PV Inverter Market Worth $13.98 Billion by 2028

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According to Arizton's latest research report, the PV inverter market will grow at a CAGR of 13.54% from 2022-2028.

The smart home is a revolutionary concept in residential spaces that enhances comfort, convenience, security, entertainment, and sustainability. A smart home can be defined as a residential space or a building equipped with special connected platforms that enable the resident of the building to remotely control electronic devices or appliances via gadgets and computing technology. Technological advances like voice control, artificial intelligence, and intelligent assistant have created a viable control center for smart and connected homes. The development of smart cities is also expected to drive individuals toward automation and higher dependence on products that incorporate the Internet of Things and Machine Learning (IoT and ML) technologies. Moreover, smart infrastructure, such as smart homes and buildings, is also expected to witness a boom in the future, offering a positive outlook for adopting smart products. With the rising demand for smart home technology, the demand for smart PV inverter technology is expected to grow.

Growth of Green Building Activities Positively Impacting the Market Growth

The green building creates structures using environmentally sustainable and resource-efficient processes throughout the building's lifecycle, from sitting to design, construction, operation, maintenance, renovation, and deconstruction. Green buildings are also known as sustainable and high-performance buildings. Solar panels are an effective way for a building to meet its sustainability standards. These PV power panels can provide abundant eco-friendly energy resources, reducing or eliminating the need for electric consumption. PV inverters or controlled admission of clean and pollution-free renewable energy can reduce the requirement of electricity to the building and save energy.

Moreover, using renewable electricity in commercial buildings can reduce the building's electric appliances' energy use by an additional 10% to 20%. Thus, for several commercial and institutional buildings, the total energy cost can be reduced by one-third through the optimal implementation of PV panel strategies. This high number of installations drives the market demand for PV inverters.

Incorporation of Photovoltaic in Rooftop Creating the Market Growth

Building-integrated photovoltaics (BIPV) are photovoltaic materials used to replace conventional building materials in parts of the building envelope, such as the PV inverters' facades, curtain walls, canopies, roofs, and walls of the building. Integrating photovoltaic technology (BIPV) can provide aesthetical economic and technological solutions for buildings' electric self-sufficiency. It is the most promising technology for harvesting solar energy in urban areas. It provides multiple building benefits, including power generation from renewable energy resources, daylighting solutions, and heating and cooling load reduction. 

Countries like the UK, the US, Germany, and France, are anticipated to increase demand for roof installations in the commercial and residential sectors. In addition, the growing implementation of energy storage systems is expected to accelerate demand for off-grid solar PV systems. Therefore, more building-integrated photovoltaics on the rooftops are expected to increase the PV inverter.

Geographical Analysis

In 2022, due to spiking urbanization, the APAC market construction industry projected significant growth. The demand for residential construction remained strong in developing economies—multiple real estate projects in various industrial, residential, and commercial development zones. The current trend is expected to increase momentum. Hence, the new construction sector is a crucial growth factor for the APAC PV inverter market. The PV inverter market in APAC is growing at a CAGR of 14.28% during 2022-2028.