July 15, 2024
Solar Air Conditioning Market
Ict

Rising Consumer Preference For Eco-Friendly Solutions To Fuel Growth In The Global Solar Air Conditioning Market

Market Overview:

Solar air conditioning systems utilize renewable solar energy to provide cooling through photovoltaic panels installed on rooftops or outdoor spaces. These systems are an eco-friendly alternative to conventional air conditioners that run on electricity derived from fossil fuels. Solar air conditioners minimize carbon footprint and energy bills by harnessing free solar power. Their self-sufficient nature provides independence from power grids. Furthermore, governments across various countries provide subsidies for installation of solar PV systems, which has boosted the adoption of solar air conditioners.

The global Solar Air Conditioning Market is estimated to be valued at US$ 2.52 Bn in 2023 and is expected to exhibit a CAGR of 13% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

Growing emphasis on reducing carbon emissions and transitioning to cleaner energy sources is a major driver for the solar air conditioning market. Government policies and regulations encouraging use of renewable energy for both residential and commercial sectors have ramped up demand. Ongoing technological advancements are yielding more efficient solar panels and innovative air conditioning designs for optimal performance. Manufacturers are extensively investing in R&D to develop cost-effective and high-performance solar air conditioning solutions. Rising living standards along with increasing spending power on energy efficient appliances have further expanded the customer base.

Porter’s Analysis

Threat of new entrants: Low investment requirement compared to other energy technologies lowers the threat of new entrants. However, established brands have an advantage due to their experience and reputation.

Bargaining power of buyers: Buyers have moderate bargaining power. They can negotiate on price but the benefit of energy efficiency provided by solar air conditioners leaves limited choice.

Bargaining power of suppliers: Component suppliers have moderate bargaining power due to availability of alternative component suppliers and intensity of competition.

Threat of new substitutes: Threat from new substitutes like traditional air conditioners and other green technologies is moderate as they provide similar benefits but solar remains an environment friendly option.

Competitive rivalry: Intense as key players compete based on product quality, features, reliability, warranties, and after sales service. Price competition is also high to gain market share.

Key Takeaways

The global Solar Air Conditioning Market Share is expected to witness high growth, exhibiting CAGR of 13% over the forecast period, due to increasing awareness about global warming and carbon footprint reduction.

Regional analysis:

Asia Pacific dominates the market and is expected to grow at the fastest rate owing to rising installation in residential sector across China, India to reduce electricity bills. North America will see notable growth due to tax incentives and initiatives to promote solar energy in the US and Canada.

Key players:

Lennox, Videocon, Harvest Air Conditioner, HotSpot Energy Inc., Aussie Solar World, Solair World International, Icesolair, Gree, Midea Group Onyx Solar are some major players in the solar air conditioning market. They are focusing on product innovation and partnerships to strengthen their geographic presence.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it