Middle East & Africa Concentrated Solar Power Market size is expected to observe significant growth rate from 2021 to 2027 on account of stringent government norms & policies along with declining levelized cost of energy. Rising energy demand coupled with large-scale investments toward the deployment of solar power generation projects has instituted a favorable business scenario. In addition, effective energy utilization policies have drifted regulatory and consumer tendencies toward the adoption of solar technologies, which will augment the market expansion.
Power tower CSP industry is set to grow exponentially through 2027 due to the ability of this technology to achieve higher operating temperatures coupled with application of two axis solar tracking heliostats. Stringent environmental norms coupled with ongoing government efforts toward promotion of renewable energy will further boost the technology adoption.
> 100 MW capacity based concentrated solar power industry will register high growth during the forecast period led by lower specific cost driven by economies of scale. In addition, larger size implies large reflective surface which in turn will lead to a higher operating temperature improving the thermodynamic effectiveness of the plant. Moreover, industrial tendency toward deployment of renewable energy efficient systems will complement the technology penetration.
Over the continued effort by respective governments to achieve the renewable energy targets together with relatively lower capital expenditure will drive the without storage segment. According to IRENA, improved thermal storage ability over 4 hours has resulted in decline of 35% in capital expenditure. Ongoing technological advancements along with increasing investment across R&D sector to deploy advanced solar thermal storage units will fuel the market demand.
UAE CSP market is estimated to witness an upsurge in the coming years impelled by increased demand for consistent power generation technologies followed by decline in levelized cost of energy. Furthermore, implementing stringent energy-efficient policies in line with government’s focus toward achieving renewable energy installation targets will continue to propel the technology deployment.
COVID-19 has affected the market on account of decline in project pipeline followed by delay in raw material supplies across the region. As per the market update, there is a pin-point breakdown of the industry Furthermore, applicability of smart units driven by cost intensity will reinforce the industry scenario.
Eminent players operating across the market includes, ABENGOA Solar, Acciona Energy, Suntrace, BrightSource Energy, GE Renewable Energy, Shams Power, SolarReserve, Chiyoda Corporation, Eastman Therminol and ACWA Power amongst others.