PUBLISHER: The Business Research Company | PRODUCT CODE: 2104685
PUBLISHER: The Business Research Company | PRODUCT CODE: 2104685
Solar electricity refers to the generation of electrical power from sunlight using technologies that convert solar radiation into usable energy. It is a key segment of the broader renewable energy industry and is widely used by residential households, commercial establishments, utilities, and industrial users seeking sustainable and cost-effective power solutions. Solar electricity is utilized during daylight hours and, when paired with storage systems, can also provide power during non-sunlight hours.
The solar electricity market consists of sales of solar electricity by entities (organizations, sole traders and partnerships) that produce and supply electricity using solar energy technologies, as well as those providing related installation, integration, and maintenance services. This market includes both distributed generation systems and utility-scale solar power projects designed to supply electricity to end users or national grids.
The global solar electricity market was valued at $66,765.7 million in 2020 which grew till 2025 at a compound annual growth rate (CAGR) of more than 16.00%.
Growing Adoption Rate Of Solar PV Installation
During the historic period, the solar electricity market was driven by the growing adoption rate of solar photovoltaic (PV) installations, as countries increasingly accelerated large-scale capacity additions to meet rising electricity demand and decarbonization targets. The rapid expansion of national-level solar deployment programs and utility-scale project commissioning significantly strengthened global installation volumes, thereby directly supporting overall market growth. For instance, in September 2025, Ember, a UK-based independent energy think tank, in the first six months of 2025, the world added 380 GW of new solar capacity - 64% higher than during the same period in 2024, when 232 GW were installed. In 2024, it took until September for global solar capacity additions to surpass 350 GW, while in 2025, the milestone was reached in June. Therefore, the solar electricity market was driven by the growing adoption rate of solar photovoltaic installations during the historic period.
Sustainability, Climate Tech & Circular Economy
Major companies operating in the solar electricity market are focusing on the advancement of high-efficiency tandem photovoltaic technologies to enhance sustainability, climate technology integration, and circular economy practices. For instance, in September 2024, Oxford PV Ltd., a United Kingdom-based solar technology company, announced the shipment of its first commercial perovskite-silicon tandem solar modules to the United States, achieving certified module efficiencies of approximately 27% for full-scale 1.7 square meter panels, with laboratory cell efficiencies exceeding 30%. These modules integrate perovskite layers with conventional silicon cells to significantly improve energy conversion efficiency, enabling higher power output per unit area and supporting compact rooftop installations in high-density urban environments. The technology enhances structural performance and thermal efficiency while reducing land footprint and balance-of-system requirements compared to traditional silicon-only modules. Furthermore, increased efficiency contributes to a reduction in material intensity by up to 50% through optimized resource utilization and supports circular economy models via improved recyclability and lifecycle performance.
The global solar electricity market is fairly concentrated, with large players operating in the market. The top 10 competitors in the market made up 32.2% of the total market in 2024.
Solar Electricity Global Market Opportunities And Strategies To 2035 from The Business Research Company provides the strategists; marketers and senior management with the critical information they need to assess the global solar electricity market as it emerges from the COVID-19 shut down.
Where is the largest and fastest-growing market for solar electricity? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The solar electricity market global report from The Business Research Company answers all these questions and many more.
The report covers market characteristics; size and growth; segmentation; regional and country breakdowns; competitive landscape; market shares; trends and strategies for this market. It traces the market's history and forecasts market growth by geography. It places the market within the context of the wider solar electricity market; and compares it with other markets.