Global Market Size, Forecast, and Trend Highlights Over 2025-2037
Solar Updraft Tower Market size was over USD 15.68 billion in 2024 and is anticipated to cross USD 291.21 billion by 2037, witnessing more than 25.2% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of solar updraft tower is estimated at USD 22.64 billion.
The rising electricity demand in the world has increased the utilization rate of solar updraft towers. The International Energy Agency (IEA) stated that global electricity demand grew by 6% in 2022 from the previous years.
A Solar Updraft Tower (SUT) is an advanced technology that produces sustainable energy using the natural convection of air heated by solar radiation. Major key players are investing hefty amounts in research and development activities to introduce more efficiency in the technology of solar updraft towers and reduce production costs. This factor is estimated to aid in attracting new opportunities for revenue generation in the upcoming years.
Global Solar Updraft Tower Sector: Growth Drivers and Challenges
Growth Drivers
- Growing Demand for Renewable Energy Sources–creates a positive environment that leads to the development and future demand for solar updraft towers. In 2021, global renewable electricity production rose by almost 7% from the previous years and recorded a 522 TWh increase.
- Increasing Adoption of Solar Equipment – To reduce the dependency on fossil-based energy, the world has been adopting various solar equipment which includes solar panels, energy storage systems, power meters, and others. This is expected to bring lucrative growth opportunities for the market. The percentage of solar photovoltaic panels installed in the year 2022 in China was 100% and India was 50% as per the estimations.
- The Need to Reduce Carbon Footprint – The rising use of non-renewable sources of electricity increases the carbon footprint across the world and adversely impacts the environment. This brings the need for solar updraft towers for energy production. It has been calculated that the global CO2 emissions from electricity production grew in 2022 by 0.9%, or 321 million tons, reaching a new high of more than 36.8 billion tons.
Challenges
- Requirement of Constant Maintenance and Construction – Usually, the maintenance of solar updraft towers requires a specific amount of dedication and money. This process could be costlier in the longer run which is projected to hamper the market growth.
- High Investment and Funds Required
- Low Tower Output in Areas with Low Solar Radiation and Variable Weather Conditions
Solar Updraft Tower Market: Key Insights
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
25.2% |
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Base Year Market Size (2024) |
USD 15.68 billion |
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Forecast Year Market Size (2037) |
USD 291.21 billion |
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Regional Scope |
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Solar Updraft Tower Segmentation
Component (Chimney/Tower, Wind Turbine, Solar Air Collector, Generator)
The wind turbine segment value is poised to be the greatest among the others with a market share of 32% by the end of 2037. Wind turbines are an imperative component of solar updraft towers for converting the thermal energy of the air in the tower into mechanical energy which could be further used for generating electricity. Furthermore, the increased electricity generation capacity by wind is also slated to favor the expansion of segment size in the forecasted timeline. It has been calculated that the amount of wind power generation rose by almost 55% in 2020 and reached 270 TWh in 2021.
Application (Residential, Industrial, Commercial)
The residential segment is set to be the largest share in the market with a value of 42% by 2037. The burgeoning population across the globe and their demand for uninterrupted power supply is predicted to bring opportunities for extensive use of solar updraft towers. Additionally, favorable government incentives and subsidies for adopting renewable sources of energy are projected to help in generating a robust revenue income.
Our in-depth analysis of the market includes the following segments:
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Component |
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Application |
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Customize this ReportGlobal Solar Updraft Tower Industry Regional Synopsis
North America Market Forecast
North America industry is predicted to dominate majority revenue share of 35% by 2037, owing to presence of numerous research institutions for the development of the latest technology in the region. The availability of funds for investing in the technology of solar updraft towers along with the presence of numerous research institutions for the development of the latest technology for building efficient solar updraft towers are considered to be major factors contributing positively to raising the market value in the future.
Asia Pacific Market Analysis
The Asia Pacific solar updraft tower market is estimated to grow at a notable pace and holds almost 24% market share by the end of the forecast timeline. The Asia Pacific is the region with high solar radiation levels which aids in solar power generation and the high focus on producing clean energy in Australia, China, and India region is estimated to help in market size expansion.
Top Featured Companies Dominating the Global Solar Updraft Tower Market
- Enviromission Limited
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- Green Power Energy
- Hyperion Solar Energy
- Pivot Energy Inc.
- Atlantis Solar
- SunPower Corporation
- New BrightSource, Ltd.
- Hanwha Q CELLS GmbH
- First Solar, Inc.
- Jinko Solar
In the News
- Enviromission Limited has signed a joint venture agreement with Dewan International Limited and DP Solrenergy India Private Limited (SOLRE) that grants permission to SOLRE to develop EnviroMission’s Solar Cyclone Tower (SCT) renewable energy technology in the Republic of India.
- Green Power Energy has achieved a milestone of completing hundreds of residential solar power installations in Hunterdon County.
Author Credits: Dhruv Bhatia
- Report ID: 4979
- Published Date: Dec 20, 2024
- Report Format: PDF, PPT
