Building Integrated Photovoltaic Market

[213 Pages Report] The global building integrated photovoltaic market in terms of revenue was estimated to be worth $12.49 billion in 2024 and is poised to reach $27.41 billion by 2029, growing at a CAGR of 17.0% from 2024 to 2029. Rapid urbanization, along with the concept of smart cities, is providing new opportunities for the growth of the BIPV market. Increased government regulations, incentives, and construction activities globally are creating opportunities for BIPV systems. Additionally, the growing demand for aesthetically pleasing, functional buildings that incorporate renewable energy solutions is supporting the growth of the market. BIPV systems reduce buildings' reliance on off-site electricity generation and reduce energy supply risks through the self-generation of electricity. Governments across the globe are implementing stringent environmental regulations and are also providing incentives to reduce the negative effects of carbon emissions, especially in the building sector.

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Building Integrated Photovoltaic Market Dynamics

Driver: Incentives, technology, and decentralization to promote BIPV growth

The increase in renewable energy capacity provides considerable impetus to the growth of the building integrated photovoltaic market by enhancing the appeal and feasibility of solar energy solutions. Governments and organizations, in a bid to reach their carbon reduction targets, offer incentives and subsidies for renewable energy projects, thereby making BIPV systems a financially attractive option.

Additionally, the decentralization of energy generation matches perfectly with the competencies of BIPV systems, which are able to generate power on-site and off-load the grid. This new trend in local energy generation reduces pressure on centralized power systems, allowing buildings to have autonomy in terms of energy supply. Publicity on the environmental benefits of renewable energy sources foments the demand for sustainable building practices and places BIPV among the most needed technologies in the drive toward greener cities and communities.

Restraints: Complex installation and integration to hamper BIPV adoption

The complex installation and integration of building integrated photovoltaics is a major restrain to the growth of the BIPV market. BIPV systems, unlike normal solar panels, require due diligence in planning and execution to integrate photovoltaic technology into building materials like facades, roofs, and windows. The complex installation procedure requires trained personnel, leading to an increase in the cost of labor and often an extension of the project duration.

The complexity of integrating BIPV systems often discourages many developers and property owners due to the high perception of the related risks and uncertainties. Moreover, the complexity of installation is likely to increase the time and expense of such projects, making BIPV less appealing than traditional energy alternatives. The reluctance to adopt BIPV technology is further aggravated by the absence of standardized installation practices and guidelines.

Opportunities: Technological advancements enhancing efficiency and aesthetics

Advancements in technology open up huge opportunities for players in the building integrated photovoltaic market by bringing efficiency, esthetics, and affordable prices to solar energy solutions. In photovoltaic technology, developments in more efficient solar cells, lighter and more flexible materials, and enhanced rates of energy conversion will make BIPV systems feasible for more buildings. For instance, thin-film and organic photovoltaics have resulted in lighter, more flexible panels that can be easily integrated into a variety of building materials, ranging from glass facades to roofing tiles.

In addition, the improvement in installation techniques and integration into smart grids makes it much easier to install and deploy BIPV systems with improved monitoring performance. Today, it is possible to link BIPVs to smart grids for real-time energy management and better performance. Enhanced solutions in energy management and predictive maintenance also play a significant role in reducing operating costs while increasing the reliability of systems. These technologies are maturing and will continue to cut down costs, enhance performance, and increase the applicability of BIPV systems.

High-efficiency solar cells developed for BIPV systems have greatly improved energy conversion efficiency. Developments in heterojunction cells and bifacial cells optimize energy yield due to their ability to capture sunlight at different angles. Thin-film solar cells, such as CdTe and CIGS, provide lightweight and flexible options against their traditional silicon relatives. They can be integrated into all kinds of building materials, such as glass facades and metal roofing, without loss of any aesthetics.

Challenges: High initial costs of building integrated photovoltaic

The high upfront cost is one of the primary factors restraining the growth of the building integrated photovoltaic market. The cost of specialized photovoltaic materials, installation, and integration into building structures is much higher than standard solar panels or construction materials. A BIPV system investment almost always requires investments not only in technology but also in specialist design and engineering to ensure a smooth integration of solar components into buildings. As a result, BIPV projects could be costly, especially for developers and property owners who are cost-conscious.

The high upfront cost may further extend the payback period of a BIPV system and make it less attractive compared to other energy solutions. While BIPV systems offer long-term savings on energy bills and potential returns through increased property value, the high initial outlay is one of the reasons that scare away investors, especially where budgets are tight. Such economic restrictions may limit the use of BIPV technology to very high-end or big projects where the extra value from energy savings and sustainability more than offsets the initial investment.

Building Integrated Photovoltaic Market Ecosystem

 Key players in this industry include AGC Inc. (Japan), JA Solar Technology Co., Ltd. (China), JinkoSolar (China), LONGi (China), and Canadian Solar (Canada). These prominent companies in this sector are renowned for their reliability and financial stability as providers of building integrated photovoltaic systems. They offer a diverse range of products, cutting-edge technology, extensive experience, and robust global sales and marketing networks. Their proven track record in the industry makes them trusted and knowledgeable partners for clients seeking BIPV solutions. These are the companies that have proved that they can still deliver good products and services under the changing building-integrated photovoltaic skylights market dynamics.

Thin film segment expected to be the fastest-growing during the forecast period

Thin-film solar panels are very flexible and can be used on more surfaces and architectural designs than their crystalline silicon panel counterparts, like on curved or irregular surfaces. Thin film panels have lower weights compared to crystalline silicon panels and can be easily installed on most structures without installing heavy structural reinforcement measures. Their sleek, low-profile design also adds to the aesthetic value of buildings. Thin film technology works under low light and at disparate angles of sunlight, as is usually experienced in urban settings where buildings may not get direct sunlight at all times of the day. The growing use in new applications, such as solar windows and facades, opens up its BIPV glass market potential.

By end user, residential expected to be the fastest-growing end user during forecast period

Many governments facilitate the installation of BIPV and other renewable energy systems in residential buildings by providing incentives, subsidies, and tax credits. This makes building integrated photovoltaics easier and more appealing for many homeowners. The solar system design of a BIPV system is engineered to blend with the residential building materials, thereby providing an attractive alternative to conventional solar panels. This would appeal greatly to the needs of a householder who wants to maintain the appearance of their home while moving to renewable energy. For most homeowners, growing concerns include energy independence and security through the self-production of electricity. A BIPV system reduces this dependency, protecting one against power failure and electricity price increases.

"Europe: largest building integrated photovoltaic market during forecast period"

European countries have stringent environmental legislation with regard to the reduction of carbon emissions and the use of renewable energies. This is supporting the growth of the building integrated photovoltaics market in the region. Moreover, the European Green Deal and national policies specifying the use of renewable energy in buildings also support the market growth. The European Union and individual countries provide huge financial incentives, subsidies, and tax rebates to renewable energy technologies, including BIPV. These incentives make BIPV more financially attractive to building owners and developers. Europe has a very strong tradition related to environmental awareness and sustainability. Hence, consumers and businesses emphasize eco-friendly solutions. The wide-scale awareness and demand for sustainable construction are driving the growth of the BIPV market. The rapid growth of smart cities and urban infrastructure will help integrate BIPV systems into new buildings across Europe.  

Key Market Players

The building integrated photovoltaic market is dominated by a few major players that have a strong geographical presence. The major players in the BIPV market include LONGi (China), JinkoSolar (China), JA SOLAR Technology Co., Ltd. (China), AGC Inc. (Japan), and Canadian Solar (Canada). Between 2020 and 2024, strategies such as new product launches, contracts, agreements, acquisitions, and expansions are followed by these companies to capture a larger share of the market.

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Scope of the Report

This research report categorizes the BIPV market size based on technology, application, end user, and region.

On the basis of technology, the building integrated photovoltaics market has been segmented as follows:

• Crystalline silicon
  • Monocrystalline
  • Polycrystalline
• Thin film
  • Thin Film A-SI PV Panel
  • Thin Film CDTE PV Panel
  • Thin Film CIGS PV panel
  • Concentrated PV panels

On the basis of application, the building-integrated photovoltaics market has been segmented as follows:

• Roofing
  • Tiles
  • Shingles
  • Skylights
  • Laminates
  • Metal Seam
• Facades
  • Windows
  • Curtain Walls
  • Awnings
  • Other Facades
• Externally Integrated Systems (EIS)

On the basis of end user, the building integrated photovoltaics market has been segmented as follows:

• Residential
• Commercial
• Industrial

On the basis of region, the building-integrated photovoltaics market has been segmented as follows:

• North America
• Europe
• Asia Pacific
• Rest of the World

Recent Developments

• In January 2024, LONGi and Ferroglobe PLC entered a long-term supply agreement starting January 1, 2024, emphasizing high-quality quartzite and metallurgical grade silicon supply for solar technology. LONGi aims to strengthen its position as a leading provider of eco-friendly solar products, promoting sustainable energy transformation and global cooperation in solar technology.
• In July 2024, JinkoSolar partnered with RELC and Vision Industries to establish a joint venture in Saudi Arabia. This venture will build a high-efficiency solar cell and module manufacturing facility with a USD 1 billion investment. Expected to produce 10 GW annually of solar cells and modules, the project aims to advance Saudi Arabia's renewable energy efforts and global competitiveness, integrating JinkoSolar's advanced technology with local expertise.
• In December 2023, AGC Inc. announced the adoption of Sunjoule, a building-integrated photovoltaic glass for the roof of the bicycle parking lot at Shizuoka Station North Exit Square. TOKAI Cable Network Corporation installed this roof, facilitating the generation of solar power with a maximum output of 3.7 kW from Sunjoule.
• In March 2022, Canadian Solar started the production of the CS6R-MS module that is part of the HiKu6 series, which includes 182 mm cells. It is applied for residential, commercial, and industrial rooftop use and can produce up to 420 watts of power. It is 21.5% efficient, which is better than any other PERC module of its kind that can be found in the market. It is lightweight and compact and is available in different styles. It is certified under IEC 63126:2020 for high reliability and has a residential use warranty of 25 years. It can be used with most PV inverters. Canadian Solar has plans to release an even more efficient CS6R module with HJT cells soon. This will help increase energy production and lower the levelized cost of energy for solar systems worldwide.

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