Middle East and Africa Solar Pumps Market Size (2023-2030)

The Middle East and Africa Solar Pumps Market was valued at USD 93.5 million and is projected to reach a market size of USD 127.96 million by the end of 2030. Over the outlook period of 2023-2030, the market is anticipated to grow at a CAGR of 4%. 

In the past, the Middle East and other African regions faced a lot of issues regarding water scarcity and power. Due to this, Governmental initiatives aimed towards tackling these issues by solar pump usage. In the present, with technological advancements and emerging companies, this market has seen tremendous progress. Shortly, with urbanization and rising applications, this market is set to see a significant expansion.

Key Market Insights:

Around 2,000 MW of solar energy projects in the Middle East region were tendered in 2016, and by 2020, $50 billion was estimated to be invested in the region’s solar sector.

According to the MarkNtel Advisors’ research report the CAGR of the Africa Solar Pump market is expected to be more than 17% during 2020-25.

As per a report published by Statista, in 2021, Saudi Arabia had the largest installed capacity of solar energy in the Middle East at about 439 megawatts. The installed capacity of solar energy in the Middle East totaled about 8.4 gigawatts in that year.

Many countries with the highest risk of water stress were in the Middle East, such as Kuwait and Qatar, which both had water stress scores of five out of a possible five in 2020. This called for immediate actions and a greater usage of energy-efficient devices like solar pumps.

Middle East and Africa Solar Pumps Market Drivers:

Continued enlargement of the agricultural sector is helping the market.

Agriculture is essential for any country to maintain its economy and to solve the hunger crisis. Over the years, the Middle East and African regions have seen an increase in agricultural activities in crop cultivation, import-export trade, growing population, and economic development. Solar pumps help in irrigation activities, water resource management, and coping with drought conditions. Moreover, they are associated with advantages like high irrigation facilities, requiring lesser energy dependency and maintenance, remote monitoring, and increased productivity helping in a better yield.

Rising Governmental initiatives are benefitting the market.

Many countries have started to impose different rules and guidelines related to sustainability to protect our environment. Additionally, there is a trend to adopt renewable sources and other energy forms. Solar pumps emit no pollutants and emissions thereby protecting our environment. Governmental agencies in the Middle East and African countries have developed various schemes and investments to promote further growth. Moreover, there is an increase in the number of companies being backed up by Governmental bodies. These firms are working towards employing unique solutions and creativity in these pumps.

Middle East and Africa Solar Pumps Market Restraints and Challenges:

Costs, availability of services and other parts, limited knowledge, and competition are the main barriers that are currently being faced by the solar pump market in these regions.

Installation of solar pumps can be very pricey. This can be a hindrance to farmers who are in the initial stages of their careers. Additionally, some companies can sell these pumps at a much higher price than the standards due to their quality and functioning. Secondly, there have been many cases of lack of after-sales services and availability of other spare parts. This can cause the farmers to reinstall and buy the whole equipment. Thirdly, since these regions are still developing and a few of them are underdeveloped, there is a lack of awareness about the different advantages these pumps offer. Furthermore, they may face severe competition from conventional pumps and other companies that manufacture them.

Middle East and Africa Solar Pumps Market Opportunities:

Technological advancements are providing the market with an ample number of opportunities. There have been several improvements in the irrigation facilities, reducing the pump size, off-grid innovations, water supply, and other developments as well as innovations in drought-affected areas. Organizations are focusing on energy-efficient and predictive maintenance pumps. Along with this, technical expertise is being enhanced for better facilities. Awareness programs, training schemes, and other educational campaigns are being promoted to enlarge the market.

MIDDLE EAST AND AFRICA SOLAR PUMPS MARKET REPORT COVERAGE:

Middle East and Africa Solar Pumps Market Segmentation:

Middle East and Africa Solar Pumps Market Segmentation: By Motor Type:

• AC Pump
• DC Pump

Based on motor type, AC pumps are the largest segment holding a share of around 65% of the market. This is because of the lifespan, efficiency, cost-effectiveness, anti-corrosion nature, pumping efficiency, and performance. Additionally, it can reverse its direction as and when required making it a suitable choice. However, DC pumps are the fastest growing with a total share of around 35%. They are popular because of their simple design, compatibility with solar panels, and easy reliability, efficiency, and operation.

Middle East and Africa Solar Pumps Market Segmentation: By Product:

• Surface Suction
• Submersible
• Floating

Based on product, the submersible segment is the largest in the market owing to greater energy efficiency, lesser complexity, easier maintenance, low noise, and higher demand. They are commonly used in agricultural applications for irrigation systems and other sprinklers. Additionally, they are commonly employed in residential and commercial buildings. Surface suction pumps are the fastest growing due to their advantages like higher flow rate, lesser maintenance, lower power consumption, reliability, and easier access.

Middle East and Africa Solar Pumps Market Segmentation: By Application:

• Agriculture
• Drinking Water
• Others

Based on application, agricultural application is the largest segment in the market. They are estimated to hold a total share of around 60%. This is because of the importance of agricultural occupation, Governmental measures to improve the yield, company investments, demand, and a greater population interested in pursuing farming through the implementation of modern techniques. Solar pumps help in the supply of water to remote areas where there is no electricity. Moreover, this advantage is very beneficial as there are many rural Middle Eastern and African countries that have no proper supply of power. The drinking water category is the fastest growing owing to the reduced dependence on conventional power sources, efficiency, cost-effectiveness, demand, easy installation, sustainability, and consistent water supply.

Middle East and Africa Solar Pumps Market Segmentation: Regional Analysis:

• United Arab Emirates (UAE)
• Saudi Arabia
• South Africa
• Kenya
• Rest of MEA

Based on region, United Arab Emirates is the largest growing in the market holding a rough share of 24%. This is due to the region’s prominence in the renewable energy sector, Governmental initiatives, economic growth, technological advancements, presence of players, demand, and opportunities in the agricultural sectors. Besides, being a popular tourist attraction, solar pumps are usually employed in hotels, restaurants, and other buildings. However, Saudi Arabia is considered to be one of the fastest-growing regions with a share of around 20%. This is due to a developing economy, increasing investments, emerging companies, Governmental involvement, rising demand, environmental initiatives, and the need to improve current irrigation methods. Kenya is also one of the regions, showing quick growth. This is mainly due to rising adoption, renewable energy organizations, and rapid advancements in the economy of this region.

COVID-19 Impact Analysis on the Middle East and Africa Solar Pumps Market:

The outbreak of the virus hurt the market. Lockdowns, movement restrictions, and social isolation were the new norm. To avoid the spread, many companies and manufacturing units were shut down. There were many disruptions in the supply chain, transportation, and other logistics. This caused an economic downfall. However, the pandemic also highlighted the importance of the environment. Many people were leaning towards the incorporation of sustainable practices in their day-to-day lives. Solar pumps were being adopted by a majority of farmers owing to their advantages. Additionally, African countries faced a lot of water scarcity issues, and solar pumps were being employed. As of May 2022, countries representing more than 70% of global CO2 emissions committed to reach net zero emissions by around mid-century. This included 12 African countries that represented over 40% of the continent’s total CO2 emissions.

Latest Trends/ Developments:

Companies in this industry are driven to increase their market share using a variety of tactics, including alliances, investments, and acquisitions. Along with maintaining competitive pricing, businesses are paying much to advance existing technologies and find new ones. This has also led to greater enlargement.

Recent trends include the integration of solar pumps with the Internet of Things (IoT) helps to monitor the performance, needs, pressure, energy, and other factors. Apart from this, data analytics is being incorporated to help in improving the efficiency and accuracy of these pumps.

Key Players:

1. Lorentz
2. Grundfos
3. CRI Pumps
4. Shakti Pumps
5. DAB Pumps
6. Kirloskar Brothers Limited (KBL)
7. SunCulture
8. Green Energies Solutions (GES)
9. Speroni
10. Solar Water Solutions

In March 2023, Grundfos SafeWater partnered with World Vision to retrofit hand pumps with faster solar-powered water systems in rural Zambia. The WASH (Water, Sanitation, and Hygiene) program was initiated to provide cost-effective SQFlex solar water pumps as an easy-to-use and sustainable alternative to traditional hand pumps in rural Zambia.

In November 2020, the International Finance Corporation (IFC) entered into a partnership with Egypt’s ALEXBANK to help Egyptian farmers access financing to purchase solar irrigation systems, reducing their reliance on diesel-powered generators.