Market for energy efficiency in buildings to surpass $100 billion by 2017

A report by Pike Research predicts that the market for energy efficiency in buildings will pass $100 billion by 2017, an increase of more than 50% from the current market value of $67.9 billion in 2011.

12/06/2011


The market for energy efficiency services and equipment is on the rise as national governments look to reduce energy consumption by improving the efficiency of the building stock. With buildings being one of the largest sources of energy consumption, the opportunity to improve efficiency is significant, ranging from high-efficiency heating, ventilation, and air conditioning (HVAC) systems to the utilization of energy-efficient lighting technologies to business models such as energy performance contracting (EPC) as employed by energy service companies (ESCOs) around the world. According to a new report from Pike Research, the total market for energy efficiency in buildings will reach $103.5 billion by 2017, an increase of more than 50% from the 2011 market value of $67.9 billion.

“The structure of energy efficient building markets varies considerably from one country or region to another,” says research analyst Eric Bloom, “and vendors and service providers aiming to increase their coverage of energy efficiency markets must remain cognizant of the changing dynamics in order to maintain a strong presence.”

Bloom adds that, with regard to the existing building stock, ESCOs are leading the energy efficiency charge for commercial buildings in many countries, using EPC and other financing mechanisms to install energy efficient equipment and kick-start ongoing energy efficiency services. The market for energy efficient equipment, including efficient HVAC and lighting systems, is also in a period of transformation, as green building trends drive increase interest in efficient systems and as efficient lighting technologies, such as LEDs, continue to decline in cost.

Pike Research’s forecasts indicate that the ESCO market will represent the largest segment of the energy efficient buildings industry in the coming years, with revenues more than doubling from $30.1 billion in 2011 to $66.0 worldwide by 2017, a compound annual growth rate (CAGR) of 14%. Significant growth will also occur in the market for high-efficiency HVAC systems, which will expand from $3.1 billion to $6.4 billion during the same period.

Pike Research’s report, “Energy Efficient Buildings: Global Outlook”, provides data on the size and growth of energy efficient building markets, including ESCO revenues, energy efficient HVAC equipment sales, and energy efficient lighting sales from 2011 to 2017, as well as a qualitative description of key drivers and trends in energy efficiency in key markets, focusing on the commercial building sector.

- Edited by Chris Vavra, Consulting-Specifying Engineer, www.csemag.com 



No comments
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by...
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
Additive manufacturing advancements; Machine vision enhances robotics; Fieldbus evolution; Process safety; Advice from System Integrators of the Year; Road to IANA
Salary and career survey: Benchmarks and advice; Designing controls; Remote data collection, historians; Control valve advances; Hannover Messe; Control Engineering International
System integration: Best practices and technologies to help; Virtualization virtues; Cyber security advice; Motor system efficiency, savings; Product exclusives; Road to Hannover
This article collection contains several articles on the Industrial Internet of Things (IIoT) and how it is transforming manufacturing.
PLCs, robots, and the quest for a single controller; how OEE is key to automation solutions.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

The digital oilfield: Utilizing Big Data can yield big savings; Virtualization a real solution; Tracking SIS performance
Getting to the bottom of subsea repairs: Older pipelines need more attention, and operators need a repair strategy; OTC preview; Offshore production difficult - and crucial
Digital oilfields: Integrated HMI/SCADA systems enable smarter data acquisition; Real-world impact of simulation; Electric actuator technology prospers in production fields
click me