Global Market Size, Forecast, and Trend Highlights Over 2025-2037
Virtual Power Plant Market size was valued at USD 1.83 billion in 2024 and is likely to cross USD 40.5 billion by 2037, registering more than 26.9% CAGR during the forecast period i.e., between 2025-2037. In the year 2025, the industry size of virtual power plant is estimated at USD 2.25 billion.
on account of the increasing demand for cheap and renewable energy sources among people around the world. In 2019, more than 7000 TWh of energy worldwide was generated by renewable sources. Along with these, ease of implementation and flexibility in trading associated with virtual power plants are other factors which are estimated to drive market growth in the coming years. Furthermore, as virtual power plants are considered to be more cost-effective and require minimum maintenance effort compared to the conventional power plants, the market is expected to witness ample expansion opportunities over the forecast period.
Virtual Power Plant Sector: Growth Drivers and Challenges
Growth Drivers
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Rising Demand for Renewable Energy
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Easy Implementation and Flexibility in Trading in Virtual Power Plants
Challenges
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High-Frequency Electromagnetic Radiation from Virtual Power Plants
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Rising Cyber Security Attacks
Virtual Power Plant Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
26.9% |
|
Base Year Market Size (2024) |
USD 1.83 billion |
|
Forecast Year Market Size (2037) |
USD 40.5 billion |
|
Regional Scope |
|
Virtual Power Plant Segmentation
The market is segmented by end-user segment into residential, industrial and commercial, out of which the industrial segment is projected to hold the largest market share, which can be credited to the growing user base of the VPP services in industrial settings. However, the segment for residential end-users is anticipated to grow at a faster rate during the forecast period owing to the rise in urbanization and increasing demand for green energy worldwide. Additionally, on the basis of technology, the demand response segment is expected to grab the largest market share over the forecast period on the back of the advantages such as smart load management during peak hours and improved energy efficiency of the grid.
Our in-depth analysis of the global market includes the following segments:
|
By Technology |
|
|
By End-User Application |
|
Vishnu Nair
Head - Global Business DevelopmentCustomize this report to your requirements — connect with our consultant for personalized insights and options.
Virtual Power Plant Industry - Regional Synopsis
On the basis of regional analysis, the virtual power plant market is segmented into five major regions, including North America, Europe, Asia Pacific, Latin America and the Middle East & Africa. Asia Pacific industry is poised to hold largest revenue share by 2037, ascribed to rapid industrialization and rising energy demand by major economies in the region. Moreover, North America is expected to be the second-largest market shareholder owing to the extensive use of VPP and increasing demand for hydro energy, wind energy and solar energy generation in the commercial & industrial sectors of the region. However, the Middle East & Africa region is assessed to demonstrate major growth prospects for the market, on account of the emergence of new renewable energy projects in countries such as Saudi Arabia, the U.A.E, and South Africa and increasing demand to effectively manage the distributed energy supplies in the region.
Companies Dominating the Virtual Power Plant Landscape
- ABB Ltd.
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
- AutoGrid Systems, Inc.
- Cisco Systems, Inc.
- Cpower
- Flexitricity Limited
- Schneider Electric
- General Electric Company
- GreenSync
- Siemens AG
- Report ID: 3033
- Published Date: Dec 23, 2024
- Report Format: PDF, PPT
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