The world is experiencing a severe scarcity of land space owing to rapid industrialization and urbanization. Floating solar panels market is expected to rise significantly subject to this very factor – the non-availability of land for installing PV systems. The governments of various countries have been focusing on maintaining a clean, green environment by encouraging the adoption of renewable energy resources, which will further leverage the floating solar panels industry expansion. Taking a step towards the extension of its current renewable energy generating capacity, India, in March 2017, has installed its biggest floating solar power plant in Kerala, which is forecast to produce nearly 100 KWP power. This solar power generating plant will help to overcome the acute shortage of power supply. The installation of such huge floating solar power systems can be credited to the large presence of water reservoirs in the country. As per Global Market Insights, Inc., “Floating solar panels industry size, estimated at 60 MW in 2015, is anticipated to surpass 2.5 GW by 2024.”
Floating solar panels are the best alternative to land intensive PV systems owing to their water conservation ability, high power generation capacity, and requirement of less time for deployment as compared to land intensive solar panel systems. This, in turn, will positively impact the business landscape. Strict legislations pertaining to release of carbon impurities in the environment will contribute significantly towards floating solar panels market development. In 2016, Chinese government had introduced a scheme to reduce carbon emission in the atmosphere to 18% by 2020.
Global Floating Solar Panels Market, By Capacity, 2013 - 2024 (MW)
Based on the product trends, floating solar panels industry is segmented into tracking and stationary products. Tracking floating solar panels market size, estimated at USD 4 million in 2015, is anticipated to grow considerably over the next few years. High investments by component developers with a view to reduce the overall costs will stimulate the revenue. Favorable product features such as longevity and proficiency will further drive the business space. Stationary floating solar panels market, which contributed more than 90% of the overall industry demand in 2015, is slated to witness an elevated growth in the years ahead. The product’s cost-effectiveness along with its high demand across developing regions will lead to an elevated business growth graph.
Floating solar panels are connected through on grid systems and off grid systems. On grid floating solar panels industry is expected to grow at an annual rate of more than 45% during the period of 2016 to 2024. Various financial benefits such as tax concessions and feed -in- tariffs offered by the government will help in enlarging the industry size. Off grid floating solar panels market is expected to observe a notable development subject to the growing popularity of decentralized power generating systems in the emerging countries.
Taking into consideration the regional trends, U.S. floating solar panels industry is expected to hit USD 250 million by 2024, driven by beneficial government policies promoting large-scale installations of green technologies.
Floating solar panels market in China is forecast to register significant gains of 30% over the coming timeframe, owing to the considerable reduction in the price of solar panels. To further boost the business, the Chinese government has raised funds for developing large PV systems.
Japan floating solar panels industry, which collected a revenue of USD 14 million in 2015, is expected to experience a noticeable surge over the next few years. Low availability of natural resources and lack of land space for solar panel installation are a couple of factors that will propel the regional demand. In 2016, Mitsubishi Research Institute, Kyocera Corporation, and Tokyo Century Corporation collaborated to build a 14.5 MW solar power plant in Japan. This plant is expected to generate nearly 16,060 MW of power per year, fulfilling the energy requirements of nearly 4,930 homes in the country.
Floating solar panels market in the UK is forecast to observe a robust development by 2024, driven by implementation of strict rules restricting greenhouse gas emissions in the atmosphere. In 2016, the nation constructed Europe’s biggest PV power plant with a total power generation capacity of more than 6 MW.
Brazil floating solar panels industry is predicted to generate more than 100 MW of electricity by 2024, owing to high government spending on large PV systems installations. In 2016, Brazil launched the initial phase of its 10MW floating solar panel farm.
Firms are trying to develop cost-effective PV systems through heavy investments in R&D activities. The relatively low-key presence of major companies is expected to provide numerous opportunities for the regional players to exploit untapped floating solar panels market potential and accrue maximum return on sales.
SPI Energy Company Limited, Ciel & Terre, Solaris Synergy, Pristine Sun LLC, Novaton Erneuerbare Energien AG, Sunengy Private Limited, Yingli Solar, and Vikram Solar Private Limited are the key participants of floating solar panels industry.