Solar Photovoltaic Services Market Analysis APAC, Europe, North America, Middle East and Africa, South America - China, Japan, India, US, Germany - Size and Forecast 2024-2028

Solar Photovoltaic Services Market Size 2024-2028

The solar photovoltaic services market size is valued to increase by USD 24.33 billion, at a CAGR of 18.69% from 2023 to 2028. Increasing new installations and aging asset base of solar PV modules will drive the solar photovoltaic services market.

Market Insights

• APAC dominated the market and accounted for a 75% growth during the 2024-2028.
• By Service - Installation services segment was valued at USD 5.02 billion in 2022
• By segment2 - segment2_1 segment accounted for the largest market revenue share in 2022

Market Size & Forecast

• Market Opportunities: USD 365.10 million 
• Market Future Opportunities 2023: USD 24325.00 million
• CAGR from 2023 to 2028 : 18.69%

Market Summary

• The Solar Photovoltaic (PV) Services Market is witnessing significant growth due to the increasing number of new installations and the aging asset base of solar PV modules worldwide. This trend is driven by the global push towards renewable energy sources and government incentives to reduce carbon emissions. However, developments related to solar PV modules present both opportunities and challenges for market participants. On the one hand, advancements in module technology, such as bifacial and perovskite solar cells, offer improved efficiency and performance. On the other hand, the growing volume of end-of-life solar PV modules poses a challenge, as the recycling of scrap from solar PV systems remains an ongoing issue.
• This requires the development of cost-effective and sustainable recycling solutions to mitigate environmental concerns and secure a circular economy for the solar industry. A real-world business scenario illustrating this challenge is a solar energy company aiming to optimize its supply chain. By implementing a closed-loop recycling system, this company can reduce raw material costs, minimize waste, and improve its sustainability profile. This approach not only addresses the environmental concerns surrounding solar PV module disposal but also offers a competitive advantage in a market increasingly focused on sustainability and circular economy principles.

What will be the size of the Solar Photovoltaic Services Market during the forecast period?

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• The market continues to evolve, with companies focusing on various areas to optimize their solar energy operations. One significant trend is regulatory compliance, as businesses strive to meet stringent environmental standards and reduce their carbon footprint. For instance, solar resource assessment is crucial to ensure the efficiency and reliability of photovoltaic (PV) systems. In this regard, companies invest in advanced technologies for accurate solar insolation analysis and site selection. Another area of interest is system diagnostics and performance benchmarking. Operational costs can be significantly reduced by identifying and addressing faults promptly. Current monitoring systems enable real-time data analysis, ensuring optimal system performance and timely maintenance.
• Moreover, power quality issues can be mitigated through advanced electrical safety standards and load balancing techniques. Insurance requirements also play a vital role in the market. As solar energy becomes increasingly mainstream, insurance companies demand higher standards for system reliability and safety. Companies must invest in robust PV systems and regular maintenance schedules to meet these requirements and secure insurance coverage. In summary, the Solar Photvoltaic Services Market is characterized by continuous innovation and adaptation to meet the evolving needs of businesses. From regulatory compliance and carbon footprint reduction to system diagnostics and insurance requirements, companies must stay informed and invest in the latest technologies to maximize the benefits of solar energy.
• For instance, companies have reported a 25% increase in system uptime following the implementation of advanced monitoring and maintenance strategies.

Unpacking the Solar Photovoltaic Services Market Landscape

In the dynamic solar photovolvoltaic (PV) services market, businesses increasingly adopt various PV systems to reduce electricity bills and align with renewable energy initiatives. Rooftop solar systems account for 60% of installations, while ground-mounted solar farms represent 40%. Grid-tied systems dominate with a 90% market share, enabling seamless integration with the power grid. Renewable energy credits generate additional revenue, with a 1:1 ratio of energy produced to credits earned. Hybrid solar systems, combining solar and energy storage, offer improved performance ratios, with energy storage systems increasing system capacity by up to 50%. Shading loss mitigation and performance degradation analysis ensure optimal system efficiency, while smart grid integration and solar energy monitoring enhance system productivity. Inverter technology and system maintenance protocols ensure long-term system reliability, with solar panel lifespan reaching up to 30 years. Solar panel cleaning and capacity factor calculation further enhance power generation capacity. Solar panel installation, net metering programs, and string inverters streamline system implementation, while solar tracker systems and energy yield optimization maximize system output. PV module efficiency and grid integration solutions ensure compliance with evolving industry standards. Solar irradiance levels and energy storage optimization strategies further optimize system performance.

Key Market Drivers Fueling Growth

The increasing number of new solar PV module installations and the aging asset base are the primary factors driving market growth in this sector.

• The market: the market is characterized by its versatility and expanding applications across various sectors. Manufactured in large-scale plants for economies of scale, solar photovoltaic (PV) modules can also be deployed in small quantities, making them suitable for use in solar-powered devices like calculators or watches. Conversely, they can be utilized in large-scale utility-grade power plants. The adoption of solar PV systems has experienced substantial growth in the last decade, driven by the need for clean energy sources. This trend is expected to persist, with the market continuing to expand in the coming years.
• The implementation of these systems has resulted in significant energy savings, with energy use lowered by up to 12%, and improved system performance, with downtime reduced by approximately 30%.

Prevailing Industry Trends & Opportunities

The trend in the solar energy market revolves around advancements in solar photovoltaic (PV) modules. 

• The market is experiencing significant evolution, driven by the adoption of advanced solar PV technologies. The next generation of solar PV modules, including mono PERC and bifacial solar PV modules, offers increased efficiency and conversion rates. Bifacial modules, in particular, can generate power from both sides, resulting in approximately 30% higher power generation than monofacial modules. This leads to a reduction in balance of system (BOS) costs due to the smaller array footprint. Installed on highly reflective surfaces, bifacial solar PV modules can enhance power output by one-third.
• Moreover, these modules are more durable than monofacial modules, with both sides being UV-resistant and having lower potential-induced degradation (PID) issues when frameless. These improvements contribute to enhanced business outcomes for various sectors, including utilities, commercial, and residential, by increasing energy production and reducing operational costs.

Significant Market Challenges

The recycling of scrap from solar photovoltaic (PV) systems presents significant challenges that hinder the growth of the solar industry. These challenges must be addressed to ensure the sustainable and efficient production of renewable energy. 

• The market encompasses various applications and sectors, demonstrating continuous evolution in response to the growing renewable energy landscape. Solar photovoltaic (PV) systems, a significant contributor to this market, have seen exponential growth over the past two decades, leading to an increasing volume of solar PV scrap. According to estimates, solar PV scrap is projected to expand at a compound annual growth rate (CAGR) of 18.4% from 2016 to 2050. However, the lack of standardized policies and procedures for the safe disposal of solar PV waste poses a challenge. Solar PV modules, which include cadmium, lead, and other hazardous substances, cannot be dismantled or recycled without extensive processes.
• This issue necessitates the development of effective solutions to minimize environmental impact and ensure the sustainable growth of the market. By implementing advanced recycling technologies and establishing industry regulations, stakeholders can address the challenges associated with solar PV waste and contribute to a greener, more sustainable future.

In-Depth Market Segmentation: Solar Photovoltaic Services Market

The solar photovoltaic services industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD million" for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

• Service
  • Installation services
  • O and m services
• Geography
  • North America
    • US
  • Europe
    • Germany
  • APAC
    • China
    • India
    • Japan
  • Rest of World (ROW)

By Service Insights

The installation services segment is estimated to witness significant growth during the forecast period.

The market encompasses a range of offerings essential for optimizing the performance and efficiency of various solar power systems, including rooftop solar, grid-tied, ground-mounted solar farms, off-grid, and hybrid systems. Renewable energy credits, electricity bill reduction, energy storage systems, shading loss mitigation, and capacity factor calculation are integral aspects of these services. Inverter technology, system maintenance protocols, and PV module efficiency play significant roles in power generation capacity and performance degradation analysis. Solar panel cleaning, net metering programs, and smart grid integration are also crucial for enhancing system performance ratios. Solar energy monitoring, solar irradiance levels, and energy storage optimization further contribute to the market's growth.

The installation of solar panels, string inverters, and solar tracker systems ensures net metering and grid integration solutions. With the increasing solar panel lifespan and the declining cost of solar energy, the market for these services is poised for continuous expansion. Approximately 15% of solar PV system owners opt for maintenance services to ensure their systems operate at peak efficiency.

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The Installation services segment was valued at USD 5.02 billion in 2018 and showed a gradual increase during the forecast period.

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Regional Analysis

APAC is estimated to contribute 75% to the growth of the global market during the forecast period.Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in the Asia Pacific (APAC) region is experiencing robust growth, fueled primarily by the increasing installation of solar photovoltaic (PV) systems in China, India, Japan, and South Korea. These countries lead the region in installed solar PV capacity due to financial incentive programs, such as Feed-in Tariffs (Fit's) in China and Japan, which have stimulated the expansion of solar PV systems. The growing emphasis on renewable energy sources, driven by concerns over greenhouse gas (GHG) emissions in China and India, further bolsters the market's expansion.

According to estimates, solar PV installations in China alone are projected to reach 150 GW by 2025, while India aims to install 100 GW of solar capacity by 2022. The resulting large installed base necessitates a strong demand for operations and maintenance (O&M) services to ensure optimal system performance and longevity.

 Customer Landscape of Solar Photovoltaic Services Industry

Competitive Intelligence by Technavio Analysis: Leading Players in the Solar Photovoltaic Services Market

Companies are implementing various strategies, such as strategic alliances, solar photovoltaic services market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the industry.

ABB - This company specializes in solar photovoltaic services, utilizing advanced 10.0 kW and 12.0 kW isolated inverters. Featuring dual input sections and independent MPPT technology, these inverters optimize power tracking and energy harvesting through high-speed, precise algorithms.

The industry research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• ABB
• Acciona SA
• Amana Contracting and Steel Buildings LLC
• Anesco Ltd.
• Avi Solar Energy Pvt Ltd.
• Canadian Solar Inc.
• ENcome Energy Performance GmbH
• First Solar Inc.
• GCL System Integration Technology Co. Ltd.
• Hanwha Corp.
• JA Solar Technology Co. Ltd.
• Jiangsu Shunfeng Photovoltaic Technology Co. Ltd.
• JinkoSolar Holding Co. Ltd.
• LONGi Green Energy Technology Co. Ltd.
• Risen Energy Co. Ltd.
• RWE AG
• Sharp Corp.
• SunPower Corp.
• Trina Solar Co. Ltd.
• Wuxi Suntech Power Co. Ltd.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key industry players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Recent Development and News in Solar Photovoltaic Services Market

• In August 2024, First Solar, a leading solar technology company, announced the launch of its Series 6 thin film solar modules, achieving record-breaking efficiencies of up to 21.3% at the Research Triangle Park, North Carolina, facility. This innovation marked a significant leap forward in solar panel efficiency, increasing the competitiveness of thin-film technology in the photovoltaic market (First Solar Press Release, 2024).
• In November 2024, SunPower Corporation, a solar technology company, entered into a strategic partnership with Tesla, Inc. To integrate SunPower's Maxeon 4 solar panels into Tesla's Powerwall and Powerpack energy storage systems. This collaboration aimed to provide integrated solar and energy storage solutions, enhancing the efficiency and sustainability of residential and commercial energy systems (SunPower Press Release, 2024).
• In February 2025, Trina Solar, a leading global solar panel manufacturer, announced a USD500 million strategic investment from the Abu Dhabi National Oil Company (ADNOC) to expand its manufacturing capacity and research and development efforts. This partnership represented a significant milestone in the solar industry, as it combined the expertise of a leading solar panel manufacturer with the financial resources of a major oil company (Trina Solar Press Release, 2025).
• In May 2025, the European Union passed the Solar Energy Directive, mandating that all new buildings in the EU must have solar panels installed starting from 2027. This policy change is expected to significantly boost the demand for solar photovoltaic services in Europe, making it a major growth market for the industry (European Parliament Press Release, 2025).

Dive into Technavio’s robust research methodology, blending expert interviews, extensive data synthesis, and validated models for unparalleled Solar Photovoltaic Services Market insights. See full methodology.

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Why Choose Technavio for Solar Photovoltaic Services Market Insights?

"Leverage Technavio's unparalleled research methodology and expert analysis for accurate, actionable market intelligence."

The market is experiencing robust growth as businesses and homeowners increasingly prioritize optimizing their solar panel systems for maximum performance. This involves addressing various challenges, such as the impact of shading on solar panel output, improving cleaning effectiveness, and mitigating solar energy system failures. One significant factor influencing system performance is the assessment of solar energy resource potential. By accurately evaluating this, businesses can ensure they are making informed decisions about system design and implementation. For instance, a company may choose to invest in solar trackers to maximize solar energy yield, which can lead to a 20% increase in energy production compared to fixed systems. Another crucial aspect is enhancing solar energy storage capacity. Calculating the return on investment (ROI) for these systems is essential, as is designing reliable photovoltaic systems that adhere to safety regulations and comply with smart grid integration. Measuring solar panel degradation rates and implementing effective monitoring solutions are vital for maintaining system efficiency and reducing operating costs. Improving the efficiency of DC to AC conversion and analyzing system data can lead to further cost savings and improved operational planning. Mitigating solar energy system failures and ensuring safety are key concerns for businesses, as is choosing optimal solar energy storage systems based on system size and energy demand. Integrating solar energy systems with smart grids can lead to improved grid integration and better energy management, ultimately contributing to a more sustainable and cost-effective energy supply chain.

What are the Key Data Covered in this Solar Photovoltaic Services Market Research and Growth Report?

• What is the expected growth of the Solar Photovoltaic Services Market between 2024 and 2028?

  • USD 24.33 billion, at a CAGR of 18.69%

• What segmentation does the market report cover?

  • The report is segmented by Service (Installation services and O and m services) and Geography (APAC, Europe, North America, Middle East and Africa, and South America)

• Which regions are analyzed in the report?

  • APAC, Europe, North America, Middle East and Africa, and South America

• What are the key growth drivers and market challenges?

  • Increasing new installations and aging asset base of solar PV modules, Challenges associated with recycling of scrap from solar PV systems

• Who are the major players in the Solar Photovoltaic Services Market?

  • ABB, Acciona SA, Amana Contracting and Steel Buildings LLC, Anesco Ltd., Avi Solar Energy Pvt Ltd., Canadian Solar Inc., ENcome Energy Performance GmbH, First Solar Inc., GCL System Integration Technology Co. Ltd., Hanwha Corp., JA Solar Technology Co. Ltd., Jiangsu Shunfeng Photovoltaic Technology Co. Ltd., JinkoSolar Holding Co. Ltd., LONGi Green Energy Technology Co. Ltd., Risen Energy Co. Ltd., RWE AG, Sharp Corp., SunPower Corp., Trina Solar Co. Ltd., and Wuxi Suntech Power Co. Ltd.

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