The solar PV inverter market size is projected to reach US$ 8,673.56 million by 2030 from US$ 17,041.24 million in 2022. The market is expected to register a CAGR of 7.8% in 2022–2030. Rapid investment in the solar energy sector, technological advancements or development of solar inverters, and the rise in installation of utility-based solar plants are among the key factors driving the solar PV inverter market.
The solar PV inverter market is projected to experience considerable growth during the analyzed timeframe owing to the rising number of solar energy projects as well as the discovery of advanced solar PV inverter solutions. In addition, smart solar PV inverters are a technologically advanced type of power electronics which can make autonomous decisions to keep the power grid stable and reliable. Smart solar inverters work while ensuring uninterrupted electricity flow without voltage fluctuations. Advanced features including voltage and frequency sensors allows smart solar inverters to detect grid abnormalities and send feedback to utility operators. Moreover, smart solar inverters ensure two-way communication with power utility control centers, thereby enhancing their efficiency across residential and commercial applications which in turn is expected to drive the market growth in the coming years.
Solar installations across the globe attributed to government-led incentives and schemes, along with growing residential solar rooftop installations, positively influence the solar PV inverters market growth. Further, the increasing investments in the renewable energy sector to reduce fossil fuel consumption to lower carbon emissions, coupled with technological innovations in solar inverters, are among the factors driving the market growth. However, the risks associated with high DC voltages in solar inverters are restraining the market growth. Governments worldwide are launching various schemes to encourage the use of solar power as a primary energy source. Installing solar rooftop systems helps people produce electricity and utilize it for different applications, including residential, commercial, and even industrial.
The increasing pursuit of green electricity to achieve sustainability and energy security is the main factor driving the deployment of solar PV to meet the increasing demand and replace fossil fuel-based power generation sources. The growth is mainly due to increasing government initiatives and incentives, technological advancements, constant cost reductions, and electrification of rural areas. Residential solar roof systems are easy to install and require minimal maintenance. The excess power generated is sold to the grid through a net metering facility, helping to reduce electricity bills. Given the depletion of fossil fuel reserves, accelerating environmental degradation, and pressure on electricity generation infrastructure, several governments have provided subsidies or incentives to enhance the adoption of solar energy by providing residential solar solutions.
According to the International Energy Agency (IEA), the global power demand will increase by 8% in 2022. The upswing in investments in 2022 is a mixture of a cyclical response to recovery and a structural shift in capital flows toward cleaner technologies. Some of the recent investments are mentioned below:
Thus, the increasing investments in the renewable energy sector help create opportunities for solar (PV) inverter market players during the forecast period.
Key segments that contributed to the derivation of the solar PV inverter market analysis are product type, phase, connectivity, application, and capacity.
The geographic scope of the solar PV inverter market report is mainly divided into five regions: North America, Europe, Asia Pacific, Middle East and Africa, and South America.
Asia Pacific will dominate the solar PV inverter market in 2022. The Asia Pacific region includes Australia, China, India, South Korea, Japan, & the Rest of Asia Pacific. In Asia Pacific, the solar PV inverters market growth is owing to the significant developments in the renewable energy industry owing to increased government strategies and initiatives towards climate change and net-zero emission targets. The increasing investments in solar photovoltaic (PV) plants and the growth of solar power plant establishment in the residential sector across Asia Pacific countries such as China, India, Australia, and Japan are creating lucrative opportunities for the solar inverter market players. In China, most PV products, or solar panels, are installed in remote areas in huge solar farms that sell the energy produced to utilities. Satellite images show a rise in these large solar farms across China. The drastic increase in solar energy in the country is due to the country's electricity demand and severe air pollution crisis. The Government of China is aimed at encouraging financial institutions to incentivize solar installations.
The regional trends and factors influencing the Solar PV Inverter Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Solar PV Inverter Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2022 | US$ 17,041.24 Million |
| Market Size by 2030 | US$ 8,673.56 Million |
| Global CAGR (2022 - 2030) | 7.8% |
| Historical Data | 2020-2021 |
| Forecast period | 2022-2030 |
| Segments Covered |
By Product Type
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Solar PV Inverter Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Solar PV Inverter Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The solar PV inverter market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the market for solar PV inverter market and strategies:
The “Solar PV Inverter Market Size and Forecast (2020–2030)” report provides a detailed analysis of the market covering below areas: