Market Size of Europe Offshore Energy Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 15.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Europe Offshore Energy Market Analysis
The European offshore energy market is projected to register a CAGR of over 15% during the forecast period.
The COVID-19 pandemic negatively impacted the market in 2020. Presently the market has reached pre-pandemic levels.
- Over the medium term, factors such as increasing demand for renewable energy sources, the rise in demand for sustainable energy sources, and the high efficiency of wind energy are driving the market's growth.
- However, the high cost of the offshore wind power system due to the movement of heavy and oversized equipment to the offshore location is a significant factor that will restrain the market growth during the forecast period.
- Nevertheless, in an effort to fine-tune wind turbines for maximum efficiency, the integration of sophisticated software that monitors wind and weather patterns, sea level, tides, and load patterns on the electrical grid is under process. Furthermore, incorporating big data and the Internet of Things (IoT) will also create an excellent opportunity for the offshore energy market during the forecast period.
- The United Kingdom is expected to be the largest market during the forecast period. This projection is based on increased offshore wind and tidal energy activities and new pipeline projects that will drive the demand for offshore energy in the coming years.
Europe Offshore Energy Industry Segmentation
Offshore renewable energy is defined as the electricity generated from ocean-based resources, such as wind turbines located offshore in the oceans and Great Lakes, along with marine energy sources, such as waves, tides, salinity, and thermal properties. Projects utilizing ocean resources are considered offshore. For example, a tidal generator located at a river's mouth is considered offshore since it utilizes ocean tides to generate electricity.
The European Offshore Energy Market is Segmented by Technology (Wind Energy, Wave Energy, Tidal Stream, Ocean Thermal Energy Conversion (OTEC), and Other Technology Types) and Geography (United Kingdom, Germany, Netherlands, Denmark, Norway, and Rest of Europe). The report offers the installed capacity and forecasts in capacity (GW) for all the above segments.
| By Technology | |
| Wind Energy | |
| Wave Energy | |
| Tidal Stream | |
| Ocean Thermal Energy Conversion (OTEC) | |
| Other Technology Types |
| By Geography | |
| United Kingdom | |
| Germany | |
| Netherlands | |
| Denmark | |
| Norway | |
| Rest of Europe |
Europe Offshore Energy Market Size Summary
The European offshore energy market is experiencing a robust growth trajectory, driven by the increasing demand for renewable and sustainable energy sources. The market has rebounded to pre-pandemic levels and is expected to continue expanding, fueled by the high efficiency of wind energy. However, the substantial costs associated with offshore wind power systems, particularly the transportation of heavy equipment, pose challenges to market growth. Despite these hurdles, advancements in technology, such as the integration of sophisticated software and the use of big data and IoT, present significant opportunities for enhancing the efficiency and deployment of offshore energy solutions. The United Kingdom is anticipated to lead the market, supported by its extensive offshore wind and tidal energy projects.
The offshore energy sector in Europe is characterized by a mix of established and emerging technologies, with floating wind farms offering new possibilities for energy generation in deeper waters. Countries like Norway and France are making strides in this area, with significant projects underway. The UK, in particular, is at the forefront, with a substantial installed capacity and ambitious plans to quadruple its offshore wind production by 2030. Government initiatives and investments, such as the Ten Point Plan for a Green Industrial Revolution and the Floating Offshore Wind Manufacturing Investment Scheme, are pivotal in driving the sector's growth. The market remains moderately fragmented, with key players like Siemens Gamesa, Vestas, and √òrsted actively contributing to the development of offshore energy projects across Europe.
Europe Offshore Energy Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Offshore Energy Installed Capacity And Forecast In GW, Till 2027
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1.3 Recent Trends And Developments
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1.4 Government Policies And Regulations
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1.5 Market Dynamics
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1.5.1 Drivers
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1.5.2 Restraints
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1.6 Supply Chain Analysis
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1.7 Industry Attractiveness - Porter's Five Forces Analysis
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1.7.1 Bargaining Power of Suppliers
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1.7.2 Bargaining Power of Consumers
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1.7.3 Threat of New Entrants
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1.7.4 Threat of Substitute Products and Services
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1.7.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 By Technology
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2.1.1 Wind Energy
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2.1.2 Wave Energy
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2.1.3 Tidal Stream
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2.1.4 Ocean Thermal Energy Conversion (OTEC)
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2.1.5 Other Technology Types
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2.2 By Geography
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2.2.1 United Kingdom
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2.2.2 Germany
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2.2.3 Netherlands
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2.2.4 Denmark
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2.2.5 Norway
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2.2.6 Rest of Europe
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Europe Offshore Energy Market Size FAQs
What is the current Europe Offshore Energy Market size?
The Europe Offshore Energy Market is projected to register a CAGR of greater than 15% during the forecast period (2024-2029)
Who are the key players in Europe Offshore Energy Market?
Siemens Gamesa Renewable Energy SA, Vestas Wind Systems AS, Hydroquest, Ørsted AS and E.ON SE. are the major companies operating in the Europe Offshore Energy Market.
