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Guangdong promotes LED lighting; do not view the policy significance narrowly.
Dec 14,2012
Road lighting systems, night scene landscape lighting systems, etc. are all indispensable important infrastructure. With the acceleration of urbanization, more and more cities, and even more towns, not only have high functional requirements for street lights and landscape lights but also place great importance on their decorative lighting. However, while urban lighting systems bring convenience to people's lives, they also consume a large amount of electrical energy. Urbanization has brought greater demand for lighting, as well as greater pressure. Energy saving, low carbon, green lighting, sustainable lighting... all of these are directions sought by today's lighting industry.
On May 23 this year, the Guangdong Provincial People's Government issued the "Implementation Plan for Promoting the Use of LED Lighting Products in Guangdong Province" (hereinafter referred to as the "Plan"), to promote energy conservation and emission reduction, and to carry out comprehensive strategic deployment for the development of the LED lighting and related industries. According to the implementation plan of the Plan, Guangdong Province will popularize LED lighting in the public lighting field within three years, and it is expected that by the end of the "Twelfth Five-Year Plan", the LED industry can achieve an annual output value of over 500 billion yuan.
Transforming the concept of green lighting into action.
As a green lighting solution, LED lighting's energy-saving capabilities are beyond doubt and are one of the major directions for the development of the lighting industry, a common dream of the industry. The introduction of this policy is undoubtedly a boon for the LED industry, bringing hope of an oasis to a thirsty industry. Since the announcement of the Plan, Dongguan, Shenzhen, Taishan, Shantou, Zhongshan, and even areas in the northwest of Guangdong have successively introduced plans to vigorously promote LED lighting.
Tang Guoqing, General Manager of CREE China, stated in an interview with Aladdin Lighting Network that this policy is a double-edged sword. While promoting energy conservation and emission reduction and under the premise of the "Twelfth Five-Year Plan" for the promotion of green lighting, Guangdong, as an LED industry base, is taking actions that align with national policies and set an example. This is undoubtedly a significant boost and morale booster for the entire domestic LED industry, especially for enterprises. "Guangdong Province, as the first province in the country to implement this policy, dares to innovate, lead, and create opportunities to promote the development of LED lighting. The Guangdong provincial government is forward-looking. I think this idea and this approach are very innovative," he said.
Green lighting, especially LED lighting, is the future of lighting. Promotion is a necessary path for development, and the promotion of green lighting requires practical actions to achieve it. Tang Guoqing believes that Guangdong's new LED policy has concretized the concept of green lighting and green lighting cities, which is also a significant boost for the semiconductor lighting industry, enabling the practical application of environmentally friendly products and providing traditional lighting enterprises with an opportunity for transformation and upgrading. Li Shiyi, Managing Director of CREE Hong Kong Limited, also expressed support for Guangdong's initiative: "I fully support Guangdong Province's vigorous promotion of LED lighting. I believe that LED lighting has reached a stage where it can be used on a large scale, benefiting the country and the people. The Guangdong provincial government's initiative can be described as swift and effective, putting it into practice."
Data confirms the significant energy-saving effects of LED.
Guangdong, as the "first to eat the crab," has naturally sparked various voices and waves within the industry. The opposing voices regarding this new policy are more prominent, mainly due to concerns that the current development of LED lighting technology is not sufficient to inherit the "great unification" of public lighting. Nevertheless, experts from the Guangdong Provincial Department of Science and Technology stated that the prejudices against LED lighting are unfounded and supported their argument with data: the energy-saving rates of the already implemented LED demonstration projects have reached or exceeded 50%.
"The significance of Guangdong's introduction of this policy is more encouraging than practical. Everything has to start with someone willing to try; if successful, it can be widely promoted, and if it fails, experiences can be summarized, and gains can still be achieved. Additionally, as one of the main forces in domestic LED lighting production, it is inevitable for Guangdong to take this step. Many LED enterprises are facing difficulties in survival, and without government support, a crisis will arise. Therefore, the introduction of this policy is like a 'market rescue,'" said Wang Peixing, manager of the design department of Beijing Haosai Lighting Technology Co., Ltd.
The new policy plan issued in Guangdong shows that through the implementation of promotion application projects, lighting energy savings of over 50% will be achieved on a year-on-year basis. Previous media reports indicated that in the renovation project in the Chancheng District of Foshan City, more than 11,000 new high-power LED lights were installed, saving over 10 million kWh of electricity annually compared to high-pressure sodium lamps, achieving a 62% energy-saving rate, saving over 8.9 million yuan in electricity costs, equivalent to saving 3,915 tons of standard coal, reducing carbon dioxide emissions by 10,257 tons and sulfur dioxide by 117 tons, which is equivalent to adding 598 acres of forest each year.
In addition, in the LED street light and tunnel light lighting project on the Shenzhen expressway, a cost comparison was made between high-pressure sodium lamps and LED tunnel lights for the same tunnel lighting project. The results showed that if high-pressure sodium lamps were used, 530 high-pressure sodium lamps would be needed per kilometer of tunnel, with a total investment of 769,000 yuan for the lamps and 167,000 yuan for the distribution lines, totaling 936,000 yuan; however, if LED lights were used, only 286 LED tunnel lights would be needed to meet the same lighting standards, reducing the total investment for lamps by 44% and the investment for distribution lines by 50%. Additionally, considering the electricity savings of 1.017 million yuan and maintenance costs of 212,000 yuan during the LED's lifespan, the entire new lighting project saved 1.742 million yuan compared to high-pressure sodium lamps from investment to later operational costs.
Promoting the widespread application of LED lighting through point-to-surface.
It is well known that LED lighting saves energy, but currently, most applications are in outdoor and public lighting, while indoor lighting, especially home lighting, has yet to be popularized. Therefore, this market can be said to still be a potential stock, and how to bring LED light sources into ordinary households is a headache for countless businesses. According to a report released by relevant departments in Guangdong Province, LED companies in the United States, Japan, and Europe hold over 80% of the core technology patents for LED chips, while domestic companies hold less than 10% of similar patents. For a long time, the core basic technology of the upstream epitaxial wafers and chips in the LED market has been monopolized by several major foreign industry giants, occupying about 70% of the entire industry chain, which has made the structure of China's LED industry chain very unreasonable, placing heavy pressure on LED enterprises.
According to the new LED promotion policy, the plan is to popularize LED lighting in the public lighting field within three years as a demonstration, and through comprehensive LED lighting social demonstration projects such as indoor lighting and the promotion of related supporting policies, accelerate the pace of promotion in non-public lighting fields; in the arrangement of application demonstration projects, sufficient consideration will be given to the actual situation in rural areas, with a certain proportion of rural areas included in the demonstration projects, guiding and promoting the application of LED lighting products to cover rural areas, advocating and promoting the gradual application of LED lighting products in various social fields, ultimately accelerating the popularization of social LED lighting.
According to relevant data, by the end of 2011, Guangdong Province had cumulatively promoted the application of 250,000 LED street lights in LED lighting demonstration projects, driving the annual output value of the LED lighting industry to reach 151.5 billion yuan, maintaining the largest scale in the country. The government directly supports the "struggling" LED lighting industry through the popularization of applications in the public lighting field, further promoting the widespread application of LED lighting in indoor and other fields.
In this regard, Wang Xiu, the R&D director of Tianbao Group International Co., Ltd., believes that Guangdong's vigorous promotion of LED lighting can accelerate the application of LED lamps. This demonstration effect will gradually be accepted by the public, thus laying a solid foundation for the future popularization of indoor LED lamps, guiding the direction for the domestic LED lamp and supporting industry, and directing efforts to invest in the existing public lighting sector of the government, alleviating the financial pressure on manufacturers.
The EMC model can be adopted or the "American method" can be referenced.
There is a foreign proverb: "Every coin has two sides." Indeed, everything has its pros and cons. The fact that the new policy in Guangdong has caused a public outcry tells us that this policy is not absolutely perfect. While it brings hope to the industry, it also provides more space for reflection and discussion.
Now, many regions have begun to implement energy-saving renovations for lighting. How can the policy be better executed? At the "Foshan LED Lighting Product Promotion and Application and LED Industry Technology Roadmap Release Exchange Conference" held in Chancheng District, Foshan City, Guangdong Province on August 24, Lei Ming, the general manager of Nanhai Electric Power Comprehensive Energy Co., Ltd.'s energy-saving lighting company, introduced the "LED streetlight renovation contract energy management project operation mode." He stated that since EMC is implemented by specialized energy-saving service companies responsible for comprehensive energy management, it can provide more professional and systematic energy-saving technology than general technical institutions. The energy-saving rate of EMC projects is generally between 40%-60%, and can reach up to 70%, making the EMC model more professional in energy saving.
The EMC model is not unfamiliar to those in the LED lighting industry; it is a market-oriented energy-saving mechanism that pays for energy-saving project costs with reduced energy expenses. Zhao Shengxin, the chief designer of Shenzhen Shangzhu Art Design Co., Ltd., also advocates the use of the EMC model. He said, "The contract energy management (EMC) operation model should be a good operational model, but in market operations, it should be more pragmatic to enhance operability. During the execution process, there should be transparency and fairness at the source of policy implementation. It is necessary to eliminate power rent-seeking and project fraud. In terms of assessment, there should be both energy-saving indicators and economic efficiency measurements, with a greater emphasis on long-term assessments, not just looking at the energy savings in data or the effects of one year, but also focusing on the effects several years later."
In addition, Guo Wenjun, director of the lighting planning office of the Urban Planning Institute of China Urban Construction Research Institute, expressed his views to reporters from Aladdin Lighting News: When promoting and popularizing LED lighting in Guangdong Province, it might be worthwhile to reference the "American method." "In promoting the use of LED road lighting, a section of 3 kilometers of road in Chicago, California, was once closed to allow many LED lighting companies in the U.S. to install their products, allowing people to experience them and collect feedback. Then, based on the expert group and relevant personnel from LED companies, the feedback was collected and organized. Subsequently, relevant standards were formulated based on this to screen products. The actual time exceeded six months." He stated that this is just a phenomenon and a case, but he hopes that through this case, the LED promotion policy can be strictly implemented, and there should be no impetuous mentality to promote for the sake of promotion; lighting design should be "people-oriented," and the government's promotion of LED lighting should also adhere to the principle of "people-oriented."
"Practice is the only criterion for testing truth. The promotion of LED should strip away the glamorous exterior and truly focus on core technology to improve product quality; only when it is used well is it truly good," said Zhao Shengxin.
Conclusion: The introduction of a policy always has its reasons for existence. The world is not perfect; it certainly exists, and it may have shortcomings. Observers need to adjust their mindset and view its necessity and advantages with a rational and calm heart. In the next three years, Guangdong aims to popularize the application of LED in the public lighting sector. Upon carefully reading the policy documents, I found that the purpose and significance of the policy go far beyond simply "replacing high-pressure sodium lamps with LED lamps."
As some interviewees have said, the introduction of this policy in Guangdong has more encouraging significance than practical significance. Everything must start with someone willing to try; if successful, it can be widely promoted, and if it fails, experiences can be summarized, which can also yield benefits. As the "first to eat crabs," Guangdong's vigorous promotion of LED lighting can accelerate the application of LED lamps. This demonstration effect will surely be gradually accepted by the public, thus laying a solid foundation for the future popularization of indoor LED lamps.
Of course, everything has multiple facets. Objectively speaking, the current application of LED lighting indeed has both benefits and drawbacks, and it is a matter of whether the benefits outweigh the drawbacks or vice versa. Weighing the pros and cons, the widespread promotion of LED in Guangdong is more beneficial than harmful for the development of the industry. Its imperfections can be continuously improved in the details of future implementation, striving to better meet practical application needs and enhance people's lives.
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