Global solar energy market set to grow sixfold through 2030June 29, 2016
Solar power is showing impressive growth
Solar energy is set to grow by a significant margin in the coming years, according to the International Renewable Energy Agency. Many countries have come to embrace solar power. These countries are using the power of the sun to distance themselves from fossil-fuels and become more environmentally friendly. Some of these countries are doing this to combat climate change, but many are embracing solar power in order to take advantage of new economic opportunities. As these opportunities become more attractive, the global solar energy market will begin to see more aggressive growth.
Cost of solar panels is falling and they are becoming more efficient
The International Renewable Energy Agency predicts that the electrical power generated from solar panels will grow sixfold by 2030. Photovoltaic systems are becoming more efficient, enabling them to provide users with more energy. These energy systems are also becoming less expensive, which will secure their continued adoption in the coming years. The cost of solar panels is predicted to fall as much as 59% by 2025.
Global solar energy market will account for a greater share of power production in the future
Solar energy systems are expected to account for as much as 13% of all electricity produced throughout the world by 2030. By comparison, these energy systems accounted for only 1.2% of global energy production at the end of 2015. As photovoltaic technology continues to become less expensive, more countries are likely to show more support for solar power. As a result, the global solar energy market will likely experience a period of change as solar developers begin adapting to the changing needs of countries where demand for renewable energy is high.
Utilities will face challenges as solar power expands
The continued growth of solar power will create some challenges for utilities in the coming years. In the United States, some utilities have challenges the expansion of the solar power space. This is partly due to financial concerns, but some have suggested that the solar market creates an uneven playing field for consumers. Solar customers tend to spend less for the electricity they consume due to incentives provided by governments. By comparison, non-solar customers have to pay more for electricity, which has become a concern among some homeowners.