July 16, 2024
Solar Street Lighting Market

Solar Street Lighting Market is Estimated to Witness High Growth Owing to Increasing Urbanization and Government Energy Saving Initiatives

The solar street lighting market comprises of various products including LED lamps, compact fluorescents lamps (CFL), and high-intensity discharge lamps (HID) that employ solar photovoltaic panels and rechargeable batteries to operate without being connected to the conventional power grid. Solar street lighting offers various advantages like reduced maintenance and energy costs, increased durability, and lower carbon footprint making them an eco-friendly alternative to traditional street lighting systems. With rapid urbanization worldwide and government initiatives promoting sustainable energy usage, the demand for reliable off-grid lighting in streets, sidewalks and public parks is significantly rising, driving the growth of the solar street lighting industry.

 The Global solar street lighting market is estimated to be valued at US$ 38.15 Bn in 2024 and is expected to exhibit a CAGR of 15% over the forecast period 2024 to 2031.

Key Takeaways

Rising demand for off-grid lighting solutions especially in developing regions with limited access to electricity presents significant growth opportunities for players in the market. Rapid installation of Solar Street Lighting Market Size for outdoor illumination of roads, pathways, parking lots etc. is expected to drive the adoption in the coming years.

Key players operating in the solar street lighting are VerySol Inc., Solar Street Lights USA, Dragons Breath Solar, Urja Ltd., Solektra International LLC, Bridgelux Inc., SOKOYO Solar Group, Sunna Design, Sol Inc., Signify Holding, Omega Solar, SolarOne Solutions Inc., Hitechled, Fevino Industries LLP, Systellar, Wolta Power System, SunMaster, Wipro Lighting, Swami Energy, and Sunrise Solar.

With increasing focus on renewable sources of energy globally, manufacturers are extensively expanding their presence across international markets. Major players have been tapping opportunities in Asia Pacific and Middle East & Africa through partnerships, acquisitions and by setting up local manufacturing plants to cater to the rising local demand.

Market Drivers

Growing infrastructure development activities worldwide accompanied by smart city initiatives undertaken by various governments are promoting the adoption of advanced LED based solar street lighting as a substitute to traditional ones. Additionally, favorable government policies and subsidies encouraging renewable energy utilization along with heightened environment protection awareness among public and industries are prominently boosting the solar street lighting industry. The economic viability and operational cost benefits offered by solar street lights compared to conventional options further accentuates their popularity.

PEST Analysis

Political: Development of solar technologies faces uncertainty due to changes in government regulations and renewable energy policies that could impact subsidies and tax incentives for solar projects.

Economic: Adoption of solar street lighting depends on availability of financing options at competitive rates as upfront installation costs are higher than conventional lights.

Social: Growing environmental awareness among citizens and commitment towards clean energy is driving demand for solar street lights in both urban and rural areas.

Technological: Continuous advancement in battery storage, LED technologies and remote monitoring systems is improving efficiency and lifespan of solar street lighting solutions while bringing down costs.

Geographical concentration

Europe accounts for the largest share in terms of value currently as countries like Germany, Italy and France have seen strong sales led by supportive net metering policies and focus on energy security. Asia Pacific region is also a major market led by China, India and Japan while demand is steadily growing across developing nations in Latin America, the Middle East and Africa.

Fastest growing region

Asia Pacific region is poised to witness the fastest growth in demand over the forecast period owing to large population, rapid urbanisation and governmental efforts to provide 24×7 electricity access through off-grid solar solutions especially in rural India, Indonesia, Vietnam and other Southeast Asian countries. Initiatives such as India’s Street Lighting National Programme are a huge opportunity for solar street lighting companies.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it