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Energy as a Service Market to Reach $112.7 Bn, Globally, by 2030 at 7.6% CAGR: Allied Market Research
Rise in energy efficiency, availability of finances and subsidies, and adoption from the residential sector drive the growth of the global energy as a service market. However, high technological costs and information barriers and uncertainties hinder the market growth. On the other hand, integration of renewable energy and electrification of transportation and commercial buildings present new opportunities in the coming years.
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Based on service, the energy supply services segment accounted for the highest share in 2020, contributing to nearly two-fifths of the global energy as a service market, and is expected to continue its lead position during the forecast period. This is attributed to rise in electric-driven heavy manufacturing and transportation equipment. However, the maintenance & operation segment is expected to manifest the highest CAGR of 8.0% from 2021 to 2030.
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Based on end use, the commercial segment contributed to the largest share in 2020, accounting for more than three-fifths of the global energy as a service market, and is estimated to continue its leadership status during the forecast period. This is due to requirement of continuous and stable electricity supply for continuous operations from commercial complexes, shops, malls, data centers, and other industrial applications. However, the industrial segment is projected to portray the largest CAGR of 8.0% from 2021 to 2030, owing to deployment of distributed energy generation, adoption of automation technologies, and development of local energy resources.
Based on region, Asia-Pacific , followed by North America , held the in 2020, accounting for around one-third of the global energy as a service market, and is expected to continue its dominance in terms of revenue by 2030. Moreover, this region is expected to witness the fastest CAGR of 8.2% during the forecast period. This is due to Rapid growth of smart energy infrastructure, adoption of green building models, and rise in government support toward achieving sustainability goals. Moreover, rapid adoption of energy as a service model in developing countries such as China , Japan , India , and Australia with rapid expansion of distributed energy generation, renewable energy, electric vehicle, smart grid, and other sectors supplement the growth. Other regions discussed in the report include North America , Europe , and LAMEA.
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