Energy Savings Calculator
A fast and easy way to calculate your energy savings
Understanding and calculating the return on investment for lighting retrofit projects and lighting upgrades is critical to your success. The calculator below will provide an estimated ROI based on energy costs. You may be interested in our explanation of the total cost of lighting for more details on potential savings you can capture, or you can contact us to discuss your specific project in more detail.
Energy Savings Calculator for Lighting
Fill out the boxes below to determine your rate of return on a new lighting upgrade.
Beginning an LED lighting retrofit project isn’t easy. It requires knowing all of your variables, then determining a budget.
We created our energy savings calculator so you have an understanding of the basics around lighting retrofits.
As you probably noticed above, you need several pieces of information to get started. Gather these before you begin using the lighting retrofit calculator:
- Original wattage per bulb
- Replacement wattage per bulb
- Number of bulbs replaced
- Cost of energy
- Daily “on” hours
- Annual “on” hours
- Initial cost of upgrade
If you need help finding any of that information, we explain more detail in this blog.
Once you’ve entered all of your information, here is what you can expect from our energy savings calculator:
- Simple payback: how long it will take to earn back the initial cost of the upgrade. This is a high-level look at the outcome of your project.
- Simple annual energy savings: How much energy a lighting retrofit would save in energy over the course of a year. This is expressed in kWh.
- Energy cost savings: The calculator takes the simple annual energy savings and multiplies it by your cost of energy. This gives you a better idea of how much you could save per year after completing the project.
- Rate of return: Our calculator is built to give you a first-year rate of return on your project, expressed as a percentage. So, if your retrofit project costs $20,000 up-front and you save $1,000 on energy every month after its completion, your rate of return would be 60 percent, as you would have made back $12,000 in savings, which is 60 percent of the upfront cost of the project.
This energy savings calculator should give you a good idea of whether or not you want to move forward with a lighting retrofit.
If you’d like to get more detailed calculations, you can download our Ultimate Guide to Energy Savings Calculations and Payback. It will give you an even better understanding of how a lighting retrofit could save on the cost of HVAC, labor, and material costs.
If you have any other questions about a lighting retrofit and what it looks like for you, please do not hesitate to contact us. Our lighting specialists would love to go over the details of your project.