Lower cost of LEDs reduce profitability for manufacturing landscape

December 15, 2016

WASHINGTON - Although residential and commercial industries are widely adopting energy-efficient light emitting diodes (LEDs), the drop in LED prices is driving away manufacturers because of decreased profitability, dramatically dislocating and restructuring the solid-state lighting marketplace, says a new National Academies of Sciences, Engineering, and Medicine report.

Since the last Academies report in 2013 that assessed the state of solid-state lighting -- which uses diodes, a semiconductor technology, as an alternative light source to incandescent bulbs -- the annual residential installation of LED bulbs has increased sixfold between 2012 and 2014, from 13 million to 78 million. The report also cites the emergence of new applications for solid-state lighting that have the potential to create new markets and commercial opportunities for the industry, as well as add value to aspects related to quality of life. For example, product and lighting designers are exploring options that collect and process data from the illuminated environment and offer additional features to consumers.

Developing new products with multiple features that offer functions beyond illumination could promise higher margins for manufacturers, said the committee that conducted the study and wrote the new report. The report warns that the successful proliferation of such applications would not focus on the reduction of energy consumption alone, but the U.S. Department of Energy (DOE) should think of ways to continue to improve their efficiency, given their inevitable growth. The committee recommended developing strategies for supporting broader research that enables more efficient use of light across all applications, with attention to both the lighting design process and the design of lighting products.

With the possible emergence of new applications for solid state lighting, both consumers and industry need to be more fully educated about the transformative and broader implications of solid state lighting, the report highlights. To achieve this, DOE should partner with industry, states, and utility companies to develop and implement a public outreach program to deploy solid-state lighting.
-end-
DETAILS:

Assessment of Advanced Solid-State Lighting, Phase 2 is available for immediate release at [INSERT LINK]. Media inquiries should be directed to the National Academies' Office of News and Public Information; tel. 202-334-2138 or e-mail news@nas.edu.

National Academies of Sciences, Engineering, and Medicine

Related Energy Articles from Brightsurf:

Energy System 2050: solutions for the energy transition
To contribute to global climate protection, Germany has to rapidly and comprehensively minimize the use of fossil energy sources and to transform the energy system accordingly.

Cellular energy audit reveals energy producers and consumers
Researchers at Gladstone Institutes have performed a massive and detailed cellular energy audit; they analyzed every gene in the human genome to identify those that drive energy production or energy consumption.

First measurement of electron energy distributions, could enable sustainable energy technologies
To answer a question crucial to technologies such as energy conversion, a team of researchers at the University of Michigan, Purdue University and the University of Liverpool in the UK have figured out a way to measure how many 'hot charge carriers' -- for example, electrons with extra energy -- are present in a metal nanostructure.

Mandatory building energy audits alone do not overcome barriers to energy efficiency
A pioneering law may be insufficient to incentivize significant energy use reductions in residential and office buildings, a new study finds.

Scientists: Estonia has the most energy efficient new nearly zero energy buildings
A recent study carried out by an international group of building scientists showed that Estonia is among the countries with the most energy efficient buildings in Europe.

Mapping the energy transport mechanism of chalcogenide perovskite for solar energy use
Researchers from Lehigh University have, for the first time, revealed first-hand knowledge about the fundamental energy carrier properties of chalcogenide perovskite CaZrSe3, important for potential solar energy use.

Harvesting energy from walking human body Lightweight smart materials-based energy harvester develop
A research team led by Professor Wei-Hsin Liao from the Department of Mechanical and Automation Engineering, The Chinese University of Hong Kong (CUHK) has developed a lightweight smart materials-based energy harvester for scavenging energy from human motion, generating inexhaustible and sustainable power supply just from walking.

How much energy do we really need?
Two fundamental goals of humanity are to eradicate poverty and reduce climate change, and it is critical that the world knows whether achieving these goals will involve trade-offs.

New discipline proposed: Macro-energy systems -- the science of the energy transition
In a perspective published in Joule on Aug. 14, a group of researchers led by Stanford University propose a new academic discipline, 'macro-energy systems,' as the science of the energy transition.

How much energy storage costs must fall to reach renewable energy's full potential
The cost of energy storage will be critical in determining how much renewable energy can contribute to the decarbonization of electricity.

Read More: Energy News and Energy Current Events
Brightsurf.com is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com.