Asia Pacific emerges as largest market for solar photovoltaic, India a bright spot
The Asia Pacific (APAC) region has emerged as the largest market for solar photovoltaic (PV) and wind installed capacity, boasting 1.18 TW and 0.67 TW in 2024, respectively, according to a new report.
Solar PV systems are poised to spearhead new investments, outpacing both onshore and offshore wind sectors.
In 2024, solar PV garnered $329.1 billion in investments. In contrast, onshore wind investments stood at $151.2 billion, while offshore wind investments reached $69.6 billion by the end of 2024, according to GlobalData, a leading data and analytics company.
“Looking ahead, the onshore wind sector is forecasted to grow to $186.9 billion and the offshore wind sector to $150.4 billion by 2030. These figures correspond to a CAGR of 4 per cent for onshore wind and an impressive 14 per cent for offshore wind, signalling robust growth trajectories for these renewable energy sources,” said Rehaan Shiledar, power analyst at GlobalData.
Renewable resources, particularly solar photovoltaic (PV) and wind energy, are gaining a larger share in the energy portfolio globally.
Driven primarily by declining costs and strong policy support, particularly for solar PV and wind energy, the global renewable power installed capacity is estimated to surge from 3.42 TW in 2024 to 11.2 TW by 2035.
Another industry report said earlier this month that India’s solar PV balance of system (BoS) market is on a robust growth trajectory and is projected to grow from approximately $3 billion in 2024 to around $7 billion by 2029, registering a compound annual growth rate (CAGR) of 16 per cent.
Several factors are driving this growth, including India’s national target of 500 GW non-fossil fuel capacity by 2030 and the commitment to generate 50 per cent of its electricity from renewable sources, according to 1Lattice’s latest industry report.
It further stated that enabling schemes like PM-KUSUM, the Grid Connected Rooftop Solar Programme, and the Delhi Solar Energy Policy are helping to democratize solar adoption across rural and urban areas, bringing new opportunities for innovation, manufacturing, and investment in the BoS space.
