The global solar street lighting market was worth around USD 5,291.5 million in 2021 and is estimated to grow to about USD 12303.5 million by 2028, with a compound annual growth rate (CAGR) of approximately 15.1 percent over the forecast period.
The global solar street lighting market was worth around USD 5,291.5 million in 2021 and is estimated to grow to about USD 12303.5 million by 2028, with a compound annual growth rate (CAGR) of approximately 15.1 percent over the forecast period. The report analyzes the solar street lighting market’s drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the solar street lighting market.[D1]
Solar street lighting Market: Overview
Solar street lighting is expected to see a bright demand outlook over the forecast period as demand for better and sustainable outdoor lighting increases across the world. Solar lighting works by absorbing the energy from the sun during the daytime and storing it to use in the nighttime when needed. This is a sustainable lighting option and will see an increase in popularity as the demand for electricity increases.
Increasing focus on sustainability, rising population, increasing consumption of electricity, and dimming popularity of conventional lighting are some other factors that are expected to boost the solar street lighting market potential through 2028.
High installation costs are anticipated to have a restraining effect on the global solar street lighting market growth and will slow down the industry over the forecast period.
The COVID-19 pandemic led to a downfall in the adoption of solar street lighting as the world was focused on battling the pandemic and hence the solar street lighting market witnessed a slow growth trend in 2020. Lockdown restrictions across the world hampered the production of solar street lighting and also distribution which had a negative impact on the solar street lighting market.
Hampered installations under the lockdown mandates that dictated strict prohibition on outdoor activity also led to a slow down of the solar street lighting marketplace.
The negative trend of the solar street lighting market is expected to diminish as the pandemic subsides and the adoption of solar street lighting picks up across the world. Increasing focus on sustainability and rising investments from the government to adopt solar street lighting are expected to prominently govern market potential in the post-pandemic era.
Solar street lighting Market: Growth Drivers
Increasing Focus on Sustainability
The world has seen a substantial rise in focus on sustainability as the environment deteriorates and one of the major contributors to this is the energy generation sector this, in turn, has propelled the demand for renewable energy sources. The rising focus on creating more sustainable power solutions and decreasing dependency on conventional power generation is expected to majorly propel the adoption of solar street lighting over the forecast period. Increasing focus on managing the growing demand for energy will also shape the solar street lighting market growth through 2028.
Solar street lighting Market: Restraints
High Installation Costs to Hinder Solar street lighting Market Growth
Solar street lighting solutions are costly to fix and install and this factor is a major hampering factor for the global solar street lighting marketplace. Solar solutions are still relatively expensive due to the high costs of panels and the supporting structure that they require and this is what creates a major obstacle for installation. This is expected to hamper the solar street lighting market growth in low-income economies and hence slow down the global market pace through 2028.
Global Solar street lighting Market: Segmentation
The global solar street lighting market is segregated based on type, lighting source, application, and region.
By lighting source, the market is divided into CFL and LED. The LED segment is projected to have a bright outlook over the forecast period. The increasing popularity and high availability of LED lighting solutions are expected to boost the demand for this segment in the global solar street lighting market landscape. This segment will hold a major market share by the end of the forecast period.
By Application, the solar street lighting market is segmented into residential, commercial, and industrial. The industrial segment is expected to lead the solar street lighting market growth in terms of the application over the forecast period. The rising focus on sustainable energy generation and stringent mandates to incorporate renewable energy is expected to boost the adoption of solar street lighting in this application through 2028.
|Historic Years||2016 - 2020|
|Forecast Years||2021 - 2028|
|Segments Covered||By Product Type, By Application, and By End Use|
|Forecast Units||Value (USD Billion), and Volume (Units)|
|Quantitative Units||Revenue in USD million/billion and CAGR from 2021 to 2028|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World|
|Countries Covered||U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others|
|Number of Companies Covered||10 companies with scope for including additional 15 companies upon request|
|Report Coverage||Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.|
|Customization Scope||Avail customized purchase options to meet your exact research needs.|
Asia Pacific region leads the global solar street lighting market in terms of revenue and volume share and this can be attributed to rapid industrialization and urbanization in this region. Increasing focus on sustainability and rising adoption of renewable energy resources are other factors that influence the solar street lighting market potential over the forecast period. Nations of India, China, and Japan are anticipated to be the most notable markets in this region through 2028. Supportive government initiatives to boost the installation of solar street lighting solutions are also expected to have a positive impact on solar street lighting market growth in the Asia Pacific region.
The market for solar street lighting in North America is expected to see good growth owing to the rising focus on sustainability and the increasing popularity of solar lighting solutions.
Some of the main competitors dominating the global solar street lighting market include - Philips Lighting Holding B.V., Bridgelux, Inc., Omega Solar, Dragons Breath Solar, Solektra International, SOKOYO Solar Group, Sunna Design, Solar Street Lights USA, Urja Global Ltd.
Global solar street lighting market is segmented as follows:
By Lighting Source
Lighting mechanism that excludes the regular power supply of electricity and functions completely on the solar energy is termed as solar lighting systems. The internal structure of the solar-based street lighting system comprises PV (photovoltaic) modules for battery charging, light emitting diodes (LED), compact fluorescent lamp, light source, and re-chargeable lead acid battery for storage and other electronics hardware to complete the circuit. Solar photovoltaic modules are anticipated to have 15-20 years of service life. The operation of these solar street lights can be automatic with the integration of high standard sensors, which from dusk to dawn remains in operating mode or by simply setting up and adjusting the timer. Tubular batteries which provide solar lighting systems require low maintenance which leads to a long life.
Government initiatives to utilize alternate source to power systems and reduce the depletion of fossil fuels which are used for generating electricity is likely to be the key factor responsible for the growth of the solar street lighting market. For instance, an initiative taken by the Government of India called as the Prakash Path replaced approximately 35 million street lights and 770 million incandescent bulbs with LED bulbs. In addition to this, Electric Vine Industries partnership with ENGIE in 2017, declared an investment of approximately USD 200 million for the installation of solar microgrids in Indonesia. Growing infrastructural projects leads to the rising demand for solar street lights which can be used in parking lots, pathways, and others. Moreover, increasing potential of solar technologies and increasing demand for continuous power supply will positively boost the market growth. Furthermore, technological innovations in the design of the product and declining cost of battery have positively reduced the prices of solar lightening components making them an alternative for households and municipalities. Such factors tend to positively impact the market growth.
Based on the lighting source, the solar street lighting market is segmented into the light emitting diode and compact fluorescent lamps. On the basis of type, the market is segmented into standalone and grid connected. Based on the application, the market is segmented into industrial, residential, and commercial.
The Asia Pacific held significant revenue share in 2017 and is anticipated to continue its regional dominance over the forecast period. The region offers great opportunities for the market players; several governments are on the run towards the target of employing green solutions and eradicating the emissions level step by step. Other regions such as the Middle East & Africa show a considerable inclination in the solar street lighting. This rise in inclination is expected to boost the overall growth of the market in this region. Moreover, North America and Europe are majorly focusing on the maximizing the utilization of solar energy which tends to positively impact the market growth in this region.
Some of the industry players operating in the solar street lighting market include Philips Lighting Holding B.V, SOKOYO Solar Group, Sol Inc., Dragons Breath Solar, Bridgelux, Omega Solar, MarSunna Design Inc., Urja Global Ltd., Solektra International, Leadsun VerySol GmbH, Solar Street Lights USA, and Yingli Solar
Increasing focus on sustainability and the rising popularity of solar lighting solutions are some major trends that guide solar street lighting market growth.
According to the Market Research report, the global solar street lighting market was worth about US$ 5,291.5 million in 2021 and is predicted to grow to around US$ 12303.5 million by 2028, with a compound annual growth rate (CAGR) of around 15.1 percent.
The Asia Pacific region leads the global solar street lighting market in terms of revenue and volume share and this can be attributed to rapid industrialization and urbanization in this region