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Cost-Benefit Analysis of Compact Fluorescent Light

(CFL) Conversion in Kamuning Elementary School,


Quezon City

Cinco , Soleil Dominique

Labitoria, Patricia May

Rontos , Catherine

Santiago , Kristine

Samson , Michelle

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
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.

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

II
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
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.

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.

1
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.

2
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.

3
Advantages of Using CFL

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.

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 Effect Description


Exposure

Occupational Nephrotic • A nonspecific disorder in which


exposure to Syndrome the kidneys are damaged,
mercury 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 • Dementia, irritability,
humans 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.

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 • Effects of mercury or any other substance at this
and Ecosystems level of biological organization could potentially
have far-reaching impacts on the entire food
chain by changing both nutrient and energy
fluxes.
Terrestrial • Processes that may be affected by heavy metals
Communities and in top soil include litter decomposition, carbon
Ecosystems 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

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.
7.

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.

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.

Presentation of data

A. BUILDINGS AND THE CORRESPONDING NUMBER OF BULBS

Rooms Number of Bulbs


Stairs 3
6 classrooms 120
Cr (male) 4
Cr(female) 6
Hallway 30
Offices 24
Total 187
Table 1. Building 1 (grades 5-6)

Rooms Number of Bulbs


Stairs 1
classrooms 48
Cr 4
Hallway 21
Gate 2
Total 74
Table 2. Building 2 (Grades 3-4)

Rooms Number of Bulbs


Classroom 48
Cr(male) 2
Cr(female) 2
Hallway 21
Total 73
Table 3. Building 3

Classroom 36
Stairs 4
Hallway 16
Cr 4
Total 60
Table 4. Building 4 (grades 1-2)

Classroom 30
Hallway 5
Cr 2
Total 37
Table 5. Building 5 (Kinder)
TOTAL OF NUMBER OF 454
BULBS IN ALL BUILDINGS
=

B. FACILITIES

Gym 19
Library 20
School Clinic 6
Conference 20
Room
Hallway 7
Total 72
Table 2. Facilities 1

C. OTHER FACILITIES

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

TOTAL OF BOTH FACILITIES 104


=
TOTAL OF LIGHT BULBS = 535
IN THE SCHOOL

11

D. COST, WATTAGE AND LIFE SPAN

Wattage
Fluorescent Light 40w
Compact 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.

12

Results and Analysis


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

CFL energy consumption per


day
= P263/day (cfl)
Februar
Month January y March April May June
number of school
days (nsd) 22 22 22 22 21 22
energy 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 17,380


Table 6. Computed amount of savings/ year (Jan- June)

fluorescent lamp energy


consumption per day =P
1053/day (fl)
Augus Septem Octob Novemb Decemb
Month July t ber er er er total
number of
school days
(nsd) 23 21 22 22 21 21
energy
consumption 24,2 22,11 23,16
(fl X nsd) 19 3 23,166 6 22,113 22,113 274,833

CFL energy
consumption per day
= P263/day (cfl)
Augus Septem Octob Novemb Decemb
Month July t ber er er er total
number of
school days
(nsd) 23 21 22 22 21 21
energy
consumption 6,04
(fl X nsd) 9 5,523 5,786 5,786 5,523 5,523 68,643
Total
savings
18,1 16,59 17,38 P206,
Savings 70 0 17,380 0 16,590 16,590 190
Table 6. Computed amount of savings/ year (continuation, July to
Dec.)

13

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 DAY


CFL 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.

14

*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 TOTAL
BENEFIT 206,190 206,19 206,190 206,190 206,190 206,190
Original 0
Value
BENEFIT 0 196,371. 187,020. 178,114.6 169,633 161,555. 740,024
Discounte 43 41 7 26 .77
d Value
COST 52,965 --- 52,965 --- 52,965 ---
Original
value
COST 52,965 ---- 48,040.8 ---- 43,574. ---- 144,580
Discounte 2 44 .26
d Value
NPV 595,444
.51
Table 7. NPV with a discount rate of 5% over five years

15

DISCOUNT RATE (DR)= 10%

YEAR 0 1 2 3 4 5 TOTAL
BENEFIT 206,190 206,190 206,190 206,190 206,190 206,190
Original
Value
BENEFIT 0 187,445. 170,404.9 154,913.6 140,830. 128,027. 781,617
Discounte 45 6 0 54 77 .32
d Value
COST 52,965 --- 52,965 --- 52,965 ---
Original
value
COST 52,965 --- 43,772.73 --- 36,175.8 --- 132,913
Discounte 1 .54
d Value
NPV 648,703
.78
Table 8. NPV with a discount rate of 10% over five years

DISCOUNT RATE (DR)= 15%

YEAR 0 1 2 3 4 5 TOTAL
BENEFIT 206,190 206,190 206,190 206,190 206,190 206,190
Original
Value
BENEFIT 0 179,295. 155,909.2 135,573.2 117,889. 102,512. 691,180
Discounte 65 6 7 80 87 .65
d Value
COST 52,965 --- 52,965 --- 52,965 ---
Original
value
COST 52,965 --- 40,049.15 --- 30,202.9 --- 123,297
Discounte 1 .06
d Value
NPV 567,883
.79
Table 9. NPV with a discount rate of 15% over five years
16

Benefit-Cost Ratio (BCR)


DISCOUNT RATE (DR) = 5%

YEAR 0 1 2 3 4 5 TOTAL
BENEFIT 206,190 206,190 206,190 206,190 206,190 206,190
Original
Value
BENEFIT 0 196,371. 187,020.4 178,114.6 169,633 161,555. 740,024.
Discounte 43 1 7 26 77
d Value
COST 52,965 --- 52,965 --- 52,965 ---
Original
value
COST 52,965 --- 48,040.82 --- 43,574. --- 144,580.
Discounte 44 26
d Value
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 TOTAL
BENEFIT 206,190 206,190 206,190 206,190 206,190 206,190
Original
Value
BENEFIT 0 187,445. 170,404.9 154,913.6 140,830. 128,027. 781,617.
Discounte 45 6 0 54 77 32
d Value
COST 52,965
Original
value
COST 52,965 43,772.73 36,175.8 132,913.
Discounte 1 54
d Value
BCR 5.88%
Table 11. BCR with a discount rate of 10% over five years

17

Discount rate (DR)= 15%

YEAR 0 1 2 3 4 5 TOTAL
BENEFIT 206,190 206,190 206,190 206,190 206,190 206,190
Original
Value
BENEFIT 0 179,295. 155,909.2 135,573.2 117,889. 102,512. 691,180.
Discounte 65 6 7 80 87 65
d Value
COST 52,965 --- 52,965 --- 52,965 ---
Original
value
COST 52,965 40,049.15 30,202.9 123,297.
Discounte 1 06
d Value
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


18

Conclusion

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


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Kamuning Elementary School


Quezon City
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
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KAMUNING ELEMENTARY SCHOOL LOCATION

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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