Global renewable energy market was valued at $1,469,078 million in 2017, and is projected to reach $2,152,903 million by 2025, growing at a CAGR of 4.9 percent from 2017 to 2025, says a new report from Allied Market Research.
The renewable energy produced by hydro and ocean power accounted for more than two-thirds share of the global market in 2016.
While the demand for renewables is growing, the high initial cost of investment for the infrastructural setup is a major restraint in renewable energy market, the report said.
However, the continuous development of technology has led to the use of new technologies to extract energy from renewable source and increased government funding has paved the way for new opportunities for market growth.
Key findings:
- The solar energy market is expected to grow at the highest CAGR of 13.4 percent, in terms of revenue, during the forecast period.
- The commercial segment is projected to grow at a significant CAGR of 5.7 percent from 2017 to 2025.
- Europe is expected to witness highest growth rate, in terms of revenue, with a CAGR of 6.2 percent.
- South Africa is one of the major countries in the market and expected to grow at the highest CAGR of 27.6 percent by value in the LAMEA.
- Asia-Pacific accounted for 41.1 percent share in 2016, and is anticipated to grow at the significant CAGR of 4.8 percent by revenue.
- Asia-Pacific and Europe collectively accounted for more than two-third of the global market share by revenue in 2016.