The floating solar panels market size value is expected to reach USD 2201.8 million by 2027. During this period, the market is likely to register a CAGR of approximately 24.53 %.
Floating solar panels are commonly known as floatovoltaics. These solar power production installations are mounted on a structure that can float on a water body, such as a lake or an artificial basin. Floating solar technology has increased the attractiveness of the floating solar panels industry as it supports sustainability and efficiency. The demand for floating solar panels is rapidly increasing in recent times, especially in nations with massive water bodies and nations with a high probability of droughts.
A host of factors could come into play and influence the floating solar panels market growth, such as initiatives taken by several national governments to promote renewable energy practices and the rapid depletion of fossil fuels. According to the U.S. Energy Information Administration (EIA), around 60 % of electricity generation in the U.S. is from fossil fuels like natural gas, coal, petroleum, and other gases. The high consumption of varying non-renewable energy resources acts as a catalyst and increases the attractiveness of the floating solar panels market since it is nature-oriented.
A thorough evaluation of the floating solar panels market has been presented in the report. Several factors that have increased the attractiveness of the floating solar panels industry have been identified and explained in detail. The main market variables that could impact the industry during the forecasted period have been analyzed with the help of strategic and analytical tools. The chief business players that function in the market have been identified as increasing the competitive intensity and capturing a major portion of the floating solar panels market share.
Covid 19 analysis
The Covid 19 pandemic has considerably impacted the performance of the floating solar panels market. The impact of the pandemic on the industry was mostly negative. This is because there was a slump in demand for floating solar panels. Due to the long period of lockdowns and strict social distancing norms, there was a temporary halt in the production of floating solar panels. However, as the strict lockdown restrictions have eased in most nations, the floating solar panels market is expected to recover in the future.
Chief variables existing in the market
The adoption of renewable energy and the initiatives taken by governments of diverse nations are major drivers in the global floating solar panels market. As non-renewable energy sources are exhausting rapidly, the adoption of renewable energy solutions has increased. It has further attractiveness of the global floating solar panels market. The floating solar panels are highly superior to conventional panels as their maintenance costs are low, and they do not require land for installation purposes. These attributes also act as drivers that boost the floating solar panels market growth.
A number of challenges exist at the global floating solar panels industry level that affects the business players. One of the major challenges is the disruption in the value chain of floating solar panels due to the pandemic. The limited awareness of these sustainable energy solutions also acts as a major challenge and affects the growth of floating solar panels. During the forecasted period, these challenges could restrict the growth potential of the market.
There exist several opportunities in the global floating solar panels market that the market participants can exploit. Some of the main opportunities include launching new and sustainable products that can optimize the performance of floating solar panels and investment in research and development functions to create differentiated floating solar panel solutions.
Some of the main restraints that companies in the global floating solar panels market encounter include poor access to financial capital to conduct R&D operations and limited know-how on evolving regulatory landscape. These elements could act as major bottlenecks and effectively affect organizations' functioning in the floating solar panels market.
Cumulative evaluation of the market
An in-depth insight into the global floating solar panels market has been presented in the report. The chief drivers and trends that could accelerate the market growth during the forecasted period have been identified, such as government initiatives and an increase in the adoption of sustainable and renewable energy approaches. The major floating solar panels market trends that have been highlighted in the report could have a major implication on the market performance during the forecasted period.
Overview of the main market segments
Based on the product, the global floating solar panels market can be further divided into stationary floating solar panels and tracking floating solar panels. The stationary panels remain fixed in a specific region of the water body where they float and capture solar energy. In tracking floating solar panels, innovative technologies are adopted which ensure that the panels rotate based on the sun rays. The stationary floating solar panel segment is likely to dominate the market during the forecasted period due to its cost-effective nature.
The global floating solar panels market can be segmented into onshore and offshore based on location. The onshore market segment has been driving the market performance in the past, and it is likely to continue delivering strong performance during the forecasted period. The main reasons for the enhanced performance of the onshore market segment include less possibility of damage due to strong water currents and high tides and low construction and maintenance costs.
Based on geographical region, the global floating solar panels market can be categorized into various segments such as North America, Europe, the Asia Pacific, and the rest of the world. As non-renewable energy sources are depleting like never before, the attractiveness of varying regional segments has increased considerably. The proactive role by various national governments could act as a major driver that could influence the performance of the market segments during the forecasted period. The Asia Pacific market division is likely to dominate the global market landscape based on the in-depth market forecast. The main reason for the solid performance of the region is the introduction of numerous initiatives by governments that promote the use of solar panels. In addition to this, the prevalence of stringent environmental legislation and regulations and the rise in demand for low-cost energy also play an important role in boosting the geographical segment's performance.
Competitive intensity in the industry
A diverse range of business organizations exist in the global floating solar panels market domain and increase the competitive intensity. Some of the major market players that have significantly influenced the global floating solar panels market size have been presented below:
The attractiveness of the global floating solar panels market landscape has increased considerably in recent times. One of the main reasons is the rise in depletion of non-renewable energy sources such as fossil fuels. Several business players have entered the business domain to leverage the opportunities in the promising market, intensifying the competition. The businesses have been working on new strategies to expand their floating solar panels market share.
Recent market developments
The detailed global floating solar panels industry report gives a glimpse into its growth potential during the forecasted period. A wide range of factors has been identified and elaborated that can potentially impact the floating solar panels market size in the future. Some of the prevailing floating solar panels market trends that have been examined include the shift towards sustainable energy practices and the introduction of new initiatives by governments to promote environmentally friendly and sustainable energy practices. A diverse range of strategic tools has been used in the report, such as the SWOT analysis framework and Porter's Five Force analytical model to evaluate the market variables and competitive intensity.
Key Industrial segments
|Market Size||2027: USD 2,201.8 Million|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Product, Location|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||GEITS, Wuxi Suntech Power Co., Ltd., Yingli Solar, SPG Solar, Ciel & Terre, Kyocera Corporation, Japan Mega Solar Power Co., Suntech Power Holdings Co., Ltd., Solaris Synergy, Trina Solar Limited, and Sharp Corporation|
|Key Market Opportunities||New product launches and R&D Amongst major key Players|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The adoption of renewable energy practices and diverse government initiatives are the main drivers that boost global floating solar panels market performance.
Suntech Power Holdings Co. Ltd, GEITS, and SPG Solar are some of the key market players that would play an influential role in increasing the floating solar panels market growth in the future.
Some of the main opportunities that the market participants in the future could exploit include the launching of new and sustainable products and improved research and development (R&D) activities.