Home > Electronics & Media > Street Lighting Market
Street Lighting Market size is projected to witness lucrative gains over 2023-2032 impelled by growing initiatives for providing safety and visibility on roads in dark conditions across the globe. These devices deliver improved visibility to motorists and pedestrians aiding in significant road safety which is further creating a high demand for streetlights.
Moreover, increasing government investments and programs to develop public infrastructure facilities are promoting the street lighting market growth globally. In December 2022, the Abu Dhabi Investment Office and the Department of Municipalities and Transport (DMT) signed a partnership deal with French consortium EDF and ENGIE for the Phase 2 Road Lighting LED public-private partnership (PPP) project. The surging need for sustainable and power-efficient light products has led to the adoption of solar lights. The industry growth is also complemented by the escalating demand for road safety and traffic control.
Traditional lights consume high power and have a shorter lifetime and high replacement costs, majorly hindering product adoption. Additionally, owing to their fragile nature, luminaries require good packaging and transportation facilities, adding up to the product price. Nonetheless, the introduction of LEDs, solar-powered lights, and smart lights offers long shelf life, lower energy consumption, and reduced maintenance costs benefitting in overcoming the existing challenges.
External factors, such as import duties and rates on lighting solutions due to the Russia-Ukraine conflict, increased product prices, thereby limiting industry expansion in the affected regions. In October 2022, the Ukraine Energy Department reported that 40% of the country’s electric power system was disrupted and 30% of power stations were destroyed. However, rapid urbanization and various developments in urban areas are generating a high demand for streetlights in line with surging emphasis on smart city projects and zero-carbon emissions programs.
LEDs are gaining high popularity in the street lighting market due to their beneficial properties such as energy efficiency, longer life expectancy, low carbon emissions, and accurate color rendering. The soaring demand for energy-efficient lights in streetlights to reduce energy consumption is supporting the higher implementation of LEDs. The decreasing price of LEDs and government subsidies for supporting their implementation are also fueling product demand.
The controller segment is set to depict exponential growth from 2023 to 2032 as a result of its easy maintenance and increased energy-saving features. These control systems are utilized for monitoring and controlling the lighting device. The integration of several sensors, dimmers, and timers into the control system allows greater energy management, further providing energy efficiency. With the increasing adoption of smart lights and LEDs, the controls have become essential for the efficient working of these devices.
Asia Pacific street lighting market is progressing at a robust rate attributed to the high manufacturing and distribution of LED-based lighting systems and the presence of major exporters of energy-efficient light solutions. Several governments in the Asia Pacific region have implemented energy-saving policies, which include the promotion of LED bulbs over traditional incandescent bulbs. The Smart City Mission is an initiative by the Government of India for economic growth and providing an enhanced lifestyle by enabling local development with advanced technical support.
Major players in the street lighting market include Philips Lighting N.V, K-LITE, OSRAM GmbH, Panasonic, Toshiba Lighting, Schneider Electric, Dimonoff Inc., Legrand, Cree Inc. (Wolfspeed), and General Electric Co. Several companies in the market are adopting strategies such as M&A activities, collaborations, and partnerships to gain high revenue and for a competitive advantage. For instance, in July 2022, Toshiba Carrier Corporation, Toshiba’s residential and light commercial HVAC business, was sold to Carrier Global Corporation. With this acquisition, the company aimed to expand its customer reach and boost its R&D in the field of lighting.