Orion Energy Systems Inc . NYSE MKT: OESX 1
LED, CONTROLS & RENEWABLESZach Kurtz
SR. Vice President, Product Development
www.oesx.com
Orion Energy Systems Inc . NYSE MKT: OESX 2
ORION ENERGY SYSTEMS, INC
PROVIDING THE BEST CUSTOMER EXPERIENCE IN THE INDUSTRY
• Retrofit-focused products and services
• Installed retrofit base of over 20,000 customer sites with legacy lighting
• Over 40 years of experience in the building lighting retrofit space
• High engagement but scalable sales channels put us very close to end-use customer
decisions
• Product line with exceedingly high performance
• Proprietary ISON Class high-efficiency LED technology maximizes one-for-one replacements
and total cost of ownership
• Knowledgeable, experienced, responsive, in-market support
Orion Energy Systems Inc . NYSE MKT: OESX 3
APPROXIMATELY 3 BILLION SQUARE FEETRETROFITTED AT 20,000+ FACILITIES NATIONWIDE
48 ManufacturingFacilities
405 Bottling andSales Facilities
168 Bottling andSales Facilities
9 ManufacturingFacilities
20 DistributionFacilities
107 Bottling andDistribution Facilities
121 Cold & DryStorage Facilities
107 Manufacturing andDistribution Facilities
4 Manufacturing Facilities,678 Dealerships
2,469 Retail Facilities
A HISTORY OF SUCCESS
Orion Energy Systems Inc . NYSE MKT: OESX 4
F I R E
1850 1900 1950 2000 2050
E L E C T R I C I T Y
200
150
100
50
4bn yrs agoThe Sun
2,500 yrs agoCandle
1790Gas Lamp
1879Incandescent
1904Mercury Vapor
(Gas discharge)1938
Fluorescent 1965High
Pressure Sodium
(Gas discharge)
1965Metal Halide(Gas discharge)
1996White LED
A TRANSFORMATIVE TECHNOLOGYAT A RARE MOMENT IN TIME
WHY LED?
Orion Energy Systems Inc . NYSE MKT: OESX 5
A MODERATE INVESTMENT…
…THAT RESULTS IN MAJOR RETURNS
MONTH 0 MONTH 12 MONTH 24
Typical 1-3 year breakeven
Cumulative EnergySavings
CumulativeCost of LEDRetrofit andMaintenance
3-5 yearFinancing
Orion Energy Systems Inc . NYSE MKT: OESX 6
ADOPTION RATE AND OPPORTUNITY(OFFICE, RETAIL, INSTITUTIONAL)
THE LARGEST POTENTIAL MARKET IS ALSO THE LEAST PENETRATED
A-Type, 2%
Decora-tive; 31%
Directional; 34%
Down-light; 13%
Troffer; 1%
Park-ing; 7%
High Bay; 2%
MR16; 5%
Streetlight, 5%[classic light bulb]
ie: Chandeliers / Wall sconces
Adoption of Light-Emitting Diodes in Common Lighting Applications May
2013
2012 Energy Savings
Potential Annual Energy Savings
Troffer30%
Parking10%
High Bay12%
52% of the addressable market
Source: US Department of Energy
Troffer / Office Parking High Bay
Estimated Legacy LightingFixture Installed Base
957 millionfixtures
54 millionfixtures
67 millionfixtures
Orion Energy Systems Inc . NYSE MKT: OESX 7
LIGHTING EVOLUTION
EVERY NEW LIGHT SOURCE CHANGES LUMINAIRE DESIGN
Orion Energy Systems Inc . NYSE MKT: OESX 8
LED FIXTURE DESIGN
Orion Energy Systems Inc . NYSE MKT: OESX 9
CONVENTIONAL DESIGN
LIMITED LIFESPAN OF CONVENTIONAL SOURCES REQUIRED THEM TO BE A REPLACEABLE COMPONENT
• Luminaires were designed for a source or “lamp” which was standardized and self contained
• The source was interchangeable and supplied separately from the luminaire
Orion Energy Systems Inc . NYSE MKT: OESX 10
LED DESIGN
LED SOURCES ARE DIFFERENT FROM ALL PREVIOUS LIGHT SOURCES
• Earlier sources simply needed a power source to operate
• The LED is one part of a complex system that requires additional components to operate
DRIVER
CHIP
HEATSINK OPTIC
Orion Energy Systems Inc . NYSE MKT: OESX 11
LED DESIGN CONSIDERTIONS
WHAT ARE THE CHARACTERISTICS OF A WELL DESIGNED LED FIXTURE?
• Thermal management for long lifetime
• Optical effi ciency for volumetric lighting
• Quick disconnects of key components
• Modular design
Orion Energy Systems Inc . NYSE MKT: OESX 12
• Regardless of economics, people buy what they want, in many cases this is LED
• Rebate program conversion to LED emphasis
• Maintenance can be expensive• Cost of lifts, disposal, maintenance
staff utilization
• High use areas for LED Troffer Retrofit (hospitals, c-stores, common areas)
• LED technology offers benefits beyond energy savings
• Improved light quality, super long life for certain applications, improved building aesthetics
OPPORTUNITY DRIVERS FOR LED
Orion Energy Systems Inc . NYSE MKT: OESX 13
A COMPLETE PORTFOLIO OF BETTER SOLUTIONS
• Best performance in market, High ROI/IRR for customer• Optical efficiency and thermal management for greater performance
(ISON Class) • Modularity for simple and low-cost upgrades
INDUSTRIAL EXTERIOR
ISON LED High Bay Series
ISON LED High Bay EnclosedSeries
LED VaporTight Series
ISON LED Area Light
ISON LED Wall Pack
COMMERCIAL
Apollo LED Area Light
Apollo LEDWall Pack
Apollo LED High Bay Series
ISON LED Door Retrofit Suite
Apollo LED Recessed Troffer
LED RetrofitQuick Strip Series
O R I O N R E T R O F I T T EC H N O LO G I E S
Orion Energy Systems Inc . NYSE MKT: OESX 14
LED APPLICATION EXAMPLES
Orion Energy Systems Inc . NYSE MKT: OESX 15
Orion Energy Systems Inc . NYSE MKT: OESX 16
Orion Energy Systems Inc . NYSE MKT: OESX 17
Orion Energy Systems Inc . NYSE MKT: OESX 18
CONTROLS
Orion Energy Systems Inc . NYSE MKT: OESX 19
HOW CONTROLS WORK
CONTROLS FOR LED LIGHTING
• Control type is the method used to accomplish dimming
• Control signal protocol and the wiring type between the controller and fixtureo LED bulbs generally use line voltage methodso LED fixtures use one of more of any of the
methodso To be compatible – the LED product and control
MUST use the same control type
? ?
Orion Energy Systems Inc . NYSE MKT: OESX 20
CONTROL CHALLENGES
OVERCOMING LED CONTROL CHALLENGES
• LED module and driver technology
• Functional diff erences between control types
• Standards progress
• Designing successful projectso Knowing the benefits and limitations of controlling
LEDs
? ?
Orion Energy Systems Inc . NYSE MKT: OESX 21
Controls savings• Dimming, Step Dimming,
Dual Switching• Hours at each output level
(high, low, off)• Smart• Advanced• Integrated
CONTROL SAVINGS
Orion Energy Systems Inc . NYSE MKT: OESX 22
RENEWABLES
Orion Energy Systems Inc . NYSE MKT: OESX 23
Sun All Lights On Half Lights On No Lights On
APOLLO SOLAR LIGHT PIPEDirect Renewable
A side-by-side fluorescentto Light Pipe comparison at
majorfulfillment center
Optimize Low Sun Angles
VCP: Visual Comfort Probability
Uniform Zonal Cavity Distribution
Deliver an Integrated Automatic System
INTEGRATING RENEWABLES
Orion Energy Systems Inc . NYSE MKT: OESX 24
Glazing quality, water-clear, molded Acrylic or Impact-Resistant Polycarbonate, nonporous domes
Breathable gasket design for
atmospheric expansion reliefTamper-proof dome retention system
Highly polished aluminum core
reflector tube with elemental silver top
coat providing 98% reflectivity
Solid tamper-proof retention band
completely clamps dome providing
flame spread protection
Seamless flashing available in
aluminum or powder-coated steel
Closed-cell foam thermal barrier
eliminates condensation and
improves structural rigidness
Proprietary diffuser provides even
distributed daylighting and has an air-tight
seal to prevent insect and dirt infiltration
US Patents:D557,817; D560, 469; 7,638,743*Other patents pending
Certifications:• AAMA/WDMA/CSA/101/I.S.2/A440-08• Florida State High Velocity Hurricane Zone
including Miami-Dade FL14069 (HVHZ model only)
APOLLO SOLAR LIGHT PIPEDirect Renewable
Orion Energy Systems Inc . NYSE MKT: OESX 25
Case StudyAchieving Energy Independence
By retrofitting the lighting system with an integrated system, Orion was able to cut the lighting load by more than 70 percent. A 50 kW wind turbine at 6.5 m/s wind speed provides for nearly 60 percent of the modified load level. Coupled with a 90 kW solar system at an annual generation of 1,390 kWh/m2/year, a significant portion of the remaining load is provided for, leaving only the customer charge.
Original Total Load 743,000 kWh
Lighting Load Reduction - 376,600 kWhWind Generation - 194,000 kWhSolar Generation - 105,100 kWh
20112010 2012 2013 2014
Interior Lighting Retrofit
2009
Light Pipes Installation
Solar Photovoltaic Project
Integration of Power Monitoring System
Exterior Lighting Retrofit
Addition of Energy Management Controls
Lighting,
Controls and Light Pipes
Solar
Monitorin
g
Example Site
Orion Energy Systems Inc . NYSE MKT: OESX 26
QUESTIONS