diff --git a/bpeng/ecm/led_savings.py b/bpeng/ecm/led_savings.py
new file mode 100644
index 0000000000000000000000000000000000000000..546447fd02275bad50928ffbf781bc67a22e21b7
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+++ b/bpeng/ecm/led_savings.py
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+"""functions to calculate savings from Lighting Replacements by LEDs"""
+
+
+# when we do not have any on site information
+print('Replacing your lights with LEDs can bring upto 80% cost savings')
+
+
+# when we have information about the "type" of existing lights
+# Direct % Cost Savings based on Wattage Equivalence"""
+INCANDESCENT_LED = 80
+HALOGEN_LED = 73.5
+CFL_LED = 20
+
+
+def cost_savings_type():
+    """Function to give direct cost savings for replacement based on wattage equivalence"""
+    light_type = input('Enter the type of exisiting lights(Incandescent/Halogen/CFL)')
+    if light_type == "Incandescent":
+        print('Replacing your lights with LEDs can bring upto', INCANDESCENT_LED, '% cost savings')
+    elif light_type == "Halogen":
+        print('Replacing your lights with LEDs can bring upto', HALOGEN_LED, '% cost savings')
+    elif light_type == "CFL":
+        print('Replacing your lights with LEDs can bring upto', CFL_LED, '% cost savings')
+    else:
+        print('Replacing your lights with LEDs can bring upto 80% cost savings')
+
+
+# Average Lifespan of different types of lights in hours
+# INCANDESCENT = 1250
+# HALOGEN = 1250
+# METAL_HALIDE = 6000
+# CFL = 10000
+# LED = 50000
+
+
+# LED equivalent Wattage for Incandescents of same LUMENS
+# 100 = 20  # Watts
+# 75 = 14  # Watts
+# 60 = 12  # Watts
+# 40 = 8  # Watts
+
+
+# Default values
+# ELECTRICITY_RATE_NY = 0.19  # $/kwh
+# ELECTRICITY_RATE_US_AVG = 0.12  # $/kwh
+# EXISTING_LIGHT = "Incandescent"
+# EXISTING_LIGHT_WATTS = 60  # Watts
+# REPLACEMENT_LED_WATTS = 12  # Watts
+# USAGE_HOURS_ANNUAL = 8760  # Hours
+# UNIT_COST_LED = 5  # Dollars
+# UNIT_COST_INCANDESCENT = 1  # Dollars
+
+
+def energy_savings(watts=60, watts_led=12, number_lights=1, usage_hours=24, usage_days=7):
+    """ function to calculate annual energy savings"""
+    usage = usage_days * usage_hours * number_lights * 52
+    usage_current = watts * usage
+    usage_led = watts_led * usage
+    annual_energy_savings = (usage_current - usage_led) * 100 / usage_current
+    return annual_energy_savings
+
+
+def cost_savings(watts=60, watts_led=12, number_lights=1, usage_hours=24, usage_days=7):
+    """ function to calculate annual cost savings"""
+    electricity_rate = input('enter the electricity rate in $/kwh')
+    if electricity_rate == ' ':
+        electricity_rate = 19
+    usage = usage_days * usage_hours * 52
+    replacements_current = round(usage / 1200)
+    replacements_led = round(usage / 50000)
+    if replacements_led < 1:
+        replacements_led = 1
+    else:
+        replacements_led = replacements_led
+    cost_per_unit_current = input('enter cost per unit of existing lights')
+    if cost_per_unit_current == ' ':
+        cost_per_unit_current = 1
+    replacement_cost_currrent = replacements_current * cost_per_unit_current * number_lights
+    lighting_costs_current = (watts * usage * number_lights * electricity_rate) + replacement_cost_currrent
+    cost_per_unit_led = input('enter cost per unit of replacement LED lights')
+    if cost_per_unit_led == ' ':
+        cost_per_unit_led = 5
+    replacement_cost_led = replacements_led * cost_per_unit_led * number_lights
+    lighting_costs_led = (watts_led * usage * number_lights * electricity_rate) + replacement_cost_led
+    annual_cost_savings = (lighting_costs_current - lighting_costs_led) * 100 / lighting_costs_current
+    return annual_cost_savings
+
+
+
+