HomeMy WebLinkAboutINS-16-024 - LED Street Lighting Replacement Program
REPORT TO: Finance & Corporate Services Committee
DATE OF MEETING: March 7, 2016
SUBMITTED BY: Ken Carmichael, Interim Director, Transportation Services
519-741-2200, extension 7372
PREPARED BY: Barry Cronkite, Interim Manager, Transportation Planning
519-741-2200, extension 7738
WARD(S) INVOLVED: ALL WARDS
DATE OF REPORT: February 9, 2016
REPORT NO.: INS-16-024
SUBJECT:LED Street Light Replacement Program
___________________________________________________________________________
RECOMMENDATION:
That a Light Emitting Diode (LED) street light replacement program be undertaken
to replace the existing High Pressure Sodium (HPS) street light fixtures;;
That a narrowband adaptive control network be installed, and further;
That, in accordance with the capital investment philosophy, the capital costs of
the project be funded by future operating budget savings; and further;
That an LED replacement reserve fund be created to fund the future replacement
costs of LED streetlights as outlined in Appendix B; and further;
That $300,000 from anticipated operating savings be set aside to fund Smart City
pilot initiatives in 2017/2018; and further
That a Request for Information be prepared and circulated for the investigation of
a City-wide broadband communication platform.
BACKGROUND:
The City of Kitchener’s existing street light program is comprised of approximately
18,325 High Pressure Sodium (HPS) street lights. Street lighting, in general terms,
provides some significant societal advantages, primarily the prevention of motor
vehicle/pedestrian related collisions and overall general improvements in public safety.
Studies have shown that dark and improperly lit roadways can result in collisions,
especially those involving pedestrians; fatalities are 3 to 6.75 times more likely in the
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dark than in daylight. Appropriate street lighting has been found to reduce nighttime
pedestrian/motor vehicle collisions by approximately 50%.
The City of Kitchener’s existing street light system is one of its single largest consumers
of electricity, consuming approximately 10,000,000 kilowatts of electricity on an annual
basis, at a cost of approximately $1,400,000. When combined with the $450,000 the
City must spend annually to maintain the existing system, the cost to maintain and
operate the current street light network is approximately $1,850,000 annually.
Accordingly, in an effort to substantially reduce electricity consumption, and provide a
better quality and more efficient street light system as a whole, staff from the City of
Kitchener, the Region of Waterloo, and all other area municipalities and townships
within the Region of Waterloo (herein referred to as “the working group”) have jointly
explored Light Emitting Diode (LED) street light technologies and potential street light
replacement strategies.
REPORT:
Due to improvements in LED technology, the use of LEDs in roadway lighting fixtures
has now become a common, accepted practice within the street light industry. Most
lighting manufacturers have introduced LED fixtures as their main focus in their
respective line of products.
LED’s are semiconductor devices that emit light when an electric current passes
through them. They are designed for better control over the electrical current resulting in
low current, heat, voltage consumption and less heat output than high pressure sodium
(HPS) light fixtures. These type of lights tend to have a long lifespan, low overall
maintenance costs and significant energy savings. The expected lifespan of an LED
street light luminaire is approximately 15 to 20 years with most manufacturers offering a
warranty/guarantee for a minimum of10 years.
LED lighting on municipal roadways provides an opportunity to recognize significant
savings in electricity and maintenance over the lifecycle of the equipment. While other
high-efficiency lighting options exist (metal halide as an example), the use of LED
technology has rapidly become the preferred solution throughout the streetlight industry,
due to its lifespan, controllability, efficiency and lighting uniformity. It is estimated that
nearly 500 tonnes of greenhouse gas emissions can be saved annually through the
installation of a full LED street light replacement program.
Staff has confirmed through continued review and consultation with the working group,
that current LED street light technology can now provide the City of Kitchener with
adequate roadway lighting and significant operating and maintenance cost savings.
The cost of a single LED street light fixture is now at a price point where it can pay itself
back in future reduced maintenance and operating costs over a 6-9 year period.
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1.0 Alternative Street Light Conversion Programs
As with any infrastructure replacement undertaking of this type there are multiple
solutions for design, procurement, installation and commissioning. Accordingly, the
working group assessed a number of conversion strategies, including:
Award of a turn-key contract with a significant provider in Ontario
A competitive bid process to award a turn-key contract
A competitive bid process to award a street light re-lamping only contract
A self-managed and directed replacement program
A more gradual conversion program through retrofits done with road
reconstruction projects and maintenance programs
The working group met a number of times in 2015 and determined through a relevant
criteria evaluation matrix that a competitive bid process to award a turn-key contract
would ultimately be the most appropriate solution. Since there are a number of vendors
in the street light market a competitive contract would be more in keeping with the City
of Kitchener’s financial responsibility to provide best value to the taxpayers. A turn-key
implementation option also minimizes project risk, maximizes implementation timelines
and is cost effective with respect to other implementation options considered.
The working group also recognize that through a collaborative Region-wide replacement
program there are several major advantages such as:
Conformance to applicable purchasing by-law requirements through competition
and transparency.
Potential greater cost savings through economies of scale.
Consistent street lighting throughout the region.
Simplified administrative and stockpiling requirements for all Hydro authorities.
One contract for all 8 agencies would simplify and reduce the overall preparatory
work to structure the contract and would ensure the contract deliverables are
provided consistently across all roadways throughout the City of Kitchener and
as required for each respective agency.
2.0 Environmental Impacts
LED’s commonly used in early street light conversions used “cool white” LED’s, with a
colour temperature of 5000-6000k, which is similar to daylight or sunlight. Lighting in
that colour range has led to a number of real and perceived concerns:
Disorientation and disruption to nocturnal species.
Disruption of circadian rhythm affecting sleep patterns.
Increased glare and light pollution (through blue light refraction).
With recent advancements in LED technology, lighting can now be installed with a
colour temperature of 3000K “warm light” spectrum, which is similar to the HPS lighting
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that exists today (2700K).All of the same environmental and financial benefits can be
achieved with the known concerns addressed. Additionally, to avoid inadvertently
increasing light pollution, the chosen luminaires should be full cut-off, limiting upward
light emissions.
The use of warm colour temperature, adaptable lighting and full cut-off fixtures will help
control light pollution and will ultimately result in less light trespass onto private property
and better dark sky compliance.
Nearly 500 tonnes of greenhouse gasses can be saved annually through the installation
of a full LED street light replacement program, and additional greenhouse gas
reductions can be realized through the installation of smart controls.This reduction of
emissions follows the strategy outlined provided by the province of Ontario to reduce
greenhouse gas emissions to 80% below 1990 levels by 2050.
3.0 “Smart Cities”
A smart city uses information and communication technologies (ICT) to enhance quality,
performance and interactivity of urban services, to reduce costs and resource
consumption and to improve contact and service delivery for citizens. Generally, a
Smart City demonstrates the following intelligent City activities:
Innovation in industries, clusters and districts of a City.
Creation and attraction of knowledge intensive companies.
Innovation in solutions to urban infrastructure, transportation, energy and utilities.
Increased and improved services and quality of life for its citizens.
3
.1 Smart Infrastructure
Urban infrastructure refers to the fundamental facilities and systems that provide
essential services to enable, sustain, or enhance living conditions for citizens. These
services are typically provided by a number of agencies, such as the City of Kitchener,
Region of Waterloo, KW Hydro, private telecommunication companies etc.
Existing infrastructure systems are coming under increasing strain due to
unprecedented urbanization, continued globalization, and the effects of climate change.
Yet, as the City grows, so does the numbers of infrastructure assets under its
management. Furthermore, the increased mobility of our societies has created intense
competition between cities to attract skilled citizens, companies and organizations.
To promote a thriving culture, Kitchener must achieve economic, social, and
environmental sustainability. This can be made possible by improving a city’s efficiency,
and this requires the integration of smart infrastructure and services. The scale of the
challenge calls for a smarter approach to infrastructure – one that involves getting more
out of what we have and making the most out of what we build.
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The vast majority of City’s infrastructure operates in a metaphorical vacuum. We look at
infrastructure as individual and unrelated systems. This practice leaves them open to
resource inefficiencies and operational risks, and fails to recognize synergistic
opportunities. To compete with other cities the City of Kitchener should seek ways to
make its urban infrastructure smart by adding intelligence and connecting them as a
part of an integrated network. This will enable the following:
Increased intelligence and transparency – providing the right information at the right
time in order to make informed decisions.
Integration – so that information can be shared across systems and organizations to
eliminate silos and optimize performance.
Automated processes – to boost efficiency and reduce costs
Attached in Appendix A are summaries of examples of Smart Urban Infrastructure
deployed in cities in North America and around the world.
4.0 Network Adaptability and Smart Controls
An LED replacement program as an ideal opportunity to implement an integrated
network with smart controls for the City’s street light system. The addition of smart
controls will enable the City to control and monitor the street lights to provide greater
control and improved overall customer service.
Currently only 1 in 4 “dark” lights are replaced due to the reliance on citizens reporting
burnt out bulbs. By implementing smart controls, outages are identified in real time
through an automated process within the support software. Smart controls would allow
for the City to have full control over the lighting system meaning that individual through
to network wide lights can be dimmed or trimmed remotely, thereby using the asset to
its fullest potential.
By utilizing smart controls for street lighting, the City can reduce electricity consumption
and greenhouse gas emissions from street lighting by an additional 15% and provide
greater overall customer service. Lighting can also be adjusted to light roadways
adequately, which limits over lighting and provides a better citizen experience.
There are three typical communication platforms that can be considered when
considering adaptive controls; Radio Frequency (RF) Smart Controls, Narrowband
Smart Controls, and Broadband Smart Controls.Each of the alternatives is described
below:
4
.1 Radio Frequency (RF) Smart Controls
There are simple RF smart control systems that are designed specifically to control and
optimize street lighting.
These systems are ideal as a single use communications network for street lighting,
allowing the user full control. However, the limitation of RF controls are that they are
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only able to transmit enough data to control street lights and are not scalable to other
smart city initiatives.
It should also be noted that while this type of single tier system does address street
lighting it does not meet or achieve any other smart infrastructures goals or
opportunities.
4.2 Narrowband Smart Controls
Narrowband smart control systems are designed to support multiple smart cities
initiatives on a municipally accessible, standards-based IPv6 network, thereby providing
access for multiple smart grid applications. By utilizing a narrowband system for street
lighting, the City can still reduce electricity consumption and greenhouse gas emissions
from street lighting by an additional 15% and still provide greater overall customer
service at a similar overall cost.
Additionally, because this type of smart controls infrastructure platform provides the
ideal “backbone” required to create a mesh communications network, a platform
essential for smart infrastructure, there are other potential applications that could result
in significant operational and economical improvements. These include:
Smart Parking
Waste Management
Smart Metering
Smart Roads
Snow Level Monitoring
Perimeter Access Control
Should Council choose to support narrowband smart controls, staff will continue to
investigate other opportunities to develop smart city and smart infrastructure
applications.
4.3 Broadband Smart Controls and WIFI
Similar to narrowband smart control systems, broadband smart control systems are also
designed to support multiple smart cities initiatives on an open, standards-based IPv6
network; however, broadband systems can carry significantly more data, and therefore
provides a platform that can also provide municipal based “WI-FI” access. However,
through investigation and analysis staff determined that while there are multiple vendors
for RF/narrowband smart control products that have been tested and proven, most
vendors are just beginning to investigate how to incorporate broadband public WI-FI into
their products. This means that options are limited and for the most part, untested. This
makes the overall cost to supply broadband WI-FI through a relamping process difficult
to quantify since it would be a customized installation for the City of Kitchener.
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In addition, the public access component of a WI-FI system would operate on a different
financial model to the needs of a smart-city platform (i.e. ad revenue, tiered access
thresholds, etc.) resulting in creating challenges to properly scope and tender disparate
functional demands.
By requesting this type of product within the same procurement process as LED street
lighting equipment, the quality of street light product would likely be limited and quality
could suffer. Additionally, broadband WI-FI access on every street light pole would be
needed to control the street lighting; however, it would “over supply” the network. This
would result in significant cost inefficiencies in the system since WI-FI technology for
public access would only be required on approximately one in ten streetlights
Finally, because all municipal infrastructure controls and Public WI-FI access would be
provided through the same platform, potential security (hacking) of municipal
infrastructure operating platforms exist.
Since the procurement model for public WI-FI is very different than street lighting and
smart city controls staff do not recommend installing a broadband system as part of the
LED/Smart cities initiative. However, because there are varying installation techniques,
and potential public/private partnerships with respect to public WI-FI access, staff are
recommending that a request for information be prepared and circulated to further
investigate public WI-FI and determine the best possible solution.
It is recommended that should Council support adaptive controls $300,000 be allocated
to fund other Smart City pilot initiatives. These funds will be paid for through the
operating savings identified for LED lighting. By piloting several smaller scale smart city
initiatives, the City will be able to best determine the initiatives that will provide the
greatest service to the citizens of the City of Kitchener.
5.0 Project Schedule
Subject to Council approval staff will continue to work with the regional working group to
develop an appropriate Request for Proposal (RFP). It is anticipated that the RFP can
be prepared by the end of March 2016 and issued shortly thereafter. Subject to award,
staff we would anticipate that the installation of LED street lighting would begin in the fall
of 2016.
The working group estimates that it would take approximately two years for the
contractor to convert all 43,000 street lights within the City of Kitchener and the Region
of Waterloo as a whole over to LED street light technology.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Strategic Priority: Sustainable environment and infrastructure.
Strategy: 4.3 Reduce greenhouse gas emissions and energy consumption in
all areas of city operations.
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Strategic Action: #100 Infrastructures Services 2015 Business Plan.
FINANCIAL IMPLICATIONS:
The financial business case for converting the City’s streetlights to LED is a traditional
one. There is an initial capital cost, however investing capital dollars up front will yield
ongoing operating savings that will pay back the capital investment. The scenarios
shown below outline the total capital costs, the ongoing (uninflated) operating savings,
and calculate the payback period. The analysis shows that converting to LED has a
payback of 6.8 years, while converting to LED, installing narrowband adaptive controls,
and piloting Smart City initiatives has a payback of 8.3 years.
Scenario 1 – LED Streetlight Conversion
Capital Cost
LED Streetlight Conversion $7,037,225
Total Capital Cost $7,037,225
Operating Savings
Electricity Savings $765,000
Maintenance Savings $175,000
Area Relamping Savings $100,000
Total Operating Savings $1,040,050
Payback Period ($7,037,225 / $1,040,050) 6.8 years
Scenario 2 – LED Streetlight Conversion + Narrowband Adaptive Controls +
Smart City Pilot
Capital Cost
LED Streetlight Conversion $7,037,225
Narrowband Adaptive Controls $2,350,125
Smart City Pilot $300,000
Total Capital Cost $9,687,350
Operating Savings
Electricity Savings $904,150
Maintenance Savings $170,000
Area Relamping Savings $100,000
Total Operating Savings $1,174,150
Payback Period ($9,687,350 / $1,174,150) 8.3 years
In either of the above scenarios, there is a financial business case to make the capital
investment, as there will be operating savings to completely pay back the capital costs.
A new capital account will be created for the project, which will initially have no funding
(and will therefore be in a negative balance), but will be funded in subsequent years
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from future operating savings in the street lighting budget. By funding the project in this
way the City will be borrowing from itself instead of borrowing from a third party through
issuing debt.
The City’s capital investment philosophy was adopted by the City around the year 2000
and guides how the City manages the overall impact to taxpayers due to capital
projects. One of the areas covered by the philosophy is debt. As reviewed with Council
every year during the capital budget, the philosophy limits the impact of increasing debt
charges to the rate of assessment growth. The one exception is for projects which have
a business plan showing revenues generated over a reasonable payback period
covering the capital cost and interest of the project. The LED street lighting project
qualifies for debt as shown in the payback analysis above, but it is staff’s
recommendation to finance the project internally as the cost to borrow internally is
cheaper than externally, and there are clearly identified funding sources to pay back the
project.
Further, once the capital costs have been fully recovered, it is recommended that one
half of the ongoing operating savings be dedicated to a reserve fund to ensure that
monies are set aside for future replacement of the LED street lighting infrastructure.
COMMUNICATIONS:
INFORM – This report has been posted to the city’s website with the agenda in advance
of the council / committee meeting. Constituents that have had concerns with, or have
indicated an interest in LED street lighting have been circulated.
CONSULT – Staff from the City of Kitchener, the Region of Waterloo, and all other area
municipalities and townships within the Region have jointly explored LED street light
lighting technologies and support a continued Region wide approach. The City of
Kitchener and the Region of Waterloo are the only area agencies considering a smart
cities platform as part of this replacement program.
The EnvironmentalCommittee has been consulted on multiple occasions. On February
th
18, 2016, the Environmental Committee and endorsed the following:
That an LED street light replacement program with a colour temperature of 3000K
be adopted for the existing high pressure sodium (HPS) street light infrastructure,
thereby achieving significant reductions in annual electricity consumption and
greenhouse gas production.
And further,
That the installation of a narrowband adaptive control network be adopted to
additionally reduce annual electricity consumption and greenhouse gas
production.
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In addition to the above noted endorsement, the Committee stressed the need for the
City to install street lights in the “warm white” colour temperature range to limit negative
environmental impacts from LED lighting.
Additionally, the Committee had concerns regarding the future of broadband
communication within the City of Kitchener. The Committee recommended that should
the City recommend a complete broadband network as a result of the proposed request
for information, that in depth public consultation should take place prior to installation.
The Region of Waterloo Public Health and Emergency Services Section has been
contacted the supports an LED street light replacement initiative.
ACKNOWLEDGED BY:
Justin Readman, Interim Executive Director
Infrastructure Services Department
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Appendix A
Smart = Sensors+ Network
Sensors + Network + Infrastructure = Smart Infrastructure
The key is to use the data that’s extracted from the sensors placed on
infrastructure components and rapidly transmit them over a network to be
analyzed by software systems. This will enable the following:
Increased intelligence and transparency – providing the right information at
the right time in order to make informed decisions
• Integration – so that information can be shared across systems and
organizations to eliminate silos and optimize performance
•Automated processes – to boost efficiency and reduce costs
Here are a few examples of Smart Urban Infrastructure deployed in cities
in North America and around the world:
Smart lighting: San Francisco will replace its network of 18,500 street light
fixtures with light-emitting diodes (LED). The City has also implemented a wireless
communication network for remote monitoring and control of the lights. The new
LED street light will consume on average 50 percent less energy than an existing
street light, thereby reducing electricity costs for the City and minimizing the City’s
environmental footprint.
Roads/bridges condition monitoring:In 2007, The Interstate 35W bridge in
Minneapolis collapsed into the Mississippi River, killing 13 people and injuring 145.
The replacement bridge built in 2012 was fitted with a series of sensors that
provides a monitoring system that would show overall health of the bridge and any
changes in how the structure is behaving.
Parking management: The Smart parking system in Los Angeles uses sensors
that track the occupancy of parking spaces in the City’s congested areas. Users can
access that occupancy data to determine the availability of spots in various parking
lots, reserve and then pay for them with their mobile phones. In addition to lending
convenience and environmental benefits, smart parking improves the utilization of
existing parking, leading to greater revenue for the City. Los Angeles saw a return
on its investment in smart parking within three months.
Water and gas meter reading:Alabama Gas Corporation (Alagasco) implemented
advanced metering technology across 494,000 meters in 2010. The automation cut
meter reading costs by 95% and significantly reduced the resources associated with
meter reading. The deployment has also improved customer service and lowered
operational costs by using data-logging information to investigate and resolve bill
complaints. This includes using endpoint configuration reports to ensure data meter
reading accuracy.
Water and gas distribution infrastructure:The City of Murfreesboro, Tenn.
Water & Sewer Department (MWSD) that provides water to nearly 100,000
customers is using smart water solution to modernize its water distribution system.
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Appendix A
The solution will be used to more effectively and efficiently manage the delivery and
use of water through automation, leak detection and analytics. The smart water
solution enables MWSD to take advantage of detailed meter data and analytics to
support enhanced customer service, revenue protection, consumption forecasting,
flow analysis and district metering. With sensor based leak detection technology,
MWSD will acoustically listen to its distribution system to pinpoint leaks enabling
MWSD to better monitor distribution lines for leaks, helping reduce non-revenue
water, associated costs and potential service disruptions caused by major leak
events.
Transportation and Traffic management: The City of Skopje uses sensor based
intelligenttraffic management and control systems that allow them to collect real
time data on the traffic flow in the City. This allows them to optimize timing on the
traffic lights in real time, give priority to public transport vehicles as well as
ambulance, fire and police. Additionally they can send real time traffic and travel
time information through the traffic signs installed in the City. The system has
resulted in a 15% decrease in travel times for private traffic, 10% decrease in
emissions and fuel consumption and a 20% increase in the speed of commercial
and public transport vehicles.
Electric Vehicle Charging: Kansas City Power & Light Company (KCP&L)
announced its plans to install and operate more than 1,000 smart electric vehicle
charging stations across the greater Kansas area. Smart Charging Stations are
usually equipped with revenue-grade measurement systems, ZigBee Smart Energy
communications, and a full-featured Wi-Fi access point. It also integrates with other
charging stations allowing utilities to extend smart grid intelligence to electric
vehicle charging infrastructure.
Winter Maintenance: Washington Group International supplied and installed
Smart snow monitoring solutions for the Iraqi ministry of water and natural
resources. These systems can be used to monitor snow levels and respond based
on real time snow level measurement.
Security:The City of Dallas uses smart surveillance and evidence management to
close law enforcement cases more quickly and enhance crime victims’ experiences–
while respecting privacy requirements. From video monitors installed in critical
areas that know when to alert an officer when something unusual is detected
(weapons, fights etc.) to police vehicle dashboard cameras, these programs
effectively utilize smart systems to maintain security. Citizens even have access to
captured video to privately review their own cases.
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Appendix B
ReserveFundInformationSheet
NameofReserve/ReserveFund LEDStreetlighting
Category ReserveFund
Type Discretionary
Classification ProgramSpecific
Purpose
Providesfundingfortheupgrading/replacementofstreetlightstoimprovedtechnology.
FundingSource
transfersfromtheoperatingbudget(basedonenergysavingsduetostreetlightingupgrades).
interestincome
AppropriationofFunds
transferstothecapitalbudgetforstreetlightingupgrades.
TargetLevel
Minimum:
Closingbalanceshouldnotdropbelowzero.
Rationale:onlythefundingavailablewillbeusedtoreplace/upgradestreetlights.
Maximum:
Closingbalanceshouldnotexceed$10,000,000
Rationale:approximatecosttoreplacestreetlightsandimplementnarrowbandadaptivecontrolsin
2016.
Excess:
ExcessfundinggreaterthanthemaximumtransferstotheTaxCapitalreservefund.
NextReview:2017
Reporting
annualreporttoFCSC
Accountability
CostCentreTBD
DivisionalOwnershipInfrastructureServices,
TransportationServices
OwnershipLeadDirector,TransportationServices
InterestAllocation
Yes
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Appendix B
Other
PreviousPolicy
PreviousTitle
RepealDateforPreviousPolicyNone
Nochange
ResolutionDateNotapplicable
AmendmentDate(s):
RepealDate:
Proposedstartdate
EndDate(ifapplicable)
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