Concentrated Solar Power Market Size, Share, Industry, Forecast and outlook (2024-2031)

Global Concentrated Solar Power Market is segmented By Technology (Parabolic Trough, Compact Linear Fresnel Reflector, Power Tower, Parabolic Dish System), By Capacity (Less Than 50MW, 50 to 100MW, 100 to 250MW, More Than 250MW), By Application (Chemical Production, Food Processing, Utility, Desalination, Enhanced Oil Recovery (EOR), Mineral Processing, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2023-2030.

Concentrated Solar Power Market Overview

A Report by DataM Intelligence estimates the Global Concentrated Solar Power market to grow at a high CAGR Of 9.7% during the forecast period 2023- 2030. The market is expected to grow because it becomes important in different industries like Chemical Production, Food Processing, Utility, Desalination, Enhanced Oil Recovery. The competitive rivalry intensifies with Siemens Energy, Acciona., Abengoa Solar, and others operating in the market.

Concentrated Solar Power (CSP) plants use mirrors to focus sunlight on a receiver, which collects and transfers solar energy to a heat-transfer fluid. This can be used to provide heat for end-use applications or to generate electricity through conventional steam turbines. Moreover, colossal CSP plants can be implemented with a heat-storage system, allowing for heat supply or electricity generation at night or when the sky is cloudy. CSP plants require high direct solar irradiance, making them an exciting option for sunbelt countries situated within 40 degrees north and south of the equator. In addition, CSP-based electricity generation's technical potential in most of these regions is typically many times higher than their electricity demand, creating opportunities for electricity export through high-voltage lines.

Concentrated Solar Power Market Scope

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Concentrated Solar Power Market Dynamics

The increasing carbon emission in the environment and government regulation is the key factor driving the market growth during the forecast period. This carbon emission is caused mainly due to the burning of fossil fuels like coal, gas, oil, and another form that cause pollution. According to analysis, the CO2 emission has reached approximately 36 billion tons in 2019 that will largely impact the environment and will significantly grow during the forecast period. Moreover, the various steps are undertaken to conserve energy on the commercial side, such as using public transportation, using renewable energy sources such as wind energy, solar energy, tidal energy, hydro energy, geothermal energy, and biomass energy, to reduce air pollution. These factors are expected to boost the power sector market growth during the forecast period. In addition, decreasing the cost of components, increasing production, government incentives to support concentrated solar power, changing nations' understanding towards solar energy, and growing environmental concern related to pollution caused by burning fossil fuels is expected to propel the market growth.

However, cost, weather, storage, space, and toxicity are some factors that are expected to hinder the market growth in the forecast period. As to produce more electricity, more solar panels will be needed and require large space, which is the crucial factor to hinder the market growth during the forecast period. Moreover, initial cost and weather are also other essential factors to limit the market growth, as purchasing a solar panel; we have to buy batteries, wiring, inverter, and installation making this more costly. It is also expected that the cost of solar will reduce in the future due to development and improvement.

Concentrated Solar Power Market Segmentation Analysis

By technology, the market is segmented into a parabolic trough, compact linear fresnel reflector, power tower, and parabolic dish system. By capacity, the market is segmented into less than 50MW, 50 to 100MW, 100 to 250MW, more than 250MW. By application, the market is segmented into chemical production, food processing, desalination, utility, enhanced oil recovery (EOR), mineral processing, and others.

CSP has an advantage over PV, and many other renewable energy technologies are storing the sun’s energy. For instance, molten salt can be stored and kept hot for several hours so that when electricity is needed, the heat can be utilized to make steam to drive a generator. Simultaneously, CSP can produce electricity when the sun is no longer shining and may be most valuable to the grid. This storage lets CSP systems extend the peak hours of their generation patterns and generate electricity a few hours before the sun rises and a few hours after it sets, making it easier to integrate electricity from such plants into the grid. Even without storage, CSP systems generate electricity utilizing very high temperatures, and temporary cloud cover does not lead to the same minute-by-minute change in electricity production that PV systems experience.

Furthermore, a parabolic trough is the most common CSP technology consisting of long, curved mirrors that concentrate sunlight on a liquid (generally oil) inside a tube that runs parallel to the mirror. Around 3000 C, the liquid runs to a central collector, producing steam that drives an electric turbine. Moreover, the power tower is the latest technology expected to grow the market due to some advantages, such as the light being concentrated onto one single receiver of the tower that yields higher temperatures. In addition, the mirrors in a solar power tower system receive sunlight by tracking the sun at two axes.

Global Concentrated Solar Power Market Geographical Share

In terms of concentrated solar power, a total capacity of 381.6MW solar thermal projects was newly built up across the world and increased at the rate of 6.29% during the forecast period. Specifically, China completed four new CSP projects with a capacity of 200MW, 52.1% of the global total. Spain has recorded the highest installed concentrated solar power (CSP) capacity, with 2.3 gigawatts. The U.S. ranked second and Morocco to be third, with installed CSP capacity of 1.8 gigawatts and 530 megawatts, respectively.

APAC dominates the solar power plant's largest capacity and is the fastest-growing market during the forecast period due to increasing environmental concerns and government regulation. In addition, developing countries like India, China will dominate the concentrated solar power market in this region due to increasing interest in using renewable energy sources and reducing carbon emission to drive the market.

Europe & North America also contribute significant market growth during the forecast period due to continuing sizable investments in development, along with investors' changing focus toward green energy alternatives, which will favour the market growth, and the increase in R&D will increase the growth of the market size.

Concentrated Solar Power Market Companies and Competitive Landscape

The concentrated solar power market is fragmented with the presence of regional and global players. The competitive outline lies with the increase in the regional company and growing investment in upstream application. BrightSource Energy, Abengoa Solar, Siemens Energy, Acciona, Solar Reserve, Trivelli Energia., Abros Green, Torresol Energy, Aalborg CSP, Enel Spa are the major player in the solar power market. The major players adopt various growth strategies such as product launches, acquisitions, and collaborations, contributing to growing the concentrated solar power market globally.

Siemens Energy

Siemens holds a broad product portfolio for solar thermal plants, covering the full range from 1.5 MW to more than 250 MW. CSP plants require steam turbines that are optimized for their complex and challenging cycle conditions. Moreover, Siemens incorporates its operational experience into extensive R&D and engineering activities to adapt the turbines to the CSP technology's specific requirements. In addition, the day and night cycle often requires many starts and fast daily startup capabilities from CSP steam turbines. When focusing on annual power production, the turbines' short startup times greatly benefit the CSP plant owner.

Furthermore, Siemens steam turbines meet all customer requirements for cost-effective installation and operation and provide excellent flexibility for all cycling conditions. The turbines are suitable for higher steam parameters and can be run in non-reheat, single reheat and double reheat cycles. In addition, steam turbines are tailored to the customer requirements and shipped assembled for easy installation at the site. This reduces time and workforce in the installation phase.