Loveland Saves Nearly $200,000 Through LED Lighting Upgrades at City Buildings
The City of Loveland has saved nearly $200,000 in materials, labor and ongoing electricity costs during 2025 by replacing outdated lighting with high-efficiency LED fixtures across municipal buildings, demonstrating how energy efficiency rebates can substantially reduce upgrade costs for commercial properties.
The lighting conversions, managed by the City Facilities Department, saved money upfront through rebates from Efficiency Works, the regional energy efficiency program serving Loveland, Fort Collins, Longmont and Estes Park. On average, Efficiency Works covered 60 to 100 percent of total project costs, according to Casey Fayette, facilities maintenance coordinator.
"We're trying to save as much money as we can, given the budget cuts the city currently faces," Fayette said. "The process worked fast and well, so I looked for bigger projects."
The savings come during a year when Loveland faced a $10.5 million General Fund budget shortfall, forcing the city to implement service reductions across multiple departments. Parks and Recreation saw $2.95 million in cuts as part of the anticipated General Fund reductions.
First Project Revealed Cost-Saving Potential
A lighting conversion at the Meter Workshop at the Utilities Service Center opened Fayette's eyes to opportunities that rebates provide. The project, originally estimated at $6,000 to $7,000, ended up costing $3,000 after Efficiency Works incentives covered approximately half the expense.
Since that initial success, Fayette has expanded lighting upgrades to both indoor and outdoor fixtures across multiple city buildings. Completed projects in 2025 include the Utility Service Center warehouse and outdoor fixtures, Parks and Recreation Department office buildings, and Heated Vehicle Storage and Vehicle Maintenance Shop.
Fayette is currently assessing upgrades for the Chilson Recreation and Senior Center and Cascade Building, formerly occupied by Group Publishing. Both facilities have aging lighting systems, and upgrades would improve safety, brightness and energy savings.
Energy Savings Drive Cost Effectiveness
The process begins with an inventory of existing fixtures, conducted by the city's contractor, Dickinson Electric, along with an estimate of the kilowatt-hours projected to be reduced from the upgrade. A kilowatt measures power that equals 1,000 watts, and a kilowatt-hour measures the total electricity used over time.
Efficiency Works energy advisors then evaluate the project scope and identify applicable rebates.
"Efficiency Works energy advisors are available to assist all commercial electric customers with identifying energy efficiency opportunities, available incentives and ways to use energy more effectively, all through our free advising and assessment services," said Alaina Hawley, Efficiency Works Business supervisor.
When calculating the cost effectiveness of a project, Fayette looks for savings greater than 55 percent. He factors both the incentives from Efficiency Works and the amount of kilowatt-hours saved. Bigger buildings like Chilson, where the lights stay on for longer periods, can generate a higher energy footprint and cost.
LED lighting reduces energy consumption by 50 to 80 percent compared to older incandescent and fluorescent fixtures, according to municipal utility data. Converting smaller sections of a building at a time is one approach Fayette has used to come in under budget.
Regional Program Serves Municipal Utilities
Efficiency Works was established in 2014 under the direction of Platte River Power Authority, the wholesale electricity provider for Estes Park, Fort Collins, Loveland and Longmont, according to Platte River strategic documents.
The four municipalities extended their partnership with Platte River through 2075, securing wholesale electricity supply for the region's 350,000-plus residents under an agreement that reaffirms commitments to reliability, environmental responsibility and financial sustainability.
Efficiency Works offers commercial rebates for LED lighting upgrades, HVAC improvements and energy-efficient appliances. Typical rebates for LED lighting retrofits cover 50 to 100 percent of project costs for qualified commercial projects, according to business assistance resources. HVAC upgrades such as heat pumps and high-efficiency air conditioners typically receive rebates of $250 to $500 per ton for qualifying commercial systems.
The program is funded by Platte River Power Authority out of its operating budget and through contributions from owner cities' utility budgets. Platte River has established a target of 100 percent noncarbon electricity by 2030.
Sustainable Disposal and Additional Upgrades
The city also saves money through sustainable disposal practices, using its own dump trucks to recycle metal from old light fixtures instead of paying third-party fees to haul the materials away. Dickinson Electric recycles fluorescent light bulbs to ensure safe disposal of hazardous materials.
In addition to energy-efficient light fixtures, the city utilizes rebates to upgrade buildings' heating and cooling systems and older appliances like dishwashers and refrigerators. Appliance rebates helped reduce costs for the newly reopened historic Pulliam Community Building.
For new construction, the city incorporates energy-efficient design from the start, using sustainable materials, efficient fixtures and smart systems to lower operating costs and improve indoor environmental quality.
"A Loveland business with a warehouse or other building with older lights could see similar, substantial savings with Efficiency Works incentives for LED fixtures," Fayette said.
Typical payback periods for commercial LED retrofits range from one to three years when factoring in Efficiency Works incentives, according to municipal utility planning documents. Without rebates, payback may extend to three to five years for full-cost installations. LEDs last three to five times longer than fluorescent or incandescent bulbs, reducing long-term maintenance and replacement costs.
Additional information about Efficiency Works rebates and services is available at efficiencyworks.org.