Renewable Energy Market to See 6.1% Annual Growth Through 2023
Industry Boosted by Economic Growth in Developing Countries
WELLESLEY, Mass., July 31, 2019 (Newswire.com) - Economic growth in developing countries, expanding environmental awareness and an increase in number of households are factors driving growth in the global renewable energy market, according to a report by BCC Research, “Renewable Energy: Technologies and Global Markets.”
The market expects to see a compound annual growth rate (CAGR) of 6.1% through 2023, when it could be worth $855.2 billion.
Major players in the market include: GE, Fuji Electric Corp., Siemens AG and BP.
- Hydroelectric as a segment of renewable energy (excluding biofuels) should grow from $392.2 billion in 2018 to reach $432.6 billion by 2023 at a CAGR of 2%.
- Solar power (excluding biofuels) should grow from $143.3 billion in 2018 to reach $286.3 billion by 2023 at a CAGR of 14.9%.
- Asia-Pacific has emerged as the leading regional market with the largest installed renewable energy capacity, with 45% of global installed renewable energy capacity in 2017.
Read the full report here: https://www.bccresearch.com/market-research/energy-and-resources/renewable-energy-markets-report.html
“Renewable energy sources have had a strong decade of growth,” writes BCC Research analyst Tribhuvan Pratap Singh. “In 2009, they contributed about 10% of global primary fuel supplies. However, the market is likely to be more challenging in the years ahead. The wind power industry in particular will be challenged to find ways to lower prices, while solar power, with its much larger customer and manufacturing base, will be able to respond more quickly, although declining prices and margins will be difficult for suppliers.
The Role of Government in the Renewable Energy Market
Efforts to reduce or minimize reliance on conventional energy resources such as oil, natural gas and coal due to growing environmental hazards are expected to remain a key driving factor for the global market. In addition, governmental support in the form of tax benefits and financial incentives in the U.S., Germany, Iceland, France, the U.K., China and India is expected to drive production of renewable energy.
Source: BCC Research