by Agrivoltaic systems allow for the dual use of agricultural and solar energy resources by deploying solar panels above crop and livestock areas. The food and agriculture sector in the United States consumes a huge amount of land and energy resources. Agrivoltaics helps optimize land usage by generating solar power while allowing crops to grow undisturbed below the solar panels, through regulated shading and rainwater harvesting. It provides an additional revenue source for farmers through solar power generation.
The United States Agrivoltaics Market is estimated to be valued at US$ 323.6 Mn in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024-2031.
Key Takeaways
Key players operating in the United States agrivoltaics market are Enel Green Power S.p.A.,Boralex,Sunrise Power Solutions,McIntosh Energy Japan Co., Ltd.,SolarEdge.
The growing pressures on land availability as well as the need to diversify farmer incomes represent major opportunities in the United States agrivoltaics market. Agrivoltaics provides an innovative solution to address both challenges through optimal land utilization.
The United States represents a key market for agrivoltaic expansion globally, with government policies and incentives supporting increased renewable energy adoption as well as modernization of agriculture. Rising agrivoltaics installations are expected across major agricultural states in the country.
Market Drivers
The growing focus on dual use of agricultural and solar resources is a key driver for the United States agrivoltaics market. The agrivoltaic systems help optimize limited arable land availability while generating solar power and providing stable revenue streams for farmers. Government policies promoting renewable energy and modern farming practices further support the increased adoption of agrivoltaic systems.
PEST Analysis
Political: The United States government provides several incentives in the form of tax credits and subsidies to promote the adoption of clean and renewable energy sources like agrivoltaics. This encourages investments in agrivoltaic projects.
Economic: Agrivoltaic systems help generate additional revenue from land through power sales. They also help reduce dependency on fuel which lowers production costs for farmers. As the agriculture industry is impacted by fluctuating fuel prices, agrivoltaics provide a hedge against such economic uncertainties.
Social: There is a growing need to adopt cleaner energy sources to mitigate the effects of climate change. Agrivoltaic systems are a sustainable option that enables dual use of land for agriculture and solar power generation. This boosts their social acceptance.
Technological: Newer agrivoltaic panel designs allow greater penetration of sunlight below the panels for crops. Advances in panel mounting systems ensure stable operation in open fields and increase crop yields compared to conventional ground-mounted systems. Computer modeling helps optimize panel configurations for different crops.
The United States agrivoltaics market is concentrated in the southern and western states where there is abundant sunlight and large agricultural areas. California accounts for over 30% of the country’s total agrivoltaic installations due to supportive government policies and high solar insulation levels throughout the year. Other major markets include Texas, Florida, Arizona and North Carolina where dual-use of land is gaining traction among farmers facing water constraints or seeking new revenue streams.
The Midwest region spanning states like Missouri, Illinois, Indiana and Ohio has emerged as the fastest growing market for agrivoltaics in the United States. Major contributors include the incentives offered by Midwestern state governments as part of their renewable energy plans in addition to federal tax credits. The presence of large corn and soybean fields cultivated by mid-sized farms makes this an attractive opportunity to offset energy costs and boost farm incomes through renewable power generation and sales. Integrating solar panels above crop fields helps diversify revenue for Midwestern farmers struggling with low commodity prices in recent years.
What Are The Key Data Covered In This United States Agrivoltaics Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the United States Agrivoltaics’s growth between 2024 and 2031.
:- Accurate calculation of the size of the United States Agrivoltaics and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- United States Agrivoltaics Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market’s competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of United States Agrivoltaics vendors
FAQ’s
Q.1 What are the main factors influencing the United States Agrivoltaics?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top United States Agrivoltaics companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the United States Agrivoltaics’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile
