The End Of Residential Lighting Utility Rebates?

For a long time, we’ve known that the lighting markets would crash in 10 years, due to the long life of LEDs. 10 years seemed a long way off. However, when I reviewed the ENERGY STAR Roadmapping presentations by the utilities, I see there is an equally large disruption coming in the next 5 years……the likely end of residential lighting program funding. The Northeast utilities project the end of residential lighting rebates around 2019, and the large California IOU utilities project the end around 2017 (only 3 years!).  

The End Of Residential Lighting Utility Rebates?

Source: NEEP

Source: Southern California Edison

Source: Southern California Edison

What will the utilities do after resi lighting? Will the money shift to C&I lighting? This means procrastinating to pursue retail rebates is a bad idea. To discuss how your company can move forward fast on leveraging utility rebates, contact me at: david@lightingsold.com .





Comments

  1. Alex Stern says:

    Shouldn’t lighting industry be making a very strong case for continuing, or even intensifying rebate programs in the next 2-3 years? Wouldn’t it make sence for all manufacturers of light bulbs to band together and present a united front to program evaluators for doing just that? There is probably strong data support available that a consulting company such as yours can compile and present to the energy efficiency implementation industry at some upcoming conferences such as Light fair and ENERGY STAR Partner Meeting, as well as regional events like Annual NEEP Sumit?
    Without a concerted effort like this there is a strong possibility of many programs across the country discontinuing their rebates in the next 6-12 months, eroding hard won gains in market share of CFLs and LEDs of the last 5 years.

  2. Alex, thank you for the comments. In my experience, program evaluators aren’t very interested in what the industry has to say. They are focused on using the most conservative assumptions possible, and avoiding any potential criticism from PUCs.

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