LED will be saving up to 87 per cent on the monthly electricity bill for traffic signals by replacing all incandescent bulbs with car led lights are land wide over the next 12 months.

With some 40 per cent of the car lights already installed, a $14-million contract was signed last Friday for work to begin by month-end to replace the remaining 1,990 lamps.

With that savings and economic approach to a new area of installation it will also help to maybe add traffic lights to rural urban areas where you couldn't do it because you couldn't afford it before.

The LED conversion programme will start as soon as the equipment arrives by the end of September. Some 40 intersections are expected to be completed by year-end.

At Friday's signing with the contractor, Machinery and Services Limited, at the transport ministry's offices in Kingston, Patrick Wong, chief executive officer of the National Woks Agency, said the authorities will examine installing the car led lights in street lamps as well.

Two main advantages of LED traffic signals are the low energy usage of 20-22 watts compared to the 100 watt incandescent lamps, and a longer life span of seven to 10 years compared to three months.

Additionally, the low energy usage of car lights is expected to realise significant savings in monthly and yearly energy costs.

The LED lamps are also brighter when compared to incandescent lamps, thus enhancing safety.