Solar batteries are commonly used to store solar energy and discharge it. Lithium-ion or lead acid is used to make it. It is rechargeable and can be used to store extra energy in solar cell systems. Solar batteries are used in various applications, including solar charging stations, power plant storage, and off-grid storage systems. The market is propelled forward by rising demand for sustainable energy storage technologies. The need for solar batteries is likely to increase over the forecasted timeframe as governments worldwide promote sustainable energy sources. The use of solar storms can significantly reduce the demand for coal, oil, and other imported fossil fuels. Furthermore, the adoption of solar battery storage systems will create new jobs, perhaps opening up new investment prospects.
According to the International Energy Agency (IEA), the demand for renewable energy has grown since 2015. For example, annual solar PV capacity increased by 31% from 2016 to 100 GW in 2017. The rising demand for PV technology can be related to the increased need for sustainable energy supplies, the reduction of reliance on conventional fuels, and the reduction of carbon emissions. Furthermore, in 2019, Solar PV grew by 22% among other renewable energy sources, such as wind and hydro, due to increased demand for energy from developing countries across the Asia-Pacific region, such as India, China, and Thailand.
Rapid industrialization and urbanization have contributed to the rising demand for these energy sources. In addition, increased adoption of photovoltaic technology for energy generation has resulted from stringent government laws to limit carbon emissions created by using conventional fuels. With the rise in demand for renewable energy, solar energy consumption is expected to climb. As a result, the market for solar batteries is projected to rise.
Solar storage efficiency can be harmed by a lack of sunlight or foggy weather. However, during overcast or cloudy weather, the backup system as part of the solar collector aids in additional solar heat storage. It maintains the solar battery's functionality even on overcast and foggy days. As a result, such improvements will likely generate significant market growth prospects.
Asia-Pacific dominates the regional market with more than 40% revenue share. It is estimated to reach an expected value of USD 215 million by 2030 at a CAGR of 17.5%. This is due to increased government concern about zero-emission standards in growing countries like China, India, and South Korea. Furthermore, China, being the world's largest solar power producer, is likely to fuel the market's expansion in Asia-Pacific. Again, the expanding number of investment opportunities in new solar power projects will impact the region's market growth. VRB Energy, for example, signed a deal with the Xiangyang Municipal Government in March 2021 to build a 100 MW solar facility with a vanadium flow battery.
Europe accounts for the second-largest position in the market. It is estimated to reach an expected value of USD 175 million by 2030 at a CAGR of 15.8%. The solar battery market in Europe is studied across France, Germany, the United Kingdom, Spain, Italy, and the rest of Europe. Intense Research and Development activities and the presence of governing authorities such as the European Commission, who are sponsoring numerous solar power and energy storage initiatives, will positively impact market growth. Furthermore, significant manufacturers supplying a wide range of solar batteries for small, medium, and large projects, such as LG Chem Europe GmbH, Victron Energy, and BMZ Group, will positively impact market growth.
North America is the third-largest region and is estimated to reach an expected value of USD 40 million by 2030 at a CAGR of 9%. North America is analyzed across the US, Canada, and Mexico. Ongoing infrastructural investments and innovative city projects are the major factors influencing the commercial solar battery market growth. New infrastructural investments and solar power projects are expected to impact this market growth positively.