Home > Energy And Power > Concentrated Solar Power Market Size, Share & Trends Analysis 2023-2031
Straits Research

Concentrated Solar Power Market

Concentrated Solar Power Market: Information by Technology (Power Towers, Stirling Dish), Application (Utilities, Enhanced Oil Recovery), and Region- Forecast till 2031

Table of Content Download Sample

Market Overview

The Total Addressable Market (TAM) for concentrated solar power was valued at USD 5.6 billion in 2022. It is projected to reach USD 46.12 billion by 2031, growing at a CAGR of 26.40% during the forecast period (2023–2031).

Concentrated solar power is a method of harnessing solar energy for electrical production by focusing the sun's beams to temperatures between 400 and 1,000 degrees Celsius using a system of mirrors. This energy is used in various applications, including heating fluid, which produces steam or hot air. The steam it creates is then utilized to turn turbines, which spin a generator, generating energy. While there are many different ways to collect solar energy, all rely on a heat engine driven by the sun's rays to produce electricity that is then supplied to the grid. Therefore, concentrated solar power generates zero carbon emissions.

Market Snapshot

market snapshot
Base Year
: 2022
Study Period
: 2021-2031
CAGR
: 26.40 %
Fastest Growing Market
: Europe
Largest Market
: Asia Pacific
Market Size
: 46.12 billion by 2031
Get more information on this report Download Sample Report

Market Dynamics

What are the Primary Factors driving the Market for Concentrated Solar Power?

Increased Government Initiatives to Curb Air Pollution and Rising Public Awareness of The Issue Of Carbon Emissions

Concentrated solar power is a viable carbon-free option for countries and regions with abundant sunlight. One of the primary anthropogenic drivers of climate change is the increase in atmospheric carbon dioxide from the combustion of fossil fuels like oil, coal, and gas or the felling and incineration of forests. As a result, the government is making different concrete efforts to expand the use of energy-efficient products and promote energy conservation at home or office, purchasing portable fuel canisters and using public transportation and renewable energy sources. Countries are rushing to fulfill their established targets for zero greenhouse gas (GHG) emissions while growing the share of renewable energy sources in overall electricity output, which has slowed.

What are the Main Factors that will slow down the Market for Concentrated Solar Power?

Greater Expense of Production In Comparison To Other Renewable Sources

Capital investment is required for the development of concentrated solar power. Solar tower systems consist of a heliostat field, power blocks, receiver fields, thermal energy storage, and a tower. Solar fields and heat transfer fluid systems are essential components in parabolic troughs. The IRENA reports that between 35% and 49% of the overall installed cost of parabolic trough technology projects is attributable to the solar field. Up-front investment expenses for concentrating solar power plants account for roughly 80% of the overall LCOE. As a result, this is the primary factor holding back the concentrating solar power industry.

What are the Future Opportunities for Concentrated Solar Power?

Adoption of Advanced Technologies

There is a growing global push to sustainably increase the use of renewable energy sources like solar energy, which has led to a surge in interest in concentrated solar power technology. Greenhouse gas emissions can be decreased by using this technology, which is being adopted by several countries. As a result, this is opening up the lucrative potential for players in the market. A significant element driving the concentrated solar power market is the growing need for energy in a wide range of end-use sectors, as well as the efforts of industry stakeholders to lessen reliance on conventional energy sources in a wide range of countries throughout the world. European businesses in the concentrated solar power sector can also benefit from the growing public interest and government support for solar electricity.

Segmental Analysis

The global concentrated solar power market is segmented by technology and application.

Based on technology, the global market is bifurcated into power towers, Stirling dishes, parabolic troughs, and linear Fresnel reflectors.

The power towers segment is the highest contributor to the market and is expected to grow during the forecast period. The market for power tower technology is increasing, particularly in countries with ample land for construction, as power towers require vast spaces to operate. A significant element driving revenue growth in this category during the projection period is the rising popularity of solar power towers because of their many benefits, including lower operating costs, lower water usage, and increased thermal storage capacity. As a result, the linear Fresnel market is predicted to expand rapidly in the following years. Increased demand is due to improved design and the declining cost of glass mirrors. Additionally, its widespread adoption is mainly due to its affordable installation cost and straightforward assembly technique.

Based on application, the global concentrated solar power market is bifurcated into utilities and enhanced oil recovery.

The utility segment is the highest contributor to the market and is expected to grow during the forecast period. Significant concentrated solar power project advancements in the MENA and Asia Pacific regions will decide the sector's future growth. Positive government initiatives and regulations aimed at expanding the use of renewable energy sources are expected to drive significant expansion in the utility sector throughout the projection period. In addition to storage technologies, the rising demand for renewable power generation is predicted to boost the industry. Increases in residential construction and energy consumption in emerging markets fuel the sector's expansion.

Regional Analysis

The global concentrated solar power market is bifurcated into four regions, namely North America, Europe, Asia-Pacific, and LAMEA.

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant shareholder in the global concentrated solar power market and is expected to grow during the forecast period. Concentrated solar power for relieving grid sites is seeing increased investment in India, China, and Japan, which should lead to rapid market expansion in these countries. It is anticipated that the expansion of the market in the region will be driven by the expanding demand to create continuous renewable electricity energy to support rising fiscal activities. Several variables are driving the regional market; including components' low production costs, labor costs, and high solar irradiation levels. This region is experiencing rapid expansion thanks to several factors, including a growing demand for renewable power to keep up with the region's expanding fiscal activity.

Europe is expected to grow during the forecast period. Europe is currently the world's largest electricity generator using CSP technology, which is only expected to grow in the following years. Also, the expansion of concentrated solar power in the area is anticipated to benefit from the government's supportive policies. Spain is among the world's top CSP markets mainly due to its generous feed-in tariffs and other government-backed CSP programs. Spain's expanding need for storage space and the government's recent decision to impose tariffs on imported goods have also contributed to expanding the sector there.

The North American market leads the global market for concentrated solar power (CSP) in revenue. The demand for concentrated solar power has grown as more people learn about its advantages and shift their attention to this clean, green energy. North America's concentrated solar power market has been expanding for several reasons, including rising investments in implementing cutting-edge technology. Mainstream businesses are prioritizing the North American market for concentrated solar electricity.

Over the forecast period, the Middle East and Africa are projected to have the highest revenue growth rate in the global concentrated solar power (CSP) market. Rapid industrialization, increased air pollution, more government programs to combat air pollution, a strong emphasis on renewable power generation, and rising demand for greener, more sustainable energy is all contributing reasons to the expansion of the Middle East and African markets. The availability of vast desert terrains, the region's arid environment, and the rising installation of concentrated solar plants across the region, particularly in developed countries like the United Arab Emirates and Saudi Arabia, are also contributing to the expansion of the market. Morocco is one of the world's leading users of concentrated solar power. The region is set to expand thanks to persistently large expenditures in construction and a shift in investor attention toward green energy choices.

Concentrated Solar Power Market Regional Analysis
Regional Growth Insights Download Free Sample

Top Key Players of Concentrated Solar Power Market

The global concentrated solar power market’s major key players are

  • Abengoa SA
  • Acciona S.A.
  • Siemens AG
  • Chiyoda Corporation
  • ACWA Power
  • Torresol Energy
  • SolarReserve
  • BrightSource Energy Inc
  • Areva Solar
  • Enel Green Power S.p.A
  • General Electric
  • GlassPoint Solar Company
  • INITEC Energía
  • Torresol Energy
  • Engie SA.

Report Scope

Report Metric Details
CAGR 26.40%
Forecast Period 2023-2031
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
Segments Covered
  1. By Technology
    1. Power Towers
    2. Stirling Dish
    3. Parabolic Trough
    4. Linear Fresnel Reflector
  2. By Application
    1. Utilities
    2. Enhanced Oil Recovery
Geographies Covered
  • North America
  • Europe
  • APAC
  • Middle East and Africa
  • LATAM

Recent Developments

  • October 2022- Siemens and Hilscher have joined forces to supply clients with a wide selection of adaptable communication options.
  • April 2022- Enel X and Rete Sicomoro have formed a collaboration to implement energy-saving initiatives.

Concentrated Solar Power Market Segmentation

By Technology

  • Power Towers
  • Stirling Dish
  • Parabolic Trough
  • Linear Fresnel Reflector

By Applications

  • Utilities
  • Enhanced Oil Recovery

By Regions

  • North America
  • Europe
  • Asia-Pacific
  • LAMEA

Frequently Asked Questions (FAQs)

What is the estimated growth rate (CAGR) of the Concentrated Solar Power Market?
Concentrated Solar Power Market size will grow at approx. CAGR of 26.4% during the forecast period.
Some of the top prominent players in Concentrated Solar Power Market are, Abengoa SA, Acciona S.A., Siemens AG, Chiyoda Corporation, ACWA Power, Torresol Energy, Solar Reserve, BrightSource Energy Inc, Areva Solar, Enel Green Power S.p.A, General Electric, GlassPoint Solar Company, INITEC Energía, Torresol Energy, Engie SA., etc.
Asia Pacific has been dominating the Concentrated Solar Power Market, accounting for the largest share of the market.
The Europe region is projected to exhibit the highest rate of growth in the Concentrated Solar Power Market.
The global Concentrated Solar Power Market report is segmented as follows: By Technology, By Application
Price Starts From
USD 995

Purchase Benefits

  • Eligible for a free updated report next year
  • Completely customizable scope
  • 30% discount on your next purchase
  • Dedicated account manager
  • Query resolution within 24 hours
  • Permission to print the report
Want to learn more about recent trends and data ?
They Already Trust Us :
LG Electronics
Need Assistance?
+1 646 905 0080 (U.S.)
+44 203 695 0070 (U.K.)
sales@straitsresearch.com

Report Benefits

  • Develop business strategies by understanding the trends shaping and driving the Market.
  • Drive revenues by understanding the key trends, innovative products and technologies, market segments, and companies likely to impact the Market in the future.
  • Formulate effective sales and marketing strategies by understanding the competitive landscape and by analysing the company share of market leaders.
  • Identify emerging players with potentially strong product portfolios and create effective counter-strategies to gain a competitive advantage.
  • Track sales in the global and country-specific Market.
  • Organize your sales and marketing efforts by identifying the market categories and segments that present maximum opportunities for consolidations, investments and strategic partnerships.
Report Snapshot
Looking For Custom Report ?
Check Our License Options :

As featured on :

clients
Trusted by Fortune 500
Over 30000+ subscribers