Germany Solar Energy Market Size, Share, and COVID-19 Impact Analysis, By Type (Concentrated Solar Power and Solar Photovoltaic), By Application (Residential and Commercial/Industrial), and Germany Solar Energy Market Insights, Industry Trend, Forecasts to 2033

Germany Solar Energy Market Insights Forecasts to 2033 

• The Germany Solar Energy Market Size Was Estimated at 103.45 gigawatt in 2023.
• The Market is Growing at a CAGR of 17.39% from 2023 to 2033
• The Germany Solar Energy Market Size is Expected to Reach 514.31 gigawatt by 2033

The Germany Solar Energy Market is expected to reach 514.31 gigawatts by 2033, growing at a CAGR of 17.39% from 2023 to 2033

Market Overview

The Germany solar energy market is the industry that focuses on producing, distributing, and using solar energy in Germany. The industry's growth is anticipated to be aided by the growing demand for sustainable energy production options to replace conventional energy sources. Additionally, product demand is predicted to increase as a result of the demand for alternate power generation sources and a reduction in reliance on fossil fuels. In addition, the rising price of electricity from traditional sources has become a major factor propelling the solar energy sector in Germany. Furthermore, Germany is a global leader in solar energy consumption, and the government offers a variety of financial incentives and subsidies to assist businesses and homeowners in installing solar panels. The cost of installing solar panels may be partially offset by these subsidies, lowering their cost and increasing their accessibility.

Also, government initiatives aid market expansions such as the Renewable Energy Sources Act (EEG) in Germany ensures a fixed feed-in tariff for solar electricity, compensating producers for each kilowatt-hour generated. In addition, the Federal Ministry for Economic Affairs and Energy (BMWi) provides grants for solar energy projects in high-potential areas or innovative solar technologies.

Report Coverage

This research report categorizes the market for Germany solar energy market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Germany solar energy market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Germany solar energy market. 

Driving Factors

The Germany solar energy market is growing due to high investments in solar energy technology are likely to drive significant component price reductions in the upcoming years, making solar energy systems more affordable than currently operational coal or gas power plants. In addition, Germany's energy transition strategy has made solar energy a key component, and renewable energy sources currently account for a sizable portion of the country's power mix. Additionally, demand for residential solar installations is being driven by growing environmental and climate change awareness as households aim to lower their carbon impact.

Restraining Factors

The market for solar energy in Germany is hampered by issues including severe weather that reduces the effectiveness of solar panels, competition from other renewable energy sources like wind and hydro, and a shortage of land for large-scale installations in crowded locations. These elements may impede the country's solar energy projects' ability to expand and scale.

Market Segmentation

The Germany solar energy market share is classified into type and application.

• The solar photovoltaic segment accounted for the largest market share in 2023 and is expected to grow at a significant CAGR during the forecast period.

Based on the type, the Germany solar energy market is divided into concentrated solar power and solar photovoltaic. Among these, the solar photovoltaic segment accounted for the largest market share in 2023 and is expected to grow at a significant CAGR during the forecast period. The segment has grown hugely as a result of the decreasing price of solar technology, especially solar panels, which are becoming more and more attractive to businesses and consumers. In addition, this segment is propelled by supportive governmental regulations, growing energy costs, and ongoing developments in solar photovoltaic system equipment.

• The commercial/industrial segment accounted for the highest market share in 2023 and is expected to grow at a significant CAGR during the forecast period.

Based on the application, the Germany solar energy market is divided into residential and commercial/industrial. Among these, the commercial/industrial segment accounted for the highest market share in 2023 and is expected to grow at a significant CAGR during the forecast period. This segment is driven by several elements, including advantageous regulatory environments and financial incentives that promote the construction of solar PV systems. In addition, this is mostly because companies and industries are increasingly implementing large-scale solar power plants to lower energy costs and achieve environmental objectives.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Germany solar energy market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• IBC SOLAR AG
• Centrotherm International AG
• Hanwha Corporation
• Energie Baden-Wurttemberg AG
• SunPower Corporation
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Development

• In November 2024, German firms Indielux and EPP Solar unveiled the 6 kW "world's largest" plug-in photovoltaic system with power storage capabilities.

Market Segment

This study forecasts revenue at the Germany, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the Germany solar energy market based on the below-mentioned segments:

Germany Solar Energy Market, By Type

• Concentrated Solar Power
• Solar Photovoltaic

 Germany Solar Energy Market, By Application

• Residential

Commercial/Industrial