The Hybrid Power Solutions Market is set to grow from its current market value of more than $8 billion to over $60 billion by 2024; as reported in the latest study by Global Market Insights, Inc.
Growing demand for reliable and uninterruptible power coupled with increasing focus toward the grid integration of renewable energy will boost the hybrid power solutions market. Favourable initiatives to promote renewable energy along with the growing demand for decentralized power generation systems will augment the business landscape. In 2015, ABB and Vestas have introduced Wind for Prosperity initiative across remote areas of Kenya to ensure the clean power generation through Wind-Diesel technology.
U.S. hybrid power solutions market has witnessed the cumulative capacity generation of 900 MW by 2024. Schemes including FIT, carbon credit, and green bonds have provided an impetus toward the installation of wind-solar plants, which will further complement the hybrid power solutions market hybrid power solutions market outlook. In 2018, Kauai Island Utility Cooperative (KIUC) has announced the deployment of solar storage hybrid project which will reduce the utility’s peak fossil fuel generation by 55 MW.
Ambitious renewable energy (RE) capacity addition targets coupled with the abundant availability of solar and wind energy will drive the hybrid solar wind market growth. Technological advancement coupled with introduction of norms to reduce carbon footprints will stimulate the business growth. In 2017, Vestas announced the development of world’s largest utility-scale solar-wind project comprising of 43.2 MW of wind and 15 MW of solar capacity.
Standalone hybrid power solutions market is set to grow on account of rising demand for reliable and safe electricity supply primarily across remote off-grid areas. In 2017, Juhl energy announced the development of community based solar-wind hybrid project in U.S. with an overall capacity of 4.5 MW. Growing demand for renewable energy, the need for improving grid reliability and stability, and low installation costs are some of the prominent features that make its adoption viable.
UK hybrid power solutions market is predicted to grow over 5% by 2024. Government focus toward raising the dependency on sustainable and effective power generation to achieve green energy economy structure will positively impact the hybrid power solutions market growth. Developers across the region are working aggressively toward the enhancement of CUF for their existing power plants. In 2016, Ecotricity announced plans for three new hybrid renewable energy parks that will be generating electricity with a mix of wind and solar energy with overall capacity of 5 MW. The company is approaching 100 MW generation from solar-wind technology by adding green gas mills as a part of new blueprint for Britain.
China hybrid power solutions market is anticipated to grow over 3% by 2024. Growing funding toward the deployment of clean energy sources to reduce carbon footprints along with introduction of various targets to overcome the rising electricity demand will embellish the industry growth. In 2015, the government of China has introduced a solar wind system, with an overall capacity of 300 MW that aims to meet the electricity demand by serving 2000 people across the region.
Declining manufacturing costs of wind turbines, wind blades and solar panels owing to advancement of technology and economy of scale will drive the hybrid power solutions market. In 2016, the average nominal cost for the installation of small wind turbine was recorded from 7000 USD/kW to 7500 USD/kW. In 2016, the cost of PV module has witnessed a decline of 0.5% when compared to 2013.
Key industry participants in the hybrid power solutions market include Blue Pacific Solar, General Electric, Gamesa Wartsila, Zenith Power Systems, Polar Power, Unitron Energy, VONK, Star Sight, Danvest, Vestas, Alpha Windmills, Grupo Dragon, BWSC, FlexGen, A123 systems, Tesla Windlab and Sterling & Wilson.