Frequently Asked Questions

About PEC

What does Pacific Energy Concepts (PEC) do?

Pacific Energy Concepts (PEC) is a lighting-specific general contractor specializing in LED lighting retrofits and energy efficiency solutions. We’ve completed over 8,000 lighting projects since 2009 across all 50 states and Canadian provinces. We provide full turnkey services including site evaluations, lighting design, rebate management, material procurement, installation coordination, and post-project support.

How is PEC different from working with an electrical contractor or distributor?

We’re manufacturer-agnostic, meaning we don’t represent just one lighting brand. We work with all leading manufacturers to provide you with multiple options (good, better, best) tailored to your needs. We also handle lighting design in-house, manage utility rebates, and provide comprehensive project management. We go direct to manufacturers, which allows us to pass savings along to you while providing additional value-added services.

Do you charge for site surveys and evaluations?
  • No, we do not charge for site surveys or evaluations. We provide these services at no cost as long as we understand the project parameters and there’s a genuine opportunity to move forward. The only time we ask for payment is if you decide to proceed with a lighting project with us
Do you offer financing options?

Yes, we offer zero-percent financing through PEC Capital for qualified projects. This allows you to implement projects with no upfront capital expenditure. The monthly payment is structured so your energy savings typically exceed the payment amount, making the project cash-flow positive from day one. Terms typically range from 24-60 months depending on the project.

Can you work around our production schedule?

Absolutely. Our project managers work closely with your team to minimize disruption. We can schedule installations during off-hours, weekends, or planned shutdowns. We create detailed installation maps and Gantt charts showing exactly when we’ll be in specific areas and coordinate closely with your operations team.

Lighting

What is an LED?

In the simplest terms, a light-emitting diode (LED) is a semiconductor device that emits light when an electric current is passed through it.  

Light is produced when the particles that carry the current (known as electrons and holes) combine within the semiconductor material. 

Since light is generated within the solid semiconductor material, LEDs are described as solid-state devices. The term solid-state lighting distinguishes this lighting technology from other sources that use heated filaments (incandescent and tungsten halogen lamps) or gas discharge (fluorescent lamps). 

An LED is also powered by a driver rather than a ballast which is used with older lighting technology. 

What is an LED driver?

All LEDs require a driver. A driver is an electrical device that regulates the power to an LED or string of LEDs. Able to respond to the changing needs of the LED, or Circuit of LEDs by supplying a constant amount of power as its electrical properties change with temperature 

What are some of the problems with high-intensity discharge (HID) lighting?
  • Extremely high energy use 
  • Require separate lamps and ballasts (driver) 
  • High warm-up time (10-15 minutes before they reach full power) 
  • Throw off large amounts of heat 
  • Throw light everywhere, not focused at all 
  • Low color temperature 
What are the advantages of LED?

LEDs are superior lighting technology for a number of reasons. 

  1. Color Quality: LED lighting has higher color quality meaning the color of the light and the areas lit by LED is more crisp, bright, and maintains a consistent color for a longer period of time.  
  2. Optical efficiency: LEDs are easier to control allowing for greater magnification (management of light levels), directional control using optics you have more optical control of an LED allowing you to target the direction or spread or light for specific use cases. With the addition of lighting controls you have virtually unlimited ability to  
  3. Energy Efficient: LEDs are more energy efficient, they produce a brighter light, use less energy than other lighting technologies and last much longer. LEDs cost up to 80% less to operate than incandescent lights.   
  4. LEDs are safer: LEDs emit less heat and are therefore better in certain high temperature environments they also do not contain toxic mercury like that found in all CFL bulbs.  
What are the benefits of LED?
  • Optical efficiency; magnification and ability to direct light toward target area using the optic lens. 
  • Efficacy: Chip and driver combo’s, doing more with less 
  • Controls:  
    • Advanced control capability  
    • Dual Relay Sensors 
    • Back end Control system 
  • Virtually unlimited control: 0-10V dimming capability. 
  • Thermal Management 
    • Less heat overall. Heat sink to dispel it quickly.
  • Color Quality 
    • The color is crisp, bright, and consistent longer  
  • Energy Efficiency 
    • LEDs cost up to 80% less to operate than incandescent lights.   
  • Safety 
    • No toxic mercury like that found in all CFL bulbs  
  • Life Expectancy 
    • No vibration 
    • No filaments that have trouble withstanding electrical fluctuations from powering up and down, thermal management 
    • Controllability allows for cutting trim and with lumen depreciation increase to extend life  
How do LEDs save energy?

LEDs use about 80% less electricity while providing the same brightness of incandescent and around 25-35% less energy than fluorescents. Their lifespan is not shortened by turning them on and off frequently – which means they work well with control systems / sensor – this enables additional capability to save even more energy. 

LED Lighting optics overview

What is a Heat Sink in relation to LED?

It is important to maintain low temperatures to ensure the performance and longevity of LEDs.  LED’s are typically encapsulated in resin which is a poor thermal connector.  Most heat is created on the back side of the chip.  The heat sink is usually aluminum but can also be copper.  It allows a path for the heat away from the LED. The heat sink is located on the back of the LED where most of the heat is generated. 

What are foot-candles?

Foot-candles (FC) a measure of light the human eye can see as opposed to lumens which are a measure of light output from a light source or fixture. Foot candles are an imperial system unit of measurement used to calculate lighting levels in workspaces. A foot-candle is equal to one lumen per square foot. There are independent foot-candle recommendation boards such as IES.org that indicate the amount of light needed to meet basic lighting-level requirements in industry specific spacesInternational markets (Canada & Mexico) use Lux (lumens per square meter) to measure illumination levels.

Learn more on foot-candles here »

Footcandle Infographic - Pacific Energy Concepts

What are photometrics?

Photometry is the science of measuring visible light as perceived by the human eye. Measuring unit of illuminance is the lux or FC (foot-candle) the amount of illumination a given surface unit receives. We use a 3D modeling software as a calculation tool and visual demonstration tool to provide precise and accurate photometric predictions when building out a new lighting system as part of our proposals. We use a light meter to measure existing foot-candles in a space during an audit and compare these measurements with those in our proposed lighting design in each custom designed project.

Learn more about photometrics »

What is Lighting Power Density (LPD)?

When planning a new building or doing a major remodel, you may be asked to meet local or state energy codes for lighting. This means you are only allowed a certain amount of light power density (LPD) and is calculated by lighting watts per square foot. These lighting requirements are defined by the American National Standards Institute (ANSI), American Society of Heating, Refrigeration and Air-Conditioning Engineers (ASHRAE), and the Illuminating Engineering Society (IESNA).  

The intent of LPD is to encourage the use of more efficient technologies in the built environment.

How do I know if I should upgrade to LED?

If you run or own any facility and you care about energy spend, safety, maintenance costs, environmental conditions, or sustainability then you should be evaluating your lighting system. An LED lighting upgrade is a low hanging fruit in the world of energy efficiency gains.

What facilities benefit from LED retrofit upgrades?

Any facility can benefit from an energy efficient lighting upgrade, however, commercial, and industrial facilities with large square footage have the most to gain from an LED retrofit upgrade.  

How much can I save with an LED lighting upgrade?

At the outset LEDs draw a lower wattage than other lighting systems and thus use less kWs per hour than most other lighting technology. Precisely how much you can save with your LED lighting upgrade depends on a number factors including; your current/existing lighting system, your cost of power, the LED solutions you select and if you include advanced controls or networked control systems. With LED upgrades we can often reduce the total number of fixtures in your facility while providing a brighter light level than was possible with your old lighting. This light fixture count reduction also results in reduced energy costs! 

How will a lighting project reduce my maintenance costs?

Incumbent lighting like fluorescents, HIDs and incandescent, for example, require regular maintenance and frequent lamp replacement. Because LED technology places far less demand on the fixture components in general, they last much longer than old lighting technologies and often eliminate the need for regular maintenance. This results in a longer life-time and lower total cost of ownership.  

How do you handle high-heat environments?

We specify fixtures rated for your specific ambient temperature conditions. For areas near furnaces, ovens, or other heat sources, we use fixtures rated for extreme temperatures (up to 65°C or higher). We map heat zones during our site survey and select appropriate fixtures for each area.

How do you handle hazardous location fixtures?

We provide fixtures with appropriate ratings (Class I, II, III; Division 1 or 2) for hazardous environments. While these fixtures cost more due to specialized housings and certifications, we still optimize the design to minimize total project cost while maintaining safety compliance.

Will you need to shut down our operations?

Most installations can be completed without full shutdowns. We work section by section and coordinate with your team to minimize disruption. For critical areas, we can schedule work during planned maintenance windows, weekends, or off-shifts. We discuss access requirements during the proposal phase.

Can you reuse our existing electrical infrastructure?

In most cases, yes. We typically reuse existing electrical infrastructure (conduit, wire, junction boxes) which significantly reduces installation costs. We may add whips (flexible conduit) to allow fixture repositioning if we’re optimizing the layout. We only run new power when necessary.

Do you handle recycling old fixtures?

Yes, proper disposal and recycling of old fixtures, bulbs, and ballasts is included in our turnkey projects. We ensure compliance with environmental regulations for mercury-containing lamps and other materials.

Electric Vehicle Charging

How much does an EV charging project typically cost?

Project costs vary significantly based on your specific site conditions. For level two charging stations, total turnkey projects typically range from $30,000 to $60,000 for four ports, with infrastructure being the primary cost driver rather than the charging equipment itself. The distance from your electrical panel to the desired charging locations, whether we need to trench through concrete or asphalt, and your available electrical capacity all impact the final cost. DC fast charging projects are more substantial, typically ranging from $80,000 to $200,000+ depending on power requirements and infrastructure needs.

 

What incentives and rebates are available?

Incentive programs vary by location and utility provider. Many utility companies offer rebates ranging from $2,000 to $8,000 per port for level two chargers, and significantly more for DC fast chargers. Some programs cover up to 90 percent of installation costs. State and federal programs may also be available, including a 30 percent federal tax credit (Section 30C) and accelerated bonus depreciation. We have a dedicated incentives team that researches all available programs for your specific location and handles the entire application process. We can often defer incentives to reduce your upfront costs.

 

What are the ongoing costs after installation?

The primary ongoing cost is the annual network and software fee, which typically ranges from $150 to $365 per port per year depending on the manufacturer and service level. This fee covers the cloud platform that allows you to control access, set pricing, track usage, and manage your charging stations. Most manufacturers offer discounts if you prepay for multiple years upfront (typically 10-20 percent savings for five-year terms). There are also minimal electricity costs, which you can offset by charging users.

What is the difference between level two and level three (DC fast) charging?

Level two chargers are the most common for workplace, hospitality, and multifamily applications. They operate on 208/240 volt power and provide approximately 20-50 miles of range per hour of charging, depending on the amperage (typically 32-80 amps). A full charge takes 3-8 hours, which aligns well with the dwell time at these locations.

Level three (DC fast) chargers require 480 volt three-phase power and can provide 100+ miles of range per hour, with full charges in under an hour. However, they require significant electrical infrastructure upgrades and are typically 3-5 times more expensive than level two installations. They are best suited for highway corridors, fleet applications, or locations where rapid turnover is essential.

Which charging station manufacturers do you work with?

We are vendor agnostic and work with all major manufacturers including ChargePoint, Blink, Flow, Autel, Loop, and others. ChargePoint is often recommended for its robust software platform and modular hardware design, but we select the best manufacturer based on your specific use case, budget, and requirements. Each manufacturer has different strengths in terms of pricing, software capabilities, warranty coverage, and network fees.

Can we charge users for charging, and how does the revenue work?

Yes, with networked charging stations you have complete control over pricing. You can set rates per kilowatt-hour (typically 30-50 cents in most markets), charge by time, or offer free charging as an amenity. You can also create different pricing tiers for employees versus guests, or implement idle fees to encourage drivers to move their vehicles after charging is complete.

The charging network handles all payment processing. Most manufacturers take a small transaction fee (typically 7-14 percent) to cover credit card processing costs, and you receive the remaining 86-93 percent of revenue. Payments are typically sent to you monthly via direct deposit or check.

What are carbon credits and how do they work?

In California, Oregon, and Washington, you can monetize Low Carbon Fuel Standard (LCFS) credits based on the electricity dispensed through your charging stations. Approximately every 1,000-2,000 kWh equals one credit, and credits currently trade for $75-175 each depending on the state (Oregon currently offers the highest rates). You can generate sustainability reports from your charging platform quarterly and work with a broker who will purchase your credits (taking a 10-20 percent fee). This provides an additional revenue stream beyond charging fees. We can connect you with carbon credit brokers as part of our service.

What about vandalism and cable theft?

Cable theft does occur occasionally, though it is less common than many people fear. Thieves mistakenly believe there is valuable copper in the cables, but there is only about $8-10 worth. We recommend several deterrents: high voltage warning stickers, protective bollards, good lighting, and security cameras. Newer stations offer cut-resistant cables that are much more difficult to damage. If a cable is cut, the warranty typically covers the labor to replace it, though you would pay for the replacement cable itself (typically $200-1,000 depending on the model). The modular design of modern stations makes cable replacement straightforward.

What if we do not have enough electrical capacity?

This is one of the first things we evaluate during our site assessment. If your existing panels do not have sufficient capacity, we have several options: we can use power-sharing technology so multiple ports share circuits, we can upgrade your electrical panel, we can install a new dedicated panel for EV charging, or in some cases we can install a new transformer. We design solutions to maximize the number of ports you can install while minimizing infrastructure costs. A load study can determine exactly what your facility can support.

Can we start small and expand later?

Absolutely. Many customers start with 2-4 ports and expand as demand grows. We can pre-run conduit and wire to additional locations during the initial installation, which makes future expansion much more cost-effective since the infrastructure is already in place. This is especially valuable when incentive programs are available, as you can lock in the infrastructure while funding is available and add stations later with minimal additional cost.

What are the next steps to move forward?

The typical process is: (1) Initial site assessment where we evaluate your electrical capacity, desired charging locations, and site conditions, (2) We develop a detailed proposal including equipment options, installation scope, costs, available incentives, and ROI projections, (3) Once you approve, we execute a work order and begin engineering and permitting, (4) We apply for and secure any available incentives, (5) After permits are approved, we schedule installation with you, (6) Installation is completed in 5-10 days, (7) We activate and commission the stations, (8) We provide training on the software platform and hand over a fully operational system.

Energy Monitoring

What exactly does an Energy Monitoring system do?

Energy Monitoring provides real-time visibility into your facility’s energy consumption beyond what your utility bill shows. The system uses wireless sensors installed on your electrical infrastructure, along with meters for gas and water, to track exactly where energy is being consumed throughout your facility. You can monitor everything from your main electrical service down to individual pieces of equipment, giving you minute-by-minute data on consumption patterns, costs, and equipment performance.

 

What utilities can you monitor?

We monitor what we call “WAGES” – Water, Air, Gas, Electric, and Steam. The system brings all utility data into one consolidated dashboard so you can see your complete energy picture in real time. Most customers start with electricity at the main level and expand from there based on their priorities.

How much does an Energy Monitoring system cost?

The cost depends on the scope of monitoring points you want to install. A basic system monitoring just your main electrical feeds might start around $30,000-$50,000. More comprehensive systems monitoring mains, sub-mains, and key equipment typically range from $50,000-$200,000+ depending on facility size and complexity. The bulk of the cost comes from hardware, installation, and engineering commissioning to ensure everything is properly configured.

What kind of ROI can I expect?

Most customers see a 10-15% reduction in utility costs through behavioral changes and operational improvements identified by the system. This typically translates to a 1-3 year payback period. For example, one customer discovered a compressor running 24/7 when their facility only operated two shifts, saving $10,000 annually just from that one insight. The ROI comes from identifying wasted energy, optimizing demand charges, and preventing costly equipment failures through predictive maintenance.

Are there ongoing subscription costs?

There are two software options. The basic “Visualize” package has no ongoing subscription cost and includes energy data visualization, one year of historical data, and unlimited users. The “Optimize” package includes advanced features like custom reporting, production data overlay, and enhanced analytics for approximately $60 per monitoring point annually (with a $600 minimum). If you use cellular connectivity for the data bridges, there’s a small data plan fee of about $90-100 per bridge per year.

How long does installation take?

Installation time varies based on scope. A main-level installation with sub-mains can often be completed in one day or less. More comprehensive installations monitoring dozens of circuits might take 2-4 days. The wireless nature of our sensors makes installation much faster than traditional wired systems.

Do you need to shut down our facility to install the system?

No, in most cases we can install everything live without any shutdowns. The wireless sensors simply snap over existing conductors without requiring de-energization. The only time we might need a brief shutdown is for voltage taps at the main level, and even then we can often use spare breakers to avoid disruption. This is a major advantage over traditional wired monitoring systems.

How accurate is the data?

The system provides accuracy within 2% for current measurements. When we install power meters at the main level with voltage taps, we achieve revenue-grade accuracy. The power meters give you true power readings including power factor, reactive power, and voltage, not just extrapolated estimates.

How do I access the data?

You access all data through a cloud-based dashboard called Power Radar. You can log in from anywhere with an internet connection using any device. The system provides unlimited user accounts, so your entire team can have access with customized permissions based on their role.

Can I export the data?

Yes, you can export data to CSV files for external analysis. The system also supports API integration and Modbus connectivity, so you can push data to building management systems or other platforms. We’re constantly working with customers to integrate with their existing systems.

Can I set up alerts for equipment issues?

Yes, the alerting capability is one of the most valuable features. You can set up triggers based on power consumption, current thresholds, equipment operating outside normal parameters, or even time-based alerts (like equipment running during off-hours when it shouldn’t be). Alerts can be sent via email or SMS text, and you can set severity levels from low to critical.

Who updates utility rates in the system?

Our engineering team handles this on the backend. When utility rates change, we update them in your system to ensure cost calculations remain accurate. We can also train your team to make these updates if you prefer.

Do you provide ongoing support after installation?

Yes, ongoing support is a key differentiator for us. We provide one-month and six-month reviews where our engineers analyze your data and identify opportunities for savings. We continue to be available as a consulting resource to help you interpret data, set up custom reports, configure alerts, and optimize how you’re using the system.

What information do you need to provide a quote?

The most helpful information is single-line electrical drawings showing your electrical infrastructure. If you don’t have those, we can work with basic information: voltage, number of phases, and amperage ratings for the equipment or panels you want to monitor. For gas and water, we need to know if you have existing meters and whether they have pulse outputs.

ESG and Efficiency Services

How much does a commercial energy audit cost?

Energy audits are free and are included as an important part of the sales process at PEC! Please note that we do only audit commercial and industrial spaces — get started by filling out the form on this page to see if our auditing services make sense for your facility. If you’re seeing a full scale ASHRAE level 1,2, or 3 energy audit we can help put you in touch with the right team too. 

What is a commercial energy audit?

A commercial energy audit should include an on-site visit to your facility. During the audit a lighting expert will walk through mapping out and accurately documenting the type, wattage, and location of each fixture – they will take photos and draw out a map. The audit is an opportunity to gather all information about your existing lighting system and understand how your space is used. This information will help determine both your energy usage and your lighting needs. An energy audit could include an evaluation of interior lighting (like warehouses or retail floors) and exterior lighting (i.g. parking lots).  

How much does a lighting audit cost?

A lighting audit is an essential part of our customized lighting upgrade solution and therefore we offer this free to our customers and prospective customers. 

What does ESG stand for?

ESG stands for Environmental, Social and corporate Governance, and it’s a system of optional (currently) corporate reporting that’s associated with sustainability, and has more recently been used as a selling point in the markets, equated with a good indicator of which companies may be good to invest in.

E is for Environmental: This portion of the ESG focuses on addressing the climate crisis and environmental sustainability through corporate actions. This can include steps to prevent, mitigate, or eliminate carbon emissions, runoff, or pollution of any kind. This portion of the plan for corporations also pulls in ideas for encouraging resource efficiency, biodiversity, proper disposal procedures, and it outlines previous history with environmental regulatory bodies (the EPA, for example.)

S is for Social: The second section of ESG is invested in social concerns, human rights, and consumer protection. The Social part of ESG Plans can address these concerns through outlining policies around the treatment, benefits, pay, and diversity of its employees; sourcing practices; and the service and protection of its customers.

G is for Governance: This piece of the ESG equation deals in management structure, executive compensation, and employee relations and compensation. This portion of the plan can lay out steps or policies that have to do with stakeholder incentives, bonuses, metrics of success, conflicts of interest or matters of corruption, levels of corporate transparency, and the hierarchy of governance.

Learn more about ESG in our writeup here »

How can PEC help with my ESG goals?

PEC can help commercial and industrial businesses with their Environmental goals in a variety of ways:

  1. Energy efficient LED lighting systems: We are the nation’s leading in creating photometric lighting designs — incorporating the best fixtures, optics, sensors, and control systems — that optimize facility light levels while maximizing the overall efficiency gains.  
  2. Reduced greenhouse gas emissions with EV charging: Implementing EV chargers at your property or facility can help drive electric vehicle adoption and reduce carbon dioxide emissions by gas-consuming vehicles. Charger data that’s collected by chargers can also be easily used to determine gas-driven miles displaced, and thus CO2 emissions saved.
  3. Power monitoring and power metering systems: Our energy monitoring solution will allow you to see exactly how power flows throughout your facility, running from the meter down to each machine. This is vital for information for ESG managers that are looking to:
    • Quickly and confidently identify their biggest efficiency opportunities; and
    • Capture unprecedented power-consumption data throughout their facility for both M&V and reporting efforts
What are scope 1, 2, and 3 emissions?

Scope 1: Any greenhouse gas emissions that are produced directly from operations or assets that are owned and controlled by the reporting company. Scope 1 emissions are broken out into 4 key sub-categories: stationary combustion, mobile combustion, fugitive emissions, process emissions: this category covers a wide-range of emission sources like chemical reactions, fermentation, and combustion processes.

Scope 2: Any GHG emissions that result from the production of purchased electricity, steam, heat, or cooling.

Scope 3: Any emissions from sources that are not directly owned or controlled by the company. There are 2 key sub-categories for scope 3 emissions:

  1. Upstream emissions: this includes any emissions that are attributed to the extraction, production, and transportation of raw materials and purchases made by the company.
  2. Downstream emissions: emissions from use and disposal of the services or goods produced by the company. 

 

Learn more about emission scopes 1, 2, and 3 in this writeup »

What are upstream and downstream emissions?

Upstream emissions: this includes any emissions that are attributed to the extraction, production, and transportation of raw materials and purchases made by the company. In an effort to minimize upstream emissions, companies are increasingly searching for partners and suppliers that are minimizing their own carbon footprints — creating a demand for more sustainable business practices throughout the entire supply chain, even if upstream suppliers don’t face the same pressures from investors or consumers.

Downstream emissions: this includes emissions that accompany the use and disposal of the services or goods produced by the company. Some examples include greenhouse gases released to dispose, recycle, or incinerate the product, ship products to customers, or from using the product itself (like automobile suppliers).

Learn more about emission scopes 1, 2, and 3 in this writeup »

Incentives and Financing

What are energy incentives?

Energy incentives are funds that businesses can receive from their power utility provider (or an associated company that administers the program) to help fund projects that make their facilities more energy efficient.

Because commercial and industrial facilities demand such large amounts of power, it creates a strain on the electrical grid to meet this demand. Incentives are used to get more businesses to adopt energy efficient technologies (i.g. lighting, HVAC, refrigeration, windows, and more), which in-turn helps to both relieve the strain and lower the greenhouse gas emissions in the area.

More on energy incentives here »

How do I qualify for incentives?

Incentives can be a compelling way to help fund your upgrade project. Utility providers and energy efficiency programs across the USA established these energy rebate programs to encourage large facilities with high energy consumption (like yourselves) to reduce their demand on the grid.  

Qualifying for incentives or energy rebates in your service area is dependent on a multitude of factors including but not limited to; 

  • Your utility (the company that provides you power) 
  • Your existing lighting system 
  • The design, specification, fixture selection and control systems in your NEW lighting system 
  • The energy kWh savings between your old and new systems 

There is extensive coordination and paperwork required to secure the maximum available incentives for your business as well as an in-depth understanding of the incentive program itself. Selecting a lighting contractor with the expertise of an in-house incentives team will take the burden out of this process. 

What is qualified improvement property?

Qualified improvement property (QIP) is a term used by the IRS to categorize improvements made to the interior of a commercial property (business or income-producing building). The improvement must be made to a building that is already “in service” and be expected to last longer than 1 year. A commercial/ industrial LED lighting upgrade is considered qualified improvement property and is therefore eligible for bonus depreciation. This allows taxpayers to deduct up to 80% (previously 100% but updated in 2023) of the cost of these assets upfront (in the first year) Resulting in a lower cost of capital and potential tax refunds. 

Learn more about QIP in our write up here: How QIP Applies to LED Lighting Upgrades in 2023 »

What is bonus depreciation?

Bonus depreciations accelerates depreciation for qualified improvement property. Allowing businesses/ taxpayers to deduct the cost of certain upgraded assets much sooner than they otherwise would. Bonus depreciation can be retroactively applied to Qualified improvement property placed into service as far back as 2018. NOTE: the Bonus depreciation rate starts to reduce in 2023 from 100% to 80% – be sure to  Check with you tax advisor as you consider taking advantage of this tax benefit.  

Bonus depreciation rate: 

  • Qualified improvement property acquired after Sept. 27, 2017, and placed in service in 2018 through 2022 (2023 for long production property and specified aircraft) generally qualifies for 100% bonus depreciation. 
  • Qualified improvement property acquired after Sept. 27, 2017, and placed in service in 2023 (2024 for long production property and specified aircraft) generally qualifies for 80% bonus depreciation. 
  • Qualified improvement property acquired after Sept. 27, 2017, and placed in service in 2024 (2025 for long production property and specified aircraft) generally qualifies for 60% bonus depreciation. 
  • Qualified improvement property acquired after Sept. 27, 2017, and placed in service in 2025 (2026 for long production property and specified aircraft) generally qualifies for 40% bonus depreciation. 
  • Qualified improvement property acquired after Sept. 27, 2017, and placed in service in 2026 (2027 for long production property and specified aircraft) generally qualifies for 20% bonus depreciation. 

Learn more about bonus depreciation in our writeup here »

Can I finance my lighting project?

Yes. Customers have the option to finance their LED retrofit through the PEC Capital program.

PEC Capital is an innovative, zero-percent financing program that allows you to apply the energy savings gained from your lighting project towards your upfront cost. 

This program was designed with commercial and industrial customers in mind — offering both flexibility and customizability to best meet your financial needs. Our team will work with you to structure a financing solution that will allow you deploy impactful, energy-efficient lighting without stretching your budget, with options including:

  • 12 to 60-month terms
  • Fixed, step, or seasonal payment structures

Learn more about PEC Capital here.

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