According to a recent report, the global solar panel market experienced a record high in 2021, with installations increasing by 25% compared to the previous year. The report suggests that the growing demand for renewable energy and government incentives have contributed to the increase in solar panel installations.
The report, which was published by the International Energy Agency (IEA), shows that solar photovoltaic (PV) installations reached a record 162 gigawatts (GW) in 2021, up from 130 GW in 2020. This represents a significant increase in the deployment of solar power, which is now the fastest-growing source of electricity generation in the world.
The increase in solar panel installations has been driven by several factors, including the declining cost of solar PV technology, the growing demand for renewable energy, and government policies and incentives that support the deployment of solar power.
Many countries have set ambitious renewable energy targets, with solar power playing a key role in meeting those targets. The report shows that China was the largest market for solar PV installations in 2021, followed by the United States, Europe, India, and Japan.
In addition to the utility-scale solar installations, the report also highlights the increasing popularity of small-scale solar PV systems, such as rooftop solar panels for residential and commercial buildings. The IEA estimates that the cumulative capacity of small-scale solar PV systems reached 976 GW in 2021, up from 820 GW in 2020.
The report suggests that the trend of increasing solar panel installations is set to continue, with the IEA forecasting that solar PV installations will reach 270 GW per year by 2025, driven by falling costs and supportive policies. This is good news for the global effort to combat climate change and transition to a low-carbon economy.