The United States Solar Energy Market Report is Segmented by Type (Solar Photovoltaic and Concentrated Solar Power), Mounting Type (Ground-Mounted, Rooftop, and Floating Solar), and End-Use (Utility-Scale, Commercial and Industrial, and Residential). The Market Sizes and Forecasts are Provided in Terms of Installed Capacity (GW).

The value of the United States' solar market increased from some 24.1 billion U.S. dollars in 2020 to more than 60 billion U.S. dollars in 2023. In just four years, the U.S. solar market value increased by more than double.

The Report Covers the US Renewable Energy Market Trends and Companies. The Market is Segmented Into Source (Wind, Solar, Hydropower, Bioenergy, and Other Sources [Geothermal and Renewable Municipal Waste]). The Market Size and Forecasts are Provided for Renewable Energy in Installed Capacity (GW) for all the Above Segments.

The annual share of solar electricity generation capacity over total power capacity in the United States reached 55 percent in 2023. This figure represents the highest share for solar power capacity recorded in the period of consideration.

In 2023, the capacity of utility-scale solar photovoltaic systems reached almost 125 gigawatts direct current in the United States. Meanwhile, residential solar systems accounted for over 36 gigawatts direct current.

United States Solar Energy Market is projected to grow at significant rate during the Forecast period, on account of increasing awareness among consumers, huge investments, and supportive government policies.

The United States solar energy market size was nearly 172.41 Gigawatt in 2024. The market is estimated to grow at a CAGR of 12.90% during 2025-2034, to reach around 580.10 Gigawatt by 2034.

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US Residential Solar Market Size 2025-2029

The US residential solar market size is forecast to increase by USD 10.93 billion at a CAGR of 12.3% between 2024 and 2029.

The Residential Solar Market in the US is experiencing significant growth, driven by increasing investments in renewable energy and the adoption of solar power as a cost-effective and sustainable energy solution. The integration of residential energy storage systems is a key trend, enabling solar panels to function as virtual power plants during peak energy usage hours. This not only reduces reliance on traditional power grids but also provides energy security and stability. However, the market faces challenges, including the availability of alternative technologies such as wind and geothermal energy, which may impact the competitiveness of solar power.
Additionally, the upfront costs of solar panel installation and maintenance can be a barrier for some homeowners. To navigate these challenges, companies can explore partnerships with energy providers, offer financing options, and focus on improving the efficiency and affordability of their solar panel systems. Moreover, the emergence of smart home technology and the integration of solar panels with other home systems, such as heating and cooling, can create new opportunities for innovation and growth in the market. Companies like Tesla, SunPower, and Sunrun are leading the charge, offering integrated solar and energy storage solutions to meet the evolving needs of homeowners.
By staying attuned to these trends and challenges, companies can effectively capitalize on the potential of the Residential Solar Market in the US and position themselves for long-term success.

What will be the size of the US Residential Solar Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The residential solar market in the US is experiencing significant growth, driven by the increasing importance of green energy in mitigating climate change. Solar system sizing and design have become crucial aspects of energy infrastructure, enabling energy independence and reducing carbon emissions. The integration of solar energy with electric vehicles and energy management systems is transforming the market. Energy conservation, energy efficiency, and smart grid technologies are essential components of this transition. Solar irradiance and resource assessment play a vital role in solar energy simulation and modeling, ensuring optimal system performance. Building energy efficiency and industrial energy efficiency improvements are complementary to solar system implementation.
Energy policy and grid modernization are shaping the market landscape, with a focus on energy economics and energy storage technologies. Solar panel cleaning and maintenance are essential for maximizing system productivity. Sustainable development and renewable energy are key trends, with solar system monitoring and energy audits providing valuable insights for businesses.

How is this market segmented?

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

Technology

  Crystalline silicon
  Thin-film


Location

  California
  Florida
  Arizona
  Rest of US


Type

  Rooftop solar systems
  Ground-mounted solar systems


Connectivity

  On-grid solar systems
  Off-grid solar systems


Geography

  North America

    US

By Technology Insights

The crystalline silicon segment is estimated to witness significant growth during the forecast period.

The residential solar market in the US is witnessing significant growth, driven by advancements in solar technology and increasing consumer demand for sustainable energy solutions. Solar energy systems, including solar panels made from crystalline silicon, are at the forefront of this trend. Crystalline silicon is the most widely used solar photovoltaic (PV) system in the US, with modules built using highly stable c-Si solar cells delivering efficiencies of around 20%. Two types of c-Si are used to manufacture PV modules: mono-crystalline silicon and multi-c-Si. Both types function similarly in the overall solar PV system, converting solar energy into electricity. Mono-crystalline panels are produced by molding silicon into bars and cutting it into wafers, while multi-c-Si solar panels are made by melting silicon fragments together.

Solar energy distribution is facilitated through grid-tied systems, enabling excess energy generated to be fed back into the grid. Solar maintenance is crucial for optimal system performance, with regular monitoring and solar panel cleaning essential. Solar energy research cont

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 Soloar Energy Market

Key Drivers of Soloar 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.

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.

Key Restraint of Soloar 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 power generation systems. Additionally, inadequate infrastructure further restricts investments in the market.

Trends in Soloar Energy Market

Rapid Adoption of Floating Solar (Floatovoltaics): With limited land availability and rising energy demand, floating solar farms are gaining traction—especially in countries like China, India, and Japan. These systems are installed on lakes, reservoirs, and irrigation ponds, reducing land use while benefiting from natural cooling that boosts efficiency. They also help diminish water evaporation and algae growth, offering both energy and environmental advantages. As deployment costs decline and performance improves, floating solar is emerging as a fast-growing segment of utility-scale solar energy.

Integration of Solar + Storage and Energy-as-a-Service Models: The solar sector is shifting toward integrated solutions that pair photovoltaic systems with battery storage and smart energy management services. This enables consumers and businesses to optimize energy use, store excess production, and gain grid independence. Energy-as-a-Service (EaaS) models—where solar-plus-storage setups are offered on a subscription basis—are becoming popular in commercial and industrial markets. These models reduce upfront costs and simplify system adoption, accelerating distributed s...

The global solar energy market is expected to reach 422 billion U.S. dollars in 2022, in comparison to 86 billion U.S. dollars in 2015. Solar energy is one of the most popular renewable energy sources and in recent years more capacity was deployed than traditional energy sources. The success related to the solar energy segment can be attributed to the declining cost of installing solar photovoltaic systems.

Regional solar markets

China and the United States were two of the largest solar markets in the world, driving a large portion of global solar demand. Europe, on the other hand, had experienced a declining solar market for over five years, but has seen growth recently due to Turkey’s expansion of solar capacity. These mature markets are expected to reduce their hold on the market as emerging markets in Latin America, the Middle East, and Africa grow. However, solar prices in emerging markets will be much higher than in developed markets as business situations can be less than ideal. In these cases, development financing institutions may help cover risks associated with financing solar projects.

The market report covers United States Distributed Solar Power Generation Companies. Distributed solar power generation is the generation of power from solar energy for personal use. The energy produced is not sent to a centralized grid rather is used directly in households, industries, and commercial centers.

Solar power companies have skyrocketed, propelled by improvements in the technologies used for electricity generation and government incentives, like the renewable portfolio standard (RPS) targets. RPS legislation requires local utility companies to diversify their portfolio and generate percentages of their energy production through renewable resources. Increases in public support for green energy led to tax incentives and grants to encourage investment in solar power. This has led to more companies powering facilities with solar power, driving growth. Revenue has swelled at a CAGR of 23.2% to $32.6 billion through the end of 2025, including a 34.1% uptick in 2025 alone. Government assistance from federal and state entities led to significant growth in solar power. The number of solar projects has skyrocketed, exemplifying a triumph for energy policy in solar power, which has historically struggled to compete with traditional power sources. Government programs like credits, grants and tax exemptions have allowed many companies to overcome the high entry costs of solar power and support solar energy development. The declines in the price of inputs over the past few decades have lowered operational costs, bolstering profit. Tax credits have also bolstered the number of solar panel manufacturers in the US, allowing the industry to face little setback after tariff waivers on foreign panels expired. Through 2030, many trends that have allowed the industry to succeed will continue. Government tax credits will remain active, allowing solar power companies to compete with other energy sources. The domestic solar panel manufacturing surge will enable companies to source panels much more quickly, letting solar power expand rapidly. Even so, the new Trump administration has been vocal in supporting fossil fuels and has stated it plans to expand oil and gas production, which may weaken solar power. Nonetheless, upgrades in technology will enable solar panels to become more efficient, bringing down the cost and allowing them to achieve grid parity in states where solar is price-competitive. Revenue will expand at a CAGR of 20.5% to $82.9 billion through 2030.

United States Solar Energy Solutions Market was valued at USD 30.4 billion in 2023 and is anticipated to project robust growth in the forecast period with a CAGR of 15.7% through 2029.

United States Renewable Energy Market Outlook 2031

The United States renewable energy market size was USD XX Billion in 2022 and is likely to reach USD XX Billion by 2031, expanding at a CAGR of 10.1% during the forecast period, 2023–2031. The growth of the market is attributed to government policies and initiatives to fulfil increased electricity demand using renewable energy sources have been praised.



In 2020, United States electricity generated through renewable energy sources (such as wind, hydropower, solar, biomass, and geothermal energy) a record 834 billion kilowatt-hours (kWh) accounting for around 21% of all electricity generated in the US.

In the United States in 2020, only natural gas (1,617 billion kWh) produced more power than renewables. For the first time in history, renewables outperformed nuclear (790 billion kWh) and coal (774 billion kWh). This result in 2020 was mostly owing to a major reduction in coal use in energy generation in the United States, as well as constantly increasing use of wind and solar.



In 2007, coal-fired electricity output in the United States reached a high of 2,016 billion kWh, although much of that capacity has since been replaced or converted to natural gas-fired power.



Until 2016 coal was the greatest source of electricity in the US, and by 2020 was the first year when renewables and nuclear power provided more electricity than coal (according to our data series that dates back to 1949). Because many nuclear power plants retired and other nuclear facilities suffered slightly more maintenance-related interruptions, nuclear electric generation dropped by Two percent from 2019 to 2020.



With a 42 % rise between 2010 and 2020, renewable energy is the rapidly growing energy source in the United States from 2000 to 2020, it increased by 90%.



In 2020, renewables accounted for about 20% of utility-scale energy generation in the United States, with hydropower <str

The report covers North America Renewable Energy Market Outlook and is segmented by type (Hydro, Solar, Wind, Bioenergy, and Others) and Geography (United States, Canada, and Rest of North America). The market size and forecasts are provided in installed capacity (Gigawatts) for all the above segments.

The North America Solar Photovoltaic (PV) Market is segmented by Application (Residential, Commercial, and Utility), Deployment (Ground Mounted and Rooftop Solar), Technology (Crystalline Solar and Thin Film), and Geography (United States, Canada, and Mexico). The report offers the market size and forecasts installed capacity (GW) for all the above segments.

United States Solar Energy Panel Market was valued at USD 18.5 billion in 2023 and is anticipated to project robust growth in the forecast period with a CAGR of 20.7% through 2029.

The U.S. solar power industry is experiencing robust growth, driven by increasing demand for renewable energy, supportive government policies like tax incentives and renewable portfolio standards, and decreasing solar panel costs. The market, segmented into Solar Photovoltaic (PV) and Concentrated Solar Power (CSP), shows significant potential for expansion. While precise market size figures for 2025 are not provided, considering a CAGR of 16.48% from an unspecified base year (let's assume 2019 for illustrative purposes) and a current market size in the billions, a reasonable estimate for the 2025 U.S. solar power market size could be in the range of $50-60 billion. This is supported by the numerous large companies involved, including established players like First Solar and NextEra Energy, alongside specialized installers like SOLV Energy and 8minute Solar Energy. Growth is further fueled by technological advancements leading to increased efficiency and reduced installation costs, making solar power a more competitive and attractive option for both residential and commercial consumers. The continued growth of the U.S. solar power market is projected through 2033, though challenges remain. These include land availability for large-scale solar farms, grid infrastructure limitations in accommodating intermittent renewable energy sources, and potential supply chain disruptions impacting the availability and cost of solar panels. However, ongoing innovation, improving energy storage solutions, and a growing emphasis on sustainable energy practices are likely to mitigate these constraints. The strong presence of major players like Mortenson and Hanwha, coupled with the emergence of smaller, specialized companies, indicates a dynamic and competitive landscape poised for sustained expansion. Focusing on specific regional variations within the U.S. and further segmenting the market by residential, commercial, and utility-scale projects will provide a more granular understanding of future growth trajectories. Recent developments include: April 2023: Atlas Renewable Energy and Albras signed a solar power purchase agreement (PPA). Atlas will deliver solar-generated power to Albras for the next 21 years under the contract terms. The 902 MW Vista Alegre Photovoltaic Project will supply solar energy. The factory in Minas Gerais in Southeastern Brazil will begin operations in 2025., April 2023: Masdar increased its foothold in the United States by acquiring a 50% stake in a combined solar and battery storage project from EDF Renewables North America. The Big Beau project in California comprises a 128MW solar facility plus a 40MW battery energy storage system. It is one of eight projects with a total capacity of 1.6 GW in which Masdar and EDF Renewables have agreed to collaborate., March 2023: Duke Energy Sustainable Solutions (DESS), a Duke Energy nonregulated commercial brand, is operating its largest solar power plant, a megawatt (MW) Pisgah Ridge Solar facility in Navarro County, Texas. Over the next 15 years, Charles River Laboratories International Inc. has a virtual power purchase agreement (VPPA) for 102 MW of the project.. Key drivers for this market are: 4., Declining Costs and Increasing Efficiencies of Solar PV Panels 4.; Supportive Government Policies Towards Solar. Potential restraints include: 4., Declining Costs and Increasing Efficiencies of Solar PV Panels 4.; Supportive Government Policies Towards Solar. Notable trends are: Solar Photovoltaic (PV) Expected to Dominate the Market.

The United States renewable energy market size is projected to grow at a CAGR of 10.10% between 2025 and 2034.

The value of the United States' solar market increased from some **** billion U.S. dollars in 2020 to more than ** billion U.S. dollars in 2024. Since 2022, the U.S. solar market value has increased by more than double.