HomeMy WebLinkAbout4.04 PG&E LightEmitDiodeRebate
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CITY CLERK
File # [2J0J[g)[Q]-~[Q]
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AGENDA STATEMENT
CITY COUNCIL MEETING DATE: November 4, 1997
SUBJECT:
Request to Apply for PG&E Rebate for LED (Light Emitting Diode)
Traffic Signal Conversion; Request for Appropriation to Purchase
Equipment in 1997-98 Fiscal Year
Report Prepared by: Lee S. Thompson, Public Works Director
EXHIBITS ATTACHED:
1)
2)
Application Form and I~tersection Detail List
Budget Change Form
RECOMMENDATION: ~pprove funding for new Capital Improvement Project and
'" application for rebate
FINANCIAL STATEMENT:
See below
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DESCRIPTION: The development of LED (light emitting diode) signal equipment
began several years ago, and technology has now reached the point that the equipment is more reliable.
The advantage to LED's over the traditional incandescent bulbs is that the LED's use far less power, and
they are guaranteed to last at least five years, reducing the cost of annual relamping. For example, the
bulbs used in 12" signal lights are 150 Watt vs. 14 Watt for a comparable LED signal face.
LED's are primarily used for the red traffic signals and, now, for the orange portion of the pedestrian
signals. While yellow and green LED's are available, these two colors are still very expensive and do not
meet the ITE (Institute of Traffic Engineers) luminance requirements; therefore they are not recommended
for installation at this time.
LED's were used in all of the new traffic signal heads that were supplied on the Dublin Boulevard
'Widening project, which included five downtown intersections. This project did not replace all traffic
heads at all of the intersections; so a few incandescent lights remain. LED pedestrian signals were not
installed at these intersections. In addition, some intersections were increased in size and would normally
be expected to use more power. Since installing the LED's, the City has experienced an average 29%
. reduction in electric usage at these intersections, comparing the 1995-96 usage vs. the 1996-97 usage. All
things considered, Staff estimates that if all the red lights had been converted, plus all of the pedestrian
heads, the percentage of savings would be at least 35% to 40%. In addition, LED's have been specified
for all of the new intersections being constructed, including the BART access roads and other eastern
Dublin streets.
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COPIES TO:
ITEM NO.
4.4
f: \contract\signals\agstled
7
Two circumstances have arisen that create a benefit for LED conversions at this time. One circumstance is .
that PG&E is offering a rebate on conversions that is available only if applied for by November 30, 1997,
with the equipment to be installed by March 30, 1998. The other circumstance is a greatly reduced price
offered by one or more manufacturers, which is the same as quantity pricing provided to the City of San
Diego. The special pricing is only available for City-wide conversions for jurisdictions in California and is
less than half the original price of the LED's. This information did not become available until after the
beginning of the current fiscal year; so no funds were budgeted for this purpose.
Alameda County, which has provided traffic signal maintenance services for the City since incorporation,
has made the decision to convert all of its intersections through this program. The County's traffic signal
maintenance crew has typically reacted conservatively to new products and not begun widespread use until
the equipment has gone through an initial shakedown period. Staff feels this is at least an indication that
the LED technology has progressed to a low-risk point.
Staff feels that this is a good opportunity to achieve some savings on electricity. Following is a brief
analysis of the costs involved and an estimated payback period for the investment.
Total material cost (see attached equipment breakdown)
Sales tax:
$38,671
3,190
Estimated labor through Alameda County maintenance contract:
Total expenditure:
5.500
$47,361
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PG&E Rebate:
Net total expenditure:
(I 1.485)
$35,876
Total power bill for 16 intersections for one year (1996-97)
$36,280
Estimated electric savings per year @ 35%:
Estimated relamping savings per year - materials (bulbs)
-labor Ihr/intersection
Total est. savings for one year:
$12,698
$ 500
$ 1.360
$14,558
$35,876 + $14,558 = 2.46 years payback, after which time the savings for power and relamping would
continue. After deducting approximately $2,000 per year interest on the capital outlay, the total estimated
. savings for the first five-year period is approximately $26,000. The warranty period on the LED units is
five years; so the payback period is approximately half the manufacturer's life expectancy for the units.
Two types of failures occur with the LED units - a complete failure, in which the unit does not function at
all (similar to a burned out bulb), and a gradual degradation of light output. At the end of the five-year
warranty period, it is possible that some or all of the LED units may need to be replaced. At current
prices, the City could incur an expenditure at the end of the warranty period that would be similar to the
expenditure being proposed at this time, and the savings in power cost would continue on the same basis;
i.e., a $26,000 savings over five years. If a complete replacement is not necessary, the savings would be
proportionately higher. It should be noted that modifying the signal heads back to incandescent would
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Page 2
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cost nearly as much as replacing the LED units, and the power bills would then go back up.
Staff feels that it is likely that five years from now the cost of the red LED's will be even less, based on the
fact that the cost has dropped from $300 to less than $200 over the past two years. Improving technology
may also reduce the cost of the yellow and green LED's, making it feasible to reduce the power bills by as
much as 80% to 90% by using all LED's. As with any new technology, there is not a sufficient track
record at this point to make guarantees.
Staff recommends that the City Council approve a new Capital Improvement Project to convert the City's
16 remaining intersections to LED's (red lights and pedestrian signals) and approve the rebate application
to PG&E. No commitments would be made toward purchase until the project is approved by PG&E.
Page 3
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CITY OF DUBLIN
BUDGET CHANGE FORM
CHANGE FORM #
New Appropriations (City Council Approval Required):
Budget Transfers:
X From Unappropriated Reserves From Budgeted Contingent Reserve (1080-799.000)
Within Same Department Activity
X From New Revenues Between Departments (City Council Approval Required)
IlftDEcREAsE{ifuDGETti(f.eQuNiWff=:::f=rffht&iouNT::rIIt:::ttt:tiNC~gE{BmGE1fACC.OUNj%=::fttffftfAMOtJNtit::::f::f:::
..... .. ... ................... .. ,','. "":..:':';';':':':':';':':':':':':':';';':':.. :'.:' .. ......................................... ....n.....
...................
.. .....................
Name: Unappropriated reserves Name: LED Traffic Signal Conversion
$35,876 Alameda County install cost $5,500
Account #; (none) Account #: 001-96xx-740~00
Name: New revenue - miscellaneous Name: LED Traffic Signal Conversion
PG&E rebate $11,485 Material purchase $41,861
Account #; 00 1-1000-570-003 Account #: 001-96xx-750-050
Name: Name:
Account #: Account #:
City Manager:
Date:
Signature
. REASON FOR BUDGET CHANGE ENTRY: Requesting new Capital Improvement Project in order to take
advantage ofPG&E rebate and special manufacturer pricing. Rebate amount $11,485 is anticipated to be
received within current fiscal year. Payback period on balance of cost is anticipated to be 2.5 years.
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Mayor:
Date:
Signature
Posted By:
Date:
Signature
form.Jlbudgchng
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APPLICATION DEADLINE: November 30, 1997 .
Available to Commercial, Industrial and
Agricultural Customers
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Application Number . Number. of Applications Attache
Check one: C8:.Rebate qFinancing (Capital Advantage)
__ .0 Project Implementatio~.Assistance (fEPA)., .-
Customer Information .. Please print clearly
N~U "-5..& 1004, b I a
q~ccount Number
I - I 'J-r?.:5 d-.O ~
Federal Tax ID Number Tax Status (check one):
CITY a:: 'DUBLI~
Name of Company I
G INGElZ- Ku..~"ELL / l..JD~ THomPSON
Name of Contact Person .
( 510 ) 633 -CoG 30
Area Code Telephone Number of Contact Person
1 Co I N TEf-SEC:::rl Dr0S - SEE LlST
Address Wnere Item(s) Ins'".alled
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City
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Electric Rate Schedule
Gas Rate Schedule
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( 570 ) 83=3-Co&'Z5
Fax Num r of Contact Person
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Total Square Footage of Building(s) (required)
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State
Check Should Be Made Payable to: . Check if same as above
UTY q)~ 'Du[3LI~
Name
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Agreement Clause
As a qualified PG&E cusromer. I certify that I meet all Retrofit Efficiency Options Program eligibility
requiremems and tl'.ar all infonnation that I have supplied fot my application is trUe and correa.
I certify that J have read and understand the requiremerns set forth in the program brochure and
application forms and that I agree to abide b)' those requirementS
I understand that program panidpation is conditional upon PG&Es pre-instaJlation acceptance of
myapplicaIion and that PG&E makes program commirrnellls only through pre-installation wrtlIe!l
aD:.."P= by way of this properIy signed and countersigned form I understand that incentive
pa)merns are bas...-a on related energy benefirs over the life of the product. I agree that if
I) I do not provide PG&E with I 00% of the related energy bew..firs specified in the application
for the life of the ptodua Ot fot a perIod of five (;) years from receipt of the incentive.
whichever is leSs. or
1) I cease to be a CUSlomer of PG&E during said time perIod. rh"Jl
I shall refund a prorated amount of incentive dollars to PG&E based on the acruaJ p<>Jiod of time in
which I provided the related energy b<>Jlefirs as an eleartc ancllor gas QISlOmer of PG&E.
I understand that this application must be received by PG&E or posrrnarked no later than
November 30. J 997. and that an projecrs must be completed by November 30. 1998.
Tax liability
m=ves are raxable and will be reponed to the IRS unless you are exempt. PG&E will report
your incentive as income to you on IRS Form J 099 unless you have checked corporation or
exempt taX Starns above. You are urged to consult your rax advisot concerning the raxabili!)' of
incennves. PG&E is not responsible for any raxes that may be imposed on your business as a result
of your re-r....eipt of this incentive.
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.' . Customer SigTl2ture
Date
Narnell rtie of t.~ com;::.a..,y om:er- responsible for authorizing project (please print)
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PG&E Pre-installation Acceptance
Thank you for participating in PG&Es 1997 Retrofit EfficienC)' Options Program Your copy of
this dOOJl11ent. SJglled below by the authorized PG&E employees. is proof that your application has
been accepted. and incentive monel' has been set aside for your project.
Acceptance is based on preliminary project. infonnation (e.g.. equipment characteristics and
approximate cost). PG&E reserves the right to disavow eligibility of the application if the installed
equipment is different.
Based on the information contained in this application. your potential incentive is
S II)fB500. .
Please note that any changes in the proposed units and quantities may affect this amount.
Upon completion of the project. submit your 0tiginaJ. itemized. paid invoices and contact our
office to arrange a final inspeCtion.
In no case will PG&:E pay more !ban 100% of the aauaI purthase price of the items. Any manufaaurer
rebate received (or to be received) must be subtraaed from the purchase price before the submission
of this application. This program has a limited budget for each PG&:E Division. Applications will be
accepted on a first-come, first -served basis until the Division's allocated funds are spent.
. The Tailored Energy Planning Assistance CTEP A) Program option is a pilot and may be canceIled
at any time.
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PG&E Representative Signature
Date
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PLEASE MAKE A COPY OF THIS DOCUMENT FOR YOUR R
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REO Liqht Emittinq Diode (LED) Traffic Liqht Proqram Supplemental Sheet
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Application No. NJN SB 00461-9 Customer Material Costs
Listing of TC-1 accounts with LED signals Installed. 12" Ball $114.50 8" Ball $75.00
(To be submitted with LED rebate application payment !equest.) 12" Arrow $70.00 Ped. Siqnal $130.00
Red Red
12" 12" Red 8" Orange Materials
TC-1 Account # Intersection/Address Ball Arrow Ball Ped Rebate Cost
ii!~~~~i~~~ij!j!!f:ti~~f~gM!!!~~mft~!!~jiti!i!i!i!!i!!~!~~M!~L!IIii!!!!!!!!!ii!!i!i!i!!i~~ti!!!~i!!!!!MH%!iI!~~iii!!!!JKlt%l\1!!~iiI!t!!i $40 $25 $30 $25
1 CJN22-10682 Village Pkwy. / Amador 4 0 12 8 $720 $2,398
Valley
2 CJN22-21 002 Amador Valley/Regional 6 0 7 8 $650 $2,252
3 CJN22-21482 Amador Valley/Donohue 6 0 6 8 $620 $2,177
4 CJN22-21721 Amador Valley/Amador 6 4 5 8 $690 $2,382
Plaza
5 CJN22-26201 Village Pkwy.lLewis Ave. 6 4 5 8 $690 $2,382
6 CJ N26-39321 Amador Valley/Stage- 6 4 6 8 $720 $2,457
coach
7 GJN55-16302 Amador Valley/San 4 6 9 6 $730 $2,333
Ramon
8 GJN55-23702 San Ramon/Shannon 6 4 6 8 $720 $2,457
9 GJN55-23801 San RamonNomac 4 4 10 8 $760 $2,528
10 HJN14-05001 Dublin BUDublin Ct. 4 4 9 8 $730 $2,453
11 HJN14-26502 Dublin BUDougherty Rd. 13 5 0 8 $845 $2,879
12 HJN15-05001 Dougherty Rd.lSierra Ln. 17 4 0 8 $980 $3,267
13 HJN15-62251 Dublin BUSierra Ct. 14 4 0 8 $860 $2,923
14 HJN15-76741 Amador Vly.lDougherty 4 2 6 6 $540 $1,828
15 JJN24-20901 Dublin BUClark Ave. 8 4 6 8 $800 $2,686
16 LJN05-05001 San Ramon/Silvergate 3 2 7 2 $430 $1,269
TOTALS 151 76 124 143 $11,485 $38,671