Solar PPA Market Outlook 2037

The global solar PPA market was valued at USD 16.3 billion in 2024 and is expected to reached USD 72.7 billion by 2037, expanding at a CAGR of 12.1% over the forecast period, 2025-2037. By the end of 2025, the market size is projected to reach approximately USD 18.6 billion. The solar PPA market is expanding rapidly due to heightened interest from commercial and industrial buyers seeking price stability and emissions reduction. Companies with aggressive ESG goals are entering into long-term PPAs to secure clean energy, hedge against energy price volatility, and demonstrate climate leadership. On the utility side, regulators and transmission planners are supporting utility-scale solar developments tied to PPAs as part of broader grid decarbonization efforts. Innovations in virtual PPAs and shorter contract durations are also making solar more accessible to mid-sized buyers. This evolution in deal structuring is expected to increase market liquidity and diversify participation across geographies.