Residential Solar (PV) Inverter Market Forecasts to 2030 – Global Analysis By Product (String Inverter, Micro-Inverter, Central Inverter and Other Products), Phase (Single Phase, Three Phase and Other Phases), Connection (On-grid , Off-grid and Other Conn

Residential Solar (PV) Inverter Market Forecasts to 2030 – Global Analysis By Product (String Inverter, Micro-Inverter, Central Inverter and Other Products), Phase (Single Phase, Three Phase and Other Phases), Connection (On-grid , Off-grid and Other Connections), End User (Residential , Commercial , Utilities and Other End Users) and By Geography

According to Stratistics MRC, the Global Residential Solar (PV) Inverter Market is accounted for $5.89 billion in 2023 and is expected to reach $14.12 billion by 2030 growing at a CAGR of 13.3% during the forecast period. A PV inverter is another name for a solar inverter. It plays a crucial role in converting direct current to alternate current in the solar energy system. A solar PV inverter converts a photovoltaic solar panel's variable direct current output into 240V of alternating current. Then, this AC energy is delivered to residential areas, where it powers a variety of appliances. Solar inverters are regarded as dependable energy sources that significantly lower electricity costs.

According to the UN, there will be 7.8 billion people on the planet in 2020, and 1 billion of them won’t have access to electricity. With 8.6 billion people on the earth by 2030, there will be an even larger need for energy

Market Dynamics:

Driver:

Increasing demand for renewable energy

A global push is taking place to adopt renewable energy sources as worries about climate change and environmental sustainability grow. Residential solar installations are becoming more common because they can lessen reliance on fossil fuels. Solar power stands out as a clean and abundant energy option. Additionally, solar inverters play a key role in enabling households to contribute to a future with cleaner energy by converting the direct current (DC) electricity generated by solar panels into alternating current (AC) electricity suitable for home consumption.

Restraint:

Solar energy's irregular nature

The production of solar energy is inherently reliant on the type of weather, the time of day, and the location. Solar inverters are needed to effectively manage the dynamic input because this intermittency may cause fluctuations in energy production. Moreover, advanced inverters with voltage regulation and MPPT (Maximum Power Point Tracking) features are essential for maximizing energy conversion and sustaining steady output even in periods of partial shade or low sunlight.

Opportunity:

Innovations in energy storage

The market for residential solar inverters has a great opportunity thanks to the ongoing improvements in energy storage technologies. Furthermore, solar inverters can take advantage of these advancements to maximize energy utilization as energy storage solutions become more effective, affordable, and long-lasting. By intelligently charging and discharging batteries, inverters with cutting-edge energy management algorithms can make the most of extra solar energy and give homeowners a reliable power supply even when it's cloudy outside.

Threat:

Non-renewable energy sources competitors

Fossil fuels and other non-renewable energy sources are still competitive in terms of price and practicality. Additionally, the threat of the affordability of non-renewable energy can cause consumer preferences to change away from solar installations during times of low oil and gas prices. The market's growth momentum may be hampered by a lack of urgency to switch to solar energy and perceptions of greater reliability from conventional sources.

Covid-19 Impact:

The COVID-19 pandemic had a significant effect on the residential solar inverter market, leading to supply chain disruptions, installation delays, and decreased consumer spending. Project delays and cancellations affected manufacturing and distribution because of lockdowns, travel restrictions, and economic uncertainty. Although the pandemic made resilient energy sources more important, the market's expansion was hampered by the initial installation slowdown and financial limitations. However, a renewed interest in residential solar solutions and their essential components, such as solar inverters, is being driven by increased awareness of the advantages of renewable energy, which is occurring as economies recover and the focus on clean energy increases.

The string inverters segment is expected to be the largest during the forecast period

During the anticipated period, the residential solar inverter market will be dominated by the segment of string inverters. Moreover, due to their low cost, simple installation, and suitability for various residential solar setups, string inverters are widely used. They are especially well-liked in residential settings where a line of solar panels is linked to a single inverter, streamlining the system design and lowering overall installation costs.

The residential segment is expected to have the highest CAGR during the forecast period

The residential segment is anticipated to have the highest CAGR in the solar energy market during the forecast period. Moreover, this growth is due to a number of factors, including rising consumer awareness of environmental sustainability, falling solar equipment prices, government incentives, and rising homeowner interest in energy independence. The segment has rapidly expanded in part because smaller-scale residential solar systems, which include solar panels and inverters, are simple to install.

Region with largest share:

The largest market share for residential solar inverters is held by the Asia-Pacific region during the forecast period. With the help of aggressive renewable energy targets, supportive governmental policies, and rising public awareness of sustainable energy options, nations like China, Japan, India, and Australia have been at the forefront of this growth. Moreover, the region is a major hub for residential solar installations and the associated market for solar inverters due to its expanding middle class, rapid urbanization, and growing population. These factors have all contributed to an increase in demand for clean energy sources.

Region with highest CAGR:

The residential solar inverter market has experienced the highest CAGR during the forecast period in the North America region, which includes the United States and Canada. This growth is fuelled by rising environmental consciousness, financial incentives from the government, falling solar panel prices, and improvements in energy storage technologies. Additionally, residential solar installations have increased significantly, increasing the demand for solar inverters as a result of the area's commitment to reducing carbon emissions and switching to renewable energy sources.

Key players in the market

Some of the key players in Residential Solar (PV) Inverter market include Schneider Electric SE, General Electric, Altenergy Power System, Inc., Huawei Technologies Co., Ltd., SolarEdge Technologies, Inc., Darfon Electronics Corp., ABB Ltd, Toshiba Mitsubishi-Electric Industrial Systems Corporation, Hitachi Hi-Rel Power Electronics Private Limited, SMA Solar Technology AG, Siemens AG, Mitsubishi Electric Corporation, GoodWe, Sineng Electric Co., Ltd., Omron Corporation, Shenzhen Sofarsolar co., Ltd, Delta Electronics, Tabuchi Electric Co., Ltd., Panasonic Corporation and Eaton SolarEdge Technologies.

Key Developments:

In August 2023, GE Vernova's Digital business today announced that it has signed a multi-year Strategic Collaboration Agreement (SCA) with Amazon Web Services (AWS) designed to help industrial companies and utilities accelerate digital transformation using cloud-based Proficy software solutions.

In August 2023, Schneider Electric, a specialist in energy management and automation, has announced a partnership agreement with MK: U, part of Cranfield University. Schneider Electric is investing with MK: U to train its degree apprentices in the coming years. Courses will include digital technology and solutions, cybersecurity, and a range of digital engineering options.

In August 2023, Huawei and Ericsson have signed a long-term global patent cross-licensing agreement that covers patents essential to a wide range of standards such as 3GPP, ITU, IEEE, and IETF standards for 3G, 4G, and 5G cellular technologies. The agreement covers the companies' respective sales of network infrastructure and consumer devices, granting both parties global access to each other's patented, standardized technologies.

Products Covered:
• String Inverter
• Micro-Inverter
• Central Inverter
• Other Products

Phases Covered:
• Single Phase
• Three Phase
• Other Phases

Connections Covered:
• On-grid
• Off-grid
• Other Connections

End Users Covered:
• Residential
• Commercial
• Utilities
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements


Companies Mentioned
Schneider Electric SE
General Electric
Altenergy Power System, Inc.
Huawei Technologies Co., Ltd.
SolarEdge Technologies, Inc.
Darfon Electronics Corp.
ABB Ltd
Toshiba Mitsubishi-Electric Industrial Systems Corporation
Hitachi Hi-Rel Power Electronics Private Limited
SMA Solar Technology AG
Siemens AG
Mitsubishi Electric Corporation
GoodWe
Sineng Electric Co., Ltd.
Omron Corporation
Shenzhen Sofarsolar co., Ltd
Delta Electronics
Tabuchi Electric Co., Ltd.
Panasonic Corporation
Eaton SolarEdge Technologies