FAQ

Very nicely, thank you. Philips will generate an Energy Financial Analysis (EFA) based on the ASHRAE Level 3 grade lighting audit and walkthrough of the project completed by Republic Energy Services (RES). Utilizing the lighting burn times identified for the auditor by you, the analysis will accurately determine the monetary, energy, and maintenance savings for your facility. The calculated savings will determine the Simple Payback period (typically, less than 4 years). Philips will guarantee the result of the energy consumption analysis and proposed system performance to be accurate to within 10%. If, after measuring the performance of your new lighting system, it is determined the proposed savings will not be realized, Philips will reimburse you to adjust the system investment and ensure your payback actually realized is within that 10% margin. This Financial Performance Guarantee eliminates all risk that the new lighting system will not generate the estimated financial benefit.

That’s easy. The kilowatt savings are determined using a straightforward mathematical calculation. Each lamp or ballast in a lighting fixture consumes a specific amount of electrical power. For instance, we know a 4-lamp T12 fixture consumes 190 watts based upon the fact that it uses four 40-watt lamps and has a ballast draw (x2) of 15 watts. To calculate the energy savings, we subtract the total input wattage of the new light fixture which we also know from the total input wattage of the existing lighting fixture and lighting components. That figure equals the reduced energy consumption. The two variables in the equation are the burn (on) time for each light fixture and the utility rate paid by your facility. The burn times are identified by you during the audit. The utility rate is calculated from your utility bills as an average kWh rate of what is actually being paid to your local utility provider. If necessary and helpful, we can verify the monetary and energy savings for you by measuring the input wattage following installation.

Technology, times arithmetic. We determine your energy and maintenance savings with the Energy Financial Analysis tool. Energy savings are calculated using the savings model above and incorporating the utility rate and burn times you provide. The maintenance savings are determined by using an industry-standard rated average life of the existing lamp and ballast configurations and measuring them against the annual burn times of each fixture type. By utilizing the industry-standard rated life of existing fixtures, we can estimate for you, with extreme accuracy, the cost (material & labor) to replace the fixtures at the end of their life. Depending on how the lighting system currently is being serviced, each facility might have different costs, some much higher and some lower. Since it typically is difficult for a client to determine the precise expense allocated to maintaining only the facility’s lighting system(s), we use standards that are common in our industry, allowing us to provide you with a comprehensive, and precise, dollar figure of the cost to operate your lighting system(s).

Absolutely not. Shared-savings programs do precisely what their name indicates. They share in (and subtract from) your savings over time. Shared-savings programs were popular for a while because they represented a “no cash out of pocket” program. The Energy Services Company (ESCO) would share in your energy savings over a period of time, usually about 10 years. For example, if a lighting retrofit project generated $1,000 per month in energy savings, you would pay the ESCO $600 or $700 per month for 10 years, sometimes longer. We at RES/Philips do NOT share in your savings because we believe they belong to you. We will calculate savings and define project costs up front. Through our partnership with Philips, we offer private financing options that can be customized to meet the needs of our clients. Because we have private funding, the options are endless and cannot be equaled within the lighting retrofit industry. Our RES/Philips package allows you to benefit from a positive cash flow situation from day one with exactly $0 out-of-pocket costs, now or later. There’s no catch, no gimmick, no surprises.

System is the key word. We will change only those lighting fixtures that make financial sense for you to change. If we cannot significantly improve the efficiency and performance of a fixture, we will leave it alone. We don’t, however, leave a light fixture alone if we are changing others of the same type, because we will make certain the proposed lighting is architecturally and aesthetically correct. We will optimize the number of lamp types designed and utilized in the new proposed lighting system so you can optimize space and buying power of your onsite lamp stock. We also will provide for you a scope of work and submittal package at the pre-construction walkthrough so you know precisely what will and will not be changed. All final decisions regarding specific light fixture types will be made by you, and any change orders will be made at that time.

No way. Our package is far more comprehensive, and our goal is to reduce your energy operating costs as much as possible, which usually means installing a new, more efficient light fixture. Light fixtures historically have been designed around simply lighting a space and not with efficiency and operating costs in mind. Our technologically advanced light fixtures are designed with efficiency and performance as the central focus. Using lighting fixtures that are now up to 95% efficient, we typically can provide better lighting for you, while at the same time consuming less than half the electricity used by the replaced light fixtures, which historically are only about 65%75% efficient. What this means for you is that 95% of the light generated by our light fixture is usable light. Merely changing out lamps and ballasts, in many cases, is a very slight lumen improvement, but it’s not the most efficient or best-performing solution for you. However, because we understand there are occasional applications where it still makes sense, for your facility and situation, to do a lamp-and-ballast change-out only, we will design and use the best solution in each application.

You cash the check. As another component of our inclusive turnkey project, the Republic Energy Services/Philips professionals will do all the work for you, researching all available rebates and completing all the necessary paperwork for you to submit to the utility. The rebate comes back to you in the form of a check from the utility. Rebate programs are subject to availability and restrictions, per local utility. We leverage our relationships and extensive communication with the local utility companies to stay out front of industry changes and new opportunities as they arise. When we design your new lighting system, we will work to maximize your efficiency to ensure the largest possible rebate.

No need. The Republic Energy Services/Philips installation team will leave behind a stock of extra lamps in case of any immediate failures. If you do replace a lamp and it still does not function properly, then it’s time to contact RES. You have only one call to make. Because of our partnership with Philips, there never will be an occasion where you are referred to multiple manufacturers to address the issue. Republic Energy Services/Philips stand behind our turnkey projects for 5 years.

Just two things.  Philips Lighting Capital can prequalify you with a review of your Dun & Bradstreet report and then a final approval, you will complete a simple Philips Lighting Capital Lease Application and provide copies of 2 years tax returns or financials.