Explore the latest advancements in smart lighting controls for 2026, including new standards, incentives and energy-saving benefits for commercial properties.
It has been less than a year since we looked at smart lighting and IoT integration, but the lighting industry can shift faster than the flick of a switch, or in 2026 parlance, a tap on a touchscreen.
In recent months, new controls requirements, a closed federal tax incentive, and tighter energy codes have all put networked lighting controls in the spotlight.
Here is what changed in 2026 and what it means for facilities planning a lighting project.
Controls Standards Now Reach Beyond Lighting
The DesignLights Consortium (DLC) has released the Technical Requirements for Networked Lighting Controls (NLC) Systems V5.2, effective Aug. 17, 2026. The DLC's NLC program helps utilities, efficiency programs, and the lighting industry identify control systems that meet its performance and reporting requirements.
DLC says networked lighting controls can increase energy savings, support more responsive building operations, and help establish a foundation for integrated building controls. V5.2 builds on that role in several ways:
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It recognizes NLC systems that support thermostat integration for digital occupancy control, allowing compatible HVAC equipment to use lighting-sensor occupancy data.
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It recognizes systems that can generate ANSI/NEMA C137.9 configuration reports, which provide a consistent format for documenting settings, active control strategies, and wattage information.
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It improves alignment between DLC’s NLC and Solid-State Lighting programs, including associating qualified luminaire-level lighting control systems with qualifying luminaire-level lighting controls or retrofit kits.
Both thermostat integration and C137.9 reporting are optional capabilities that systems can report, not requirements for every qualified system.
“Occupancy data from lighting systems can help HVAC systems operate more intelligently, and standardized configuration reports can help utilities verify that control settings will save energy,” said Levin Nock, Senior Technical Manager at the DLC. “Together, these changes can make advanced lighting control projects more compelling for customers, contractors, and incentive programs.”
Rebates Shift Toward Controls as a Federal Incentive Closes
For years, Section 179D of the tax code offered a deduction for qualifying energy-efficient interior lighting, HVAC, service water heating, and building envelope improvements in commercial buildings. The One Big Beautiful Bill Act ended the deduction for property where construction begins after June 30, 2026. Projects that began construction on or before that date may still qualify, and building owners should confirm eligibility with a tax advisor.
Utility incentives are moving in a different direction. More than 200 commercial lighting rebate programs offered dedicated networked lighting control rebates in 2026, according to BriteSwitch data reported by the Lighting Controls Academy. The DLC reports that these incentives are available in 46 states and three Canadian provinces, and in 31 of those markets, incentives apply only to systems on the DLC's Qualified Products List.
For facilities that completed an LED retrofit years ago, a controls upgrade may now be the most direct route to new incentive dollars.
Energy Codes Keep Raising the Bar
ASHRAE and the Illuminating Engineering Society have published Standard 90.1-2025, which strengthens lighting control requirements. The update expands daylight-responsive controls, revises occupancy provisions, and changes the thresholds that trigger automatic control requirements. States and local jurisdictions adopt energy codes on their own schedules, so the new edition is not yet enforceable everywhere. Its direction is clear, however. Advanced control strategies are becoming central to commercial lighting compliance.
What Smart Lighting Does
Smart lighting pairs LED luminaires with sensors, controls, and network connectivity. Instead of simply turning on and off, a connected system adjusts to occupancy, schedules, and available daylight. Operators can monitor and control it remotely, and the data it collects supports maintenance planning and decisions about space use. The Internet of Things (IoT) makes this possible by linking luminaires, sensors, and controls so they can share information and respond automatically.
Control Strategies Worth Knowing
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Occupancy and Vacancy Sensors: Turn lights on, off, or down based on whether a space is in use.
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Daylight Harvesting: Reduce light output when natural light is sufficient.
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Astronomical Time Scheduling: Match lighting schedules to local sunrise and sunset.
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High-End Trim and Task Tuning: Set maximum light levels for each zone based on how the space is used.
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Demand Response: Automatically reduce lighting loads during peak demand or high-price periods.
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Building Management Integration: Coordinate lighting with HVAC, security, and other building systems.
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Personal Dimming Controls: Let occupants adjust light levels for comfort.
Benefits of Networked Lighting Controls
LED luminaires already use far less energy than legacy fixtures. Controls add further savings by dimming or shutting off lights in unoccupied spaces and trimming output where daylight is available. Adaptive lighting also supports occupant comfort in offices and consistent, safe illumination in warehouses and manufacturing areas. The data these systems collect helps facility teams refine schedules, target maintenance, and identify underused space.
Planning Considerations
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Cybersecurity: Networked lighting runs on the same infrastructure as other building systems. It needs secure commissioning, strong access controls, regular firmware updates, and coordination with IT.
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Interoperability: Not every luminaire, sensor, and platform work together. Systems that support open protocols and proven integration with existing building systems reduce vendor lock-in risk. DLC qualification helps with comparison but does not replace a project-specific compatibility review.
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Upfront Cost: Controls add to a project's initial cost. With 179D closed to new projects, utility incentives, lifecycle cost analysis, and phased rollouts are the key tools for building the business case.
What’s Next
Some lighting platforms are moving more data processing to luminaires and gateways. This edge-computing approach enables faster local responses and reduces dependence on cloud connectivity. Lighting networks are also increasingly serving as the data backbone for smart buildings, supporting occupancy analytics, indoor positioning, and closer coordination with HVAC.
Contact US LED today to discuss networked lighting controls for your facility, from occupancy sensors and daylight harvesting to full building automation integration.