Lighting Jpg

Why is this important?

Lighting is a major source of energy demand, though it is one area where energy use has stalled or even declined, thanks to new more-efficient options. LEDs are shaping current market dynamics, and competition among manufacturers is driving further innovation, wider product choices and lower prices.

What is the role of lighting in clean energy transitions?

Numerous countries began to phase out incandescent lamps more than ten years ago and many are now beginning to eliminate fluorescent lighting. Half of the global residential lighting market now uses LED technology.

Where do we need to go?

Although some advanced markets have introduced new regulations mandating the exclusive sale of high-efficacy LED lamps, progress in this area must be sustained to ensure that all countries sell predominantly LED technology by 2025, and with increasing efficiency to 2030, to align with the Net Zero Emissions by 2050 Scenario.

Lighting is a major source of energy demand, though it is one area where energy use has stalled or even declined, thanks to new more-efficient options. LEDs are shaping current market dynamics, and competition among manufacturers is driving further innovation, wider product choices and lower prices.

Numerous countries began to phase out incandescent lamps more than ten years ago and many are now beginning to eliminate fluorescent lighting. Half of the global residential lighting market now uses LED technology.

Although some advanced markets have introduced new regulations mandating the exclusive sale of high-efficacy LED lamps, progress in this area must be sustained to ensure that all countries sell predominantly LED technology by 2025, and with increasing efficiency to 2030, to align with the Net Zero Emissions by 2050 Scenario.

Lighting

On track

Electricity consumption for lighting increased in 2022, with greater efficiency not offsetting increased use of lighting. Despite the falling carbon intensity of electricity, CO2 emissions from lighting rose slightly in 2022. 

2022 saw continued progress both in the deployment of s (LEDs) and in lighting efficiency. While numerous countries began to phase out incandescent lamps more than ten years ago, many are now beginning to eliminate fluorescent lighting as well to make LEDs the dominant lighting technology. About 50% of global residential lighting sales use LED technology. 

To align with the Net Zero Emissions by 2050 Scenario, progress in this area must be sustained to 2030 to ensure that all countries sell predominantly LED technology and with increasing efficiency. 

Prominent progress in increasing standards and labels for lighting

Countries and regions making notable progress in shifting lighting towards the best available technology include: 

  • The United Kingdom in January 2023 proposed increasing the minimum energy performance for lighting to the highest level in the world, at 120 Lumens per Watt (lm/W) in 2023 and 140 lm/W in 2027.  
  • The East African Community (EAC), in July 2022, adopted a regionally harmonised quality and performance standard which will phase out conventional and fluorescent lamps in favour of LED lamps.  
  • South Africa published on 24 May 2023 new efficiency requirements for all General Service Lamps (GSLs) to meet at least 90 lm/W.  

CO2 emissions by lighting increased marginally in 2022, despite increased uptake of efficient lamps

CO2 emissions and emissions intensity for lighting in the Net Zero Scenario, 2000-2030

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In 2022, emissions in the lighting sector rose marginally along with the wider Covid-related rebound that started in 2021. The emissions intensity of electricity, an important factor for CO2 emissions, fell too little to offset increased lighting demand.  

To stay on track with the Net Zero by 2050 Scenario, a continued effort on increasing LED lighting is needed, along with continued decarbonisation of electricity generation. Emissions must fall by around two-thirds to 2030. Prioritising the phasing out of older technologies by improving efficacy (how much light per unit of energy, usually in lumens per Watt), and quality (such as the lifetime) of new lamps, will be key to achieving this objective. 

Increased energy demand for service lighting more than offset a drop in residential lighting in 2022

Global electricity consumption in lighting in the Net Zero Scenario, 2010-2030

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Despite continued improvements in the efficacy of lighting, increasing use of lighting drove up total energy consumption in 2022, particularly in large emerging economies. To stay on track with the Net Zero Scenario, all lighting sales need to be LED technology by 2025, with higher efficacy levels by 2030. Although the trend towards LED technology is positive, governments need to continue their efforts to realise this goal. 

Increasing building space and population is driving additional demand for lighting

With wealth increasing and the cost of lighting products falling, householders can afford more lighting services – especially in emerging economies. This increased demand for lighting services is also being driven by rising populations and a growing number of households and especially floorspace. Building floor area has grown by about 60% in the past two decades and is set to increase by another 20% this decade, adding a total floor surface area of nearly 45 billion m2, equivalent to about five times the floor area in Indonesia today. 

These pressures are pushing up demand for lighting, highlighting the importance of deploying LED lamps in all markets to limit overall energy consumption.   

LED is now the leading lighting technology in homes

Global residential lighting sales share by technology in the Net Zero Scenario, 2010-2030

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Globally, residential LED sales have increased substantially in recent years, rising from around 5% of the market in 2013 to about 50% in 2022, with integrated LED luminaires (one or more lamps within a unit) making up an increasing share. A number of developed markets, including the United States and Europe, are responsible for the rapid expansion of the luminaire market, with China establishing a substantial domestic and global manufacturing base. 

The efficacy of new LEDs continues to rise, though needs to increase by about 30% by 2030 to align with the Net Zero Scenario

Lighting efficacy by technology in the Net Zero Scenario, 2010-2030

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LED efficiency, or efficacy, has improved considerably in recent years. LEDs typically available in the residential market have an efficacy of over 100 lumens per watt (lm/W), depending on the model (e.g., directional, non-directional, tubular). Since 2010 the average efficacy of LEDs has improved by around 4 lm/W each year. The best-in-class technologies now achieve over 200 lm/W, but they are currently more expensive. The efficacy of new LEDs continues to rise, though needs to reach about 140 lm/W by 2030 to align with the Net Zero Scenario, which would be around 30% higher than the 2022 average.  

LEDs have become more efficient than any other economically viable alternative. Further advances could be made through advanced LED modules (e.g., consisting of multiple-chip packages on a printed circuit board), for instance, or continuous improvements in optics. Direct current (DC) grids also hold the potential to reduce losses from converting alternating current (AC) to DC (as LEDs run on DC). 

Minimum energy performance standards are widely employed as the key driver for efficiency improvements

Proportion of lighting final electricity use covered by minimum energy performance standards, 2000-2022

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Around 90 countries now use Minimum Energy Performance Standards (MEPS) and prohibit low-efficacy lighting products from the market. Almost 80% of the world’s lighting energy consumption is now covered by such standards, rising to more than 90% in Europe, the United States and China.   

Mercury considerations are also limiting the use of flourescent lamps and driving higher efficacy standards. Recent regulatory requirements include:  

  • Africa – a proposal for a global phase-out of fluorescent lamps was submitted to the Minamata Convention on Mercury by 36 African nations, calling for the phase-out compact fluorescent lamps in 2024 and linear fluorescent lamps in 2025.  
  • South Africa – published on 24 May 2023, new efficiency requirements for all General Service Lamps (GLS) to meet at least 90 lm/W.  
  • The Southern Africa Development Community (SADC), comprising 16 countries, has adopted a harmonised lighting standard to shift those markets – for both lamps and luminaires – to LEDs in the coming years.  
  • The East African Community – 6 countries – finalised harmonised standards in 2022, shifting both lamp and luminaire markets to LED technology.  
  • European Union – the transition to LED lighting started in 2009 with the Ecodesign regulation, which mandated a phase-out of incandescent lamps. Updated Ecodesign regulations and the RoHS Directive, which regulates hazardous substances in electrical equipment, will move the EU market away from mercury-containing fluorescent lighting. Compact fluorescents and all general-purpose fluorescent lamps are expected to be phased out in 2023.   
  • Norway, Switzerland, and the United Kingdom have already aligned with the EU-27 Ecodesign regulation and are expected to follow the RoHS updates. 
  • In January 2023, the United Kingdom announced proposals to increase the minimum energy performance to the highest level in the world, at 120 lm/W in 2023 and 140 lm/W in 2027. 


Voluntary programmes are also driving the uptake of higher-efficiency LED lamps

Governments are using voluntary measures to enhance the uptake of LEDs, as well as introducing higher-quality and higher-efficacy lamps. Recent policy developments include:  

  • China – China has implemented a series of fiscal and taxation policies to incentivise LED technologies. LED lighting has been on on China’s compulsory government procurement list since 2013 though is now eligible for government green bonds support.  
  • India – bulk procurement programmes have driven down the cost of LED lamps and made them affordable for very poor households. India’s lighting industry association recently published a roadmap called ELCOMA Vision 2024, with the objective of converting India’s lighting market to LEDs by 2024.  
  • United States – is actively updating its lighting regulations and examining opportunity for the Federal Government to lead by example through procurement of LED products. In addition, there are State legislative bodies which are phasing-out fluorescent lamps. For example, a Vermont law signed in May 2022 will end the sale of 4-foot (1.22 metres) linear fluorescents by 2024. 

International initiatives are providing capacity to support governments in developing effective lighting policy

There are some organisations and initiatives involved in facilitating international collaboration on energy-efficient electrical appliances, which also seek to improve the efficiency of lighting. These include:  

  • Energy-Efficient End-use Equipment (4E), is the IEA’s technology collaboration programme (TCP) to share information and transfer experience to support good policy development. The 4E Solid State Lighting (SSL) Annex is a joint initiative of seven countries working together to address challenges with SSL technologies. In October 2022, the 4E TCP updated its LED quality and performance requirements document which should be achievable by 2024, across three different performance levels – from Tier 1 minimum acceptable levels through to Tier 3 the current highest commercially available performance level. These include the proposed efficacy levels along with other quality levels, such as lifetime and luminous flux maintenance. 
  • The Super-Efficient Equipment and Appliance Deployment (SEAD) Initiative, is a collaboration of more than 20 governments, the IEA and other partners to accelerate and strengthen the design and implementation of energy efficiency policies for appliances, lighting, and equipment. Under the SEAD umbrella, and in the run up to the United Nations Climate Change Conference 2021 (COP26), the IEA, with the UK government, set up the Product Efficiency Call to Action, which aims to double the efficiency of key appliances sold globally including lighting.  
  • CLASP, launched as the “Collaborative Labelling and Appliance Standards Program”, has expanded its activity on appliances to include access to clean energy through off-grid appliance energy performance and quality. 
  • United for Efficiency (U4E), is a global effort supporting developing countries and emerging economies to move their markets to energy-efficient appliances and equipment. U4E has updated its model lighting regulation guidelines for developing countries.  

We would like to thank the following external reviewers:

  • Nils Borg, ECEEE, Contributor 
  • Michael Scholand, 4E TCP, SSL annex, Reviewer 
  • George Zissis, 4E TCP SSL Annex, Reviewer 

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