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The European Solar Thermal Systems Market Set to Double Says Frost & Sullivan - The market for solar thermal systems (STS) in Europe has witnessed significant developments at all levels in the last four years
The European Solar Thermal Systems Market Set to Double Says Frost & Sullivan

 

PRZOOM - /newswire/ - London, United Kingdom, 2009/06/04 - The market for solar thermal systems (STS) in Europe has witnessed significant developments at all levels in the last four years.

   
 
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Policy makers, market participants and end users have shown a keen interest in STS, ensuring a high growth potential. Due to its tremendous long-term growth prospects, this market has attracted several new participants that are playing a central role in promoting the industry.

New analysis from Frost & Sullivan (buildingtechnologies.frost.com), European Solar Thermal Heating Systems Market, finds that the market earned revenues of over €958.9 million in 2008 and estimates this to reach €2.2 billion in 2014. The technologies covered in this research include passive solar thermal systems and active solar thermal systems.

"Currently, the key driver for the market in Europe is government support for STS in the form of financial subsidies, tax credits, and regulatory reforms," says Frost & Sullivan Research Analyst Hammam Ahmed. "The market for STS is highly responsive to fluctuations in the provision of governmental support."

For instance, the Italian market witnessed strong growth levels following increased government subsidies for STS. On the other hand, the German market declined significantly as a direct result of a temporary disruption to these subsidies and recovered as soon as they became available again.

High growth in the STS market, particularly over the last four years, has attracted several new participants that are promoting the industry and making STSs accessible to a wider customer base.

Cost is the primary hurdle confronting the STS market. Despite the financial incentives that solar thermal installations receive, the overall price is still high and the recoup period can go up to 20 years in some regions. Additionally, a STS is only a complementary alternative and not a substitute for a traditional hot water system. Therefore, it is not a viable investment option for most end users, especially in countries where conventional energy prices are low.

"In many countries, particularly in northern Europe, the solar yield can be as little as 40 per cent," explains Ahmed. "Additionally, the up-front cost of a solar thermal system continues to be expensive."

Companies should work on developing low-cost and effective solar thermal systems, particularly in the current economic conditions in Europe. On the whole, with escalating competition, both manufacturers and installers will be forced to reduce prices and the overall price of STS will go down.

If you are interested in a virtual brochure, which provides a brief synopsis of the research and a table of contents, then send an email to Chiara Carella, Corporate Communications, at chiara.carella[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, a brochure will be sent to you by email.

European Solar Thermal Heating Systems Market is part of the Building Management Technologies Growth Partnership Services programme, which also includes research in the following markets: Strategic Assessment of Growth Opportunities in the European Green Buildings Markets and European Building Integrated Photovoltaics Market. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best in class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 35 offices on six continents.

European Solar Thermal Heating Systems Market / M342

 
 
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The European Solar Thermal Systems Market Set to Double Says Frost & Sullivan

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Contact: Chiara Carella 
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