Contemporary Energy Solutions

5 Reasons Why LEDs Save Money

Companies Shouldn’t wait to save money with LEDs

Proper indoor lighting is essential for productivity in warehouses, manufacturing plants, commercial buildings, and business offices alike. Unfortunately, many companies are over-paying for lighting, but still not getting the best results. Lighting can account for up to 20% of energy consumption.1 There are five primary reasons why LEDs save money and companies shouldn’t wait to make the switch.

1.) Proper lighting Improve Employee Health and Productivity

In addition to the high upfront energy cost of incandescent or halogen lights, studies have proven that employees’ health and happiness can be adversely affected by improper or dim lighting. However, effective lighting solutions using LED retrofits can be optimized to increase productivity, happiness, and overall well-being of employees.2 Although it’s not possible to completely avoid lighting costs, companies that optimize their lighting enjoy the extra benefit of increased productivity and have happier employees.

2.) LEDs Cost 6X less to Operate Than Incandescent Lights

As LEDs save money for companies and continue to improve, using incandescent lights is a nearly insane choice. First, incandescent lights consume six times more energy than LEDs. The cost to purchase and operate an incandescent light for three hours per day for one year is $8.89 (may vary slightly by location). At the same time, then cost to purchase and operate an LED light for three hours per day for one year is $2.81. Second, their lifespan is 50 times shorter than LEDs. Third, incandescent lights are very fragile compared to LEDs. Finally, the light quality of incandescent lights is not as bright or consistent as LEDs.3

3.) LEDs are Safer and More Efficient Than Halogen Lights

Halogen lights use 90% of their energy to give off heat, which has made them a potential fire hazard and incited special regulations at trade shows. However, LEDs only emit 10% of their energy as heat, making them cool to the touch and a more efficient option.

Although the initial purchase price of halogen lights is cheaper, the life-span of LED lights is 25-50 times longer. LED users save time and money as they avoid so many replacements. LEDs also save money on energy consumption. Halogen lights use an average of about 90 watts, while LED lights only use about 8 watts of power. That means that switching from halogen to LED lighting reduces energy consumption by 12 times!4

4.) LEDs are More Robust, Efficient, and Safe than Fluorescent Lights

Compact fluorescent lights (CFLs) have a lifespan that is four times shorter than LEDs.  LEDs are also more efficient than fluorescent lights as a 16.5-watt LED produces the equivalent light of a 20-watt CFL.

Unlike CFLs, LEDs can withstand extreme temperatures and they don’t contain toxic mercury.5

 5.) Tax Incentives and Rebates Make the LED Switch More Cost-Effective

There are numerous tax incentives and rebates currently available to help offset the cost of switching to an LED lighting solution for warehouses, manufacturing plants, commercial buildings, and business offices.6 Although LEDs may be slightly more expensive to initially purchase, the energy and replacement savings more than makeup for the cost. As LED technology continues to advance, they’ll lower in price too.

Contemporary Energy Solutions Makes Lighting Projects Affordable

Contemporary Energy Solutions (CES) has a rebate management team that is dedicated to helping clients get the maximum tax and rebate incentives available. We know how to get the best wholesale price from distributors, so we can ensure that our clients pay the lowest possible price as they switch to LED lighting.

CES has successfully implemented over 800 energy efficient lighting projects since 2008. Our expertise is proven by the multiple case studies in which clients have saved thousands of dollars by switching to LED lighting solutions.



1 Electricity Customers | US EPA. (2015). US EPA. Retrieved 10 December 2018, from

2 Wittenberg, C., ArticlesInfographics, M., Coupons, S., Center, R., & Giveaways, S. (2018). How office lighting affects mood and productivity — Blog. Blog. Retrieved 10 December 2018, from

3 Light Bulb Types: How Much Do LED Lights Save per Year?. (2018). Dengarden. Retrieved 11 December 2018, from

4 LED vs Halogen Bulbs. (2018). Retrieved 11 December 2018, from

5 CFLs vs. LEDs: The Better Bulbs. (2018). Green America. Retrieved 11 December 2018, from

6 DSIRE . (2018). Retrieved 11 December 2018, from

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