Photovoltaic Installation Projected To Surge

ALBANY, N.Y. — The amount of building applied photovoltaics (BAPV) installations will more than double by 2020, according to a market research report from Transparency Market Research.

The report, “Building Applied Photovoltaics (BAPV) Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2013 – 2020,” gives analysis and a forecast of the global BAPV market in terms of annual installations (MW) and revenues. Annual installations in 2013 were 313.4 MW; this number is expected to jump to 716.7 MW by 2020.

The key product segments analyzed in the study included rooftops and facades. Rooftops made up the largest BAPV segment, accounting for about 54 percent of market share in 2013. The facades segment is also showing significant demand, however, due to growing applications in commercial and industrial sectors. This segment is expected to be one of the fastest-growing product segments in the next two to four years. Rooftop products were in high demand in 2013, and the growing popularity of the facades segment is likely to boost its growth rate.

North America dominated the global BAPV market in 2013, accounting for more than 31 percent of market share. The financial incentive through the SunShot initiative has boosted growth of the BAPV market in recent years, according to research. The initiative from the Department of Energy drives research and manufacturing to make solar energy more affordable.

Europe was the second largest market for BAPV products, accounting for more than 28 percent of market share in 2013. The global BAPV market saw significant growth during the recent past, primarily due to implementation of strict environmental regulations.

Some of the key players in the market include First Solar of Tempe, Ariz.; Ascent Solar Technologies of Thornton, Colo.; Pythagoras Solar, based in Israel; Sapa Solar, based in Oslo; and Centrosolar AG, based in Munich. These providers accounted for more than 40 percent of market share in 2012.

The research report also points to old building structures as being a source of new opportunities for BAPV products. Europe and North America have begun practicing Feed-in Tariff (FIT) schemes, an incentive to invest in renewable energy technologies. These FITs allow end users to generate electricity through BAPV systems and supply surplus electricity to the conventional power grid. Market research predicts that rising energy prices along with supportive incentive schemes by several governments are likely to drive market growth over the next few years.

Market researchers expect that growing awareness of solar energy and global acceptance with strong regulatory support across various regions will help grow the BAPV market. Simplicity and cost-effectiveness of the zero energy building (ZEB) concept are likely to offer new opportunities for the BAPV market in the next few years, which will boost demand for BAPV products. However, the market research report found the relatively high cost compared to conventional electricity cost per watt has hindered growth of the BAPV market. Yet, this barrier is expected to be overshadowed over the next few years with technological development and cost-effective solutions.