The global renewable energy market is growing exponentially in recent years and will soon take over the industry. Experts explained that the variables facilitating this market growth include fossil fuel effects, greenhouse gas emissions, exacerbated climatic conditions, and other factors. Moreover, increased urbanization and economic expansion in developing countries have created the market for renewable energy. Four years ago, the renewable energy sector generated $928 billion, and experts expect it to grow to $1513 billion in the next four years. This value is achievable if the CAGR is maintained at 6%.

Nevertheless, renewable energy technologies have continued to experience problems. The primary problems in this sector include the cost of developing infrastructure for renewables, the market cost of supply, and the daily activities. However, places like Europe and Asia have decided to electrify vehicles to head towards clean energy. China is leading this market with policies supporting the development of electric vehicles. Experts have realized that electric vehicles will establish a regular market for renewable energy to expand exponentially. Solar and wind energy have become the primary renewable energy source in Europe, with countries close to the seas advocating for offshore wind energy projects.

Moreover, the hydroelectric power section has improved its market share with the projects providing 63% of the renewable energy market share four years ago. Experts are anticipating this sector to continue leading in the market for the next four years. The commonest of these renewables, which is solar energy, is forecasted to continue growing in the energy sector at a CAGR of 13.4% through these four years. Additionally, Europe is planning to minimize greenhouse gas emissions by suppressing its dependence on fossil fuels for power. Countries like Austria, Sweden, and Germany are the leading pioneers in the quest to substitute the existing energy practices with renewable energy practices. The European countries have grown an interest in biofuels, making it the second most dominant renewable energy source after hydropower in the renewable energy market. The reason for this trend is that the countries have energy-intensive industries like the automotive sector and the chemical industry, which consume most of them directly.

Furthermore, the Asia-Pacific region is quickly advancing into the renewable energy market due to increased urbanization. The countries in this region are invading industrialization with high speed to ensure that they are in line with the environmental measures. China continues to dominate this sector because the government supports the transition to clean energy. Moreover, this country is highly receptive to electric vehicle technology-forcing it to rely on all the energy sources to sustain this new hunger.

By Adam