Model Energy Efficiency Program

Residential Lighting

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Residential Lighting Program

A Residential Lighting program is among the most popular types of energy efficiency programs.

Lighting has been at the top of energy saving potential since the start. A residential lighting program is one of the easiest and cheapest ways to save energy. There are currently two types of energy efficient lighting on the market, CFLs and LEDs. Both provide large amount of energy savings compared to incandescent and last much longer. Below is a table that compares all three types of bulbs.

Light Bulb Statistics (60W Incandescent Equivalent)
Light Bulb Type / Wattage / Initial Cost / Lifetime (Hours) / Replacement Cost (Respect to LED Bulb) / Energy Cost (At $0.09/kWh for 50000 hours) / Total Costs
(At 50000 hours)
Incandescent / 43W
(New Standard) / $1.24 / 1000 / 50*$1.24=
$62.00 / $193.50 / $255.50
CFL / 13-15W / $2.24 / 8000 / 6.25*$2.24=
$14.00 / $63.00 / $77.00
LED / 7.5-11W / $12.00 / 50000 / 0*$12.00=
$0.00 / $41.63 / $41.63
Savings amount of $178.50 for CFLs
and $213.87 for LEDs

The objective of this program is to provide a cheaper energy saving option that saves customers money in the long run. The utility will be responsible for promotion and administration of the program while IAMU will assist in development and technical support.

Program Administration:

Utilities have several options to implementing a residential lighting program.

  • Utilities may offer rebates for energy efficient lighting. Utilities would do this by supplementing a portion of the lightbulb costs to the customers after they have purchased them. In the table below, recommended rebate levels are shown.

Residential Lighting Incentive Levels
Lamp Type / Fixed Incentive / Percentage incentive
CFLs / $2 per lamp up to price of lamp / 50% of Lamps Cost
LEDs / $5 to $10 per lamp up to price of lamp / 30%-50% of Lamp cost up to $10
  • Another possibility is to give away lightbulbs to customers during events or even when they come in to pay bills. Some utilities will provide these to customers who are new to the utility as well.
  • Utilities often connect with organizations to participate in larger scale programs like Be Bright which contracts Utilities with retail sellers to reduce the costs of energy efficient light bulbs at the store level without having to have customers go through a rebate process.

Program Requirements:

  • To be eligible for rebates, applicants must be a current customer with the utility.
  • The lighting must be used in a location on the utility’s service area.
  • If the utility has a rebate program:
  • The utility should require a proof of purchase of the lamps
  • The utility should have a rebate form that lays out all the information needed for the rebate, including the lamp type and wattage for both the new lamp and the old lamp being replaced.
  • If the utility has a lightbulb giveaway program:
  • The utility could limit the amount of bulbs each customer can receive.
  • The utility may require that the old incandescent be brought in to be provided with the new.

IAMU Model Residential Lighting Program

Energy Efficiency Program