Indian LED light manufacturers might be benefiting from a new government initiatives to promote the usage of energy saving bulbs, which the government projects will reach INR 200 billion (US $3.27 billion) by 2020, according to a report by Business Standard.

The government incentive could boost the industry growth by five-folds in five years from its current market value of INR 40 billion, according to the Electric Lamp and Component Manufacturers Association (ELCOMA).

"This has been driven by government initiatives of phasing out inefficient lighting sources such as incandescent bulb, tubes and halogen lamps," said Havells India President Sunil Sikka told PTI.

Sikka, who is also President of ELCOMA, said Havells is moving swiftly towards LED based products. The company has transited 40 percent of its luminaires to LEDs, and expects the transition to speed up in the coming year.

The Indian government initiatives are expected to have an enormous impact on providing India with energy efficient lighting sources, said Philips Lighting.

"This program will help consumers make the shift to LED lighting and for them to realize the benefits and power of LED lighting,” said Sumit Joshi, Head of Marketing, Philips Lighting, India. “We believe that this initiative for LED based home along with the street lighting will have a great impact in providing our nation with an energy efficient lighting source."

The Indian government’s decision to upgrade all existing streetlights and public space lighting to LEDs will further boost demands, said Raju Bista, Managing Director of Surya Roshni.

The government incentives are also expected to support the Prime Minister Narendra Modi’s “make in India” campaign, as most manufacturers choose to manufacture locally, said Bista adding the company is expecting INR 5 billion from this segment within the next two to three years.

Another Indian manufacturer C K Birla Group firm Orient Electric shared similar views that government support would spur consumers adoption of LED technology.

"We have geared up to switch more than 50 per cent of our production capacity from CFL to LED,” said Puneet Dhawan, Sr Vice President and Business Head, Lighting, Orient Electric. “We have started producing LED Lamps and will be reaching speed of 9 lac LED lamps per month by the end of February 2015."