Lighting is an energy hog worldwide. For example, lighting accounts for about 17.5% of global electricity use and, within the United States, the majority of lighting energy is consumed in commercial buildings. The United States alone accounts for approximately 20% of the world’s total electricity consumption for lighting at an annual cost of over $40 billion.
Recent innovations in lighting technologies like solid state lighting based on LEDs has the potential to save a lot of energy. Solid state lighting brings significant long-term potential for energy savings in the commercial building and residential sectors.
The largest share of electricity is used for lighting commercial and public buildings, followed by residential lighting, industrial sector lighting, and outdoor/street lighting. According to Pike Research, fluorescent and light emitting diode (LED) lighting technologies will play an increasingly important role in the U.S. market, making up over three quarters of that market by 2020.