The Renewable Energy Technologies Market is estimated to be valued at US$ 1,128.08 Bn or in 2023 and is expected to exhibit a CAGR of 10.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Renewable energy technologies utilize renewable resources such as solar, wind, hydroelectric, geothermal and biomass to generate electricity and other useful forms of energy. These technologies provide cleaner sources of energy compared to conventional fossil fuel based energy sources. Major products in this market include solar PV modules, wind turbines, hydro power turbines, biomass power generation equipment etc. Several countries are investing heavily in developing renewable energy infrastructure to transition towards cleaner sources of energy and reduce dependency on fossil fuels to meet energy demand as well as comply with climate change commitments.
Growing concerns regarding climate change and environmental pollution caused due to excessive reliance on fossil fuels for energy needs are a key driver for the renewable energy technologies market. According to the Intergovernmental Panel on Climate Change (IPCC), global greenhouse gas emissions must peak by 2020 to limit global warming to well-below 2°C to avoid catastrophic impacts of climate change. This has bolstered investments in renewable energy projects globally. Additionally, declining costs of renewable energy generation equipment such as solar PV modules and wind turbines is also fueling adoption of renewable technologies. According to the International Renewable Energy Agency (IRENA), renewable power generation costs have fallen significantly over the past decade. For example, the levelized cost of electricity from utility-scale solar PV fell by 82% between 2010 and 2019. This has improved the competitiveness of renewable energy.
The Renewable Energy Technologies market is segmented based on technology and application. The technology segment includes solar, wind, hydroelectric and geothermal, which is further sub-segmented into solar photovoltaic and concentrated solar power. Among these, the solar photovoltaic segment dominates the technology segment and is expected to grow at highest CAGR during the forecast period. This is due to factors such as, increasing solar power generation capacities across the globe, falling prices of solar panels and supportive government policies and initiatives towards solar power generation.
Political: Governments across countries are introducing favorable regulations and policies to promote the adoption of renewable energy. For instance, feed-in tariff policies to purchase renewable energy at a fixed price.
Economic: Increasing investment in research and development of advanced renewable technologies to reduce costs. Renewable energy provides opportunities for new businesses and jobs creation.
Social: Growing environmental concerns and awareness about climate change is driving the demand for clean energy. Renewable energy helps in meeting increasing energy needs in a sustainable manner.
Technological: Rapid advancements in technologies like solar panels, wind turbines, energy storage systems etc. Continuous R&D is helping to improve efficiencies and reduce costs of renewable energy systems.
The global Renewable Energy Technologies Market is expected to witness high growth, exhibiting CAGR of 10% over the forecast period, due to increasing investments in renewable energy projects worldwide.
The Asia Pacific region is expected to dominate the market and exhibit highest CAGR during the forecast period. This is attributed to factors such as favorable government policies, falling prices of renewable technologies and rapid industrialization in countries like China and India.
Key players operating in the Renewable Energy Technologies market are ABB Ltd., Fuji Electric Co. Ltd., Hitachi Ltd., Mitsubishi Heavy Industries Ltd. and Toshiba Corp. These players are focusing on partnerships, acquisitions and new product launches to consolidate their market presence. For instance, ABB entered into a strategic partnership with Hanergy to drive solar and energy storage solutions globally.
The report “Renewable Energy Technologies Market by Technology (Solar Photovoltaic, Concentrated Solar Power), Application (Residential, Commercial, Industrial), and Geography (North America, Europe, Asia Pacific) – Global Forecast to 2030” provides an extensive analysis of present market dynamics and predicted future trends. The study undertaken used analytical tools like SWOT analysis and Porter’s Five Forces to analyze the market data.
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it