No-Capex, fully managed LED lighting upgrades across CRE portfolios
Why invest in lights when all you want is energy-efficient light? We cover 100% of the costs of the lighting upgrade and recover our investment with a fixed monthly service fee over a period of five years. We benefit from reliable long-term returns and you benefit from a more energy-efficient facility with none of the risk and work associated with purchasing and maintaining lights. We're able to scale LaaS for thousands of customers because we've engineered our LED lights specifically for this model - to be 30% more efficient than commercial LEDs and practically maintenance-free
during their rated lifetimes (50,000 to 100,000 hours).
Leave all your lighting maintenance to us and say goodbye to 100% of the cost of replacements, stocking, and staff time. The constant operation of the lights is our responsibility, so with over 6 million lights in service today, we work hard to minimize the need for replacements. But when necessary, we replace a light in less than a day - three if a lift is required. We cover colour shift, flicker, and drop in brightness of 30% or more during the service period.
Facilities on fixed schedules allow for easily estimating energy usage and savings during a five-year period. We work with your facility management staff to understand usage and we conduct a thorough survey to propose a LaaS solution. We automatically set the fixed monthly service fee to our lowest required return, to maximize your instant ROI. We do not "share" your savings, so you don't pay any more than necessary. There are no other charges and you never pay anything other than the service fee.
Since our service fee is less than your energy savings, and your first payment is only one month after the installation is completed, your Centropi LaaS generates instant positive cash flow from the start. That's instant return with no payback period. As a bonus, consider your 100% maintenance savings as additional instant return on your LaaS upgrade.
A facility that operates longer than 12 hours per day has the best chance to qualify for LaaS. Having fixed hours make it straightforward to predict savings and set the fixed fee for five years
Fluorescent, halogen, and metal halides have the greatest potential for savings. But even LEDs can be upgraded to our LEDs with savings.
Other than the before-and-after wattage difference, energy cost is the biggest driver of dollar savings. Tariffs as low as US$0.12 per kWh can make a facility viable for LaaS.
Our technicians work with your facility management team to collect information on your current lighting, operating hours, and energy tariff. Within a week of a thorough survey, we submit a proposal for management review. When approved in-principle, we install a product mockup to verify the calculated savings % and validate our model.
To ensure quick and painless delivery, we partner with local installation contractors with excellent project management and safety records. Installation can begin 4-6 weeks after signing the service agreement.
Your first payment is due one month after we complete the installation, so you generate positive cash flow even before your first payment.
We set the fixed monthly service fee to generate the minimum required return on our investment. In contrast to Energy Performance Contracting models, we do not "share" your savings. When you save more, our fee stays the same because we're happy generating our minimum return. This maximizes your ROI and avoids the need for monthly audits for thousands of facilities, in turn simplifying our operations and allowing us to set a lower monthly fee.
Although we're unable to guarantee a dollar amount you will save every month, we do guarantee the wattage of our lights for the duration. This allows for accurate calculation of the savings factor, the % savings generated. So for facilities with fixed operating schedules, a thorough survey of your lights allows us to estimate your current energy usage and LaaS savings for the next five years with reasonable accuracy.
Every aspect of operating and maintaining the lights is our responsibility, so there are never any additional charges. We cover the cost of site surveys, consulting, product/hardware/controls, labour & equipment for installation and maintenance during your service agreement. Apart from the fixed monthly fee, you only have to pay your (smaller) electricity bill.
Ideal facilities have long, fixed operating hours, non-LED lights, and a relatively high energy tariff. But if your facility fits two out of three criteria, it may be a good candidate for LaaS. Let's find out over a quick chat.
Perhaps. If you've recently installed LED lights but your facility runs long hours and you pay a relatively high energy tariff, Centropi LaaS may be an option.
Because our lights are about 30% more efficient than commercial-grade LEDs, it may be possible to structure your LaaS to generate instant positive return - monthly cash that can be used to pay back your previous investment faster or deployed where it can generate a higher return.
If you need to end the agreement for any reason, we offer the option to terminate early for 80% of the remaining value of the contract. This may be useful for divested properties or asset portfolios with holding periods shorter than five years.
During the service agreement the lights remain ours, but we reserve the right to abandon them in-place once the contract expires.
Apart from coast-to-coast operations in Japan, we are currently expanding LaaS to Singapore and developing field operations partners across Asia Pacific. We're also happy to work with your preferred electrical contractor.
If you're an electrical contractor with an excellent record for safety and project management and a history of large, complex lighting installations, do get in touch, we'd love to explore a partnership.
We do offer our investment-grade lighting packages as a direct Capex purchase with supply & installation or just supply of lights and controls. Purchases are discounted from LaaS contract values. This option presents value for companies with green financing required to be deployed toward sustainability improvements, and for companies with restrictions on the length of service agreements they may enter.