Europe Distributed Power Generation Market Size

Europe Distributed Power Generation Market Analysis

Europe distributed power generation market is expected to grow at a CAGR of more than 8.5% during the forecast period of 2022 - 2027. The COVID-19 pandemic has no negative impact on the Europe distributed power generation market. Countries like United Kingdom, Sweden and Netherlands has witnessed increase in distributed solar installations. For instance, during Q1 2020, the United Kingdom distributed solar power facilities with a capacity range of 0kW-5MW witnessed no significant impact. Solar PV with a capacity of 0-4kW saw the highest growth during Q1 2020. Factors such as rising environmental concerns and government policies for incentives and tax benefits for solar panel installation, high cost of grid expansion are expected to be major drivers driving the market. Also, advancement in technology leading to solar panel manufacturing cost reduction and increase in efficiency have been a major factor for the growth of the Europe distributed power generation market. However, the widespread generation of electricity from nuclear power in the countries like Netherlands, Romania, and Slovakia is likely to hamper the growth of the market.

• Solar PV sector is expected to witness significant growth in the forecast period, owing to factors like increasing shift towards renewable energy for energy generation, lack of efficient and reliable central grids, and its favorable economic factors.
• Commercial and industrial sectors are showing a growing interest in distributed power generation, due to various economical benefits and constant source of energy to eliminate downtimes and equipment damage due to voltage fluctuations in conventional power grids. This have created a huge opportunity for distributed power generation market in the region.
• United Kingdom is expected to witness significant growth in the European distributed power generation market during the forecast period.