Distributed Solar Power Generation Market - Global Strategic Business Report

The global market for Distributed Solar Power Generation was valued at US$144.6 Billion in 2024 and is projected to reach US$204.2 Billion by 2030, growing at a CAGR of 5.9% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Distributed Solar Power Generation market.

Global Distributed Solar Power Generation Market - Key Trends & Drivers Summarized

Why Is Distributed Solar Power Gaining Ground Across the Globe?

The global market for distributed solar power generation is undergoing a transformative surge, as economies strive for energy decentralization and sustainability in the face of climate change and fossil fuel depletion. Distributed solar systems, primarily composed of rooftop photovoltaic panels and small-scale solar setups, enable electricity generation close to the point of consumption. This decentralization reduces transmission losses, enhances grid resilience, and empowers consumers to manage their own energy needs. Countries around the world are aggressively promoting the adoption of distributed solar systems through incentives, subsidies, net metering policies, and regulatory reforms. The democratization of power production - where households, small businesses, and institutions can generate and use their own electricity - is a defining feature of this market. Additionally, distributed solar aligns with broader decarbonization goals, making it a strategic choice for governments looking to meet emission reduction targets under international climate accords. The global momentum for energy equity and accessibility further fuels the demand, especially in regions lacking centralized power infrastructure.

How Is Technology Elevating the Performance and Appeal of Small-Scale Solar?

Advancements in photovoltaic technologies have significantly improved the efficiency, durability, and affordability of distributed solar power systems. High-efficiency mono and polycrystalline silicon panels now deliver greater energy output with smaller footprints, while innovations in inverter technology - particularly microinverters and power optimizers - maximize system performance even under partial shading conditions. Energy storage integration has also become a key differentiator, enabling users to store excess solar power for use during outages or nighttime. Moreover, smart metering and remote monitoring capabilities are empowering users with real-time insights into energy generation and consumption, enhancing transparency and user control. Solar financing models, such as leasing and power purchase agreements (PPAs), have lowered the entry barriers for residential and small commercial users. Innovations in installation methods - like plug-and-play kits and modular systems - are making solar adoption quicker and less labor-intensive. As manufacturing scales up and competition intensifies, equipment prices continue to decline, further accelerating the affordability and attractiveness of distributed solar solutions.

Which Markets Are Leading and What's Driving Regional Growth?

The adoption of distributed solar power is highly region-specific, influenced by policy frameworks, solar irradiance, and infrastructure maturity. Asia-Pacific leads the global market, with China and India implementing large-scale residential and commercial solar initiatives. China, in particular, has pushed aggressive rooftop solar programs as part of its national clean energy targets. India's government is supporting rooftop solar through dedicated subsidies, low-interest loans, and mandates for government buildings and institutions. In North America, the United States has seen significant growth, driven by strong state-level policies, net metering regulations, and the popularity of solar leasing programs. Europe continues to expand distributed solar capacity, particularly in Germany, the Netherlands, and Italy, where feed-in tariffs and green building mandates play critical roles. In emerging markets such as sub-Saharan Africa and Southeast Asia, distributed solar is increasingly seen as a viable solution to energy access challenges, often deployed in off-grid or mini-grid configurations that bypass the need for centralized power infrastructure altogether.

What Are the Key Factors Driving Market Growth?

The growth in the distributed solar power generation market is driven by several factors, including falling prices of solar PV components, the evolution of favorable policy mechanisms, and heightened awareness of energy self-sufficiency among consumers. Technological improvements in solar panel efficiency, inverter design, and battery storage solutions are making distributed systems more productive and reliable. Rapid urbanization and the construction of new residential and commercial properties provide ample rooftop space and demand for localized energy solutions. Consumer behavior is shifting toward sustainability, with growing interest in lowering utility bills and reducing carbon footprints. Governments are actively supporting the sector with tax incentives, renewable portfolio standards, and net metering policies that make distributed generation financially viable. The need for grid resilience - especially during extreme weather events or energy crises - is pushing utilities and regulators to accommodate more decentralized solar input. Lastly, the integration of solar with digital platforms and smart home technologies is making it an increasingly seamless and intelligent component of modern energy ecosystems.

Report Scope

The report analyzes the Distributed Solar Power Generation market, presented in terms of market value (US$). The analysis covers the key segments and geographic regions outlined below:

• Segments: Solar Module (Monocrystalline Solar Module, Polycrystalline Solar Module, Cadmium Telluride Solar Module, Amorphous Silicon Solar Module); Type (Rooftops Type, Ground-Mounted Type); End-Use (Residential End-Use, Commercial End-Use, Industrial End-Use).
• Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Monocrystalline Solar Module segment, which is expected to reach US$91.7 Billion by 2030 with a CAGR of a 7.4%. The Polycrystalline Solar Module segment is also set to grow at 3.9% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $39.4 Billion in 2024, and China, forecasted to grow at an impressive 9.6% CAGR to reach $42.1 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Distributed Solar Power Generation Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Distributed Solar Power Generation Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Distributed Solar Power Generation Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as AP Sensing, Brugg Cables AG, Fotech Solutions Ltd, Hubble Connected, HBK FiberSensing and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 43 companies featured in this Distributed Solar Power Generation market report include:

• Canadian Solar Inc.
• Enphase Energy, Inc.
• First Solar, Inc.
• Hanwha Q CELLS Co., Ltd.
• JinkoSolar Holding Co., Ltd.
• LG Electronics Inc.
• Longi Green Energy Tech Co.
• Panasonic Corporation
• ReneSola Ltd.
• Samsung SDI Co., Ltd.
• Sharp Corporation
• Siemens Gamesa Renewable Energy
• SMA Solar Technology AG
• SolarEdge Technologies Inc.
• SunPower Corporation
• Sunrun Inc.
• Talesun Solar
• Trina Solar Co., Ltd.
• Vivint Solar, Inc.
• Yingli Green Energy Holding Company

This edition integrates the latest global trade and economic shifts into comprehensive market analysis. Key updates include:

• Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
• Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes historical analysis from 2015 to 2023.
• Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
• Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
• Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
• Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.