The global Solar EPC (Engineering, Procurement, and Construction) Market is entering a high-growth phase as the world accelerates its transition toward clean and sustainable energy systems. Valued at US$ 95.3 billion in 2024, the market is projected to nearly triple and reach US$ 294.5 billion by 2035, expanding at a robust CAGR of 10.8% during 2025–2035. This impressive growth trajectory reflects rising solar installations worldwide, supportive government policies, and rapid technological advancements across the solar value chain.

Market Size & Key Highlights

The Solar EPC Market has emerged as a cornerstone of the global renewable energy ecosystem. In 2024, the market stood at US$ 95.3 billion, driven by large-scale utility projects and a surge in rooftop solar installations. By 2035, revenues are expected to climb to US$ 294.5 billion, supported by long-term decarbonization targets and increasing investments in solar infrastructure.

Asia Pacific dominated the global landscape in 2024, accounting for 52% of total revenue, while the rooftop solar segment led by type with a commanding 61.5% market share. Major players shaping the competitive environment include Bechtel Corp., Sterling & Wilson Solar, First Solar Inc., and Canadian Solar Inc., among others.

Analysts’ Viewpoint: A Market in Structural Transition

According to industry analysts, the solar EPC sector is poised for sustained expansion as renewable energy becomes central to national energy strategies. Declining solar component costs, improved durability of PV modules, and efficiency gains across project lifecycles are strengthening the value proposition of solar EPC services.

Importantly, the EPC business model itself is evolving. Traditional turnkey contracting is giving way to more integrated offerings that combine engineering, construction, operations & maintenance (O&M), performance monitoring, and digital optimization. While Asia Pacific remains the epicenter of global activity, North America, Europe, and the Middle East are witnessing strong momentum driven by favorable policies and corporate decarbonization commitments.

However, analysts also highlight challenges such as supply chain disruptions, policy uncertainty, and intensifying competition. Despite these headwinds, strategic partnerships, technological integration, and diversification into energy storage and hybrid projects are expected to differentiate leading EPC providers.

Solar EPC Market Introduction

The Solar EPC market plays a critical role in the deployment of solar power projects worldwide. EPC contractors manage the entire project lifecycle—from system design and engineering to equipment procurement, construction, testing, and commissioning. As governments and corporations commit to renewable energy targets, demand for efficient and reliable EPC services continues to rise.

Falling photovoltaic (PV) technology costs, coupled with supportive climate policies, have accelerated solar adoption across residential, commercial, industrial, and utility-scale applications. EPC providers ensure projects are delivered on time, within budget, and at optimal performance levels, making them indispensable to large-scale solar deployment.

Moreover, the market is witnessing strong shifts toward digitalization, automation, advanced project management practices, and integration of energy storage and smart grid solutions, further enhancing project efficiency and scalability.

Technological Advancements Driving Market Growth

Technological innovation is a major growth engine for the Solar EPC market. Advancements in high-efficiency PV modules, bifacial panels, smart inverters, and solar tracking systems are significantly improving energy yields and reducing the levelized cost of electricity (LCOE).

The integration of battery energy storage systems (BESS), along with AI- and IoT-enabled monitoring platforms, allows real-time performance analysis, predictive maintenance, and optimized energy generation. Digital tools for design simulation and project planning are also improving accuracy, shortening construction timelines, and reducing operational risks. Collectively, these innovations are enabling EPC contractors to deliver more reliable, cost-effective, and scalable solar projects.

Rising Infrastructure and Energy Demand

Growing global energy demand, driven by urbanization, industrialization, and population growth, is another key factor fueling Solar EPC market expansion. As fossil fuel resources decline and environmental concerns intensify, solar power has emerged as a scalable and sustainable alternative.

EPC companies are central to this transition, enabling rapid deployment of solar projects across smart cities, industrial hubs, rural electrification initiatives, and large infrastructure developments. Governments and private investors increasingly view solar energy as both a cost-effective and environmentally responsible solution, creating a strong pipeline of opportunities for EPC providers worldwide.

Rooftop Segment Leads with 61.5% Share

The rooftop solar segment dominated the market in 2024 with a 61.5% revenue share, reflecting strong adoption across residential, commercial, and industrial sectors. Rooftop solar offers decentralized power generation, reduced electricity costs, and enhanced energy independence.

Supportive policies such as net metering, subsidies, and tax incentives, combined with advancements in modular PV systems and energy storage, have significantly improved return on investment for rooftop installations. Rising awareness of clean energy and the prosumer model—where consumers also generate power—continues to propel this segment’s growth.

Asia Pacific Remains the Global Leader

Asia Pacific leads the global Solar EPC market with a 52% share, driven by abundant solar resources, cost advantages, and strong policy support. Countries such as China, India, Japan, and Australia have established ambitious renewable energy targets and robust incentive frameworks.

India, in particular, is investing heavily in utility-scale solar parks, agricultural solar projects, and grid-connected installations. Rapid urbanization, industrial growth, and rising electricity demand across the region are expected to sustain Asia Pacific’s dominance through 2035.

Competitive Landscape and Recent Developments

Leading Solar EPC players are expanding beyond traditional EPC services into energy storage integration, hybrid solar-wind projects, and microgrid solutions. Notable companies include Bechtel, Canadian Solar, First Solar, Larsen & Toubro, Tata Power Solar Systems, Trina Solar, and Sterling & Wilson Solar.

Recent developments highlight this trend. In October 2025, Canadian Solar’s e-STORAGE expanded its partnership with Aypa Power through 2.1 GWh of battery storage projects in Ontario, while Elmya strengthened its collaboration with TrinaTracker for major solar projects in Spain.

Outlook to 2035

With strong policy backing, continuous technological innovation, and rising global energy demand, the Solar EPC Market is set to remain a critical pillar of the clean energy transition. As the market grows from US$ 95.3 billion in 2024 to US$ 294.5 billion by 2035, EPC providers that embrace integration, digitalization, and strategic partnerships will be best positioned to capitalize on this decade-long growth opportunity.