Is Washington’s Impact on Lighting About to Flicker?

By Al Uszynski, Editor, Inside Lighting

tED magazine has reached an agreement with Inside Lighting to share a select few articles from Editor Al Uszynski on tEDmag.com

Inside Lighting caters to a broad spectrum of professionals in lighting fields. The publication provides industry news and analysis, detailed market information, exclusive interviews, and career opportunities.

A peculiar disappearance caught our attention. While scanning federal websites for updates relevant to the lighting industry, we noticed that key L-Prize (Lighting Prize) content had quietly vanished from the Department of Energy (DOE) website. Given that the prestigious $10 million competition is in its third phase, we wondered: Was this just a routine update, or a sign of something bigger?

Seeking answers, we reached out through multiple channels. Weeks later, we still have no response. Even our usually helpful contacts at the Pacific Northwest National Laboratory (PNNL) declined to comment — a polite but unusual silence.

This small but curious change made us step back and take a broader look at how federal policies shape the lighting industry. Under a new presidential administration and recently-appointed U.S. Energy Secretary Chris Wright, DOE programs that have long influenced lighting research, efficiency standards, and funding could be at risk.

Meanwhile, the newly formed Department of Government Efficiency (DOGE) — led by Elon Musk — has been slashing costs across agencies, aggressively cutting programs deemed unnecessary. The effects are already being felt, with layoffs, budget reductions, and shifting priorities at numerous federal institutions.

DOE and PNNL layoffs

A sweeping round of layoffs at the U.S. Department of Energy (DOE) on Friday, February 14, has raised concerns about the future of federally backed research and energy programs, including those impacting the lighting industry. According to Reuters, between 1,200 and 2,000 DOE employees and contractors were let go, with cuts affecting various offices, including the Pacific Northwest National Laboratory (PNNL), though the exact number of affected personnel remains unclear.

With the government tightening its grip on spending, we examined the extent of Washington’s influence on the lighting sector — from research grants and rebate programs to smart infrastructure investments and procurement policies.

DOE Solid-State Lighting (SSL) Program

The DOE Solid-State Lighting (SSL) Program has been a driving force behind advancements in LED and OLED technology, fostering U.S. innovation and accelerating the adoption of high-efficiency lighting. Through strategic partnerships with researchers, manufacturers, and industry stakeholders, the program has contributed to the development of 364 commercial lighting products and supported 349 R&D projects, leading to 483 patents.

These efforts have resulted in significant energy savings, with DOE estimates attributing 185 billion kWh in annual electricity savings and $20 billion in avoided energy costs to SSL advancements. The program’s research priorities focus on platform technology, integration and validation, and lighting science, ensuring that SSL solutions continue to improve efficiency, flexibility, and human well-being.

Pacific Northwest National Laboratory (PNNL)

The Pacific Northwest National Laboratory (PNNL), one of 17 U.S. Department of Energy (DOE) national laboratories, plays a crucial role in energy and national security research. As a leader in lighting science, PNNL contributes heavily to the industry through research on energy efficiency, human-centric lighting, light quality and emerging technologies.

Many of its scientists and researchers are well-known figures in the lighting sector, frequently presenting at industry events and shaping discussions on best practices and innovation. Notable lighting experts from PNNL include Gabe Arnold, Kate Hickcox, Kevin Houser, Naiomi Miller, Michael Royer, Jason Tuenge and Andrea Wilkerson among others.

Integrated Lighting Campaign

The Integrated Lighting Campaign (ILC) is a U.S. Department of Energy initiative aimed at promoting the adoption of advanced lighting controls and integrated lighting systems in commercial buildings. With lighting accounting for more than 20% of total commercial building energy use, the ILC provides facility owners, managers, and industry stakeholders with guidance, technical assistance, and recognition opportunities for implementing innovative, energy-efficient lighting solutions.

The ILC is supported by key industry organizations, including the DesignLights Consortium (DLC), the Illuminating Engineering Society (IES), and the U.S. General Services Administration (GSA), among others.

$10 Million L-Prize^®

The L-Prize®, a three-phase competition led by the U.S. Department of Energy (DOE), aims to drive innovation in commercial lighting by rewarding advancements in energy efficiency, sustainability, and lighting quality. The first two phases — the Concept Phase and the Prototype Phase—are complete, with winning designs showcasing breakthroughs in modular lighting, 3D-printed luminaires, and advanced LED optics.

The competition has now entered its final stage, the Manufacturing & Installation (M&I) Phase, which will evaluate real-world deployment and market availability of these next-generation lighting solutions. Up to four competitors are expected to share a $10 million prize based on technical and design innovation, U.S. content, production, and installation. However, the long-term future of this phase may be affected by the new Energy Secretary or DOGE.

Federal grants and general funding

LED retrofit incentive programs are widely available across the U.S., helping businesses and homeowners reduce the cost of upgrading to energy-efficient lighting. At the federal level, the Department of Energy (DOE) provides funding to states for energy efficiency initiatives, which can support LED adoption. State governments often administer these programs through public utility commissions, state energy offices, and local utilities, ensuring widespread access to incentives.

Many utility companies offer direct rebates, point-of-sale discounts, and custom incentives for large commercial projects, while small businesses can benefit from enhanced rebate programs. Depending on location and utility provider, businesses may receive incentives covering 30-70% of LED project costs, while homeowners can access instant or mail-in rebates to make energy-efficient lighting more affordable.

Bipartisan Infrastructure Law

The Infrastructure Investment and Jobs Act (IIJA), also known as the Bipartisan Infrastructure Law, includes provisions supporting smart street lighting projects, helping cities modernize their infrastructure with LED fixtures and smart controls. Multiple funding streams are available through transportation, energy efficiency, and smart city initiatives, allowing municipalities to integrate energy-saving LEDs with advanced monitoring, public safety enhancements, and smart city systems.

Eligible project components include LED replacements, smart control systems, network infrastructure, and design costs, with many programs requiring energy savings verification and compliance with environmental and labor standards. For interstates, state Departments of Transportation (DOTs) oversee lighting upgrades, ensuring compliance with Federal Highway Administration (FHWA) standards.

Federal Energy Management Program

The Federal Energy Management Program (FEMP) continues to provide critical guidance on energy-efficient purchasing for federal agencies, even as the ENERGY STAR program sunset its specifications for lamps and luminaires on December 31, 2024. While ENERGY STAR has historically set efficiency requirements for certain light fixtures, FEMP remains a key resource, covering additional product categories such as exterior lighting, indoor troffers, linear ambient fixtures, and high-bay luminaires.

Federal law mandates that agencies procure either ENERGY STAR-qualified or FEMP-designated products in applicable categories, ensuring continued adherence to efficiency standards. FEMP’s technology-neutral acquisition guidance allows for a range of solutions, supporting federal purchasers in making cost-effective, energy-conscious lighting decisions.

What now?

The degree to which federal policy shifts will impact the lighting industry remains uncertain, but changes are already underway. With Energy Secretary Chris Wright steering DOE priorities and DOGE aggressively cutting costs, some long-standing programs could be scaled back, restructured, or eliminated entirely. How deep these cuts will go—and which initiatives will survive—remains to be seen. Inside Lighting will continue to monitor these developments, tracking how federal policies impact research funding, efficiency programs, infrastructure projects, and the broader lighting sector in the months ahead.