Published on January 28th, 2014 | by Joshua S Hill2
Wind Power Growth To Sharpen In Emerging Markets
New research from Navigant research predicts that demand for renewable energy in Africa and the former Soviet Union, as well as hiccups across the developed world, will see wind power experience fastest growth in emerging markets.
Several factors are hampering the growth of the market across the developed world, including austerity measures in a number of European countries, and a boom-and-bust cycle in the United States. These halts come at the same time that the emerging world are looking for technologies able to generate enough energy to support their burgeoning populations while at the same time creating less of an environmental impact than traditional generation techniques.
“Amidst the slowdown in the established markets, the demand for wind power in certain emerging markets will make these regions critical to the global wind market,” says Feng Zhao, research director with Navigant Research. “The opportunities arising in these underserved regions will not only help reduce the exposure of wind turbine manufacturers to ups and downs in the mainstream wind power markets, but will also hold the key for current leading turbine suppliers to maintain their leadership in the future.”
Navigant’s research predicts that many established markets will experience flat or single-digit growth over the next few years, while the average compound annual growth rate for a chosen set of 10 emerging wind markets in Africa and the former Soviet Union from 2013 to 2023 will be 21.9%.
The 10 countries in question are South Africa, Morocco, Egypt, Tunisia, Libya, Ethiopia, Kenya, Ukraine, Russia, and Kazakhstan. A summary of the report can be found on the Navigant Research website.
The emerging world is probably the most likely to benefit most from renewable energies like wind. Russia is the world’s largest country by area, and approximately two-thirds of the country’s hinterland is unreachable by centralised power grids, which means that isolated communities must rely on expensive fuel for power generation. Over time, situations like this will likely be remedied by the spread of wind and solar power, allowing individual communities to find environmentally friendly and economically healthy means to generate their own power.