|
Forecast
Period
|
2024-2028
|
|
Market
Size (2022)
|
USD
375.8 Million
|
|
CAGR
(2023-2028)
|
4.8%
|
|
Fastest
Growing Segment
|
Residential
|
|
Largest
Market
|
Asia
Pacific
|
Market Overview
Global
Solar Shingles Market was valued at USD 375.8 Million in 2022 and is
anticipated to project robust growth in the forecast period with a CAGR of 4.8% through 2028. The
solar shingle is a solar panel designed in such a way to integrate it into a
conventional asphalt roof of the residential or commercial building without
losing its aesthetic looks. They are installed similar to normal asphalt roof
protect from rain and produce solar energy at the same time. Solar shingles are
smaller in size and typically less than an inch thick to resemble as traditional
roof tiles. The major advantage of solar shingles is that it adds sleek
appearance compared to the traditional solar panel and produce extra power to
save energy bills. Solar shingles also have few drawbacks which inhibit its
growth such as huge installation cost and lower efficiency than the traditional
solar panel. The market for solar shingles can be segmented on the basis of
type, and geography. On the basis of type, the solar shingles are available in
two types of photovoltaic panels such as Silicon solar shingles and, CIGS
thin-film solar shingles. The CIGS thin-film solar shingle is the latest
technology and widely accepted by lots of residential application. CIGS
thin-film panel provides more flexibility, lightweight, and have the ability to
bend per roof structure. The
major driver for Solar Shingles Market is the increasing awareness about the
clean energy and solar products along with adding aesthetic looks to their
buildings. As the demand for solar-based electricity is increasing across the
world, many companies are coming up with latest advanced solar modules focusing
on efficiency, cost, and design of the solar panel.The factor that is expected
to inhibit the growth of the market is the huge installation cost. The solar
shingles come in various types and are suitable for a different kind of
requirement. Globally, the prices of the solar panel have gone down
considerably over the years and the trend is going to follow in the forecast
period.
Key Market Drivers
The
solar shingle is a solar panel designed in such a way to integrate it into a
conventional asphalt roof of the residential or commercial building without
losing its aesthetic looks. They are installed similarly to a regular asphalt
roof to provide both rain protection and solar energy production. Solar
shingles are often less than an inch thick and smaller in size to mimic
conventional roof tiles. The primary benefit of solar shingles is that they
offer a modern aesthetic to standard solar panels and provide additional power
to reduce energy costs.
Shingles
Are Adaptable and Durable
As
per the solar shingles market forecast, the shingles are adaptable and durable,
which further adds to their attractiveness and enables them to be employed on a
range of buildings. Homeowners are becoming more interested in the CIGS
thin-film solar shingle due to its portability, flexibility, and adaptability.
Traditional solar panels' need for a huge installation space is further reduced
by the solar shingles. The global market for solar shingles is anticipated to
benefit from these characteristics. Rapid urbanisation and rising consumer
expenditure on house renovations and improvements are other important industry
development drivers. Further factors that are projected to spur the adoption of
solar shingles include rising pollution levels, longer utility bills, and
growing environmental concerns about the use of fossil fuels for power
generation.
The
favorable regulatory environment for the use of renewable energy technologies
as well as the increased efforts toward sustainable development are estimated
to further extend profitable opportunities to the market players in the
forecast period of 2022 to 2029. Increasing adoption of the alternative source
of energy will boost the solar shingles market size. Carbon reduction has
accelerated the adoption of renewable energies as the globe transitions to a
sustainable energy system. Solar technology has dramatically improved, offering
affordable solutions for decarbonizing the energy sector which is driving the
solar shingles market trends.
As
a result of the numerous advancements in technology and R&D in the
electronics sector, semiconductors are being employed across all electronic
devices, in particular for those in the industrial sector creates the solar
shingle market opportunity in coming years. Furthermore, the advancements
related to solar energy harvesting coupled with the increasing investments in
the development of manufacturing facilities are estimated to further provide
solar shingle market growth.
GAF
Energy is counting on the scale of the roofing industry to make solar more
accessible. The roofing ecosystem is 20–30 times larger than solar. In the
United States, 200,000–300,000 people get a new solar system each year which is
increases solar shingles market share. In a solar roof installation, Tesla
installs tiles with solar power and some without. The company tries to optimize
each roof by installing the tiles with solar cells where they would be more
efficient. Tesla install the solar tiles over existing roofs. It specifies
these two roof types: three-tab composition shingle and architectural
composition shingle.
"In
Oct 2016, Tesla announces the production plan for four different types of solar
tiles into its manufacturing. The solar tiles will be produced by SolarCity
factory due from 2017. Furthermore, in October 2019, Tesla announced its plans
of launching Solar Roof V3, a new version of its solar roof tiles. The company
also disclosed the ramping up of its solar roof tile production to 1,000 roofs
per week through the end of the year."
Adoption
of solar shingles
In
the solar shingles market analysis, there are several acts and standards that
are set up to safeguard the use of solar shingle in residential, commercial
& industrial are studied. The rules and standards regarding global solar
industry trade, technology and manufacturing in the U.S is controlled by the
Solar Energy Industries Association (SEIA®).The installation of PV systems and
the majority of other electrical installations must adhere to the National
Electrical Code (NEC). IEC 61730-1:2016 specifies and describes the fundamental
construction requirements for photovoltaic (PV) modules in order to provide
safe electrical and mechanical operation. IEC 61730-2 defines the requirements
of testing. This International Standard series lays down IEC requirements of
terrestrial photovoltaic modules suitable for long-term operation in open-air
climates. This standard is intended to apply to all terrestrial flat plate
module materials such as crystalline silicon module types as well as thin-film
modules.
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Key Market Challenges
The
Main Challenge in the Global Solar Shingles Market: Cost and Affordability
Cost
and affordability are the central challenges facing the global solar shingles
market. While solar shingles offer numerous advantages, including aesthetic
appeal and seamless integration into roofing, they tend to be more expensive
compared to traditional solar panels. This cost factor creates a barrier to
widespread adoption and necessitates a deeper examination.
Understanding
the Cost Structure of Solar Shingles
To
comprehend the challenge of cost and affordability in the solar shingles
market, it is essential to delve into the cost structure and factors that
contribute to the pricing of solar shingles:
Materials:
Solar shingles are typically made from high-quality materials designed to
withstand various weather conditions and provide long-term durability. These
materials, including advanced photovoltaic cells and protective layers, can be
costly.
Manufacturing
Processes: The production of solar shingles involves advanced manufacturing
processes to ensure the integration of solar cells with roofing materials.
These processes often require precision and expertise, which can contribute to
manufacturing costs.
Installation
Costs: Solar shingle installation involves specialized labor and expertise.
Installers need to ensure the shingles are correctly integrated with the
existing roof structure. This adds to the overall cost, as professional
installation is essential to maximize efficiency and maintain the integrity of
the roof.
Aesthetic
Considerations: Solar shingles are designed to blend seamlessly with
conventional roofing materials, contributing to their aesthetic appeal.
Achieving this level of integration may require extra engineering and design
efforts, leading to increased costs.
R&D
and Innovation: Ongoing research and development are crucial to improving the
efficiency and durability of solar shingles. These investments in innovation
can drive up the overall cost of the technology.
Economies
of Scale: The solar shingle industry is still relatively niche compared to
traditional solar panels. The economies of scale that large-scale solar panel
manufacturers enjoy are not as readily available to solar shingle
manufacturers, which can result in higher costs.
Lack
of Competition: The limited number of manufacturers in the solar shingle market
can reduce competition, potentially leading to higher prices. A more
competitive landscape could help drive down costs.
Challenges
in Addressing the Cost Issue
Addressing
the challenge of cost and affordability in the global solar shingles market is
essential for realizing the full potential of this technology. Several factors
complicate this effort:
Long
Payback Period: The cost of solar shingle installation can have a long payback
period. While homeowners and businesses can save money on energy bills over
time, the initial investment can be a deterrent, especially for those with
limited financial resources.
Incentives
and Subsidies: Many regions offer incentives, tax credits, and subsidies to
promote solar energy adoption. While these can help offset costs, they may not
be sufficient to make solar shingles affordable for everyone.
Financing
Options: Financing solutions, such as solar loans and power purchase
agreements, can make solar shingle installations more accessible. However,
these options may come with their own terms and interest rates, which can add
to the overall cost.
Consumer
Awareness: Many potential customers may not be fully aware of the long-term
cost savings and environmental benefits associated with solar shingles. Raising
awareness and educating consumers about these advantages is crucial to drive
adoption.
Regulatory
Challenges: Regulatory and permitting processes can vary by region and add
complexity to solar shingle installations. Streamlining these processes can
help reduce costs.
The
Importance of Cost Reduction in the Solar Shingles Market
Addressing
the cost and affordability challenge in the global solar shingles market is
vital for several reasons:
Market
Growth: Cost reduction is essential to stimulate market growth. As costs come
down, more homeowners and businesses can afford to invest in solar shingles,
leading to increased market demand.
Environmental
Impact: Widespread adoption of solar shingles can significantly reduce
greenhouse gas emissions and reliance on fossil fuels, making a substantial
contribution to environmental sustainability.
Energy
Independence: Solar shingles provide a means of producing clean energy on-site,
reducing dependence on centralized energy sources and enhancing energy
security.
Technological
Advancement: As the market grows and competition increases, there is more
incentive for research and development. This can lead to technological
advancements that not only reduce costs but also improve the efficiency and
durability of solar shingles.
Aesthetic
Integration: Solar shingles have a unique advantage in that they can seamlessly
blend with existing roofing materials. Making them more affordable would enable
homeowners to embrace clean energy without compromising the aesthetics of their
homes.
Approaches
to Addressing the Cost Challenge
Several
approaches can be taken to address the cost and affordability challenge in the
global solar shingles market:
Research
and Development: Continued investment in R&D can lead to innovations that
reduce the cost of materials, manufacturing, and installation. Improved
efficiency and durability can also increase the value proposition of solar
shingles.
Economies
of Scale: As the market grows and more manufacturers enter the space, economies
of scale can be realized. This can lead to reduced manufacturing and
installation costs.
Streamlined
Installation: Simplifying the installation process, potentially making it
accessible to a wider range of installers, can help lower labor costs and
reduce the time required for installation.
Incentives
and Financing: Governments and organizations can continue to offer incentives
and financing options to make solar shingle installations more accessible. This
includes tax credits, rebates, and low-interest loans.
Education
and Awareness: Efforts to educate consumers about the long-term benefits of
solar shingles can help overcome the initial cost barrier. Clear communication
of the environmental and economic advantages is crucial.
Regulatory
Support
Governments
and regulatory bodies can streamline permitting processes and reduce
bureaucratic hurdles associated with solar shingle installations. This can
lower administrative costs and encourage adoption.
Competition:
Encouraging more manufacturers to enter the solar shingle market can promote
competition and innovation, potentially driving down costs.The global solar
shingles market holds significant promise for the future of sustainable energy
generation. Solar shingles offer a visually appealing and efficient way to
integrate solar power into residential and commercial buildings. However, the
main challenge in this market is the cost and affordability of solar shingle
installations. High material, manufacturing, installation, and design costs,
along with a lack of economies of scale, make solar shingles more expensive
than traditional solar panels.
Addressing
the cost challenge is critical to unlocking the full potential of solar
shingles. This can be achieved through a combination of research and
development, economies of scale, streamlined installation processes, incentives
and financing options, consumer education, regulatory support, and increased
competition in the market. As technology advances and market dynamics evolve,
the solar shingles market may become more accessible and affordable, allowing a
wider range of consumers to embrace clean energy solutions. Ultimately,
addressing the cost challenge is vital for the continued growth and
sustainability of the global solar shingles.
Key Market Trends
Increased
Integration with Building Materials
Solar
shingles were becoming more integrated with traditional roofing materials,
leading to a more seamless and aesthetically pleasing appearance. This trend
focused on combining functionality with design, making solar shingles more
appealing to homeowners and businesses.
Growing
Residential Adoption: Residential solar shingle installations were on the rise.
Homeowners were increasingly interested in harnessing solar energy for their
households, partly due to environmental concerns and the potential for
long-term cost savings on energy bills.
Advancements
in Technology: Technological improvements were enhancing the efficiency and
durability of solar shingles. This included better photovoltaic cell design,
anti-reflective coatings, and enhanced weather resistance, making solar
shingles more reliable and efficient.
Innovations
in Thin-Film Solar Shingles
Thin-film
solar shingles, which are more flexible and lightweight, were gaining
popularity. These shingles could be more easily integrated into different
roofing designs and were potentially more cost-effective.
Increased
Awareness of Environmental Benefits: With a growing focus on sustainability and
reducing carbon footprints, solar shingles were gaining attention for their
environmental benefits. Consumers and businesses were increasingly drawn to the
idea of clean energy production.
Government
Incentives and Policies: Government incentives, tax credits, and rebates were
encouraging solar shingle installations. Many regions were introducing policies
to promote the adoption of solar energy, making it more financially appealing
to consumers.
Energy
Storage Integration: The combination of solar shingles with energy storage
systems, such as home batteries, was becoming more common. This allowed for the
storage of excess solar energy for use during cloudy days or at night,
increasing the reliability of solar shingle systems.
Emerging
Markets and Global Expansion: The global solar shingle market was expanding
beyond its traditional strongholds in North America and Europe. Emerging
markets, especially in Asia, were showing growing interest in solar shingle
technology.
Customization
and Scalability: Solar shingle systems were becoming more customizable and
scalable. Homeowners and businesses could choose the size and layout of their
solar shingle arrays, making it easier to adapt the technology to their
specific energy needs.
Competitive
Landscape: The solar shingle market was becoming more competitive as additional
manufacturers entered the field. This competition was expected to lead to
innovations and potential cost reductions in the future.
Financial
and Ownership Models: Different ownership and financing models, such as power
purchase agreements (PPAs) and solar leasing, were being explored, allowing
consumers to adopt solar shingles with minimal upfront costs.
Smart
and Connected Shingles: Integration of smart technology and monitoring systems
into solar shingle installations was on the rise. This allowed homeowners and
businesses to monitor energy production and consumption, optimizing their
energy use.
Resilience
and Backup Power: In regions prone to power outages or natural disasters, solar
shingles were increasingly viewed as a means of providing backup power. This
feature gained importance, especially in the face of climate change-related
events. the solar energy market is dynamic, and new trends and developments may
have emerge. The since my last update. To get the most current information on
trends in the global solar shingles market, I recommend consulting industry
reports, news sources, and market research studies specific to the solar
industry.
Segmental Insights
End User Insights
The residential segment is
dominating the solar shingle market. In 2021, the residential segment accounted
for over 80% of the global solar shingle market. This is due to a number of
factors, including Solar shingles offer a number of advantages over traditional
solar panels, such as a more seamless and aesthetically pleasing appearance,
improved durability, and easier installation. Many countries and states offer
tax credits and other financial incentives to homeowners who install solar
shingles. The cost of electricity has been rising steadily in recent years,
making solar shingles a more attractive option for homeowners who want to
reduce their energy bills. The residential solar shingle market is expected to
continue to grow in the coming years, driven by the factors listed above.
Additionally, the development of new solar shingle technologies, such as
thin-film solar shingles, is expected to make solar shingles more affordable
and accessible to homeowners.
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Regional Insights
Region-wise, the market is
studied across North America, Europe, Asia-Pacific, And LAMEA. Asia-Pacific
dominates the solar shingle market in terms of market share and market revenue
and will continue to flourish its dominance during the forecast period.Asia-Pacific
is the highest revenue contributor during the forecast period. Owing to
countries such as China, Australia, and Indonesia are expected to gain the
largest market opportunity owing to increasing huge potential of planned solar
projects in the coming years. The increased growth of the market as the
favourable regulations encouraging the installation of solar shingle and
increased consumer spending on home upgrades and retrofits within the region in
the forecast period of 2022 to 2029.
Recent Developments
- In March 2022, Canadian Solar announced it
has started mass production of new 54-cell format module with 182 mm cell for
residential, commercial and industrial rooftop solar systems. CS6R-MS, the new
module type under HiKu6 series, has the power output of up to 420 W and module
efficiency of up to 21.5%.
- In February 2021, Ergosun have created an
integral solution to combine roofing materials with Solar PV system, so that
this could have a long-lasting positive effect on the future. Ergosun solar
roof tiles produce much less of an environmental impact than a regular PV panel
and helps to reduce CO2 emissions.
Key Market Players
- SunTegra Solar
- Ergosun
- CertainTeed
- Canadian Solar
- Ertex Solar
- FlexSol Solutions B.V
- Tesla
- Anu Solar Power Pvt Ltd
- PV Technical Services Inc.
- Sunflare
|
By Type
|
By End User
|
By Roofing Type
|
By
Region
|
- Silicon
Solar Shingles
- Copper
- Indium - Gallium - Selenide (CIGS) Solar Shingles
- Others
|
- Residential
- Commercial
- Industrial
|
|
- North
America
- Europe
- South America
- Middle
East & Africa
- Asia
Pacific
|
|
Report Scope:
In this report, the
Global Solar Shingles Market has
been segmented into the following categories, in addition to the industry
trends which have also been detailed below:
·
Global Solar Shingles Market, By Type:
o Silicon Solar Shingles
o Copper - Indium - Gallium - Selenide
(CIGS) Solar Shingles
o Others
·
Global Solar Shingles Market, By End
User:
o Residential
o Commercial
o Industrial
·
Global Solar Shingles Market, By Roofing Type:
o New Roofing
o Reroofing
·
Global Solar Shingles Market, By Region:
o
North America
§ United States
§ Canada
§ Mexico
o
Asia-Pacific
§ China
§ India
§ Japan
§ South Korea
§ Indonesia
o
Europe
§ Germany
§ United Kingdom
§ France
§ Russia
§ Spain
o
South America
§ Brazil
§ Argentina
o
Middle East & Africa
§ Saudi Arabia
§ South Africa
§ Egypt
§ UAE
§ Israel
Competitive Landscape
Company
Profiles: Detailed
analysis of the major companies presents in the Global Solar Shingles Market.
Available Customizations:
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Solar Shingles Market report with
the given market data, Tech Sci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
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