Power Optimizer Market Size, Share & Outlook Trends to 2028

Global Power Optimizer Market Size, Share & Industry Trends Analysis Report By Connectivity (On-grid and Standalone), By Application (Utility, Commercial and Residential), By End Use, By Regional Outlook and Forecast, 2022 - 2028

Published Date: July-2022 | Number of Pages: 202 | Format: PDF | Report ID: KBV-19320

Special Offering: Industry Insights | Market Trends | Highest number of Tables | 24/7 Analyst Support


COVID-19

Get in-depth analysis of the COVID-19 impact on the Power Optimizer Market

Market Report Description

The Global Power Optimizer Market size is expected to reach $5.2 billion by 2028, rising at a market growth of 10.4% CAGR during the forecast period.

A power optimizer is a DC to DC energy converter, which was created to increase the amount of energy solar PV systems can produce. The main task is to modify or optimize the panel's performance using maximum power point tracking (MPPT) or to match the string inverter's performance. Power optimizers are particularly helpful when the effectiveness of the power generating elements in a distributed system will vary significantly, for example, because of differences in equipment, shading from light or wind, being installed facing different directions, or being located in locations that are far apart.

Power Optimizer Market - Global Opportunities and Trends Analysis Report 2018-2028

Both systems seek to isolate specific panels in order to enhance the performance of the entire system, which is where power optimizers for photovoltaic collectors can be similar to micro inverters. A power optimizer built inside a solar module is known as a smart module. The power that most power generation or storage systems produce, the load that is placed on them, as well as the efficiency of the distribution, are all examined. For instance, a typical battery stores energy through chemical reactions on its plates and in its electrolytes.

This process takes time to complete, which restricts how quickly power can be effectively extracted from the cell. The 2-hour and 20 hours rates are typically listed on large batteries utilized for power storage as a result, with the 2 hours rate frequently being around 50% of the 20 hours rate. Similar problems arise with solar panels because of the rate at which the cell can transform solar photons into electrons, the surrounding environment's temperature, along with a number of other factors. The I-V curve, a complex nonlinear relationship between voltage, current, and the overall amount of power produced, applies in this situation.

Modern solar arrays utilize a method called maximum power point tracking (MPPT) to continuously modify the given load in order to keep the system operating at its highest efficiency point while monitoring the overall output of the array in order to optimize collection. Solar panels typically provide voltages of about 30 V. For effective AC conversion and feeding to the power grid, this value is too low. In order to fix this, panels are connected in series to raise the voltage to a level that is more suitable for the inverters being used, often 600 V.

COVID-19 Impact Analysis

The COVID-19 impact had a devastating effect on various activities all over the world including, businesses, financial institutions, industrial enterprises, and infrastructural firms. The market's growth has been constrained by the novel coronavirus, which has impacted several economies and triggered a lockdown in numerous nations. In several countries throughout the world, the closure of industrial producers caused a reduction in the demand for solar-related equipment, which in turn affected the power optimizer industry. The decline in power usage in industrial facilities around the world during the outbreak has had a detrimental effect on the market's growth.

Market Growth Factors

Increasing Popularity And Adoption Of Solar Power

Off-grid solar power systems have been essential in increasing energy availability in a number of countries and regions. Standalone solutions have gained support from private investors, end-users, and policymakers as an inexpensive and sustainable solution for electricity access. These systems provide minimal management and maintenance expenses for the installation of solar panels, which is likely to boost market demand for power optimizers. The market volume would be driven by rising consumer awareness of the adoption of low carbon-intensive technology to reduce GHG emissions.

Power Optimizer Market Share and Industry Analysis Report 2021

Prevalence Of Several Market Players In The Market

Businesses involved in the Power Optimizer sector are becoming increasingly engaged with launching strategies like targeted marketing, CSR programs, etc. as a strategy to raise their global prominence. The fact that these businesses are now aiming to handle a certain business-related activity in a nation that offers advantageous legislation is a clearly discernible trend that is being witnessed across the spectrum. By doing this, it enables enterprises and businesses to save expenses while retaining industry experts for each crucial stage of their respective organizations. By cutting trade taxes and duties, governments in developing nations are introducing measures to entice international investors to the corresponding industrial sectors and create more jobs.

Market Restraining Factors

High Cost Along With Other Complexities

The market for power optimizers is quite new. There is a lack of manufacturers in the market to fulfill the customer demands, other inverter brands cannot be used to link with their power optimizers. However, the installation expenses are also a little more than with a standard string inverter solar panel system because power optimizer equipment is installed on every solar panel. Even a 6kW system would cost significantly more than conventional equipment. This cost increase is quite small when compared to more expensive micro inverters, but it is nevertheless important to note in this context.

Connectivity Outlook

Based on the Connectivity, the Power Optimizer Market is On-Grid and Standalone. In 2021, the on-grid segment acquired the largest revenue share of the power optimizer market. On-grid solar power systems are directly integrated into the utility grid and use a solar power system to generate electricity. Customers are reimbursed for the extra power transmitted back to the utility grid when transmitting any excess power generated by the solar power system there.

Application Outlook

On the basis of Application, the Power Optimizer Market is segmented into Residential, Commercial, and Utility. In 2021, the commercial segment garnered a substantial revenue share of the power optimizer market. The rise in demand for photovoltaic charge controllers from industrial uses for energy usage in data centers, hospitals, restaurants, communication base stations, corporate offices, and other locations is credited with this expansion

End-Use Outlook

By the End-Use, the Power Optimizer Market is Module Level MPPT, Advanced Power Line Communication, Monitoring Components, Safety Shutdown Components, and Others. In 2021, the Advanced Power Line Communication segment procured a promising revenue share of the power optimizer market. This is owing to the fact that this technology uses the already-installed power distribution network to transmit data.

Power Optimizer Market Report Coverage
Report Attribute Details
Market size value in 2021 USD 2.6 Billion
Market size forecast in 2028 USD 5.2 Billion
Base Year 2021
Historical Period 2018 to 2020
Forecast Period 2022 to 2028
Revenue Growth Rate CAGR of 10.4% from 2022 to 2028
Number of Pages 202
Number of Tables 360
Report coverage Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling
Segments covered Connectivity, Application, End Use, Region
Country scope US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria
Growth Drivers
  • Increasing Popularity And Adoption Of Solar Power
  • Prevalence Of Several Market Players In The Market
Restraints
  • High Cost Along With Other Complexities

Regional Outlook

Region-wise, the Power Optimizer Market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. In 2021, Asia-Pacific witnessed the biggest revenue share of the power optimizer market. The largest power optimizer market is found in Asia-Pacific, which includes nations like Japan, China, India, South Korea, Australia, and the rest of Asia-Pacific. China, which generated approximately an amount of solar energy in recent years, is the world's greatest consumer of this energy. The deployed capacity of renewable power in this region will increase. Renewable energy sources have entered the mainstream of the energy industry due to technological advancements and falling capital costs.

Free Valuable Insights: Global Power Optimizer Market size to reach USD 5.2 Billion by 2028

The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Delta Electronics, Inc., SunPower Corporation, KACO new energy GmbH, Alencon Systems, LLC, SolarEdge Technologies, Inc., Enphase Energy, Inc., Tigo Energy, Inc., Altenergy Power System, Inc., Solantro Semiconductor Corp., and Sparq Systems Inc.

Strategies deployed in Power Optimizer Market

» Partnerships, Collaborations and Agreements:

  • May-2022: SolarEdge teamed up with Shawton, one of the leading fabricators in the UK. Under this collaboration, the company aimed to allow access to sustainability and cost benefits of solar energy to more UK businesses without the requirement for any capital investment.
  • Jan-2022: Enphase Energy partnered with Semper Solaris, a leading home solar and battery contractor. Under this partnership, the companies aimed to install IQ Microinverters and IQ Batteries-powered Enphase energy systems across residential applications. In addition, this partnership would also allow improved flexibility and control to households in order to enable them to optimize their home energy system.

» Product Launches and Product Expansions:

  • Dec-2021: SolarEdge rolled out S-Series Power Optimizers, a new range of Power Optimizers. The new product range aimed to offer module-level visibility in site performance with the aim to increase energy production and system uptime. Moreover, the new range also encompasses the features of SolarEdge Sense Connect, a technology that prevents potential thermal anomalies.
  • Mar-2021: Tigo Energy introduced a new version of its TS4-A-O optimizer. With this product expansion, the companies aimed to offer the highest per-module wattage available in any optimizer on the market. This expansion would enable the TS4-A-O optimizer to work with the latest PV modules.
  • Feb-2021: Delta introduced M250HV, a high-capacity string inverter. The new solution aimed to accommodate flexible planning for large-scale solar power plants as well as make them more streamlined to create, maintain, and operate. In addition, the new inverter comprises 12 sets of MPP trackers and a 250kW power output along with more efficiency.

» Acquisitions and Mergers:

  • Mar-2022: Enphase Energy acquired SolarLeadFactory, a solar lead generation engine on the web. With this acquisition, the company aimed to significantly increase lead volumes along with conversion rates in order to aid in reducing customer acquisition costs for installers.
  • Oct-2021: SunPower completed its acquisition of Blue Raven Solar, a residential solar provider in the US. Through this acquisition, the company aimed to leverage the complementary geographic footprint and growth trajectory of Blue Raven to expand its portfolio across the solar market with the aim to serve more customers.

» Geographical Expansions:

  • Jan-2022: Alencon Systems expanded its geographical footprint with the expansion of its existing state-of-the-art suburban Philadelphia manufacturing and research & development facility. Through this expansion, the company aimed to bring improvements in its production and development of new alternative energy power electronics products and technologies.
  • Jun-2021: Enphase Energy expanded its geographical footprint with the launch of its Encharge battery storage system across Germany. Through this geographical expansion, the company aimed to provide configurations spanning from 3.5kWh to 42kWh as well as the choice to expand and upgrade via the lifetime of the system.

Scope of the Study

Market Segments Covered in the Report:

By Connectivity

  • On-grid
  • Standalone

By Application

  • Utility
  • Commercial
  • Residential

By End Use

  • Module Level MPPT
  • Advanced Power Line Communication
  • Monitoring Components
  • Safety Shutdown Components
  • Others

By Geography

  • North America
    • US
    • Canada
    • Mexico
    • Rest of North America
  • Europe
    • Germany
    • UK
    • France
    • Russia
    • Spain
    • Italy
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Singapore
    • Malaysia
    • Rest of Asia Pacific
  • LAMEA
    • Brazil
    • Argentina
    • UAE
    • Saudi Arabia
    • South Africa
    • Nigeria
    • Rest of LAMEA

Key Market Players

List of Companies Profiled in the Report:

  • Delta Electronics, Inc.
  • SunPower Corporation
  • KACO new energy GmbH
  • Alencon Systems, LLC
  • SolarEdge Technologies, Inc.
  • Enphase Energy, Inc.
  • Tigo Energy, Inc.
  • Altenergy Power System, Inc.
  • Solantro Semiconductor Corp.
  • Sparq Systems Inc.

Unique Offerings from KBV Research

  • Exhaustive coverage
  • The highest number of Market tables and figures
  • Subscription-based model available
  • Guaranteed best price
  • Assured post sales research support with 10% customization free

Related Reports:

North America Power Optimizer Market Report 2022-2028

Europe Power Optimizer Market Report 2022-2028

Asia Pacific Power Optimizer Market Report 2022-2028

LAMEA Power Optimizer Market Report 2022-2028

Purchase Report

 3600
 4320
 6048

Special Pricing & Discounts

  • Buy Sections of This Report
  • Buy Country Level Reports
  • Request for Historical Data
  • Discounts Available for Start-Ups & Universities