Global Solar Street Lighting Market Size Projection

Global Solar Street Lighting Market Size Projection

The global solar street lighting market size is valued at $5.7 billion with sales of 1,545.9 thousand lighting units in 2019 and projected to witness a CAGR of 9.4% during the forecast period (2020–2030).

Driving Factors of Solar Street Lighting Industry

The declining price of photovoltaic panels, improving reliability of LED chips and batteries and increasing number of smart cities are the major growth driving factors. Moreover, increasing urbanization in developing regions is creating ample opportunities for the solar street lighting industry to grow.

Off grid V.S. On grid

In 2019, the standalone or off grid type witnessed the fastest growth in the solar street lighting market, and is expected to maintain its pace over the forecast period. In the standard off-grid solution, the solar panels convert the suns energy into electricity which is stored in local batteries used to power the lighting at night. The on-grid solution – if requested – requires additional hardware, specifically a charge controller which can accept input from both the solar panel and the local utility grid, allowing it to charge the battery from either source. In terms of price, the standalone solar street light is more cost-efficient than standalone type.

Major Solar Street Lighting Markets 

During the historical period (2014–2019), APAC held the largest share in the global solar street lighting industry, due to increasing infrastructure projects and government initiatives in China, India, Japan, Australia, and South Korea for the deployment of solar lighting systems. According to the International Energy Agency (IEA), China was the largest market in the APAC region in 2019 for the implementation of solar lighting system solutions and accounted for 42.8% share in total global solar photovoltaic (PV) capacity. The APAC region is also expected to maintain its dominance in terms of market share in the industry during the forecast period.

Growing Popularity of Smart Solar Street Lighting is a Key Market Trend

The prominent trend in the solar street lighting market is the growing popularity of smart solar street lights due to their features like energy efficiency, low operational and maintenance costs, and quick fault detection, owing to real-time control decisions via central control unit or device. Such smart street devices are also being deployed widely in smart city projects to monitor and reduce energy consumption and are expected to be in high demand in the coming years.