India - the second largest populated country in the world is only the fifth-largest electricity consumer – a situation that has led to an ever-widening demand-supply gap. Therefore, the market for energy-efficient products such as LED lighting is bound to expand, depending on the initiatives that encourage the use of LED lights.
A report from the Electric Lamp and Component Manufacturers Association (ELCOMA), states that the Indian LED market is anticipated to reach Rs 261 billion by 2020. Factors fueling the growth of this market include declining LED prices coupled with favorable government initiatives, which not only provide LED lights at a subsidized cost but also promote LED street lighting projects. This is created through a special energy services company (ESCO) model created by EESL. Furthermore, with the exception of rising consumer awareness of the cost-effectiveness of LEDs, their enhanced life, energy-efficiency,
and eco-friendly nature will continue to drive volumes sales from the industrial, residential, and commercial sectors. LEDs are used in various applications that include residential lighting, street lighting, downlights, landscaping, monument lighting, signage, traffic signals, security lights, industrial lighting, office space lighting, and automotive lighting. Owing to the numerous benefits such as low energy consumption, low costs, modular designs, and ease of use it offers, LED lighting is the first and preferred choice in industrial, commercial, and domestic applications.
In India, the demand for LED lighting is majorly driven by metro cities owing to socio-economic growth. However, the demand from Tier-2 cities is projected to increase too, in the wake of the potential applications for street lighting and industrial lighting. Not just Tier-2 cities, but the demand for LED lighting from rural India is also anticipated to grow significantly, shortly, as a result of government initiatives for implementing rural LED streetlighting projects by retrofitting conventional streetlights with LED lights in gram panchayats under the Street Lighting National Project. Further expansion of the aforementioned initiatives throughout the country will open up new market areas for the LED lighting industry.
Lighting systems are getting smarter as autonomous, self-commissioning illumination systems are emerging and the next big thing in the LED lighting market is going to be the Smart, connected LED lights. The industry has switched from analog to digital systems since LED lighting allows users to control, monitor, and measure lighting output. This transformation is taking place across public, home, and professional lighting, and it is projected that these smart connected LED lights will emerge as the most widely adopted IoT devices within the next five to ten years.