($1,401.77) $3,529.46

% Split on Lighting Savings 28% 100% 72%Savings during the Service Period: $296,475Added Savings during 100% Period: $301,570 (For the months following the Service Period with $1 buyout)Total Lifetime Savings for this Option: $598,045 This is based on the average LED life for this facility

Federal Tax Deduction Available $63,506 ($.60 / sq. ft.)Tax Deduction Cash Value $22,227 (Based on 35% tax bracket)Property Value Increase $591,747 (Based on 10% cap rate) 544EcoAdvantage: CO2 Emissions Reduction 6,527,603 lbs. or SUVs off the road

*EPAct Federal Tax Deduction is an estimate based on standard IRS and DOE guidelines. Actual numbers may vary.*Only areas that have bi-level switching qualify for EPAct incentives (80% of space or more typically qualifies).*Property Value Increase calculated with 10% cap rate applied to reduction in operating costs.*EcoAdvantage: based on 1.3 lbs. of CO2 for every kWh of electricity saved (l ifetime estimates).

ACT NOW! GO GREEN AND SAVE!Daily Cost of Waiting $162 $4,931Monthly Cost of Waiting

BONUS INCENTIVES

FINANCIAL ANALYSIS

LED Savings

$4,931.23$4,931.23

Monthly Cash Flows

Monthly Cash Flows

$4,931.23

LED Savings

Note: The number of months is adjustable up to a 10 Year (120 months) Term or 7 Years (84 months) for 24/7 facilities.

ANNUAL LIGHTING SAVINGS:

OPTION #1: PURCHASE

$4,931.23

SAVINGS REPORT

Total Savings with LEDs

Sample Savings Report


RENTAL LED

PROGRAM

LIGHTING Lighting Service Contract

0%

20%

40%

60%

80%

100%

120%

Current Utility Cost New Utility + Rental Payment

SAVINGS

Improve Light Quality and SAVE 20% each month with $0 upfront out of pocket cost.

Independence LED’s Lighting Service Contract (LSC) is a “Rental” off balance sheet operating lease program that provides monthly savings on electricity for lighting without any upfront out of pocket expense for the property owner or tenant.


Tube Series: Competition

10 Years = $300.84

10 Years = $183.07

T12 Fluorescent (with Ballast)

Total Cost of Ownership

10 Years = $318.17


10 Years = $282.27 T5 Fluorescent

10 Years = $210.87 16W

12W

28W

35W

45W

Avg. Overseas Manufactured LED Fixture

BEST IN CLASS

The calculations assume comparable directional lumens, foot candles, or lux for 1 tube T8 (32W / tube + ballast factor) as the existing installed default, and the U.S. average $.12 Cost / kWh. With Independence LED’s 10 Year Warranty at 60,000 hours of life, common scenarios for 6,000 hours of illumination per year include facilities with double shift (16 hours / day). The Independence LED performance is even better for 24/7 operations.


Troffer Retrofit: Competition

10 Years = $1,189.68

10 Years = $590.47

10 Years = $1,511.02

10 Years = $1,068.75 T5 Fluorescent

10 Years = $806.01 60W

44W

112W

140W

160W T12 Fluorescent (with Ballast)



BEST IN CLASS

The calculations assume comparable directional lumens, foot candles, or lux for 4 tube T8 (32W / tube + ballast factor) troffer as the existing installed default, and the U.S. average $.12 Cost / kWh. With Independence LED’s 10 Year Warranty at 60,000 hours of life, common scenarios for 6,000 hours of illumination per year include facilities with double shift (16 hours / day). The Independence LED performance is even better for 24/7 operations.



Vapor Tight: Competition

10 Years = $964.01

10 Years = $688.14

10 Years = $1,487.52

10 Years = $1,082.47 Compact Fluorescent

10 Years = $1,040.34 60W

44W

64W

120W

175W Metal Halide

Induction


BEST IN CLASS

The calculations assume comparable directional lumens, foot candles, or lux for Metal Halide (175W) parking garage fixture as the existing installed default, and the U.S. average $.12 Cost / kWh. With Independence LED’s 10 Year Warranty at 60,000 hours of life, common scenarios for 6,000 hours of illumination per year include facilities with double shift (16 hours / day). The Independence LED performance is even better for 24/7 operations.



High Bay: Competition

BEST IN CLASS

10 Years = $1,986.69

10 Years = $1,501.88

10 Years = $3,740.05

10 Years = $1,729.62 T5 Efficient Fluorescent

10 Years = $2,105.02 Avg. Overseas Manufactured LED Fixture

150W

116W

168W

200W

450W Metal Halide (with Ballast)

Induction

The calculations assume comparable directional lumens, foot candles, or lux for Metal Halide (450 W) High Bay fixture as the existing installed default, and the U.S. average $.12 Cost / kWh. With Independence LED’s 10 Year Warranty at 60,000 hours of life, common scenarios for 6,000 hours of illumination per year include facilities with double shift (16 hours / day). The Independence LED performance is even better for 24/7 operations.



Total Cost of Ownership: For Public Sector applications, we recommend using either a 7 or a 10 Year Total Cost of Ownership metric to select the lowest cost solution provider. With an average of 50,000 to 60,000 hour life, a typical 24/7 illumination (8,760 hours per year) yields 7 years of life. Here are the straight forward formulas: LED Fixture Watts / 1,000 X Annual Hours of Operation = Annual kWh Consumption Annual kWh Consumption X Cost / kWh = Annual Electricity Cost Cost of LED Tube and Driver Retrofit Kit + (Annual Electricity Cost x 7 Years) = 7 Year Cost of Ownership If the warranty period does not cover 7 years, then the supplier needs to include the additional cost of the product at the year end of the warranty period. Please note that the straightforward solution of Cost of Ownership encourages solutions that benefit the end user. Previous solicitations that had a cap on the wattage per tube did not have a means to include high output LED tubes for del-lamping or reward solutions that were lower in wattage than others. Think of the total cost of ownership as the Cost to Commute to Work over Time. A more expensive hybrid car that is fuel efficient will deliver a lower cost to commute. With this formula approach, you will have the ability to review the different submissions and select the lowest cost solution of the qualifying suppliers. Sample Existing Condition: Fixture with two (2) 40 Watt T12 fluorescent tubes with a total of 80W per fixture. Example Submission ‘A’: Watts per LED Fixture: 30W (2) 15 Watt LED Tubes - Unit Cost per Tube: $35 and Cost per Fixture Retrofit: $70 Example Submission ‘B’: Watts per LED Fixture: 24W (2) 12 Watt LED Tubes with optimized lumens/watt - Unit Cost per Tube: $40 and Cost per Fixture Retrofit: $80 (Note: 112 lumen/watt yields 2,688 directional lumens / fixture while 90 lumens per watt at 30 watts from Example ‘A’ may yield a comparable 2,700 lumens / fixture with a higher cost to operate each year.) Example Submission ‘C’: Watts per LED Fixture: 29W (1) 29 Watt LED Tube - Unit Cost per Tube: $75 and Cost per Fixture Retrofit: $75

Tips on Bid Solicitations

Annual Run Time (h) 8,760Cost / kWh $0.20

Fixture SolutionsTube + DriverCost

Fixture Kit Cost

Tube Watts

Fixture Watts

Annual kWh

Annual Elect. Cost

7 Year Cost (Equipment + Annual Elec.)

Existing: (2) 40 Watt T12s + Ballast $2 $19 40 80 700.8 $140.16 $1,000.12

A (2) 15 Watt LED Tubes $35 $70 15 30 262.8 $52.56 $437.92

B(2) 12 Watt LED Tubes with optimized lumens/watt

$40 $80 12 24 210.24 $42.05 $374.34

C (1) 29 Watt LED Tube: $75 $75 29 29 254.04 $50.81 $430.66

Both Solutions 'B' and 'C' beat 'A' in lowest Total Cost of Ownership, even though A is the lowest cost per tube.


Fixture Description over Tube Count: For Military applications, we recommend focusing on FIXTURE EFFICACY over individual tube performance and cost. This is a key way for the Military to review energy solutions over commodity units. As an example, instead of listing 6,000 4’ tubes and 11,000 2’ tubes in a bid scope, solicitations can list the existing fixture condition to give visibility to the suppliers that can then develop relevant solutions. The advantages of this fixture solution approach are illustrated in the “Total Cost of Ownership” section of this report. Sample Specification Language: Fixture Type 1: Fluorescent Fixtures with (2) 4’ T12s at 40 watts each, totaling 80 watts per fixture Volume: 3,000 fixtures Fixture Type 2: Fluorescent Fixtures with (2) 2’ T12s at 20 watts each, totaling 40 watts per fixture Volume: 5,500 fixtures Fixture Efficiency over Tube Efficiency: If a given Military facility procurement officer specifies a cap on wattage per tube (e.g. 18 watts per previous solicitation documents) they reduces the opportunity for any given supplier to de-lamp fixtures with high output LED tubes. In lieu of a fixture wattage cap, we recommend using specification language such as a requirement to reduce the existing fixture wattage by a certain amount. This encourages suppliers to provide solutions that deliver maximum savings. Sample Specification Language: Qualifying LED tube solutions must reduce fixture wattage by a minimum of 40% per fixture. External over Internal Driver Advantages: External Drivers have multiple efficiency, smart control, operation, and life safety advantages over Internal Drivers. Efficiency: By separating the heat created by the drivers from the LEDs on the linear “Tube” modules, the combined system runs more efficiency, maintains its color more consistently, and lasts longer. Heat is simply the enemy of the LED. (See the sample Dangers of Internal Drivers in the Appendix). Smart Control: External Drivers provide increased flexibility over internal drivers when it comes to maximizing future connectivity for dimming, occupancy sensors, light harvesting, alert signals, and wifi control. Many end users are focused in the short term on the energy savings with LEDs but the modular advantage of an external system is the ability to improve the technology as it evolves by connecting into other smart controls.



Operation: Since the External Driver is a separate module it can be easily replaced in the same way that a fluorescent ballast is replaced upon failure without throwing out the whole tube. This is the simple model of “don’t throw the baby out with the bathwater”, since the LEDs and the tube component are more valuable than the driver component. Modularity creates operating as well as energy efficiency. Think of the driver as the starter on a car or the power supply on a computer. We recommend specifying Non-Proprietary Drivers for maximum flexibility over time to purchase if necessary additional drivers. For failure diagnostics, if a tube goes dark completely then the failure is most likely in the driver vs any of the diodes on the tube, but personnel can always easily cross check by simply connect a failed tube to a nearby fixture. Given that the drivers are the weak link Achilles’ Heal of the LED system, we recommend requesting a nominal extra inventory of drivers (1 per 100 Tube sets) to have at hand in the event of failure. This is not unlike stocking extra ballasts. Life-Safety: Fluorescent Tube fixtures to date have been typically designed to bring Alternating Current (AC) line voltage typically at 120V to 240V into the fixture and then step it down to safer lower voltage via the fluorescent ballast to Direct Current (DC). The danger of using internal driver LED tubes is that the step down to the lower voltage occurs inside the tube. So the installer of internal drivers bypass the ballast and run the higher voltage directly into the socket “tombstones” of the fixture. This means that the dangerous line voltage is right at hand in the fixture. If personnel touch the sockets, they WILL RECEIVE A SHOCK, and they are at risk of falling back off a ladder at the 120V level breaking an arm, hitting their heads, or worse. There is an increased likelihood of fatality for fixtures that are powered with higher 240V with the internal drivers. By contrast, external driver LED technology mirrors the model of the original fixture design by replacing the fluorescent ballast with the external driver and stepping down the voltage as it is fed into the tubes for increased safety. Sample Specification Language: Qualifying LED tube solutions must include options for external drivers that are non-proprietary to a sole source, so that facility managers can replace the drivers if necessary either during or after warranty periods. Combined Driver and Tube systems must meet Underwriters Laboratories (UL) Classification for retrofits including those fixtures designated in this solicitation. At least 1 additional extra stock external driver must be provided for every set of 100 tubes. A tube set is defined as the system of driver to tubes, so if a driver powers a pair of tubes in a particular fixture type then only 1 extra driver would be required for 200 tubes, given that there are 100 tube sets.



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Military Government Agencies Municipalities Energy … LED - Public... · Military Government Agencies Municipalities . ... From the U.S. NAVY’s Military Sealift Command (MSC)