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United States Solar Energy Market Size (2024 - 2029)

The United States solar energy market is poised for significant expansion over the forecast period, driven by factors such as decreasing solar PV costs and supportive government policies. Despite potential challenges from the growing adoption of alternative clean energy sources and increased natural gas consumption, the market's capacity is expected to grow substantially. Technological advancements, particularly in Perovskite-based solar cells, which offer comparable efficiency to traditional silicon-based cells, are anticipated to enhance manufacturing processes and facilitate mass-scale production, thereby contributing to the market's growth trajectory.

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Market Size of United States Solar Energy Industry

us solar market overview
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 16.48 %
Market Concentration Low

Major Players

us solar market major players

*Disclaimer: Major Players sorted in no particular order

US Solar Energy Market Analysis

The United States solar energy market is estimated to be at 164.2 Giga Watt (GW) by the end of this year and is projected to reach 352 Giga Watt (GW) after five years, registering a CAGR of over 16.48% during the forecast period.

  • Over the medium term, factors such as declining solar PV costs and supportive government policies are expected to drive the United States solar energy market during the forecast period.
  • On the other hand, increasing adoption of alternative clean energy sources and increasing natural gas consumption are expected to hinder the market's growth during the forecast period.
  • Nevertheless, Perovskite-based cells attracted attention in recent years. Perovskite-based PV cells offer high ease of manufacturing, high efficiency, and excellent semiconducting behaviour. Hence, they are comparable to silicon-based solar PV regarding solar-to-electric efficiency. Hence, technological advancements in manufacturing PV cells will likely lead to mass-scale production, offering growth opportunities.

US Solar Energy Industry Segmentation

Solar energy is heat and radiant light from the sun that can be harnessed with technologies such as solar power (which is used to generate electricity) and solar thermal energy (which is used for applications such as water heating).

The United States solar energy market is segmented by type. By type, the market is segmented into solar photovoltaic (PV) and concentrated solar power (CSP). For each segment, the market sizing and forecasts have been done based on installed capacity (GW).

Type
Solar Photovoltaic (PV)
Concentrated Solar Power (CSP)
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United States Solar Energy Market Size Summary

The United States solar energy market is experiencing significant growth, driven by declining costs of solar photovoltaic (PV) systems and supportive government policies. The market is expected to expand substantially over the forecast period, with technological advancements in PV cell manufacturing, such as the development of Perovskite-based cells, offering new growth opportunities. These advancements are poised to enhance the efficiency and ease of manufacturing solar cells, making them competitive with traditional silicon-based cells. Despite challenges from the increasing adoption of alternative clean energy sources and rising natural gas consumption, the solar energy sector in the U.S. is poised for robust expansion, with solar electricity becoming economically competitive with conventional energy sources in several states.

The solar energy market in the United States is characterized by a rapid increase in installed capacity, with solar power becoming more accessible and prevalent. The market is driven by strong federal policies, such as the solar Investment Tax Credit, and a growing demand for clean electricity across both private and public sectors. The decline in the Levelized Cost of Electricity (LCOE) for solar PV systems, coupled with rising efficiency ratings, is encouraging more residential and commercial consumers to adopt rooftop solar solutions. Key players in the fragmented market include companies like First Solar Inc., NextEra Energy Inc., and SOLV Energy, which are actively involved in expanding solar capacity through various projects and partnerships.

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United States Solar Energy Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 United States Solar Energy Installed Capacity and Forecast in Gigawatt (GW), till 2028

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

        1. 1.5.1.1 Declining Costs and Increasing Efficiencies of Solar PV Panels

        2. 1.5.1.2 Supportive Government Policies Towards Solar

      2. 1.5.2 Restraints

        1. 1.5.2.1 Increasing Adoption of Alternative Clean Energy Sources and Increasing Natural Gas Consumption

    6. 1.6 Supply Chain Analysis

    7. 1.7 PESTLE Analysis

  2. 2. MARKET SEGMENTATION

    1. 2.1 Type

      1. 2.1.1 Solar Photovoltaic (PV)

      2. 2.1.2 Concentrated Solar Power (CSP)

United States Solar Energy Market Size FAQs

The United States Solar Energy Market is projected to register a CAGR of 16.48% during the forecast period (2024-2029)

8minutenergy Renewables LLC , M. A. Mortenson Company, SOLV Energy, First Solar Inc. and NextEra Energy Inc. are the major companies operating in the United States Solar Energy Market.

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United States Solar Energy Market Report - Industry Growth, Size & Forecast Analysis (2024 - 2029)