Offshore Wind Energy Market to Surpass $60 Billion by 2024

Global Offshore Wind Energy Market is set to grow from its current market value of more than $21 billion to over $60 billion by 2024; according to a new research report by Global Market Insights, Inc.

Growing attention to curb the GHG emissions by shifting inclination toward renewable power generation will boost the industry dynamics. Furthermore, favorable government reforms and monetary support to capitalize the regional offshore potential will further enhance the business growth. For instance, Germany, in 2017, allocated over USD 7 billion for building new offshore and onshore wind farms.

Large untapped energy potential along with the need to deliver cleaner and more affordable energy will propel the overall offshore wind energy market. For instance, according to Abeeolica in 2017, Brazil had around 175 projects under construction representing an investment of USD 7 billion. The organization has further proclaimed to reach an approx. 18 GW of operational wind energy portfolio by 2019.

Strong technological developments in turbine design in line with unit cost reduction and improved efficiency will augment the global offshore wind energy market size.

For instance, the European Union funded the “First Offshore Wind Project In India” to construct a 1,000 MW commercial offshore wind farm which aims to support MNRE and NIWE’s vision to strengthen the country’s offshore sector. The development and integration of large units coupled with enhancing foundation techniques will further stimulate the business outlook.

Increasing fund allocation toward the utilization of cleaner energy sources from different financial institutions including International Finance Corporation (IFC), the World Bank and the Asian Development Bank (ADB) will complement the overall offshore wind energy market. Government of UK formed the Offshore Wind Investment Org. (OWIO) to enable funding toward the integration of renewable energy resource to maintain an efficient offshore wind supply chain.

UK Offshore Wind Energy Market Size, By Component, 2017 & 2024 (USD Million)

Introduction of various superconducting generators, variable transmission devices and improved generator speed are few key developments strengthening offshore wind energy market. Improved technologies in the construction of efficient cooling systems along with the use of HV array cables will further complement the industry outlook.

In 2017, Offshore wind energy market across UK was estimated over USD 8 Billion. Energy security initiatives, decarbonization reforms, and favorable regulatory measures are few imperative parameters that will foster the industry dynamics. Rising investments by leading offshore wind developers to explore the untapped offshore potential will further sway the business dynamics. As per Wind Europe in 2017, a fund allocation of over USD 50 billion was invested across the region. In addition, major contribution of the fund came from mergers at project levels, public market transactions and new assets.

Notable offshore wind energy market players comprise Enercon, GE, Vestas, Nordex Acciona, Senvion, MHI-Vestas, WEG SA, Goldwind, Siemens Gamesa, United Power, Envision Energy, Mingyang, Wobben, Suzlon, Clipper, Impsa, LM, General Cable, Enessere, Bergey, RTS, Availon, Prysmian, Northern Power Systems, Furukawa Electric, LS Cable, Global Energy Services, Nexans, Southwire, and Sumitomo.

Source: Global Market Insights