Depending on the political environment, high growth rates of installed grid-connected PV can and have been achieved. Today's main markets are in Germany, Japan and the USA. Countries such as Spain, Italy, France and Greece are expected to provide significant markets in the next few years. Currently, grid-connected PV is still strongly dependent on government incentives, with the exception of Japan where a considerable market for single family homes with solar power supplies exists - now without further government funding. As an indication of the potential impact of PV deployment in the built environment, an IEA PVPS study found that, amongst the 14 countries investigated, the potential solar power production from available PV roofs and façades could meet from 15 % to almost 60 % of the country's electricity demand.

The electricity supply situation in developing countries will, according to recent IEA analysis, get worse over the next few years as a result of population growth. PV offers the ability, sometimes uniquely, to provide electricity to populations remote from electricity grids and to enhance the quality of existing electricity supplies, dramatically improving quality of life. One of the main characteristics of PV technology is its ability to produce electricity anywhere, with a very wide range of sizes and independent of local infrastructure except for the necessary skills and supply chains for adequate installation and maintenance. This makes PV ideal for meeting the numerous electrification needs of developing countries that often face enormous barriers in providing access to electricity - in particular in rural areas. Photovoltaics are presently found in two market sectors: the commercial market - telecommunication networks, mobile phone charging, remote monitoring and signal systems, water pumping and Solar Home Systems (SHS) for residential lighting, radio & TV; and the donor/public money driven market - health clinics, schools, local/regional administrative facilities, provision of electricity for the professional staff at clinics, schools and administrative centers and more general rural electrification in terms of supported deployment of SHS.

The longer-term outlook for PV is as the provider of a major portion of global energy services - for those unable or unwilling to be connected to electricity supply networks, as a distributed electricity supply option adding value to both electricity network operations and customer lifestyles, and as a source of centralized power generation. In the medium-term, by about 2020, it is conceivable that, as the price of PV electricity achieves parity with retail electricity prices in an increasing number of markets worldwide, the currently experienced momentum of growth will be maintained. In quantitative terms this will mean PV contributing maybe a couple of percent towards global electricity supplies, up from the present fraction of one percentage point.