North America Floating Solar PV Market Analysis

North America Floating Solar PV Market Analysis

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Based on capacity, the market is segmented into <5 MW, 5-15 MW and >15 MW. 5-15 MW is anticipated to grow by more than USD 3.5 billion by 2032, driven by deployed on reservoirs, wastewater treatment facilities, or other water bodies managed by local governments. Municipal utilities and water management authorities are showing interest in mid-sized floating solar installations, particularly in states like California, Texas, and New Jersey which will foster the product adoption.
 

Utilities are conducting feasibility studies to assess the viability of expanding these mid-sized projects on underutilized water bodies, with several pilot programs in place to validate long-term performance. Moreover, ongoing integration with battery energy storage systems (BESS) utilized for utilities and industrial facilities aiming for stable energy output and to address peak energy demand periods, will enhance the business statistics.
 

Based on product, the North America floating solar PV market is segmented into tracking and stationary. Stationary is anticipated to grow more than CAGR 8.5% through 2032. Federal tax incentives, such as the Investment Tax Credit (ITC), are making stationary floating solar installations more financially attractive. Several states have set up pilot programs or grants aimed at testing and scaling up floating solar projects, creating opportunities for public-private partnerships.
 

Further, newer, more durable floating platforms and anchoring systems are helping reduce costs and increase the lifespan of installations, making them more viable for larger, stationary projects. Research and development efforts are underway to improve the compatibility of floating solar systems with varying water levels, ensuring long-term operational stability will drive the industry landscape. Moreover, stationary floating solar PV industry in North America is anticipated to grow steadily over the next decade as more successful pilot projects are completed and regulatory frameworks become more defined, strengthening the business scenario.
 

The U.S. floating solar PV market is set to surpass USD 30 billion by 2032, driven by renewable energy tax credits and state-level policies that support renewable energy adoption. California and New Jersey have been early adopters of floating solar, driven by their aggressive renewable energy targets and water scarcity issues. Florida is another state with growing interest due to its abundance of water bodies and a favorable climate for solar energy generation.
 

Additionally, floating solar installations are primarily being deployed on reservoirs, wastewater treatment plants, and irrigation ponds. This maximizes land-use efficiency while reducing water evaporation and algae growth, driving the business scenario. Utility-scale floating solar is starting to gain momentum as utilities explore cost-effective ways to meet renewable portfolio standards.