Global Distributed Energy Generation Market: Growth of Distributed Energy Generation Market is attributed to the increased global demand for electricity and decreasing costs of solar technology.

The global distributed energy generation market size was valued at USD 282.1 billion in 2020 and is expected to grow at a CAGR of 11.4% from 2020 to 2027. Factors, such as growing environmental awareness, increasing government policies and Greenhouse Gas (GHG) emission reduction targets, and demand for energy, are expected to drive the market over the forecast period. Increasing R&D initiatives for the development of new technologies are also expected to augment the market growth. Schemes and incentives by the governments, such as feed-in-tariff in North America and the Asia Pacific, are likely to fuel the demand for DEG systems. Government schemes are aiming to promote the installation of such systems across industrial, residential, and commercial applications. These systems can be operated on-grid as well as off-grid depending on the application as well as their location. Moreover, various benefits of DEG over conventional energy generation methods are expected to fuel the market growth.

Growing awareness about clean sources of energy is expected to enhance the demand for DEG systems. Moreover, DEG systems are cheaper than conventional power generation methods. Hence, the demand for a clean source of energy coupled with the economical costing of the product is estimated to have a positive influence on the market growth over the projection period.

Current development in regulatory policies across North America has resulted in the progress of the overall market. Factors including provincial renewable energy policy improvement in Canada, and successful implementation of energy auctions in Mexico, are resulting in a bigger deployment rate of DEG technologies in the region. Rising usage of solar PV rooftop arrangements for commercial and residential applications is assessed to be one of the vital trends that are boosting the market growth.

The COVID-19 pandemic has enormously stuck the Chinese economy with various other trade commotions. China, being one of the largest exporters of DEG goods, has observed an immense decline in the trading sector, due to lockdowns imposed in several parts of the countries. This is likely to affect the market as the companies are pulling out of new investments and the government is cutting down the subsidies.

The Distributed Energy Generation segmented on the basis of Technology, Application and region. On the basis of Technology Wind Turbine, Solar Photovoltaic, Reciprocating Engines, Fuel Cells, Gas & Steam Turbine. On the basis of Application Residential, Commercial & Industrial.

Asia Pacific led the global market in 2020 accounting for the largest share of over 47%. The region will retain its dominant position expanding at the fastest CAGR from 2020 to 2027. The increasing demand for energy due to rising population coupled with rapid urbanization in countries, such as India, China, Indonesia, and Malaysia, is likely to be the key factor for the market growth. The product demand in China, in particular, is largely catered by the urban cities of the nation. The increasing disposable income levels in the country are also expected to drive the market in China.

North America is projected to have significant growth over the forecast period. The wind turbine has the highest market share in this regional market. However, solar PV is the fastest-growing segment due to declining costs, wider geographic distribution products under the solar lease, and third-party ownership models.

Key players are: Vestas Wind Systems A/S; Capstone Turbine Corp.; Caterpillar; Ballard Power Systems, Inc.; Doosan Heavy Industries & Construction; Rolls-Royce plc; Sharp Corp.; Suzlon Energy Ltd.; General Electric; Siemens; Schneider Electric; ENERCON GmbH; First Solar Mitsubishi Electric Corp.; Toyota Turbine; Systems Inc.