Photovoltaic Power Station Market Forecasts to 2032 - Global Analysis By Type (On-Grid PV Systems, Off-Grid PV Systems, Hybrid PV Systems, and Other Types), Mounting Type, Component, Technology, Capacity, End User and By Geography

According to Stratistics MRC, the Global Photovoltaic Power Station Market is growing at a CAGR of 23.8% during the forecast period. A photovoltaic power station, also known as a solar farm or solar power plant, is a large-scale facility that generates electricity by converting sunlight into electrical energy using photovoltaic (PV) panels. These stations are typically installed on vast areas of land and are connected to the electrical grid to supply renewable energy. They play a crucial role in reducing greenhouse gas emissions and promoting sustainable, clean energy solutions worldwide.

According the U.S. Department of Energy, the country installed 26 GW AC (33 GW DC) of PV in 2023, marking a year-over-year increase of 46%.

Market Dynamics:

Driver:

Declining costs of solar panels

Advances in technology have led to lower production costs, making solar power more accessible for utility-scale projects. Government subsidies and incentives further enhance affordability, encouraging widespread adoption of photovoltaic systems. As solar panel efficiency improves, the levelized cost of electricity (LCOE) continues to decline, making solar energy highly competitive. The reduction in upfront investment requirements attracts businesses and governments to invest in solar farms. Consequently, declining costs are fueling market expansion by enabling larger-scale installations.

Restraint:

Land availability and usage conflicts

Large-scale solar projects require vast areas of land, leading to competition with agriculture, forestry, and urban development. Environmental concerns related to habitat disruption and land degradation further complicate project approvals. In densely populated regions, securing sufficient space for utility-scale solar farms becomes increasingly difficult. These constraints limit the scalability of photovoltaic power stations, slowing down growth in some regions.

Opportunity:

Rising demand for clean energy

As concerns over climate change intensify, governments and businesses are prioritizing renewable energy sources to reduce carbon emissions. Solar power is emerging as a preferred solution due to its sustainability and long-term cost advantages. Corporate commitments to carbon neutrality are driving investment in large-scale solar projects globally. Technological advancements, such as energy storage solutions, enhance the reliability and feasibility of solar power. Increasing public awareness and policy support further accelerate the adoption of photovoltaic systems.

Threat:

Lack of skilled workforce

As the industry grows, the demand for trained professionals in installation, maintenance, and system optimization is rising. A shortage of experienced engineers and technicians affects the efficiency and reliability of solar projects. Insufficient workforce training programs limit the availability of specialists needed for large-scale deployments. Without adequate skill development, project execution delays and operational inefficiencies may hinder market growth.

Covid-19 Impact

The COVID-19 pandemic disrupted supply chains and slowed down solar project installations worldwide. Restrictions on manufacturing and logistics delayed the delivery of photovoltaic components, affecting project timelines. However, the crisis also underscored the importance of energy independence and resilience, boosting interest in solar investments. As economies recovered, governments accelerated renewable energy initiatives, driving post-pandemic market growth. Overall, while the pandemic caused short-term setbacks, it reinforced long-term commitments to solar energy expansion.

The rooftop PV systems segment is expected to be the largest during the forecast period

The rooftop PV systems segment is expected to account for the largest market share during the forecast period, due to its adaptability and cost-effectiveness. Rapid urbanization and increased electricity costs are driving demand for rooftop solar installations among residential and commercial consumers. Government incentives and net metering policies encourage homeowners and businesses to invest in distributed solar solutions. The scalability of rooftop systems allows for efficient utilization of existing spaces without additional land acquisition.

The government/public sector segment is expected to have the highest CAGR during the forecast period

Over the forecast period, the government/public sector segment is predicted to witness the highest growth rate, due to policy-driven renewable energy initiatives. Governments worldwide are investing in utility-scale solar projects to meet climate targets and energy security goals. Public sector-led programs promote solar adoption through infrastructure development and subsidy support. Large-scale procurement agreements drive down costs, enabling efficient deployment of photovoltaic systems.

Region with largest share:

During the forecast period, the Asia Pacific region is expected to hold the largest market share due to its rapid industrialization and commitment to renewable energy. Countries such as China, India, and Japan are leading solar investments through ambitious capacity expansion plans. Government policies promoting solar energy subsidies and incentives drive large-scale photovoltaic installations. High electricity demand and grid modernization efforts further accelerate solar power adoption across the region.

Region with highest CAGR:

Over the forecast period, the North America region is anticipated to exhibit the highest CAGR, owing to supportive regulatory frameworks and technological innovations. Federal and state-level renewable energy policies encourage solar investment through tax credits and funding programs. The growing emphasis on de-carbonization and corporate sustainability commitments drives demand for utility-scale solar farms. Investments in research and development accelerate breakthroughs in solar technology, further boosting market expansion.

Key players in the market

Some of the key players profiled in the Photovoltaic Power Station Market include Total Energies, Adani Green Energy Ltd., Brookfield Renewable Partners, NextEra Energy, Enel Green Power, JinkoSolar Holding Co., Ltd., JA Solar Technology Co. Ltd., Trina Solar Co. Ltd., LONGi Green Energy Technology Co. Ltd., Lightsource bp, Tata Power Solar Systems Ltd., Sterling and Wilson Renewable Energy, Vikram Solar, Waaree Energies Ltd., and Azure Power.

Key Developments:

In June 2025, TotalEnergies announces the acquisition from Low Carbon, a leading renewable energy company, of a pipeline of 8 solar projects with a capacity of 350 MW and 2 battery storage projects with a capacity of 85 MW.

In September 2024, Adani Green Energy Limited (AGEL) and TotalEnergies, have announced a strategic joint venture (JV), equally owned by both entities, aimed at managing a portfolio of solar projects totaling 1,150 MW. The projects are located at the world's largest renewable energy plant in Khavda, Gujarat. AGEL will contribute its current assets to the new JV, while TotalEnergies plans to inject USD 444 million to accelerate the development of these projects.

Types Covered:

• On-Grid (Grid-Tied) PV Systems
• Off-Grid (Stand-Alone) PV Systems
• Hybrid PV Systems
• Other Types

Mounting Types Covered:

• Ground-Mounted PV Systems
• Rooftop PV Systems
• Floating PV Systems
• Building-Integrated Photovoltaics (BIPV)
• Carports
• Other Mounting Types

Components Covered:

• PV Modules
• Inverters
• Mounting Structures
• Cables & Wiring
• Balance of System (BOS)
• Energy Storage Systems (ESS)

Technologies Covered:

• Crystalline Silicon (c-Si)
• Thin Film

Capacities Covered:

• Below 1 MW
• 1-10 MW
• 10-50 MW
• Above 50 MW

End Users Covered:

• Government/Public Sector
• NGOs or Community-led Initiatives
• Private Sector/Independent Power Producers (IPPs)
• Commercial Enterprises
• Utility Companies
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2024, 2025, 2026, 2028, and 2032
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances