Europe Single-Axis Solar Tracker Market - Growth, Trends, and Forecasts (2023-2028)

The European single-axis solar tracker market is expected to register a CAGR of over 8% during the forecast period.

The market was negatively impacted by the COVID-19 pandemic in 2020. Presently, the market has reached pre-pandemic levels.

Key Highlights

• Over the medium term, the growing demand for solar power is expected to stimulate market growth. Furthermore, increasing investments and ambitious solar energy targets are expected to drive the market's growth.
• On the other hand, technical drawbacks of string inverters are expected to hamper the growth of Europe's single-axis solar tracker market during the forecast period.
• Nevertheless, product innovation and adoption of the latest technologies in single-axis solar trackers will likely create lucrative growth opportunities for the European single-axis solar tracker market during the forecast period.
• Germany dominates the market and is likely to witness the highest CAGR during the forecast period. This growth is attributed to increasing investments and supportive government policies.

Europe Single-axis Solar Tracker Market Trends

Increasing Investments and Ambitious Solar Energy Targets

• The European region has been witnessing significant developments in the solar industry. In 2021, nearly 25.9 GW of new solar PV capacity was connected to the European grid, an increase of 34% compared to the 19.3 GW installed in 2020. Additionally, several solar projects are either in the planning or construction phase.
• The EU had a cumulative solar photovoltaic capacity of 158.9 GW as of 2021, adding over 22.8 GW that year. Germany is the leading member of the EU-27 in terms of the highest cumulative solar PV capacity.
• For instance, in April 2021, the Germany-based Blue Elephant Energy made a development framework agreement with Umweltgerechte Kraftanlagen (UKA) to develop a 500 MW solar portfolio in Germany. It consists of 11 solar projects in an advanced development stage, with capacities ranging between 20 MW and 130 MW. Germany also aims to achieve 100 GW of solar power and a 65% share of renewables in the gross electricity consumption by 2030.
• Moreover, several other European countries have set ambitious renewable energy targets and are working toward them. In November 2021, the new European Photovoltaic Industry Association, SolarPower Europe, called on the EU to increase its renewable energy target to 45% by 2030, which is anticipated to result in an extra 210 GW of installed solar capacity.
• In February 2022, as part of a new energy strategy, France aimed to deliver more than 100 GW of installed solar PV capacity by 2050.
• Therefore, owing to these factors, solar PV is expected to grow significantly in the coming years, which is expected to create a massive demand for the single-axis solar tracker during the forecast period.

Germany to Dominate the Market

• Germany is the largest solar photovoltaic market in Europe in terms of installed capacity, which justifies it being one of the front runners in energy and climate security globally. The country has witnessed significant developments in the solar PV market and is likely to continue to do so due to a combination of self-consumption with attractive feed-in premiums, especially for medium to large-scale commercial systems ranging from 40 kW to 750 kW.
• National and regional policies have been one of the most prominent contributors to the growth of solar PV in the country. In 2020, Berlin adopted the “Solarcity Master Plan” to expand the deployment of solar panels across the city’s rooftops, with the target of supplying around 25% of the city’s electricity needs with solar power by 2050. It included 27 recommendations to kickstart the solar expansion in Berlin, including incentives and education for property owners and the removal of regulatory barriers for photovoltaic systems.
• In April 2022, Germany’s Economy and Climate Ministry announced the clean energy target of making up 80% of its power mix from renewables by 2030, a bump from its previous target of 65%. Currently, 40.9% of Germany’s power mix consists of clean energy.
• Additionally, the country’s government has also set a target of raising its solar power capacity to 200 GW by 2030, for which the country’s government is planning to increase solar tenders to 20 GW.
• At the end of 2021, the country had a total cumulative photovoltaic capacity of 58.73 GW, a rise of 9.32% compared to 2020.
• In May 2022, Germany's Federal Network Agency, the Bundesnetzagentur, concluded the third rooftop PV tender with an average price of USD 0.091/kWh. The agency reviewed 171 bids with a total capacity of 212 MW and selected 163 projects totaling 204 MW. The final prices ranged between USD 0.075/kWh and USD 0.095/kWh. The second rooftop PV tender was concluded in January 2022, and the agency reviewed 209 bids with a total capacity of 233 MW, of which 136 projects were selected, totaling 154 MW. The final prices ranged between USD 0.061/kWh and USD 0.088/kWh. The final average price was USD 0.079.
• Additionally, in April 2022, Germany's Federal Network Agency announced that the agency had selected 201 proposals with a combined output of 1.084 GW under the solar auction, up from 510.34 MW in July 2021. The bids in the round ranged from USD 0.043 to USD 0.059 per kWh. The volume-weighted average price stood at USD 0.057 per kWh, up from USD 0.053 per kWh in the previous round.
• Therefore, owing to the above points, Germany is expected to dominate the European single-axis solar tracker market during the forecast period.

Europe Single-axis Solar Tracker Market Competitor Analysis

The European single-axis solar tracker market is moderately fragmented in nature. Some of the major players in the market (in no particular order) include Soltec Power Holdings SA, MecaSolar, Ideematec Deutschland GmbH, Nextracker Inc., and Array Technologies Inc.

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• The market estimate (ME) sheet in Excel format
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