OREANDA-NEWS. Off-grid lighting refers to an approach of providing access to electricity to people living in remote areas or in places that have poor electricity infrastructure. The off-grid technology has witnessed significant development in the past few years owing to advances in wind and power generation technologies and improved efficiencies of wind and solar power systems available in the market.

The segment of off-grid solar lighting has especially been at the forefront of the immense research and technological developments witnessed in the green energy industry in the past years.

The effectiveness of solar power in creditably providing economic and reliable lighting products to some of the world’s weakest economies has already been demonstrated by the highly positive sales figures of a variety of solar powered devices in the past years. Off-grid solar lighting continues its excellent run in the global market and is expected to exhibit a 17.56% CAGR from 2016 through 2024, according to a recent TMR report. The market is seeing favorable developments in product innovation, government funding to promote their increased adoption, and receptiveness from the end user. 

In this blog post, TMR analysts answer some questions pertaining to the future developmental prospects of the global off-grid lighting market:

What types of off-grid solar lighting systems/products are most primarily consumed worldwide?

The varieties of off-grid lighting systems/products that observe the highest demand across major regional markets are solar lantern systems and small and large solar home systems (SHS). Of these, a variety of solar home systems, called solar pico systems (SPS), or pico PV, have emerged as the favorite for rural electrification in the past few years. Of the over 4 mn off-grid solar lighting products sold in the second half of 2015 on a global front, over half of the reported unit sales were single light Pico-PV products. These numbers are from a recent report by The Global Off-Grid Lighting Association (GOGLA) and the World Bank’s Lighting Global program

Asia Pacific has excellent solar resources. How is the region performing on the off-grid solar lighting front?

The development of the off-grid solar lighting market has been excellent in the region over the years. Countries in the region have been very receptive about the several off-grid solar lighting devices and products that have entered the global market. Asia Pacific, in fact, accounted for a massive share of over 55% in the global off-grid solar lighting market in 2015. India, the current leader in terms of revenue realization in the Asia Pacific off-grid lighting market, is moving positively ahead on the path of further development of the sector.

Recently, India’s Ministry of New and Renewable Energy (MNRE) has announced the “Off-Grid and Decentralized Solar Applications” scheme as a part of its National Solar Mission. Under this scheme, the MNRE has announced a subsidy of 30% of the entire off-grid solar lighting system’s cost. The scheme is being implemented to promote the use of solar pumps, solar-powered street lights, and mini and micro grids in the rural parts of the country.

Which other regional market offers the global off-grid solar lighting market the most lucrative growth opportunities?

Africa is undoubtedly one of the most prominent regions that offers excellent growth opportunities for the global off-grid solar lighting market. The region has excellent solar resources and houses a large population that is devoid of reliable power supply or has a proper connection to electricity grids. As off-grid solar solutions make for the fastest and cheapest ways of extending energy sources, their demand has consistently increased in sub-Saharan Africa in the past years. An estimated 95% of the world’s population without electricity is living in sub-Saharan Africa and presents vast development opportunities for the global off-grid solar lighting market.