Solar Panels Market Research Report—Global Forecast till 2030

Solar Panels Market Research Report: Information by Technology [Solar PV and Concentrated Solar Power (CSP)], Module Type (Thin Film and Crystalline), Grid Connectivity (On-Grid and Off-Grid), Application (Residential, Commercial, and Industrial), and Region (North America, South America Europe, Asia-Pacific, and Rest of the World) - Forecast till 2030

ID: MRFR/E&P/2346-CR | August 2020 | Region: Global | 143 pages

Solar Panels Market Synopsis:

Solar panels are described as an assembly of photovoltaic cells that are mounted in a framework for technology. A solar panel is a silicon-based layered semiconductor module that can produce electricity from sunlight. This photovoltaic effect is created by the flow of electrons inside the module, which can be maximized by the increased hours of exposure to sunlight. In recent years, solar panels have been dominating the renewable energy market due solar power’s ability to reach grid parity as conventional energy resources and technological development use sunlight as a source of energy in order to generate direct current electricity through photovoltaic cells.

Based on technology, the global solar panels market has been segmented into solar PV and concentrated solar power (CSP). The solar PV segment held a share of 85.54% of the global market. Based on module type, the global market has been segmented into thin film and crystalline. The crystalline segment held a 70.22% share of the market. Based on grid connectivity, the global market has been segmented into on-grid and off-grid. The on-grid segment held an 83.22% share of the global market. By application, the market has been segmented into residential, industrial, and commercial. The commercial segment held a 42.28% share of the market. Based on region, the global market has been segmented into North America, Europe, Asia-Pacific, the Middle East & Africa, and South America. Asia-Pacific held a 38.52% share.

COVID-19 Analysis:

COVID-19 has led to severe impact across all the industries around the world. The rapid spread has led governments across the globe to take stricter actions for the operations of industrial plants and offices, leading to stricter lockdowns. The lockdown had a notable impact on the power sector overall as power demand had decreased majorly from commercial and industrial sectors.

Market Dynamics:

  • Drivers:

Increasing demand for Energy Generation from Renewable Energy Sources

Solar power is one of our planet's largest energy sources as sunlight is a plentiful and uninhibitedly accessible energy asset. The measure of sunlight-based energy that arrives at the world's surface in one hour is more than the planet's all-out energy prerequisites for an entire year. 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 panels. Thus, the increasing demand for energy generation from renewable energy sources is expected to drive the growth of the global solar panels market during the forecast period.

  • Restraints:


The most concerning issue that solar energy innovation presents is that energy is just produced while the sun is shining, implying that evening time and cloudy days can interfere with energy generation. This interference would not be an issue if there were minimal expense methods of putting away energy as sunny periods can create an overabundance of power that could cause a short circuit. Furthermore, the solar energy we can utilize changes as per the hour of the day and the period of the year. Thus, the low energy capacity of solar systems compared to other sources is expected to restrict the growth of the global solar panels market to a certain extent during the forecast period.

  • Opportunities:


Several governments across the world are increasing focus on the electrification of rural areas. Colombia's economy is at a developing stage, and numerous areas in the country do not have access to grid-connected electricity. The Columbia Solar Subsidy initiative is expected to offer a subsidy to grid-isolated municipalities in the country. Similarly, Brazil is one of the countries in South America, which has witnessed significant growth in energy demand. Energy consumption in the country is anticipated to grow at a steady rate during the forecast period, thereby presenting lucrative investment opportunities for the market players.

Segment Overview:

By Technology:

  • Solar PV

Solar Photovoltaic (PV) technologies are vital components in solar power generation. A single solar PV device, also known as a solar cell, is a small device and typically produces about 1 or 2 watts of power. These cells are made of different semiconductor materials and are often of limited thickness.

  • Concentrated Solar Power (CSP)

Concentrated solar power (CSP) technologies use mirrors to concentrate the sun's (solar) energy to drive conventional steam turbines and engines to produce electricity. The thermal energy concentrated in a CSP plant can also be stored and used later to produce electricity when needed, day or night.

By Module Type:

  • Thin Film

Thin-film solar module cells are second-generation solar cells made by depositing thin layers or a thin film of photovoltaic material on substrates, such as glass, metal, or plastic.

  • Crystalline

Crystalline module type is one of the most commonly used solar cells in commercially available solar panels. These PV modules type is classified as the first generation of solar modules.

By Grid Connectivity

  • On-Grid

On-grid solar systems generate power by using a solar power system that is directly connected to the utility power grid. On-grid solar systems generate power only when the utility power grid is available and directly related to the utility feed. On-grid solar power systems send excess power generated to the utility grid when they are overproducing, and consumers can be benefitted.

  • Off-Grid

Off-grid solar systems, also known as stand-alone power systems, work independently of the power grid systems.  It consists of batteries that can store the solar power generated by the system. Off-grid solar systems require specialized off-grid inverters and battery systems large enough to store energy for two or more days.

By Application:

  • Residential

Solar panels are used in residential applications to power electrical appliances and equipment. The use of solar power systems helps homeowners in reducing their utility bills. The most commonly used solar technologies for residential homes are solar photovoltaics for electricity, passive solar design for space heating & cooling, and solar water heating.

  • Commercial

Solar panels are used in various commercial applications for the generation of electricity. Commercial buildings, offices, and other business organizations depend on electricity for most of their day-to-day activities. Most of the work in office buildings in the daytime is much higher, making them suitable to install solar panels and generate renewable electricity for most of their needs.

  • Industrial

Solar panels are used in various industries, such as food & beverage, healthcare, textile, oil & gas, and automobile, to serve multiple purposes such as lightning, heating, cooling, and run electrical appliances and devices. With the increasing adoption of solar technologies for industrial usage, developed countries can find a surge in the use of renewable power for their energy needs.

Regional Analysis:

  • North America

North America is a prominent region due to an increase in installing solar PV equipment and incentives and government policies to promote the use of solar PV systems.

  • Europe

Europe is a key region due to the growing demand for renewable energy sources and the increasing installation of solar power systems in residential and commercial sectors.

  • Asia-Pacific

The demand for solar panels in Asia-Pacific is expected to grow significantly due to the growing 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.

  • Middle East & Africa

Several countries in the Middle East & Africa do not have universal access to electricity, and stakeholders in the energy industry are focusing on adopting renewable energy sources to reduce carbon emissions in the region. Furthermore, to help the low-income group, many solar firms operating in the region have introduced financial systems to help consumers pay for the solar panels in installments.

  • South America

As per data from the World Bank, in 2018, about 92% of the South African population had access to electricity in the country. The country’s economy is growing steadily, and access to electricity is expected to grow during the forecast period.

Competitive Landscape:

The global solar panels market is characterized by the presence of many local, regional, and global vendors. The market is highly competitive, with all the players continually competing to gain a larger market share. High competition, rapid advances in technology, frequent changes in government policies, and stringent environmental regulations are some of the critical factors that could restrain the market growth. The vendors compete in terms of cost, product quality, reliability, and aftermarket services. Vendors must provide cost-effective and efficient products to survive and succeed in a competitive market environment.

The growth of the vendors is dependent on market conditions, government support, and industrial development. Thus, the vendors should focus on expanding their presence and improving their service. Trina Solar (China), Canadian Solar Inc. (Canada), Photonix Solar Private Limited (India), Jinko Solar Holdings Co Ltd (China), SunPower Corporation (US), Esolar Inc (US), and First Solar Inc (US) are some of the key players operating in the global market.

By Technology

  • Solar PV

  • Concentrated Solar Power

By Module type

  • Thin Film

  • Crystalline

By Grid Connectivity

  • On Grid

  • Off Grid

By Application

  • Residential

  • Commercial

  • Industrial

By Region

  • North America

  • Europe

  • Asia-Pacific

  • Middle East & Africa

  • South America

Report Scope:
Report Attribute/Metric Details
  Market Size   2030: Significant Value
  CAGR   2022-2030: Substantial CAGR
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2019 & 2020
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Technology, Module Type and Application
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   Trina Solar Limited (China), Canadian Solar Inc. (Canada), Jinko Solar Holding Co. Ltd. (China), JA Solar Holdings Co. Ltd. (China), Hanwha Q CELLS Co. Ltd. (South Korea), ABROS green GmbH (Germany), Yingli Solar (China), SunPower Corporation (U.S.A), Abengoa Solar (Spain), eSolar Inc. (U.S.A)
  Key Market Opportunities

  • As Power Source In Remote Areas
  • Solar Energy Storage
  •   Key Market Drivers

  • Growing Solar Systems Installations
  • Government Initiatives And Policies
  • Reduction In Carbon Emission

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    Frequently Asked Questions (FAQ) :

    The solar panels market can surge at 27.18% CAGR in the assessment period.

    The solar panels market poised to garner at a considerably high valuation by 2024.

    Jinko Solar Holding Co., Ltd. (China), Hanwha Q CELLS Co., Ltd., (South Korea), and JA Solar Holdings Co., Ltd. (China) are some renowned names of the solar panels market.

    The growing adoption of solar panels due to growing environmental concern is expected to prompt the global solar panel market expansion.

    APAC is the largest producer and supplier of solar panels. Thus, the APAC solar panels market is expected to surge.

    Solar panels are used for residential, utilities, and commercial purposes.

    Parabolic troughs, power towers, linear fresnel reflectors, and parabolic dishes are CSP technologies.