ID: MRFR/E&P/9140-HCR | July 2021 | Region: Global | 111 pages
Solar Battery Market is projected to be worth USD 375.83 Million by 2027, registering a CAGR of 16.17% during the forecast period (2021 - 2027), The market was valued at USD 121.61 Million in 2020.
Solar batteries are an integral part of the solar system. These systems can be used for both grid and standalone solar energy systems. Solar batteries are generally available in three types, namely, flooded lead-acid, absorbed glass mat sealed lead-acid, and gelled electrolyte sealed lead-acid batteries. Flooded lead-acid batteries are most commonly used in solar usage; they have the least cost per amp-hour, the longest lifespan, and high maintenance. Absorbed glass mat sealed lead-acid batteries are suitable for grid-tied solar as they are cost-effective and, generally, have low maintenance. Gelled electrolyte sealed lead-acid batteries charges slow than the other two types; however, it is losing market share in comparison to the other two types. The home solar battery units last between 5 to 15 years. If the end user decides to install a solar battery today, it is almost certain that they will need a replacement in the future to match the 20- to 30-year lifespan of the solar power system.
The major factor driving the solar battery market is the increasing use of these batteries in applications such as grid-tied systems, backup power, solar streetlights, and smart grid. For instance, in grid systems, solar batteries act as an emergency power source for renewable energy systems, which are tied to the local utility grid. In solar streetlights, solar batteries provide reliable power with significant cycle life in all the conditions to ensure quick payback on large capital projects. Similarly, in smart grids, the consistent flow stores excess energy and provides critical energy back to the grid during peak hours are some major advantages that these batteries provide to various applications. Moreover, the growing energy storage industry is also likely to boost the installation of solar batteries, including lithium-ion batteries, in various industries. Additionally, the increasing manufacturing of wearable electronics, implantable medical devices, and flexible electronics is expected to further fuel the growth of the solar battery market.Moreover, due to the growing focus on reducing carbon emissions and the effects of generating electricity using non-renewable sources, the demand for renewable energy solutions is expected to increase, including solar batteries. Thus, the increasing demand for energy generation from renewable energy sources is expected to drive the growth of the global solar battery market during the forecast period.
However, the solar sector has been affectedby the ongoing pandemic situation. Being one of the key enablers in the government target to achieve the clean energy target, the solar sector has faced an uncertain halt in projects. Although, the solar sector has experienced significant growth over the past two decades. But the covid crisis could considerably disrupt this momentum. To overcome this crisis, governments of all the countries are aiming to tackle these challenges and determining the pace of the deployment of solar energy in the near future. Additionally, according to reports by the Ministry of New and Renewable Energy (MNRE), in India, only ~222 MW of solar capacity was achieved in March as all activities have come to a halt due to the pandemic. Thus, the installation of power generation equipment, including solar batteries, is expected to remain slow due to the pandemic. Moreover, India and many other countries in Asia are dependent on other countries for solar batteries, especially China, which has put many upcoming renewable projects on hold and can slow down the overall installation process. However, there are various factors that the governments are taking into consideration while rejuvenating the clean energy projects as corrective measures. These factors includethe adoption of new digital technologies such as solar software, analysis of the viability of future projects, and investment in innovation such as batteries or bifacial modules.
Many major players such as Tesla, LG, Loom Solar, and Panasonicare actively focusing on providing a broad product portfolio related to Solar batteries. For instance,in April 2021, Tesla announced that it would bundle its solar products, solar roofs,solar batteries, and solar panels with its Powerwall home battery pack going forward. Such developments are expected to drive the growth of the global solar battery market during the forecast period.
The global solar battery market has been segmented based on type andend use. Based on type, the solar battery market is divided intolithium-ion, lead-acid, and flow battery. The lithium-ionsegment is expected to hold the largest share in the global market during the forecast period.This can be attributed to severalmajor advantages offered by advanced lithium-ion batteries,such as high storage density, suitability for hybrid electric vehicles, and compact size. Due to these benefits, lithium-ion batteriesare the ideal type of solar battery for solar-based applications. Based onend use, the global market is divided intoindustrial, commercial, and residential. The industrial segment is expected to grow at the fastest rateasthere is strong demand from various industrial end-users for additional energy storage solutions. Moreover, new incentives and tax credit schemes from governments will further attract new end-users in this sector.
The global solar battery market is expected to rate high growth during the forecast period due to the significant surge in demand for eco-friendly energy solutions.This is expected to drive the demand for Solar batteriesduring the forecast period.
Based on region, the solar battery market is segmented into Asia-Pacific, North America, Europe, the Middle East&Africa, and South America. Asia-Pacific is likely to account for the largest share of the market during the forecast period. The growth of solar battery market in the region is being supported by the growing industrial sector. These batteries can be used for various applications ranging from factories to power sources for electronic devices. Europe is expected to be the second-largest market for solar batteries owing to the increasing deployment of solar batteries in industries. In Asia-Pacific, rapidly developing countries such as China and India are significantly focusing on the industrial sector, which is expected to be one of the major end-use segments for solar batteries in the upcoming years.Moreover, the demand for solar batteries in the region is expected to grow significantly due to the rising demand for solar power energy sources and increasing investments in the development of rural areas in the region. Solar energy is considered as the best replacement for conventional energy sources to decrease carbon emissions by meeting the electricity needs in the region. In August 2019, in India, Shapoorji Pallonji and Company Private Limited (India) and ReNewPower (India) invested approximately USD 110 million to develop a 150 MW floating solar power project in Uttar Pradesh. Moreover, several government incentives, policies, and schemes are favoring the installation of solar batteries in the region. Such factors are expected to drive the growth of the Asia-Pacific market for solar batteries during the forecast period. China is one of the major countries in the region, which is contributing a considerable share in the overall solar battery market. As per the International Energy Agency (IEA), the country added 44 GW of solar PV capacity in 2018. As the authorities in China are focusing on the development of solar energy, the demand for solar batteries is expected to grow significantly during the forecast period. Furthermore, government bodies in the country have taken numerous initiatives to increase access to electricity in rural regions. Such factors are expected to drive the growth of the solar battery market in China.
The key players operating in the globalsolar battery marketareTesla, LG, CATL, Loom Solar, Panasonic, BAE Batterien GmbH, BYD Co. Ltd., EnerSys, Luminous, Exide, Okaya, Amaron, HBL Power, Base Battery, and Eastman.
|Market Size||2027 : USD 375.83 Million|
|CAGR||16.17% CAGR : 2020-2027|
|Forecast Units||Value (USD Million|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Type, End Use, and Region|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Tesla, LG, CATL, Loom Solar, Panasonic, BAE Batterien GmbH, BYD Co. Ltd., EnerSys, Luminous, Exide, Okaya, Amaron, HBL Power, Base Battery, and Eastman|
|Key Market Opportunities||growing energy storage industry|
|Key Market Drivers||increasing use of these batteries in applications|
Frequently Asked Questions (FAQ) :
Solar Battery market is predicted to grow at 16.17% through forecast period of 2020-2027.
The forecast period for Solar Battery market research report is 2020-2027.
Global Solar Battery market is dominated by APAC region.