Global Solar Energy Market Insights Forecasts to 2033

• The Global Solar Energy Market Size was valued at USD 92.45 Billion in 2023.
• The Market is Growing at a CAGR of 11.95% from 2023 to 2033
• The Worldwide Solar Energy Market Size is Expected to Reach USD 285.89 Billion by 2033
• North America is expected to Grow the fastest during the forecast period

The Global Solar Energy Market Size is Expected to reach USD 285.89 Billion by 2033, at a CAGR of 11.95% during the forecast period 2023 to 2033.

Solar energy is energy produced by the sun's rays that may be gathered and turned into various forms of energy such as electricity and heat. This energy is a desirable substitute for conventional fossil fuels, which are limited and contribute to climate change. It is also abundant and renewable. Many methods can be used to capture solar energy. For example, photovoltaic cells use sunlight to produce electricity directly, while concentrated solar power systems use the sun's heat to produce electricity or hot water for a variety of uses. Utilizing solar energy has several advantages, such as lowering greenhouse gas emissions and lowering reliance on fossil fuels. It also helps create a more sustainable and clean energy future. Furthermore, a rise in the price of fossil fuels such as coal is expected to drive up the cost of generating electricity, which is predicted to lead to a rise in the use of alternative energy sources like solar energy. This means that rising fossil fuel prices will present lucrative opportunities for market expansion. In addition, the global demand for electricity is rising steadily as a result of urbanization, population expansion, and the electrification of numerous industries, including transportation. To satisfy this rising energy demand, solar energy provide a scalable and decentralized alternative, especially in areas with sparse or unstable grid infrastructure.

Driving Factors

The expansion of the worldwide solar energy industry is being driven primarily by an increase in energy consumption owing to population growth. In addition, there has been a global upsurge in demand for sustainable energy resources, and this need has been fueled by supportive government laws that have expanded the market. These rules assist in reducing environmental pollution and emphasize a decreased reliance on fossil fuels. Consequently, this increases consumer demand for sustainable energy sources like solar power. Furthermore, the market for solar energy is anticipated to rise due to the decrease in carbon emissions and the increased demand for inexpensive energy production.

Restraining Factors        

The high cost of installation, storage, and power conversion equipment, as well as the low efficiency of solar modules, are projected to hamper the market's growth.

Market Segmentation

By Technology Insights

The photovoltaic systems segment dominates the market with the largest revenue share over the forecast period.

On the basis of technology, the global solar energy market is segmented into concentrated solar power systems and photovoltaic systems. Among these, the photovoltaic systems segment is dominating the market with the largest revenue share over the forecast period. The demand for solar-powered EV charging infrastructure is being driven by the electric vehicle sector's explosive growth, which is positively affecting the solar energy market. Additionally, falling costs and government incentives have led to a notable increase in the global market for PV systems in recent years. Furthermore, the need for solar power is predicted to increase as governments throughout the world emphasize renewable energy sources more and more, opening doors for industrial innovation and expansion.

By Solar Module Insights

The polycrystalline segment is witnessing significant CAGR growth over the forecast period.

On the basis of solar model, the global solar energy market is segmented into monocrystalline, polycrystalline, cadmium telluride, amorphous silicon cells, and others. Among these, the polycrystalline segment is witnessing significant growth over the forecast period. In the electrical sector, polycrystalline technology is often used to produce calculators and smartwatches. Consumers' disposable income has increased, as has their level of living, driving up demand for gadgets and smart devices, which is predicted to drive up demand for polycrystalline solar cell technology.

By End User Insights

The residential segment is expected to hold the largest share of the global solar energy market during the forecast period.

Based on the end user, the global solar energy market is classified into residential, commercial, and industrial. Among these, the residential segment is expected to hold the largest share of the solar energy market during the forecast period. Due to rising energy demand, household solar energy usage is increasing. The number of residential construction projects is growing in simultaneously with public knowledge of the benefits of utilizing renewable and efficient energy sources for residential purposes. As a result, such factors are likely to drive the expansion of the residential segment.

Regional Insights

Asia Pacific dominates the market with the largest market share over the forecast period.

Asia Pacific is dominating the market with the largest market share over the forecast period. China provides the majority of the demand. The region is a major producer and consumer of solar energy worldwide. The region is heavily reliant on conventional resources and is working to increase its reliance on renewable sources. Solar energy installation is developing as a result of the fast-increasing energy demand from many sectors. A promising forecast for clean energy deployment, as well as an appealing regulatory framework, are driving regional growth.

North America is expected to grow the fastest during the forecast period. Expanding energy demand from many industries, bright forecasting for clean energy installations, and an encouraging legislative framework are essential factors driving regional expansion. The government is making continuous efforts to develop and expand the energy industry. During the forecast period, this factor has a direct impact on the growth and development of the global solar power market.

List of Key Market Players

• Enphase Energy, Inc.
• Canadian Solar
• JinkoSolar Holding Co., Ltd.
• First Solar, Inc
• Yingli Green Energy Holding Company Limited
• JA Solar Holdings Co. Ltd.
• Amazon
• Trina solar
• Hanwha Q Cells Co., Ltd
• Urja Global Limited
• SunPower Corporation
• SolarEdge Technologies
• Others

Key Market Developments

• On December 2023, Amazon has announced its first renewable energy project, which will be developed on brownfield sites, or land that has been abandoned owing to industrial pollution. Amazon Solar Farm Maryland-CPV Backbone is being built on the site of Garrett County, Maryland's recently closed Arch Coal Mine. More than 45 acres of coal debris contaminated the 120-year-old mining site, which has since been restored.

• On July 2023, Brenmiller Energy Ltd. a clean energy company that provides Thermal Energy Storage systems to global industrial and utility markets, announced the signing of a Memorandum of Understanding with Waaree Energies Ltd., India’s largest manufacturer of solar panels. Brenmiller's entry into the Indian market complements the Company's growing global presence, which includes Israel, Europe, and the United States.

• On March 2022, the new Power 430R-PL (430-watt) solar panel from Solaria will soon be available. The panel will be designed to make use of next-generation Module-Level Power Electronics (MLPE). These devices can be integrated into a solar PV system to boost performance under specific conditions, like as shading. Micro-inverters and Direct Current (DC) power optimizers are MLPE devices that are designed to improve the energy production of a solar power system.

Market Segment

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

Solar Energy Market, Technology Analysis

• Concentrated Solar Power Systems
• Photovoltaic Systems

Solar Energy Market, Solar Module Analysis

• Monocrystalline
• Polycrystalline
• Cadmium Telluride
• Amorphous Silicon Cells
• Others

Solar Energy Market, End User Analysis

• Residential
• Commercial
• Industrial

Solar Energy Market, Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of Middle East & Africa