Solar EPC Market Size, Share, By Energy Source, Project Type, System Size, End-Use, and By Region - Trends, Analysis and Forecast till 2035

• Solar EPC market size is expected to grow at USD 459.8 Billion by 2035.
• The target market was valued at USD 249.16 Billion in 2024.
• Target market is expanding at a CAGR of 7%.

EPC in the solar industry means engineering, procurement, and construction. It is a term that is widely used by companies that provide end-to-end solar energy services, including designing the system, giving procurement details about the system, and installing it. Target Market is driven by increasing demand for renewable energy sources, implementation of government policies, and expansion of residential and commercial solar installations. In addition, increasing adoption of integrated solar and battery storage solutions, rising popularity of solar micro grids and off-grid systems are another factors propelling growth of the global market. Furthermore, technological advancements, which increases the efficiency and cost-effectiveness of production is also anticipated to create opportunities for growth of the global market over the forecast period.

Key Takeaways:

• North America held the largest share of the market in 2024 due to increasing adoption of solar energy.
• Asia Pacific is projected to be the fastest-growing market in the forthcoming years due to the increased government support.

Key Drivers of Target Market:

Rising Demand of Residential Solar EPC can Drive Market Expansion

Demand for residential solar EPC is rising as solar power is pollution-free, causes no greenhouse gases to be emitted after installation, increasingly affordable, works in variety of climates, improve air quality, and reduce water uses from energy production which drives market growth. Additionally, collaboration between companies, new product and campaign launch also drives the solar EPC market growth.

• For instance, in June 2024, Tata Power Solar Systems Ltd (TPSSL), subsidiary of Tata Power, launched a nation-wide campaign to encourage consumers to install residential solar rooftop solutions.
• For instance, in January 2024, Servokon Systems Limited, a prominent player in the power conditioning equipment and transformer manufacturing sector, introduced an all-encompassing solar financing program aimed at facilitating the widespread adoption of solar energy among homeowners and businesses. This initiative underscores Servokon’s commitment to advancing renewable energy solutions and contributing to a greener world.

Restraints:

Roof Limitations can hamper the Growth of the Market

Roofs facing the sun at an angle are better equipped to receive sunlight for maximum production. Alongside, it required proper building materials and space for installation.

• Counterbalance Statements: One of the major solutions to this problem is usage of non-penetrating mounting systems, installation of solar EPC in an area with sun exposure, usage of solar panel tracking systems, and others.

Opportunities:

New Innovations & Technological Trends to Create Significant Opportunities in Upcoming Years

The solar energy sector has undergone a radical transformation in recent years due to new innovations and technological advancements. It enhance functionality, efficiency, and performance. Advanced technologies or new innovations, such as pervosktie tandem solar cells, photovoltaic technologies, bifacial solar panels, solar tracking systems, shift toward decentralized energy systems, and others used in solar EPC.

• For instance, in September 2024, India is set to spearhead a transformative shift in renewable energy with the recent signing of a Memorandum of Understanding (MoU) between Yashika Energy Systems, Next2Sun Germany, and Wattkraft India at RE-INVEST 2024. This landmark partnership introduces a groundbreaking vertical solar technology that aims to both enhance energy production and preserve agricultural land

The market is segmented based on energy source, project type, system size, end-use, and region.  

Energy Source

On the basis of energy source, the solar EPC market is bifurcated into photovoltaic solar and concentrates solar power. The photovoltaic solar dominate the target market growth as these system can convert sunlight directly into electricity using silicon or other materials.

• For instance, in September 2024, rPlus Energies announced the groundbreaking of the Green River Energy Center, a 400-megawatt (MW) solar PV and 400 MW/1,600 megawatt-hour battery storage project in Eastern Utah. One of the largest solar-plus-storage projects under construction in the nation, Green River Energy Center will supply power to PacifiCorp under a power purchase agreement.

Project Type

The solar EPC market by project type is classified into rooftop solar project, ground-mounted solar projects, and floating solar projects. The rooftop solar project holds the largest share of the market with 54% of total market share due to increasing government incentives, rising consumer awareness, and others.

• For Instance, in August 2024, Gensol Engineering secured a 16-megawatt rooftop solar project from a textile company in Madhya Pradesh. The repeat order has been secured under the commercial and industrial (C&I) segment of the company, adding that the project will be set up on engineering, procurement and construction (EPC) basis.

System Size

The solar EPC market by system size is segmented into small scale solar EPC (up to 1MW), medium scale solar EPC (1-10MW), and large scale solar EPC (Over 10MW). The large scale solar EPC (Over 10MW) segment is expected to hold the largest solar EPC market growth during the forecast period due to its increasing demand and adoption.

• For Instance, in June 2024, Himachal Pradesh CM Sukhvinder Singh Sukhu announced the foundation stone of 10MW solar power project at Aghlor in Kutlehar assemble constituency of Una district.

End-Use

The solar EPC market by end use is segmented into residential, commercial & utility, and industrial. The commercial & utility segment holds the largest share of the market due to increasing demand and widespread usage.

• For instance, in November 2024, Gensol Engineering, a renewable energy sector brand focusing on solar power engineering, procurement, and construction (EPC) services, has announced the acquisition of a significant turnkey EPC order from a major public sector utility in Maharashtra. The project entails the development of a 150 MWac ground-mounted solar photovoltaic (PV) power plant, valued at ?780 crore. The execution period for the project is set at fifteen months.

Regional

Geographically, the market is studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

North America: North America is expected to dominate the growth of the market during forecast period due to the increasing demand renewable energy sources, government support, rising environmental awareness, decreasing costs of solar panel modules, and others.  

• For instance, in October 2024, Greening, a global and diversified company focused on the generation, construction of projects, and commercialization of renewable energy, has been awarded the construction of a 60 MWac photovoltaic power generation plant that will supply renewable energy to a major technology company at one of its facilities in the state of Indiana.

Asia Pacific: Asia Pacific is considered to be the fastest growing region in the target market as countries, such as India, China, and many more are leading the charge significantly due to high rate of solar energy adoption, government policies, growing demand, presence of large scale solar projects, and others. 

• For instance, in May 2024, Trina Solar, a global leader in smart PV and energy storage solutions, has signed a memorandum of understanding (MOU) with two Korean companies to develop solar projects in Korea totaling 100MW by end of 2025, helping to accelerate the RE100 movement in the country

Solar EPC Market Report Scope:

Segmentation:

By Energy Source:

• Photovoltaic Solar
• Concentrated Solar Power

By Project Type:

• Rooftop Solar Project
• Ground-Mounted Solar Projects
• Floating Solar Projects

By System Size:

• Small Scale Solar EPC (Up to 1MW)
• Medium Scale Solar EPC (1-10MW)
• Large Scale Solar EPC (Over 10MW)

By End Use:

• Residential
• Commercial & Utility
• Industrial

By Region:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • U.K.
  • France
  • Russia
  • Italy
  • Spain
  • Netherlands
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • Indonesia
  • Malaysia
  • South Korea
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • Israel
  • South Africa
  • Rest of Middle East & Africa

The key players operating in the Solar EPC market include Tata Power Solar Systems Ltd., STERLING AND WILSON RENEWABLE ENERGY LIMITED, VIKRAM SOLAR LTD., WAAREE, SOLV Energy, and among Others. These key players focusing on different organic and inorganic strategies such as acquisition, merger, partnership, agreement, product launch and approval to expand their product portfolio and strengthen their market presence globally.

List of Key Players in the Market:

• Tata Power Solar Systems Ltd.
• STERLING AND WILSON RENEWABLE ENERGY LIMITED
• VIKRAM SOLAR LTD.
• WAAREE
• SOLV Energy
• Rosendin Electric, Inc.
• First Solar
• JA SOLAR TECHNOLOGY CO., LTD.
• Jinko Solar
• Hanwha Solutions
• Complete Solar
• LONGi
• RISEN ENERGY CO., LTD.
• CANADIAN SOLAR

• In December 2024, SolarWadi, a leading renewable energy developer in Oman, proudly announced the signing of an EPC (Engineering, Procurement, and Construction) contract with Nafath Energy, a distinguished Omani EPC contractor in the solar energy sector, to execute the solar power plant at the Arab Open University in Muscat. This project marks a significant step forward in achieving both the university’s and Oman’s ambitious decarbonization targets.
• In December 2024, Gamuda Bhd's Australian subsidiary DT Infrastructure Pty Ltd has secured an A$625 million (RM1.8 billion) engineering, procurement and construction (EPC) job for the Goulburn River Solar Farm project. In a filing with Bursa Malaysia on Monday, Gamuda said DT Infrastructure’s role in the project will include the civil, structural and electrical infrastructure required for the 585MW solar farm commencing Jan 1, 2025.

Analyst View:      

The industry for solar EPC market is placed for substantial growth due to the increasing demand for renewable energy sources, implementation of government policies, and expansion of residential and commercial solar installations, increasing adoption of integrated solar and battery storage solutions, and rising popularity of solar micro grids and off-grid systems. New innovations and development, advance technologies, and many collaborations and partnerships helps to boost the growth of the market in upcoming years.

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