Utility Scale PV Inverter Market Trends

Utility Scale PV Inverter Market Trends

The increasing allocation of public and private funding for electrification initiatives in off-grid or grid-isolated areas in developing regions is expected to have a positive impact on the string inverter market. Many rural areas in developing economies suffer from power lags and blackouts due to the lack of effective grid infrastructure. Favorable regulatory interventions and the growing number of industry participants are further stimulating the growth of the utility scale PV inverter market. In 2020, Avaada Energy Private Limited and the Asian Development Bank (ADB) announced a collaboration to invest over USD 15 million in scaling up photovoltaic solar energy generation capacity in India. Such funding activities contribute to a favorable economic environment for the deployment of sustainable electrical systems globally, thereby boosting the demand for PV inverters.
 

In the ASEAN region, the renewable capacity is projected to grow by around 52 GW during the period of 2021-2026. This growth can be attributed to the expiration of feed-in-tariff (FIT) schemes and the release of draft national long-term energy plans. Several emerging economies in the region are adopting off-grid solar PV to meet their daily energy requirements. For example, the South African Photovoltaic Industry Association is promoting the safe and quality installation of solar PV systems in residential, commercial, and utility-scale settings. In Egypt, the New and Renewable Energy Authority has created a favorable environment for small-scale solar PV projects. The country has set a target to achieve a 22% renewable share in the energy mix by 2035. The global market of micro inverter will cross USD 10.4 billion by 2032.