by The Green Energy Market is estimated to be valued at US$ 1144.49 Bn in 2023 and is expected to exhibit a CAGR of 8.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The Green Energy Market includes renewable energy sources like solar power, wind energy, hydropower, and biofuels. These sources are environment friendly and help reduce dependence on fossil fuels. They provide clean energy without polluting the environment.
Market key trends:
One of the key trends driving the Green Energy Market is the growing focus towards renewable and clean sources of energy to mitigate climate change. Stringent government regulations regarding use of fossil fuels along with incentives and subsidies for renewable energy projects are encouraging increased adoption of green sources like solar and wind energy. Investments in renewable capacity additions are also on the rise globally to replace conventional fossil fuel based power plants and reduce carbon footprint. Developing economies are investing heavily in technologies like solar, wind and hydropower to meet their increasing energy needs through green sources.
Porter’s Analysis
Threat of new entrants: The green energy market requires high initial investments in R&D, infrastructure etc. which acts as a barrier for new companies. However, reducing costs of technology may lower the barriers in future.
Bargaining power of buyers: The bargaining power of buyers is moderate as there are multiple suppliers providing similar green energy solutions. However, larger clients can negotiate on price.
Bargaining power of suppliers: Key raw material suppliers like producers of solar panels, wind turbine components have some bargaining power due to consolidation among suppliers in recent years.
Threat of new substitutes: Hydroelectric and wind energy are major substitutes. However, regulatory support for renewable energy reduces threat from substitutes.
Competitive rivalry: Intense competition exists among key players to gain higher market share through innovation, collaborations and geographic expansions.
SWOT Analysis
Strengths: Growing government support and incentives for renewable energy adoption. Technological advancements leading to higher efficiencies and lower costs.
Weaknesses: High initial investments and long payback periods. Intermittency issues in solar and wind power generation.
Opportunities: Rising global demand for clean energy. Emerging markets provide strong growth opportunities. Investments in modernizing electricity grids and energy storage solutions.
Threats: Changes in government policies and regulations. Fluctuating raw material prices. Delay in approvals and land acquisition for new projects.
Key Takeaways
The Global Green Energy Market is expected to witness high growth, exhibiting CAGR of 8.3% over the forecast period, due to increasing environmental concerns and regulatory push for cleaner sources of energy. Asia Pacific region dominates the market currently owing to large installations and favorable government policies in China and India. North America and Europe are other major markets for green energy solutions.
Regional analysis Asia Pacific region dominates the global green energy market currently, accounting for over 40% share in 2023. China leads the region with the largest renewable power capacity installations. It has achieved its renewable energy targets well ahead of schedule supported by strong policy push. India is another high growth market in the region growing at a rapid pace to meet its energy needs through solar, wind and hydropower projects.
Key players operating in the green energy market are ABB Ltd., Alterra Power Corporation, Kyocera Solar, Inc., Nordex SE, Hanwha Q Cells GmbH, Sharp Corporation, Calpine Corporation, Suzlon Energy Ltd., U.S. Geothermal Inc., Yingli Green Energy Holding Co. Ltd., Enercon GmbH, and GE Energy. Major players are focusing on capacity additions, investments in technology and acquisitions for business expansion globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
