By 2030, 6,970.0 TWh of power will be generated from solar PV installations globally, as per the IEA. According to this organization, the solar power capacity of China, the U.S., India, Brazil, Japan, and the EU and the U.K. increased by 48.2 GW, 19.3 GW, 3.9 GW, 1.7 GW, 8.7 GW, and 19.0 GW, respectively, in 2020. It also forecasts that the PV capacity of the residential and commercial sectors will increase by 16 GW and 30 GW, respectively, between 2023 and 2025. 

The expanding solar capacity, on account of the soaring government support being provided to the renewable energy sector, will strengthen the distributed solar power generation market in the forthcoming years. For instance, the Ministry of New and Renewable Energy of the Indian government aims to support the solar energy sector with its Grid Connected Solar Rooftop Programme, Central Public Sector Undertaking (CPSU) Scheme, Jawaharlal Nehru National Solar Mission (JNNSM), and scheme for installing distributed grid-connected solar PV power projects in Andaman and Nicobar and Lakshadweep islands. 

Additionally, poor grid connectivity in developing and developed nations will also encourage distributed power generation through solar modules. For example, Brazil plans to add 32,000 miles of high voltage transmission lines by 2029, to meet the rising power demand. The soaring power demand can be credited to the booming population of the country. As per the 2022 World Population Review, the population of Brazil will surge from 214 million in 2021 to 223.9 million by 2030.

To meet the power demand of the booming population, public and private organizations and individuals are installing amorphous silicon, cadmium telluride, monocrystalline, and polycrystalline solar modules on rooftops and ground. In the coming years, monocrystalline modules will gain high traction due to the higher efficiency of monocrystalline in comparison to other materials. With the depleting fossil fuel reserves and rising air pollution levels, power companies are shifting from thermal power plants to renewable energy power plants, which use such modules in abundance.

Currently, the distributed solar power generation market is dominated by Canadian Solar Inc., First Solar Inc., JinkoSolar Holding Co. Ltd., KACO new energy GmbH, Shenzhen Yingli New Energy Resources Co. Ltd., and SunPower Corp. Solar modules offered by these companies are used by the residential, commercial, and industrial sectors. In the coming years, the commercial sector will emerge as one of the prominent users of solar modules due to the increasing installation of solar panels in academic institutions, shopping complexes, schools, and other commercial structures. 

According to P&S Intelligence, the APAC region will emerge as the leading user of solar modules in the foreseeable future. This will be on account of the poor grid connectivity and scarcity of power supply in developing nations, such as India, Thailand, China, and Indonesia. Moreover, the rising government support being provided to the solar energy sector, in terms of financial incentives, will also facilitate the adoption of solar modules for distributed solar power generation in the region.

Thus, the rising government focus on the adoption of renewable energy and poor grid connectivity in developing countries will encourage distributed power generation through solar modules.