Solar Tracker Installation Market Trends

Market Driver - Increased Investments in Renewable Energy and Technological Advancements

With climate change concerns rising and fossil fuel reserves diminishing, global emphasis on renewable energy sources is increasing rapidly. Governments and large corporations across the world are making huge investments to generate power through solar energy.

Advanced dual-axis tracking systems now available in the solar tracker installation market are capable of following the sun with great precision throughout the day. Dual-axis trackers are also compatible with a variety of terrains including sloping land which is increasing their application in large utility-scale projects.

Manufacturers are also making solar trackers with more durable materials, precise sensors and controls, and self-learning software. Some new solar trackers coming up have advanced features like weather sensors, predictive algorithms, and autonomous functions like stow command that help improve reliability and optimization.

Considerable research is ongoing to develop inexpensive trackers using innovative designs, lightweight structures, and alternative driving mechanisms. Such technological advances are expected to push growth of the solar tracker installation market.

Market Driver - Supportive Government Policies Worldwide

Governments around the world are coming up with supportive policies and initiatives to encourage renewable energy generation from solar. They are recognizing that transition to cleaner energy is necessary to reduce carbon emissions as well as strengthen energy security.

Generous financial incentives are being offered to both commercial and residential consumers opting for rooftop solar installations. Many countries provide accelerated depreciation on capital costs to make solar projects more attractive for investors.

Favorable regulatory environment helps create a strong demand in the solar tracker installation market for all associated solar technology. Some regions have enacted laws mandating new commercial buildings to install a minimum solar capacity along with making provisions for trackers.

Direct financial support is extending to critical parts of the solar value chain which gives local tracker manufacturing industries access to low-cost capital. Together, these policy interventions at global level are encouraging wider adoption of solar tracking systems, boosting growth of the solar tracker installation market.

Market Challenge - High Costs Associated with Installation and Maintenance

One of the key challenges facing the solar tracker installation market is the high costs associated with installing and maintaining solar trackers. Solar trackers can boost energy production by up to 25% compared to fixed-tilt systems. However, the additional hardware and electronics required for active solar tracking also make these systems more expensive to purchase and deploy.

Solar trackers need robust motors, gears, controllers and software to precisely position panels throughout the day. Their moving parts also require more frequent maintenance checks and potential repairs to replace worn components. The upfront capital expenditures for solar trackers are typically 10-20% higher than traditional fixed-tilt arrays.

Furthermore, the maintenance costs over the lifetime of the system tend to be greater as well. The additional production gains must outweigh these raised expenses for solar trackers. Overcoming the financial hurdles associated with installation and upkeep is a key challenge the industry must address to further expand the solar tracker installation market.

Market Opportunity - Rising Awareness and Initiatives on Reducing Carbon Emissions

One of the major opportunities for the solar tracker installation market is the rising awareness and initiatives around reducing carbon emissions globally. Governments and corporations alike are committing to ambitious renewable energy and decarbonization targets to mitigate the worst impacts of climate change.

As the world moves to limit fossil fuel use and curb greenhouse gas pollution, solar power is poised to play a much larger role in energy systems. Solar trackers boost energy generation potential compared to fixed solar panels. They will be needed to help meet sharply rising electricity demand from electrification efforts while avoiding dirtier fuel sources.

In the coming years, opportunities for players in solar tracker installation market to support a greener transition of global power infrastructure.