The global solar photovoltaic (PV) market has experienced significant growth over the past few years, and this trend is expected to continue in the coming years. The increasing demand for renewable energy sources, coupled with the declining cost of solar PV technology, has been a driving force behind this growth. In this article, we will analyze the global solar PV market and provide a forecast for its future growth.
Market Overview:
The solar PV market can be divided into two major segments: residential and commercial. The residential sector is primarily driven by the adoption of rooftop solar PV systems, while the commercial sector includes large-scale utility projects, such as solar farms. According to a report by ResearchAndMarkets, the global solar PV market size was valued at USD 130.7 billion in 2020, and it is expected to grow at a compound annual growth rate (CAGR) of 18.1% from 2021 to 2028.
Factors Driving the Growth of the Solar PV Market:
- Increasing Demand for Renewable Energy: The demand for renewable energy sources has been steadily increasing due to concerns over climate change and the desire to reduce carbon emissions. Solar PV is one of the most popular renewable energy sources, and its adoption is expected to continue to grow in the coming years.
- Declining Costs of Solar PV Technology: The cost of solar PV technology has been steadily declining over the past decade, making it more affordable for residential and commercial customers. This has led to increased adoption and investment in solar PV projects.
- Government Incentives and Policies: Governments around the world are incentivizing the adoption of solar PV through tax credits, subsidies, and other policies. These incentives have encouraged more residential and commercial customers to invest in solar PV systems.
Market Forecast:
The global solar PV market is expected to continue its growth trajectory in the coming years. According to a report by Allied Market Research, the market is expected to reach USD 559.2 billion by 2027, growing at a CAGR of 24.2% from 2020 to 2027. The report also predicts that the commercial sector will be the fastest-growing segment, with a CAGR of 24.9% during the forecast period.
Asia Pacific is expected to be the largest market for solar PV during the forecast period, due to the increasing demand for renewable energy and government incentives. China is expected to lead the market, with a projected CAGR of 25.8% during the forecast period. The Middle East and Africa are also expected to experience significant growth, due to the abundant availability of sunlight and government initiatives.
Key Players in the Solar PV Market:
Some of the key players in the global solar PV market include Jinko Solar, Trina Solar, Canadian Solar, First Solar, SunPower Corporation, Hanwha Q CELLS, Sharp Solar Energy Solutions Group, LONGi Solar, Yingli Green Energy Holding Company Limited, and JA Solar Holdings Co., Ltd. These companies are investing heavily in research and development to improve the efficiency and cost-effectiveness of solar PV technology.
Conclusion:
The global solar PV market is expected to continue its growth trajectory in the coming years, driven by the increasing demand for renewable energy, declining costs of solar PV technology, and government incentives and policies. The commercial sector is expected to be the fastest-growing segment, with Asia Pacific leading the market. The key players in the market are investing heavily in research and development to improve the efficiency and cost-effectiveness of solar PV technology.
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Knox Market Research journalist was involved in the writing and production of this article.
