Sumit Joshi, CEO, Signify Innovations India hopes for reduction in GST on lighting industry from current 12-18% to 5-10%. “While GST is going to make things much simpler we still believe there is room for reduction in taxation which can further fuel the growth of industry,” said Joshi. According to him, in last few years, government has played a major role in converting conventional light points to LED light points. Government initiatives such as Street Lighting National Program (SLNP) and the UJALA scheme enabled an increase in demand which helped the industry achieve critical mass, which in turn enabled the industry to optimize prices. The amount of spending in smart city initiatives and infrastructure has gone up which also helped in the growth of LED industry.
As for the 2019, he said they may see muted numbers from government projects in the first quarter because of the ongoing elections. “However we expect the situation to become normal in Q3 and Q4,” he said. Currently company’s revenue from infrastructure/government projects is 15-20 per cent. Apart from installing street lights along the highways/roads, the company has carried out smart city projects as well. “In India as of now we have installed Philips Amplight connected street lighting system in the municipalities of New Raipur, New Delhi Municipal Corporation (NDMC), Varanasi and Hyderabad. Pune (together with TATA Projects),” he said. Joshi expects this ratio of infrastructure project increasing in coming years. “We will continue to focus of smart city and infrastructure projects.”