Saturday, July 21, 2012

Program Helps Businesses Get the LED Out for Lower Bills

Con Ed rebate programs make green lighting a go for businesses, while owners save on energy costs in the long run. Certainly, switching to green lighting isn't cheap, even after the rebate program. However, many small businesses are taking advantage of the program, anticipating that trimming their electric bills will pay off.

Worried that construction of the Second Avenue subway would disrupt business at the J. Pocker & Son flagship store on East 63rd Street, the company's president, Robyn Pocker, wanted to ensure that her store remained an oasis for shoppers, despite the tumult outside.

She hired a consultant for advice, and one the recommendations was to upgrade the lighting.

It wasn't energy efficient either, so Ms. Pocker took advantage of a ConEdison rebate program—for businesses with an average peak monthly electric demand of 100 kilowatt hours or less—that covers up to 70% of the cost of switching to green lighting. The new lighting transformed the 1,300-square-foot store.

J. Pocker & Son made the switch with the assistance of Green Lantern Industries in Manhattan, one of about 60 subcontractors working with Con Ed. Green Lantern installed LED lighting throughout the city store in January; the total cost was $11,926, but after Con Ed's contribution, the actual cost to J. Pocker was $3,578. Although it's still too early for Ms. Pocker to know how much money she will save, Con Ed said that electric bills are reduced by 15% to 20% on average after such a change.

Certainly, switching to green lighting isn't cheap, even after the rebate program.

However, many smallbusinesses are taking advantage of the program, anticipating that trimming their electric bills will pay off.

About 36,000 small businesses have participated in Con Ed's Small Business Energy Efficiency Program, said a spokesperson for the utility.

The program began in 2009 and is credited with cutting more than 155 million kilowatt hours from the grid in its first three years. Last year, the Public Service Commission reauthorized the company to continue it through 2015.
The Con Ed program has helped boost sales for small vendors such as Green Lantern, headquartered in Times Square. Founder Randall Satin set a $250,000 sales goal for 2009, their first year. Last year's sales exceeded $2.5 million —way over their projections.

The company employs four full-time workers, selling LED bulbs that produce more light per watt than other bulbs and that last about five years. The LED bulbs don't use mercury or halogen gases, like fluorescents do, and they are recyclable. Although the bulbs are pricier than incandescents or compact fluorescents, they cut energy costs significantly.

Fred Vayman, owner of Delta Signs and Flags in Glendale, Queens, also took advantage of Con Ed's program late last year and changed the lighting in his store. “We spent about $100 and are saving at least 30% on electric bills,” said Mr. Vayman, who has two employees.

Elise Perelman, owner of Lunessa, an artisan jewelry store in SoHo with two employees, hired Green Lantern to change her halogen lighting—which was both inefficient and produced a lot of heat—in December. She replaced it with energy-efficient ceramic metal halide lighting.

She, too, went through the Con Ed program. Her after-rebate cost at the store, which occupies about 350 square feet: $1,800. “That's a big investment for a small business, but I'm so glad we did it,” Ms. Perelman said. “Our energy bills are between a quarter to a third of what we were paying.”