Building-integrated Photovoltaics Market Size, Share & Trends Analysis Report By Technology (Crystalline Silicon, Thin Film, Polycrystalline, and Others), By Application (Roof, Glass, Wall, Facade, and Others), By End-use (Commercial, Residential, Industrial, and Others), By Region, And Segment Forecasts, 2023 – 2032

Report Overview

The global building-integrated photovoltaics market size was valued at US$ 21.5 Billion in 2022 and is expected to exhibit a compound annual growth rate (CAGR) of 18.6% from 2023 to 2032.

The global expansion of solar photovoltaic (PV) installation capacities in different nations will drive the substantial growth of the global solar panel market. A growing need for renewable energy sources around the world coincides with this increase. A growing focus on energy safety and independence, backed by supportive governmental laws, is assisting the market's trajectory even more.

The Kyoto Protocol, which aims to reduce greenhouse gas (GHG) emissions, has also been unilaterally endorsed by a number of countries, including China, Japan, India, the United States, the United Kingdom, Germany, Italy, and France. These combined efforts are anticipated to support the market's progress in the near future.

Demand for Building-integrated photovoltaics (BIPV) is expected to rise in popularity in the United States due to the alternative energy sources. Particularly responsible for this increase in demand is the increased demand for integrated rooftop systems in commercial and industrial settings. Additionally, it is projected that the improved efficiency of the goods and developments in thin film BIPV module manufacturing technology will play a significant role in the market's steady growth.

The Feed-in Tariffs (FiTs) offered by the French government are among the most attractive for electricity produced by solar components that are smoothly incorporated into building constructions. It should be noted that a sizable amount of the nation's installed solar capacity is produced by photovoltaics incorporated into building exteriors. In order to encourage the use of building-integrated photovoltaic arrays across the country, France offers significant subsidies and incentives.

Driving Factors

Governmental Efforts and Benevolent Regulations Driving Market Expansion

National governments around the world are taking significant steps towards combatting climate change by making significant investments in renewable energy sources, including tax breaks and financial aid for renewables, as well as feed-in tariffs - providing investors with a set payment per unit of renewable energy produced. BIPV systems have been increasingly integrated into building projects and renovations due to laws enforced by some governments that mandate energy-efficient designs; such proactive government initiatives help hasten market expansion.

Technological Progress

The effectiveness of BIPV systems has significantly improved as a result of ongoing research and development. Increased electricity output is the result of improved technology for solar cells and better energy conversion rates. The range of design options for BIPV has broadened thanks to technological improvements. More aesthetic customization is now possible thanks to their seamless integration into a variety of architectural components, such as windows, facades, and roofing materials. BIPV systems are integrating better with other construction technologies. They can be integrated with smart building management systems and energy storage options, which improves their overall usefulness and value proposition.

Flow in Green Building Practices Driving BIPV Demand

There has been a significant shift toward environmentally friendly and sustainable construction methods. Developers are encouraged by well-known certifications like LEED and BREEAM that place an emphasis on the incorporation of renewable energy, particularly BIPV. These accreditations increase a building's marketability. Many businesses are implementing green efforts to improve their reputations for corporate social responsibility in light of the increased societal awareness of climate change. The paradigm shift toward environmentally friendly buildings is driving the demand for BIPV systems. BIPV systems also have the power to significantly reduce a building's energy costs. They reduce dependency on expensive grid power by producing electricity locally. They also improve thermal insulation, which reduces cooling costs and increases energy savings even more.

Restraining Factors

High Initial Investment Costs

The significant upfront expenditure necessary for the installation of BIPV systems is one of the main issues related to them. Compared to more traditional solutions for roofs or facades, specialist solar panels and their incorporation into building structures have a higher price tag. Potential purchasers may be put off by this, particularly those who may be on a tight budget or who prioritize immediate financial concerns. Despite the long-term energy savings and possible returns on investment, many owners of residential and commercial property are still deterred by the initial capital outlay.

Complex Installation Process

BIPV systems require a more involved installation process than traditional roofing or facade solutions. It calls for more advanced technical knowledge and specific abilities. This intricacy results from the necessity to ensure the solar panels' operation and longevity while also integrating them smoothly into the building structure. Furthermore, aspects including structural considerations, electrical connections, and shading studies must be carefully taken into account. Longer project schedules and possibly greater labour costs could result from this complexity, particularly if particular expertise is needed. It also stresses how crucial it is to work with seasoned experts who are knowledgeable about BIPV installations in order to guarantee a smooth and effective operation.

Technology Analysis

According to the study of product types in the market report, polycrystalline silicon is the market leader in the Building Integrated Photovoltaics (BIPV) industry. BIPV systems frequently make use of polycrystalline silicon, also known as multi-crystalline or polysilicon. Its extensive use is a result of its affordability, especially for large-scale installations, as a result of cheaper production costs than monocrystalline PVs. In comparison to monocrystalline cells, the production of polycrystalline solar cells uses fewer resources and produces less waste. Additionally, solar panels have a marginally higher heat tolerance, which ensures that they deteriorate more slowly in hot environments—a crucial advantage in climates with warmer winters and summers.

Alternative solar technologies including perovskite and thin-film solar cells, which are becoming more common in BIPV applications, have emerged in recent years. This can be ascribed to its adaptability and aesthetic appeal, which give consumers more choices.

Application Analysis

By application type the market for building integrated photovoltaics, concentrating on a variety of applications including roofs, facades, glass, and others. Roof segment is noted as the main sector.

With direct and unobstructed sunshine exposure, roofs become the top alternative for incorporating BIPV systems, especially in tall structures. The effectiveness of electricity generation is maximised by this smart positioning. Furthermore, BIPV systems replace conventional choices during construction or renovations by blending in smoothly with roofing materials. This dual purpose enhances the building's aesthetic appeal by not only producing power but also ensuring weather resistance.

Additionally, the integration of photovoltaics into the roof shows to be a simpler and less disruptive approach for the building's architecture as well as its residents. Additionally, shadowing provided by roof-integrated photovoltaics reduces the need for cooling and improves thermal insulation, all of which contribute to total energy efficiency.

End-User Analysis

Building integrated photovoltaics, which divides the industry into categories for commercial, residential, and industrial segments. The commercial category holds the largest market share.

The commercial sector has been a key user of BIPV technology. In comparison to residential buildings, these structures often have bigger roof and facade areas, which offers a wide installation space for BIPV systems. Additionally, commercial buildings have energy use patterns that are higher throughout the day and perfectly sync with the electricity generated by BIPV systems. By lowering reliance on the traditional grid infrastructure and improving the efficient use of generated electricity, this synchronization results in significant cost savings.

A lot of businesses and institutions are also establishing challenging sustainability goals as part of their CSR initiatives. Incorporating BIPV not only helps them reduce their carbon footprint, but it also acts as a concrete representation of their unwavering dedication to energy sources that are renewable and environmentally friendly business operations.

Growth Opportunities

• Innovations in Energy Storage: By integrating cutting-edge energy storage technologies with BIPV systems, it will be possible to control and use generated energy more effectively, which will boost the systems' marketability.
• Urban Development and High-Rise Buildings: As rapid expansion of cities and high-rise structures proliferate, there will likely be an increase in demand for BIPV systems, especially in places with a high density of people.
• Rise of Net-Zero Energy Projects: As BIPV systems are essential to producing renewable energy for such structures, the movement for net-zero energy buildings will call for their broad adoption.
• Convergence of technologies with IoT: BIPV systems will become an integral part of smart building ecosystems as a result of their integration with the Internet of Things (IoT), which will result in smarter and more responsive energy generation.

Latest Trends

• Energy generation, consumption, and storage can now be optimally managed in real-time by sophisticated automation thanks to BIPV systems' clever integration with smart building systems.
• Transparent solar innovation is redefining building integrated photovoltaics (BIPV) by combining with doors, windows, skylights, and glass facades without sacrificing aesthetics, creating new possibilities in design-focused projects.
• Customized solar aesthetics are now available from manufacturers, enabling architects to effortlessly incorporate solar components into the architecture of buildings, especially high-end ones.
• The development of energy-positive buildings, which produce surplus energy, is being accelerated by technological advancements in BIPV and represents a key step toward the realization of net-zero energy buildings. Such key trends are increasing the demand for building integrated photovoltaics market.

Key Market Segments

By Technology

• Crystalline Silicon
• Thin Film
• Polycrystalline
• Others

By Application

• Roof
• Glass
• Wall
• Facade
• Others

By End-User

• Commercial
• Residential
• Industrial

Regional Analysis

The largest share of the market in building integrated photovoltaics (BIPV) is held by Europe and it accounts for the largest revenue share. This dominance is linked to a strong regulatory framework that encourages the development of renewable energy. European countries also encourage the use of renewable energy through policies such as feed-in tariffs and tax incentives.

The commitment of the region to the Paris Agreement (2015), which calls for significant greenhouse gas reductions, further fuels the need for BIPV. Furthermore, significant industry players leading BIPV technical breakthroughs are based in Europe, where strong R&D skills further support market expansion.

Key Regions and Countries

North America

• US
• Canada

Europe

• Germany
• France
• The UK
• Spain
• Italy
• Russia
• Netherland
• Rest of Europe

Asia Pacific

• China
• Japan
• South Korea
• India
• New Zealand
• Singapore
• Thailand
• Vietnam
• Rest of Asia Pacific

Latin America

• Brazil
• Mexico
• Rest of Latin America

Middle East & Africa

• South Africa
• Saudi Arabia
• UAE
• Rest of MEA

Key Players Analysis

Major companies in the building-integrated photovoltaics industry throughout the world are constantly pushing for new developments to improve the efficiency of energy conversion of their photovoltaic materials. Additionally, they emphasize how beautiful and adaptable these materials are, including photovoltaic glass that can be customized for size, color, and transparency. Additionally, there is a focus on creating thin-film photovoltaic cells, which have advantages over conventional silicon cells when it comes to weight, mobility, and cost-effectiveness.

Presently, a number of significant manufacturers offer comprehensive BIPV solutions created for seamless connection with particular building components. Additionally, they have produced software programs that maximize the production, storage, and use of solar energy. These systems can generate forecasts based on weather forecasts, offer real-time monitoring capabilities, and efficiently manage energy storage and delivery to maximize overall efficiency.

Top Key Players

• Ankara Solar AS
• Ertex Solartechnik GmbH
• Viasolis
• Hanergy Holding Group Ltd.
• HermansTechniglaz
• ISSOL sa
• Sphelar Power Corporation
• Navitas Green Solutions Pvt. Ltd.
• NanoPV Solar Inc.
• Polysolar Ltd.
• Heliatek Gmbh
• Onyx Solar
• AGC Inc.
• Tesla Inc
• Nanoflex Power Corporation

Recent Developments

• ArcelorMittal and BP2 joined together in April 2023 to supply environmentally friendly steel for BP2's ground-breaking SOLROOF integrated photovoltaic roof. This requires using XCarb recycled steel, which must contain at least 75% scrap steel, and producing the product using only renewable energy.
• A JIS-certified method for evaluating the power output of spherical solar cells (I-V characteristic measurement) was released by Sphelar Power Corporation in March 2023. This specification is intended to facilitate the use of spherical cells in a variety of industrial applications, such as building integrated photovoltaics (BIPV).
• A strategic alliance between Saint-Gobain and Megasol, a Swiss maker of BIPV modules, was established in September 2022. In Switzerland, Megasol's BIPV module development and manufacturing business was acquired by Saint-Gobain as a minority share.
• A number of new BIPV devices were unveiled by Risen Energy, a well-known Chinese manufacturer of solar modules, in April 2022. These more current products outperform earlier models in terms of ecological sustainability and have greater capacity for energy production.

Report Scope