Australia Lighting Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report (2025-2034)

Australia Lighting Market Trends

The growth of the Australia lighting market is driven by a focus on energy efficiency, with LEDs helping to reduce energy consumption and costs, while also supporting environmental goals by lowering carbon emissions. Government incentives encourage the widespread adoption of energy-efficient solutions, and technological advancements in smart lighting and sensors enhance control and efficiency across various sectors. ARX Lighting, a premium brand with 20 years of industry experience, launched in April 2024, partnering with EST Lighting as its exclusive distributor in Eastern Australia, offering sustainable, high-quality luminaires and advanced technologies.

The Australia lighting market revenue is impacted by energy-efficient lighting systems, which offer long-term savings through reduced electricity bills and maintenance costs. These systems also improve light quality, enhancing visual comfort and productivity. Additionally, the integration of smart home features allows homeowners to automate lighting, while high-quality lighting solutions improve safety and security.

Australia Lighting Market Growth

Demand of the Australia lighting market is driven by energy-efficient lighting, such as LEDs, which offer a longer lifespan, reducing replacement costs. Stylish and customisable lighting enhances the aesthetics of homes and businesses, contributing to design appeal. The growing emphasis on sustainability and green building standards encourages the adoption of eco-friendly lighting, fostering job creation and environmental benefits. ELS Lighting Global, established through a long-standing partnership between LIGMAN and ELS, merged LIGMAN’s international distribution with ELS’s premium Australian-made interior luminaires. This venture expanded ELS Lighting's global reach, promoting local manufacturing and advanced lighting solutions worldwide.

The growing retail and commercial sectors are major drivers of demand for energy-efficient, attractive lighting solutions in the Australia lighting market. LEDs reduce heat emissions, improving comfort in hot climates. Ongoing product innovation meets the varied needs of residential, commercial, and industrial sectors, while proper lighting design supports well-being, enhancing mood and productivity in workspaces and healthcare environments.

Australia Lighting Market Insights

• The Australian lighting market benefits from the growth in non-residential buildings, which rose by 12.4% to USD 4.92 billion in January 2024, as per the Australian Bureau of Statistics. This surge creates demand for energy-efficient lighting solutions in commercial and industrial sectors, contributing to market expansion.
• The Australian building and construction industry manages over USD 162 billion in projects annually, contributing around 10% to the country’s GDP, according to industry reports. This robust sector drives the need for advanced lighting solutions, particularly energy-efficient and sustainable systems, boosting the growth of the lighting market.
• With the number of public hospitals growing from 697 in 2021–22 to 700 in 2022–23, as per the Australian Bureau of Statistics, the demand for lighting solutions in healthcare facilities increases. Proper lighting systems are crucial for patient well-being and energy efficiency, benefiting the lighting market in this sector.

Australia Lighting Market Drivers

Adoption of LED Technology

LED lighting is rapidly taking over the Australia lighting market due to its energy efficiency, extended lifespan, and lower maintenance costs. LEDs are replacing traditional incandescent and fluorescent lights across residential, commercial, and industrial sectors, contributing to reduced energy use and carbon footprints. In July 2024, Hobolite launched the Max series of portable, retro-inspired LED lights, including the Avant Max 80W and Mini Max 40W models. These lights feature detachable, rechargeable battery packs and have high Color Rendering Index (CRI) and Television Lighting Consistency Index (TLCI) ratings of 96+.

Smart Lighting Solutions

The emergence of smart lighting systems, integrated with IoT technology, is reshaping the Australia lighting market dynamics and trends. These systems provide remote control, automation, and energy optimisation, offering greater convenience, enhanced security, and improved user experiences. With the growing smart home trend, smart lighting is becoming increasingly popular in both residential and commercial spaces. In January 2022, NNNCo teamed up with Wellness TechGroup to launch one of the world’s largest LoRaWAN® smart street lighting projects in Montevideo, Uruguay, involving 70,000 smart LED streetlights. The project improved safety, cut carbon emissions by 80%, and upgraded city infrastructure.

Opportunities in the Australia Lighting Market

Solar-powered lighting is becoming a significant trend in the Australia lighting market, particularly in outdoor and remote areas. With ample sunlight, solar lighting provides an eco-friendly alternative to traditional power sources, cutting electricity costs and carbon footprints. The cost-effectiveness and sustainability of solar lighting are making it increasingly appealing to both residential and commercial users. Orca Solar Lighting systems are designed and developed in Australia, utilising best practices in solar design and high-performance light fixtures preferred by top lighting professionals. These lights are powered by clean, free, and abundant energy.

Market Restraints

The Australia lighting market faces several challenges, including high initial costs for energy-efficient technologies like LEDs, which can deter adoption, particularly among smaller businesses. Limited consumer awareness, complex regulations, and difficulties integrating smart lighting solutions further hinder growth.

Additionally, supply chain disruptions, intense competition, sustainability concerns, and market saturation pose additional barriers to market expansion and innovation, particularly in mature sectors. These factors collectively challenge the market's potential despite growing demand for energy-efficient and eco-friendly lighting solutions.

Australia Lighting Market Share

Market Analysis by Type

According to the Australia lighting market analysis, LED lighting has become the preferred choice due to its energy efficiency, long lifespan, and low maintenance costs. LEDs significantly cut energy consumption, saving consumers on electricity bills and reducing carbon emissions, making them ideal for both residential and commercial use. In June 2024, Big Red Gear introduced a new series of hybrid beam LED driving lights, offering impressive brightness and a sleek, blacked-out design for 4WDs. Featuring a Covert black chrome finish, the lights improve night visibility with high-power OSRAM LEDs, producing natural white light at 5700°K.

The growth of the Australia lighting market is further driven by halogen lighting, which provides bright, crisp illumination with excellent colour rendering, making it ideal for applications requiring high light quality. While less energy-efficient than LEDs, halogen lamps remain a popular and cost-effective choice for specific uses, such as automotive or accent lighting.

Market Analysis by Application

According to the Australia lighting market report, indoor lighting offers a range of benefits, such as enhancing the aesthetic appeal and functionality of homes, offices, and commercial spaces. Energy-efficient solutions like LEDs provide long-lasting, cost-effective lighting that improves visual comfort. Indoor lighting also promotes productivity, safety, and well-being, offering adaptable solutions to suit the diverse needs of both residential and commercial environments.

Opportunities in the Australia lighting market are growing as outdoor lighting plays a crucial role in improving safety, security, and aesthetics in both public and private spaces. It enhances visibility, reduces accidents, and deters crime in residential and commercial areas. The rising demand for energy-efficient, solar-powered, and durable lighting solutions helps lower electricity costs while promoting sustainable living and urban development.

Market Analysis by End User

The growth of the Australia lighting market is driven by the increasing demand for residential lighting, which enhances home aesthetics, functionality, and energy efficiency. Energy-efficient solutions like LEDs lower electricity bills and improve visual comfort. Customisable lighting options create the perfect atmosphere, contributing to safety and well-being. In June 2023, Sylvania introduced a new range of LED garden lights for residential use, offering energy-efficient solutions that enhance outdoor aesthetics and safety with minimal environmental impact.

Commercial lighting in Australia enhances the ambiance and functionality of business spaces while ensuring energy efficiency. By adopting advanced lighting technologies like LEDs, businesses reduce energy consumption, lower operational costs, and boost workplace productivity. High-quality lighting also improves employee well-being and creates a positive experience for customers.

The demand for the Australia lighting market is growing as industrial lighting focuses on durability, safety, and energy efficiency. LED solutions help reduce operational costs by lowering energy consumption and minimizing maintenance requirements. Improved visibility enhances workplace safety, boosts productivity, and ensures compliance with safety standards. In January 2024, GE Lighting launched new industrial LED high-bay lights for warehouses and manufacturing facilities, providing energy-efficient lighting that enhances safety, productivity, and reduces energy costs in large industrial spaces.

Australia Lighting Market Regional Insights

New South Wales Lighting Market Overview

The lighting market in New South Wales thrives on energy-efficient solutions, which not only reduce energy costs but also enhance sustainability and visual comfort. Innovation is central to the region’s approach, driving advanced and eco-friendly technologies. In the December 2024 quarter, construction work value in New South Wales reached USD 21,413.6 million, a 3% increase from the previous quarter and a 1.4% year-on-year growth.

Queensland Lighting Market Trends

Queensland’s lighting market trends highlight a strong shift towards energy efficiency and sustainability, with a growing preference for solar-powered and LED lighting systems. There is also a significant push for smart lighting, which enhances control, automation, and lowers operational costs. In December 2024, total dwelling unit approvals in Queensland rose by 0.6% compared to November 2024, with 3,302 units approved.

Western Australia Lighting Market Dynamics

Western Australia’s lighting market is shaped by the demand for durable, energy-efficient lighting solutions tailored to the region’s varied climates. LED and solar technologies play a significant role in reducing energy consumption and promoting sustainability. In the December quarter of 2024, Western Australia’s construction work value amounted to USD 12,080.6 million, reflecting a 3.7% increase from the previous quarter and a 7.7% year-on-year rise.

Competitive Landscape

The Australia lighting market key players are focused on providing high-quality lighting solutions for residential, commercial, and industrial sectors, offering energy-efficient products that enhance functionality, aesthetics, and sustainability. They are committed to ensuring durability, design excellence, and performance while promoting sustainability through advanced technologies in both commercial and residential applications.

Key Industry Players

Decrolux Lighting Pty Ltd.: Headquartered in Sydney, Australia, Decrolux Lighting Pty Ltd. was established in 1980. The company specialises in providing high-quality lighting solutions for residential, commercial, and industrial sectors, offering a range of energy-efficient products that enhance functionality, aesthetics, and sustainability in various environments.

Aqualux Lighting: Aqualux Lighting, based in Sydney, Australia, was founded in 1995. The company focuses on providing innovative lighting solutions, particularly in the areas of architectural and exterior lighting. Aqualux Lighting is committed to offering energy-efficient products, ensuring quality, durability, and design excellence for both commercial and residential applications.

Tovo Australasia Pty Ltd.: Tovo Australasia Pty Ltd., established in 2004, is headquartered in Melbourne, Australia. The company is renowned for offering a broad range of lighting products, including decorative, functional, and outdoor lighting solutions. Tovo Australasia prides itself on delivering innovative and energy-efficient solutions that meet both aesthetic and functional needs.

SAL National Pty Ltd.: Established in 2005 and headquartered in Melbourne, Australia, SAL National Pty Ltd. is a leading supplier of innovative lighting solutions. The company focuses on providing energy-efficient lighting for commercial, industrial, and residential applications, ensuring sustainability and performance through its high-quality products and advanced technologies.

Other key players in the Australia lighting market report are Haneco Lighting Australia Pty Ltd., Superlight, BoscoLighting Pty Ltd., Advanced Lighting Technologies Australia, Inc., Light This Light That (LTLT), Photometric Solutions International Pty Ltd, Noble Lighting Limited, Coregas Pty Ltd., and CLA Lighting, among others.

Recent Developments

November 2024

Kmart's USD 17 mirrored portable rechargeable lamp became a hit after Melbourne influencer Jenny Zhou showcased it on TikTok. Praised for its retro design and ability to transform spaces, the lamp gained popularity for its aesthetic appeal, particularly for dinner parties, with Zhou describing it as “pretty” and “shiny.”

July 2022

Pierlite launched Australia's first air purifying LED light fitting, the Aether LED Troffer, designed to reduce airborne virus transmission. The luminaire uses UV-C and HEPA technology to eliminate 99.995% of pathogens. It is ideal for schools, hospitals, and offices, enhancing indoor safety by combining lighting with air purification.