Report Overview

United States Solar Energy Market- Industry Trends & Forecast Report 2028

United States solar energy market is expected to grow at a CAGR of 16.3% during the forecast period, i.e., 2022-2028. With the rapid technological advances and declining costs of renewable energy resources, coupled with the increasing competitiveness of battery storage, renewable energy sources have been elevated to one of the most competitive energy sources in the U.S., which is driving the growth of solar projects in the country. With solar panel installation costs falling by more than 70% in the last decade, the sector has been able to expand into new markets and deploy thousands of systems across the country. In addition, U.S. government policies to meet net-zero carbon emission by 2050 have further driven the growth of the United States solar energy market.

United States Solar Energy Overview

Solar power is the conversion of the sun's radiant light and heat into electricity. A variety of methods are used to harness solar energy, including solar electricity, solar thermal energy, including solar water heating and solar architecture. The sun's energy can be used in a variety of ways, including photovoltaic cells, which convert sunlight into electricity. Solar thermal technology uses the sun's heat to generate hot water or steam. Putting windows on the east side of a house to capture the morning sun's heat is an example of solar energy.

United States Solar Energy Market Trend

Growth Drivers

Increasing Investment in Solar Energy Projects

As a result of increased investment in the solar power industry, solar installations have seen a 35-fold increase since 2008 to an estimated 62.5 GW in 2021. The Solar Energy Industries Association (SEIA) database lists over 5,000 noteworthy solar projects, totaling more than 140 GWdc of capacity. SEIA reports that over 73 GWdc of important solar projects is now operational. Moreover, in the next five years, there will be 237 solar projects, valued at USD 58 billion.

The top 5 solar projects in the pipeline in the U.S. are Pecan Prairie Solar Project, Golden Triangle Solar Energy Centre, Sunflower Solar PV Farm, Commonwealth Solar Project, and Happy Solar Park. Among these, the Pecan Prarie Solar Project is a large-scale solar project in the southeastern Leon County of Texas. The project, developed by ConnectGen, is expected to install 500MW of solar energy, enough to power over 50,000 Texas households. ConnectGen anticipates commencing operation of the Pecan Prairie Solar Project in 2022.

Favorable Policies to Achieve Net-Zero Carbon Emission

A study released on September 8, 2021, by the US Department of Solar Energy Technologies Office (SETO) and the National Renewable Energy Laboratory (NREL), reveals that with aggressive cost reductions, supportive policies, and large-scale electrification, solar could account for up to 40% of the nation's electricity supply by 2035 and 45% by 2050. To reach these levels, solar deployment must increase by approximately 30 gigatonnes of alternating current (GWac) per year between now and 2025, then increase to 60 GWac per year between 2025 and 2030-four times the current rate-to reach 1,000 GWac of solar deployment by 2035. To achieve a zero-carbon grid with greater electrification of end uses by 2050, 1,600 GW of solar capacity would be necessary. Thus, to attain net solar energy by 2030, the US government is implementing favorable policies driving the growth of the United States solar energy market.

Restraints

Grid Integration Issues

Although solar energy is still far from realizing its full potential as a renewable energy source in the United States, efforts are being made to accelerate the adoption of solar technologies. Although the cost of solar gear has dropped considerably, market hurdles and grid integration issues continue to impede further implementation. Soft solar costs, such as permits, financing, and customer acquisition, are becoming a more substantial portion of overall solar expenditures, accounting for up to 65% of the cost of a residential PV system. Soft costs comprise 65% of the total residential system cost now, up from 58% in 2014. The direct and indirect costs of permitting and inspection are a significant factor driving this increase in the price of residential PV panels in the U.S., hindering the market's growth.

Impact of COVID-19 on United States Solar Energy Market

The growth of solar energy over the last two decades has been remarkable. The COVID-19 crisis has caused some setbacks both financially and operationally despite this growth. Factors such as supply chain delays, tightening of tax equity markets, financial anxiety among homeowners, shelter-in-place orders, and permitting challenges have all put a strain on the market. In the post pandemic era, the US government will be instrumental in addressing these challenges and speeding up the deployment of solar energy in the coming years.

United States Solar Energy Market: By End-User Industry

Based on end-users, the United States solar energy market is grouped into electricity generation, heating, charging and lighting. In 2020, the electricity generation segment accounted for the largest share in the United States solar energy market and is expected to grow at a healthy CAGR during the forecast period. According to the Office of Energy Efficiency & Renewable Energy, electricity demand in the U.S. is expected to rise by an extra 34% between 2035 and 2050. By 2050, all these electrified sectors will be powered by zero-carbon electricity. This will allow emissions to be reduced by 155% over 2005 levels. Furthermore, installing roof-top solar PV panels in the end-user sector has further propelled the growth of the electricity segment in the U.S. solar energy market.

United States Solar Energy Market: Competitive Landscape

Some of the key players in the U.S. solar energy market include First Solar, NextEra Energy Inc, Swinerton Renewable Energy, 8minutenergy Renewables LLC, M. A. Mortenson Company, Bright Source Energy, SunPower Corporation, Canadian Solar Inc, EcoPlexus, Inc., Sustainable Power Group, Recurrent Energy, Cypress Creek Renewables, SunPower, Hecate Energy LLC, and other prominent players. In recent years, the government has been encouraging states to build solar energy plants and achieve net-zero emissions by 2030, which has driven competition inside the market. Furthermore, the U.S. government is collaborating with foreign companies to commission and install new projects, which has led to increased competition in the market.

Recent Developments

• December 2021: A recent update to California's building codes made it the first state requiring solar power plus energy storage to be incorporated into all future commercial structures. The new building standard also included a requirement that all new residential construction must be energy storage-ready.

• In December 2021, Ashtrom Group Ltd, an Israeli construction and real estate business, and Kenlov Renewable Energy, an independent power producer (IPP), have agreed to acquire four US solar projects with a combined planned capacity of approximately 1.1 GW in direct current (DC).

Scope of the Report

By Technology

• Photovoltaic Systems
• Concentrated Solar Power Systems

By Solar Module

• Monocrystalline
• Polycrystalline
• Cadmium Telluride
• Amorphous Silicon Cells
• Others

By Application

• Industrial
• Commercial
• Residential

By End-User Industry

• Electricity Generation
• Heating
• Charging and Lighting

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Research Methodology
   1. Qualitative Research
      1. Primary & Secondary Research
   2. Quantitative Research
   3. Market Breakdown & Data Triangulation
      1. Secondary Research
      2. Primary Research
   4. Breakdown of Primary Research Respondents, By Region
   5. Assumption & Limitation
3. Executive Summary
4. U.S. Solar Energy Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
      2. Restraints
      3. Opportunities
      4. Challenges
   3. Recent Development
   4. Government Regulations
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
   6. Technological Advancement
5. U.S. Solar Energy Market Overview
   1. Market Size & Forecast by Value, 2018-2028
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Technology
         1. Photovoltaic Systems
         2. Concentrated Solar Power Systems
      2. By Solar Module
         1. Monocrystalline
         2. Polycrystalline
         3. Cadmium Telluride
         4. Amorphous Silicon Cells
         5. Others
      3. By Application
         1. Residential
         2. Commercial
         3. Industrial
      4. By End-User Industry
         1. Electricity Generatio n
         2. Heating
         3. Charging and Lighting
6. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Market Share Analysis, 2020
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Development
      1. Merger Acquisition, Joint Venture, Product Launch
7. Impact of Covid-19 on U.S. Solar Energy Market Industry
8. Company Profile (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook) **
   1. First Solar
   2. NextEra Energy Inc
   3. Swinerton Renewable Energy
   4. 8minutenergy Renewables LLC
   5. M. A. Mortenson Company
   6. Bright Source Energy
   7. SunPower Corporation
   8. Canadian Solar Inc
   9. EcoPlexus, Inc.
   10. Sustainable Power Group
   11. Recurrent Energy
   12. Cypress Creek Renewables
   13. SunPower
   14. Hecate Energy LLC
   15. Other Prominent Players
9. Key Strategic Recommendations

List of Figures

Fig 1: U.S. Solar Energy Segmentation

Fig 2: U.S. Solar Energy Market Value Chain Analysis

Fig 3: Company Market Share Analysis, 2020

Fig 4: U.S. Solar Energy Market Size, By Value (USD Million), 2018-2028

Fig 5: U.S. Solar Energy Market Share, By Technology, By Value, 2018-2028

Fig 6: U.S. Solar Energy Market Share, By Solar Module, By Value, 2018-2028

Fig 7: U.S. Solar Energy Market Share, By Application, By Value, 2018-2028

Fig 8: U.S. Solar Energy Market Share, By End-User Industry, By Value, 2018-2028

List of Table

Table 1: U.S. Solar Energy Market Size, By Technology, By Value, 2018-2028

Table 2: U.S. Solar Energy Market Size, By Solar Module, By Value, 2018-2028

Table 3: U.S. Solar Energy Market Size, By Application, By Value, 2018-2028

Table 4: U.S. Solar Energy Market Size, By End-User Industry, By Value, 2018-2028

Table 5: Sharp Energy Solutions Corporation Financial Analysis

Table 6: Sharp Energy Solutions Corporation Business Overview

Table 7: Tata Power Solar Systems Ltd. Financial Analysis

Table 8: Tata Power Solar Systems Ltd. Business Overview

Table 9: Giang Son Financial Analysis

Table 10: Giang Son Business Overview

Table 11: Berkeley Energy Commercial & Industrial Solutions Financial Analysis

Table 12: Berkeley Energy Commercial & Industrial Solutions Business Overview

Table 13: Yingli Solar Financial Analysis

Table 14: Yingli Solar Business Overview

Table 15: Wuxi Suntech Power CO. Ltd Financial Analysis

Table 16: Wuxi Suntech Power CO. Ltd Business Overview

Table 17: GE Renewable Energy Financial Analysis

Table 18: GE Renewable Energy Business Overview

Table 19: Siemens Energy Pvt Ltd Financial Analysis

Table 20: BCG Energy Business Overview

Table 21: BCG Energy Financial Analysis