Micro Inverter Market Overview:
Micro inverter market is expected to garner $2.7 billion by 2022. In 2014, North America dominated the market and contributed about 45% share of the overall market revenue, followed by Europe. The presence of key market players in the U.S. and rising micro inverter installation activities, primarily in residential sector, have fueled the market growth.
Micro inverter is an emerging solar inverter technology used to convert direct current (DC) electricity generated by solar panels into alternating current (AC) electricity. The rise in micro inverters market share in the overall photovoltaic (PV) inverter market can be attributed to improved efficiency and higher power output. Micro inverter is a type of Module Level Power Electronic (MLPE) technology that has separate inverters for each solar cell. Presently, the world micro inverter market is driven by its various benefits for smaller (less than 6kW) size photovoltaic systems in addition to being more cost effective, which is further supported by the enhanced safety. Fast growing residential market and government subsidies and economic incentives have further supported the growth of micro inverter market. Micro inverters are highly efficient as compared to other inverters such as string and central inverters. However, high installation and tough maintenance techniques could limit the market growth. Technological advancements in the field of micro inverters to increase efficiency and rise in government spending on renewable energy projects are expected to provide greater opportunities in the market.
The world micro inverter market is segmented on the basis of type, connection, end user, and geography.
World Micro Inverter Market Segmentation
The type segment is dominated by single-phase micro inverters due to its wider application in residential end-user segment as compared to three-phase micro inverters. Among various connection types, grid-connected micro inverters dominate the global market due to higher energy conversion rate and flexibility.
Top Factors Impacting World Micro Inverter Market
Higher output and cost-efficiency
Micro inverters are recognized to produce more energy as compared to other solar inverters such as central inverters and string inverters. Micro inverters operate individually as each panel is connected to a single micro inverter, so that each panel can performs to its fullest and any shaded or infected panel would not have effect on the rest of the system. Hence, the average conversion efficiency of an individual micro-inverter is in range of 93 to 98%, which is somewhat superior to conventional central and string inverters that offers average efficiency of 92%. Hence, in long run micro inverter brings in a lot savings for end-users.
High Installation cost
Micro inverter installation is more expensive than central and string inverter installation as it requires more components such as interconnecting cables, sealing caps and terminators. In addition, monitoring systems also add to the overall installation cost of the micro inverter technology. However, this cost can be accepted in some cases when installation challenges are present and partial or full shading can deteriorate the overall performance of solar system.
Japan Is Expected To Be The Most Lucrative Market For Micro Inverters
In Asia-Pacific, micro inverter market is expected to have the fastest growth in Japan during the forecast period. On a global scale, Japan is not the biggest market but it’s in the top three, with strong governmental support, and its huge solar energy industry. However, in spite of representing a major residential market potential, it has been facing limited micro inverter shipments. It is expected that the penetration rate of micro inverters into Japanese market would increase drastically to 7% of total installations by 2018. Another factor for catalyzing the market in Japan could be micro inverter suppliers obtaining Japan Electrical Safety & Environment Technology Laboratories (JET) certification.
Micro Inverter Market Geographical Scenario
The report provides a comprehensive analysis of major market players such as Enphase Energy Inc., ABB Group, SunPower Corporation, SMA Solar Technology AG, Delta Energy Systems GmbH, SolarEdge Technologies, Inc., ReneSola, Siemens AG, P&P Energy Technology Co., Ltd. and Involar. Further, the prominent strategies adopted by the leading players are analyzed to highlight the top winning strategies.
Top Winning Strategies
Presently, growth strategies such as acquisition, product launch, partnership, agreement and expansion are adopted by key market players. Micro inverter market is largely driven by product launch and acquisition. Companies such as Enphase Energy Inc., and ABB Group have acquired local inverter manufacturer companies to enhance their global outreach and increase their market share.
Top Winning Strategies World Micro Inverter Market
KEY BENEFITS OF MICRO INVERTER MARKET
- The study provides an in-depth analysis of the world micro inverter market to elucidate the prominent investment pockets in the market.
- Current and future trends are outlined to determine the overall market scenario and to single out profitable trends to gain a stronger foothold in the market
- The report provides information regarding key drivers, restraints, and opportunities with impact analysis
- Geographically, the market is analyzed based on four regions namely, North America, Europe, Asia-Pacific, and LAMEA
- Analysis of value chain is conducted for better understanding of the role of intermediaries
Micro Inverter Market Segmentation
- North America
- Rest of Europe
- Rest of Asia Pacific
- Latin America
- Middle East