Solar equipment market in GCC to grow to USD 8.85bn by 2022

The solar equipment market in the Gulf Cooperation Council (GCC) will grow to USD 8.85 billion (EUR 8.5bn) in 2022, according to a report by 6Wresearch.

The UAE and Saudi Arabia are and will remain the main revenue generating countries, the market research and consulting firm says. The main factors contributing to the increasing demand for solar equipment in the region include rising energy requirements, infrastructure development, declining oil prices and a greater focus on sustainability and renewables.

Solar photovoltaic (PV) equipment is seen to have the major revenue share in 2022, leaving a bit for concentrating solar power (CSP).

In 2015 Saudi Arabia was the number-one GCC market for solar equipment, while the UAE is expected to take the lead in the coming years thanks to major projects in Dubai and Abu Dhabi. Several days ago the Dubai Electricity and Water Authority (DEWA) said installation has been completed of about 75% of the photovoltaic (PV) panels that will make up the 200-MW phase II of the Mohammed bin Rashid Al Maktoum Solar Park. The contract for the next 800-MW phase, to become operational in 2020, was awarded recently to a Masdaq-led consortium.

"At present, majority of energy generated in the region is from the oil and natural gas; however, with growing environmental concerns and reducing solar equipment prices, the market for GCC solar equipment would record growth over the next six years," said Ravi Bhandari, research analyst.

Media Source: Renewables Seenews