The IES announces the publication of IES RP-31-14, Recommended Practice for the Economic Analysis of Lighting. RP-31-14 provides a framework for the lighting practitioner involved in making important economic decisions relative to lighting such as: selecting from a group of competing lighting designs, establishing when a system under consideration will “pay off,” making energy conservation decisions, and most importantly, gauging the profitability of a capital investment in a lighting system that can be objectively compared to other competing capital investments.
Life Cycle Cost/Benefit Analysis (LCCBA), the most robust among analytical methods, is accepted by experts in managerial economics from all industries and accordingly, is the economic analysis method recommended by the IES. The distinguishing and superior feature of this second-level method is that it includes the time value of money. First-level analysis methods are also covered so that the lighting professional can understand why their use is not encouraged.
RP-31-14 is available in print or as a PDF download from the IES at http://www.techstreet.com/products/1881298.