Outdoor Solar LED Market Growth Is Boosted by Decline in Prices of Solar Panels and LEDs, 2028

Outdoor Solar LED Industry Overview

The global outdoor solar LED market size to be valued at USD 24.75 billion by 2028 and is expected to grow at a compound annual growth rate (CAGR) of 24.6% during the forecast period. The growing popularity of LEDs for outdoor light settings, specifically in street light applications owing to improved quality and efficiency, is one of the key factors contributing to market growth. The increasing adoption of solar as a source of renewable energy for lighting purposes across countries is also likely to act as a catalyst for market growth. The rise in implementation of several smart city development plans is also likely to drive the adoption of outdoor solar LED products, creating opportunities for vendors in this space.

Growing urbanization and soaring vehicular traffic have led to a rise in the number of road infrastructure and smart city projects being implemented across countries such as the U.S., the U.K., Germany, China, and India. As a part of these development plans, several investment initiatives are aligned with aging street lighting facilities and renewable solar lighting projects. For instance, in 2019, the Birmingham City Council offered a contract to McCann Ltd., a U.K.-based civil engineering construction company, to upgrade Birmingham's 3,000 existing lighting units with updated LED technology and associated street lighting infrastructure. Similarly, in 2016, the U.K. government provisioned around USD 2.03 billion (£1.5 billion) to upgrade the A-14 trunk road between Huntingdon and Cambridge. Under the project, a total of 24 solar LED lights were deployed by Prolectric Services Ltd. Such initiatives are expected to fuel the demand for solar LEDs in outdoor applications in near future.

Gather more insights about the market drivers, restraints and growth of the Global Outdoor Solar LED market

In addition to the growing investments in this space, growing concerns regarding energy drain, together with the cost-efficiency offered by solar LED products compared to traditional lighting products, are also anticipated to support market growth over the next few years. Compared to traditional lighting where conventional lights use high-pressure sodium lights connected with an electric grid, solar LEDs store solar energy in the Photovoltaic Modules (PV) and offer a cost-effective long-term solution for commercial and industrial properties. Reduced dependencies on the off-grid and trenching process make outdoor solar LEDs a cost-effective option for end-users.

Factors such as declining battery costs, LED lighting costs, innovations in product design, and improvements in the lighting efficiency of landscape lighting products are expected to bring down solar LED component costs. The decline in prices, along with other benefits such as longer life expectancy, ease of installation, and low maintenance and operational costs, are expected to encourage municipalities of underdeveloped and developing regions to opt for solar LEDs. Moreover, the increasing awareness about renewable energy assets, along with stringent regulatory reforms focused on sustainable infrastructure development across developed and developing regions is anticipated to favor market growth.

Furthermore, a rise in promotional activities, including rebate programs, to create awareness about sustainable lighting products, is also expected to stimulate market growth over the forecast period. In combination with such initiatives, establishing Public-private Partnership (PPPs) can also help municipalities and local bodies to raise funds to implement solar LED-based street lighting. The rising number of PPPs in this field globally is expected to drive market growth.

The COVID-19 pandemic has had a substantial impact on the outdoor solar LED market, resulting in a decline in year-on-year demand. Commercial and industrial solar LED projects dwindled due to the shortage in supply of electronic components from China In light of the pandemic; several ongoing solar LED lighting projects also stalled but are expected to recover till the situation stabilizes. For instance, the U.K. government postponed all the solar project tenders and auctions until September 2021. However, regional government initiatives to ensure the continuance of existing projects during lockdowns positively impacted the market. For instance, the government of Germany scheduled several solar tenders in 2020 to protect the auction processes and to avoid delays in projects.

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Outdoor Solar LED Industry Segmentation

Grand View Research has segmented the global outdoor solar LED market based on application, wattage, end-use, and region:

Outdoor Solar LED Application Outlook (Revenue, USD Million, 2016 - 2028)

• Solar LED Street Lights
• Solar Garden LED Lights
• Solar LED Floodlights
• Solar LED Area Lights
• Solar LED Spot Lights

Outdoor Solar LED Wattage Outlook (Revenue, USD Million, 2016 - 2028)

• Less than 39W
• 40W to 149W
• More than 150W

Outdoor Solar LED End-use Outlook (Revenue, USD Million, 2016 - 2028)

• Residential
• Commercial
• Industrial

Outdoor Solar LED Regional Outlook (Revenue, USD Million, 2016 - 2028)

• North America
• Europe
• Asia Pacific
• Latin America
• MEA (Middle East & Africa)

Market Share Insights:

May 14, 2021: A premium solar lighting company, Greenshine New Energy, partnered with Balboa Solutions, to offer funding, for helping their clients in making payments for the solar lighting projects.

Jan 26, 2021: Greenshine New Energy, announced the delivery of its two new solar pathway lighting projects for public use and caught the attention of the media companies.

Key Companies profiled:

Some prominent players in the global Outdoor Solar LED Industry include

• Solar Street Lights USA
• OkSolar
• SOLTECH
• Jiangsu Beier Lighting Electrical Appliance Co., Ltd.
• SEPCO Solar Electric Power Company
• Jiawei

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