Two new industry reports have signified that the building integrated photovoltaics market is headed deeper into the billions, buoyed by the demand for more sustainable electricity generation and efficiency in homes and buildings, the needs of the mining and oil and gas industries, and the boom in digital technology in operational enhancements.
Battle to slow climate change key driver
Allied Market Research’s report, “BIPV Market by Technology (Crystalline Silicon, Thin Film, and Others), Application (Roofs, Walls, Glass, Façade, and Others), and End-Use (Residential, Commercial, and Industrial)”, finds that the BIPV market generated $14.0 billion in 2020, and is heading up towards an estimated $86.7 billion by 2030, a solid growth rate of 20.1%.
Research And Markets’ report “Integrated Photovoltaics – Global Market Trajectory & Analytics” puts a corresponding 2027 estimate of a market valued at $23.3 billion, crediting stricter government regulations to curtail fossil fuel-powered equipment in the battle to slow climate change as a key driver of the upward curve.
China’s growth is forecast at 16.2%
China is expected to continue to lead the charge up and is the fastest growing of the regional markets. China’s growth is forecast at a 16.2% compound annual growth rate (CAGR), with the world’s second largest economy forecast to reach a projected BIPV market size of $5 billion by 2027.
The Asia-Pacific (APAC) region, led by Australia, India, and South Korea, is looking at a market worth $2.8 billion by 2027. Latin America is showing signs of a 10.5% CAGR through the same period. The U.S. market was estimated at $1.7 billion 2020.
Japan and Canada are showing promising growth for their parts, growth forecast at 9.6% and 11.8% respectively, while in Europe, Germany is topping the charts with a forecast growth of approximately 11.7% CAGR. Combined, the U.S.A., Canada, Japan, China, and Europe are expected to drive a 9.7% CAGR and this market was valued at $772.8 million in 2020.
Based on region, Europe contributed to the highest share in terms of revenue in 2020, holding around two-fifths of the total market share, and is estimated to continue its dominant share by 2030. However, North America is projected to manifest the fastest CAGR of 20.7% during the forecast period.
Crystalline silicon (C-Si) sector dominates growth, headed for record growth of 12.3%
The crystalline silicon (C-Si)—the form of silicon which is the dominant semiconducting material used in photovoltaic technology to produce solar cells—segment is projected to grow strongly, headed for record growth of 12.3% to a value of $16.3 billion by the end of the analysis period. In terms of technology, in 2020 the C-Si segment held the highest share of the market— more than two-thirds of the total share—and is expected to hold pace over the forecast period.
BIPV roofing commanded two-fifths of the total market share in 2020, and is expected to maintain a leadership role, however, the glass segment comes out tops with the highest CAGR of 21.0% expected between now and 2030.
Leaders in the field analyzed in the research include Sunovation, AGC Solar, Belectric, Heliatek GmbH, Carmanah Technologies Corporation, Greatcell Solar Limited, Hanergy Holding Group Limited, Ertex Solartechnik GmbH, Canadian Solar Inc., Tesla Inc., Solaria Corporation, ISSOL SA, Onyx Solar Energy S.L., NanoPV Solar Inc., BIPVco Limited, and Solaxess.
COVID-19 brakes market, affects manufacturing and supply chain
Both reports note that the COVID-19 pandemic drastically affected the manufacturing and supply chain capacity of BIPV components, especially in China as shipping from Chinese ports and other faulting transport services dragged the market.
An early analysis of the implications of the economic crisis induced by the pandemic revealed slower growth in the thin film market segment, which sees growth readjusted to 13.6% over the seven-year period.
The COVID-19 pandemic and its attended global lockdowns and the temporary closure of the construction industry, obviously braked the global building integrated photovoltaics market. The supply chain hold-ups—especially difficulty in procuring raw materials and labor shortages. The market is, nevertheless, anticipated to recover by the end of 2022.
Swedish port emerges as solar array role model
With so many calls now being made for solar panels to be mandated on all new structures—especially as the EU reaches for BIPV to be integral to its emission reduction plans—an environmentally-friendly port in Sweden has emerged as a significant “role model”.
The city-owned Stockholm Norvik port is powered entirely on certified renewable energy and its roof has been designed and constructed entirely with BIPV solar panels at heart. The port recently commissioned a 3,600m2, 605 kW solar array, the fifth of such installed across the facility. The array can generate 560 MWh of clean electricity per year, which is enough to power 25 average households.