Off-Grid Solar Power Systems Market size is set to grow by USD 4.01 billion from 2024-2028, High cost of grid expansion boost the market, Technavio

25.06.24 23:25 Uhr

NEW YORK, June 25, 2024 /PRNewswire/ -- The global off-grid solar power systems market size is estimated to grow by USD 4.01 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of  12.93%  during the forecast period. High cost of grid expansion is driving market growth, with a trend towards growing pay-as-you-go (PAYG) model. However, high initial pv system cost  poses a challenge. Key market players include ABB Ltd., AKUO ENERGY SAS, Azuri Technologies Ltd., Canadian Solar Inc., EnerSys, ENGIE SA, Gem Energy Australia Pty Ltd., Greenlight Planet, Havells India Ltd., JinkoSolar Holding Co. Ltd., Kirloskar Group, M KOPA, OMC Power Pvt. Ltd., Oolu LLC, Powerhive Inc., Schneider Electric SE, SMA Solar Technology AG, SunPower Corp., Tata Sons Pvt. Ltd., and Vector Ltd..

Technavio has announced its latest market research report titled Global off-grid solar power systems market 2024-2028

Get a detailed analysis on regions, market segments, customer landscape, and companies- View the snapshot of this report

Off-Grid Solar Power Systems Market Scope

Report Coverage

Details

Base year

2023

Historic period

2018 - 2022

Forecast period

2024-2028

Growth momentum & CAGR

Accelerate at a CAGR of 12.93%

Market growth 2024-2028

USD 4013.3 million

Market structure

Fragmented

YoY growth 2022-2023 (%)

11.59

Regional analysis

APAC, Europe, Middle East and Africa, North America, and South America

Performing market contribution

APAC at 47%

Key countries

China, Kenya, India, US, and Indonesia

Key companies profiled

ABB Ltd., AKUO ENERGY SAS, Azuri Technologies Ltd., Canadian Solar Inc., EnerSys, ENGIE SA, Gem Energy Australia Pty Ltd., Greenlight Planet, Havells India Ltd., JinkoSolar Holding Co. Ltd., Kirloskar Group, M KOPA, OMC Power Pvt. Ltd., Oolu LLC, Powerhive Inc., Schneider Electric SE, SMA Solar Technology AG, SunPower Corp., Tata Sons Pvt. Ltd., and Vector Ltd.

Market Driver

The off-grid solar power systems market has gained significant traction due to the global focus on enhancing energy access, particularly in developing countries. Renewable technologies like solar PV and energy storage have become more affordable, driving market growth. However, high upfront costs remain a barrier for many households. Enter the PAYG business model, which allows customers to pay in installments for solar systems via mobile phones. This model's simplicity and the attractiveness of the off-grid market have led to increased private sector investments. The widespread use of mobile phones further boosts the PAYG business model, ensuring continued market expansion. 

Off-Grid Solar Power Systems have gained significant traction in the energy market due to their ability to provide electricity in remote areas. The market is witnessing an increase in adoption, particularly in developing countries. Solar panels and batteries are the key components of these systems. In 2020, the market size was substantial, and it is projected to grow further. The use of renewable energy sources, such as solar, is a global trend. Solar power systems offer independence from the grid and reduce reliance on fossil fuels. They are also cost-effective in the long run. The market includes various players offering different solutions, such as solar panels, batteries, and installation services. The market is expected to continue growing due to increasing awareness and government initiatives promoting renewable energy. 

Research report provides comprehensive data on impact of trend. For more details- Download a Sample Report

Market Challenges

  • Off-Grid Solar Power Systems market involves integrating solar panels with batteries and advanced equipment for continuous power supply. Solar-Diesel hybrids are popular, reducing diesel generator runtime and fuel costs. However, high initial investment and skilled labor requirements increase costs. Careful planning is essential to meet power needs without oversizing systems. Economical operation is offset by high repair and upgrade costs. Despite these challenges, the market continues to grow due to the environmental benefits and energy independence offered by off-grid solar solutions.
  • Off-Grid Solar Power Systems Market: Overcoming Challenges in Implementation The Off-Grid Solar Power Systems Market faces several challenges in its implementation. One major challenge is the high upfront cost of installing these systems in remote areas. Another challenge is the intermittency of solar power, which requires energy storage solutions to ensure a consistent power supply. Additionally, the lack of a well-established distribution network and the limited technical expertise in some regions pose significant challenges. The need for regular maintenance and the availability of spare parts are also critical factors that must be addressed. Moreover, the regulatory framework and policy support for off-grid solar power systems vary widely across regions, making it essential to navigate complex regulatory environments. Lastly, the integration of off-grid solar power systems with the existing grid infrastructure can be technically challenging and requires significant investment. Despite these challenges, the Off-Grid Solar Power Systems Market offers significant potential for providing reliable and sustainable power to remote communities and off-grid businesses. The ongoing technological advancements and the increasing focus on renewable energy solutions are expected to drive market growth.

For more insights on driver and challenges - Request a sample report!

Segment Overview 

This off-grid solar power systems market report extensively covers market segmentation by  

  • Type 
    • 1.1 AC
    • 1.2 DC
  • Application 
    • 2.1 Non-residential
    • 2.2 Residential
  • Geography 
    • 3.1 APAC
    • 3.2 Europe
    • 3.3 Middle East and Africa
    • 3.4 North America
    • 3.5 South America

    1.1 AC-  Off-Grid Solar Power Systems market refers to the sale and installation of solar energy systems that operate independently from the main power grid. These systems provide electricity to remote areas or during power outages. The market's growth is driven by increasing energy demand in off-grid locations, government initiatives, and technological advancements. Companies in this sector offer various solutions, including solar panels, batteries, and inverters. The market's size is expected to expand due to its cost-effectiveness and environmental benefits.

    For more information on market segmentation with geographical analysis including forecast (2024-2028) and historic data (2017-2021) - Download a Sample Report

    Research Analysis

    The Off-Grid Solar Power Systems Market represents a significant shift towards energy access through renewable sources, bypassing the traditional electrical grid. These systems utilize solar panels to convert sunlight into Direct Current (DC) energy, which can be stored in energy storage systems and later converted to Alternating Current (AC) for use with environmentally friendly appliances. Monetary incentives, such as tax breaks and subsidies, have played a crucial role in the widespread adoption of off-grid solar power systems as a cost-effective and environmentally friendly alternative to fossil fuels. Technological advancements have led to decreasing costs, making purchasing, installing, and transporting equipment more affordable. Supportive policies and initiatives continue to drive the market forward, with upfront costs being a key consideration for potential buyers. Integral infrastructure modifications are necessary for the successful implementation of off-grid solar power systems.

    Market Research Overview

    Off-Grid Solar Power Systems refer to autonomous solar power solutions that generate, store, and distribute electricity without relying on the main power grid. These systems are particularly useful in remote areas or during power outages. The Off-Grid Solar Power Systems Market is experiencing significant growth due to increasing energy demand in off-grid locations, advancements in solar technology, and government initiatives to promote renewable energy. The market comprises various components such as solar panels, batteries, charge controllers, and inverters. The Off-Grid Solar Power Systems Market also includes different applications like telecommunications, residential, and commercial. The market is expected to continue its expansion due to the rising need for reliable and sustainable power sources.

    Table of Contents:

    1 Executive Summary
    2 Market Landscape
    3 Market Sizing
    4 Historic Market Size
    5 Five Forces Analysis
    6 Market Segmentation

    • Type
      • AC
      • DC
    • Application
      • Non-residential
      • Residential
    • Geography
      • APAC
      • Europe
      • Middle East And Africa
      • North America
      • South America

    7 Customer Landscape
    8 Geographic Landscape
    9 Drivers, Challenges, and Trends
    10 Company Landscape
    11 Company Analysis
    12 Appendix

    About Technavio

    Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

    With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

    Contacts

    Technavio Research
    Jesse Maida
    Media & Marketing Executive
    US: +1 844 364 1100
    UK: +44 203 893 3200
    Email: media@technavio.com
    Website: www.technavio.com/

    Global off-grid solar power systems market 2024-2028

    Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/off-grid-solar-power-systems-market-size-is-set-to-grow-by-usd-4-01-billion-from-2024-2028--high-cost-of-grid-expansion-boost-the-market-technavio-302181346.html

    SOURCE Technavio