The ocean power market involves generating clean electricity from ocean waves and tides. Ocean power technologies capture the kinetic energy of ocean waves, tides and currents and convert it into electricity. The major ocean power technologies include tidal stream turbines, tidal barrages and wave energy converters. Tidal barrages are low-head dams built across tidal estuaries and make use of the potential energy of rising and ebbing tides to generate power. Given the increasing focus on lowering carbon footprint from power generation globally, tidal barrage development is expected to pick up pace in the coming years, thereby driving significant growth of the overall ocean power market. The global ocean power market is estimated to be valued at US$ 1144.2 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 market 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 Canada Inc., Carnegie Clean Energy Limited, Minesto AB, Nova Innovation Ltd., Mocean Energy, Andritz Hydro Hammerfest, Ocean Renewable Power Company LLC, and Tenax Energy. The Ocean Power Market Growth is owing to rising awareness about the depleting fossil fuels and associated emission of greenhouse gases. Various countries are promoting the utilization of ocean power to meet their commitment towards developing renewable energy sector. Government regulations and initiatives to reduce dependence on conventional energy sources are also fueling demand in this market. Technological advancements are continuously underway to improve the energy extraction capability and cost-effectiveness of various ocean power technologies. Ongoing research focuses on developing advanced wave and tidal energy conversion devices with higher efficiencies. Use of innovative materials for improved corrosion resistance is also guiding new product developments. Commercialization of ocean thermal and salinity gradient power generation technologies will further expand the applications of ocean power. Market Trends One of the key trends in the Ocean Power Market Challenges And Opportunities is growing focus on developing large-scale tidal barrage projects. Countries with suitable estuaries are actively evaluating construction of mega tidal barrage power plants with capacities of 1 GW and above. Standardization of components is also being targeted to reduce costs of tidal barrage developments. Another major trend is the rising partnerships between technology developers, utilities and independent power producers for installing wave and tidal stream projects. Such strategic alliances are helping test new equipment under real sea conditions and commercialize ocean power solutions at an accelerated pace. Market Opportunities Emerging economies in Asia Pacific and Latin America represent a lucrative opportunity for ocean power market players. The possibility of developing hybrid ocean-solar projects by leveraging synergies further opens up new growth avenues. Integrating energy storage systems will bolster the optimization and grid-coupling abilities of ocean power plants. The untapped potential of ocean thermal and salinity gradient energy offers opportunity to establish a well-rounded portfolio of ocean power solutions. Impact of COVID-19 on the Ocean Power Market The COVID-19 pandemic has significantly impacted the growth of the ocean power market. During the initial lockdown phases implemented worldwide, construction activities involving ocean power projects were temporarily halted. This led to delays in commissioning of new ocean power plants and hampered the market expansion. Social distancing norms and restrictions on cross-border travel of technical experts further disrupted project development timelines. Supply chain disruptions caused by lockdowns led to increased costs and scheduling issues for components manufacturing. Post lockdowns relaxations, the ocean power market is witnessing a gradual recovery. However, the overall market size for 2024 has reduced from the pre-COVID forecast of US$ 4.2 billion. Government support through funding and incentives is helping stakeholders restart projects. Manufacturers are implementing new safety protocols to operate factories. Cross-collaboration between international project teams is increasing through virtual modes. The market is expected to stabilize through 2025 as projects catch up with delayed schedules. Tapping into new funding opportunities and cost optimization will be key strategies for industry participants in the post-pandemic scenario. Europe dominates the ocean power market in terms of value, attributable to extensive research support and demonstration projects incountries like the UK, Portugal, France, and Norway. Supportive policies and tariff mechanisms have propelled the adoption of ocean technologies. Asia Pacific is the fastest growing regional market, led by burgeoning investments in China, Japan, South Korea and Philippines.. Development of innovative and site-specific technologies, along with efforts to reduce costs will accelerate the large-scale commercialization of ocean energy in Asia Pacific. The domestic ocean resources and proximity to tidal range sites make Canada and the USA the most promising markets for tidal stream energy technologies. Canada has emerged as a frontrunner with projects of leading developers like Sustainable Marine Energy and Minas Tidal Ventures. In wake of commitments towards clean energy transition, Ocean power holds substantial potential to be tapped in countries with long coastlines like Australia, Chile, Brazil, Mexico, Indonesia and coastal states of Africa and the Middle East.
Get More Insights: Ocean Power Market
About Author:
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)
