Solar Power Equipment Market Size, Share & Industry Analysis, By Product (Solar Panels, Mounting and Racking System, Tracking System, Storage System, Others), By Application (Residential, Commercial, Industrial, Utility) And Regional Forecast, 2024-2032

Solar power equipment helps to harness the sun’s energy and convert it into electricity for further use by industrial, utility, commercial, or residential sectors. Solar power equipment consists of solar panels, solar batteries, solar mounting & racking systems, solar trackers, and solar inverters. These equipment serve as an eco-friendly solution, as they aid in curbing carbon emission and combat climate changes.

The solar power equipment market is mainly driven by the rise in construction projects and the increasing demand for electricity worldwide. In addition, the ability of home solar panels to improve carbon footprint and to reduce electric bills are expected to provide a remunerative opportunity for the growth of the solar power equipment industry. The efficient conversion of solar energy into usable energy forms has enhanced the demand for monocrystalline and polycrystalline silicon cells.

Based on the product, the market is segmented into solar panels, mounting & racking systems, tracking systems, storage systems, and others. The solar panels segment accounted for a major share of the market in 2019, owing to an increase in the deployment of solar panels in residential and commercial sectors at a low cost.

Based on the application, the market is segmented into residential, commercial, industrial, and utility. The utility application segment leads the market with an increase in the number of power purchase agreements between electricity boards and private sector companies, which are expected to boost solar energy in the utility segment.

The key market driver of this market is the growing investment in renewable energy owing to its advantages and numerous applications. Other factors, including an increase in demand for electricity, a rise in stringent environment protection regulations, force the power generation industry to shift to cleaner and environment-friendly energy resources, and a decrease in the price of conventional PV modules have resulted in increased demand for solar power equipment.

The key restraint for the market is that it has low efficiency than other renewable sources of energy. Other factors that restrain the market growth include high capital cost for energy storage, inability to provide power in diffused light conditions, and energy generation depends on the weather and climate (in rainy and cloudy weather, energy generation is low).

Key Market Driver -

Growing investment in renewable energy

Key Market Restraint -

High capital cost and changing weather condition

Key Players Covered:

Some of the major companies in the solar power equipment are ABB Group, Canadian Solar, First Solar Inc., Hanwha Q CELLS, JA Solar, JinkoSolar, LONGi Solar, Shunfeng International, and SunPower Corporation.

Regional Analysis:

The global solar power equipment market is studied across different regions like North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. North America region is dominating the market due to increasing solar installations in the industrial, commercial, and residential sectors. Also, the U.S. Department of Energy and the Electric Power Research Institute is funding solar energy projects for utility applications, which in turn is increasing the use of solar power equipment. In Europe, the European Energy Research Alliance is boosting the awareness and production of solar energy, uplifting the market. Also, an increase in the adoption of solar energy is raising the market. In the Asia Pacific region, an increase in energy demand is the primary factor driving the market. Also, an increase in industrialization in countries like India, China, and Malaysia will boost the market. In the Middle East & Africa, dropping costs for solar panels coupled with plenty of sunlight and the huge need for electricity in the region will create an opportunity for the market in countries like the UAE and Saudi Arabia.

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Segmentation

Key Industry Developments

• In May 2020, The world’s largest solar power plant, The Noor Energy 1 facility is a hybrid 700MW concentrated solar power (CSP) and 250MW photovoltaic (PV) plant and is being built for the Dubai Electricity and Water Authority (DEWA) by a consortium led by DEWA and ACWA Power. They say the project will increase the share of the city’s clean energy to 25% by 2030 allowing a saving of 1.6 million tonnes of carbon dioxide.


• In July 2017, at Pennsylvania State University, a concentrating photovoltaic system with embedded micro tracking can produce over 50 percent more energy per day than standard silicon solar cells in a head-to-head competition