LED lighting is waiting for the price difference with traditional lighting to narrow, with penetration of LED lighting likely to reach 25% in 2013, Epistar has said.

According to Epistar, the price is still the biggest challenge for LED lighting to become fully commercialized. Epistar pointed out that LED lighting penetration rate is currently less than 4% due to price differences with the traditional light bulbs. The price of traditional energy conserving light bulbs only is around NT$60-80 (US$1.99-2.66), but the price of LED light bulbs is around US$20. Penetration is expected to shoot up to 10% when the price difference narrows to less than tenfold. When the price difference narrows to less than fivefold, the penetration rate can increase to 25%.

Epistar further noted that international LED firms think that they can achieve the narrowing of price difference to fivefold in 2014-2015 for LED light bulbs that are used to replace the traditional 60W. But Taiwan-based firms' cost efficiency may allow them to hit this target in 2013-2014. Epistar also suggests subsidies should be provided to consumers for buying LED light bulbs from the government.

Epistar also indicated that the weight of 800 lumen LED light bulbs, which are meant to replace traditional 60W bulbs, can be decreased to 60 grams in 2012 at the earliest.

Japan has become the world's fastest growing market for LED lighting after the earthquake in March 2011 caused power shortage, Epistar said.

Industry sources indicated that Europe is likely to come in second in terms of LED lighting growth. According to research firms, by 2015, the global indoor LED lighting market can reach US$3.88 billion. 

Source:digitimes