Agrivoltaic Market Size & Share 2025 – 2034

Agrivoltaic Market Size

The agrivoltaic market size was valued at USD 6.3 billion in 2024 and is likely to grow at a CAGR of 5.6% from 2025 to 2034, driven by large-scale solar installations and innovative solar designs integrated with agriculture. The panels offer animals and plants protection from drought and extreme heat by providing partial shade and the agrarian economies hold high potential for the utilization of such systems. According to the NREL 2023, the U.S. has identified more than 314 locations across the economy for agrivoltaic production, presenting over 2.8 GW of solar capacity combined with crop production.

The launch of newer funding schemes and stronger emphasis of cost effective co-location models will change the business environment. Growing concerns about land between the agricultural and solar activities along with ongoing adoption across developed economies including France, Germany and Italy will uplift the industry scenario.  Introduction of guidelines and standards across the economies to form the regulatory framework is set to drive the product demand.
 

Efficient production of food and electricity across the land scare regions, and utilization of abundant sunlight and vast available agricultural landscapes across the regions will contribute to the business momentum.  For instance, in 2022, the economic output of the fishery sector for Shandong province accounted for nearly 11.5% of the China’s aquaculture production. Further, the panels mounted over vegetation have lower surface temperatures enhancing the module efficiency, contributing to product penetration.
 

Agrivoltaic Market Trends

The integrated approach aiming to maximize land efficiency and provide additional economic benefits to farmers along with its significant contribution to the growth of renewable energy capacity will enhance the business scenario. According to the National Investment Promotion & Facilitation Agency, India intends to generate about 50% of its overall electric power needs from non-fossil fuel sources, with 50% of that energy coming from renewable sources by 2030.
 

Several test studies to understand the crop related benefits of agrivoltaics will drive the market growth. For instance, in 2022, a test plot of agrivoltaic systems in Kenya produced 24% larger cabbages and required 47% less water for irrigation. Additionally, key benefits for farmers, including income diversification, crop protection and better working conditions will augment the agrivoltaic market landscape.
 

Ongoing collaborative efforts among energy companies, local communities and farmers along with shifting focus on setting up the proper regulatory framework will support institute a favorable business scenario. Implementation of Agri PV systems across Italy, China, Japan, Germany and southern part of Africa will drive the product demand. For instance, the Solarpower Europe, in 2024, presented its digital map declaring more than 200 agrisolar projects present across 10 European countries.
 

Growing energy transition to clean energy sources and shifting focus on minimizing the effects of climatic crisis on agriculture will contribute to the product adoption. Increasing collaboration between research centers, nonprofit organizations, universities and startups to understand the characteristics of the local area and further add value to the projects is set to stimulate the Agri PV system penetration  in the coming years.
 

Key benefits of agrivoltaics including greater yield from land, improved biodiversity and less water consumption for irrigation will drive the market scenario. For instance, in 2024, Agrivoltaico Open Labs initiative was introduced in Italy, to test the integration of solar energy production, biodiversity protection and  agriculture. Further, Sentnet provided innovative technology of vertically arranged double sided PV modules across the demonstrative 44 KWp system.
 

Agrivoltaic Market Analysis

• Based on system design, the market is segmented into fixed and dynamic. The market was valued at USD 5.5 , USD 5.9 and USD 6.3 Million in 2022, 2023 and 2024 respectively. The fixed agrivoltaic segment will grow at a rate of over 4.5% through 2034.
   
• Fixed systems provides solar panel integration techniques which without disrupting agricultural practices, enhance land use optimum efficiency, impacting the dynamics of the industry. Moreover, increasing demand for reliable and economical energy production through solar, as well as the intention to simplify the installation process will greatly increase product uptake.
   
• The need for agricultural land optimization grows, especially where there’s less land available. This, in conjunction with the ability to boost energy yield and improve crop productivity, will further increase the need for dynamic systems. As an example, in 2022 Italy heliostats were used for the cultivation of six aromatic species. An Agri PV system with single axis tracking was used where the panels of the system were located at a height of 2.5 m above the crops.
   

• Based on the harvest type, the agrivoltaic market is segmented into root crops, vegetables and fruits. The root crops accounted for 56.7% of the market share in 2024.
   
• The vegetables market is expected to capture a share of the overall market that will be close to 20%. The stronger focus on sustainable and environmentally friendly farming along with farmers looking for more streams of income will benefit the business environment. For example, in 2024, the existing greenhouse projects in China that total 2GW capacity will grow leafy vegetables for 30% of the population in the province all year round.
   
• The root crops will grow at over CAGR 6% through 2032, owing to solar panels’ ability to prevent water evaporation coupled with research and development focused on identifying vegetable crops suitable for agrivoltaic systems.
   
• Key features including reduced evaporation, stable soil moisture, reduced risk of heat stress on crops and improved income generation for farmers will drive the market growth for agri PV systems for fruits. Further, improving microclimates and growing adoption of various pilot projects will augment the system demand.
   

• The agrivoltaic market in U.S. amounted to USD 680, USD 720 and USD 770 million in 2022, 2023 and 2024 respectively. The North America market will grow at a CAGR of more than 6% by 2034 owing to increasing demand for solar energy and limited land availability.
   

• The North America market scenario will additionally boom with smart agrivoltaic systems being incorporated for crop health and energy generation monitoring. For example, in 2024, NREL verified more than 560 ecovoltaics and agrivoltaics sites in the USA that together produce over 10,000 MW of solar energy.
   
• In Europe, the increasing local production of solar panels along with positive government policies and investment spending will also support increased demand in the industry. Take for example, the recent approval of an Italian scheme be the European Commission in the agrivoltaic $1.85 billion plan to reduce GHG emissions while increasing the renewables share within the country.
   
• The improvement in the yield varying on the crop types along with introduction of strategies to promote agrivoltaics will affect the agrivoltaic market estimates. For instance, the introduction of EU Solar Energy Strategy to promote the agricultural policy frameworks will contribute to the business momentum.
   
• In Asia Pacific, active involvement of the government across countries including Japan, China, India and Australia along with growth in solar PV systems across the economy will stimulate the market landscape. According to the world research institute, in 2023, the solar market across the Southeast Asia grew to 17% with 3 GW of new installations in comparison to 2022.
   

Agrivoltaic Market Share

• The top 3 players in the agrivoltaic industry are Sun’ Agri, Next2Sun and REM TEC owing to strong technology offerings and extensive experience. Strategic partnerships foster knowledge exchange, drive technological advancements, and promote the widespread adoption of agrivoltaic systems. Larger corporations entering into mergers or acquiring agrivoltaic startups can provide significant financial resources for scaling up projects. This contributes to market expansion by allowing for increased investments in research, development, and the deployment of Agri PV installations.
   
• Large scale demonstrative project plants across various economies to understand and test out the most suitable conditions meeting the varied project requirements define the current market scenario. The market is niche and infiltrated by large scale developers or firms contributing solutions only to the Agri PV industry.  Increasing competition and innovation in the solar industry will support lower the costs, thereby creating more options for the agrivoltaic solutions. Financial incentives/aids, development of efficient, low cost Agri PV equipment will contribute to the agrivoltaic market growth.
   
• Majority of the companies entering the market are focused on improving solar efficiency and durability and developing automated farming technologies to improve on the market dynamics. Considerable focus on developing the regulatory environment and securing government support will provide the competitive edge. Advancements including smart agrivoltaic systems, development of agriculture as a service model and adoption of co-development models will contribute to the business momentum.
   

Agrivoltaic Market Companies:

• Sun’Agri offers dynamic agrivoltaic solutions to optimize the wellbeing of plants, agronomic monitoring and  tracking. The company introduced the Carbon farm project from the USD 4.3 Million funding allocated by the European Commission. This will provide farmers with high-performance tools for sustainable agriculture, addressing the climate change challenges.
   
• REM TEC offers patented agrivoltaic solutions along with the design and installation of rooftop PV plants. It also includes thermographic and agriculture analysis with drones, along with various demonstration project to support reduce the energy consumption. Moreover, it entered into an agreement with Eni for research on specific oilseeds in an agrivoltaic environment in Italy.
   
• VALOREM group is an independent green energy operator that offers a variety of agrivoltaic solutions and research programs including DEM&TER. The company recently entered into a 20-year power purchase agreement with the agri-food company ALLIANCE Group for its agrivoltaic project in France. Further, the project will produce nearly 12.4 GWh annually.
   
• Next2Sun, is a leader in vertical bifacial agrivoltaic systems and bifacial solar fences that enable cost-effective, and environmentally friendly power generation. The company provides flexible customized solutions, with enhanced electricity yield by 10%. The company’s recent partnership with iSun, enabled to build the first vertical agrivoltaic plant in the U.S.
   

Eminent players operating in the agrivoltaics industry are:

• Agrivoltaic Solution LLC
• Chint New Energy Technology Co., Ltd.
• Cero Generation Limited
• Enel Spa
• Insolight
• iSun, Inc.
• Jinko Solar
• Next2Sun
• REM TEC
• Solaria
• Sun’Agr
• SunPower Corporation
   

Agrivoltaic Industry News

• In December 2024, the National Institute of Solar Energy (NISE), GIZ India and SunSeed APV entered into an agreement under the DeveloPPP initiative. This project will include 16.5 kW rooftop agrivoltaic solar PV solutions at NISE Gurgaon. It will further support identify optimal crops and assess the commercial feasibility of agrivoltaic urban farming. In addition, it will pave the way for scalable solutions contributing to the country’s sustainability goals.
   
• In November 2024, Next2Sun officially opened the Agri solar park in Germany equipped with innovative three row vertical Agri PV systems. the overall area of 11 hectares produces an annual output of 4,800 MWh and can power nearly 1,400 households. Further, the 4.3 MW plant includes vertical photovoltaics with row spacing set at 13.5 meters to make the best possible use of the arable land. In addition, the plant will support the company for regenerative energy generation and food production while creating value at the regional level.
   
• In September 2023, TotalEnergies acquired Ombrea, an agrivoltaics leader in France. The company aims to integrate Ombrea’s expertise and teams in its renewable activities and will offer combination of solar power and agricultural production to its farming community solutions comprising of protection against weather events, improving energy yields while adaption to climate change. Therefore, the company will enhance its development in agrivoltaic and maintain its position across the European regions.
   
• In November 2023, Cero Generation Limited started the operation of its 70 MW agrivoltaic solar project ‘Pontinia’ in Lazio, Italy. The project has 10 year virtual PPAs (Power Purchase Agreements) in collaboration with HEINEKEN and Philips and will produce clean energy to power over 47 thousand homes. The company will be significantly contributing to the goal of Italy’s carbon emission reduction, thereby, solidifying its presence in the market.
   

This agrivoltaic market research report includes in-depth coverage of the industry with estimates & forecast in terms of ‘USD Million’ from 2025 to 2034 for the following segments:

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Market, By System Design

• Fixed
• Dynamic

Market, By Harvest Type

• Root Crops
• Vegetables
• Fruits

Market, By Placement

• Ground Mounted
• Shading Nets
• Greenhouses
• Others

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Austria
  • Norway
  • Denmark
  • Finland
  • France
• Asia Pacific
  • China
  • Australia
  • India
  • Japan
  • South Korea
• Rest of World