The deployment of smart grid technologies will deliver $18.8 billion (£14.3bn) in cost savings by 2021.
That’s according to a report from Juniper which states this will be achieved through reducing energy use and avoiding economic costs from emissions.
It also forecasts the smart street lighting market to surge in the next five years.
That’s because the use of LED units and sensors is expected to increase with more than half of their fixtures being networked globally by 2021.
These LED fixtures enable new services for revenue generation, such as municipal Wi-Fi and even retail marketing opportunities, it adds.
Its report also states smart traffic management and smart parking initiatives will help save 4.2 billion hours annually duringthe same period – equivalent to each city driver saving nearly an entire working day per year.