The ocean power market primarily involves harnessing energy from waves, tides, ocean currents, and thermal energy available in the oceans. Ocean waves as renewable energy sources offer advantages such as predictability, reliability, and consistency over time. Key technologies used in ocean power include wave energy converters, tidal stream generators, pressure retraction systems, and ocean thermal energy conversion systems. Wave energy converters are further segmented into oscillating water columns, overtopping devices, attenuators, oscillating bodies, and others.
The Global Ocean Power Market is estimated to be valued at US$ 1,144.2 Mn in 2024 and is expected to exhibit a CAGR of 19.5% over the forecast period 2024 To 2031
Key Takeaways
Key players operating in the ocean power are AWS Ocean Energy, CalWave, Ocean Harvesting, CorPower Ocean, Applied Technologies Company Ltd., Aqua-Magnetics Inc., Atargis Energy Corporation, Able Technologies L.L.C., Alba tern Ltd, Aquagen Technologies, Aqua-Magnetics Inc, Biopower Systems Pty Ltd., Blue Energy copyright Inc., Carnegie Clean Energy Limited, Minesto AB, Nova Innovation Ltd., Mocean Energy, Andritz Hydro Hammerfest, Ocean Renewable Power Company LLC, and Tenax Energy. The rising demand for renewable sources of energy generation across the globe is driving the ocean power market. Technological advancements are being made to develop advanced and more efficient devices for harnessing ocean power.
Market Trends
The growing focus on reducing carbon emissions and transitioning to cleaner sources of energy are fueling investments in ocean power technologies. Governments across countries are providing financial support through incentives and subsidies to promote commercialization of ocean power projects. Advanced technologies such as wave energy converters are gaining traction due to their ability to produce more consistent energy compared to tidal and current energy technologies. Hybrid power generation systems that integrate ocean energy with wind and solar energy are also emerging as a key trend.
Market Opportunities
Increasing global concerns about climate change and energy security are expected to accelerate the adoption of Ocean Power Market Growth generation over the forecast period. Falling technology costs and continued R&D investments are making ocean energy more competitive against conventional power sources. Untapped potential of ocean power resources across small islands and remote coastal communities provide new growth opportunities. Growing emphasis on developing floating and modular ocean power devices suitable for deep sea environments will further expand the addressable market.
Impact of COVID-19 on Ocean Power Market Growth
The COVID-19 pandemic negatively impacted the ocean power market's growth during 2020-2022. Several governments imposed lockdowns which halted manufacturing activities and construction projects. This disrupted supply chains and logistics as factories were shut down and workforce migrated. Some ongoing projects faced delays and setbacks as workforce availability reduced. Shipping of equipment and materials for new projects or expansion faced hurdles due to halted transportation. The declining economic conditions also reduced investments in renewable energy projects including ocean power sources.
The pandemic forced Ocean Power Market Challenges And Opportunities to modify strategies. Many companies cut down costs by downsizing workforce, reducing capital expenditures, and delaying projects. They evaluated supply chains and assessed alternative sourcing to reduce dependence on disrupted routes. Companies also focused on servicing existing installations and optimizing performance through remote monitoring. Post pandemic, ocean power companies will need to enhance supply chain resilience, strengthen local sourcing, utilize digital technologies for remote operations and identify new growth opportunities globally to regain lost growth momentum.
Europe and Asia Pacific regions had significant concentration of ocean power market value
Prior to the pandemic, Europe and Asia Pacific accounted for majority of the global ocean power market in terms of value. Europe, being an early adopter and leader in ocean power technologies, hosted large installed operational capacities as well as sizeable pipeline of upcoming wave and tidal projects. Countries in western Europe such as the UK, Portugal, France, Italy, and Norway contributed significantly. Asia Pacific emerged as the fastest growing regional market led by China, South Korea, Japan and Southeast Asian nations that were actively investing in renewable power projects to meet rising energy demand through clean sources.
North America expected to witness fastest growth for Ocean Power Market
North America is one of the key future growth regions for ocean power market despite accounting for a relatively smaller share currently compared to Europe and Asia Pacific. This is because many North American countries have abundant ocean power potential along their extensive coastlines. Also, supportive policies and initiatives by governments especially in the USA and copyright are attracting projects and investments. Rapid establishment of pilot, demonstration and commercial scale projects in coming years is expected to accelerate the regional market growth at the fastest pace. Leveraging the developed infrastructure and expertise across energy, engineering and technology will help North American nations to expand their ocean energy capacities swiftly.
While the impacts of pandemic halted market expansion temporarily, the post pandemic period will witness robust growth momentum across developing regions. Advances in technologies enabling cost reduction along with strong policy drivers will aid higher adoption and stronger supply chains.
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Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc. (https://www.linkedin.com/in/money-singh-590844163)