Building-integrated Photovoltaics Market size was valued at USD 23.94 billion in 2023 and is expected to cross USD 247.94 billion by the end of 2036, registering more than 19.7% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of building-integrated photovoltaics is assessed at USD 28.5 billion. The market expansion is attributed to the staggering development of global government initiatives and investments to meet the huge demand for renewable energy sources. Governments from across the world are providing financial subsidies, tax credits, or rebates to reduce the upfront costs of installing BIPV systems. These incentives make BIPV more financially viable for building owners and developers.
Additionally, governments allocate funds for research and development in solar photovoltaic (PV) technology. This investment supports innovation, efficiency improvements, and cost reductions in integrated PV systems. The World Energy Investment 2023 report by the International Energy Agency (IEA) stated that USD 2.8 trillion was invested in energy. More than USD 1.7 trillion was allocated to clean energy, which includes renewable power, nuclear, grids, storage, low-emission fuels, efficiency improvements, end-use renewables, and electrification.
Growth Drivers
Challenges
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Base Year |
2023 |
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Forecast Year |
2024-2036 |
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CAGR |
19.7% |
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Base Year Market Size (2023) |
USD 23.94 Billion |
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Forecast Year Market Size (2036) |
USD 247.94 Billion |
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Regional Scope |
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Technology (Crystalline Silicon, Thin Film)
Crystalline silicon segment in the building-integrated photovoltaics market is set to cross USD 29.4 billion by the end of 2036. The segment's tremendous growth rate can be augmented by their integration into building roofs with the use of smart mounting systems, which replace roof sections while maintaining the structural integrity of the building. It is predicted that by 2025, about 57% of homes in the U.S. will have a smart home device. Additionally, this kind of integration offers great efficiency without requiring major investments. Using crystalline silicon cells in place of roof tiles is another integration option.
Application (Roof, Glass, Wall, Facade)
Roof segment is estimated to hold more than 61.1% building-integrated photovoltaics market share by 2036, attributed to the availability of a larger panel installation area for BIPV. This optimization of space is designed for building owners and developers who aim to increase energy production while reducing adverse environmental impacts. Roof-mounted BIPV systems are increasingly adopted in residential, commercial, and industrial buildings worldwide. For instance, according to a 2023 report from the Solar Energy Industries Association, the U.S. installed 7 GW of residential solar in 2023.
End User (Residential, Commercial, Industrial)
The commercial segment is set to garner a notable share with a CAGR of about 15.0% and is likely to remain the largest segment in the end user of the building-integrated photovoltaics market. Commercial end-users may align their operational goals with sustainability objectives, understand cost savings, improve property values, and establish themselves as leaders in corporate responsibility and sustainability by making smart investments in green infrastructure. A 2023 report published by the Private Infrastructure Advisory Facility (PPIAF) program, housed and managed by the World Bank Group, stated that private investments globally in green infrastructure are increasing and accounted for 60% of their total private investment in 2021.
Our in-depth analysis of the global market includes the following segments:
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Technology |
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Application |
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End User |
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Europe Market Statistics
Europe in building-integrated photovoltaics market is anticipated to account for more than 38.1% revenue share by the end of 2036. The market expansion is attributed to the growing awareness among consumers, businesses, and governments about the benefits of renewable energy and sustainable building practices. This increasing demand for green buildings and energy-efficient solutions supports the growth of the BIPV market in the region. European Environment Agency published a report in 2024, stating that the greenhouse gas emissions in the EU slowed down since 1990 while achieving their renewable energy target of 20% in 2020. Furthermore, in 2022, about 22.5% of the consumed energy was credited to renewable resources.
Germany has a long-standing commitment to renewable energy and sustainability, backed by policies such as the Renewable Energy Sources Act (EEG) and the Energy Efficiency Strategy for Buildings. These policies provide incentives, feed-in tariffs, and subsidies for BIPV installations, driving market growth. The EEG 2023 aims to make renewable energy account for at least 80% of total power consumption by 2030.
The United Kingdom government has set targets for reducing greenhouse gas emissions and increasing renewable energy generation. For instance, the Clean Growth Strategy, published in 2017, states that the UK government expects to meet its target of cutting emissions by 80% by 2050.
North America Market Analysis
North America building-integrated photovoltaics market is expected to grow at more than 21.1% CAGR through 2036, owing to the growing demand for accessible and reliable power generation, driven by population growth, and a shift toward the use of clean energy. According to a report by the U.S. Energy Information Administration, in 2022 the usage of natural gas was about 33% of the whole energy consumption.
In the United States, there has been an increase in government campaigns and investments aimed at raising awareness about the use of renewable energy. According to a survey conducted in 2023, it was revealed that more than 66% of U.S. adults prioritize using an alternative energy source like solar, hydrogen, and wind power.
Canada is predicted to have a high electricity demand which is further encouraging collaboration with the energy & power sector. Hence, this factor is estimated to impact the overall growth of the building-integrated photovoltaics industry in Canada. According to a report in 2023, the energy consumption in Canada tremendously increased to 8585 petajoules from 2022 to 2021.
Several key players are playing crucial roles in the expansion of the building-integrated photovoltaics market globally. These companies are leading in innovation, technology development, market penetration, and strategic partnerships.
Author Credits: Dhruv Bhatia
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