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C021_P001_ECP_HighBay_Only_2017_04_27

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“Trust and low-cost capital together are the<br />

THE<br />

ELEPHANT<br />

IN THE ROOM<br />

TRUST IS THE BARRIER<br />

most powerful combination for accelerating<br />

energy-efficiency adoption”<br />

“If data is the foundation of all decisions, then<br />

energy data must be the foundation of all<br />

energy decisions”<br />

MAKING THE INVISIBLE, VISIBLE<br />

Offices: Canada - Colombia - USA


Eagle Manufacturing<br />

<br />

Energy Conservation Proposal<br />

7100 Industrial Blvd, KY 41<strong>04</strong>2<br />

Project Summary<br />

Project Investment $ <strong>27</strong>7,628.45<br />

ROI (years) 4.05<br />

Energy Annual Revenue Savings $ 57,024.60<br />

Maintenance Annual Revenue Savings $ 11,548.03<br />

Energy & Maintenance Annual Revenue Savings $ 68,572.62<br />

Incentive Amount (not eligible / transmission client) $ 0.00<br />

* The above numbers are estimates based on client data collected<br />

* The project investment includes the receipt of projected incentives<br />

submitted to: Lloyd Moore<br />

submitted on: Thursday, April <strong>27</strong>, <strong>2017</strong><br />

submitted by: Bill Kenney


Investment Breakdown Summary<br />

Product Name<br />

# of<br />

Units<br />

Watts<br />

Color<br />

Temp<br />

Voltage Lens Finish<br />

Mount<br />

Type<br />

Wiring ACCY Fixt. Unit Cost Totals<br />

Airflex4C 20 110 5K 480 NL WH V BFC6 - $ 200.<strong>27</strong> $ 4,005.40<br />

Airflex4 335 135 5K 480 NL WH V BFC6 - $ 288.59 $ 96,677.65<br />

Airflex4C 218 160 5K 480 NL WH V BFC6 - $ 319.40 $ 69,629.20<br />

Airflex4C 40 240 5K 480 NL WH V BFC6 - $ 478.58 $ 19,143.20<br />

Total Equipment Cost 613 $ 189,455.45<br />

Installation and recycling - please refer to notes on this cost $ 88,173.00<br />

Utility Incentive - estimated and solely at the discretion of the utility company $ 0.00<br />

Total Project Cost - does not include applicable taxes $ <strong>27</strong>7,628.45<br />

Energy savings 6 days per week - for details on projected savings, please review the Cost and Saving Data section $ 57,024.60<br />

Maintenance savings - for details, see final page of this proposal $ 11,548.03<br />

Projected project energy and maintenance savings, 10 years $ 685,726.23<br />

Projected ROI - includes the estimated incentive 4.05


Project Approval & Payment Schedule<br />

$ 138,814.23 50% of project cost is required as a deposit for the equipment order<br />

$ 69,407.11 25% of project cost due upon delivery of all project lighting fixtures<br />

$ 69,407.11 25% due upon completion and approval of the project work by the client<br />

$ <strong>27</strong>7,628.45 Total project payment<br />

Approval Signature:<br />

Project PO#:<br />

Date:<br />

Applicable taxes to be added to each of the above payments<br />

Warranty Equipment<br />

1 Airflex4 driver 135w 12<br />

2 Airflex4 driver 160w 10<br />

3 Airflex4 driver 240w 4<br />

Units<br />

Note: our warranty equipment procedures are aimed at ensuring the timely replacement of a potentially defective driver or fixture. Very similar to the<br />

practice of keeping a small supply of extra fluorescent tubes or ballasts on hand for old technologies.


Manufacturing High Bay Lighting Cost & Savings Data<br />

Existing Fixture Data<br />

New Fixture Data<br />

Fixture<br />

Location<br />

Type<br />

Dim.<br />

Mtg.<br />

Form<br />

Fixt.<br />

Qty.<br />

Bulb<br />

Qty.<br />

Bulb<br />

Total<br />

Blst.<br />

Qty.<br />

Bulb<br />

W<br />

V<br />

Yrly.<br />

Hrs<br />

Est. kWh<br />

Annual<br />

New Fixture<br />

Fixt.<br />

Qty.<br />

W<br />

Est. kWh<br />

Annual<br />

Est. kWh<br />

Savings<br />

1 Mfg - C29 - C33 HBT5 2x4 Vhook 14 6 84 14 54 480 8,640 39,191.0 Airflex4 15 135 17,496.0 21,695.0<br />

2 Mfg - C33 - C38 HBT5 2x4 Vhook 15 6 90 15 54 480 8,640 41,990.4 Airflex4 20 110 19,008.0 22,982.4<br />

3 Mfg - C29 - C1 HBT5 2x4 Vhook 70 6 420 70 54 480 8,640 195,955.2 Airflex4 84 135 97,977.6 97,977.6<br />

4 Mfg - D29 - D1 HBT5 2x4 Vhook 79 6 474 79 54 480 8,640 221,149.4 Airflex4 26 135 30,326.4 190,823.0<br />

5 Mfg - E32 - E1 HBT5 2x4 Vhook 86 6 516 86 54 480 8,640 240,745.0 Airflex4 96 135 111,974.4 128,770.6<br />

6 Mfg - E,F, end HBT5 2x4 Vhook 18 6 108 18 54 480 8,640 50,388.5 Airflex4 18 135 20,995.2 29,393.3<br />

7 Mfg - lower back HBT5 2x4 Vhook 8 6 48 8 54 480 8,640 22,394.9 Airflex4 8 160 11,059.2 11,335.7<br />

8 Mfg - F32 - F1 HBT5 2x4 Vhook 86 6 516 86 54 480 8,640 240,745.0 Airflex4 96 135 111,974.4 128,770.6<br />

9 Mfg - G,H end HBT5 2x4 Vhook 18 6 108 18 54 480 8,640 50,388.5 Airflex4 18 160 24,883.2 25,505.3<br />

10 Mfg - G32 - 61 HBT5 2x4 Vhook 87 6 522 174 54 480 8,640 243,544.3 Airflex4 96 160 132,710.4 110,833.9<br />

11 Mfg - H32 - H1 HBT5 2x4 Vhook 86 6 516 172 54 480 8,640 240,745.0 Airflex4 96 160 132,710.4 108,034.6<br />

12 Mfg - I25- I5 HBT5 2x4 Vhook 40 6 240 78 54 480 8,640 111,974.4 Airflex4 40 240 82,944.0 29,030.4<br />

Totals n/a 607 72 3,642 818 n/a n/a 1,699,212 n/a 613 n/a 794,059 905,152.3<br />

Savings Energy Savings % 53.3% Client Rate for kWh $ 0.063 $ 57,024.60


Manufacturing High Bay Lighting Maintenance Calculations<br />

Item<br />

Interior<br />

Fixtures<br />

Exterior<br />

Fixtures<br />

Totals<br />

1 Total fixtures 607 0 607<br />

2 Total bulbs (0) & tubes (3,642) 3,642 0 3,642<br />

3 Tube & Bulb estimated hours of use 25,000 25,000 n/a<br />

4 Bulb replacement cost @ 0 times over 10 year LED warranty period $ 0.00 $ 0.00 0<br />

5 Tube replacement cost @ x 3.46 times over 10 year LED warranty period $ 59,856.<strong>27</strong> n/a 0<br />

6 Total bulb & tube replacement cost over 10 year LED warranty period $ 59,856.<strong>27</strong> $ 0.00 $ 59,856.<strong>27</strong><br />

7 Total ballast units 818 0 818<br />

8 Ballast life estimated hours of use 50,000 50,000 n/a<br />

9 Ballast replacements projected 818 0 818<br />

10 Ballast unit replacement cost $ 25.00 $ 85.00 n/a<br />

11 Ballast replacement cost over the 10 year LED driver warranty period $ 35,174.00 $ 0.00 $ 35,174.00<br />

12 Labour hours for re-lamps and re-ballast per fixture 0.50 0.50 n/a<br />

13 Labour cost for re-lamps and re-ballast @ $50.00 per hour per fixture $ 20,450.00 $ 0.00 $ 20,450.00<br />

14 LED projected light life hours 200,000 200,000 n/a<br />

15 LED driver projected life hours 100,000 100,000 n/a<br />

16 LED projected driver replacements during initial 10 year guarantee period 0 0 0<br />

17 Estimated current maintenance cost per fixture per year $ 19.02 $ 0.00 $ 19.02<br />

18 Projected maintenance savings during the 10 year LED product guarantee $ 115,480.<strong>27</strong> $ 0.00 $ 115,480.<strong>27</strong><br />

19 Projected annual maintenance savings $ 11,548.03<br />

Notes<br />

• All estimates are based on the 10 year warranty period. Substantially more maintenance and cost savings can be realized with a strategy for LED driver replacements.<br />

• We do not assign any energy usage for ballast in our energy calculations for existing lighting.


Warranties<br />

Our experience and research shows that LED fixtures are far more reliable than LED tube replacements. This is one reason why<br />

we do not sell the replacement tubes and focus 100% on fixtures and a permanent solution. Even though LED fixtures are<br />

much more reliable than tubes or bulbs, no manufacturer can address the reliability of all the components in an LED fixture<br />

system. The result, there will be light failures and we believe passionately, how they are handled will play a critical role in a<br />

client’s level of satisfaction.<br />

Empowered with this understanding that there will be failures, the question we believe that buyers should ask of their lighting<br />

specialist is; when one of your fixtures or bulbs fails, what is the resolution process, how much will it cost, and who is<br />

responsible for the required action? One of the Elephants in the room in our industry is associated with how warranty issues<br />

are handled.<br />

In order to create a customer focused solution, our team evaluated the value streams for fixtures and bulbs, two product families<br />

we handle in order to deliver a turn-key solution. Understanding the differences in the service flow process for fixtures or bulbs<br />

is necessary in order to eliminate system waste and deliver a superior lighting failure resolution response time. Let us explain . . .<br />

• LED Fixtures - As with all LED lighting manufacturers, in the event of a light failure, the purchaser is responsible for the<br />

return of the failed light back to the manufacturer or distributor by first removing the fixture and sending it back to the<br />

manufacturer. Upon receipt of a defective fixture, the manufacturer will conduct an inspection and make the decision to repair<br />

or replace the light. Once the new or repaired fixture is ready, it is shipped back to the purchaser. We believe this process to<br />

be full of waste that creates an unacceptable response time delay and places the vast majority of the process burden on a<br />

client.


Consider the following . . .<br />

• The driver is the heart and soul of the LED fixture. Most estimates suggest that over 98% of all LED fixture failures are<br />

attributed to the driver system. Does it make sense to send a complete fixture back to a manufacturer when the likely problem<br />

is the driver, a small component? The wasted resources, time and money from our perspective is unacceptable.<br />

• To address this industry system failure, when Abate conducts an LED lighting conversion program for a client, we provide<br />

additional drivers (1%) to be maintained at the client’s facility. In the event of a fixture failure, our client can take immediate<br />

action to get the light operating; unlike the standard process where a client can be left for weeks literally in the dark. For<br />

certain projects, we will provide a spare fixture(s). In the unlikely event of a fixture failure that isn’t caused by the driver, we<br />

work directly with our clients to ensure a timely problem resolution occurs.<br />

LED Bulbs - Abate Energy Group provides turn-key LED conversion projects. One need of most projects is the use of LED<br />

comparative bulbs that replace existing bulbs like BR20’s, G24’s, Par 30’s and so on. Our team works directly with our clients to<br />

ensure a local solution is in place to deal with bulb failures. <strong>Only</strong> a local service solution can best ensure our clients are properly<br />

serviced and satisfied.<br />

Regardless of what product is being sold, failures will occur. In the case of our industry, the standard process for handling the<br />

failures is not only an inconvenient truth, the process is in conflict with the environmental and energy efficiency message being<br />

touted. We believe that if the business leaders that are considering the conversion to LED energy efficient lighting take a close<br />

look, they too will come to the same conclusions our team has.

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