Global Hydropower Market Is Estimated To Witness High Growth Owing...

Global Hydropower Market Is Estimated To Witness High Growth Owing To Increasing Investments in Renewable Energy and Growing Demand for Clean

Posted 2023-10-03 13:40:46

The Hydropower Market is estimated to be valued at US$ 201.4 Bn in 2021 and is expected to exhibit a CAGR of 5.9% over the forecast period 2022-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Hydropower is a renewable energy source that harnesses the power of flowing or falling water to generate electricity. It is a clean and sustainable source of energy, making it an attractive option for countries striving to reduce their carbon footprint. Hydropower plants utilize various technologies such as dam-based hydroelectric plants, run-of-the-river systems, and pumped storage systems to generate electricity. These plants play a crucial role in meeting the growing global demand for electricity and reducing reliance on fossil fuels. Hydropower also offers various environmental and socio-economic benefits, such as reduced greenhouse gas emissions, job creation, and local economic development.

Market Dynamics:
The two main drivers fueling the growth of the hydropower market are increasing investments in renewable energy and the growing demand for clean energy sources. Governments across the globe are actively promoting the development of hydropower projects by providing incentives and favorable policies. Additionally, the rising awareness about the detrimental effects of fossil fuels on the environment has led to an increased focus on renewable energy sources. Hydropower is considered one of the most reliable and cost-effective forms of renewable energy, which further boosts its demand. Furthermore, advancements in turbine technology and the development of new projects in untapped regions are expected to drive the growth of the hydropower market over the forecast period.

SWOT Analysis for Hydropower Market:

Strengths:
Hydropower is a renewable energy source that utilizes the power of water to generate electricity, making it a clean and sustainable energy option.
Hydropower plants have a long life span and can operate continuously, providing a stable and reliable source of electricity.
Hydropower has the potential to contribute to energy independence and reduce reliance on fossil fuels, leading to a reduction in greenhouse gas emissions.

Weaknesses:
The initial investment for building hydropower plants can be significant, requiring substantial capital and infrastructure development.
Hydropower projects may face environmental concerns, such as the impact on fisheries, wildlife habitats, and river ecosystems, which can lead to opposition from environmental groups and regulatory challenges.

Opportunities:
The increasing demand for clean energy sources and the global shift towards reduced carbon emissions provide significant growth opportunities for the hydropower market.
The development of new technologies, such as advanced turbine designs and improved efficiency, can enhance the performance and productivity of hydropower plants.

Threats:
Competition from other renewable energy sources, such as solar and wind power, poses a threat to the hydropower market, as these sources continue to grow in popularity and become more cost-effective.
The potential impacts of climate change, such as reduced water availability and changing precipitation patterns, may affect the reliability and productivity of hydropower plants in certain regions.

Key Takeaways:

The global Hydropower Market Growth is expected to witness high growth, exhibiting a CAGR of 5.9% over the forecast period (2022-2030), due to the increasing demand for clean and sustainable energy sources. In terms of regional analysis, Asia Pacific is the fastest-growing and dominating region in the hydropower market, owing to the presence of large rivers and favorable government policies supporting renewable energy development. Key players operating in the hydropower market include General Electric Company, Siemens AG, Andritz AG, Voith GmbH & Co. KGaA, China Yangtze Power Co. Ltd, PJSC RusHydro, Électricité de France SA (EDF), and Iberdrola SA.