Solar photovoltaic (PV) power is expected to emerge as one of the fastest growing energy sources globally between 2017 and 2025, according to a report by GlobalData.
Titled ‘Solar Photovoltaic (PV) Market, Update 2017 – Global Market Size, Average Price, Module Market Share, and Key Country Analysis to 2025’, the report notes how solarpower has emerged as a reliable source of renewable energy, and has addressed the need for energy security, stability and independence.
Governments worldwide are turning to solarpower to meet growing demand for energy without exhausting existing resources and emitting greenhouse gases.
Increase in global energy demand, decrease in system costs, government support and environmental concerns are the main factors contributing to market growth.
The popularity of solarpower is evident from high year-on-year (YoY) growth rates of installed capacity between 2006 and 2016. Solar PV was the second-most deployed renewable technology in 2016 and accounted for 43.3% of newly installed renewable power capacity, followed by wind and hydropower at 32.7% and 17.7%, respectively.
The Asia-Pacific (APAC) had total annual capacity of 52.38GW in 2016 and also surpassed Europe in annual PV installations. APAC countries such as Japan, China and Taiwan are also some of the world’s biggest solar PV component manufacturers.
In addition, APAC Governments are supporting solar module manufacturing through long-term policies and providing financial incentives and subsidies, which are expected to further drive market growth.
Within the APAC region, China is the biggest PV market with cumulative installed capacity of 77.5GW in 2016. The country is expected to continue to dominate the market by adding more than 223GW of capacity during the forecast period.
The growth is supported by the Chinese Government’s plans to increase the mix of non-fossil fuel-generated power to 20% by 2030. The government also aims to invest CNY2.5 trillion ($364bn) in renewable power generation by 2020.