by Brianna Crandall — July 15, 2016 — The market for energy efficiency technologies may have slowed a bit in the industrial sector, but in the building and transport sectors, it is all set to grow sharply, according to new analysis from global growth partnership company Frost & Sullivan. And retrofitting in plants is expected to buoy the market for energy-efficient solutions in the mature industrial sector.
With building energy consumption accounting for approximately 40 percent of the total energy consumed in both Europe and North America, the building sector is garnering significant attention from policymakers and developers of energy efficiency technologies. Similarly, the intensifying demand for fuel efficiency and better road, air and seaway connectivity has necessitated superior machine handling and operation, driving the adoption of energy-efficient engines and vehicles.
The new report finds that governments globally are actively promoting energy efficiency through programs such as star rating for equipment and designing of energy-efficient buildings. They have also introduced numerous policies mandating low energy consumption, and are conducting awareness campaigns for their citizens.
Energy efficiency initiatives enjoy considerable government support all over the world, which is evident from the rollout of programs such as the ecoENERGY Efficiency for Industry program in Canada, Low Energy Apartment Futures (LEAF) in Europe, and China Utility-Based Energy Efficiency Finance Program (CHUEE) in China. Most of the government programs provide tax incentives and grants to industrial participants as well as to citizens.
TechVision research analyst Guhan Sriram RV pointed out:
Countries such as Singapore, the U.S., India and Canada have specific home and building energy programs. Building energy efficiency and management technologies have benefitted greatly from the government programs and schemes. However, it is vehicle efficiency that is gaining the attention of technology developers and government bodies. A considerable portion of the funds is directed towards vehicle and engine efficiency. Canada, Europe and the U.S. have a lot of programs targeted at improving vehicle efficiency.
Urbanization has spurred a growing interest towards smarter and more energy-efficient buildings. Most of the innovations go towards automation and better equipment control. Building materials, air handling units and building temperature control are a few areas that hold the key to improving energy efficiency in buildings, according to the report. Another outcome of urbanization an increase in the number of commercial and light duty vehicles, which have absorbed a sizable portion of the investments made to improve fuel efficiency.
Sriram noted:
The Southeast Asian nations are emerging as a highly enthusiastic set of adopters of energy-efficient products. In future, better energy policies and sizable funding are likely to attract investors and new technologies to this region.
Energy Efficiency in Transport, Buildings and Industry, part of the firm’s TechVision (Sustainable Energy)subscription, analyzes the adoption of energy efficiency technologies in the three major market segments: transportation, buildings and industries. The analysis is based on six dimensions: intellectual property analysis, funding, market potential, impact of mega trends, region-wise adoption and sector-wise adoption.
