Grid Connected PV Systems Market Size was valued at USD 57.27 Billion in 2023. The Grid Connected PV Systems Market industry is projected to grow from USD 65.86 Billion in 2024 to USD 175.1 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 13.00% during the forecast period (2024 - 2032). The rising need for solar-powered energy storage solutions, as well as the rising demand for grid-connected solar power sources is the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for grid connected PV system is being driven by the advantages of grid-connected photovoltaic systems. Solar PV systems are an excellent source of energy, particularly in the home and commercial sectors. To generate electricity, utility-scale power facilities have also included renewable sources such as solar PV. This helps to reduce the use of fossil fuels in power plants while also lowering prices.
Solar PV generated during the day and stored in energy storage devices can be used at night or during emergencies like blackouts. This lessens the strain on electricity plants. Furthermore, it is a cost-effective and environmentally friendly technique of boosting electricity producing capacity to meet increased demand. Such benefits make grid-connected solar PV systems more appealing and will enhance demand during the predicted period.
Off-grid communities have very little or no access to grid-connected electricity. Such locations rely on photovoltaic secondary sources, such as solar energy. Many parts of the world have huge sections that are off-grid and do not have access to grid-connected electricity. According to the World Energy Outlook, more than one billion people worldwide are still without power.
Moreover, microgrids are more reliable since they are not influenced by power outages in the main grid. They also minimise the cost of extending the grid to rural regions. They can generate electricity from renewable sources such as solar PV and wind power. Many natural disasters have demonstrated the vulnerability of centralised grid structures. Governments all around the world are encouraging the use of microgrids because of their high resilience in the face of natural disasters.
For instance, in November 2019, Tata Power announced its intention to build 10,000 renewable microgrids by 2026, substantially doubling the number of microgrid projects now in operation around the world. During the projection period, these microgrid projects will boost the use of solar PV, which provides clean, reliable, and affordable electricity. Thus, driving the Grid Connected PV Systems Market revenue.
The Grid Connected PV Systems Market segmentation, based on component includes power conditioning unit, grid connection equipment, inverter and others. During the forecast period, the grid connection equipment category is likely to have a sizable market share. With a grid connection equipment, may use renewable energy to run house or small company whenever the sun is out, the water is flowing, or the wind is blowing (daily as well as seasonally).
The Grid Connected PV Systems Market segmentation, based on technology, includes thin film, crystalline silicon and others. In 2022, the thin film category held a commanding 42.54% market share. Thin-film solar PV panels are more durable and compact. Furthermore, these panels are flexible and lightweight. Thin-film solar PV panels are mostly used in utility-scale and commercial applications due to their low installation costs. Because they can be manufactured in quantity, these panels are known as cost-effective replacements for silicon-based solar PV panels.
Figure1: Grid Connected PV Systems Market, by Distribution channel, 2022 & 2032(USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The Grid Connected PV Systems Market segmentation, based on grid type, includes grid connected, centralized, and decentralized. In 2022, the grid connected segment accounted for 53.1% of the market. The segment's rise can be due to a variety of inherent benefits, such as lower energy bills and significant cost savings for businesses and consumers. Grid-connected systems have a wide range of applications, including residential.
Off-grid solar power systems differ from commercial and large-scale grid-connected solar power systems. In most circumstances, a grid-connected system does not necessitate the use of a battery. As soon as the system generates more energy than the load, it will enter backup mode.
The Grid Connected PV Systems Market segmentation, based on application, includes residential, commercial, utility, and industrial. In 2022, the industrial segment held the highest market share, accounting for 31.2% of the total. Technological improvements to boost renewable energy generation are likely to fuel the expansion of the grid-connected PV system market for this category. During the projected period, the cost-effectiveness and ease of maintenance are expected to promote the acceptance and installation of grid-connected PV systems.
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The Asia Pacific Grid Connected PV Systems Market area will dominate this market, owing to an increased investment in solar projects and demand for solar energy sources in the region. The increasing number of solar PV installations in China and India illustrates the market's enormous potential. Asia has the greatest PV capacity on the planet, with 330.1 GW of cumulative installed PV capacity.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Grid Connected Pv Systems Market Share By Region 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Grid Connected PV Systems Market accounts for the second-largest market share because of energy-saving programmes and the elimination of charges in business power rates. Further, the German Grid Connected PV Systems Market held the largest market share, and the UK Grid Connected PV Systems Market was the fastest growing market in the European region
The North America Grid Connected PV Systems Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to rising energy-saving programmes and the abolition of levies in commercial electricity bills in the region. Moreover, US Grid Connected PV Systems Market held the largest market share, and the Canada Grid Connected PV Systems Market was the fastest growing market in the region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Grid Connected PV Systems Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Grid Connected PV Systemsindustry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Grid Connected PV Systems industry to benefit clients and increase the market sector. In recent years, the Grid Connected PV Systems industry has offered some of the most significant advantages to medicine. Major players in the Grid Connected PV Systems Market, including ), KYOCERA Corporation (Japan), Canadian Solar Inc (Canada), Huawei Technologies (China), JinkoSolar Holding Co. Ltd (China) and others, are attempting to increase market demand by investing in research and development operations.
Azure Power Limited, located in New Delhi, India, is an independent power producer, developer, and operator of utility and commercial scale solar PV power facilities. Inderpreet Wadhwa launched the company in 2008. In India, the corporation offers electricity to government utilities as well as independent industrial and commercial customers.
Azure Power built India's first utility-scale solar facility at Awan, Punjab, in 2009. Azure Power's overall capacity exceeds 7 GW. In September, 2022, An deal was reached between First Solar and Azure Power Limited. First Solar stated that it will supply Azure Power Limited with 600 megawatts DC of its sophisticated and high-performance thin film P solar modules.
Canadian Solar Inc. is a publicly traded firm that manufactures and operates large-scale solar plants. Shawn Qu founded Canadian Sola in 2001 in Guelph, Ontario, Canada. The company now has subsidiaries in over 24 countries across six continents. They manufacture solar PV modules, assist with solar energy installation, and are involved in a variety of utility-scale power projects.
With the acquisition of Recurrent Energy, Canadian Solar's total project pipeline increased to 20.4 GW, with the late-stage project pipeline increasing to 2.4 GW. In August 2020, Canadian Solar announced the start of construction on one of Malaysia's largest commercial and industrial ("C&") rooftop solar projects, in collaboration with Antah Solar Sdn. Bhd. and EleapsSdn. Bhd. The 5 MW project, located in Penang, Malaysia, will cover an area of about 26,000 m2.
In January 2021,Royal Dutch Shell PLC has begun construction on its 25 MW Qabas solar facility. The project, which comprises of approximately 88,000 solar modules, is located on a 50-hectare location within the Sohar Free Zone in northern Oman. It contributes to the reduction of around 25,000 tonnes of CO2 emissions per year.
In April 2021,The 300 MW Sakaka PV IPP, the country's first utility-scale renewable energy project, was inaugurated by ACWA Power at a cost of SAR 1.2 billion. ACWA Power was awarded the project at a record-breaking pricing of USD 2.3417 cents per kWh (8.781 halalas per kWh).
| Report Attribute/Metric | Details |
| Market Size 2023 | USD 57.27 Billion |
| Market Size 2024 | USD 65.86 Billion |
| Market Size 2032 | USD 175.1 Billion |
| Compound Annual Growth Rate (CAGR) | 13.00% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Components, Technology, Grid Type, Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Sunpower Corporation (US), Zytech Solar (Spain), Ravano Green Powers (Italy), KYOCERA Corporation (Japan), Canadian Solar Inc (Canada), Huawei Technologies (China), JinkoSolar Holding Co. Ltd (China), Trina Solar (China), Panasonic Corporation (Japan), Suntech Power Holding Co. Ltd. (China), First Solar inc. (US), Sharp Corporation (Japan). |
| Key Market Opportunities | Rising Interest in Solar-Powered Energy Storage Solutions. |
| Key Market Dynamics | Growing Demand for Grid-Connected Solar Energy Sources. |
Grid Connected PV Systems Market Highlights:
Frequently Asked Questions (FAQ) :
The Grid Connected PV Systems Market size was valued at USD 57.27 Billion in 2023.
The market is projected to grow at a CAGR of 13.00% during the forecast period, 2024-2032.
Asia Pacific had the largest share in the market
The key players in the market are ), KYOCERA Corporation (Japan), Canadian Solar Inc (Canada), Huawei Technologies (China), JinkoSolar Holding Co. Ltd (China).
The solar panels category dominated the market in 2022.
The Grid Connected had the largest share in the market.
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Senior Research Analyst With an experience of over five years in market research industry (chemicals & materials domain), i gather and analyze market data from diverse sources to produce results, which are then presented back to a client. also, provide recommendations based on the findings. as a senior research analyst, i perform quality checks (qc) for market estimations, qc for reports, and handle queries and work extensively on client customizations. also, handle the responsibilities of client proposals, report planning, report finalization, and execution
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