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State-By-State Return On Investment (ROI) Table For LED Lighting Replacement Of 4-Foot Fluorescent Tubes

Source Data: Energy Information Administration - Official Energy Statistics from the US Government. Released November 13, 2009
Highlights:
On November 13, 2009, the Energy Information Administration released the Report with The Official Energy Statistics from the US Government. There are 16 States that spend over 12 Cents per Kilowatt Hour on Electricity. These 'Highest Cost'
States are above the US average of 10.6 Cents and thus the best candidates for electricity savings like high performance LED lighting retrofits. The top 5 states pay 50% or more than the US Average, and the top 10 states pay more than double
what the lowest cost states pay for electricity. Hawaii and Massachusetts win the ugly electricity cost race at over 18 Cents each, and Northeast States like Connecticut, New York, New Jersey, and New Hampshire are all over 14 Cents. California
and Alaska round out the high-cost 'winners' that pay more than everyone else! If it is any consolation, the higher cost states are the ones that typically spearhead energy efficiency initiatives due to increased cost on the supply side. Every
commercial property in every state is a potential candidate for energy efficiency initiatives, but the properties in the 'High Cost' states are ideally suited for electricity savings with high performance LED lighting solutions that typically save over
80% on lighting costs. Since lighting accounts for 30% or more of commercial property electricity costs, see the state by state breakdown.
To normalize the data, these factors are used:
- Overall, LIGHTING is 30% of total electricity cost according to the Department of Energy.
- Existing T-8 Fluorescents with ballast power factor use up to 45 Watts
- Commercial Properties typically run at 50 hours per week and certain spaces run 24/7 like Fire Stair Towers and/or certain hallways.
- Typical Office: 2,600 operating hours /year @ 45 Watts = 117,000 Watts per year or 117 kWh (The straight electricity savings is 65% with LEDs plus an average additional 15% savings coming from the offset purchase and labor advantage of
not having to replace the fluorescent tubes every three to five years.)
- Total average savings with LEDs = 80%. Note: The savings is higher if the existing tubes are T-12 and slightly lower with T-5s. Typical 24/7 Stair tower: 8,760 operating hours @ 45 Watts = 394,200 Watts per year or 394 kWh.

LED 4' tubes: 15Watt and 1,500 Lumens cost $70 each.
LEDs last 80,000 hours (30 years for typical office and 10 year for typical 24/7 Stair Towers). Please note that this is simple savings without ANY inflation or energy cost increase factors. Therefore, the real lifetime savings will be dramatically
higher. Given that it will change state-by-state, this file is designed to help normalize the data for comparison.

Federal Tax Incentives:


The American Recovery and Reinvestment Act provides a Tax Deduction of $.60 per square foot for reducing lighting costs by more than 50%. The average US office worker uses 225 sq. ft. and at 60 cents per foot that generates $135 of
deductions in year one and a real cash benefit of $40 in a 30% tax bracket. Given that the average office/worker space uses the equivalent of four 4' tubes or eight 2' tubes, the cash advantage the tax deduction in year one is $10 per tube. The
payback time reflects the cost of the LED bulb less the $10 tax deduction advantage divided by the annual savings after year one.
US Savings Potential:
Typical Offices that run 50 hours per week Stair Towers and Certain Hallways or areas that run 24/7
Average Cost per Kilowatt hour for Commercial Electricity
Annual Cost to Annual Cost to Year One
Year One Lifetime Payback Lifetime Payback
Cents / operate 1 T-8 LED Annual operate 1 T-8 LED Savings with Annual
State Cost Categories Savings with Savings time in ROI Savings time in ROI
kWh Fluorescent Tube Cost/Tube Savings Fluorescent Cost/Tube Tax Savings
Tax Deduction (30 Years) Years (10 Years) Years
(50 hours a week) Tube 24/7 Deduction

Hawaii 22.88 Highest Cost Over 12 Cents / kWh $26.77 $65 $31.42 $21.42 $652.47 2.6 32.95% $90.15 $65 $82.12 $72.12 $731.18 0.76 110.95%
Massachusetts 18.51 Highest Cost Over 12 Cents / kWh $21.66 $65 $27.33 $17.33 $529.76 3.2 26.65% $72.93 $65 $68.34 $58.34 $593.44 0.94 89.76%
Connecticut 16.64 Highest Cost Over 12 Cents / kWh $19.47 $65 $25.58 $15.58 $477.25 3.5 23.96% $65.56 $65 $62.45 $52.45 $534.49 1.05 80.69%
New York 16.4 Highest Cost Over 12 Cents / kWh $19.19 $65 $25.35 $15.35 $470.51 3.6 23.62% $64.62 $65 $61.69 $51.69 $526.93 1.06 79.53%
California 15.75 Highest Cost Over 12 Cents / kWh $18.43 $65 $24.74 $14.74 $452.26 3.7 22.68% $62.06 $65 $59.64 $49.64 $506.44 1.11 76.38%
New Jersey 14.91 Highest Cost Over 12 Cents / kWh $17.44 $65 $23.96 $13.96 $428.67 3.9 21.47% $58.75 $65 $57.00 $47.00 $479.96 1.17 72.30%
Alaska 14.25 Highest Cost Over 12 Cents / kWh $16.67 $65 $23.34 $13.34 $410.14 4.1 20.52% $56.15 $65 $54.92 $44.92 $459.16 1.22 69.10%
New Hampshire 14.01 Highest Cost Over 12 Cents / kWh $16.39 $65 $23.11 $13.11 $403.40 4.2 20.17% $55.20 $65 $54.16 $44.16 $451.60 1.25 67.94%
District of Columbia 13.67 Highest Cost Over 12 Cents / kWh $15.99 $65 $22.80 $12.80 $393.85 4.3 19.68% $53.86 $65 $53.09 $43.09 $440.88 1.28 66.29%
Vermont 12.91 Highest Cost Over 12 Cents / kWh $15.10 $65 $22.08 $12.08 $372.51 4.6 18.59% $50.87 $65 $50.69 $40.69 $416.92 1.35 62.60%
Rhode Island 12.72 Highest Cost Over 12 Cents / kWh $14.88 $65 $21.91 $11.91 $367.18 4.6 18.32% $50.12 $65 $50.09 $40.09 $410.93 1.37 61.68%
Maine 12.36 Highest Cost Over 12 Cents / kWh $14.46 $65 $21.57 $11.57 $357.07 4.8 17.80% $48.70 $65 $48.96 $38.96 $399.59 1.41 59.94%
Delaware 12.01 Highest Cost Over 12 Cents / kWh $14.05 $65 $21.24 $11.24 $347.24 4.9 17.29% $47.32 $65 $47.86 $37.86 $388.56 1.45 58.24%
Maryland 11.95 Average Cost Between 8 & 12 Cents / kWh $13.98 $65 $21.19 $11.19 $345.56 4.9 17.21% $47.08 $65 $47.67 $37.67 $386.66 1.46 57.95%
Florida 10.62 Average Cost Between 8 & 12 Cents / kWh $12.43 $65 $19.94 $9.94 $308.21 5.5 15.29% $41.84 $65 $43.47 $33.47 $344.74 1.64 51.50%
Nevada 10.62 Average Cost Between 8 & 12 Cents / kWh $12.43 $65 $19.94 $9.94 $308.21 5.5 15.29% $41.84 $65 $43.47 $33.47 $344.74 1.64 51.50%
US Average 10.6 Average Cost Between 8 & 12 Cents / kWh $12.40 $65 $19.92 $9.92 $307.65 5.5 15.26% $41.76 $65 $43.41 $33.41 $344.11 1.65 51.40%
Alabama 10.1 Average Cost Between 8 & 12 Cents / kWh $11.82 $65 $19.45 $9.45 $293.61 5.8 14.54% $39.79 $65 $41.84 $31.84 $328.35 1.73 48.98%
Arizona 10.06 Average Cost Between 8 & 12 Cents / kWh $11.77 $65 $19.42 $9.42 $292.48 5.8 14.49% $39.64 $65 $41.71 $31.71 $327.09 1.73 48.78%
Michigan 10.04 Average Cost Between 8 & 12 Cents / kWh $11.75 $65 $19.40 $9.40 $291.92 5.9 14.46% $39.56 $65 $41.65 $31.65 $326.46 1.74 48.69%
Ohio 9.81 Average Cost Between 8 & 12 Cents / kWh $11.48 $65 $19.18 $9.18 $285.46 6.0 14.13% $38.65 $65 $40.92 $30.92 $319.21 1.78 47.57%
Pennsylvania 9.71 Average Cost Between 8 & 12 Cents / kWh $11.36 $65 $19.09 $9.09 $282.66 6.1 13.98% $38.26 $65 $40.61 $30.61 $316.06 1.80 47.09%
Wisconsin 9.7 Average Cost Between 8 & 12 Cents / kWh $11.35 $65 $19.08 $9.08 $282.38 6.1 13.97% $38.22 $65 $40.57 $30.57 $315.74 1.80 47.04%
Texas 9.66 Average Cost Between 8 & 12 Cents / kWh $11.30 $65 $19.04 $9.04 $281.25 6.1 13.91% $38.06 $65 $40.45 $30.45 $314.48 1.81 46.84%
Tennessee 9.28 Average Cost Between 8 & 12 Cents / kWh $10.86 $65 $18.69 $8.69 $270.58 6.3 13.36% $36.56 $65 $39.25 $29.25 $302.51 1.88 45.00%
Mississippi 9.18 Average Cost Between 8 & 12 Cents / kWh $10.74 $65 $18.59 $8.59 $267.77 6.4 13.22% $36.17 $65 $38.94 $28.94 $299.35 1.90 44.52%
Georgia 8.97 Average Cost Between 8 & 12 Cents / kWh $10.49 $65 $18.40 $8.40 $261.88 6.6 12.92% $35.34 $65 $38.27 $28.27 $292.73 1.95 43.50%
New Mexico 8.9 Average Cost Between 8 & 12 Cents / kWh $10.41 $65 $18.33 $8.33 $259.91 6.6 12.82% $35.07 $65 $38.05 $28.05 $290.53 1.96 43.16%
Colorado 8.81 Average Cost Between 8 & 12 Cents / kWh $10.31 $65 $18.25 $8.25 $257.38 6.7 12.69% $34.71 $65 $37.77 $27.77 $287.69 1.98 42.72%
South Carolina 8.78 Average Cost Between 8 & 12 Cents / kWh $10.27 $65 $18.22 $8.22 $256.54 6.7 12.64% $34.59 $65 $37.67 $27.67 $286.75 1.99 42.58%
Iowa 8.72 Average Cost Between 8 & 12 Cents / kWh $10.20 $65 $18.16 $8.16 $254.86 6.7 12.56% $34.36 $65 $37.49 $27.49 $284.85 2.00 42.29%
Minnesota 8.64 Average Cost Between 8 & 12 Cents / kWh $10.11 $65 $18.09 $8.09 $252.61 6.8 12.44% $34.04 $65 $37.23 $27.23 $282.33 2.02 41.90%
Kansas 8.53 Average Cost Between 8 & 12 Cents / kWh $9.98 $65 $17.98 $7.98 $249.52 6.9 12.28% $33.61 $65 $36.89 $26.89 $278.87 2.05 41.36%
Illinois 8.34 Average Cost Between 8 & 12 Cents / kWh $9.76 $65 $17.81 $7.81 $244.19 7.0 12.01% $32.86 $65 $36.29 $26.29 $272.88 2.09 40.44%
Indiana 8.27 Average Cost Between 8 & 12 Cents / kWh $9.68 $65 $17.74 $7.74 $242.22 7.1 11.91% $32.58 $65 $36.07 $26.07 $270.67 2.11 40.10%
Missouri 8.11 Average Cost Between 8 & 12 Cents / kWh $9.49 $65 $17.59 $7.59 $237.73 7.2 11.68% $31.95 $65 $35.56 $25.56 $265.63 2.15 39.33%
Montana 8.11 Average Cost Between 8 & 12 Cents / kWh $9.49 $65 $17.59 $7.59 $237.73 7.2 11.68% $31.95 $65 $35.56 $25.56 $265.63 2.15 39.33%
North Carolina 8.09 Average Cost Between 8 & 12 Cents / kWh $9.47 $65 $17.57 $7.57 $237.17 7.3 11.65% $31.87 $65 $35.50 $25.50 $265.00 2.16 39.23%
Virginia 7.97 Lowest Cost Under 8 Cents / kWh $9.32 $65 $17.46 $7.46 $233.80 7.4 11.48% $31.40 $65 $35.12 $25.12 $261.21 2.19 38.65%
Arkansas 7.96 Lowest Cost Under 8 Cents / kWh $9.31 $65 $17.45 $7.45 $233.52 7.4 11.46% $31.36 $65 $35.09 $25.09 $260.90 2.19 38.60%
Kentucky 7.87 Lowest Cost Under 8 Cents / kWh $9.21 $65 $17.37 $7.37 $230.99 7.5 11.33% $31.01 $65 $34.81 $24.81 $258.06 2.22 38.16%
Nebraska 7.86 Lowest Cost Under 8 Cents / kWh $9.20 $65 $17.36 $7.36 $230.71 7.5 11.32% $30.97 $65 $34.77 $24.77 $257.75 2.22 38.11%
Oklahoma 7.75 Lowest Cost Under 8 Cents / kWh $9.07 $65 $17.25 $7.25 $227.62 7.6 11.16% $30.54 $65 $34.43 $24.43 $254.28 2.25 37.58%
Louisiana 7.47 Lowest Cost Under 8 Cents / kWh $8.74 $65 $16.99 $6.99 $219.76 7.9 10.76% $29.43 $65 $33.55 $23.55 $245.45 2.34 36.22%
Oregon 7.44 Lowest Cost Under 8 Cents / kWh $8.70 $65 $16.96 $6.96 $218.92 7.9 10.71% $29.31 $65 $33.45 $23.45 $244.51 2.35 36.08%
Utah 7.43 Lowest Cost Under 8 Cents / kWh $8.69 $65 $16.95 $6.95 $218.63 7.9 10.70% $29.27 $65 $33.42 $23.42 $244.19 2.35 36.03%
Wyoming 7.32 Lowest Cost Under 8 Cents / kWh $8.56 $65 $16.85 $6.85 $215.55 8.0 10.54% $28.84 $65 $33.07 $23.07 $240.73 2.38 35.50%
South Dakota 7.24 Lowest Cost Under 8 Cents / kWh $8.47 $65 $16.78 $6.78 $213.30 8.1 10.43% $28.53 $65 $32.82 $22.82 $238.20 2.41 35.11%
North Dakota 7.23 Lowest Cost Under 8 Cents / kWh $8.46 $65 $16.77 $6.77 $213.02 8.1 10.41% $28.49 $65 $32.79 $22.79 $237.89 2.41 35.06%
Washington 7.01 Lowest Cost Under 8 Cents / kWh $8.20 $65 $16.56 $6.56 $206.84 8.4 10.09% $27.62 $65 $32.10 $22.10 $230.96 2.49 33.99%
Idaho 6.96 Lowest Cost Under 8 Cents / kWh $8.14 $65 $16.51 $6.51 $205.44 8.4 10.02% $27.42 $65 $31.94 $21.94 $229.38 2.51 33.75%
West Virginia 6.56 Lowest Cost Under 8 Cents / kWh $7.68 $65 $16.14 $6.14 $194.20 9.0 9.45% $25.85 $65 $30.68 $20.68 $216.77 2.66 31.81%

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