Floating Wind Power Market

Floating Wind Power  Market Size Analysis

According to a research survey conducted by ChemView Consulting, in 2022, the Global Floating Wind Power  Market was worth US$ 330.7 Mn and is expected to grow at a CAGR of 34.5% over the forecast period. The market is expected to hit US$ 6,407.0 Mn by 2032 end. From 2017–2021, when the market’s CAGR was 27.2% ,the market underwent significant growth.

The floating wind power market has been predicted to increase by more than three times the expansion rate of the global electricity generation market. The growth of the global floating wind power market, which accounted for less than 0.1 percent of the worldwide electricity generation capacity in 2012, is expected to rise to more than one percent by 2032 in capital expenditure (CAPEX).

Market Dynamic

THE RISE IN DEMAND FOR RENEWABLE ENERGY FUELS THE MARKET

The demand for renewable energy in humankind is increasing compared to other energy sources. Demand for carbon-neutral consumer electricity has led to technological development and a well-established supply chain as the future energy outlook. The increase in the consumption of power results in carbon emissions, leading developing and underdeveloped countries to embrace renewable energy resources. Renewable energy sources, such as solar and wind, are more predominant.

STRINGENT GOVERNMENTAL REGULATIONS & RISING INVESTMENT IN ENERGY DEVELOPMENT

The wind energy market is projected to grow further in the coming years. Wind energy has numerous positive aspects; it has less carbon than other energy sources, such as hydropower. The expansion and management of wind farms, power generation by wind energy, and circulation boost investment in energy development. The development and management of wind farms, power generation by wind energy, and circulation boost investment in energy development.

HIGH CAPITAL INVESTMENT RESTRAINS MARKET GROWTH

The initial investment in floating wind power makes it hard for the market to grow. This is mainly due to the high energy transmission, installation, and maintenance costs. Due to wave action and heavy storms, it is also difficult to construct a robust, secure wind farm in water deeper than 200 feet – 60 meters.

However, wave action has been overcome by floating wind turbines beginning to overcome these problems with their cheaper cost. In addition, legal authorization for floating wind farms is an obstacle limiting the establishment of new installations and the development of existing ones. Technical aspects like how to conduct electrical connections to land-based ports also add fuel to several technical difficulties associated with shipping and installation after the deployment of a floating turbine unit.

Market Segments Covered in Report

By Water Depth

• Shallow Water
• Transitional Water
• Deep Water

By Turbine Capacity

• Up to 3 MW
• 3 MW-5 MW
• Above 5 MW

By Region and Country:

• North America (U.S., Canada)
• Latin America (Brazil, Mexico, Rest of Latin America)
• Europe (Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, Rest of Europe)
• Asia-Pacific (China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Rest of Asia-Pacific)
• Middle East (Saudi Arabia, Turkey, UAE, Rest of Middle East)
• Africa (South Africa, Nigeria, Egypt, Rest of Africa)

Segment-Wise Analysis

Why are shallow Type Floating Wind Power projected to have the highest market share?

The shallow water segment accounts for about 52.0% of the world’s market share. In the shallow waters, however, the floating foundation deployment has higher costs due to installation in an area with increased depth and few favorable wind conditions. As a result, this category is estimated to experience some restraint in its growth rate over recent years. The market is divided into three segments: shallow water (<30m depth), transitional water (30m-60m depth), and deep water (>60m depth).

Why is the 3MV- 5MV segment expected to expand the fastest during the forecast period?

The wind energy market is classified into three segments, the up to 3 MW, 3 MW-5 MW, and above 5 MW. Implementing a wind farm depends on the expected power and the available capital. Since heavy capital is a requirement for a wind farm, a higher capacity wind farm is considered a viable investment, looking at the future returns. After the same trend, new wind farms authorized for construction have a higher capacity, above 5 MW. Therefore, this segment holds a greater portion of the market share.

Region-Wise Analysis

The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, Middle East, and Africa.

• Europe had a market share of 34.5 % market share in 2021. Europe holds a dominant position in offshore wind power. Its economy has depended on this technology for many decades and has developed many offshore wind farms, possibly extending them to more regions.
• The EU’s member states are concentrating on updating their deteriorating electrical infrastructure and encouraging using renewable energy sources for power generation. The Europe market for offshore floating wind is anticipated to be dominated by the U.K., which has ambitious targets related to its capacity additions.
• Japan’s offshore floating wind industry is anticipated to be one of the largest in Asia and has attracted many investors. The country aims to build 12 GW of capacity by 2030, which is expected to expand further in the next decade due to major developments and new procurement procedures.

Competition Analysis

Key market players are investing in expanding their market footprint to remain competitive. Several vital players invest a fair share of their revenue in research and development to boost their product portfolio. Market participants focus on technological development and utilizing a product in several applications.

Some of the key developments that have taken place in the Floating Wind Power  Market include:

• In June 2020, 100 of Siemens Gamesa Renewable Energy’s SG 14-222 DD offshore wind turbines will be installed in the 1.4 GW Sofia Offshore Wind Farm. It is located in the UK. The project’s electricity production will be able to supply power to more than 1.2 million homes.
• In October 2020, 20% of the EolMed floating wind farm was purchased by Total. It is located in the Mediterranean Sea, close to Port-La-Nouvelle and off the Gruissan coast of France. There will be three 10 MW MHI Vestas turbines erected.

A list of some of the key suppliers present in the market are:

• General Electric
•  Vestas
• Siemens Gamesa
•  Goldwind
•  Shanghai Electric Wind Power Equipment Co.
• ABB
• Doosan Heavy Industries and Construction
• Hitachi
•  Nordex SE
• EEW

Global Floating Wind Power  Market 2022-2032: Report Coverage and Highlights

• Assessment of the historical and current market size (2017-2021), market projections (2022-2032), and its contribution to the parent market
• Key drivers, restraints, opportunities, and key emerging trends impacting market growth
• Predictions on critical supply, demand, and technological trends and changes in consumer behavior
• Value chain analysis (list of manufacturers, distributors, end-users, average profitability margins, etc.)
• Segment-wise, country-wise, and region-wise market analysis
• Competition mapping, market share analysis, key strategies adopted by top players, and competitive tactical intelligence
• Key product innovations and regulatory framework
• Covid-19 impact on the market and how to navigate
• Strategic market analysis and recommendations on crucial winning strategies