Concentrating Solar Power (CSP) Market Size & Share, by Technology (Solar Power Tower, Linear Concentrating System, Dish Stirling), Component (Solar Field, Power Block, Thermal Energy Storage Systems), Type (Stand-Alone, Storage), Application (Residential, Non-Residential, Utility) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2025-2037

  • Report ID: 4830
  • Published Date: Nov 27, 2024
  • Report Format: PDF, PPT

Global Market Size, Forecast, and Trend Highlights Over 2025-2037

Concentrating Solar Power (CSP) Market size was over USD 11.74 billion in 2024 and is anticipated to cross USD 345.05 billion by 2037, witnessing more than 29.7% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of concentrating solar power is assessed at USD 14.53 billion.The growth of the market can be attributed to the rising demand for solar energy for the production of electricity. Solar PV is rapidly becoming the most cost-effective alternative for new electricity generation in most of the world, which is projected to drive investment in the next years. According to the International Energy Agency, global solar PV power generation climbed by a record 179 TWh in 2021, representing a 22% increase over 2020. Solar PV accounted for 3.6% of worldwide electricity generation in 2016, and it is still the third largest renewable energy technology after hydropower and wind. 

 In addition to these, factors that are believed to fuel the concentrating solar power market growth of concentrating solar power include the rising production of electricity by the use of solar energy and the low cost of solar-powered electricity. According to the statistics of IRENA, the global weighted average levelized cost of electricity (LCOE) of new utility-scale solar PV declined 13% year on year to USD 0.048/kWh. Furthermore, In Europe in 2021, the lifetime cost per kWh of new solar and wind power added was at least four to six times less than the marginal generating costs of fossil fuels in 2022. On the other hand, the growing burden on fossil fuel usage and the rising need to reduce carbon emission is also expected to augment the market growth.


Get more information on this report: Request Free Sample PDF

Concentrating Solar Power Sector: Growth Drivers and Challenges

Growth Drivers

  • Growing Demand for Renewable Energy- On generating power with solar panels, no greenhouse gas emissions are sent into the atmosphere. Therefore, the need for concentrated solar power is becoming imperative in the polluted world. According to the International Renewable Energy Agency, the most capacity expansion of any renewable energy source happened in 2020 when new solar PV capacity increased by almost 125 GW globally.
  • Increasing Depletion of Fossil Fuels – The current global energy demand, fossil fuels cannot regenerate themselves quickly enough to fulfill these rising demands. The over-consumption of these non-renewable fuels has led to the need for more renewable energy to be developed. To avoid a potentially devastating rise in global temperatures, countries must limit their output of fossil fuels by 6% per year between 2020 and 2030, according to a United Nations-backed report.
  • Rising Demand for Fresh Water – The Sun heats the saltwater in the desalination machine, turning it to water vapor The Sun heats the saltwater in the desalination machine, turning it to water vapor, and condenses back to liquid as fresh water in a separate collection container. Over 40% of water bodies were very polluted, according to a UN Environment Programme examination of 75,000 water bodies in 89 nations. Furthermore, 2.3 billion people globally live in water-stressed areas.  
  • Growing Extraction of Oil – Essential oil extraction by distillation requires heat in the medium temperature range, which can be supplied by a solar thermal system. Moreover, it is also used for enhanced oil recovery of the extracted oil. In 2020, the daily global demand for oil was around 91 barrels, but by 2021, it had risen to nearly 97 million barrels.
  • Rising Government Efforts to Boost Renewable Energy –Proactive government initiatives are expected to boost the production of concentrated solar power in the world. In December 2022, the Government of India, Solar Energy Corporation of India Limited (SECI), and the World Bank signed agreements for a USD 150 million International Bank for Reconstruction and Development (IBRD) loan, a USD 28 million Clean Technology Fund (CTF) loan, and a USD 22 million CTF grant to help India increase its power generation capacity through cleaner, renewable energy sources.

Challenges

  • The Setup of Solar Panels is Expensive - CSP plants, such as solar PV and wind power, require a considerable amount of land to operate. CSP plants are only economically viable in sites with direct normal irradiation above 1800 kWh/m2/year, such as vast open fields and desert areas. Therefore, it makes concentrated solar panels costly in densely populated areas. Moreover, concentrated solar power makes extensive use of water to generate steam turbines and cool thermochemical reactors.
  • Concentrated Solar Power Consumes a Lot of Water
  • Presence of Other Alternatives, such as Fission-Based Nuclear Power

Concentrating Solar Power (CSP) Market: Key Insights

Base Year

2024

Forecast Year

2025-2037

CAGR

29.7%

Base Year Market Size (2024)

USD 11.74 billion

Forecast Year Market Size (2037)

USD 345.05 billion

Regional Scope

  • North America (U.S., and Canada)
  • Latin America (Mexico, Argentina, Rest of Latin America)
  • Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific)
  • Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)
Get more information on this report: Request Free Sample PDF

Concentrating Solar Power Segmentation

Component (Solar Field, Power Block, Thermal Energy Storage Systems)

The global concentrating solar power market is segmented and analyzed for demand and supply by component into solar field, power block, and thermal energy storage systems. Out of the three components of thermal energy storage systems, the thermal energy storage systems segment is estimated to gain the largest market share in the year 2037. The growth of the segment can be attributed to the increasing demand for energy in the time of emergencies and power outages. Thermal energy storage has the ability to raise worldwide potential long-duration storage, or LDES, capacity from roughly 1 TW to 3 TW to between 2 TW and 8 TW by 2040. Furthermore, the rising investment to boost energy conversion is also expected to augment the segment growth. In 2022, the global investment in energy transition technologies, including energy efficiency, reached an all-time high of USD 1.3 trillion. To keep on track, the annual investment must be tripled.

Application (Residential, Non-Residential, Utility)

The global concentrating solar power market is also segmented and analyzed for demand and supply by application into residential, non-residential, and utility. Amongst these three segments, the non-residential segment is expected to garner a significant share in the year 2037. Solar energy can be utilized to create heat for a wide range of industrial applications, such as water desalination, increased oil recovery, food processing, chemical production, and mineral processing. In addition to this, solar water desalination has the ability to treat extremely concentrated brines from seawater, underground aquifers, and industrial wastewaters, which would otherwise be difficult to clean for use in urban, agricultural, and industrial water sources. The growth of the segment is expected on the account of rising demand for energy from both the commercial and industrial sectors. Power consumption in the worldwide industrial sector has increased by 3% since 2000. Furthermore, the global industrial and commercial sectors consumed around 0.14 trillion kWh, or approximately 3% of overall energy consumption.

Our in-depth analysis of the global market includes the following segments:

            By Technology

  • Solar Power Tower
  • Linear Concentrating System
  • Dish Stirling

            By Component

  • Solar Field
  • Power Block
  • Thermal Energy Storage Systems

            By Type

  • Stand-Alone
  • Storage

           By Application

  • Residential
  • Non-Residential
  • Utility

Want to customize this research report as per your requirements? Our research team will cover the information you require to help you take effective business decisions.

Customize this Report

Concentrating Solar Power Industry - Regional Synopsis

North American Market Forecast

The concentrating solar power market in North America industry is set to hold largest revenue share of 35% by 2037. The growth of the market can be attributed majorly to the rising demand for energy from the commercial and industrial sectors. The industrial sector accounted for around 35% of total US end-use energy consumption and nearly 32% of overall US energy consumption in 2019. Developing solar technology for industrial processes contributes to the U.S.  Department of Energy Solar Energy Technology Office's objective of creating a carbon-free energy sector by 2050. Moreover, the rising effort by the government to boost the production of renewable energy is also expected to drive market growth in the region. Green Power Partnership (GPP) is a volunteer program launched by the U.S. government that assists organizations in their green energy procurement by providing professional advice, technical support, tools, and resources.

APAC Market Statistics

The Asia Pacific concentrating solar power market is estimated to be the second largest, registering a share of about 25% by the end of 2037. The growth of the market can be attributed majorly to the rising production of renewable energy. China and India both intend to grow installed renewable energy capacity to more than 50% by 2025 and 2030, respectively. India is the world's third-largest renewable energy generator, with non-fossil fuels accounting for 40% of installed electrical capacity. Moreover, China and India both intend to grow installed renewable energy capacity to more than 50% by 2025 and 2030, respectively. India is the world's third-largest renewable energy generator, with non-fossil fuels accounting for 40% of installed electrical capacity. Moreover, the rising installation of solar PV systems is also expected to boost the concentrating solar power market growth in the region. By July 2021, China's total installed residential PV capacity surpassed 30 GW, with around 2 million residential units hosting solar PV systems.

Europe Market Forecast

Further, the concentrating solar power market in the Europe, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2037. The growth of the market can be attributed majorly to the rising use of solar energy for the production of electricity. According to the European Commission, in 2020, the EU solar market grew by 18 GW, with solar energy accounting for 5.2% of total EU electricity generation. Solar energy is the fastest-increasing source of electricity in the EU. Besides this, solar power costs have dropped by 82% in the previous decade, making it the most cost-effective source of electricity in many parts of the EU.

Research Nester
Get more information on this report: Request Free Sample PDF

Companies Dominating the Concentrating Solar Powe Landscape

    • Abengoa
      • Company Overview
      • Business Strategy
      • Key Product Offerings
      • Financial Performance
      • Key Performance Indicators
      • Risk Analysis
      • Recent Development
      • Regional Presence
      • SWOT Analysis
    • New BrightSource, Ltd.
    • Siemens Energy
    • ACCIONA
    • Aalborg CSP A/S
    • ACWA Power International
    • Shouhang Hightech Energy Technology Co., Ltd.
    • Enel Spa
    • Trivelli Energia s.r.l.
    • Grün leben GmbH

In the News

  •  Shouhang Hightech Energy Technology Co., Ltd. announced the investment agreement with Gansu Province for the Jinta for building the molten salt tower concentrating solar power project of 100 MW capacity.

  •  ACCIONA announced the opening of Ceero Dominador concentrated solar power plant in Chile. It was built for EIG Global Energy Partner and has the capacity of 110 MW. The plant is located near the Chilean town of Mara Elena in the Atacama Desert, which has some of the world's highest amounts of solar radiation.

Author Credits:  Dhruv Bhatia


  • Report ID: 4830
  • Published Date: Nov 27, 2024
  • Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

In the year 2025, the industry size of concentrating solar power is assessed at USD 14.53 billion.

The concentrating solar power market size was over USD 11.74 billion in 2024 and is anticipated to cross USD 345.05 billion by 2037, witnessing more than 29.7% CAGR during the forecast period i.e., between 2025-2037. Increasing demand for renewable energy, rising government initiatives to boost the clean energy and rising depletion of fossil fuels will boost the market growth.

North America industry is set to hold largest revenue share of 35% by 2037, due to rising demand for energy from the commercial and industrial sectors in the region.

The major players in the market are Abengoa, New BrightSource, Ltd., Siemens Energy, ACCIONA, Aalborg CSP A/S, ACWA Power International, Shouhang Hightech Energy Technology Co., Ltd., Enel Spa, Trivelli Energia s.r.l., Grün leben GmbH
Concentrating Solar Power (CSP) Market Report Scope
logo
  GET A FREE SAMPLE

FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.

 Request Free Sample Copy

Have questions before ordering this report?

Inquiry Before Buying
Inquiry Before Buying Request Free Sample