Africa Off Grid Solar Lighting Market Analysis

Africa Off Grid Solar Lighting Market Analysis

Solar Lantern System (SLS) product segment was valued at over USD 190 million in 2015. SLS offers sufficient illumination with low cost, large low income households in the region without electricity access is forecast to drive product demand from 2016 to 2024.
 

Solar Home System (SHS) product segment to projected to expand at over 16% CAGR up to 2024. It offers added feature such as cell phone and small electronic gadget charging, penetrating cell phone use in every economic class is likely to drive SHS demand. Large Solar Home System (LSHS) is estimated to reach USD 110 million by 2024. The middle income group in developed African countries such as South Africa, with irregular electricity supply are switching to LSHS owing to its capacity to light 4 to 5 bulbs.
 

Residential application segment was valued above USD 240 million in 2015. Kerosene lamp replacement with off grid solar Lighting products is forecast to be key driving reason for industry growth in residential application. Also, decreasing product cost coupled with health hazardous related to kerosene lamp is likely to complement growth.
 

Commercial off grid solar lighting market is forecast to witness gains at over 16% CAGR. The product application can help in small scale businesses such as retail to add extra working hours in night, which may help to increase their sales. Industrial application is projected to touch USD 130 million by 2024. Off grid solar lighting product may support small scale industries with uninterrupted electric supply for smooth day to day business processes.
 

Kenya off grid solar lighting market size was valued at over USD 85 million in 2015. Rising need to minimize Lighting expenditure in the country is anticipated to be key reason driving growth from 2016 to 2024. Also, technological advancements in providing low cost, up to five-hour battery life, and, portability may complement industry growth.
 

South Africa is set to reach USD 65 million by 2024. The middle income population presence in the country may boost demand for LSHS product in the country, as it offers multiple lights & charging ports.