GLOBAL CONCENTRATED SOLAR POWER MARKET TO EXPAND AT WHOPPING CAGR OF 20.30% DURING 2014–2020
Several prominent players operating in the global concentrated solar power (CSP) market are tapping into expanding avenues generated by the ever-rising demand for energy worldwide, finds Transparency Market Research (TMR). In order to consolidate their positions, top players are also focusing on meeting the needs of end users in developing countries who are increasingly seeking to adopt clean energy for a low-carbon economy.
Some of the leading players operating in the global concentrated solar power are NextEra Energy Resources LLC, Ibereolica Group, Engie, TSK Flagsol, SCHOTT Solar AG, Solar Millennium AG, SolarReserve LLC, Acciona, S.A., BrightSource Energy Inc., eSolar Inc., SkyFuel Inc., Abengoa Solar S.A., and Areva Solar, notes TMR.
The global concentrated solar power market was valued at US$2.51 billion in 2013 and the opportunities in the market is projected to surge to reach a worth of US$8.67 billion by the end of 2020. The global market is projected to proliferate at 20.30% CAGR during the forecast period of 2014–2020.
The various product segments in the CSP market are parabolic trough, linear freshnel, dish stirling, and solar tower. Among these, parabolic trough accounted for the major share of the global market in 2013 and is anticipated to expand at the most attractive CAGR through the forecast period. Its prominence can be attributed to the widespread commercial usage of the technology in CSP power plants world over.
The various regional segments are Asia Pacific, Europe, North America, and Rest of the World. Of these, Europe leads the pack, vis-à-vis installed capacity, and the region is expected to continue the production rapidly through 2020. The extensive application of CSP in generating electrical power from solar energy is fueling the growth of the regional market.
Adoption of Technologies to boost Renewable Energy Productions accentuates Growth
The demand for concentrated solar power technologies is driven by the rising worldwide thrust to increase the share of renewable energy such as the solar energy in a sustainable way. Concentrated efforts of various developing and developed nations to reduce their greenhouse emissions have led a substantial impetus to the growth of the market. The burgeoning demand for energy in various sectors, coupled with efforts to reduce the reliance on conventional energy sources in several countries, is a crucial factor propelling the market growth.
Government Support in setting CSP Plants provide Robust Thrust
The growing implementation of heat storage systems is boosting the market. Constant advances in the solar-to-electric conversion technologies underpin the popularity of CSP power plants across the globe. The massive funding support by governments in emerging and developed economies to support the commercial generation of electrical energy using CSP technologies is providing a sustained fillip to the their adoption.
High Cost of Energy Generation may hinder Commercialization, Hybridization of CSP System augurs Well
However, the high cost of energy generation using concentrated solar power plants in some regions is a crucial factor that has crippled the growth of the market. Nevertheless, in recent decades, considerable efforts have been made in reducing the capital and operating costs of CSP systems. Furthermore, a growing number of industrial and commercial power plants are leveraging the potential of various CSP systems in developed countries, thereby opening lucrative avenues for market players. Recent industry efforts to use concentrated solar power plants in hybrid energy production settings augur well for the market.