This report provides a comprehensive analysis of the North America Concentrating Solar Power Market, including detailed insights into growth drivers, key trends, opportunities, revenue forecasts, regional market shares, and recent industry developments. The period under review spans from 2020 to 2035, presenting a forward-looking outlook for stakeholders.
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Market Growth Drivers
Increased government initiatives and incentives have been a primary driver for the growth of the concentrating solar power (CSP) market in North America. For example, the U.S. Department of Energy (DOE) continues to support CSP projects through funding and loan guarantees. In 2023, the DOE announced a US$25 million funding opportunity aiming to accelerate the development and deployment of advanced CSP technologies, with a focus on projects by companies like Heliogen Inc. This promotes cost-effectiveness and improves grid reliability, encouraging utilities and independent power producers to adopt CSP solutions.
Advancements in thermal energy storage technology are enabling CSP projects to provide round-the-clock power, overcoming the biggest disadvantage of solar energy — intermittency. Companies like Abengoa have integrated molten salt storage systems into their CSP plants in Arizona and California, allowing energy dispatch even after sunset. The enhanced capability of energy storage not only ensures a stable electricity supply but also makes CSP more attractive to grid operators and end-users, contributing to increased market adoption and commercial deployments.
Market Trends
Hybridization of CSP plants with other renewables, such as solar PV and battery systems, is gaining significant momentum in North America. Companies like BrightSource Energy are piloting hybrid projects that combine the benefits of PV's fast response with CSP's thermal storage, optimizing overall plant efficiency and grid stability. This trend addresses intermittency issues and lowers operational costs, making renewable energy more reliable and financially viable for off-takers and grid operators.
The adoption of artificial intelligence and advanced analytics for operational efficiency is another emerging trend. For instance, SolarReserve is implementing AI-driven predictive maintenance and real-time performance optimization in its CSP projects. These technologies enable the identification of potential equipment failures and improve plant output, reducing operational expenses and maximizing returns on investment for stakeholders throughout the CSP value chain.
Market Opportunity
The expansion of CSP technology into industrial process heat applications presents a significant opportunity for market growth. Companies like GlassPoint Solar are developing CSP solutions tailored for steam generation in industries such as mining and desalination, offering a sustainable alternative to fossil fuels.
Decarbonization commitments by corporates and utilities create an opportunity for offtake agreements for new CSP facilities. This demand for clean and dispatchable energy allows CSP developers such as NextEra Energy to sign long-term power purchase agreements, ensuring revenue stability and supporting scaling of CSP projects across the region.
North America Concentrating Solar Power Market Revenue (USD Million), 2020-2035
The chart illustrates steady growth in the North America Concentrating Solar Power Market from 2020 to 2035. Revenue remains relatively modest in the early 2020s but experiences a pronounced upward trajectory from 2025 onward, reflecting increased project commissioning, favorable policy support, and technological advancements. By 2035, the market is projected to reach approximately USD 2,120 million, indicating a strong long-term growth outlook. This upward momentum is driven by expanding adoption by utilities and industrial users, greater integration with energy storage, and robust investments in CSP innovation and infrastructure across the United States and Canada.
North America CSP Market by Region Share (%), 2025
The 2025 market share by region chart highlights the dominance of the United States, which commands 73% of the North America concentrating solar power market thanks to significant projects and investments driven by favorable federal and state policies. Canada follows with 15%, supported by pilot projects and emerging interest in CSP for remote and industrial applications. Mexico holds 7% market share as CSP develops alongside PV solar in select states. The remaining 5% is distributed among other regions and territories, including the Caribbean, where CSP is being modelled as a solution for small island grids. The landscape indicates the U.S. will remain the core market for CSP in North America through 2025.
Recent Developments in the North America CSP Market (Last 6 Months)
In February 2024, Heliogen Inc. announced the completion and successful phase-one grid integration of its next-generation modular CSP demonstration plant in California. The project incorporates high-efficiency heliostats and advanced storage systems, enabling cost-effective dispatchable clean energy for utility clients. Heliogen's innovation aims to significantly lower the levelized cost of electricity, with field trials demonstrating higher thermal output and round-the-clock power supply.
In March 2024, the U.S. Department of Energy awarded $20 million to support end-to-end CSP pilot projects targeting industrial process heat applications. Companies such as GlassPoint Solar and SolarReserve will leverage the funds to demonstrate CSP’s potential beyond electricity generation, including steam production for desalination and critical mineral processing. This aligns with policy goals aimed at decarbonizing hard-to-abate industrial sectors.
In May 2024, BrightSource Energy entered into a strategic technology partnership with Canadian engineering firm SNC-Lavalin to co-develop hybrid solar plants in Alberta, Canada. The agreement focuses on integrating CSP with photovoltaic and battery storage systems to address grid reliability challenges and enhance Alberta’s renewable energy mix, marking the first major CSP announcement in the Canadian market this year.
By Type (Parabolic Trough, Power Tower, Linear Fresnel, Dish/Engine Systems, Hybrid Systems, Other Types), By Application (Residential, Commercial, Industrial, Utilities, Desalination, Others), By Technology (Thermal Energy Storage, Non-Thermal Energy Storage, Solar Field, Heat Transfer Fluid, Steam Generator, Power Block), By Distribution Channel (Direct, Indirect, Online, Distributors, Retailers, Others), By Organization Size (Small, Medium, Large)
Press Releases