Solar Tracker Installation Market Size, Share, and Trends 2024 to 2033

Solar Tracker Installation Market Size and Companies

The global solar tracker installation market size was valued at USD 7.90 billion in 2023 and is anticipated to hit around USD 30.12 billion by 2033, growing at a CAGR of 14.32% from 2024 to 2033. An increase in concerns regarding greenhouse gas emissions and the need for energy security is expected to drive the demand for solar energy. Which in turn is anticipated to boost the growth of the global solar tracker installation market.

Solar Tracker Installation Market Key Takeaways

• The North America solar tracker installation market size accounted for USD 4.03 billion in 2023 and is predicted to grow to around USD 15.51 billion by 2033
• North America led the market with the largest market share of 51% in 2023. 
• Asia Pacific is identified as the fastest-growing region during the forecast period.
• By type, the single-axis segment has held the biggest market share of 88% in 2023.
• By type, the dual-axis segment is projected to show the fastest growth over the forecast period.
• By application, the residential segment dominated the market in 2023
• By application, the industrial segment is projected to grow rapidly over the projected period.

Solar Tracker Installation Market Size in the U.S. 2024 to 2033

The U.S. solar tracker installation market size was estimated at USD 3.22 billion in 2023 and is expected to be worth around USD 12.49 billion by 2033, at a CAGR of 14.51% from 2024 to 2033.

North America dominated the market in 2023. The significant growth of solar tracker installations in North America can be attributed to the region's abundant solar resources, particularly in areas like the southwestern United States and parts of Canada. These regions benefit from ample sunlight, making them prime locations for solar energy generation. 

There has been a significant increase in solar power installations, with numerous large-scale projects choosing to use solar trackers to maximize energy efficiency. Additionally, supportive government policies and incentives have been instrumental in promoting the growth of the solar tracker installation market in North America.

• In September 2023, Soltec participated in RE+ with its latest SFOne solar tracker in the U.S. The RE+ exhibition, driven by the country's leading solar energy organizations, the Smart Electric Power Alliance (SEPA) and the Solar Energy Industries Association (SEIA), aligns with the trend of renewing best practices across the renewable energy landscape as the solar tracker installation market evolves.

Asia Pacific is the fastest-growing region during the forecast period. The region’s solar tracker installation market is poised for growth, driven by a surging demand for electricity. This heightened demand will primarily stem from China and Southeast Asia, fueled by burgeoning economies with increasing per capita income and expanding transportation needs. Meeting this escalating demand will necessitate the addition of over 3,200 gigawatts (GW) of new power plant capacity. That's why solar trackers are expected to play a pivotal role in meeting the region's growing electricity needs.

• In March 2024, Adani Green Energy Limited’s shares were up by 0.59 percent after the company announced the operationalization of a new 180-MW solar power plant at Devikot in Jaisalmer, Rajasthan. The plant has entered into a 25-year power purchase agreement (PPA) with the Solar Energy Corporation of India (SECI).

Solar Tracker Installation Market Size in Asia Pacific 2024 to 2033

The Asia Pacific solar tracker installation market size was calculated at USD 1.66 billion in 2023 and is estimated to cross around USD 6.48 billion by 2033 with a significant CAGR of 14.59% from 2024 to 2033.

Solar Tracker Installation Market Overview

Solar tracker installation involves the setup and arrangement of solar tracking systems, which are mechanisms designed to help solar panels or solar thermal collectors track the movement of the sun throughout the day. The main goal of the solar tracker installation market is to enhance the exposure of solar panels to sunlight by boosting their energy production. During installation, various equipment and components are put together and adjusted to ensure the trackers function correctly. This includes mounting the solar panels onto the trackers, which are structures allowing the panels to move and align with the sun's position in the sky.

When it comes to solar tracker installations, the process involves securing the trackers to a foundation or support structure and integrating them into the electrical system of the solar power setup. It requires careful planning to ensure that the trackers are aligned for optimal solar energy capture. This planning involves considering the site's geography, orientation, and shading conditions so that the trackers are placed in the best possible position.

Solar Tracker Installation Market Growth Factors

• Rising demand for renewable energy sources can drive the growth of the solar tracker installation market during the forecast period.
• The government also promotes clean energy adoption initiatives, which can fuel the growth of the solar tracker installation market.
• Key players' growing focus on energy efficiency and higher yields can boost the solar tracker installation market growth further.
• Advancement in tracking system technology is one of the key factors driving the growth of the solar tracker installation market.
• Declining the cost of solar technologies can also help in the expansion of the market.

Solar Tracker Installation Market Scope

Solar Tracker Installation Market Dynamics

Driver: Growth in demand for renewable energy

The solar tracker installation market has experienced robust expansion, propelled by several factors, including increased investments in renewable energy, advancements in technology, and supportive government policies. With the global demand for clean energy on the rise, solar trackers have become essential for maximizing the efficiency of solar power generation. These mechanisms allow solar panels to track the sun's movement throughout the day by optimizing energy capture and significantly boosting the output. This increased efficiency has driven the popularity of solar trackers, especially in large-scale solar projects where maximizing energy production is crucial. Additionally, declining costs associated with solar technologies and ongoing innovations in tracking systems have further driven market growth. Manufacturers are continuously enhancing the reliability, durability, and cost-effectiveness of solar trackers and expanding their accessibility to a broader range of projects and markets.

• In February 2024, Nextracker, a leading global provider of intelligent solar tracker and software solutions, announced it was selected by ACWA Power and Larsen & Toubro Limited (L&T) to provide its all-terrain tracker NX Horizon-XTR™ for a 1.17 GW installation at Al Kahfah Solar Power Plant, a strategically important renewable energy project in Saudi’s Central Province that is part of the National Renewable Energy Program.

Restraint: Unavailability of skilled laborers

Investing in new renewable energy sources involves significant upfront costs for building infrastructure, which can raise the overall expense of providing renewable electricity, particularly in the initial stages. Developers must identify suitable sites with good resources and access to transmission lines, a process that often takes years of monitoring to confirm viability. Furthermore, workers require training to install, operate, and maintain new technologies, and certain renewable sources may require operational experience in specific climatic conditions to optimize performance. These factors collectively contribute to the higher costs associated with installing solar panels. This elevated cost is anticipated to impede market growth by limiting the widespread adoption of solar trackers.

Opportunity: Emerging eco-friendly alternatives to energy

The International energy agency predicts that renewable energy will make up a more significant portion of the world's total energy consumption over the next five years.  Renewable energy sources like solar and wind power come from natural elements such as sunlight and wind. These sources, along with others like geothermal and hydropower, are used for various purposes, such as generating electricity, transportation, heating, and cooling. One of the main driving forces behind the increased use of renewable energy is the growing awareness of the link between carbon dioxide emissions from burning fossil fuels and climate change. Moreover, concerns about greenhouse gas emissions and the desire for energy independence are expected to drive the demand for solar energy. This increased demand for solar energy is anticipated to lead to a higher demand for solar trackers, which help to optimize solar panel efficiency by tracking the sun's movement.  This factor is projected to contribute to the growth of the global solar tracker installation market.

• In April 2024, EWEC, a pivotal entity in water and electricity supply in the UAE, advanced its latest initiative, the Khazna Solar Photovoltaic (PV) Project, to Boost UAE’s Renewable Energy Capacity by inviting proposals from pre-qualified developers and consortiums. This 1,500-megawatt solar facility, situated in Al Khazna, Abu Dhabi, marks EWEC’s fourth major venture into utility-scale solar energy. 

Type Insight

The single-axis segment dominated the solar tracker installation market in 2023. Single pivot trackers are equipped with a single axis of rotation, typically aligned along a North meridian. Advanced tracking algorithms enable flexible alignment in various directions. Variants of single-axis trackers include horizontal single-axis trackers with tilted modules (HTSAT), tilted single-axis trackers (TSAT), horizontal single-axis trackers (HSAT), vertical single-axis trackers (VSAT), and polar aligned single-axis trackers (PSAT). These trackers operate along both horizontal and vertical axes.

• In November 2023, a solar tracker manufacturer from Spain, Soltec, designed a single-axis tracker specifically for the US market. The tracker, SFOne US, compared to Soltec’s trackers for other markets, sees a fewer number of parts. It also comes with the option of some pieces pre-assembled.

The dual-axis segment is projected to show the fastest growth over the forecast period. The dual-axis horizontal segment, known for its increased precision, has experienced notable growth. These systems adjust solar panels along both horizontal and vertical axes, ensuring optimal tracking of the sun's position. Although dual-axis trackers generally involve higher initial investments compared to single-axis systems, they offer superior energy yields by precisely following the sun's trajectory throughout the day and year.

Application Insight

The residential segment dominated the solar tracker installation market in 2023. During the forecast period, concentrated solar power (CSP) systems are expected to find diverse applications, particularly in residential settings. In these setups, CSP technology harnesses exhaust heat to heat water, catering to various domestic and institutional needs. This includes providing hot water for cooking, bathing, and cleaning, among other purposes. The significant energy savings from heating water can be easily quantified. Moreover, the heat generated by CSP systems can also be utilized for space heating across different settings such as factories, hospitals, homes, and more. Additionally, this heat can be employed for cooling purposes using absorption chillers, which offer further versatility in their applications.

In the solar tracker installation market, the industrial segment is projected to grow rapidly over the projected period. In industrial sectors such as manufacturing, warehousing, and large-scale commercial enterprises, there's a growing trend toward adopting solar energy solutions. This shift is driven by the dual objectives of meeting electricity demands while simultaneously reducing carbon emissions and operational expenses. Solar trackers emerge as indispensable components in this transition, facilitating optimal energy generation by ensuring solar panels capture maximum sunlight throughout the day. By improving energy yields and system efficiency, solar trackers contribute significantly to the success of solar power systems deployed in industrial settings. Key to this growth is the increasing corporate focus on sustainability and environmental stewardship, which incentivizes businesses to invest in renewable energy solutions like solar trackers.

Solar Tracker Installation Market Recent Developments

• In May 2023, Array Technologies announced the launch of its new DuraTrack HZ v3 solar tracker. The new tracker is designed to be more efficient and easier to install than previous models.
• In April 2023, NEXTracker announced the launch of its new NX Navigator controller system. The new control system uses artificial intelligence and machine learning to optimize the performance of solar trackers.

Solar Tracker Installation Market Companies

• Abengoa Solar S.A.
• AllEarth Renewables
• Array Technologies Inc.
• DEGERenergie GmbH & Co. KG
• Nclave
• Powerway Renewable Energy Co. Ltd.
• Soltec Tracker
• SunPower Corporation
• Titan Tracker
• Trina Solar Limited

Segments Covered in the Report

By Type

• Single Axis
• Horizontal
• Vertical
• Dual Axis

By Application

• Residential
• Commercial
• Industrial

By Geography

• North America
• Asia Pacific
• Europe
• Latin America
• Middle East & Africa