by Shane Henson — December 6, 2013—Following the release of its 2013 Search for Growth survey, which involved 1,835 executives in more than 40 countries globally, global growth consulting firm Frost & Sullivan recently revealed its three big predictions for the global energy and environment market.
According to Frost & Sullivan, urbanization and smart cities will drive changing market dynamics for energy and environment market participants. A growing percentage of the global population will be living in cities and urban areas in the coming decades. Higher concentrations of larger populations are fraught with challenges:
- Urban populations will be higher income, and the growing middle class will consume more goods, resources, energy, and water, and create more waste and pollution.
- Increasing waste and pollution will drive awareness and the need for cleaner, more efficient energy and transportation.
- Smart cities that can better use existing resources through improved monitoring, controls, and coordination of services and infrastructure can improve quality of life for residents and attract more businesses.
Smart systems have been in place across the transmission and distribution (T&D) space and are now also moving into commercial and residential buildings, notes Frost & Sullivan.
The emergence of shale gas and shale oil in the oil and gas (O&G) space is also increasingly impacting the energy and environment sector, says the firm. Natural gas has reportedly replaced coal as the main fuel source for electricity in the United States. China has abundant, though technically difficult to access, shale beds that, if tapped, could further increase the country’s economic clout on the global stage. Europe is looking at shale gas to increase domestic energy sources but also balancing that with environmental concerns, adds Frost & Sullivan.
Environmental concerns, highlighted by industry participants as a key area of interest, are an issue with shale extraction because they drive the potential for smart cities, adds the firm.
Based on the same survey, Frost & Sullivan has also identified the top 10 technologies and markets to watch for in 2020. These are: energy efficiency and smart buildings, LED lighting revolution, small-scale distributed generation, smart grid and smart energy, advanced batteries and energy storage, solar photovoltaic, energy harvesting, energy recovery from waste, gas-fired power, and shale gas exploitation.
More insights are available through a Slideshare, What’s Hot in Energy and Environment: Industry Participants Weigh In On Key Market Trends and Challenges, created by Frost & Sullivan.
