Press Release

The global solar street lighting market revenue surpassed US$ 5.69 billion in 2024 and is predicted to attain around US$ 23.59 billion by 2033, growing at a CAGR of 17.12% during the forecast period from 2025 to 2033. The increased demand for greener solutions and a heightened focus on energy conservation is expected to significantly boost the solar street lighting market size during the forecast period. Additionally, the rising adoption of renewable energy resources is anticipated to further drive demand for solar street lighting.

Countries worldwide are prioritizing the integration of large-scale renewable energy sources into their micro-grid networks. Growing concerns about the depletion of non-renewable resources present lucrative opportunities for stakeholders in the global solar street lighting industry. This shift towards sustainability not only supports environmental goals but also enhances energy security and resilience in communities.

Solar Street Lighting Market Key Takeaways

• The solar street lighting market is projected to reach US$ 23.59 billion by 2033, with a compound annual growth rate (CAGR) of 17.12% during the forecast period from 2025 to 2033.
• Asia Pacific has established itself as the largest producer and consumer of solar street lighting, driven by several compelling factors. This region's dominance is attributable to its robust manufacturing capabilities, increasing urbanization, and strong government support for renewable energy initiatives.
• In terms of application, highways and roadways have become priority areas for solar street lighting due to the urgent need for consistent nighttime visibility and reduced operational costs. This segment currently holds over 37.0% market share, reflecting its critical importance in enhancing safety for drivers and pedestrians.
• Regarding the type, standalone solar street lighting systems have gained significant attention, commanding over 49.0% market share. They are particularly advantageous for remote or semi-urban areas that lack stable electricity infrastructure, making them a practical solution for various environments.
• When examining components, solar panels stand out as the most significant revenue-generating element within the solar street lighting market, accounting for over 34.0% market share. Their essential role in converting sunlight into electrical power has made them indispensable.

Asia Pacific Solar Street Lighting Market Size and Growth 2025 to 2033

The Asia Pacific region has established itself as the largest producer and consumer of the solar street lighting market for several compelling reasons. In 2022, this region featured manufacturing facilities capable of producing 5 million solar street lighting units annually, highlighting its substantial production capacity.

The demand for solar street lighting in the Asia Pacific is primarily driven by urbanization and the ongoing efforts to electrify remote settlements. Many infrastructure corridors, including newly constructed highways, depend on off-grid illumination solutions due to the challenging terrain and the high costs associated with extending grid services. 

Additionally, large-scale government grants are further stimulating solar streetlight infrastructure projects in both urban and rural settings. With significant manufacturing throughput and a growing domestic demand, the influence of the region's market continues to expand.

Several countries are at the forefront of the Asia Pacific solar street lighting market. China stands out due to its prolific industrial capacity and supportive national policies, positioning it as a leader in global supply. Japan contributes with its technological expertise, while South Korea leverages its stronghold in electronics to enhance innovative research capabilities. This trend reinforces Asia Pacific’s position as a global frontrunner in the solar street lighting market.

Market Overview

The solar street lighting system utilizes photovoltaic panels installed atop poles to capture and store solar energy for illuminating outdoor spaces. These solar street lights provide numerous advantages, making them an increasingly favored option for outdoor lighting solutions.

Rapid urbanization is driving the expansion of cities and necessitating the development of new infrastructure, including roads, highways, public spaces, and residential areas. According to projections from the United Nations, 68% of the global population is expected to reside in urban areas by 2050. As urban environments grow, the demand for photovoltaic street lighting becomes more critical to ensure safety, visibility, and security for pedestrians and motorists. The development of infrastructure is central to the ongoing digital and energy transition, and the solar street lighting sector is anticipated to experience a 6.3% annual growth rate between 2023 and 2028.

Moreover, the integration of advanced technologies such as IoT sensors and real-time monitoring software is revolutionizing solar street lighting solutions. This technological transformation is boosting the adoption of these systems, addressing rising sustainability concerns, managing electric bill challenges, and supporting advancements in smart city initiatives. As cities strive for greater sustainability and efficiency, solar street lighting is becoming a vital component of modern urban planning.

Solar Street Lighting Market Growth Factors

• Strong government initiatives are promoting off-grid solar solutions for widespread public illumination.
• Growing consumer awareness is driving demand for cleaner energy sources in community lighting projects.
• Accelerating technological innovations are leading to the development of solar streetlights that are efficient, long-lasting, and cost-effective.
• Integration of smart lighting controls allows for remote monitoring and analytics tools to enhance system performance.
• Adoption of hybrid solar systems combines battery storage with grid backup for improved energy reliability.
• Increasing use of high-lumen LED modules is providing greater illumination in streets, enhancing safety and visibility.

Market Dynamics

Driver

Strong Government Initiatives

Strong government initiatives supporting off-grid solar solutions for widespread public illumination are proving to be a significant driving force in the global solar street lighting market. As governments around the world increasingly recognize the potential of solar street lighting, they are beginning to view these systems as essential strategic assets. 

This perspective is particularly relevant for serving remote areas that lack reliable access to traditional electrical grids. By investing in solar street lighting, governments aim to not only enhance public safety and accessibility in these regions but also to reduce dependency on grid-based electricity, which can be costly and logistically challenging to extend to isolated communities.

To facilitate the growth of off-grid lighting projects, many governments have introduced a variety of policy frameworks designed to incentivize investment in solar technologies. These frameworks often include tax exemptions, subsidized loans, and streamlined approval processes aimed at encouraging municipalities and private entities to adopt solar street lighting solutions. 

Restraint

Limited Financing Options

A critical challenge confronting the solar street lighting market is the pervasive shortage of financing mechanisms tailored for municipalities and small communities with limited budgets. Many of these local governments recognize the potential benefits of solar street lighting, including enhanced public safety, reduced energy costs, and environmental sustainability. 

However, the financial resources required to implement such projects often exceed their available funding. This situation is particularly dire in smaller communities, where budgets are typically tight and competing priorities can overshadow the need for sustainable infrastructure improvements.

Moreover, even when funding programs are available, the application process can be a significant barrier for smaller local governments. These processes often require extensive documentation, detailed project proposals, and sometimes even matching investments, which can be prohibitively expensive for communities with limited budgets. 

The complexity and resource demands of these applications can deter local administrations from pursuing necessary upgrades to their lighting infrastructure. This hampers the growth of solar street lighting market.

Trends

Integration of Smart Lighting Controls

An emerging trend in the solar street lighting market is the innovative combination of solar-powered LEDs with digital intelligence. This integration is transforming traditional lighting arrays into smart, connected systems that offer enhanced functionality and efficiency.

These advanced lighting arrays are embedded with wireless sensors that are capable of transmitting critical data regarding performance, voltage, and real-time illumination levels. 

Dedicated research budgets are increasingly being allocated toward the integration of artificial intelligence (AI) algorithms with solar lighting systems. This investment aims to refine diagnostic capabilities further and improve the overall intelligence of the systems. AI can analyze data patterns, predict maintenance needs, and optimize energy consumption, leading to better resource management and cost savings.

Recent Developments

• In January 2025, KLK Ventures announced its approval as a vendor under the Mukhya Mantri Gramin Solar Street Light Yojana (MGSSLY) by the Bihar Renewable Energy Development Agency (BREDA). This approval positions KLK Ventures as a key supplier of LiFePO4 Batteries (12.8 V, 54 Ah) and Luminaries (20 Watt), playing a crucial role in the success of this transformative rural solar lighting initiative.
• In January 2025, Governor Chukwuma Soludo of Anambra State inaugurated a 400-unit solar street light project in the Ndiowu community, located in the Orumba North Local Government Area. This initiative aims to enhance community safety and accessibility through solar-powered lighting.
• In November 2024, Taiwan-based electronics manufacturer Para Light Electronic launched a compact solar LED streetlight with integrated PV panels and a battery. This innovative design provides up to 15 hours of illumination for pedestrian walkways and roads, enhancing safety and convenience.
• In October 2024, Hon. Ibe Okwara Osonwa, the member representing the Arochukwu/Ohafia Federal Constituency, commenced the installation of solar-powered street lights in Ukwuakwu Ututu, Arochukwu Local Government Area. This project is part of his commitment to fulfilling his campaign promises and improving local infrastructure.

Key Solar Street Lighting Market Companies

• Acuity Brands, Inc.
• Bajaj Electricals Ltd.
• Bridgelux Inc.
• Cooper Lighting
• Dragons Breath Solar
• Jiangsu SOKOYO Solar Lighting Co., Ltd.
• Omega Solar
• Philips Lighting Holding B.V.
• Signify Holding BV
• Sol Inc.
• Solar Street Lights USA
• Solektra International LLC
• Sunna Design
• Urja Global Ltd.
• VerySol Inc.
• Other Prominent Players

Market Segmentation Overview

By Type

• Portable
• Standalone
• Centralized
• Others

By Component

• Controller
• Lamp
• Compact fluorescent light (CFL)
• Light-emitting diode (LED)
• Metal halide
• Sodium vapor
• Others
• Solar Panel
• Sensors
• Night & Motion Sensors
• Passive Infrared (PIR) Sensors
• Battery
• Lead-acid
• Lithium-Ion
• Others

By Application

• Parking Lot
• Highway and Roadway
• Airport Runway
• Manufacturing Site
• Playgrounds
• Garden
• Others

By Geography

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

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