A total of £5m is to be invested in towns and villages across Moray, the council has announced.
It is understood councillors approved the funding to install LED lighting throughout the region over the next five years.
The local authority is responsible for approximately 17,300 street lights, of which over 7,000 will fail new ER regulations.
A similar number use old technology, which is much less energy efficient.
Although the purchase cost of LED lights is higher, whole life costs are lower. LED lights use less power, resulting in a reduced carbon footprint, and there are also reduced maintenance costs.
In addition, LED lighting have a lifespan of 80,000 to 120,000 hours, equivalent to 20 to 30 years if lit for eight hours a day.
A report to the full council said: "Annual recurring savings of £540,000 on energy and maintenance are estimated on completion of the replacement programme. These savings more than cover the cost of financing the project."
Councillor Allan Wright added: "This is a very good example of spending now to save in the longer term and also underlines the council's commitment to reduce its carbon emissions still further."
(LM/MH)
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