Lighting Brazilian Cities : Business Models for Energy Efficient Public Street Lighting
Cities are among the world´s largest consumersof electric energy, accountable for two-thirdsof total electricity consumption and for over 70 percent of global greenhouse gases emissions. Publicstreet lighting systems contribute significantly toa ci...
| Main Authors: | , , , |
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| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2018
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/679281521548635917/Lighting-Brazilian-cities-business-models-for-energy-efficient-public-street-lighting http://hdl.handle.net/10986/29537 |
| Summary: | Cities are among the world´s largest
consumersof electric energy, accountable for two-thirdsof
total electricity consumption and for over 70 percent of
global greenhouse gases emissions. Publicstreet lighting
systems contribute significantly toa city´s energy
consumption. In Brazil, the cost of energy for public
lighting already represents thesecond most expensive item of
most municipalities’ budgets, surpassed only by payroll
expenditures.Furthermore, new regulations require all
themunicipalities to own the city’s public lightingassets,
making public lighting one of the few sectors in which local
authorities have direct control over energy-consuming assets
(contrastedwith other high energy-consuming sectors such as
transport). As a result, the local authorities willhave
every incentive to invest in and implementlighting projects
by themselves.In Brazil, the current public street lighting
inventory primarily consists of mercury and HPS lamps, which
over time will tend to be replaced by more efficient
technologies such as Light-Emitting Diodes (LEDs). This new
technology is already in operation in some major cities in
other countries. The availability and increasing spread of
LED technology offers a unique opportunity for Brazilian
cities to reduce their energy consumption. This is
especially important and beneficial to cities, considering
the sharp increase in energy prices in recent years.In spite
of the substantial benefits associated with the conversion
of the installed public lighting network in Brazilian
cities, major economic financial and institutional obstacles
still need to be overcome.In order to reap the benefits of
conversion to LED,it is necessary to design and implement
business models that can enable the necessary
investments.These business models must take into account the
diversity of Brazil’s municipalities.
Furthermore,consideration must be given to designing
financial solutions that can raise private sector capital
while mitigating municipal credit and project performance risks. |
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