Rule of Thumb Payback Time for a LED Retrofit
The payback on a LED Retrofit can vary greatly and is dependent on kWh rate, hours of operation, and the type of bulb installed.
At typical usage and an average kWh rate, the paybacks are as follows:
T12 Replacement: 3-4 year payback
T8 or T5 Replacement: 4-5 year payback
CFL Replacement: 4-5 year payback
Halogen Replacement: 1-2 year payback
Incandescent Replacement: 1-2 year payback
High-bay or Exterior Replacement: 1-3 year payback
If you have 24 hour usage, then the payback is cut in half. Most buildings still have some halogen and incandescent lighting, which brings the average payback to 2-3 years.
