Energia
Frost & Sullivan: C&I Sector Decarbonisation Gains Momentum Amid Tech Advances, Regulations, and Sustainability Push
Corporate sustainability and accountability are central to this transition, with climate-focussed reporting frameworks enhancing transparency and compliance. Stricter Scope 2 emissions regulations are accelerating the adoption of cleaner energy, while Scope 3 disclosures - mandated by international climate authorities and protocols - are making supply chain sustainability a priority. The European Corporate Sustainability Reporting Directive (CSRD) further strengthens this shift by requiring businesses to report on direct and indirect value chain relationships.
"The next decade presents an unprecedented opportunity for businesses to accelerate their decarbonisation efforts," says Jonathan Robinson , Growth Expert at Frost & Sullivan. "As technology costs decline and corporate climate accountability grows, companies that proactively invest in energy optimisation and sustainability will be best positioned for success."
Propelled by declining costs, sustainability goals, and incentives, the global C&I Distributed Solar PV market will experience peak demand by 2030, when it is forecasted to reach 115.2 GW in annual installations. Post-2030, C&I solar growth is expected to slow in legacy markets, while demand rises in emerging markets across Asia , Latin America , and Africa & the Middle East .
Corporate Power Purchase Agreements (PPAs) are a key driver of the renewable energy transition, with more industries adopting them to secure sustainable power and hedge against price volatility. Multi-buyer agreements, storage integration, and the rise of alternative energy sources like geothermal and nuclear are reshaping corporate energy procurement.
"Standardisation efforts at corporate and government levels are streamlining PPA adoption, reducing costs, and accelerating agreements. Frost & Sullivan projects that by 2035, corporate PPAs will drive over 25% of global wind and solar development, cementing their role in the energy transition," Robinson concludes.
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Kristina Menzefricke
Marketing & Communications
Global Customer Experience, Frost & Sullivan
kristina.menzefricke@frost.com
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