Green Power Market: Current Analysis and Forecast (2024-2032)
Emphasis on Power Source (Wind, Solar, Low-Impact Hydropower, and Others); and Region/Country
Green Power Market Size & Forecast
The Green Power market was valued at approximately USD 60 Billion in 2023 and is expected to grow at a substantial CAGR of around 11% during the forecast period (2024-2032) owing to the rising adoption of renewable energy.
Green Power Market Analysis
Green power is electricity produced from renewable resources which have negative impacts on the environment including solar power, wind power, hydropower, geothermal power, and biopower. This form of power is environmentally friendly as it cuts on emission of greenhouse gases and the use of fossil energy resources. Renewable energy forms are now being viewed as a fundamental solution to climate change and move toward a low-carbon economy.
In the green power sector, companies are implementing business growth, such as the research and development of new technologies in renewable energy generation and storage, and the signing of long-term PPAs to ensure ongoing business revenue and coverage of a broad range of products with mergers and acquisitions (M&As). For instance, on August 27, 2024, ReNew, India’s leading renewable energy company (NASDAQ: RNW), announced the signing of a green attribute sale contract of 437.6 MW with Microsoft. This contract is expected to generate over one million units of green electricity attributes annually, contributing to Microsoft’s ambition to be carbon-negative by 2030. Moreover, many are concentrating on improving processes, productivity, and market capacity, as well as adopting smart grids for energy management to satisfy the upward consumer demand for renewable energy.
Green Power Market Trends
This section discusses the key market trends influencing the various segments of the green power market as identified by our research experts.
Growth of Battery Storage Technologies Transforms Green Power Industry
The technological development of battery storage is driven by the continuous expansion of green power in the market, particularly of the solar and wind types. Adding to this, enhancements in battery technologies including lithium-ion and solid-state batteries are increasing energy density, lowering costs, and increasing efficiency rendering them feasible for both households and businesses. Global governments are introducing incentives and policies to encourage battery storage uptake as it fits into the world’s green agenda. In the same way, coupling battery storage with smart grid technology advances the administration of energy and improves the usage of renewable energy. This trend is expected to increase with time because of government policies that encourage investment in clean energy technologies making battery storage even more important in the green power market.
As per the IEA, Global investment in battery energy storage exceeded USD 20 billion in 2022, predominantly in grid-scale deployment, which represented more than 65% of total spending in 2022. After solid growth in 2022, battery energy storage investment is expected to hit another record high and exceed USD 35 billion in 2023, based on the existing pipeline of projects and new capacity targets set by governments.
North America leads the market
North America emerged as the leading region that contributed the most to the green power market due to the large amount of investment as well as through implementation of various policies. America dominates renewable energy production more so in wind and solar, with places like California and Texas in the front line. Tax credits for renewable power are other federal promotion strategies aimed at the deployment of renewable technologies. Companies are using Corporate PPAs to achieve sustainable development and power their businesses in the pursuit of net zero targets. This coupled with the continuously increasing emphasis on energy independence creates demand for domestic renewable energy sources. Furthermore, advancements in technologies of energy storage and new smart grid technologies improve the system’s performance.
Green Power Industry Overview
The Green Power market is competitive, with several global and international players. The key players are adopting different growth strategies to enhance their market presence, such as partnerships, agreements, collaborations, new product launches, geographical expansions, and mergers and acquisitions. Some of the major players operating in the market are Siemens Gamesa Renewable Energy, S.A.U.; GE Vernova (General Electric Company); Brookfield Asset Management; Iberdrola, S.A.; Jinko Solar; NextEra Energy, Inc.; Ørsted A/S; Adani Group; Suzlon Energy Limited; Tata Power.
Green Power Market News
As per WindEurope.org, on 18 January 2024, 2023 saw a record 4.2 GW of new offshore wind farms come online, up 40% in 2022. And €30bn of new investments were confirmed – covering 9 GW that’ll be built over the coming years. The supply chain is also seeing a turnaround, with new factories announced in Poland, Denmark, Germany, the Netherlands, and Spain.
As per PIB.gov, on 19 June 2024, the successful commissioning of 1 GW offshore wind projects will produce renewable electricity of about 3.72 billion units annually, which will result in an annual reduction of 2.98 million tons of CO2equivalent emission for a period of 25 years. Further, this scheme will not only kick start the offshore wind energy development in India but also lead to the creation of the required ecosystem in the country to supplement its ocean-based economic activities. This ecosystem will support the development of an initial 37 GW of offshore wind energy at an investment of about Rs.4,50,000 crore.
Green Power Market Report Coverage
Reasons to buy this report:
- The study includes market sizing and forecasting analysis validated by authenticated key industry experts.
- The report presents a quick review of overall industry performance at one glance.
- The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolios, expansion strategies, and recent developments.
- Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.
- The study comprehensively covers the market across different segments.
- Deep dive regional level analysis of the industry.
Customization Options:
The global Green Power market can be customized further as per the requirement or any other market segment. Besides this, UMI understands that you may have your own business needs, hence feel free to connect with us to get a report that completely suits your requirements.
Table of Contents
Research Methodology for the Green Power Market Analysis (2022-2032)
Analyzing the historical market, estimating the current market, and forecasting the future market of the global Green Power market were the three major steps undertaken to create and analyze the adoption of Green Power in major regions globally. Exhaustive secondary research was conducted to collect the historical market numbers and estimate the current market size. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain of the global Green Power market. Post assumption and validation of market numbers through primary interviews, we employed a top-down/bottom-up approach to forecasting the complete market size. Thereafter, market breakdown and data triangulation methods were adopted to estimate and analyze the market size of segments and sub-segments of the industry. Detailed methodology is explained below:
Analysis of Historical Market Size
Step 1: In-Depth Study of Secondary Sources:
A detailed secondary study was conducted to obtain the historical market size of the Green Power market through company internal sources such as annual reports & financial statements, performance presentations, press releases, etc., and external sources including journals, news & articles, government publications, competitor publications, sector reports, third-party database, and other credible publications.
Step 2: Market Segmentation:
After obtaining the historical market size of the Green Power market, we conducted a detailed secondary analysis to gather historical market insights and share for different segments & sub-segments for major regions. Major segments are included in the report as power source, and regions. Further country-level analyses were conducted to evaluate the overall adoption of testing models in that region.
Step 3: Factor Analysis:
After acquiring the historical market size of different segments and sub-segments, we conducted a detailed factor analysis to estimate the current market size of the Green Power market. Further, we conducted factor analysis using dependent and independent variables such as power source, and regions of the Green Power market. A thorough analysis was conducted for demand and supply-side scenarios considering top partnerships, mergers and acquisitions, business expansion, and product launches in the Green Power market sector across the globe.
Current Market Size Estimate & Forecast
Current Market Sizing: Based on actionable insights from the above 3 steps, we arrived at the current market size, key players in the global Green Power market, and market shares of the segments. All the required percentage shares split and market breakdowns were determined using the above-mentioned secondary approach and were verified through primary interviews.
Estimation & Forecasting: For market estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the top-down/bottom-up approach were applied to arrive at the market forecast for 2032 for different segments and sub-segments across the major markets globally. The research methodology adopted to estimate the market size encompasses:
The industry’s market size, in terms of revenue (USD) and the adoption rate of the Green Power market across the major markets domestically
All percentage shares, splits, and breakdowns of market segments and sub-segments
Key players in the global Green Power market in terms of products offered. Also, the growth strategies adopted by these players to compete in the fast-growing market
Market Size and Share Validation
Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, Regional Head, Country Head, etc.) across major regions. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.
Split of Primary Participants in Different Regions
Market Engineering
The data triangulation technique was employed to complete the overall market estimation and to arrive at precise statistical numbers for each segment and sub-segment of the global Green Power market. Data was split into several segments and sub-segments after studying various parameters and trends in the power source, and regions of the global Green Power market.
The main objective of the Global Green Power Market Study
The current & future market trends of the global Green Power market were pinpointed in the study. Investors can gain strategic insights to base their discretion for investments on the qualitative and quantitative analysis performed in the study. Current and future market trends determined the overall attractiveness of the market at a regional level, providing a platform for the industrial participant to exploit the untapped market to benefit from a first-mover advantage. Other quantitative goals of the studies include:
- Analyze the current and forecast market size of the Green Power market in terms of value (USD). Also, analyze the current and forecast market size of different segments and sub-segments.
- Segments in the study include areas of the power source and regions.
- Define and analyze the regulatory framework for the Green Power
- Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors of the industry.
- Analyze the current and forecast market size of the Green Power market for the major region.
- Major countries of regions studied in the report include Asia Pacific, Europe, North America, and the Rest of the World
- Company profiles of the Green Power market and the growth strategies adopted by the market players to sustain the fast-growing market.
- Deep dive regional level analysis of the industry
Frequently Asked Questions FAQs
Q1: What is the Green Power market's current size and growth potential?
Q2: What are the driving factors for the growth of the Green Power market?
Q3: Which segment has the largest share of the Green Power market by power source?
Q4: What are the major trends in the Green Power market?
Q5: Which region will dominate the Green Power market?
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