According to the Carbon Trust, commercial and industrial lighting consumes an estimated 20% of UK electricity generation. In most businesses, lighting can account for up to 40% of total electricity costs - this is especially the case in a large storage building such as a warehouse.

There are three distinct reasons to justify the investment in the installation of new LED lighting systems:

• The financial case for industrial LED lighting systems
• The operational case for industrial LED lighting systems
• The environmental case for industrial LED lighting systems

The Financial Case for LED Lighting in Factories & Warehouses

• The savings made through new energy efficient commercial LED lighting system can represent the single biggest cut a business can make to on-site electricity expenditure. All savings contribute directly to net profit.
• Energy saving commercial LED lighting provides a guaranteed financial return with profits expected within 36 months typically - including installation.
• Energy efficient LED lighting can be installed with no capital outlay, only being repaid as monthly instalments as equivalent or exceeding savings are generated by the new lighting system.
• Enhanced Capital Allowance tax relief (writing off 100% of the capital cost against tax in the first year) allows faster return-on-investment for an industrial LED installation.

Some indirect financial benefits include:

• Reduced lighting system maintenance costs (the costs of day-to day commercial lighting maintenance services on an older system can be significant e.g. cost of replacement lamps, the hiring of expensive lifting equipment and contractors).
• The cost of heating/cooling loads in a commercial or industrial building (e.g. air conditioning, environmental systems) can be significantly lowered through an LED lighting installation.
• A well designed lighting installation can improve staff productivity within the business as a result of improved working conditions and lighting levels.
• Less risk of corporate financial penalties due to accidents or non-compliance with regulations/directives this is where a wise investment in a commercial or industrial lighting set-up can really pay off.

The Operational Case for LED Lighting in Factories & Warehouses

• Improved staff productivity through more comfortable working environments when areas are lit brightly enough and/or given a more suitable "quality" of light (close to daylight) for the type of work being undertaken in the location.
• The disruption of maintaining a commercial/industrial lighting system can be reduced significantly - new lighting technologies can operate for many years between necessary lamp changes.
• New LED commercial or industrial lighting can protect a business against liability from existing health and safety issues and bring a site up to scratch by adopting best practices such as:
  • Ensuring that CIBSE lighting lux levels guidelines are met
  • Eliminating dim lighting in dangerous working areas
  • Addressing issues with hazards caused by lighting such as lowering glare experienced by forklift vehicle operators etc
• A contractor offering a package of industrial lighting services can identify the risks associated with older, unsafe lighting wiring & circuits etc.
• Using a financial scheme for an LED lighting installation allows capital equipment (CAPEX) or maintenance budgets to be reserved for other on-site services and repairs and you may even still save money on a monthly basis.

Other benefits of new industrial LED lighting systems include:

• The ability to get achieve instant full light levels (no warm-up or re-strike time after e.g. a power outage)
• Some lamps (for older fixtures) are difficult to source due to the ceasing of their manufacture (an example being 8 foot T12 fluorescent tubes) the upgrading of light fittings to LED eliminates these associated risks.

The Environmental Case for LED Lighting in Factories & Warehouses

• Being part of a clear Corporate Social Responsibility (CSR) initiative and a carbon reduction strategy to supply chains and customers.
• A newly installed LED commercial lighting system provides a very "visual" demonstration of a sustainability/carbon reduction project an investment made in energy efficient lighting provides a very strong message to customers & supply chains who increasingly need to see businesses taking climate change seriously.
• New energy efficient LED light technologies require much less frequent lamp replacement. This makes it easier for a business to ensure compliance with ever tighter environmental regulations [e.g. the waste electrical and electronic equipment recycling (WEEE) initiative] requiring specialist hazardous material disposal for expired lamps etc.)
• Budgets can be ring-fenced for other carbon reducing projects within the business, eliminating what is usually the biggest barrier for capital investment projects.

We can point you in the right direction for financing solutions to help companies avoid the initial capital expenditure. If required and subject to approval, our packages provide savings and revenue from the day the system is commissioned, with minimal installation down-time allowing you to get on with your business.

Various financing options are available - contact us to discuss your requirements.