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New Energy Market Outlook 2021

A new year is starting, so is a new Energy market filled with opportunities to outlook for 2021.

The Renewables and Decarbonification projects enjoyed an unprecedented impulse in 2020 and the momentum is set to continue in 2021.

A Government push for New Energy Market

Most of governments world wide announced financial stimulus as a mean to maintain their economy during the Covid slow down.

And authorities took the opportunity to focus these billion investments on financing tomorrow economies and tackle climate change.

Hydrogen Roadmap Europe Union - Energy Market 2021
European Union Program for Hydrogen

These recovery plans cover all aspects of national economies with the aim to drive innovation. Yet a the primary sector of Energy is always a clear stream of investment.

During the summer 2020, the European Union published the Hydrogen Roadmap with the aim to create an hydrogen economy and decarbonize EU societies by 2050.

A public budget of €100 billions supports the program, creating many projects in the production of green hydrogen, but also its transport and storage.

This ambition of the EU for hydrogen is comparable to many others. For example : the offshore wind in UK, Joe Biden $2,000 billion plan for renewable, or Carbon Capture in the North Sea.

Of course, these public investments will be dispatched over a decade, fueling the market momentum on long term with numerous business opportunities.

Energy Market Investment Outlook

The new Energy market, composed of Renewables and Decarbonification projects, is for sure at the dawn of its growth.

Many estimations of the Energy market size at maturity exist but none gives a clear idea about the real business potential for the coming years.

This is where we used our project database Project Smart Explorer to crunch the numbers.

New Energy Outlook : Yearly Capex Investment for projects Project Smart Explorer
New Energy Outlook : Yearly Capex Investment for projects

Based on the micro data of project investments our database is able to generate macro outlook and evaluate business potentials for:

  • Carbon Capture
  • Electrification
  • Hydrogen
  • Power Generation
  • Solar
  • Water Treatment
  • Windmill

From the chart above, the new Energy Market outlook 2021 already represents more $28 billions.

The following years also translate the growth of the market with still many projects to fill the outlook. The yearly growth of the New Energy Market will at least be a repeated 25% increase.

Why is 2021 the right year to jump in?

The volume of business opportunities may look marginal in comparison with the traditional energy market. Yet, the New Energy Market is in its early stages.

In fact, many applications such as Hydrogen, Carbon Capture or Offshore Windmill are experiencing their first implementations.

And for companies willing to commit to these new applications the year 2021 is strategic. Because many of these small size projects are pilots of further developments.

New Energy Outlook - The scalability of Offshore Windmill projects is unbeatable
Offshore Windmill projects

As the example of Offshore Windmill or Hydrogen, the scalability of projects is unbeatable.

In a word, pilot projects goal is proving the feasibility and economical viability of technologies. Behind pilots, Phase 1 & 2 developments are already in the pipeline aiming to multiply by 10 or 20 production capacities.

While pilot projects usually have investment sizing around the $50 millions USD, their further developments are financed well above the billion USD.

The year 2021 will be decisive because many pilot projects will go through their engineering phase. All the technical choices done at this phase for pilots will replicate for the developments.

In other words, the companies involved in the projects today will be the one collecting orders tomorrow.

See Beyond, Move First.

2B1st Consulting motto

The door is finally opening for the New Energy and the first players to enter will benefit from a crucial competitive advantage. Thus, true to our motto, using our service Project Smart Explorer can help you be the first mover.

Guiding you on the your next opportunities :
www.projectsmartexplorer.com

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2 Comments to “New Energy Market Outlook 2021”

  1. Chers Amis
    Belle publication.
    Si vous me faites un abstract avec un lien, je vous offre de la place dans ma prochaine revue l’hydrogène est très à la mode.
    les américains de gulfenergy publient maintenant deux revues sur l hydrogène
    Lors de ADIPEC 2019, je vous avais présenté la patronne, Catherine WATKINS, y a t il un intérêt pour vous à la contacter ?
    Je suis triste pour vous, les remontées mécaniques sont arrêtées. A quand l’ouverture d’un bureau à Cannes, pas besoin de remontées
    Bien amicalement à toute l’équipe
    Jean Jacques ROYANT

    • Bonjour Jean Jacques,

      Merci beaucoup pour ton soutien permanent.
      Sans remontées il faut profiter de la montagne autrement mais nous ne sommes pas les plus à plaindre.
      Pourquoi pas pour Cannes, je vais soumettre l’idée en interne.

      Je te fais un retour par mail pour l’abstract.
      Amicalement

      Jean

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