Solar energy could power nearly 100 million homes by 2020March 7, 2016
Off-grid solar market could reach $3.1 billion by 2020
As many as 100 million homes throughout the world are set to be powered by solar energy by 2020, according to a new report from Bloomberg New Energy Finance. The report shows that the off-grid solar market, which primarily serves the residential sector, has grown by $700 million. Just 10 years ago, this market was nearly non-existent. By 2020, this market is expected to reach $3.1 billion as more homeowners begin using solar power systems.
Demand for reliable access to electrical power is growing
Currently, there is an estimated 1.2 billion people that do not have access to energy, with another 1 billion who are connected to an established national grid that is unreliable in providing electrical power. Together, these people have spend an estimated $27 billion on crude lighting methods, such as candles and kerosene lamps. The demand for access to reliable energy has been growing, especially in countries with rapidly growing economies. Solar power may be able to satisfy this demand, especially in countries where sunlight is abundant.
Developing countries have the greatest need for access to energy
Approximately 95% of those without access to electrical power live in sub-Saharan Africa and developing parts of Asia. In these regions, the off-grid solar market is growing especially quickly. This is due to the need that consumers have and the falling cost of photovoltaic technology. The technologies that consumers are using range from solar lanterns to rooftop solar panels that collect sunlight and generate electricity. There are currently more than 100 companies working within the off-grid solar market, offering a wide range of technologies and access to programs that can help pay for photovoltaic systems.
Solar power is gaining more popularity among homeowners
Solar energy has become quite popular in the residential sector. In developed economies, many homeowners are beginning to look for ways to reduce their reliance on energy utilities. Solar power provides them with such a solution. They can also take advantage of programs that allow them to sell excess energy produced by solar panels back to utilities, making solar power a very attractive option.