The residential solar market in the United States continues to grow, with Sunrun leading the pack as the largest installer in 2023. Holding an 11 percent market share, Sunrun outpaced competitors like Freedom Forever and SunPower, while Tesla Energy secured the fifth position with a two percent share. In that same year, Tesla Energy generated a revenue of over six billion U.S. dollars, experiencing significant revenue growth from the last few years. Growth of U.S. home solar As of 2023, residential solar PV capacity in the U.S. surpassed 36 gigawatts, accounting for about 25 percent of total solar installations nationwide. California, Texas, and Florida lead in residential solar system installations, with California boasting approximately 11.7 gigawatts of home solar at the end of 2023. The market expansion is evident in the newly installed residential sector PV capacity, which reached 6.8 gigawatts in 2023, a 15 percent increase from the previous year. Market trends and future outlook The residential solar market shows promising growth potential. The number of solar-equipped homes in the U.S. reached 4.4 million in 2023, with projections indicating a substantial increase to 16.8 million by 2032, which equates to a penetration rate of roughly 18 percent of single-unit housing. Detached single-family homes dominate the residential solar market, accounting for 94 percent of home solar system installations in 2023.

The Report Covers the Residential Solar Energy Market Size & Share and is Segmented by Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa). The Report Offers the Market Size and Forecasts in Terms of Installed Capacity for all the Above Segments.

According to Cognitive Market Research, the global Solar Energy market size will be USD 95451.6 million in 2024. It will expand at a compound annual growth rate (CAGR) of 6.50% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 38180.6 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.7% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 28635.4 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 21953.8 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.5% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 4772.5 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.9% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 1909.0 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.2% from 2024 to 2031.
The Photovoltaic Systems Technology held the highest Solar Energy market revenue share in 2024.

Market Dynamics of Solar Energy Market

Key Drivers for Solar Energy Market

Increase in energy demand to Increase the Demand Globally

The growth of the global solar energy market is primarily driven by the increasing energy demand due to a surge in population. As the global population continues to rise, especially in developing countries, the energy demand grows proportionally. Urbanization is also accelerating, with more people moving to cities, leading to greater energy needs across residential, commercial, and industrial sectors. This rising energy demand is coupled with a growing emphasis on sustainable solutions due to environmental concerns. Solar energy, as a renewable and eco-friendly source, is well-suited to meet this demand without contributing to greenhouse gas emissions or depleting natural resources. Between 1990 and 2019, the world’s total energy supply (TES) increased by 68.2%, exceeding 600 EJ for the first time. This growth was largely driven by Asia, which accounted for 83.6% of the global increase during this period. China’s TES alone grew 4.5 times, making up over a fifth of the world’s TES by 2019. In 2022, solar PV generation saw a record increase of 270 TWh (up 26%), reaching nearly 1,300 TWh. https://unstats.un.org/unsd/energystats/pubs/documents/2022pb-web.pdf https://www.iea.org/energy-system/renewables/solar-pv

Countries Aiming to Achieve Green Energy Targets to Propel Market Growth

A global energy transition is urgently required to limit the increase in average global surface temperature to below 2°C. Consequently, the installation of renewable energy sources is expected to grow significantly in the coming years, driving market expansion. The shift from fossil fuels to low-carbon solutions will be crucial, as energy-related carbon dioxide emissions account for two-thirds of all greenhouse gases. Government initiatives and new energy targets aimed at promoting sustainable energy have positively influenced market growth. For example, Alberta has set a target for 30% of its electricity to be generated from renewable sources by 2030, with interim goals of 15% by 2022, 20% by 2025, and 26% by 2028. Canada’s current installed capacity includes 21.9 GW of wind energy, solar energy, and energy storage. In 2023, the industry added 2.3 GW of new capacity, including over 1.7 GW of new utility-scale wind, nearly 360 MW of new utility-scale solar, 86 MW of new on-site solar, and 140 MW / 190 MWh of energy storage. https://renewablesassociation.ca/by-the-numbers/ https://cleanenergycanada.org/wp-content/uploads/2023/01/RenewableCost_Report_CleaEnergyCanada_Feb2023.pdf

Restraint Factor for the Solar Energy Market

High Investment and Lack of Infrastructure to Limit the Sales

The overall cost of solar PV systems is higher than that of traditional solar panels, which may limit their adoption in residential buildings with comparatively lower energy needs. For instance, installing 15 ground-mounted solar panels with a capacity of 300 watts each would cost approximately USD 14,625, with an additional USD 500 per panel for the mounting structure. This higher initial cost can lead to reduced utilization of solar p...

The market share of solar crystalline silicon (advanced c-Si) cells is expected to account for 25.6 percent of the global market by 2030. C-Si is the oldest photovoltaic technology and is largely dominant in the solar market. Amorphous silicon (a-Si) has a significantly higher temperature resistance than crystalline-based solar panels and have better resistance against shading compared to other thin film cells. Different solar cells also have different efficiencies. Due to low efficiency ratios, a-Si products are no longer produced.

Solar panel components Each solar component, including the polysilicon, wafer, and cell, can vary in price. Costs for the type of PV installation – axis-based tracking or fixed tilt – also have different costs and advantages. Fixed tilt system which use the azimuth and tilt to determine orientation to the sun, were much more common than tracking systems in the United States due to lower costs. Azimuth is the compass direction that the panel faces, and the tilt is the angle from the ground. Tracking mechanisms allow the panel to follow the orientation of the sun. Recently, more tracking systems have been installed, as the increased revenue from additional electricity generated often exceeds the additional costs.

The Solar Panel Market Report is Segmented by Type (Crystal Silicon, Monocrystalline Silicon, Polycrystalline Silicon, Thin Film, and Other Types), End User (Residential, Commercial & Industrial, and Utility), and Geography (North America, Asia-Pacific, Europe, South America, and Middle East and Africa). The Report Offers the Market Size and Forecast for the Solar Panel Market in Revenue (USD) for all the Above Segments.

This statistic displays the market share of the solar power industry worldwide in 2018, broken down by region. As of 2018, China accounted for 43 percent of the world's solar market. This figures provides an estimate for global solar power on-grid installations.

Floating Solar Market size in terms of installed capacity is valued at around 5.9 GW in 2023. Along with this, the market is estimated to grow at a CAGR of around 34.2% during the forecast period 2024-30.

The global solar cell market size was valued at USD 136.03 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 466.31 Billion by 2033, exhibiting a CAGR of 13.20% during 2025-2033. Asia Pacific currently dominates the market, holding a significant market share of over 48.6% in 2024. The rising demand for increased efficiency and performance, growing concerns for environmental sustainability to reduce carbon emissions, and encouraging government initiatives in promoting renewable sources of energy are some of the major growth drivers for the market.

IMARC Group provides an analysis of the key trends in each segment of the global solar cell market, along with forecasts at the global, regional, and country levels from 2025-2033. The market has been categorized based on type and installation type.

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India Solar Power Market Size 2025-2029

The india solar power market size is forecast to increase by USD 754 billion billion at a CAGR of 42.4% between 2024 and 2029.

The market presents significant growth opportunities for global investors and businesses seeking to expand their renewable energy footprint. Key drivers include increasing investments in renewable energy, with the Indian government committing to achieving 175 GW of renewable energy capacity by 2022. Additionally, the declining costs of solar energy, driven by technological advancements and economies of scale, make India an attractive market for solar power adoption. However, the market faces challenges, such as the availability of other energy sources and the intermittency of solar power, necessitating the need for energy storage solutions and grid integration. Companies looking to capitalize on these opportunities should focus on collaborating with local partners, investing in research and development, and offering comprehensive energy solutions to navigate these challenges effectively. India's strategic location, large population, and growing energy demand make it an essential market for solar power players seeking to expand their global footprint.

What will be the size of the India Solar Power Market during the forecast period?

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The market has experienced significant growth in recent years, driven by the country's ambitious renewable energy targets and favorable government policies. As of now, India's solar photovoltaic (PV) installed capacity exceeds 40 gigawatts (GW), making it one of the world's largest solar markets. This figure is expected to continue growing, with plans to reach 100 GW of solar power capacity by 2022. Solar power is increasingly seen as a greener way to generate electricity, providing an alternative to traditional fossil fuel-based sources and contributing to reduced carbon emissions. Solar systems, including solar panels and permits, have become more accessible and affordable, thanks in part to tax breaks and advancements in solar PV technology. India's solar sector is also exploring the integration of artificial intelligence and other innovations to optimize energy production and efficiency. Solar power and wind power are becoming increasingly competitive with traditional energy sources, offering attractive investment opportunities for businesses and individuals alike.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. ApplicationGrid-connectedOff-gridEnd-userUtilityRooftopGeographyIndia

By Application Insights

The grid-connected segment is estimated to witness significant growth during the forecast period.

The Indian solar power market is experiencing significant growth, driven by the depletion of fossil fuels and government initiatives such as the National Solar Mission. Solar energy, derived from solar photovoltaic (PV) systems, is becoming a greener way to meet electricity demands. Grid-connected solar PV systems, which supply solar energy directly to building loads, are expected to witness substantial growth. However, the scarcity of land for dedicated solar cell installations poses a challenge. Despite this, declining solar energy prices and favorable regulations are propelling market expansion. Additionally, the integration of wind power through wind-solar hybrid policies is expanding the renewable energy ecosystem. Foreign investment in solar power technology, including solar panels and solar modules, is also increasing. The market encompasses solar systems, electrolyzers for green hydrogen production, and fuel cells. The Indian solar power market is poised to reach new heights, with an installed capacity of several gigawatts (GW) in the forecast period.

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The Grid-connected segment was valued at USD 44.10 billion in 2019 and showed a gradual increase during the forecast period.

Market Dynamics

Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers leading to the rise in adoption of India Solar Power Market?

Increasing investments in renewable energy is the key driver of the market. The renewable energy sector in India has gained significant traction, with solar power being a key focus. As of October 2024, India's renewable energy capacity reached 201.45 GW, representing 46.3% of the country's total installed electricity generation capacity. Despite the higher cost of producing electricity from ren

The global bifacial solar market is expected to rise USD 22.97 Billion by 2032 And anticipated to grow at a CAGR of 14.1%.

Global Home Solar System Market Share size & share value expected to touch USD 64.80 billion by 2032, to grow at a CAGR of 17.4% during the forecast period.

Analyze the market segmentation of the Space-Based Solar Power industry. Gain insights into market share distribution with a detailed breakdown of key segments and their growth.

The report covers China PV Solar Manufacturers and it is Segmented by Type (Solar Photovoltaic (PV) and Concentrated Solar Power (CSP)). The installed capacity and forecast capacity in gigawatts (GW) for all the above segments.

The Report Covers the German Solar Energy Market Size and Share. The Market is Segmented by Type (Solar Photovoltaic and Concentrated Solar Power) and Application (Utility, Commercial/Industrial, and Residential). The Report Offers the Market Size and Forecasts for Solar Energy in Terms of Installed Capacity (GW) for all the Segments.

The global concentrated solar power market size reached USD 6.9 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 15.4 Billion by 2033, exhibiting a growth rate (CAGR) of 8.87% during 2025-2033. Growing emphasis on clean and renewable energy sources, supportive government incentives and policies, technological advancements improving efficiency, sudden shift towards cleaner and more sustainable energy sources, escalating demand for electricity in emerging economies, and collaborative efforts among industry players are accelerating the market growth.

IMARC Group provides an analysis of the key trends in each segment of the global concentrated solar power market report, along with forecasts at the global, regional and country levels from 2025-2033. Our report has categorized the market based on technology and application.

The global bifacial solar market in terms of revenue is expected to reach valued at USD 22.97 billion by 2032, growing at a CAGR of 14.1% from 2032.

Get detailed insights into the current valuation of Solar Panel market size, including growth analysis, current market status and future market projections.

The global residential solar PV panel market is experiencing robust growth, driven by increasing electricity prices, government incentives promoting renewable energy adoption, and rising environmental concerns. The market, currently valued at approximately $50 billion in 2025 (this is an estimation based on common market size ranges for similar sectors and the provided CAGR), is projected to exhibit a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033. This significant expansion is fueled by several key factors, including technological advancements leading to improved panel efficiency and reduced costs, coupled with increasing consumer awareness of the environmental and economic benefits of solar energy. The shift towards decentralized energy generation and energy independence is further bolstering market demand. Thin-film and crystalline silicon technologies dominate the market, catering to diverse residential needs and budget considerations. The on-grid segment holds a larger market share due to established infrastructure and grid connectivity advantages, although the off-grid segment is demonstrating substantial growth in remote areas and developing economies. Major players like JinkoSolar, Hanwha Q Cells, and Canadian Solar are actively shaping the market landscape through innovation and strategic expansion. The geographical distribution of the market reveals a significant concentration in North America, Europe, and Asia Pacific, driven by supportive government policies and a substantial existing housing stock. However, developing economies in regions like South America, the Middle East, and Africa are expected to witness faster growth rates due to rising energy demand and increased government investment in renewable energy infrastructure. While challenges such as high upfront installation costs and intermittent solar energy generation persist, ongoing technological improvements and financial incentives are mitigating these restraints, paving the way for sustained market expansion throughout the forecast period. The market is poised for further consolidation as leading companies invest in research and development and expand their global reach. Continued advancements in battery storage technology are also crucial for overcoming the intermittency challenge and facilitating wider adoption of residential solar PV systems. This comprehensive report provides an in-depth analysis of the global residential solar PV panel market, projecting a market value exceeding $20 billion by 2028. It delves into key market trends, regional dynamics, and competitive landscapes, offering valuable insights for investors, manufacturers, and industry stakeholders. The report leverages extensive primary and secondary research, incorporating data from leading industry players and reputable market research firms.

The Global Solar Energy Market Size Was Worth $90.4 Billion in 2022 and Is Expected To Reach $215.9 Billion by 2030, CAGR of 11.5%.

In 2021, LONGi Solar Technology Co Ltd accounted for nearly 22.1 percent of the market for solar PV crystalline modules worldwide. In comparison, First Solar Inc accounted for around 45 percent of the market global market for solar PV thin-film modules.