India Solar Photovoltaic PV Panels Market size was estimated at $231.5 Million in 2019 and is expected to reach $418 Million by 2027, growing at a CAGR of 8.5% during the forecast period of 2020 to 2027.
Introduction Solar energy is the renewable source of electricity generated using photovoltaic cells known as solar cells. Solar photovoltaic devices are used to generate electricity using sunlight. It is of two types namely, panel type fixed tilt and axis tracker. By technology, the solar photovoltaic panel market is segmented into crystalline silicon, thin-film and others. Based on the application, it is classified into residential, commercial and utility-scale. Based on grid-type it is categorized into grid-connected and off-grid. It is a cost-effective and environmentally friendly way of electricity generation; hence, it is being widely adopted solution to meet the increased power demand in many counties globally. India is also one of the largest contributors to the solar photovoltaic panels market. Factors affecting market growth
The rising need for renewable energy resources owing to global environmental concerns majorly drives the growth of the solar photovoltaic panel market. The rising nuclear power plant accidents and associated hazards create opportunities for alternative sources of energy. Also, the increasing power demand, rising prices of fossil fuels and national solar mission have strengthened the demand for solar energy generation. As solar energy has improved efficiency, reduced cost, reduced carbon emissions and limited environmental hazards, it builds immense growth opportunities for solar PV panels markets in India. The current government strongly supports the renewable source of energy; hence more budgets are being allocated in the renewable sector. The government has scaled up renewable energy targets in India and is yet to achieve the defined high solar energy capacity target, which in turn has created growth opportunities for the market in the coming years. Increased budget allocation for mega solar power projects, reverse auction system initiative by the government, quicker legal approval and easy land acquisition for purpose of solar energy generation with the support from state and central government are some of the initiatives taken by the government that has lead to tremendous growth opportunities in the market. The strong support of the regulatory framework set by the government of India and its immense initiatives taken to improve solar power in the country have significantly encouraged the manufacturers and suppliers to invest more in the solar photovoltaic panel market. Improving cost competitiveness and rising electricity demands are also boosting the market. However, factors hampering the growth of the solar PV panels market are high costs of installation, subsidized electricity charges limit and grid congestion issues.
Market Segmentation Based on type, fixed-tilt panels are leading in the solar PV panel market. Based on the application, the Rooftop segment is rapidly growing and leads the market as it has reduced electricity bills and more consumers are accepting this technology, allowing the growth of the solar rooftop market at smaller scales also. By technology, Multicrystalline module technology leads the market.
Geographics The solar PV market of India holds a strong position globally and is one of the fastest-growing renewable resources markets in the world. Currently, the southern region of India holds the maximum share in the solar photovoltaic panels market.