LED-Based Street Lighting Market to Surpass $2 Billion by 2020, Forecasts Pike Research
BOULDER, Colo.--(BUSINESS WIRE)-- Dramatically falling costs and improvements in efficiency aredriving increased sales of light emitting diode (LED) lamps for street lighting. Costs have fallen as much as 50 percent over the past two years, and areexpected to continue falling. According to a new report from Pike Research, a part of Navigant's Energy Practice, by 2015, LEDs will become the second-leading type of lamp for street lights in terms of sales, behind only high pressure sodium lamps. By 2020, the study concludes, LED lamps for street lights will generate more than $2 billion in annual revenue.
"Broader investments in smart city infrastructure by municipal governments will boost smart street lighting projects, as the two go hand in hand," says research analyst Jesse Foote. "Smart street lighting systems can provide a backbone for other smart city applications, and conversely, a city investing in networking capabilities for smart city applications should also be looking to include better management of street lighting."
Nearly all smart street lighting projects are still in a pilot phase at the moment, according to the report. The adoption of LED street lights and networked control systems is seriously hindered by the ownership models and tariff structures in place across the United States and in some European and Asian locations as well. If utility companies own street lighting systems and charge a fixed tariff per light to municipalities, then towns have little financial incentive to pay for upgrading their lights. However, the potential for significant energy savings, reduced emissions and improved quality of service, combined with falling LED prices, means that more and more cities will find this an attractive proposition over time.
The report, "Smart Street Lighting", analyzes the global market opportunity for lamp upgrades and networked lighting controls across five categories of public outdoor lighting: highways, roads, parking lots, city parks, and sports stadiums. The report provides a comprehensive assessment of the demand drivers, obstacles, policy factors, and technology issues associated with the growing market for street lighting controls. Key industry players are profiled in depth and worldwide revenue and capacity forecasts, segmented by lamp type and region, extend through 2020. An Executive Summary of the report is available for free download on the Pike Research website.
About Pike Research
Pike Research, which joined Navigant's global Energy Practice on July 1, 2012, provides in-depth analysis of global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Pike Research can be found at www.navigant.com/pikeresearch.
Navigant (NYS: NCI) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.
* The information contained in this press release concerning the report, "Smart Street Lighting," is a summary and reflects Pike Research's current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report's conclusions and the methodologies used to create the report. Neither Pike Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.
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