MARKET OVERVIEW- ASIA PACIFIC FLOATING SOLAR MARKET
The Asia Pacific is the most dominant among all the regions. The floating solar market is an emerging market in floating solar PV (FPV), and many Asian countries are getting on board for floating solar installations. The growing installations of floating solar in China, India, and South Korea will all contribute to growth in these countries. Asian countries with high population density and competing uses for available land. Furthermore, the rate of floating solar is relatively high in China, Japan, and India. Thus these are some growth-inducing factors that will propel the market growth in the coming years.
MARKET DRIVERS
Water-based FPV systems such as floating solar are more efficient than land-based solar as it offers the natural cooling effect of water. It is also low in cost maintenance along with benefits such as reduced evaporation and algae growth. These factors are gowning installations of floating solar panels in the Asia Pacific. According to the study report by, ACS publications, Floating Solar systems covering just 27% of the identified suitable water bodies could produce almost 10% of the current national generation. Furthermore, the advantages such as easy system installation and adaptability to any electrical configuration, least requirement of heavyweight equipment in the installation of floating solar panels will boost the market growth.
MARKET OPPORTUNITIES
The scarcity of space for installation offers the opportunity cost of building solar panels relatively low as they are mostly idle and use only fractions of space in Addition, the benefits associated with the solar panel will boost the many opportunities over the forecast period. floating solar panel installation will drive the demand for arid wastelands and increase the estimation of unused land. Floating solar is actually more cost-effective and one can make the case that its advantages outweigh terrestrial solar. The government will add interference in the float of solar technology for renewable energy transition strategies will offer many growth opportunities over the forecast period.
MARKET RESTRAINTS
Asia Pacific floating solar market has been facing problems such as a lack of financial support from the government or investors in the solar energy field. Even though the floating solar market is much cost friendly than land-based solar panels still it has many disadvantages technology is still in development and requires more research and development over the coming time. Thus this factor is likely to hinder market growth.
MARKET GROWTH CHALLENGES
There are many challenges that residues in the market such as floating solar panel facing the inevitable limitation of finding artificial water bodies like reservoirs and dams, without technological advancement, floating solar panel is prone to the rigor of offshore waters. In addition, the market is facing the on-ground issue of lack of transmission infrastructure, setting up transmission infrastructure from the water body to nearby sub-stations are potentially a large challenge for developers and investors.
CUMULATIVE GROWTH ANALYSIS
The report provides an in-depth analysis of the Asia Pacific Floating Solar market, market size, and compound annual growth rate (CAGR) for the forecast period of 2022-2028, considering 2021 as the base year. the growing need for renewable energy sources for the environment will drive the market growth and is expected to witness growth at a specific CAGR from 2021-2028.
FLOATING SOLAR MARKET SEGMENTAL OVERVIEW
The Asia Pacific Floating Solar market is segmented based on type, capacity and country.
FLOATING SOLAR MARKET BY TYPE
Based on type, the Floating Solar market is divided into
- Stationary Floating Solar Panels
- Tracking Floating Solar Panels
The stationary floating solar panels have gained major traction in the coming period. The growth of stationary floating solar panels is attributed to the easy and low cost of installation as compared to tracking Floating Solar Panels. The stationary floating solar panel can easily mount on a body of water, such as a reservoir or other water body. It also prevents the evaporation of water and offers temperature benefits. Thus these factors are expected to drive the growth of stationary floating solar panels.
FLOATING SOLAR MARKET BY CAPACITY
By capacity, the Asia Pacific Floating Solar market is segmented into
- Below 5MW
- 5MW – 50MW
- Above 50MW
By capacity, 5MW – 50MW dominated the market. The capacity for 5MW – 50MW is largely used for the floating solar market. This capacity is ideal for floating solar installation. Thus this segment is expected to drive the market demand in the forecast period.
FLOATING SOLAR MARKET BY COUNTRY
The Asia Pacific Floating Solar market is studied for the following countries
- China
- India
- Japan
- South Korea
- Rest of the Asia Pacific
Based on the country, China is being world’s second-largest economy and is now the world’s largest renewable energy investor. According to Time reports, the Chinese government promises to spend $360 billion on clean energy projects by 2020, creating 13 million new jobs in the process. China has the aspiration to move from its reputation as a coal-guzzling, smog-blanketed polluter to the leader in sustainable energy. Now the country has even switched to the world’s largest floating solar power plant. This plant is located in the city of Huainan, in China’s eastern Anhui province. It has a capacity of 40 megawatts (MW), enough to power a small town. And hence China has been leading in the Global Floating Solar market.
COVID-19 IMPACT ANALYSIS ON THE ASIA PACIFIC FLOATING SOLAR MARKET
Axiom MRC provides a 360-degree analysis of micro and macro-economic factors in regard to the Floating Solar market. The report studied an exclusive COVID-19 impact analysis. In addition, the report also studied a complete analysis of changes in the Asia Pacific Floating Solar market, expenditure, and economic and international policies on the supply and demand side. The report also studies the impact of pandemics on Asia Pacific economies, international trade, business investments, GDP, and marketing strategies of key players present in the market. The global pandemic has hit hard to world’s energy sector. The energy sector has seen the impacts which included decreasing commodity prices for fossil energy (including oil, natural gas, and coal) as a result of decreased final energy demand and a decrease in overall power demand, but with increased demand in the residential sector and limitations on personnel mobility which slowed down project development and implementation. On the hand, the demand for sustainable energy resources is getting traction during the pandemic but supply chain disruption and demand dampen the rate of installation of floating PV in countries like India, South Korea, and Vietnam. After the post-COVID market is favored by the government renewable energy strategy and incentives related to the project completion.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of the Floating Solar market is majorly focused on expanding the Asia Pacific growth of Floating Solar with new product innovation, business expansion, and the increasing presence of a range of manufacturers operating in Floating Solar has led to the growing demand for the market. Besides, the market offers a range of products in different applications to fulfill the requirements of consumers, which is further contributing to healthy growth in the market.
The key players studied in the market are
- Ciel & Terre International (France)
- Hanwha Group (South Korea)
- JA SOLAR Technology Co. Ltd. (China)
- KYOCERA Corp (Japan)
- LONGi Solar (China)
- Trina Solar (China)
- Vikram Solar Ltd (India)
- Yingli Solar (China)
- Sharp Corporation (Japan)
- Sulzer Ltd (Switzerland)
- Itochu Corporation (Japan)
- Pristine Sun Corp (United States)
RECENT DEVELOPMENT:
July 2022: The Indian subsidiary of French floating solar pioneer Ciel & Terre International, Ciel & Terre India has completed the installation of floats, anchoring, and mooring system and the installation of 73.4 MVP floating solar plant at thermal power corporation Kerala.
October 2021: Kyocera Corp, a Japanese company, has announced it has completed restoration works on a 13.7-MW floating solar park in Chiba prefecture. The Chiba Yamakura Water Mega Solar Power Plant was damaged by the Boso Peninsula Typhoon in 2019.
