NSW IPART Energy Savings Scheme (ESS)

Through our partnership with New Energy Technologies (NET) we are able to offer you with significant subsidies regarding your NSW Commercial LED lighting installation through the NSW State Government’s IPART Energy Savings Scheme (ESS). The Scheme offers a form of rebate or subsidisation to eligible participants who participate in Energy Savings Activities, thereby reducing the cost of energy saving activities/upgrades such as the conversion of existing Traditional Lighting Technologies to more Energy Efficient LED Lighting Technologies.

With the IPART Energy Saving Scheme the cost to the Energy Saver is heavily subsidised and at little or no cost depending on the specification and configuration of the lighting and the number of operating hours. Furthermore the resultant electricity/energy savings range from 40% to 90%, thereby reducing the organisations electricity bill by thousands of dollars per year. Maintenance costs are further reduced with an LED lighting System life span of greater than 10 years depending on configuration, products used and operating hours.

How does the Energy Saving Scheme it Work?

The Energy Savings Scheme (ESS) commenced on 1 July 2009 was designed to help NSW families and businesses save money on their power bills by increasing the opportunities to improve energy efficiency. Reducing electricity usage was also designed to help shield customers from rising electricity prices and from future electricity price increases caused in part by the introduction of the national carbon pricing mechanism on 1 July 2012.

Many people would be familiar with initial ESS activities such as the mass distribution of compact fluorescent light bulbs (CFLs). Others included the distribution of water saving shower heads. Whilst there are many potential ESS activities, the use of LED lighting as an ES activity has come to the forefront in recent years due to the advancement in the technology and the current high efficiency of LED lighting.

The ESS has established legislated annual energy savings targets that must be met through the creation and surrender of Energy Savings Certificates (ESCs).

Electricity power companies and certain other parties such as market customers who buy or sell electricity in NSW (Scheme participants), are required to purchase a number of ESCs each year depending on their power consumption. As part of the scheme they are required to meet individual energy savings targets based on the size of their share of the electricity market.  If Scheme Participants fail to meet their targets, then a penalty is assigned.

These Scheme Participants meet their quota by purchasing ESCs from businesses (Energy Savers) who participate in Energy Savings Activities such as replacing their traditional halogen lighting with LED lighting. As part of that replacement the Energy Saver is allocated ESCs which are surrendered to an Accredited Certificate Provider (ACP) who indirectly subsidises or discounts the LED lighting purchase and installation.

Full details of the Scheme, including application forms, application guides and other documents are available from the scheme website at www.ess.nsw.gov.au.

Unfortunately the scheme with respect to LED lighting is heavily dependent on relatively lengthy operating hours (> 5 hours per day) and a large number of lights to provide a sufficient level of subsidisation and cost benefit. Whilst there are subsidies available for residential LED lighting applications, due to the relatively low number of hours (3 hours per day) and smaller number of lights the level of subsidisation is minimal and bearly covers installation costs let alone administrative costs. Therefore the program at present is suited predominantly to commercial applications. 

What about Non-eligible Energy Savers

Customers or residences who are not eligible for the scheme or who cannot benefit from the scheme or those who are in other states still benefit from our research and development of products which must meet certain criteria to be eligible to be used in the ESS. In addition, even without the IPART ESS subsidisation LED lighting installations in commercial premises with operating hours of greater than 8 hours per day can pay for themselves in as little as 12 months leading to significant ongoing electricity and monetary savings and a reduction in their carbon footprint

References:

IPART Energy Savings Scheme
http://www.ipart.nsw.gov.au/Home/Industries/Electricity/Energy_Savings_Scheme