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Cost-Benefit Analysis of Compact Fluorescent Light (CFL) Conversion in Kamuning Elementary School, Quezon City This paper will evaluate and analyze the cost of not using CFL. It will also likewise study the benefit of using this kind of technology and the cost it will entail from the target institution Cinco , Soleil Dominique Labitoria, Patricia May Rontos , Catherine Santiago , Kristine Samson , Michelle

Cost-Benefit Analysis of CFL in Kamuning Elem.school

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Page 1: Cost-Benefit Analysis of CFL in Kamuning Elem.school

Cost-Benefit Analysis of Compact Fluorescent Light (CFL) Conversion in Kamuning Elementary School, Quezon City

This paper will evaluate and analyze the cost of not using CFL. It will also likewise study the benefit of using this kind of technology and the cost it will entail from the target institution

Cinco , Soleil Dominique

Labitoria, Patricia May

Rontos , Catherine

Santiago , Kristine

Samson , Michelle

Page 2: Cost-Benefit Analysis of CFL in Kamuning Elem.school

TABLE OF CONTENTS

TABLE OF CONTENTS I

ACKNOWLEDGEMENT II

CHAPTER 1: INTRODUCTION (1-2)

BACKGROUND 1

RATIONALE PROJECT 1

OBJECTIVE OF THE STUDY 2

SIGNIFICANCE OF THE STUDY 2

CHAPTER 2: REVIEW OF RELATED LITERATURE AND STUDIES (3-8)

PROFILE OF KAMUNING ELEMENTARY SCHOOL 3

ADVANTAGES OF USING CFL 4

EFFECTS OF BCL ON HUMAN HEALTH AND THE ENVIRONMENT 4

NATIONAL LAWS GOVERNING THE DISPOSAL OF BUSTED FLOURESCENT BULBS 7

CHAPTER 3: MECHANICS AND ELEMENTS OF THE ENVIRONMENTAL PROJECT 9

METHODOLOGY 9

SCOPE AND LIMITATION 9

DATA GATHERING PROCEDURE 9

CHAPTER 4: PRESENTATION AND DISCUSSIONS OF GATHERED DATA (10-18)

FINDINGS OF THE STUDY

BUILDINGS AND THE CORRESPONDING NUMBER OF BULBS 10 COST, WATTAGE AND LIFE SPAN 12

RESULTS AND ANALYSIS 13

NET PRESENT VALUE (NPV) 15 BENEFIT-COST RATIO (BCR) 17

I.

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CHAPTER 5: CONCLUSION 19

CHAPTER 6: REFERENCE 20

THE AUTHORS 23

APPENDIX

APPENDIX A: LETTER TO THE PRINCIPAL 21

LIST OF FIGURES

FIGURE 1: PICTURE OF KAMUNING ELEMENTARY SCHOOL (GOOGLE EARTH) 22

FIGURE 2: PICTURE OF KAMUNING ELEMENTARY SCHOOL (GOOGLE MAPS) 22

LIST OF TABLES

CHAPTER 2: REVIEW OF RELATED LITERATURE

TABLE 1. SOME NOTED HUMAN HEALTH EFFECTS 5

TABLE 2. SOME NOTED ENVIRONMENTAL EFFECTS OF MERCURY 6

CHAPTER 4: PRESENTATION OF DATA

FINDINGS OF THE STUDY

BUILDING AND CORRESPONDING NUMBER OF BULBS 10

TABLE 1: BUILDING 1 (GRADES5-6) 10 TABLE 2: BUILDING2 (GRADES 3-4) 10

TABLE 3: BUILDING 3 10 TABLE 4: BUILDING 4 ( GRADES 1-2) 10 TABLE 5: BUILDING 5 (KINDER) 11

OTHER BUILDINGS:

TABLE 2: FACILITIES 1 11 TABLE 3: FACILITIES 2 11

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RESULTS AND ANALYSIS

TABLE 4: COST, WATTAGE AND SPAN 12

TABLE 5: COST OF FLB AND CFL 12

TABLE 6: COMPUTED AMOUNT OF SAVINGS 13

TABLE 7: NET PRESENT VALUE AT 5% 15

TABLE 8: NET PRESENT VALUE AT 10% 16

TABLE 9: NET PRESENT VALUE AT 15% 16

TABLE 10: BENEFIT-COST RATIO AT 5% 17

TABLE 11: BENEFIT-COST RATIO AT 10% 17

TABLE 12: BENEFIT-COST RATIO AT 15% 18

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iii.

ACKNOWLEDGEMENT

First and foremost, this paper is for our dearest professor Mr. Miguel Guioguio, who

never gets worn-out of pushing us every week to accomplish this research. This research paper

will not be possible without your guidance. The researchers would also like to thank the

Principal and personnel of Kamuning Elementary School for their help while the researchers

gather data at the premises. This study would not be written and finished without your help. To

our fellow classmates who never stop supporting us all throughout and all the other people

who contributed their expertise and time, we would also like to extend our gratitude.

We thank our parents for supporting us financially and emotionally throughout all our

studies and ESI for providing a place where we can accomplish our task and Ate Dhang for

welcoming us wholeheartedly in her dorm, to make the rest of the writing.

Finally, we thank BRO (Jesus Christ) for giving each and every one of us enough strength,

and the knowledge to write and complete this research.

To everyone who has been part of this, our greatest gratitude, we lift a prayer to God

that he may bless all of you, all the days of your life.

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iv.

Cost-Benefit Analysis of Compact Fluorescent Light (CFL) Conversion in Kamuning Elementary School, Quezon City

Chapter I

INTRODUCTION

Background

It is no doubt that our lives became brighter with the discovery of Fluorescent Light Bulb (FLB) by the Filipino scientist, Agapito Flores. The technology enabled us to turn dark nights into days by providing a bright light, which mimics that of daylight. Gone are the days when people use gas lamps for lighting, with just a flick of a small switch, people have instant light.

Compared with Incandescent light, FLBs are preferred more not only because it produces light brighter than incandescent but also because of its energy efficiency, cost, life span and amount of pollution produced.

However, recently, a new type of light was developed, the choice of many companies who wants to go “green” and practice a good environmental management system. At present, Compact Fluorescent Light (CFL) is the most efficient-energy saving light, amount of pollution produced of this light is significantly smaller too.

This paper will evaluate and analyze the cost of not using CFL. It will also likewise study the benefit of using this kind of technology and the cost it will entail from the target institution.

Kamuning Elementary School, located in Brgy. Kamuning, Cubao in Quezon City is the subject of this research.

Rationale of the Project

Currently, being “green” is the “in” thing. Many establishments and institutions, to help save the environment and to reduce costs are switching to some technologies that are very efficient. One of these technologies is Compact Fluorescent Bulbs (CFLs). Compared to Fluorescent lights, it is more efficient and environmentally friendly as it has longer life and contains less mercury than an ordinary fluorescent light.

The purpose of this project is to show the financial benefit of using Compact Fluorescent Bulbs to an institution like Kamuning Elementary School. The study would like to convince the school that it can actually save money if it switches to a more efficient lighting.

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Objective of the study

The research aims to:

1. To evaluate the cost of electricity if CFL is not used.

2. To analyze and evaluate the benefits of using CFL and the cost it will entail from the target institution.

3. To prove if CFL is a better choice compared to the existing lights/lamps.

Significance of the Study

1. If CFL is proven useful to promote cheaper electricity bills, it would help in promotion of its use.

2. If proven that the use of CFL will result in cheaper electricity bills, it could justify why the school should use it even it is more expensive than their existing lights.

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CHAPTER II

REVIEW OF RELARED LITERATURE

Profile of Kamuning Elementary School, Quezon City

Initially, Kamuning Elementary has an area of 3.8 hectares donated to Quezon City by People Homesite Housing Corporation (now NHA) and has a total land 13,400 square meter at present.

In the year (1942-1945) during the Japanese occupation, the Japanese Imperial and MAKAPILI used the school site for food production, garrison, and hospital. Other school building was used to teach Niponggo to Filipino children.

In the period of U.S. liberation in 1945, the army constructed their barracks and office in the school for the Engineering Depot.

In 1947, the original 3-room classroom constructed in 1939 was used by the elementary school was under the Division of Manila from 1039- 1950 with Mr. Pedro Tuazon as the supervisor for the whole of Quezon City. In 1950, the Division of Quezon City was created with Mr. Pablo P. Reyes as the first school division superintendent.

There were 3 school annexes of Kamuning Elementary School from 1950-1960. There annexes were separated from Kamuning Elementary School in 1960. The first principal of Kamuning Elementary School was Mrs. Felicidad Bermudez in 1945, Mr. Perfecto P. Manansala Jr was the 20th principal of this school.

The first distinct supercisor was Mrs. Simplicia Salcedo in 1965. Mrs, Editha Mendoza is the 9th distinct supervisor.

The catchment areas are Barangay South Triangle, Sacred Heart, Kamuning Obrero and Laging Handa.

At present Kamuning Elementary School has a teaching force of 60 teachers with 2,478 pupils. The school does three shifts each day (12 hrs) to accommodate all students.

Advantages of Using CFL

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Mercury and its purpose on FLB production

As far as light bulbs are concerned, no previous element has proved to as adequate as mercury, also known as “quicksilver”. For that reason, enduring an indispensable element in the production of FLB. When the mercury is energized by electricity running between two electrodes in the bulb light is produced. Mercury emits ultraviolet light, which in turn excites the tube’s phosphor coating, leading it to emit visible light. Whereas compact fluorescent bulbs (CFL) contains about 5 milligrams of mercury each, while a regular four-foot FLB contains about 11.6 milligrams of mercury. Mercury is cold, when FLBs are not in use; its mercury content is in liquid facade. On the other hand, when switched on, the majority part of the mercury in the lamp transforms into its gaseous state.

The community is conscious, although not in detail, that mercury is hazardous. It is described as a toxic, persistent and bioaccumulative pollutant. Meaning:

Mercury is poisonous and with the right amount, lethal; Simply put, a CFL with 5 mg of mercury is enough to contaminate 190,000 Litres of water (based

on Canadian water quality standards). It is persistent in our environment both from natural and man-made sources; And upon intake, it accumulates inside an organism’s body. Example: a fish that swallowed mercury is eaten by a bird that is eaten by man. In effect, man

also takes in the mercury that was swallowed by the fish that was swallowed by the bird.

When the FBL life expires majority of its elemental mercury will be converted into ionic form and combines with other substances within the sealed glass tubes.

However, hazardous as it may seem, mercury is harmless as long as it remains inside light bulbs that are in full shape and are not shattered.

Effects of BFL on Human health and the Environment

On human health

One of the disadvantages of FBL is the threat it poses of possibility of spillage of mercury from busted bulbs. It affects the closet person that accidentally break the bulb, as well as it damages our immediate environment.

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Mercury inside the bulbs is harmless unless it the spill its element. Of course no one can anticipate when this accident can happen. Mercury is considered toxic especially when one experienced a direct contact (via oral or nasal ingestion), it can cause serious implications to human health. A research study that was conducted by the Office of Air Quality Planning and Standards and the Office of Research and Development of the United States Environmental Protection Agency (US-EPA, 1997) states that inorganic mercury may affect humans in these manners:

Table 1. Some Noted Human Health Effects of Mercury

Contact or Exposure

Effect Description

Occupational exposure to mercury

Nephrotic Syndrome A nonspecific disorder in which the kidneys are damaged, causing them to leak large amounts of protein from the blood into the urine.

Ingestion Death Most deaths attributed to inorganic mercury occur soon after a person ingests a single large amount of mercury.

Causes of death include cardiovascular failure, gastrointestinal damage and acute renal failure

Oral exposure Neurotoxicity in humans Dementia, irritability, decreased cerebellar neurons, low braing weight

Drooling, dysphagia, irregular arm movements, impaired gait, convulsion

Source: Mercury Study Report to Congress Volume 5, 1997, US-EPA; Reorganized by: Miranda 2009

Exposure to mercury even in a minute is high risk and should not be taken for granted. As much as possible mercury exposure should be avoided. For instance, the arsenic –it is an element of mercury that slowly destroys person’s body. It is always a must in other countries not to break FLBs prior to disposal. It is advisable that these bulbs are intact and placed in their original boxes, sealed in containers to prevent unwanted incidence.

Also another disadvantage of BFLs is the possibility of cuts and bruises from shattered bulb pieces due to accidental breakage. The phosphorous used in the lamps would make worse or slow down the healing of wounds, this is because of its ability to prevent blood from clotting.

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A person who has skin and eye contact with phosphors is advised to wash the affected area carefully for at least 15 minutes. Also even it seems minor injuries from broken tubes or contaminated mercury, it is not a valid excuse not to seek medical assistance.

On the environment

Human beings are simply part of huge scope of the environment and if our health is affected by unseemly handling of BFLs, the natural environment as well may experience hazards. Worst than the phosphors in BFLs, it is the mercury that causes severe dangers to our environment and living organisms.

On the US-EPA Mercury Study Report to Congress, the following observations were recorded

Table 2 Some Noted Environmental Effects of Mercury

Organism Effects

Aquatic Plants Sublethal effects:

plant senescence, growth inhibition, decreased chlorophyll content, decreased protein and RNA content, inhibited catalase and protease activities, inhibited and abnormal mitotic activity, increased free amino acid content, discoloration of floating leaves, and leaf and root necrosis.

Terrestrial Plants Death and Sublethal effects:

Decreased growth, leaf injury, root damage, inhibited root growth and function, hampered nutrient uptake, chlorophyll decline and reduced photosynthesis.

Aquatic Communities and Ecosystems

Effects of mercury or any other substance at this level of biological organization could potentially have far-reaching impacts on the entire food chain by changing both nutrient and energy fluxes.

Terrestrial Communities and Ecosystems

Processes that may be affected by heavy metals in top soil include litter decomposition, carbon mineralization, nitrogen transformation and enzyme activity.

Reduction in soil microbial activities.Source: Mercury Study Report to Congress Volume 6, 1997, US-EPA; Reorganized by: Miranda 2009

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Obviously, the accidental breakage and spillage cause serious implications, in some cases, even worst than we could imagine.

National Laws Governing the Disposal of Busted Fluorescent Bulbs

It has been stated earlier that fluorescent bulbs contain an element called mercury. Because of its toxic and hazardous nature, laws had been created for proper disposal of the said element and things that contains significant amount of it. In the Philippines, the disposal of Busted Fluorescent Bulbs is being regulated by two laws. First is the RA 6969 or the Toxic Substances, Hazardous and Nuclear Waste Control Act of 1990. Second is RA 9003, popularly known as the Ecological Solid Waste Management Act of 2000.

RA 6969 or Toxic Substances, Hazardous and Nuclear Waste Control Act of 1990

The ultimate goal of RA6969 is to protect people and the environment from risks that are coming from industrial chemicals and chemical substances. The law set the framework for the country to manage and control the importation, manufacture, processing, distribution, use, transport, treatment, and disposal of toxic, hazardous and nuclear wastes.

DAO 97-38, a provision in RA 6969 established that the use of mercury and its compounds in electrical apparatus is allowed. However, unlike normal wastes, it is required to undergo a special management and disposal scheme. It cannot just go directly in landfills because it can contaminate water and endanger lives. Treatment is a necessary step to be taken. Under CCO, any device which generates mercury should comply to standards such as:

It should be registered with DENR-EMB as a hazardous waste generator

A Mercury Management Plant should be submitted first

Quarterly reports must also be submitted and

The generator must comply with the manifest system in the handling and disposal of mercury wastes

The COO requires that mercury be stored in containers that are corrosion-resistant and strong to withstand breakage in terms of handling. Proper labelling and packing requirements of the container should be followed, as mercury vapour is hazardous. Users, transporters, workers, LGUs and communities who will be in close contact with mercury and wastes must be informed so that they are handling a toxic and hazardous substance.

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RA 9003- the Ecological Solid Waste Management Act

It is the law which assigns the task of different stakeholders in disposing of wastes. Apart from that, it also contains provisions about recycling.

There is no explicit mention of lamp wastes in the law’s provisions and implementing rules and regulations. It is classified, however in special wastes including paints, thinners, household batteries, lead-acid batteries, spray canisters, including consumer electronic goods like radios, stereos, and television sets.

Under this act, it is required to segregate the different kinds of wastes- compostable, non-biodegradble, recyclables, special wastes and hazardous wastes.

Mercury can also be classified as Hazardous waste as the law defines hazardous waste as solid, liquid, contained gaseous or semisolid wastes which may cause or contribute to the increase in mortality, or in serious or incapacitating reversible illness, or acute/chronic effect on the health of people and other organisms.

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Chapter III

Mechanics and Elements of the Environmental Project

Methodology

The researchers of the study looked into the cost and benefit of using CFL in Kamuning Elementary School Quezon City. The research objectives were accomplished using cost benefit analysis. Net present value (NPV) and Benefit Cost Ratio (BCR) were also computed. The researchers used these methods to get the appropriate data needed to assess the project’s efficacy. With these methods, the results were analyzed to find out the Cost-Benefit Analysis of Compact Fluorescent Light (CFL) Conversion in Kamuning Elementary School in Quezon City.

Scope and Limitation

The study was conducted in Kamuning Elementary School Quezon City, as suggested by Professor Miguel Guioguio.

Data Gathering

Primary data were gathered by going to Kamuning Elementary School and interviewing the principal. The researchers assessed the number of rooms and bulbs by going around the area and counting them.

Secondary data were collected by going to Quezon City Division of School Office and Quezon City Hall.

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Presentation of data

A. Buildings and the corresponding number of bulbs

Rooms Number of BulbsStairs 3

6 classrooms 120Cr (male) 4Cr(female) 6Hallway 30Offices 24Total 187

Table 1. Building 1 (grades 5-6)

Rooms Number of BulbsStairs 1

classrooms 48Cr 4Hallway 21Gate 2Total 74

Table 2. Building 2 (Grades 3-4)

Rooms Number of BulbsClassroom 48Cr(male) 2Cr(female) 2Hallway 21Total 73

Table 3. Building 3

Classroom 36Stairs 4Hallway 16Cr 4Total 60

Table 4. Building 4 (grades 1-2)

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Classroom 30Hallway 5Cr 2Total 37

Table 5. Building 5 (Kinder)

B. FACILITIES

Gym 19Library 20School Clinic 6Conference Room 20Hallway 7Total 72

Table 2. Facilities 1

C. Other facilities

Hallway 18Guardhouse 2Canteen 6Gate 3Cr 4Total 32

Table 3. Facilities 2

TOTAL OF BOTH FACILITIES = 104TOTAL OF LIGHT BULBS IN THE SCHOOL

= 535

TOTAL OF NUMBER OF BULBS IN ALL BUILDINGS =

454

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D. COST, WATTAGE AND LIFE SPAN

Wattage Fluorescent Light 40wCompact Fluorescent Light (CFL) 10w Table 4

A 40W Fluorescent Light is equal to a 10w CFL.

Cost Fluorescent Light Php70 (General Electronics Brand)Compact Fluorescent Light (CFL) Php 99 Table 5

Cost of CFL is significantly higher but using it, a company or an institution can conserve more electricity as it has lower wattage.

Life Span

The researchers assumed that the lifespan of Compact Fluorescent Lights be 2 years. It is based on the tested lifespan of 8,000-10,000 hrs of CFL.

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Results and Analysis

fluorescent lamp energy consumption per day =P 1053/day (fl)Month January February March April May Junenumber of school days (nsd) 22 22 22 22 21 22energy consumption (fl X nsd) P23,166 P23,166 P23,166 P23,166 P22,113 P23,166

CFL energy consumption per day= P263/day (cfl)Month January February March April May Junenumber of school days (nsd) 22 22 22 22 21 22energy consumption(fl X nsd) 5,786 5,786 5,786 5,786 5,523 5,786

Savings 17,380 17,380 17,380 17,380 16,590 17,380Table 6. Computed amount of savings/ year (Jan- June)

fluorescent lamp energy consumption per day =P 1053/day (fl)Month July August September October November December totalnumber of school days (nsd) 23 21 22 22 21 21energy consumption (fl X nsd) 24,219 22,113 23,166 23,166 22,113 22,113 274,833

CFL energy consumption per day = P263/day (cfl)Month July August September October November December totalnumber of school days (nsd) 23 21 22 22 21 21energy consumption(fl X nsd) 6,049 5,523 5,786 5,786 5,523 5,523 68,643

Total savings

Savings 18,170 16,590 17,380 17,380 16,590 16,590 P206,190Table 6. Computed amount of savings/ year (continuation, July to Dec.)

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To arrive at the answers above:

FLUORESCENT LAMP ENERGY CONSUMPTION PER DAY

Standard Fluorescent light Price

40W ------------------------------ Php 70.00

Kilowatt per hour (kph) price based on Meralco bill: Php 4.1

1 kilowatt= 1,000 watts

535(total number of light)X 40w= 21, 400w

Since the unit in the Meralco bill is kph the researchers converted the 21,400 watts to kilowatts. The answer is 21.4kilowatts. This means that if all lights are turned on, they will be consuming 21.4 kilowatt of electricity.

21.4kilowatts X 12hrs*= 256 kph

256kph X 4.1 kph= 1052.88/day

CFL ENERGY CONSUMPTION PER DAYCFL Price

10W----------------------------------Php. 99.00

535 (total number of lights) X 10 W= 5,350 W (5.35kw)

5.35 kilowatts X 12 hrs*= 64.2 kph

64.2kph X 4.1= 263.33/day

The total per day consumption was then multiplied with the number of school days a year to The total is :

FLB: P1052.88/day * 261 days = Php274,833 per year

CFL= 263.33/day * 261 days = Php 68,643per year

The two was then subtracted: Php274,833 per year - Php 68,643per year (existing consumption of FLB - future consumption using CFL) to get the savings which is : Php 206, 190.

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*assumed number of hrs where the lights are used. Twelve since the school has 3 shifts that last 12 hours per day.

NET PRESENT VALUE (NPV)

Because CFL has lower wattage compared to fluorescent light, it consumes lesser electricity. Based on our computation, the institution can save up to Php206,190 each year if it converts to CFL.

The Php 206, 190 (savings) is the basis of the benefits in the tables below.

However, the school will need Php 52, 965 initially (year 0) for replacing all 535 fluorescent lights in the school. It will also need the same amount every two years for replacing all the burned out light bulbs assuming all the bulbs will be burned out at the same time.

The Php 52, 965 is the basis of the cost in the tables below.

Cost computation

cost of cfl = Php99.0/each No. of lights to be replaced= 535

Php99 * 535 = 52, 965

DISCOUNT RATE (DR) = 5%

YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 196,371.43 187,020.41 178,114.67 169,633 161,555.26 740,024.77

COST Original value

52,965 --- 52,965 --- 52,965 ---

COSTDiscounted Value

52,965 ---- 48,040.82 ---- 43,574.44 ---- 144,580.26

NPV 595,444.51Table 7. NPV with a discount rate of 5% over five years

DISCOUNT RATE (DR)= 10%

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YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 187,445.45 170,404.96 154,913.60 140,830.54 128,027.77 781,617.32

COST Original value

52,965 --- 52,965 --- 52,965 ---

COSTDiscounted Value

52,965 --- 43,772.73 --- 36,175.81 --- 132,913.54

NPV 648,703.78Table 8. NPV with a discount rate of 10% over five years

DISCOUNT RATE (DR)= 15%

YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 179,295.65 155,909.26 135,573.27 117,889.80 102,512.87 691,180.65

COST Original value

52,965 --- 52,965 --- 52,965 ---

COSTDiscounted Value

52,965 --- 40,049.15 --- 30,202.91 --- 123,297.06

NPV 567,883.79 Table 9. NPV with a discount rate of 15% over five years

Benefit-Cost Ratio (BCR)

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DISCOUNT RATE (DR) = 5%

YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 196,371.43 187,020.41 178,114.67 169,633 161,555.26 740,024.77

COST Original value

52,965 --- 52,965 --- 52,965 ---

COSTDiscounted Value

52,965 --- 48,040.82 --- 43,574.44 --- 144,580.26

BCR 5.12%Table 10. BCR with a discount rate of 5% over five years

Benefit-Cost Ratio (BCR)

DISCOUNT RATE (DR)= 10%

YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 187,445.45 170,404.96 154,913.60 140,830.54 128,027.77 781,617.32

COST Original value

52,965

COSTDiscounted Value

52,965 43,772.73 36,175.81 132,913.54

BCR 5.88%Table 11. BCR with a discount rate of 10% over five years

Discount rate (DR)= 15%

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YEAR 0 1 2 3 4 5 TOTALBENEFITOriginal Value

206,190 206,190 206,190 206,190 206,190 206,190

BENEFITDiscounted Value

0 179,295.65 155,909.26 135,573.27 117,889.80 102,512.87 691,180.65

COST Original value

52,965 --- 52,965 --- 52,965 ---

COSTDiscounted Value

52,965 40,049.15 30,202.91 123,297.06

BCR 5.61%Table 12. BCR with a discount rate of 15% over five years

NOTE:

NPV= Total discounted Benefit- Total discounted Cost

BCR= Total discounted Benefit/Total discounted Cost

Conclusion

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Kamuning elementary School at present is using 535 40 watts fluorescent lights in different areas and buildings in the school. A regular school day lasts for about twelve hours where the lights are constantly being used. All institutions want to save and reduce expenses and one of the things they can do to reduce expenses in electricity is by investing in efficient technologies like CFL.

The first objective of this study is to evaluate the cost of electricity if CFL is not used. Based on table 6 where the amount of energy consumption when using fluorescent is computed, the school spends as much as Php274, 833 every year for paying electricity consumed by the installed fluorescent lights. However, if they substitute their light with CFL, they can reduce this amount.

The research has proven that the use of Compact Fluorescent Light (CFL) is beneficial to Kamuning Elementary School. This can be seen on the amount of savings that can be generated through the conversion. Based on the computation, the institution can save as much as P200, 000 if it converts to using CFL. The savings generated can then be used to other purposes such as buying new computers for the children, repairs of damaged chairs, tables, etc. and for new books in the library.

However, if there are savings, there are also costs. The cost of this project comes, first from pre-installation of CFLs. The school will have to spend Php52,965 initially to pay for the bulbs. The same cost will also emerge every two years as the school needs to replace the busted lights.

With these, we can say that a project like this can contribute significantly to reducing consumption cost for electricity in a public school with the same size as Kamuning Elementary School.

The project with its high NPV and BCR in all three discount rates (5%, 10% and 15%) shows that it is a very good project. The management should consider putting the project in action to have more savings and at the same time be part o f the cause in protecting the environment.

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REFERENCE:

BOOKS:

Miranda, N. The Use and Importance of Fluorescent Bulbs. 2009

INTERVIEW:

Dra. Wilma P. Rosal. Principal of Kamuning Elementary School

Kamuning Elementary SchoolQuezon City

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August 24,2009

Dear Sir/Madame: Dra. Wilma P. Rosal

Good day to you!

Currently, being “green” is the “in” thing. Establishments, to help save the environment and to reduce

costs are switching to some technologies that are very efficient. One of these technologies is Compact

Fluorescent Bulbs (CFLs). Compared to Fluorescent lights, it is more efficient and environmentally

friendly as it has longer life and contains no mercury.

We, the undersigned are students from Miriam College in Quezon City. We are writing a paper about

the Cost and Benefit of using CFLs not just environmentally but also financially for our Environmental

Cost Management class. To properly assess the cost and benefit financially of using such bulb, we need

an establishment where we could conduct the study and see how much an entity could save if it

switches to CFLs.

We would like to do a cost- benefit analysis of using CFLs in your school if you permit us. In the course of

the study, we might ask you for some documents such as electricity bills and budget. We will also need

to conduct surveys regarding your current lighting and might interview you or some of your personnel.

Thank you! We hope that you could approve our request, as this study will further enhance our

knowledge in doing such work. In addition to that, the school could use the report in the future if it

wants to switch to CFLs.

_____________________________ ______________________________ Patricia Labitoria Kristine Santiago

_____________________________ _____________________________ Michelle Samson Cathy Rontos

KAMUNING ELEMENTARY SCHOOL LOCATION

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Fig 1. Picture of Kamuning Elementary School with the use of Google Earth

Fig 2. Picture of Kamuning Elementary School with the use of Google Earth

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THE AUTHORS:

Patricia May Labitoria was born in Quezon Province. Her father is a Civil Engineer in Team Energy Corporation Pagbilao, Quezon. Her mother on the other hand is a Dean in STI, College. She spent her grade school years at Saint Joseph’s Academy. During her High school, she studied at International School for Better Beginning. She moved to Manila to attend college in Miriam College.

She is currently, a junior in Miriam College taking up Environmental Planning and Management.

Her interests are reading books, listening to jazz music and attending symposiums about the environment. Pat dreams to travel in different places, especially in South America and Europe. Her motto is “Excellence is doing what is beyond required”

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Soleil Dominique Cinco was born in Manila. Her father is Civil Engineer at Texas, USA and her mother is a housewife. She spent her grade school years up to her High school at Diliman Preparatory School, Commonwealth.

Her interests are hanging out with friends, searching net and sleeping. Nikki’s dream is to be married to the richest man in the world. She believes that “No one knows how to ruin your life better than you do”.

She is currently, a junior in Miriam College taking up Environmental Planning and Management.

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Ma. Catherine Rontos was born in Quezon City. Her father is a Seaman and her mother is a teacher in Commonwealth Elementary School. She spent her gradeschool years at Siena College San Jose, Bulacan. During her High school she studied at School of St. Anthony Lagro, Quezon City. She attends college in Miriam College

Her interests are singing, watching Gossip Girl and praying. Her motto is “Chances are made to change”.

Cathy is now a junior in Miriam College taking up Environmental Planning and Management.

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Michelle Samson was born Quezon City. Her father is a Businessman and her mother is a housewife. She spent her grade school at Mayamot Elementary, Antipolo City. During her High school she attended different schools. Now she attends college in Miriam College.

Her interests are reading books, surfing the net and hanging out with friends. Mich’s motto in her life is “if you have a problem face it, especially if your problem is your face”

Michelle is currently studying in Miriam College taking up Environmental Planning and Management.

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Kristine Josephine V. Santiago. She started school when she was six-years-old. She went to kindergarten in ADMU Our School. Then she attended grade school in Morning Dew Monterossi, Cainta Rizal. She finished high school in St. John Manry Vianney Academy, La Colina Antipolo City and at last graduated in Miriam College.

What life means to her.

Life to her means friends and family who you can trust and who trusts you. She’s pretty much on the happy side of life, but like all teens she have her "days off." That means she does have some sad days or depressed days. She has many friends here that sort of look out for her and when she’s having a bad day, she always have someone at school to talk to. She make school days go by thinking of either the next hour or what she will do when she get home or on the weekend.

What's her outlook on the future?

Tin-tin thinks that she will probably be still living in State or in Palawan; she will be quite comfortable with her living situation.

Here is an advice from Tin to live or try to live by: If you think it, it can be done.

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