North American single-axis tracker market revenues increased by over 100%, year over year, to reach $1.2 billion in 2015, according to a report from IHS Technology. The market is forecast to grow 20% to $1.4 billion in 2016.

Analyst Camron Barati attributed the impressive growth to three primary factors:

Numerous leading EPC companies and developers switched rapidly from using fixed-tilt structures to single-axis trackers, as they sought to improve energy yield of systems and lower the levelized cost of energy (LCOE), in spite of the higher upfront costs. As a result, major leading suppliers, particularly in the United States, expanded production of single-axis trackers, and numerous new suppliers released new single-axis trackers into the market. Using single-axis trackers has become the default for utility-scale projects developed in the higher irradiation states in the Western and Southern regions of the U.S. Despite the extension of the ITC in the United States in late December 2015, the ground-mount utility-scale market in 2016 is forecast to have a record year for installations, due to the strong development activity that occurred leading up to the policy update. Array Technologies, First Solar, SunPower, NEXTracker and other leading suppliers from the nascent market in 2013 are still active and have continued to maintain high standards of quality and innovation, instilling a sense of trust and bankability with leading partners and early adopters.

Pressure to lower prices for single-axis trackers will continue in 2016, as several new competitors launched products and entered the North American market within the last 12 months. However, the volume of orders will help market leaders maintain and grow revenues, according to IHS.