The global renewable energy market was valued at $881.7billion in 2020, and is projected to reach $1,977.6 billion by 2030, growing at a CAGR of 8.4% from 2021 to 2030. Renewable energy, even referred as clean energy, is usually derived from natural sources that are constantly replenished. Wind energy, a type of renewable energy, is used to generate electric energy from kinetic energy source. Wind turbine converts the wind energy into mechanical energy, which is further converted into electrical energy through generator. Wind energy can be generated offshore and onshore. Onshore wind energy is associated with onshore turbines that are located on land, whereas offshore wind turbines are found in ocean or sea.

The global renewable energy market has been negatively hampered due to wake of COVID-19 pandemic. During high wind season, planned maintenance has become a major issue for industry players, owing to reduced labor force and social distancing norms. Furthermore, project delays and cancellation of orders has affected the key markets for both blade production and wind turbine installations.

Renewable energy is derived from natural sources such as wind and sunlight. Solar, geothermal, wind, bioenergy, hydropower, and ocean power are some of the major sources of renewable energy. Currently, renewable energy is utilized in heating, electricity, cooling, and transport sectors. Renewable energy collectively provides around 7% of the world's energy demand. Renewable energy is relatively more expensive than fossil fuel. Several factors are responsible to drive the usage of renewable energies, the most crucial being the attribution of global warming due to carbon dioxide (CO2) emission from the combustion of fossil fuels. The concern about the reduction of greenhouse gas emissions, increase in search for energy security along with the aversion to traditional nuclear power, and lack of progression in the application of the nuclear power are expected to drive the demand for geothermal power market during the forecast period. Governments of various developing and developed countries have focused on promoting renewable energy sources due to increase in output efficiency, less pollution, and low maintenance costs. All these factors collectively surge the demand for renewable energy, thereby augmenting the global renewable energy market growth.

However, developing new resources requires large initial investments to build infrastructure. These investments increase the cost of providing electricity, especially during early years. Initially, the developers need to find publicly acceptable sites with good resources and with access to transmission lines. Finding a potential solar site requires several years of monitoring to determine whether they are suitable or not. In addition, the workers need to be trained to install, operate, and maintain the new technologies. Some require operating experiences in certain climatic conditions, before the performance can be optimized. This factor is likely to restrain the growth of the renewable energy market during the forecast period.

On the contrary, economies such as China and India are expected to drive the demand for geothermal power sector. A significant increase in energy demand owing to surge in investment in renewable energy projects has been witnessed in countries such as China and India. The residential and industrial sectors are expected to consume more energy during the forecast period in Asia-Pacific. Furthermore, India has significant growth potential; however, due to its inconsistent policy and business environment in past, the renewable energy share in total energy production was less. There has been an increase in investments in renewable energy projects in India, owing to which it is one of the countries experiencing rapid growth in the Asia-Pacific market.

For instance, a shift in trend toward use of localized energy procurement can be seen in the recent years. Various government bodies in countries such as India have taken the advantage of community choice aggregation (CCA) policies, which permits government to procure renewable energy resources on behalf of their constituents while retaining their existing electricity provider for transmission and distribution services. All these factors are expected to offer future growth opportunities to the global renewable energy market.

The major companies include ABB, Acciona, EDF, Enel Spa, General Electric, Innergex, Invenergy, National Grid Renewables, The Tata Power Company Limited (Tata Power), and Xcel Energy Inc.

Asia-Pacific renewable energy market size is projected to grow at a CAGR of 9.6% during the forecast period and accounted for 35.2% of renewable energy market share in 2020. The region accounts for more than half of the global energy consumption, owing to rise in industrialization as well increase in population. The renewable energy market has grown considerably in countries such as China and India. China became the world's largest producer of bioelectricity in 2017 and now it is one the key players in hydropower, onshore, wind power and solar photovoltaic, and.

In 2020, the hydroelectric power segment was the largest revenue generator, and it is anticipated to grow at a CAGR of 6.5% during the forecast period. A significant amount of hydropower development took place in Brazil. An increase in activity has been witnessed across the continent, with notable projects in Colombia and Peru. Surge in investments for off-grid energy generation and rural electrification across developing countries, such as India, China, Brazil, and Vietnam, has increased the demand for small hydropower plants. In addition, initiatives such as the Small Hydropower Programme by the Ministry of New and Renewable Energy and Rajiv Gandhi Grameen Vidyutikaran Yojana taken by the Government of India to electrify rural areas and promote the utilization of small hydropower energy for off-grid and mini-grid is expected to drive the growth of the market.

By end use, the residential segment acquired the top position of the global market in 2020, and it is anticipated to grow at a CAGR of 8.4% during the forecast period. Increase in use of geothermal heat pump in residential heating application is expected to drive the growth of the market. The requirement of geothermal power is expected to increase significantly with rise in demand for electricity. This factor is expected to drive the growth of the market. Several companies in the market offer geothermal power to the residential sectors. Enel Green Power is one such company that owns the power plants at a complex and serves approximately two million families, 8,700 residential & business customers, and 25ha of greenhouses. Implementation of government initiatives in developed as well as developing economies to curb carbon emission and to reduce the usage of conventional fuels to generate energy has increased the usage of rooftop solar energy systems to generate electricity for household purposes.

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