Lux Review posted a nice article profiling Philip Lighting’s recent arrangement with Schiphol airport to provide “light-as-a-service”.

Here is the text of the article for posterity:

Amsterdam’s Schiphol Airport won’t be paying for its new light fittings.

It will just pay for the light that they emit.

Schiphol, Europe’s fourth busiest airport, has opted for ‘light as a service’ in its terminal buildings, as part of a deal with Philips and energy services company Cofely. It will pay for the light it uses, while Philips remains the owner of all fixtures and installations.

Philips and Cofely are jointly responsible for the performance and durability of the system and ultimately its re-use and recycling at end of life. By using energy-efficient LEDs, the airport expects to cut its energy consumption in half, compared to a conventional system.

The light-as-a-service model is ‘a new standard in the transition towards sustainable lighting’, says the team behind it

Philips worked with architect Kossmann.dejong to develop special light fixtures for the project that are expected to last 75 per cent longer than conventional fixtures, because they are easier to service. In addition, the fixture components can be individually replaced. This will reduce maintenance costs and means that the entire fixture does not have to be recycled, optimising the reduction in raw material consumption.

Frank van der Vloed, general manager at Philips Lighting Benelux, added: ‘We are pleased to make an important contribution to Schiphol’s ambitious sustainability targets. We believe that more and more forward-thinking businesses will move to a light-as-a-service model. After all, most of us are used to this kind of model – for example I drink water but I don’t have a reservoir in my basement. Many people are used to pay-as-you-go models. Add to this considerable energy savings from LED technology and the sustainability of the overall system and the proposition is compelling.’

Philips said that this represents ‘circular economy principles’, with a move towards access rather than ownership (see box, below), innovative new business models based on services and solutions rather than one-off transactions, and innovations in the use of materials and components, to make products easier to service, disassemble and reuse.

Schiphol Group, Cofely and Philips have, said the lighting manufacturer, ‘created a new standard in the transition towards sustainable lighting’. The design also provides a better lighting experience for travellers and is part of an extensive renovation of the terminal intended to increase passenger comfort and capacity at Schiphol.

Jos Nijhuis, CEO and president of Schiphol Group, said: ‘It is Schiphol’s ambition to become one of the most sustainable airports in the world. We believe in a circular economy and want to play an active role in its realisation. The collaboration with Philips and Cofely marks a good step in this direction. Together we left the beaten path to develop an innovative, out-of-the-box solution. We set a new standard that matches the ambition level of the airport.’

Philips will retain ownership of all the equipment and Schiphol will lease it for the duration of the contract. At the end of the contract, fixtures will be re-used elsewhere after upgrading, resulting in maximum resource reduction. Supported by Cofely’s 24 hour presence at Schiphol, Philips and Cofely can provide real-time management of the lighting system to generate an optimal lighting experience and sustainability. At the same time the company will also be responsible for the intensity and reliability of the lighting, based on a KPI model.

This is not the first time that Philips has been involved in such a project. The Washington Metro in the United States signed a 10-year contract in November last year which will be funded through the annual $2 million (€1.5 million) savings in energy and maintenance resulting from the LED upgrade. The deal will see the replacement of 13,000 fixtures.

The Washington Metropolitan Area Transit Authority has 25 parking facilities that are covered through the arrangement. The lighting-as-service contract was a first for Philips Lighting.

In the UK in 2013, the National Union of Studentsinstalled a pay-as-you-go lighting scheme at its London headquarters, with the help of Philips.

The scheme allows the NUS to pay only for the energy it consumes, under a 15-year contract.

During the period of the contract Philips will guarantee that light levels are maintained to the L70 standard (giving at least 70 per cent of the original output) and will maintain pre-agreed energy savings. The lighting will be monitored online with annual reporting back to NUS. Philips will also carry out annual health checks and preventative maintenance of the lighting.

Macadam House has recently been refurbished with LEDs throughout to achieve a  Breeam ‘excellent’ rating.

The pay-per-lux system is one of a range of services that Philips now offers through its Philips Lighting Capital division, with the aim of helping clients to overcome the upfront costs associated with installing energy-saving lighting. The innovative concept led Fortune magazine to name Philips CEO Frans van Houten as one of the world’s top 25 ‘eco-innovators’