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Beware False Gifts......Further Update

It keeps getting worse......29 September


We just analysed a light bulb replacement programme in a hotel where the supplier got the hotel to sign all the forms authorising the Energy Credit to be paid to the supplier!


They then advised the hotel that they had secured a 100% grant for the light bulbs and sent them to the hotel - and offered to install them for €250 per day labour.


The hotel was advised that they would save €30,000 annually on electricity and free light bulbs to boot - great deal!


Reality - The hotel will save €20,000 annually and the supplier got c. €9,000 for their bulbs - c. €15 per bulb - potentially a 50% overcharge

 

What is our message to you?   Do not sign up to any agreement like this - work with GHP to maximise your energy credits.  Separate light bulb replacements programmes from credits/grants - the process must be transparent

 

A segue here....if SEAI undertake an audit of this transaction they may well find an overclaim by the supplier which would rebound on the energy supplier - so the warning is not just to hospitality businesses - it's to obligated parties as well!!  

If you feel you have been ripped off please let us know and send us the details.  info@greenhospitality.ie 

 

 

Be Very Wary of offers too good to be true 

An update on our recent story....

It was announced in a National newspaper today (Irish Times 14/9/2015) that one of the largest utility suppliers in Ireland was partnering with a Light Bulb Supplier to offer "FREE" installation of LED lightbulbs to SME's

The catch?  Nothing is Free - The SME will share the savings with the bulb installer over a 5 year period.


GHP Calculations

A single 50watt Halogen bulb replaced by a 7watt LED operating for 14 hours per day at an average cost of 14.5 c/kWhr

Energy Supplier/Lightbulb Supplier - Special SME Deal


50w Current Cost per annum = €37.05  (5 yrs cost = €185)

7w Cost per annum = €5.19

Annual Saving = €31.86

50% to Light Bulb Supplier Annually = €15.93

5 Years of 50% to Light Bulb Supplier = €79.65

Net 5 Years of savings to SME = €79.65  (43%)


SME doing it themselves


50w Current Cost per annum = €37.05

7w Cost per annum = €5.19

Annual Saving = €31.86

Energy Credit = €10.00  (Estimate)

5 Years Gross Savings = €169.30

Cost of Bulb & Fitting = €30  (Generous estimate)

Net 5 years of Saving to SME = €139.30 (75%)

 

By doing it yourself you pay for your new lightbulb within c. 10 months and then get to keep all the following electricity savings.  Increase your profit by 43% or by 75%?

Now - if the SME replaces 100 light bulbs itself the increased profit would be c.€6,000 - in the 1st model this would go to the bulb supplier.

Is this a real offer and should an offer like this be made by a major utility?  Is this in the best interests of SME's?

 

GHP Repeats its constant message to all businesses - FREE offers rarely benefit the business - be warned.

 

 

Initial news item - August 2015 

 

"Beware Light Bulb Salesman offering Free Bulbs"

 

When a business deal appears too good to be true the general advice is to run away. 

However, when a bulb salesperson offers to Replace your inefficient 50w halogen bulbs with efficient 8w LED bulbs for free - saving you c.€40 pa for 24/7 use - many businesses are saying yes. 

What's the catch?  You will save €40 per bulb per annum if the lights are on 24/7 and the bulbs will last for 3-5 years! 

The catch is that your bulb supplier is being paid c. €18 per bulb which costs only €8 - so your 100 bulbs give them a windfall profit of €1,000 - which should be yours! 

Understanding energy credits and maximising your efficiencies is one of the services offered through the GREENSave programme from GHP.  Call us to find out how you can maximise your savings.  Make sure you maximise your savings

 

 






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