Agrivoltaics Market: Global Industry Analysis and Forecast (2024 -2030) Trends, Statistics, Dynamics, Segmentation by System Design, Cell Type, Crop, and Region

Global Agrivoltaics market size reached USD 4.03 Bn in 2023 and is expected to reach USD 7.96 Bn by 2030, growing at a CAGR of 10.2 % during the forecast period.

Agrivoltaics is also known as "dual-use farming," is an innovative approach to land use that combines traditional agriculture with photovoltaic (PV) power generation. Agrivoltaics provides an opportunity to use the land for both food production and solar power generation, making it an efficient and sustainable solution for agriculture. The Agrivoltaics market is predicted to become a multi-billion dollar industry in the near future with the rising demand for clean energy and sustainable food production. The U.S. Department of Energy (DOE) Solar Energy Technologies Office (SETO) announced the $8 million FARMS funding opportunity on May 5, 2022. These projects are studying different aspects of Agrivoltaics to better understand how the practice can become more widespread. The Agrivoltaics market is being driven by the increasing demand for renewable energy, concerns over food security, the need to optimize land use, technological advancements, and government support during the forecast period.
Competitive landscape
Agrivoltaics companies have several opportunities to expand their operations in the global market. They are Collaborating with farmers and landowners to better understand their needs and develop solutions that meet specific requirements. This can help to drive the adoption of Agrivoltaics systems and increase market share. Silviculture is a California-based company that produces specialized greenhouse roofing that captures sunlight for crop production while simultaneously generating electricity. The company's patented technology enables the efficient use of land, water, and energy, making it a sustainable solution for agriculture.

Agrivoltaics Market offers a comprehensive overview of the current market situation and provides a forecast until 2030. This report provides qualitative and quantitative information that highlights important market developments, trends, challenges, competition, and new opportunities within the Agrivoltaics Market. This report aims to provide a comprehensive presentation of the global market for Agrivoltaics, with both quantitative and qualitative analysis to help readers develop business/growth strategies, assess the market competitive situation, and analyze their position in the current marketplace. The report also discusses technological trends and new product developments. The report includes Porter’s Five Forces analysis which explains the five forces: namely buyers' bargaining power, supplier's bargaining power, the threat of new entrants, and the degree of competition in the Agrivoltaics Market. The report also focuses on the competitive landscape of the Agrivoltaics Market. The analysis will help the Agrivoltaics market players to understand the present situation of the market.To know about the Research Methodology :- Request Free Sample Report
Agrivoltaics Market Dynamics:
Increasing demand for renewable energy all around the world to Drive the Agrivoltaics Market

As the world continues to face the challenges of climate change and the need for sustainable energy sources, renewable energy has become an important part of the solution. The use of solar energy is one of the most popular forms of renewable energy, and Agrivoltaics provides a unique and sustainable solution for solar power generation. The benefits of Agrivoltaics are not just limited to energy production. It also provides numerous benefits for agriculture, including improved crop yields, reduced water consumption, and decreased soil erosion. The use of Agrivoltaics can create a microclimate that benefits crops by reducing temperature fluctuations, providing shade, and reducing water evaporation. These benefits can lead to increased crop yields and improved farm profitability. In addition, The integration of solar panels with agricultural land can help to reduce the carbon footprint of solar power generation by using land that would otherwise be reserved for solar farms.

Ciel & Terre and Solaria key players are leading the way in the development and implementation of agrivoltaic systems, providing a sustainable solution for both energy and food production. Ciel & Terre's floating solar solution not only generates renewable energy but also provides numerous benefits for agriculture. It helps to reduce water evaporation from agricultural ponds, which helps to conserve water and reduce the need for irrigation. Thus, the increasing demand for renewable energy is driving the growth of the Agrivoltaics Market during the forecast period.
Rising concerns over food security are driving the growth of the Agrivoltaics market
Rising concerns over food security have become a global issue due to various factors such as population growth, climate change, and economic instability. Agrivoltaics has the potential to improve agricultural productivity, reduce environmental impact, and provide renewable energy to rural communities, making it a promising solution to the challenges of food security in the 21st century. To address these challenges, there is a need for innovative approaches to food production that can increase agricultural productivity while also reducing the environmental impact of agriculture. Agrivoltaics techniques can provide energy to rural communities, improving access to electricity and reducing reliance on traditional sources of energy that can contribute to environmental degradation.

The rising concerns over food security in the Asia Pacific require urgent action to promote sustainable and innovative approaches to food production. Several countries in the Asia Pacific region have already started to explore the potential of Agrivoltaics. For example, in Thailand, the government has launched a program to promote the use of Agrivoltaics in rice paddies, which are a critical source of food and income for many farmers in the country. Thus, the Agrivoltaics Market is expected to grow during the forecast period.

Technological advancements are playing a key role in the growth and development of the Agrivoltaics market

Technological advancements are driving the growth and development of the Agrivoltaics market. Smart farming techniques, energy storage, vertical farming, solar tracking systems, and drone technology are some of the recent advancements in Agrivoltaics technology. Drone technology is playing an important role in the Agrivoltaics market, offering farmers and researchers new opportunities to monitor and optimize crop growth, reduce costs, and increase yields.

Companies such as DroneSeed, MicaSense, and DJI are at the forefront of this technological revolution, creating innovative solutions to address the challenges of food security and sustainable energy production. DroneSeed, for example, has developed a reforestation system that uses drones to plant trees, monitor growth, and apply herbicides. Technological advancements in North American Agrivoltaics are helping to promote sustainable agriculture and reduce the carbon footprint of agricultural operations. By integrating renewable energy generation with sustainable agricultural practices, Agrivoltaics is helping to create a more sustainable and resilient food system for the future.

Investment from government and private players in Agrivoltaics can boost the Agrivoltaics market growth.

Many governments have recognized the potential of Agrivoltaics and have made significant investments to promote its development. In the United States, for example, the Department of Energy has launched a program to develop new Agrivoltaics technologies and provide funding for research and development. Additionally, the USDA has invested in Agrivoltaic pilot projects across the country to demonstrate the benefits of this technology. Germany has launched a research initiative focused on the development of Agrivoltaics, with funding from both the government and private industry. Along with government investment, private players have also recognized the potential of Agrivoltaics and have been investing heavily in this field. Some of the largest PV companies in the world, such as SunPower and Trina Solar, have launched Agrivoltaic pilot projects and are actively working to develop new technologies for this field.

High installation costs restrain the Agrivoltaics market

High installation costs have been a major barrier to the widespread adoption of Agrivoltaics. The primary factor contributing to the high installation costs of Agrivoltaics is the cost of photovoltaic panels. While the cost of PV panels has been decreasing in recent years, they remain a significant expense. the installation of Agrivoltaic systems can be complex, requiring specialized expertise and equipment, which further increases costs. The cost of installing Agrivoltaics systems can vary depending on a range of factors, including the size and complexity of the system, the location, and the specific components used. According to a report by the National Renewable Energy Laboratory (NREL) in the United States, the installed cost of an Agrivoltaic system can range from $2.60 to $4.50 per watt, compared to $1.50 to $3.00 per watt for a traditional ground-mounted solar system. Thus, the Agrivoltaics market is expected to hamper during the forecast period.
Agrivoltaics Market Segment Analysis:
Based on the System Design, the Fixed Agrivoltaics systems segment held a leading position in 2023 and is expected to continue to maintain the lead during the forecast period. Fixed Agrivoltaics systems have gained significant traction in recent years and are increasingly recognized as a promising technology for sustainable energy and agriculture. The market for fixed Agrivoltaics systems is expanding, with a growing number of installations around the world. Governments, organizations, and investors are also promoting the adoption of fixed Agrivoltaics systems by providing funding and incentives for their installation. For example, in the European Union, the Common Agricultural Policy provides financial support for Agrivoltaics systems, while in the United States, the USDA offers grants for renewable energy projects in rural areas.

Dynamic Agrivoltaics systems are still in the early stages of development, and their adoption is limited compared to fixed Agrivoltaics systems. The higher cost and complexity of dynamic systems are factors that may hinder their adoption, especially in regions where solar irradiation is high, and fixed systems can provide enough energy to meet the needs of agricultural operations.Based on the Cell Type, the monocrystalline solar panels segment dominated the global market in 2023 and is anticipated to continue this trend because these types of panels are a popular and effective choice for use in Agrivoltaics systems, as they offer high efficiency, durability, and reliability, along with the added benefit of providing shade to crops. Their high resistance to corrosion and other environmental factors can also help to extend the lifespan of the panels and reduce maintenance costs over time.

Based on the Crop, the crops segment held the highest market share in 2023 and is expected to grow throughout the forecast period. Agrivoltaics systems offer a variety of benefits to crops, including shading, reduced water evaporation, and protection from extreme weather conditions. As a result, the crops segment in Agrivoltaics is an important area of focus for agricultural businesses and researchers alike.

One of the main benefits of Agrivoltaics systems for crops is the shading provided by solar panels. This can help to reduce the amount of direct sunlight that crops receive, which can improve crop yields and reduce water consumption.
Agrivoltaics Market Regional Insights
Europe is the dominating region for the Agrivoltaics market. Countries such as Germany, France, Italy, and Spain have implemented numerous Agrivoltaics projects, and the market is expected to continue to grow in these countries in the coming years. Germany is one of the largest markets for Agrivoltaics in Europe, with a number of successful projects already in operation. The country has also implemented policies and incentives to encourage the adoption of Agrivoltaics, which has helped to drive the growth of the market. The French government has been providing funding and incentives to support the development of Agrivoltaics, which has helped to drive the growth of the market in the country. However, other regions such as North America and Asia-Pacific are also expected to see significant growth in the Agrivoltaics market in the coming years, as more countries recognize the benefits of combining solar energy and agriculture.

North America is the second-largest growing region across the globe in the Agrivoltaics market, driven by increasing demand for renewable energy and sustainable agriculture practices, as well as government incentives and funding programs. Technological advances and improvements in manufacturing processes are also expected to contribute to the growth of the Agrivoltaics market, as they enable manufacturers to produce higher-quality and more affordable Agrivoltaics systems. The United States is the largest market for Agrivoltaics in North America, with a number of projects currently underway across the country.

In addition to providing clean energy and supporting sustainable agriculture practices, Agrivoltaics systems in the US are also helping to reduce the carbon footprint of the agricultural sector, which is a significant contributor to greenhouse gas emissions. There are a number of companies operating in the Agrivoltaics market in the United States. Pivot Energy is a leading provider of solar energy solutions in the US, offering a range of services including project development, financing, and installation. The company has developed several Agrivoltaics projects across the country, including a 2.5 MW system in Massachusetts and a 1 MW system in Oregon.
Agrivoltaics Market Scope: Inquiry Before Buying



Agrivoltaics Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 4.03 Bn.


Forecast Period 2024 to 2030 CAGR:
10.2%
Market Size in 2030:
US $ 7.96 Bn.


 Segments Covered:
by System Design
1.Fixed Solar Panles
2.Dynamic


by Cell Type
1.Monocrystalline
2.Polycrystalline


by Crop
1.Vegetables
2.Fruits
3.Crops
4.Others



Agrivoltaics Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Agrivoltaics Key Players
1. DualSun
2.  SOLARWATT
3.  SunPower Corporation
4.  Trina Solar
5. Suntech
6. Huawei Technologies Co., Ltd
7. Enel Green Power
8. Voltalia
9. Ecovoltaics
10. Sunseap Group
11. Soltec
12. Agrivoltaic Solutions LLC
13. JA Solar
14. Sun' Agri
15. Solar Window
16. Akuo Energy
17. BayWa r.e.
18.  Insolight
19.  REM Tec
20. Zimmermen
21. Next2Sun
22.Others

FAQs:

1. Who are the key players in the Agrivoltaics market?
Ans. Agrivoltaic Solution LLC, Sun Agri, REM TEC and Enel Green Power are the major companies operating in the Agrivoltaics market.

2. Which System Design segment dominates the Agrivoltaics market?
Ans. The Fixed Solar Panles segment accounted for the largest share of the global Agrivoltaics market in 2023.

3. How big is the Agrivoltaics market?
Ans. The Global market size was USD 4.03 Bn in 2023. The market size is expected to reach USD 7.96 Bn by 2030, growing at a CAGR of 10.2 % during the forecast period.

4. What are the key regions in the global Agrivoltaics market?
Ans. Based On the region, the Agrivoltaics Market has been classified into North America, Europe, Asia Pacific, the Middle, East and Africa, and Latin America. Europe dominates the global Agrivoltaics market.

5. What is the study period of this market?
Ans. The Global Agrivoltaics Market is studied from 2023 to 2030