Concentrator Photovoltaic Market Size - Global Industry, Share, Analysis, Trends and Forecast 2023 - 2032

The Global Concentrator Photovoltaic (CPV) Market Size accounted for USD 880 Million in 2022 and is projected to achieve a market size of USD 2,549 Million by 2032 growing at a CAGR of 11.3% from 2023 to 2032.

Report Key Highlights

• Global concentrator photovoltaic market revenue is expected to increase by USD 2,549 Million by 2032, with a 11.3% CAGR from 2023 to 2032
• Asia-Pacific region led with more than 35% of concentrator photovoltaic market share in 2022
• According to the International Energy Agency (IEA), the global installed capacity of CPV systems was around 1.1 GW in 2020
• According to the analysis, CPV systems will account for less than 1% of the total installed solar photovoltaic (PV) capacity worldwide in 2020
• The study found that whereas CPV systems can achieve efficiencies of over 40%, traditional PV systems often only achieve efficiencies of 15–20%
• The largest CPV power plant in the world is the 200 MW Mohammed bin Rashid Al Maktoum Solar Park in Dubai, United Arab Emirates
• Increasing demand for renewable energy sources, drives the concentrator photovoltaic market size

Concentrator photovoltaic (CPV) is a type of photovoltaic technology that uses optics such as lenses and mirrors to concentrate sunlight onto small, high-efficiency solar cells. By concentrating sunlight, CPV systems can achieve much higher efficiencies than traditional flat-plate photovoltaic systems. CPV systems are typically used in areas with high direct normal irradiance, such as deserts and other sunny locations.

The CPV market value has experienced steady growth over the past few years, with a compound annual growth rate (CAGR) of around 11.3%. The market is expected to continue growing at a similar pace over the next few years, driven by factors such as increasing demand for renewable energy, advancements in CPV technology, and the need for more efficient solar energy solutions. Despite its potential advantages, CPV faces some challenges, such as higher installation costs compared to traditional photovoltaic systems, and the need for sunny locations with high direct normal irradiance. However, with continued advancements in technology and decreasing costs, CPV is expected to become a more viable and competitive option for solar energy generation in the future.

Global Concentrator Photovoltaic Market Trends

Market Drivers

• Increasing demand for renewable energy sources
• Higher efficiency compared to traditional flat-plate photovoltaic systems
• Government incentives and subsidies for solar energy generation
• Advancements in CPV technology, such as improved optics and materials
• Growing awareness about the benefits of solar energy

Market Restraints

• Higher installation costs compared to traditional photovoltaic systems
• Limited geographical suitability due to the need for high direct normal irradiance

Market Opportunities

• Growing interest in distributed energy generation and microgrids
• Integration with energy storage systems to provide reliable and dispatchable power

Concentrator Photovoltaic Market Report Coverage

Concentrator photovoltaic (CPV) generates electricity from the light of the sun. Unlike photovoltaic systems, CPV uses bent mirrors and lenses to focus light onto multi-junction (MJ) solar cells that are small, but extremely efficient. In the mid-2000s, the concentrator photovoltaic entered the global market as a utility-range solar power generation alternative. While the technology has seen extensive approval and a major number of installations all around the globe in the past few years, it is still at a promising stage of development. When compared to conventional flat-plate photovoltaics, which has been acclaimed for their easy application in rooftops and domestic settings of private and public buildings, the concentrator photovoltaic technology is comparatively a small player in the whole solar power generation market.

In recent times, the CPV industry has experienced unstable times with the number of new installations considerably declining in 2015 as compared to the earlier period. Several major CPV companies have exited the market due to rising pressures from declining costs of other PV technologies. Also, a number of players are facing significant difficulties in raising the capital required to grow and experiment in the market.

However, CPV modules continue to get better in terms of efficiency, realizing exchange rates far beyond what is possible from customary flat-panel PV modules. Constant research efforts in the field of the CPV market have led to the growth of modules that have efficiencies of up to 44%, the maximum of all existing PV technologies. Researchers consider the technology still has scope for improvement in the upcoming years, provided that a way for achieving an important decline in overall system costs. Concentrator photovoltaic systems are mostly of concern to power generation projects situated in sun-rich locations that accept direct normal irradiance (DNI) which values of more than 2000 kWh. These PV systems are not appropriate for installation on rooftops, thus restraining their scope of application to a level.

Concentrator Photovoltaic Market Segmentation                                  

The global concentrator photovoltaic market segmentation is based on concentration factor, technology, application, and geography.

Concentrator Photovoltaic Market By Concentration Factor

• High concentration PV (HCPV)
• Low concentration PV (LCPV)

According to the concentrator photovoltaic industry analysis, the concentration photovoltaic (HCPV) segment accounted for the largest market share in 2022. HCPV systems use multi-junction solar cells that are designed to operate at high concentrations, allowing for higher efficiency and lower system costs per watt compared to traditional flat-plate photovoltaic systems. The HCPV segment of the CPV market has experienced moderate growth over the past few years, driven by factors such as increasing demand for higher efficiency solar energy solutions and advancements in multi-junction solar cell technology. One of the main drivers of growth in the HCPV segment is the potential to achieve very high efficiencies, typically above 40%, which can result in lower overall system costs per watt. Additionally, HCPV systems can be used in a variety of applications, such as utility-scale solar power plants, off-grid energy systems, and remote telecommunications systems.

Concentrator Photovoltaic Market By Technology

• Reflector
• Refractor

In terms of technology, the refractor segment is expected to witness significant growth in the coming years. Refractor CPV systems concentrate sunlight onto small, high-efficiency solar cells using lenses made of refractive materials such as glass or plastic, which bend light to focus it onto the cells. The refractor segment of the CPV market has experienced slower growth compared to other CPV technologies such as high-concentration photovoltaic. However, the refractor segment has some advantages over other CPV technologies, such as lower system costs and higher reliability due to the use of fewer optical components. Additionally, refractor CPV systems can be used in a variety of applications, such as remote telecommunications systems, off-grid energy systems, and distributed energy generation.

Concentrator Photovoltaic Market By Application

• Commercial
• Utility Scale

According to the concentrator photovoltaic market forecast, the commercial segment is expected to witness significant growth in the coming years. This growth is driven by factors such as increasing demand for renewable energy and the potential for CPV technology to provide higher efficiency and lower system costs compared to traditional flat-plate photovoltaic systems. One of the main advantages of CPV technology in the commercial segment is the potential for higher efficiency compared to traditional photovoltaic systems, which can result in lower overall system costs per watt. Additionally, CPV systems can be designed to operate in a variety of climates and conditions, making them suitable for a wide range of commercial applications.

Concentrator Photovoltaic Market Regional Outlook

North America

• U.S.
• Canada

Europe

• U.K.
• Germany
• France
• Spain
• Rest of Europe

Asia-Pacific

• India
• Japan
• China
• Australia
• South Korea
• Rest of Asia-Pacific

Latin America

• Brazil
• Mexico
• Rest of Latin America

The Middle East & Africa

• South Africa
• GCC Countries
• Rest of the Middle East & Africa (ME&A)