The LED segment to be the fastest growing in Energy Efficient Lighting Technology industry
Global Energy Efficient Lighting Technology market is estimated to be US$ 118.7 billion in 2011 and expected to reach US$173.4 billion in 2016 at a CAGR of 7.9% over the period 2011 to 2016. The LED segment is the fastest growing with CAGR14.9% during 2011 and 2016, according to a new report by Transparency Market Research.
The report “Global Emerging Lighting Technology Market by Correlated Color Temperature (CCT), Application and Geography (2011- 2016)” commented that the field of lighting has witnessed remarkable technology improvements in the past few years, especially in the area of compact fluorescent lamps (CFL) and solid state lighting. Conventional incandescent bulbs are expected to reach obsolescence with the onset of CFL and LEDs.
The report further explains, LED lighting is enjoying robust growth because of its exceptional features that include high energy-efficiency, long operational life and robust weather resistant design. Lighting accounts for about 18% to 20% of total energy consumption globally; and about 27% to 30% of total energy consumed for domestic purposes. LED lighting applications are likely to see double-digit growth with the highest market share in overall lighting market post 2020. On the contrary, growth of office and industrial applications of LED lighting will be slower due to the existing high penetration of cost-competitive CFLs and fluorescent lamps.
For the CFLs, they are about 70% more energy efficient than incandescent light bulbs. Their advantages include improved light quality and longer operational life. Additionally, CFLs give healthier concentrated light than linear fluorescent and their sizes are just about one-fourth of the size of conventional fluorescent lamps. CFLs help fight global warming as their electricity consumption is appreciably lower than that of incandescent bulbs. Each CFL is expected to slash carbon dioxide emissions by about 1,300 lbs.
over its lifetime. CFLs cost a little more up front, but still offer more savings than incandescent bulbs by using less electricity. In addition, it is said that full spectrum fluorescent lighting may also benefit the immune system, and thus improve general health and well-being. The report concludes, LED is the fastest growing market at a CAGR of 14.9% from 2011 to 2016, because of the increasing applications of LED lighting that includes residential lighting, decoration, signal indicators and display backlighting. The U.S. is expected to be the biggest market of LED in 2016; however Asian region will witness the highest growth rate at a CAGR of 16.6%.