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Residential Solar Market in the US 2016-2020

About the Residential Solar market in the US

A residential solar PV system is a small-scale power generation plant that uses PV technology to convert sunlight into electricity. Harnessing solar energy is considered as one of the most efficient ways to promote renewable energy and improve grid stability. The growing need for electricity and demand-side management (DSM) programs is driving solar PV installations worldwide. Renewable energy accounts for the majority of new capacity installations across countries. In 2015, solar PV installations accounted for 57 GW capacity worldwide, growing by 30% on a YoY basis.

Technavio’s analysts forecast the residential solar market in the US to grow at a CAGR of 33.12% during the period 2016-2020.

Covered in this report

The report covers the present scenario and the growth prospects of the residential solar market in the US for 2016-2020. To calculate the market size, we have collected the annual installed capacity of residential solar PV systems through secondary research. Government policies and targets of various US states have been considered while estimating the market size. In order to calculate the market revenue, the average price of PV balance of system (BOS) based on customer feedback has been taken into consideration.

The market is analyzed based on states:

  • California
  • Arizona
  • North Carolina
  • New Jersey
  • Nevada
  • Massachusetts
  • New York
  • Hawaii
  • Colorado
  • Texas
Technavio's report, Residential Solar market in the US 2016-2020, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.

Key vendors
  • NRG Energy
  • SolarCity
  • Sungevity
  • Sunrun
  • Verengo
  • Vivint Solar
Other prominent vendors
  • First Solar
  • Borg Energy
  • Jinko Solar
  • ReneSola
Market driver
  • Federal and state-level policies and incentives
  • For a full, detailed list, view our report
Market challenge
  • Low conversion efficiency of solar PV systems
  • For a full, detailed list, view our report
Market trend
  • Advances in battery storage technology
  • For a full, detailed list, view our report
Key questions answered in this report
  • What will the market size be in 2020 and what will the growth rate be?
  • What are the key market trends?
  • What is driving this market?
  • What are the challenges to market growth?
  • Who are the key vendors in this market space?
  • What are the market opportunities and threats faced by the key vendors?
  • What are the strengths and weaknesses of the key vendors?


Press Release

Technavio Announces the Publication of its Research Report – Residential Solar market in the US 2016-2020

Technavio recognizes the following companies as the key players in the residential solar market in the US: NRG Energy, SolarCity, Sungevity, Sunrun, Verengo, and Vivint Solar.

Other Prominent Vendors in the market are: First Solar, Borg Energy, Jinko Solar, and ReneSola.

Commenting on the report, an analyst from Technavio’s team said: “A key trend that will offer sustained market growth is the advances made in the area of battery storage technology. Intermittency has been one of the biggest challenges in using renewable energy for power generation. However, this challenge has been overcome by the recent advances in battery storage capacity. Cost and storage capacity of the batteries have improved with extensive research and large-scale deployment. Aqueous solar flow is one such technological breakthrough, introduced by the Ohio State University in 2015.”

According to the report, a key growth driver is the incentives offered at the federal and state levels along with solar friendly policies. Policies and incentives play a crucial role in the widespread deployment of renewable energy technologies such as solar PV systems. Incentives, awareness programs, and policies offered by the federal government are integral to the growth of the residential solar market in the US. Tax credit policies such as solar ITC have triggered the sales and demand for solar PV systems.

Further, the report states that one challenge that could hamper market growth is the low conversion efficiency of solar PV systems. Though there is intense research to improve the efficiency of solar PV technologies, the conversion efficiency of solar PV systems is by far the lowest in electricity generation technologies.

Companies Mentioned

NRG Energy, SolarCity, Sungevity, Sunrun, Verengo, Vivint Solar, First Solar, Borg Energy, Jinko Solar, ReneSola.

  • Executive summary
    • Highlights
  • Scope of the report
    • Market overview
    • Top-vendor offerings
      • Table Product offerings
    • Research methodology
    • Economic indicators
  • Introduction
    • Key market highlights
      • Table Annual solar installations in the US 2005-2015
      • Table Annual residential solar PV installations in the US 2010-2015
      • Table ITC for various solar applications 2016-2022
      • Table States at or near grid parity in the US
  • Market landscape
    • Market size and forecast
      • Table Residential solar market in the US 2015-2020 ($ billions)
      • Table Prices of various battery types
      • Table Residential solar annual installations in the US 2015-2020
    • Five forces analysis
      • Table Five forces analysis
  • Market drivers
    • Federal and state-level policies and incentives
      • Table History of ITC in the US
    • Rise in solar PV installations due to third-party financing
      • Table Third-party financing model
    • Decline in price of PV systems
      • Table Factors influencing growth and cost of PV systems
      • Table Price of PV systems by segment 2010 and 2015
    • RPS targets and goals at state level
      • Table RES/RPS targets of various states in the US
  • Impact of drivers
    • Table Impact of drivers
  • Market challenges
    • Low conversion efficiency of solar PV systems
      • Table Electricity generation efficiency (%)
    • High life-cycle GHG emissions
      • Table Life-cycle GHG emission of various electricity resources (tons of CO e/GWh)
      • Table CO emissions during life cycle of solar PV
  • Impact of drivers and challenges
    • Table Impact of drivers and challenges
  • Market trends
    • Developments in solar technologies
    • Advances in battery storage technology
      • Table Historical battery prices and future projections 2008-2024 ($/kWh)
  • Analysis of top 10 states
    • Table State-level residential solar incentives
    • Table Net metering limitations by state
    • Top 10 states
      • Table Solar energy-related programs and incentives in California
      • Table Residential solar PV applications under various program administrators in California
      • Table Solar energy-related programs and incentives in Arizona
      • Table Solar energy-related programs and incentives in North Carolina
      • Table Solar energy-related programs and incentives in New Jersey
      • Table Solar energy-related programs and incentives in Nevada
      • Table Solar energy-related programs and incentives in Massachusetts
      • Table Solar energy-related programs and incentives in New York
      • Table Solar energy-related programs and incentives in Hawaii
      • Table Solar energy-related programs and incentives in Colorado
      • Table Solar energy-related programs and in Texas
  • Vendor landscape
    • Vendor analysis
    • Other prominent vendors
      • Table Other prominent vendors
  • Key vendor analysis
    • NRG Energy
    • SolarCity
      • Table Product portfolio
      • Table Key benefits of solar power with battery backup over traditional power sources
    • Sungevity
      • Table Sungevity: Product portfolio
    • Sunrun
      • Table Tax equity fund growth in terms of MW capacity
    • Verengo
    • Vivint Solar
  • Appendix
    • List of abbreviations
  • Explore Technavio

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