By Michael Mock, VP of Industry Development, The Electrical Alliance
Today there is a growing interest of investors and financial institutions in funding green/sustainable projects. In fact, a recent report from Goldman Sachs illustrates this trend.
Alberto Gandolfi, a managing director at Goldman who specializes in utilities research states: “What started as a decarbonization process, thanks to better technology, is about to become a process driven by costs and the economics.” Put another way, what is good for the environment is also good for the bottom line.
As we move to a “Low Carbon Economy,” four market segments will increase dramatically –
- LED lighting
- Solar installations and storage
- Wind generating turbines
- Electric vehicles
Gandolfi notes, “Next year, LEDs will for the first time account for over half of lighting sales, according to our analysts.”
Research shows that technological advancements in the LED market, coupled with the growth of new and innovative product lines, have been the major drivers for rapid adoption of LED. A recent study released by the U.S. Department of Energy reports LED lighting “is expected to represent 48% of lumen hour sales of the general-illumination market by 2020, and 84% by 2030.” Further, “LEDs are projected to reduce lighting energy consumption by 15% in 2020 and by 40% in 2030 . . .worth over $26 billion in savings at today’s energy prices.”
Clearly, LED has reached a tipping point, as both financial markets and consumers (from home owners to multi-national real estate developers) recognize the economic benefits of the technology. We have clearly seen a major increase in LED projects in the Washington, D.C. regional marketplace and this market will certainly continue to grow.
Electrical Alliance contractors are trained experts, ready to meet the region’s LED needs. Search our contractor database to find the right partner for your next lighting project.