MENA Solar Energy Market size was valued at USD 35,379 Million in 2022. The solar energy market industry is projected to grow USD 66,721.27 Million by 2032, exhibiting a compound annual growth rate (CAGR) of 6.60% during the forecast period (2023 - 2032). The surge in the requirement for sustainable energy resources is one of the major market drivers driving the solar energy market in MENA. Increasing awareness of renewable energy, favorable policies, technological advancements, and the commitment of regional players to transition towards sustainable and clean energy solutions drives market expansion.
Source: Secondary Research, MRFR Database, Primary Research, and Analyst Review
The MENA solar energy market CAGR is expanding due to abundant sunlight and increasing regional commitment to sustainable energy sources. Governments in the region, recognizing the economic and environmental benefits, have implemented supportive policies, including feed-in tariffs, tax incentives, and regulatory frameworks, fostering solar project development. As energy security and environmental concerns gain prominence, coupled with decreasing solar technology costs, the MENA region is witnessing a substantial shift towards solar power, driving innovation and investment in renewable energy infrastructure. Moreover, major players employ diverse strategies, such as large-scale project development, technology innovation, strategic partnerships, and government collaborations. Companies focus on enhancing project efficiency, implementing storage solutions, and participating in public-private initiatives to advance solar energy adoption and achieve sustainable growth in the MENA region.
Furthermore, the MENA region is experiencing rising investment in renewable energy projects, particularly solar power. This surge in investment reflects a strategic shift towards cleaner energy sources, driven by environmental concerns, energy security, and the economic benefits associated with harnessing the region's significant solar potential, driving the solar energy market revenue. For instance, in March 2022, as per the Ministry of Industry and Mineral Resources, Saudi Arabia launched a new plan to support green energy initiatives and reduce its reliance on crude oil.
The MENA solar energy market segmentation, based on technology, includes photovoltaic systems and concentrated solar power systems. The photovoltaic systems segment dominated the market due to the surge in the growth of the electric vehicle market, which is driving the market for solar-powered EV assessing infrastructure, which has a favorable influence on the solar energy market. However, concentrated solar power systems are the fastest-growing category in the market as they have experienced significant expansion in recent years, driven by declining costs and government incentives. Furthermore, governments around the region increasingly prioritize renewable energy sources, and the demand for solar power is expected to rise.
Figure 1: MENA Solar Energy Market, by Technology, 2022 & 2032 (USD Billion)
Source: Secondary Research, MRFR Database, Primary Research, and Analyst Review
The MENA solar energy market segmentation, based on solar modules, includes monocrystalline, polycrystalline, cadmium telluride, amorphous silicon cells, and others. The polycrystalline category generated the most income. Multi-Si technology is widely utilized in the electronic industry to manufacture calculators and smartwatches. However, amorphous silicon cells is the fastest-growing category owing to an increase in the disposable income of customers and a rise in the standard of living have boosted the market for electronics and smart devices, which in turn is projected to expand the need for multi-Si solar cell technology.
The MENA solar energy market segmentation, based on application, includes residential, commercial, and industrial. The industrial category generated the most income. Rapid industrialization across the region and an expansion in population have increased the demand for various commercial products. The increase in production has led to the demand for power, which led to a surge in the utilization of solar concentrators in the power generation sector. However, commercial is the fastest-growing category as a commercial investment, solar power offers businesses sustainable, cost-effective solutions, enhancing energy independence and environmental stewardship while providing long-term economic benefits.
The MENA solar energy market segmentation, based on end-use, includes electricity generation, lighting, heating, and charging. The electricity generation category generated the most income due to increased awareness regarding the impact of greenhouse gases on the environment, which led to the search for alternative power generation solutions that led to solar concentrators. However, lighting is the fastest-growing category owing to rising environmental consciousness and government incentives. Advancements in technology, declining costs, and increasing energy demand contribute to its growth.
The MENA solar energy market is burgeoning as governments in the region are implementing policies promoting renewable energy, coupled with abundant sunlight, driving increased investments in solar projects. Additionally, growing environmental awareness and a desire for energy diversification contribute to the region's growing solar sector. This expansion aligns with the region's efforts to transition towards sustainable energy solutions, fostering economic growth and reducing dependence on traditional fossil fuels in the MENA region. The government support, abundant sunlight, and a growing need for sustainable energy solutions. Solar power addresses environmental concerns and energy security as a pivotal force in the electricity industry. The region's commitment to diversifying its energy mix, technological advancements, and favorable regulatory frameworks accelerates the adoption of solar energy, positioning it as a key player in transforming the MENA electricity landscape.
Figure 2: MENA Solar Energy Market Share By Region 2022 (USD Billion)
Source: Secondary Research, MRFR Database, Primary Research, and Analyst Review
Leading market participants are investing heavily in research and development to extend their product portfolio, which will assist the solar energy market to grow even more. Market participants are also undertaking different strategic activities to extend their footprint, with significant market developments including recent product establishment, contractual agreements, mergers and acquisitions, more increased investments, and collaboration with other institutions. The solar energy industry must deliver cost-effective items to grow and stay in a more competitive and increasing market climate.
Major participants in the solar energy market are attempting to expand market demand by investing in research and development operations, including ACWA Power, Masdar (Abu Dhabi Future Energy Company), First Solar, JinkoSolar, SunPower, DEWA (Dubai Electricity and Water Authority), Saudi Aramco, Scatec Solar, ACWAPower and Engie.
January 2023: Oman Power and Water Procurement Company (OPWP) announced solar energy projects Manah 1 and 2 worth USD 777 million. The project is likely to procure 2 million solar PV panels. It will jointly produce a total of 1,000MW, which is set to come up by the end of 2025 on a 15 million sq m area within the Governorate of A'Dakhiliyah.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 35,379 Million |
| Market Size 2032 | USD 66,721.27 Million |
| Compound Annual Growth Rate (CAGR) | 6.60% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Million) |
| Report Coverage | Market Competitive Landscape, Growth Factors, Revenue Forecast, and Trends |
| Segments Covered | Technology, Solar Module, Application, End-Use and Region |
| Region Covered | MENA |
| Countries Covered | Jordan, Morocco, GCC, Egypt, Saudi Arabia, Abu Dhabi, Dubai, and the Rest of MENA |
| Key Companies Profiled | ACWA Power, Masdar (Abu Dhabi Future Energy Company), First Solar, JinkoSolar, SunPower, DEWA (Dubai Electricity and Water Authority), Saudi Aramco, Scatec Solar, ACWAPower and Engie |
| Key Market Opportunities | Supportive government policies to drive market expansion. |
| Key Market Dynamics | Increasing awareness of renewable energy, favorable policies, and technological advancement |
MENA Solar Energy Market Highlights:
Frequently Asked Questions (FAQ) :
The MENA solar energy market size was valued at USD 35,379 Million in 2022.
The solar energy market is projected to expand at a CAGR of 6.60% during the projected period, 2023-2032.
The key players in the market are ACWA Power, Masdar (Abu Dhabi Future Energy Company), First Solar, JinkoSolar, SunPower, DEWA (Dubai Electricity and Water Authority), Saudi Aramco, Scatec Solar, ACWAPower and Engie.
The polycrystalline category dominated the market in 2022.
The consumer electronics category had the largest share of the market.
The electricity generation category dominated the solar energy market in 2022.
The industrial category had the largest share of the solar energy market.
Analyst Explore the profile of garvit vyas, one of our esteemed authors at market research future, and access their expert research contributions in the field of market research and industry analysis
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
