On the basis of the report by DataHorizzon Research, the Energy as a Service Market was estimated to be US$71.3 billion in 2022. It is anticipated to experience a CAGR of 9.2% and reach US$169.9 billion by 2032.
The global population has been growing significantly of late, thereby leading to a surge in the energy demand as well as consumption worldwide. The demand for sustainable energy resources has contributed to market growth when it comes to organisations. At present, there are numerous techniques that happen to be available for obtaining energy, and the utilisation when it comes to renewable energies for electricity production is serving as a catalyst for market growth.
It is well to be noted that the smooth functioning of various industries like manufacturing, automobiles, food, as well as pharmaceuticals relies a lot on electricity. The market for electricity is being pushed forward by the explosive industrial growth in various nations across the world. Moreover, the market growth has been further triggered by the widespread use of microgrid technology throughout various industries. This is primarily attributed to the capability of microgrids to produce power from wind as well as solar sources.
The growing use of distributed energy resources- DER in emerging nations is a major factor contributing to market growth due to their energy and cost efficiency. Furthermore, this kind of energy option not only reduces the emission intensity as well as the expense of power system augmentation but also improves reliability, which encourages revenue growth. Furthermore, the method finds extensive use in various sectors, such as biomass generators, electric vehicles, rooftop solar, and microturbines. This wide range of applications is anticipated to significantly contribute to the growth of the market.
The market for global energy as a service has been divided into different segments based on its type, end-user, as well as region. The government’s increased efforts and support for renewable energy are driving the overall demand for energy. In recent years, there has been a noticeable increase in consumer knowledge regarding energy savings, which has driven the market forward as audiences have started adopting various power-saving techniques to optimise their energy use. Apparently, Europe has gone on to become the leading consumer when it comes to energy as a service. The regional growth can be attributed to several elements, such as the stringent enactment of regulatory policies in the consumer as well as industrial sectors, which have played a very significant role. Additionally, the development of intelligent manufacturing units has also contributed to the growth as well as the deployment of battery energy storage systems and electric automobiles in the region has also been the catalyst behind the growth.
Key Highlights of the Energy as Services Market Report:
- Global energy-as-a-service market is anticipated to experience a CAGR of 9.2% by the year 2032.
- The market growth is being driven by numerous factors, including a growing amount of renewable energy, price volatility, as well as the rise in energy consumption.
- The commercial segment happens to hold the largest share in the energy as a service market, and the rise of commercial spaces and factories worldwide has led to a significant increase in electricity consumption for production and manufacturing purposes.
- The supply segment is forecasted to be the largest and is expected to experience the highest CAGR, with the primary factor contributing to the dominance of the supply region being significant population growth, resulting in an increased number of consumers.