Dublin, Oct. 07, 2024 (GLOBE NEWSWIRE) -- The "Global Solar Inverter Market: Analysis By Type (Central, String and Micro), By Phase (Single Phase and Three Phase), By Connection Type (On Grid and Off Grid), By End User (Utilities, Residential and Commercial & Industrial), By Region Size and Forecast up to 2029" report has been added to ResearchAndMarkets.com's offering.
Global solar inverter market in 2023 was valued at US$12.81 billion, and is expected to reach US$24.40 billion by 2029. The market is expected to grow at a CAGR of 11.34% over the projected period of 2024-2029.
Solar inverters are most commonly used in residential and utilities applications, and nowadays are increasingly used in the commercial & industrial projects across the globe. Rapid development in the renewable energy sector and easy installation of solar inverters are the key factors that drive the growth of the market. Due to infrastructural development and growing number of construction and building projects, the demand for solar inverter is growing at a rapid pace.
In addition, supportive government policies & incentives to promote solar energy adoption, increased awareness among consumers & businesses about energy efficiency, rising investments in solar energy projects, ongoing shift towards decentralized energy generation, and growing corporate adoption of solar power is expected to augment the growth of the global solar inverter market in the forecasted period.
Asia Pacific is the largest and fastest growing region of global solar inverter market. Expansion of the renewable energy sector, increased investment in upgrading aging power infrastructure, and industrialization in the region are expected to fuel market growth in the coming years. The solar inverter market in Asia Pacific is witnessing significant developments in the renewable energy sector due to increased initiatives towards climate change and net zero targets, which has supported the demand for inverters across countries of the region.
The integration of energy storage systems with solar inverters is anticipated to gain momentum in North America. Energy storage enables the efficient management and utilization of solar power, allowing users to store excess energy generated during the day for later use during peak demand or grid outages. This trend promotes self-consumption and grid independence, further enhancing the value and functionality of solar inverters.
Also, installations in new construction activities and renovations mainly support the growth of the solar inverter market in North America. Many North American states have set aggressive renewable energy targets, intending to increase the amount of clean energy in their energy mix. These goals generate demand for solar power systems, which include solar inverters, which are critical components of solar energy generation.
Market Segmentation Analysis:
By Type: The report provides the bifurcation of the global solar inverter market into three segments on the basis of type, namely, central, string and micro.
String solar inverters is the largest segment of the global solar inverter market due to the rapidly growing residential solar market, global shift towards renewable energy sources, high market availability and low initial investment of string inverters, rise of smart grid technology, and ongoing advancements in string inverter technology, such as higher efficiency ratings, greater durability, and enhanced monitoring capabilities. Furthermore, string-type inverters are ideal for commercial and residential applications, including modest utility installations of less than 1 MW. String inverters are ideal for households seeking low-cost PV systems or for properties with simple roofs and constant renewable electricity throughout the day.
Central solar inverters is the fastest growing segment of global solar inverter market owing to rising adoption of solar PV systems, increasing number of Large-scale solar projects, longer lifespan and durability of central inverters, and rise in demand for central inverters from large industrial and utility applications across the globe. Moreover, rapid industrialization and construction of renewable power infrastructure in the developing economies such as China, India, Japan, and others are further expected to fuel the demand for central inverters.
By Phase: The report provides the bifurcation of the global solar inverter market into two segments on the basis of phase: single phase and three phase.
Three-phase solar inverters is the largest and fastest growing segment of global solar inverter market owing to increased commercial and industrial solar installations, rising demand for energy independence, increased desire to reduce reliance on conventional power sources, greater availability of financing options and power purchase agreements (PPAs) for solar projects, and ongoing integration of three-phase inverters with energy storage solutions.
Furthermore, the shift from 1,000-volt to 1,500-volt solar arrays resulted in larger solar power plants in large commercial, industrial, and utility installations, fueling the growth of the three-phase solar inverter market throughout the projection period. In commercial and industrial solar installations, three-phase solar inverters are often employed.
By Connection Type: The report provides the bifurcation of the global solar inverter market into two segments on the basis of connection type: on grid and off grid.
On grid solar inverters is the largest segment of global solar inverter market as a result of rapid urban and suburban expansion, increasing public and corporate focus on reducing carbon footprints, high efficiency and reliability with existing grid infrastructure, low maintenance costs, growing availability and decreasing costs of solar panels, and ongoing advancements of smart grid technologies. The major gains of the on-grid solar inverter are energy conversion, ensuring system safety, grid assistance, tracking power production, and many more.
Furthermore, the increase in the segment is related to an increase in investment for direct provision of electricity rather than battery storage. Off grid solar inverters is the fastest growing segment of global solar inverter market owing to reducing dependency on fossil fuels, increased need for energy independence and security, rising efforts towards rural and remote electrification, increasing use of off-grid solar systems for backup power, declining costs of solar component, and increasing demand for remote power solutions for applications such as agricultural operations, telecommunications, and emergency services.
By End User: The report provides the bifurcation of the global solar inverter market into three segments on the basis of end user: utilities, residential and commercial & industrial.
Utility is the largest segment of global solar inverter market. The segment has seen an increase because investment in utility-scale solar power plants, solar parks, and other solar structures has increased. Furthermore, the rise in construction projects such as decentralized solar power plants, rural electrification projects, solar power plants on water bodies and rooftops, and others is propelling the global solar inverter market for the utilities segment.
Residential is the fastest growing segment owing to increasing electricity rates, rising investment in solar technology for home value appreciation, growing availability of residential solar products, rising concerns regarding grid reliability and power outages, and increased presence of favorable government incentives, tax credits, and rebates for residential solar installations.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 165 |
| Forecast Period | 2024 - 2029 |
| Estimated Market Value (USD) in 2024 | $14.26 Billion |
| Forecasted Market Value (USD) by 2029 | $24.4 Billion |
| Compound Annual Growth Rate | 11.3% |
| Regions Covered | Global |
Market Dynamics
Growth Drivers
- Growing Replacement Demand for Solar Inverters
- Mounting Home Improvement
- Rapid Urbanization
- Rising Number of Solar Installations Attributed to Government-led Incentives And Schemes
- Increasing Power Failures
Challenges
- Safety Risks Associated with High DC Voltages
- High Cost of Solar Inverters
Market Trends
- Increasing Demand For Smart Solar Inverters
- Inflation Reduction Act (IRA)
- Expansion Of Companies in ESS Market
- Sustainability
- Positive Shift Towards Decentralized Power Generation
Competitive Landscape:
- Schneider Electric SE
- SolarEdge Technologies, Inc.
- Delta Electronics, Inc.
- Huawei Investment & Holding Co. Ltd.
- GoodWe
- Sineng Electric Co., Ltd.
- Sungrow Power Supply Co., Ltd.
- SMA Solar Technology AG
- FIMER S.p.A.
- Growatt
- Yaskawa Solectria Solar
- Ginlong (Solis) Technologies
- Power Electronics
- Hitachi Hi-Rel Power Electronics Private Limited
Solar Inverter Market: An Analysis
- Solar Inverter Market: An Overview
- Solar Inverter Market by Value
- Solar Inverter Market by Type (Central, String and Micro)
- Solar Inverter Market by Phase (Single Phase and Three Phase)
- Solar Inverter Market by Connection Type (On Grid and Off Grid)
- Solar Inverter Market by End User (Utilities, Residential and Commercial & Industrial)
- Solar Inverter Market by Region (North America, Europe, Asia Pacific, and Rest of the World)
- Solar Inverter Market by Demand
Solar Inverter Market: Type Analysis
- Solar Inverter Market by Type: An Overview
- String Solar Inverter Market by Value
- Central Solar Inverter Market by Value
- Micro Solar Inverter Market by Value
Solar Inverter Market: Phase Analysis
- Solar Inverter Market by Phase: An Overview
- Single Phase Solar Inverter Market by Value
- Three Phase Solar Inverter Market by Value
Solar Inverter Market: Connection Type Analysis
- Solar Inverter Market by Connection Type: An Overview
- On Grid Solar Inverter Market by Value
- Off Grid Solar Inverter Market by Value
Solar Inverter Market: End User Analysis
- Solar Inverter Market by End User: An Overview
- Utilities Solar Inverter Market by Value
- Residential Solar Inverter Market by Value
- Commercial & Industrial Solar Inverter Market by Value
For more information about this report visit https://www.researchandmarkets.com/r/w7qd5
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