Grid Connected PV Systems Market

• The benefits associated with grid-connected PV systems drive market growth.

Solar PV generated during the day and stored in energy storage devices can be used at night or during emergencies like blackouts.  This lessens the strain on electricity plants. Furthermore, it is a cost-effective and environmentally friendly technique of boosting electricity producing capacity to meet increased demand. Such benefits make grid-connected solar PV systems more appealing and will enhance demand during the predicted period.

 For instance, in November 2019, Tata Power announced its intention to build 10,000 renewable microgrids by 2026, substantially doubling the number of microgrid projects now in operation around the world. During the projection period, these microgrid projects will boost the use of solar PV, which provides clean, reliable, and affordable electricity. Thus, driving the Grid Connected PV Systems Market revenue.

The Global Grid Connected PV Systems Market Industry is projected to experience substantial growth, with forecasts indicating a market value of 65.9 USD Billion in 2024 and an impressive 252.7 USD Billion by 2035. This growth trajectory suggests a compound annual growth rate of 13.0% from 2025 to 2035, reflecting the increasing adoption of solar technologies across various sectors. The expansion of grid-connected PV systems is expected to be driven by technological advancements, supportive government policies, and rising energy demands. As the market evolves, stakeholders are likely to explore new opportunities for innovation and investment.

The Global Grid Connected PV Systems Market Industry is significantly influenced by international climate change initiatives aimed at reducing greenhouse gas emissions. Agreements such as the Paris Accord have set ambitious targets for countries to transition to renewable energy sources. This global commitment to combat climate change is driving investments in solar energy infrastructure, as nations seek to meet their carbon reduction goals. The increasing focus on sustainability and environmental responsibility is likely to propel the market forward, as more stakeholders recognize the importance of integrating solar PV systems into their energy portfolios.

Government policies and incentives play a crucial role in shaping the Global Grid Connected PV Systems Market Industry. Many countries are introducing favorable regulations, tax credits, and subsidies to encourage the adoption of solar energy. For example, feed-in tariffs and net metering policies have proven effective in promoting residential and commercial solar installations. These supportive measures are expected to drive market growth, as evidenced by the anticipated compound annual growth rate of 13.0% from 2025 to 2035. By creating a conducive environment for investment in solar technologies, governments are fostering a robust market landscape for grid-connected PV systems.

The Global Grid Connected PV Systems Market Industry is experiencing a surge in demand for renewable energy sources, driven by a global shift towards sustainability. Governments worldwide are implementing policies and incentives to promote solar energy adoption, which is reflected in the projected market value of 65.9 USD Billion in 2024. This increasing demand is further supported by public awareness of climate change and the need for cleaner energy solutions. As countries strive to meet their renewable energy targets, the grid-connected PV systems are becoming a pivotal component in achieving these goals, thereby enhancing the overall market growth.

Technological innovations in solar photovoltaic systems are significantly influencing the Global Grid Connected PV Systems Market Industry. Advances in solar panel efficiency, energy storage solutions, and smart grid technologies are enhancing the performance and reliability of PV systems. For instance, the development of bifacial solar panels and improved inverter technologies has led to higher energy yields and reduced costs. These advancements not only make solar energy more accessible but also contribute to the projected market growth, with an expected value of 252.7 USD Billion by 2035. As technology continues to evolve, the market is likely to witness further enhancements in system efficiency and integration.

The rising costs of conventional energy sources are prompting consumers and businesses to seek alternatives, thereby driving the Global Grid Connected PV Systems Market Industry. As electricity prices continue to escalate, solar energy presents a viable solution for reducing energy bills and achieving energy independence. This trend is particularly evident in regions where energy prices are significantly high, leading to increased investments in solar PV systems. The market's growth trajectory is further supported by the increasing awareness of energy security and the desire to mitigate reliance on fossil fuels. Consequently, the demand for grid-connected PV systems is expected to rise.

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The Asia Pacific Grid Connected PV Systems Market area will dominate this market, owing to an increased investment in solar projects and demand for solar energy sources in the region. The increasing number of solar PV installations in China and India illustrates the market's enormous potential. Asia has the greatest PV capacity on the planet, with 330.1 GW of cumulative installed PV capacity.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Grid Connected Pv Systems Market Share By Region 2022 (USD Billion)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe Grid Connected PV Systems Market accounts for the second-largest market share because of energy-saving programmes and the elimination of charges in business power rates. Further, the German Grid Connected PV Systems Market held the largest market share, and the UK Grid Connected PV Systems Market was the fastest growing market in the European region

The North America Grid Connected PV Systems Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to rising energy-saving programmes and the abolition of levies in commercial electricity bills in the region. Moreover, US Grid Connected PV Systems Market held the largest market share, and the Canada Grid Connected PV Systems Market was the fastest growing market in the region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Grid Connected PV Systems Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Grid Connected PV Systemsindustry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Grid Connected PV Systems industry to benefit clients and increase the market sector. In recent years, the Grid Connected PV Systems industry has offered some of the most significant advantages to medicine. Major players in the Grid Connected PV Systems Market, including ), KYOCERA Corporation (Japan), Canadian Solar Inc (Canada), Huawei Technologies (China), JinkoSolar Holding Co. Ltd (China) and others, are attempting to increase market demand by investing in research and development operations.

Azure Power Limited, located in New Delhi, India, is an independent power producer, developer, and operator of utility and commercial scale solar PV power facilities. Inderpreet Wadhwa launched the company in 2008. In India, the corporation offers electricity to government utilities as well as independent industrial and commercial customers. 

Azure Power built India's first utility-scale solar facility at Awan, Punjab, in 2009. Azure Power's overall capacity exceeds 7 GW. In September, 2022, An deal was reached between First Solar and Azure Power Limited. First Solar stated that it will supply Azure Power Limited with 600 megawatts DC of its sophisticated and high-performance thin film P solar modules.

Canadian Solar Inc. is a publicly traded firm that manufactures and operates large-scale solar plants. Shawn Qu founded Canadian Sola in 2001 in Guelph, Ontario, Canada. The company now has subsidiaries in over 24 countries across six continents. They manufacture solar PV modules, assist with solar energy installation, and are involved in a variety of utility-scale power projects. 

With the acquisition of Recurrent Energy, Canadian Solar's total project pipeline increased to 20.4 GW, with the late-stage project pipeline increasing to 2.4 GW. In August 2020, Canadian Solar announced the start of construction on one of Malaysia's largest commercial and industrial ("C&") rooftop solar projects, in collaboration with Antah Solar Sdn. Bhd. and EleapsSdn. Bhd. The 5 MW project, located in Penang, Malaysia, will cover an area of about 26,000 m2.