Global Solar-powered pumps market was valued at US$ 1,284.652 million in 2019, and is expected to grow at a good CAGR over the forecast period. Solar-powered pumps are a clean, simple, and energy-efficient alternative to conventional electric and fuel-driven pump sets. Solar water pumps are commonly seen in residential and commercial uses as well as for irrigation purposes in the agricultural sector. The use of solar-powered pumps eliminates the cost of energy as they use the energy from the sun through solar panels and provide a more feasible environmental friendly option for pumping water. The main components of a solar pumping system include an electric motor, a photovoltaic (PV) array, and a pump. Solar-powered pumps are either categorized as direct current (DC) or alternating current (AC) based on their motor’s ability. Increasing agricultural activity is a significant way to fight poverty and stimulate socio-economic development all around the world. According to the United Nations Environment Programme (UNEP), there has been an estimated 7 per cent reduction in poverty in Africa and more than 5 per cent in Asia for every 10 per cent increase in farm yield.Many agrarian economies are continuously supporting the accelerated development of irrigation infrastructure to stimulate agricultural productivity and to combat the food security. As such, there is a high demand for affordable, reliable, and environmentally sustainable energy input for delivering irrigation services. Solar-based solutions are capable of providing reliable, cost-effective, and environmentally sustainable energy for decentralizing irrigation services, leading to increased productivity, improved livelihoods, and social welfare. Solar-powered pumps are very useful for rural locations that are not part of the local electricity grid while proving to be a clean and simple alternative to fuel-burning windmills and generators. The use of solar-powered pumps will also free governments from high spending on fossil fuel subsidies. The use of solar-powered pumps is increasing at a significant rate across the agriculture sector. With around 40 per cent of the global population relying on agriculture as its main source of income, access to water for irrigation is a constant challenge for many farmers and agricultural workers. The major driver of solar-powered pumps market is the increasing cost of electricity worldwide along with the growing electricity consumption. According to the U.S. Energy Information Administration (EIA), global electricity consumption is continuously increasing faster than the global population which is leading to a rise in the average amount of electricity consumed per person, or per capita electricity consumption. This growing per capita electricity consumption is majorly attributed to the rapid shift to more energy-intensive industries along with the changes in the service demand. Another reason for growing adoption of solar-powered pumps is the lack of availability of electricity in remote areas across agrarian economies. In countries like Africa and India, there are still many villages which do not have a wide coverage to the grid electricity. Furthermore, many agricultural dependent countries are running water pumps using diesel generators which have high operating costs. As a result, solar-powered pumps are becoming as a superior alternative of diesel and electric generators to save high irrigation cost for farmers. Moreover, the installation of solar-powered pumps for irrigation will also help the government to save the electrification cost in remote areas.
With declining cost of solar panels, there has been a mass adoption of solar energy among various end users. This factor is also increasing the adoption of solar pump systems, thus positively impacting the growth of global solar-powered pumps market. According to Renewable Power Generation Costs in 2019 report by the International Renewable Energy Agency (IRENA), the cost of energy for photovoltaic solar has dropped by 82 per cent since 2010. As the solar power is widely used and a much affordable source of electricity, this would boost the demand for solar-powered pumps for providing water for irrigation purposes as well to provide portable water.
By geography, global solar-powered pumps market has been segmented into five major regional markets- North America, South America, Europe, Middle East and Africa (MEA), and Asia Pacific (APAC). Asia Pacific accounted for a significant share in the global solar-powered pumps market in 2019. This regional market is also poised to grow at a substantial compound annual growth rate during the forecast period with countries like China and India driving the growth. These countries are increasingly adopting solar-powered pumps for various purposes such as irrigation and wastewater management. Supportive government initiatives and programmes to ramp up the use of solar energy will continue to propel the growth of solar-powered pumps market in this region. For example, in February 2020, the Indian Finance Minsiter announced the expansion of Pradhan Mantri Kisan Urja Suraksha Utthan Mahabhiyan (PM KUSUM) Scheme under which funds would be provided to 20 lakh farmers for setting up standalone solar-powered pumps.Europe is also one of the leading regional markets for solar pump manufacturers. The growth of the solar-powered pumps market in this region is majorly attributed to increasing agricultural activities coupled with high concerns regarding the environmental sustainability. As per the European Commission (EC), it is estimated that US$28.44 billion is required to invest in renewable sources by governments in European countries between 2020 and 2050. This would eventually increase the use of solar-powered pumps in the region, thereby driving the regional market growth. The Middle East and Africa solar pump market is also experiencing a decent growth over the projected period on account of rising focus on reducing the dependency on importing fossil fuels to generate electricity for agriculture and portable drinking water.
Prominent key market players in the solar-powered pumps market include Vincent Solar Energy, Tata Power Solar Systems Ltd., Lubi Industries LLP, Oswal Pumps, Greenmax Technology, Shakti Pumps USA LLC, SOLAR PUMPTEC, Aquasub Engineering, Bright Solar Limited, GRUNDFOS, and US Solar-powered pumps. These companies hold a noteworthy share in the market on account of their good brand image and product offerings. Major players in the global solar-powered pumps market have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.