Published Report - Solar Energy Market Growth Report � Size, Share 2030

  • Report Code : TIPAR00009079
  • Category : Energy and Power
  • Status : Published
  • No. of Pages : 197
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Solar Energy Market Growth Report – Size, Share 2030

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[Research Report] The solar energy market was valued at US$ 207,270.00 million in 2022 and is expected to reach US$ 552,450.28 million by 2030; it is anticipated to account for a CAGR of 13.0% from 2022 to 2030.

 

Analyst Perspective:

According to the Solar Energy Industries Association (SEIA), the solar industry has demonstrated remarkable growth over the past ten years, from 2013 to 2023, with an impressive average annual expansion rate of 24%. This significant solar energy market growth can be attributed to robust federal policies such as the Solar Investment Tax Credit, rapidly decreasing costs, and surging demand across the private and public sectors for clean and sustainable electricity. As a result, this has led to the installation of 149 gigawatts (GW) of solar capacity in the US, which is sufficient to power approximately 26 million homes.

According to the SEIA, as of 2022, the solar sector has employed over 263,000 individuals across over 10,000 companies in every state in the US. In 2022, the solar industry in the US witnessed a private investment of ~US$ 35 billion. Over the past decade, the cost of solar installation has dramatically reduced by over 50%, enabling the industry to venture into untapped solar energy markets and deploy an extensive array of solar systems across the country.

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Published Report - Solar Energy Market: Strategic Insights

Published Report - Solar Energy Market

  • CAGR (2022 - 2030)
    13.0%
  • Market Size 2022
    US$ 207.27 Billion
  • Market Size 2030
    US$ 552.45 Billion

Market Dynamics

GROWTH DRIVERS
  • Growing Greenhouse Gas Emission and Energy Uncertainties
  • Rising Government Initiatives for Solar Power
  • Growing Demand for Energy
  • Growing Photovoltaic Applications in Residential, Commercial, and Industrial Sectors
FUTURE TRENDS
  • Growing Focus on Deploying Concentrated Solar Power Technology
OPPORTUNITIES
  • Application of Solar Power in Aerospace, Space, and Defense Industries

Key Players

  • JinkoSolar Holding Co Ltd
  • Canadian Solar Inc
  • Trina Solar Co. Ltd
  • First Solar Inc
  • ADT Solar
  • ACCIONA Energía
  • BrightSource
  • Abengoa SA
  • Heliogen Inc

Regional Overview

  • North America
  • Europe
  • Asia-Pacific
  • South and Central America
  • Middle East and Africa

Market Segmentation

Technology
  • Photovoltaic Systems
  • Concentrated Solar Power Systems
Application
  • Electricity Generation
  • Heating
  • Others
End User
  • Residential
  • Commercial & Industrial
  • Utility Scale
  • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

 

Market Overview:

According to the International Energy Agency (IEA), in 2022, solar photovoltaic (PV) generation achieved an exceptional milestone, surging by 270 TWh (i.e., 26% increase), ultimately reaching 1,300 TWh. This substantial solar energy market growth marked the most extensive absolute generation expansion within all renewable technologies and made history by surpassing wind energy's contribution for the first time. The pace of solar PV generation is the same as the trajectory envisioned from 2023 to 2030 in the Net Zero Emissions by 2050 Scenario. The continuous enhancement of solar PV's economic appeal, significant advancements within the supply chain, and escalating policy backing, notably from countries such as China, the US, and India, as well as European Union members, are poised to amplify capacity expansion in the coming years. However, maintaining a solar PV generation growth rate consistent with the Net Zero Scenario necessitates achieving annual capacity additions nearly threefold than those witnessed in 2022. Despite challenges, such as high investment costs due to increased commodity prices, utility-scale solar PV remains the most economically viable choice for new electricity generation across various countries. The establishment of distributed solar PV, including rooftop installations on buildings, is also expected to expand rapidly due to escalating retail electricity prices and growing policy support to empower consumers to save on energy expenses, which is boosting the solar energy market size.

 

Market Drive

Rising Government Initiatives for Solar Power Boosting the Solar Energy Market

The application of solar energy has rapidly increased in recent years due to its capability to reduce the adverse environmental effects of conventional energy sources such as oil, natural gas, and coal. Hence, governments of various countries across the globe imposed tax incentives and favorable policies to support the remarkable solar energy market growth. For example, the Jawaharlal Nehru National Solar Mission Scheme was launched in January 2010. The rooftop scheme accomplished by SECI (Solar Energy Corporation of India) is one of the initiatives taken by the Government of India to support solar energy development. The Mission has set the goal of installing 20,000 MW of grid-connected solar power by 2022, which was reviewed to 1,00,000 MW by 2022. In 2021, the ITC (Investment Tax Credit) offered a 26% tax credit for solar systems deployed between 2020 and 2022 in the US. The ITC offers 30% for systems installed in tax years, i.e., during 2022–2032. Such government initiatives are increasing the solar energy market size.

Solar customers primarily take advantage of incentives to decrease the total installation expenditures of their system, from renewable electric certificates and electric utility rebates to state government discounts and state tax credits. For instance, in 2023, under the “Solar Homes” program, Nova Scotian residents received a rebate of US$ 0.30/watt for solar panels installed, up to a maximum of CAD 3,000 (US$ 2,210.52). Factors such as unpredictable fossil fuel prices have fueled renewable energy investments and boosted policy support through new initiatives in Europe, Japan, and China; the US Inflation Reduction Act; and a strong positioning of climate and energy security objectives, particularly in import-reliant economies. Thus, the rising number of government initiatives toward boosting solar power is driving the solar energy market.

 

Segmental Analysis:

The solar energy market share is segmented on the basis of technology, application, end user, and geography. By technology, the market is divided into photovoltaic systems and concentrated solar power systems. In terms of application, the solar energy market is segmented into electricity generation, heating, charging, lighting, and others. The end user segment of the solar energy market is segmented into residential, commercial & industrial, and utility scale. Based on geography, the market is categorized into North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM).

Concentrated solar power (CSP) systems offer a unique approach to capturing and utilizing solar energy. CSP technologies focus sunlight onto a smaller area to generate high temperatures, which are used for various applications, including electricity generation, industrial processes, and thermal storage. A few CSP technologies, such as power tower systems, can store thermal energy, allowing for continuous power generation even when the sun is not shining, enhancing grid stability. Concentrated solar systems, especially parabolic troughs and power tower configurations, can be scaled up to generate significant amounts of electricity, contributing to utility-scale power generation. While concentrated solar power systems currently have a smaller market share than solar PV, their unique capabilities and benefits make them a valuable component of the broader solar energy market.

According to the International Renewable Energy Association (IRENA), till 2022, ~6,501 MW of CSP systems were installed globally, whereas, in 2022, there were approximately 126 MW worth of CSP systems installed across the globe, showing a growth of around 1.9% compared to the previous year. Moreover, a majority of the countries across different regions did not install any CSP systems in 2022.

Regional Analysis:

Governments of various countries in Europe have been actively focusing on developing the solar energy market. The European Commission has announced its REPowerEU plan that focuses on the rapid deployment of renewable energy across Europe and putting an end to dependency on Russian fossil fuels. The REPowerEU plan aims to bring the European solar capacity to 320 GW of solar PV capacity by 2025 and further reach ~600 GW by 2030. Such initiatives are expected to fuel the solar energy market across Europe and reduce the overall dependency on fossil fuels and energy imports across European countries.

Key Player Analysis:

JinkoSolar Holding Co Ltd, Canadian Solar Inc., Trina Solar Co. Ltd, First Solar Inc., ADT Solar, ACCIONA Energía, BrightSource, Abengoa SA, Heliogen Inc., and Nextera Energy Resources are among the key solar energy market players operating in the solar energy market.

Solar Energy Market Report Scope

Report Attribute Details
Market size in 2022 US$ 207.27 Billion
Market Size by 2030 US$ 552.45 Billion
Global CAGR (2022 - 2030) 13.0%
Historical Data 2020-2021
Forecast period 2023-2030
Segments Covered By Technology
  • Photovoltaic Systems
  • Concentrated Solar Power Systems
By Application
  • Electricity Generation
  • Heating
  • Others
By End User
  • Residential
  • Commercial & Industrial
  • Utility Scale
Regions and Countries Covered North America
  • US
  • Canada
  • Mexico
Europe
  • UK
  • Germany
  • France
  • Russia
  • Italy
  • Rest of Europe
Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
South and Central America
  • Brazil
  • Argentina
  • Rest of South and Central America
Middle East and Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of Middle East and Africa
Market leaders and key company profiles
  • JinkoSolar Holding Co Ltd
  • Canadian Solar Inc
  • Trina Solar Co. Ltd
  • First Solar Inc
  • ADT Solar
  • ACCIONA Energía
  • BrightSource
  • Abengoa SA
  • Heliogen Inc
    • Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

     

    Recent Developments:

    Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the global solar energy market. A few recent developments by key the solar energy market players are listed below:

    Year

    News

    Region

    2023

    Heliogen Inc. and Lancaster had entered into a contract for the production of green hydrogen. The former company also disclosed a deal with Culver City-based NantGPower to build a test solar calcination unit at the Lancaster site of Heliogen.

    Europe

    Report Coverage
    Report Coverage

    Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

    Segment Covered
    Segment Covered

    Technology, Application, and End User

    Regional Scope
    Regional Scope

    North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

    Country Scope
    Country Scope

    This text is related
    to country scope.

    Frequently Asked Questions


    Who are the major vendors in the solar energy market?

    JinkoSolar Holding Co Ltd, Canadian Solar Inc., Trina Solar Co. Ltd, First Solar Inc., and Nextera Energy Resources are the key market players operating in the global solar energy market.

    What is the future trend for the solar energy market?

    Governments and organizations of major countries such as the US, China, and South Africa focus on investing in advanced technologies to enhance the operational efficiency of solar plants. Concentrated solar power (CSP) technologies leverage mirrors to reflect and concentrate daylight onto receivers that accumulate light energy and transform it into thermal energy or heat. Thus, the growing focus on deploying concentrated solar power technology in various equipment is expected to fuel the solar energy market growth in the coming years.

    Which region to dominate the solar energy market in the forecast period?

    Growing focus on curbing environmental pollution by reducing greenhouse gas emissions and rising government initiatives toward increasing the stake of renewable energy resources in the overall power mix are major reasons for solar energy market growth in Asia Pacific. China, Australia, India, and Japan are a few key countries contributing to Asia Pacific's solar energy market growth.

    What are market opportunities for the solar energy market?

    The growing technological development and government initiatives are boosting the application of solar energy in various end-use sectors such as aerospace and defense. One of the key applications of solar power in the aerospace and defense industries is solar-powered UAVs. Thus, the rising application of solar power in the aerospace, space, and defense industries is likely to create lucrative opportunities for the solar energy market players to boost the adoption of solar energy-based systems in the coming years.

    What are reasons behind solar energy market growth?

    The evolution of the energy system following the Paris Agreement, launched in 2015 and entered into force in 2016, has fueled the application of renewable energy sources to reduce carbon emissions. A key contributor of GHG (greenhouse gas) emissions that lead to climate change is power generation using fossil fuels. The utilization of solar energy is increasing due to rising concern towards more sustainable and green energy alternatives, growing climate change concerns, and government initiatives towards boosting the usage of renewable energy across the globe.

    The List of Companies - Solar Energy Market

    1. JinkoSolar Holding Co Ltd
    2. Canadian Solar Inc
    3. Trina Solar Co. Ltd
    4. First Solar Inc
    5. ADT Solar
    6. ACCIONA Energía
    7. BrightSource
    8. Abengoa SA
    9. Heliogen Inc
    10. Nextera Energy

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