Technological advancements are driving the growth of the solar heater market

Solar-powered heating systems are becoming increasingly popular as governments encourage the shift away from fossil fuels to renewable alternatives and as consumers look for ways to reduce their utility bills. Like home solar panels that provide electricity to consumers, solar heaters are installed in homes around the world as part of government initiatives, as well as privately.

Solar water heating systems include a storage tank and a solar collector. There they are two types of systems available: active, which have circulation pumps and control, and passive, which do not have them. There are two types of active solar water heating systems: systems with direct circulation, which have pumps that pump domestic water through collectors into the house, and systems with indirect circulation, which have circulating pumps a non-freezing fluid that transfers heat through collectors and a heat exchanger, heating the water flowing into the house. The latter works more effectively in cold climates than the former.

Passive solar water heating systems are generally cheaper than active systems, although not as efficient. However, they may be more reliable and last longer. There are also two basic types of passive systems. The Integral passive collector and storage system has a storage tank covered with a transparent material that allows the sun to heat the water before it is delivered to the plumbing system. Thermosiphon systems work by heating water in a roof collector before transporting it to the plumbing system when a hot water tap is opened. Most of these systems have a capacity of 40 gallons.

Because these systems rely on solar energy, they typically require a backup system for cloudy days and times of high demand. Backups can take the form of conventional storage water heaters or as part of a solar collector, e.g. roof tanks with thermosyphon systems. Solar water heaters need to be maintained every three to five years, and some parts may need to be replaced every two to 10 years. Once installed, they can significantly reduce utility bills, especially in regions with more sunlight.

In Europe, Cyprus has the highest percentage of solar water heaters. This island country in the eastern Mediterranean Sea uses solar heaters to take advantage of favorable weather conditions, support the ecological transition and help reduce energy bills. About 93.5 percent of households now use solar water heaters, which has helped Cypris exceed its renewable energy targets for building heating and cooling.

Cypriot Commissioner for the Environment, Charalampos Theopemptou he stated“There are many areas where Cyprus has failed to meet its greenhouse gas emissions targets… However, when it comes to using renewable energy resources for sustainable heating and cooling of buildings, we have easily achieved the target, precisely thanks to such extensive use of solar water heaters for so many years. “

Cyprus has been using solar water heaters since the 1960s, which is well ahead of most other countries. The technology has become popular because it only requires solar panels, a tank and copper pipes, as well as appropriate weather conditions. Cyprus enjoys an average of over 300 sunny days a year, making it an ideal environment for this technology. The introduction of solar heaters led to the development of the domestic manufacturing industry and the creation of many jobs. Although installation costs have increased over the years, there are EU-funded grants for households wanting to install solar heaters.

In the Middle East and North Africa region, solar-powered water heaters have also increased in popularity in recent years. In September this year in Jordan, Minister of Energy and Mineral Resources Saleh Kharabsheh launched the second phase of the government’s solar heater subsidy program, which covers 30 percent of the cost. The program will support the installation 5,000 solar systems at a cost of up to $4.2 million. In the previous phase, 3,500 solar water heaters were installed.

in Egypt, three out of four households used butane cylinders only a decade ago because there was little access to grid-connected natural gas supplies. In 2023, Egyptians consumed approximately 800,000 butane cylinders per day, many of which were subsidized by the government. This has encouraged many households to invest in solar-powered water heaters in recent years. In 2024, the Egyptian solar water heater market is estimated to be over $100 millionimplementing the UNIDO-supported Solar Heating in Industrial Processes (SHIP) program. There are currently 11 solar heater manufacturing plants in Egypt, and the government is keen to strengthen ties with Tunisia and Jordan to further develop the market.

The solar water heater market is expected to grow from $4.26 billion in 2023 to approximately $6.18 billion by 2028with a compound annual growth rate of 7.4%. Asia-Pacific is expected to be the fastest growing region for solar water heaters during this period. The industry’s growth will be supported by technological innovation as companies introduce predictive analytics and artificial intelligence into their radiators to improve performance. The market will be largely driven by government policies to transition away from fossil fuels towards green alternatives, national and regional subsidies for disadvantaged communities, and increased consumer demand to reduce energy bills.

Written by Felicity Bradstock for Oilprice.com

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