Impact of the Covid-19 Outbreak on the Floating Solar Panels Market
The floating solar panels market has witnessed a negative impact of the COVID-19 outbreak on the product demand in recent months owing to the lockdowns imposed in the majority of the countries. These lockdowns have resulted in temporarily halting the manufacturing of solar panels and their parts since the outbreak in December 2019. Several countries witnessed curfew-like situations where businesses, except essential services, were not permitted to operate, which impacted the demand for floating solar panels. However, several countries have started easing the lockdowns aiming at restoring their economic conditions. As a result, the demand for floating solar panels is anticipated to recover in the coming months. Floating solar panels are a sophisticated technology developed for overcoming issues associated with conventional panels, such as high maintenance costs, land scarcity, etc. These panels are poised to gain traction over the next couple of years owing to their mobility and flexibility, which enable them to adapt according to the sun’s changing position. The rapid decline of fossil fuel reserves has intensified the adoption of renewable energy, out of which the solar energy segment is expected to scale new heights in the foreseeable future. Floating solar panels are gaining popularity due to their advantages over conventional panels.
FIGURE: Global INVESTMENT IN SOLAR PV (USD BILLION)
The demand for floating solar panels is excessively increasing, particularly in countries that are prone to drought and countries comprising of massive water bodies. Furthermore, the initiatives undertaken by several governments across the world to promote the adoption of renewable energy have had a favorable impact on the expansion of the floating solar panels market. These panels can also be installed in hydroelectric plants, which is likely to drive the product demand further in the next few years. However, high installation costs remain an impediment to market growth. Governments across the world are focusing on the implementation of lenient regulatory policies to encourage investments towards renewable sources of energy, which will further boost the demand for floating solar panels.
Source: Primary Experts, Secondary Sources and MRFR Analysis
Source: International Energy Agency (IEA)