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Distributed Energy Generation (DEG) Market Size & Share Report, 2025

Distributed Energy Generation (DEG) Market Size & Forecast Report, 2014 - 2025

Report ID: MN17617041  |  Published: March 2018  |  No of Pages: 109
Format: Electronic (PDF)  |  Industry: Utilities  |  Publisher: Grand View Research

The Distributed Energy Generation (DEG) Market global size is expected to value at USD 573.7 billion by 2025. The market is subject to witness a substantial growth due to numerous environmental advantages, and high efficiency in comparison with the conventional power generation systems. The distributed energy generation (DEG) diminishes the need for constructing a transmission capacity, allowing reduction in the line cost. Additionally, lower operational cost associated with the use of the distributed energy generation (DEG) in comparison with the traditional systems is propelling the growth of the distributed energy generation (DEG) industry in recent years.

Similarly, with recent advancements in the distributed energy generation methodologies like that of floating solar photovoltaic are expected to positively influence the distributed energy generation (DEG) market. The reduction in the cost of solar photovoltaics due to numerous government initiatives and subsidies are spiraling the demand of distributed energy generation (DEG) systems. Globally, the distributed energy generation (DEG) market is predicted to grow at CAGR of 15.0% in forecast period, providing numerous opportunity for industry players to invest for research and development in the DEG industry.

The generation of electricity with the help of distributed renewable systems offers lower initial cost, reduced operational and maintenance cost along with reduction in the per unit cost of electricity. Such advantages help consumers to adopt distributed energy generation (DEG) system over conventional energy system. The use of distributed energy generation (DEG) provide numerous environmental benefits in regards to the renewable energy generation. Furthermore, growing awareness regarding to the importance of clean energy resources is spurring growth of the industry in the forecast period.  Adoption of renewable energy reduces generation of greenhouse gas emissions. DEG systems are fairly inexpensive in comparison with the traditional electricity generation systems. These factors are playing a key role for the expansion of the distributed energy generation (DEG) industry over the forecast period.

Typically, power generation plants require large area and centralized processing units. With the development of latest trend involving distributed systems, allows decentralization of energy generation system. In distributed energy generation (DEG) systems, various energy conversion units are located near energy consumers, as large units are replaced by small capacity units. A distributed energy generation system is a highly efficient, dependable and environment-friendly. Applications of the distributed energy generation (DEG) systems are commonly found in small hydro power plants, biomass power plants solar PV systems, wind turbines, and geothermal power units. These systems play a key role in the electric power distribution as well. Distributed generation systems is commonly referred as multiple power sources feeding on the single loads at multiple locations, or standalone and isolated power units located at the point of use.

Benefits associated with the use of the distributed energy generation (DEG) are reduction in the transmission and distribution losses due to convenient placement and enhanced loading capabilities. The adoption of distributed energy generation (DEG) systems allows generation of electricity from waste products or renewable resources such as bio-mass or bio-gas, which is considered as ideal replacement for fossil fuels. The distributed energy generation (DEG) does not require additional circuitry and uses existing single or three phase generation.

The distributed energy generation (DEG) industry is divided into regional market segment such as North America, Europe, Asia-Pacific, Latin America and Africa. North America has shown major growth in recent years owing to the rise adoption of latest technologies and existence well-established infrastructure. Asia-Pacific region is predicted to hold major market share in the distributed energy generation (DEG) market with massive growth in forecast period.

Countries such as India and China leading the Asia-Pacific market with growing requirement of micro-grids and significant investment by leading industry players due to numerous potential opportunities in the region. The key players in the distributed energy generation (DEG) industry are Capstone Turbine Co., General Electric Inc., Vestas Wind Systems, Siemens Co., and Caterpillar Power Plants.

Market Segment:

Distributed Energy Generation (DEG) Technology Outlook (Volume, Megawatts; Revenue, USD Million, 2014 - 2025)
    • Wind Turbine
    • Reciprocating Engines
    • Fuel Cells
    • Solar Photovoltaic
    • Gas & Steam Turbines

Distributed Energy Generation (DEG) Application Outlook (Volume, Megawatts; Revenue, USD Million, 2014 - 2025)
    • Residential
    • Commercial & Industrial

Distributed Energy Generation (DEG) Regional Outlook (Volume, Megawatts; Revenue, USD Million, 2014 - 2025)
    • North America
        • U.S.
    • Europe
        • Germany
        • Italy
    • Asia Pacific
        • China
        • India
    • Central & South America
        • Brazil
    • Middle East & Africa

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