Solar-Powered Cars

Solar-Powered Cars

Solar PV generation increased by 22%, an amount of 179 TWh in 2021 to exceed 1 000 TWh overall power. Solar PV is one of the world's lowest-cost options for electricity generation. Solar PV accounts for nearly 3.6% of electricity generation globally. Moreover, the need to meet net zero emission goals across the globe in various countries and rising consumer awareness towards environmentally friendly energy is acting as a catalyst in the growth of Solar Powered cars globally during the projected period.

The Solar-Powered Cars Market is expected to grow at a strong CAGR of 33.4% during the forecast period. It is mainly owing to the government programs and incentives to promote cleaner renewable energy and the rising demand for solar products by consumers in the market. Many established automobile companies such as Hyundai Motor Company, Volkswagen, Audi, Ford Motor, and Tesla have started researching solar-powered cars and have planned prototype models that companies are planning to introduce by next year. New automobile companies were also established such as Lightyear, Aptera Motors and Squad Mobility after seeing the demand and potential of solar-powered cars in the market.

Solar panel companies such as Hanergy also introduced their version of solar-powered cars which include thin film solar panels to charge the automobile. The demand for solar-powered cars is booming despite such cars not being available readily yet. Lightyear 2 (a product of Lightyear) has over 40,000 reservations from individual buyers and about 20,000 preorders from fleet owners like international leasing and car-sharing companies LeasePlan, MyWheels, Arval, and Athlon. The company has not even released much information about the car and production is stated to start by the year 2025.

• Based on End User, The Solar Powered Car market is divided into residential and commercial segments. The passenger segment acquired a majority share in the Solar Powered car market and is expected to showcase a substantial growth rate during the forecast period. The commercial segment is expected to be a big segment in the future; however, the lack of energy conversion efficiency is the biggest challenge due to the limited growth in the commercial segment along with the high price of the vehicle. The majority of vehicles sold now only use solar panels to charge supplementary segments of the vehicle such as the ventilation system, However, the launch of commercial solar-powered vehicles is expected to change the market in the upcoming years.
• For a better understanding of the market adoption of Solar-Powered Cars, the market is analyzed based on its worldwide presence in the countries such as USA, Europe (Germany, france, United Kingdom, Norway, Netherlands, Sweden, and Rest of Europe), Asia-Pacific (China, Japan, and Rest of Asia-Pacific) and Rest of World. APAC registered the highest market share in the Solar-Powered Cars market and is expected to witness an influential CAGR in the forecasted period. It is mainly owing to many Solar-Powered Cars projects taking place in China, South Korea, and Japan. Moreover, favorable government policies, regulations, and investments in achieving renewable energy targets set by various countries are driving the market. For instance: In Australia, the Australian government will provide AUD 14 million to support 5B’s AUD 33.4 million strategic technology innovation project through the Australian Renewable Energy Agency; In Japan, the Japanese government allocated 8 billion yen in the 2021 national budget to support the introduction of independent solar power generation equipment and storage batteries including electric vehicles through on-site PPA; and in India, the Government of India announced an additional capital infusion of Rs. 10 billion to the Solar Energy Corporation of India and Rs.15 billion to the Indian Renewable Energy Development Agency. An increase in the solar energy industry will act as a catalyst in the growth of the solar-powered cars market during the forecast period.

Some of the major players operating in the market are Hyundai Motor Company, Squad Mobility, Lightyear, Volkswagen AG, Audi AG (Considered a separate entity), Aptera Motors, Ford Motor Company, Fisker Inc, Tesla, Inc, and Hanergy Holding Group Ltd.