Green Energy Market Size, Share, Growth, Trends, and Global Industry Analysis: Size, Share, Growth, Trends, and Global Industry Analysis By Type (Solar Energy, Wind Energy, Hydro Energy, Geothermal Energy, Biomass, Biofuels), By Application (Commercial, Residential, and Industrial), By End-User (Buildings, Transport, Agriculture, Industry, Others) By Region Forecast 2020-2031

The green energy market size was valued at US$ 110,352.7 million in 2023 and is projected to reach US$ 247,351.5 million by 2030, growing at a CAGR of 12.3% from 2024-2030. Moreover, the U.S. green energy market is expected to offer healthy growth opportunities in the near future. Green energy is referred to as energy produced from natural resources such as sunlight, wind, and water and harnessed via renewable technologies such as solar panels, wind turbines, geothermal systems, biomass, and hydroelectric power plants. Each of these technologies works differently, harnessing the power of the sun, wind, or water flow to generate clean energy. Solar panels, for example, transform sunlight into electricity, whereas wind turbines generate power by harnessing the kinetic energy of wind.

Many factors are expected to fuel the growth of the market. Rapid industrialization in both industrialized and emerging nations raises energy consumption while rising oil and gas costs drive a transition toward more cost-effective and sustainable energy sources. Furthermore, government attempts to reduce reliance on fossil fuels, mitigate environmental damage, and promote energy security are hastening the adoption of renewable energy technologies. These market drivers, combined with increased awareness of climate change and the need for cleaner, more sustainable power solutions, are expected to drive the market's growth in the future years.

List of Instances

• In September 2024, JUWI has built two wind farms in North Rhine-Westphalia's Hochsauerland district, taking the company's total capacity to 3,000 MW. The company will exhibit its accomplishments at the WindEnergy Hamburg event, held from September 24 to 27, in Hall A4, Stand 336, alongside its sister company, MVV Trading.
• In September 2024, Aukera Energy has increased its renewable energy portfolio by acquiring a solar PV plant and a co-located battery storage system (BESS) in Rhineland-Palatinate, Germany. The project is now in the advanced development stage and has a capacity of 46 MW for solar PV and 40 MW for BESS. Capcora, located in Frankfurt, was the only M&A advisor to the unknown German renewable developer selling the project.
• In August 2024, Trafigura Group Pte Ltd has finalized the acquisition of Greenergy's European and Canadian supply operations from Brookfield Asset Management and its publicly traded partner, Brookfield Business Partners. Greenergy, a UK-based road fuel supplier and major European biodiesel manufacturer, will remain under Trafigura's control.

Facts & Figures

Renewable Energy Mix by Source (GW)

Source: Indian Central Electricity Authority

• In 2022, renewable energy sources accounted for 29% of worldwide electricity generation. (Source: International Energy Agency (IEA))
• In March 2023, global solar energy installations had reached 1,000 GW, a 21% increase over the previous year (2022).  (Source: SolarPower Europe)
• As of October 2022, wind power accounted for 8.4% of global electricity generation, with 1,031 GW installed capacity. (Source: Global Wind Energy Council (GWEC))
• In 2022, the number of jobs in the renewable energy sector topped 12 million globally, a 10% increase over 2021. (Source: The International Renewable Energy Agency (IRENA))
• In April 2023, global investments in renewable energy technologies totalled $226 billion, a 15% increase over the previous year. (Source: BloombergNEF)
• As of January 2023, renewable energy accounted for 38% of the European Union's energy mix, up from 34% in 2021. (Source: European Environmental Agency (EEA))
• As of September 2022, more than 3 million electric vehicles had been sold worldwide, up 60% from the previous year. (Source: The International Energy Agency (IEA))
• In July 2023, 45 nations had approved national policies to promote offshore wind energy development, up from 30 in 2021. (Source: The International Renewable Energy Agency (IRENA))
• In November 2022, rooftop solar systems accounted for 20% of total solar capacity installed in the United States. (Source: United States Energy Information Administration (EIA))

 Key Developments

• In September 2024, Deutsche Windtechnik Sweden has secured a full maintenance contract with Wallenstam for 23 Vestas V90 wind turbines spread over nine wind farms in southern Sweden. The contract will cover the turbines' maintenance until they reach 30 years of age, much above the usual operational lifespan of 20 years. This long-term agreement is Deutsche Windtechnik Sweden's first foray into extending turbine lifespans by an extra ten years, thereby increasing operational duration by 50%.
• In September 2024: Suzlon has announced that it has acquired India's largest wind energy order of 1,166 MW from NTPC Green Energy Limited, NTPC's renewables business. This achievement solidifies Suzlon's status as a leader in India's wind energy sector.

Green Energy Market Segmentation Analysis

By Type: Solar energy is currently the most popular renewable energy source worldwide. By the end of 2022, solar energy was responsible for more than 60% of global renewable energy capacity additions. This rapid expansion has been spurred by the reducing cost of solar panels, with the average cost of solar photovoltaics (PV) falling by roughly 90% over the last decade. Countries like as China, the United States, and India dominate the worldwide solar market. 

China is the world's largest producer and user of solar energy, with more than 400 GW of installed capacity by 2023, accounting for approximately 35% of the country's total renewable energy generation Whereas in the U.S., solar power capacity passed 150 GW by 2022, and the solar business continues to develop due to federal tax breaks and state-level renewable energy targets. Advancements in dual-module solar systems and rooftop installations have increased demand for solar energy, making it more efficient and affordable for both residential and commercial customers.

By Application: The industrial sector has the biggest demand for renewable energy, which is fuelled by large-scale energy consumption and the need to reduce carbon footprints. As industries account for approximately 40% of worldwide energy consumption, there is a strong emphasis on shifting to renewable energy sources such as solar, wind, and bioenergy. In 2022, industrial demand for renewable energy accounted for 16.8% of the sector's total energy consumption, with estimates of more than 20% by 2030.

Wind energy and solar electricity are widely used in industries due to their scalability. Amazon and Google, for example, have pledged to run their global operations entirely on renewable energy, mostly through large-scale solar and wind installations. Moreover, Renewable-powered industrial parks are increasingly gaining popularity, offering firms a hedge against variable energy prices and stability. For example, in South Africa, the Renewable Energy Industrial Park exemplifies how enterprises are integrating renewable energy to reduce costs and assure energy security. In addition, corporate power purchase agreements (PPAs) let industries acquire renewable energy at a lower cost. The number of corporate PPAs increased by 21% in 2022, demonstrating industry' strong desire to lock in predictable energy rates amidst the global energy crisis.

By End-user: The industrial sector is the most significant end user of renewable energy, driven by the requirement for large-scale, dependable power for production, processing, and manufacturing activities. With the growing need to cut carbon emissions, many sectors are turning to renewable energy sources such as solar, wind, and bioenergy to power their operations. In 2022, the industrial sector is estimated to accounted for 16.8% of total renewable energy consumption, making it the biggest end-user. This transition is primarily driven by the sector's efforts to meet severe environmental rules and sustainability standards, particularly in energy-intensive industries such as steel, cement, and chemicals. In nations such as Germany, China, and the United States, large-scale industrial users are rapidly adopting wind and solar energy. For example, Germany's industrial sector gets a significant portion of its energy from renewables, which helps the country transition to a low-carbon economy. By 2022, renewable energy will account for around 42% of Germany's energy consumption, primarily in the industrial sector.