Concentrated Solar Power Market Size By Technology (Parabolic Trough, Linear Fresnel Reflector, Power Tower), By Capacity (≤ 50 MW, > 50 to ≤ 100 MW, > 100 MW), By Storage (With Storage {Molten Salt}, Without Storage) & Forecast, 2023- 2032

Concentrated Solar Power Market Size By Technology (Parabolic Trough, Linear Fresnel Reflector, Power Tower), By Capacity (≤ 50 MW, > 50 to ≤ 100 MW, > 100 MW), By Storage (With Storage {Molten Salt}, Without Storage) & Forecast, 2023- 2032

Concentrated Solar Power (CSP) Market will grow notably during 2023–2032 owing to the strict regulations and policies imposed by various governments to meet the climate change and renewable energy targets. Increasing efforts to lessen the global warming impact and a rising focus on sustainable technologies will most likely drive technology penetration in the coming years.

The declining Levelized Cost of Energy (LCOE) for solar thermal projects will be a key factor driving technology adoption during the estimated timeframe. Furthermore, constant technological innovations will result in declining technology prices over the coming years, thereby positively influencing the growth scenario for CSP market.

Overall, the concentrated solar power (CSP) industry is segmented in terms of technology, capacity, storage, and country.

By technology, the linear Fresnel reflector segment depicted an installed capacity of over 4 MW in 2022. The product will gain prominence in the coming years owing to the low material cost associated with using elastically curved or flat reflectors made of plastic. Moreover, compared to other technologies, linear Fresnel reflectors boast of a simpler structure, which reduces the maintenance cost of the unit, thus driving unit deployment in the coming years.

Based on capacity, the ≤ 50 MW capacity segment will witness huge demand due to the rising efforts toward emission reduction and stringent environmental regulations. The ability to complement industrial process heat systems, such as coal and oil-powered systems, to comply with initiatives to reduce the dependency on fossil fuels would further propel the CSP industry to deploy such units.

In terms of storage, the without-storage segment will grow considerably by 2032. Key factors such as lower material and installation costs and reduced complexity will drive the adoption of CSP projects without storage. Besides, low maintenance and space requirements will further spur technology deployment over the coming years.

Country-wise, the UAE CSP industry is anticipated to be valued at over USD 2.5 billion by 2032 end. Strict regulations and policies to reduce carbon emissions across the country will spur the adoption of CHP projects. The business outlook would further be influenced by increasing investments made by private and public entities to create effective CSP projects nationwide. In addition, a significant trend towards using renewable energy sources, which will accelerate the uptake of solar, wind, and hydropower-related technologies would stimulate the market dynamics for concentrated solar power nationwide.