Smart solar: Key market research findings
- The Americas dominate the market geographically
- Solutions segment accounts for a majority of the market’s revenue
- Key vendors – ABB, Echelon, GE Energy, Schneider Electric, and Siemens
Technavio’s market research analysts predict the global smart solar market to grow at a CAGR of more than 15% between 2016 and 2020. Governments across the globe are formulating various policies to stimulate the development of innovative solar technologies. They are also providing incentives for solar energy generation projects, which brings in investments for smart solar solutions. During 2015, the Americas accounted for around 44% of the overall market share to dominate the global smart solar market. The rise in investments and number of solar capacity and installation will contribute to the growth of the market in this region over the next four years.
The new market research report from Technavio presents a breakdown and analysis of the smart solar segments based on the type.
“The market is currently witnessing an increase in the demand for solutions and services such as smart meters, solar simulators, and grid intelligent components, services and applications of smart solar solutions. As a result, vendors in the market are focusing on providing complete solutions that range from components to services. Besides, the rise in demand for energy necessitates the need for energy management solutions and requires response services to be integrated with the installations,” says Vishu Rai, Lead Analyst, Energy, Technavio Research.
Currently, the solutions segment accounts for around 62% of the overall market revenue to retain its position as the key revenue generating segment of the market. Solar generation is supported by SCADA system driven from a mini-remote terminal unit (RTU) or programmable logic controller (PLC). SCADA, RTU, and PLC have several advantages, such as net metering commands from remote SCADA system, which help the controller in local controlling of solar panels, tracking the direction of the Sun, and automatic cut-off or switching-on depending on weather conditions. Advances in demand response and automation techniques are some of the key factors that will fuel the growth of this segment of the market during the forecast period.
The key vendors in the market include ABB, Echelon, GE Energy, Schneider Electric, and Siemens. Governments worldwide are supporting the development of smart energy, such as smart grid, smart solar, home energy management systems, and digital oilfields. Better efficiency among power plants can be achieved by the increased adoption of smart grids, which will, in turn, lead to the reduction of T&D and power losses. This response will enhance the overall operational performance of the power plant. Similarly, better efficiency can be achieved in oilfields, the residential sector, and smart solar services by adopting various technologies and services, such as smart meters and smart grid. These will have a positive effect on the overall market growth during the forecast period.
A more detailed analysis is available in the Technavio report, Global Smart Solar Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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