The global rooftop solar PV market was valued at US$ 57.5 Bn in 2024 and is projected to grow at a CAGR of 10.5% from 2025 to 2035, reaching an estimated US$ 172.4 Bn by the end of 2035. The industry is emerging as one of the most dynamic segments of the global clean energy transition, driven by falling technology costs, supportive policy frameworks, and increasing corporate and residential demand for sustainable power solutions.

Analysts’ Viewpoint on Market Scenario

Rooftop solar photovoltaic (PV) systems are installed on residential, commercial, and industrial buildings, enabling decentralized electricity generation. By converting sunlight into usable power, these systems allow consumers to reduce dependence on grid electricity, lower long-term energy costs, and shrink their carbon footprint.

Adoption is particularly strong across Asia Pacific and Europe, while the United States continues to benefit from progressive clean energy legislation such as the Inflation Reduction Act, which extends investment tax credits and enhances policy certainty for renewable energy investments.

Market Drivers

Economic Accessibility Through Lower Costs and Smarter Financing

One of the most significant drivers of rooftop solar PV adoption is the dramatic reduction in solar module prices over the past decade. Module costs have declined by nearly 80%, while efficiency improvements have made rooftop systems increasingly competitive with conventional electricity sources.

Advancements in balance-of-system (BOS) components—including inverters, mounting structures, and smart monitoring systems—have further reduced installation costs through economies of scale and streamlined supply chains.

Innovative financing models such as leasing, third-party ownership, Renewable Energy Service Company (RESCO) models, and Power Purchase Agreements (PPAs) are removing upfront capital barriers. These solutions are especially attractive to commercial and industrial (C&I) customers seeking predictable long-term energy pricing without asset ownership responsibilities.

Additionally, digital technologies such as AI-based predictive maintenance and blockchain-enabled peer-to-peer energy trading are enhancing transparency, reliability, and operational efficiency in rooftop solar ecosystems.

Supportive Regulations and Sustainability Targets

Government-backed incentives—including net metering, feed-in tariffs, capital subsidies, and tax credits—are accelerating rooftop PV deployment. In the U.S., the Inflation Reduction Act ensures long-term investment stability, while India’s National Rooftop Solar Programme promotes distributed solar expansion through financial incentives and grid connectivity support.

Corporate sustainability commitments and ESG targets are also playing a pivotal role. Multinational corporations are increasingly installing rooftop PV systems on factories, warehouses, retail outlets, and data centers to reduce Scope 2 emissions and lower operating costs.

International initiatives such as the European Commission’s “Fit for 55” package and India’s ambitious renewable energy targets further reinforce long-term demand for distributed solar generation.

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Monocrystalline Panels Lead the Market

By type, monocrystalline solar panels dominate the rooftop PV market due to their superior efficiency levels, typically ranging between 20% and 24%. Their higher power output per square meter makes them ideal for space-constrained rooftops in urban and commercial environments.

Technological advancements such as PERC, TOPCon, and heterojunction (HJT) technologies have significantly improved performance while narrowing the price gap with polycrystalline modules. As a result, monocrystalline panels have become the preferred choice across residential and commercial installations.

Regional Insights

Asia Pacific leads the global rooftop solar PV market, accounting for approximately 56.4% of total market share. Countries such as China, India, and Japan are driving growth through supportive policies, expanding domestic manufacturing, and declining module prices.

Europe remains the second-largest market, propelled by high electricity prices, strong climate policies, and increasing consumer participation in distributed generation. North America continues to expand steadily, supported by tax incentives and corporate clean energy adoption.

Competitive Landscape

Key players operating in the rooftop solar PV market include JinkoSolar Holding Co., Ltd., LONGi Green Energy Technology Co., Ltd., Trina Solar Limited, Canadian Solar Inc., First Solar, Inc., and Tata Power Solar Systems Ltd.. These companies are investing heavily in high-efficiency monocrystalline modules, expanding manufacturing capacity, and integrating storage and smart energy management solutions.

Recent developments include JinkoSolar’s launch of its Tiger Neo 3.0 TOPCon series in 2024 and Tata Power Solar’s milestone of over 150,000 rooftop installations across India in 2025.

Overall, the rooftop solar PV market is poised for strong double-digit growth through 2035, supported by cost competitiveness, regulatory backing, technological innovation, and the accelerating global shift toward decentralized clean energy generation.