Concentrated PV technology primarily operates under which condition?

Concentrated PV technology, which utilizes lenses or mirrors to focus a large area of sunlight onto a small area of highly efficient solar cells, operates optimally under direct sunlight conditions. This technology relies on the intensity of sunlight to generate electricity effectively. Focusing sunlight increases the energy collected, making it crucial for the system to be in an environment where sunlight is abundant and direct.

In shaded environments, the concentration of sunlight is significantly reduced, which would hinder the system's performance. Similarly, overcast weather leads to diffuse light that lacks the intensity needed for concentrated PV systems to function effectively. Indoors would also not provide adequate direct sunlight, as these systems are designed to harness maximum solar energy exposure.

Thus, the correct answer emphasizes the necessity of direct sunlight to ensure the efficient operation of concentrated PV technology.