East Africa Renewable Energy Market Size (2024 - 2029)

The East Africa Renewable Energy Market is anticipated to experience significant growth, driven by increased environmental awareness, regulatory support, and advancements in technology, such as thin film solar cells. Despite challenges posed by the high cost of renewable energy compared to fossil fuels, the market has rebounded to pre-pandemic levels. Kenya is projected to lead in growth within the region, supported by favorable government policies and rising investments in renewable projects.

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Market Size of East Africa Renewable Energy Industry

East Africa Renewable Energy Market Summary
Study Period 2021 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2021 - 2022
CAGR 6.50 %
Market Concentration Medium

Major Players

East Africa Renewable Energy Market Major Players

*Disclaimer: Major Players sorted in no particular order

East Africa Renewable Energy Market Analysis

The East Africa Renewable Energy Market is expected to grow at a CAGR of more than 6.5% over the forecast period.

COVID-19 negatively impacted the market in 2020. Currently, the market has reached pre-pandemic levels.

  • Over the long term, factors such as increased environmental awareness and regulations and decreased cost per kilowatt of electricity generated are expected to boost the market.
  • On the other hand, the high price of renewable energy relative to fossil fuels is expected to restrain the market.
  • Nevertheless, new models of solar cells made of a thin film technology that uses narrow coatings of cadmium telluride in solar cells, which have higher efficiency and lower cost, may prove to be an opportunity in the sector.
  • Kenya is expected to be the fastest-growing renewable energy market in the region during the forecast period due to the government's supportive policies and rising investment in renewable energy projects.

East Africa Renewable Energy Industry Segmentation

Renewable energy is energy collected from renewable resources that are naturally replenished on a human timescale. It includes sources such as sunlight, wind, water movement, and geothermal heat.

The East Africa Renewable Energy Market is segmented by type and geography. By type, the market is segmented into hydropower, solar, wind, and others. The report also covers the market size and forecasts for the renewable energy market in major countries. For each segment, the market sizing and forecasts have been done based on installed capacity (GW).

Type
Hydropower
Solar
Wind
Others
Geography
Tanzania
Uganda
Kenya
Rest of East Africa
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East Africa Renewable Energy Market Size Summary

The East Africa Renewable Energy Market is poised for significant growth, driven by increasing environmental awareness, regulatory support, and advancements in technology that reduce the cost of electricity generation. Despite the initial setbacks caused by the COVID-19 pandemic, the market has rebounded to pre-pandemic levels and is expected to continue expanding. However, the higher cost of renewable energy compared to fossil fuels presents a challenge. Innovations such as thin-film solar cells offer potential opportunities to enhance efficiency and reduce costs. Kenya is anticipated to lead the region's growth, supported by favorable government policies and substantial investments in renewable energy projects.

Hydropower remains the dominant segment in East Africa's renewable energy landscape, with Ethiopia and Mozambique leading in capacity construction. The region's geographical features, including the Nile River and the Great Lakes, facilitate the development of large-scale hydropower projects, which are expected to maintain their prominence. The market is moderately consolidated, with key players like Voith GmbH & Co. KGaA and Kenya Electricity Generating Company PLC actively participating. Recent developments, such as Kenya's net-metering regime for photovoltaic installations and international investments in solar projects, underscore the region's commitment to expanding its renewable energy capacity.

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East Africa Renewable Energy Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Renewable Energy Installed Capacity Forecast in GW, till 2027

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

      2. 1.5.2 Restraints

    6. 1.6 Supply Chain Analysis

    7. 1.7 Porter's Five Forces Analysis

      1. 1.7.1 Bargaining Power of Suppliers

      2. 1.7.2 Bargaining Power of Consumers

      3. 1.7.3 Threat of New Entrants

      4. 1.7.4 Threat of Substitutes Products and Services

      5. 1.7.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Type

      1. 2.1.1 Hydropower

      2. 2.1.2 Solar

      3. 2.1.3 Wind

      4. 2.1.4 Others

    2. 2.2 Geography

      1. 2.2.1 Tanzania

      2. 2.2.2 Uganda

      3. 2.2.3 Kenya

      4. 2.2.4 Rest of East Africa

East Africa Renewable Energy Market Size FAQs

The East Africa Renewable Energy Market is projected to register a CAGR of 6.5% during the forecast period (2024-2029)

Voith GmbH & Co. KGaA , Kenya Electricity Generating Company PLC, Salini Costruttori S.p.A., Vergnet SA and Eleqtra Inc. are the major companies operating in the East Africa Renewable Energy Market.

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