Renewable Energy Market 2025: Trends, Growth Drivers & Future Outlook

Category: Marketing | Author: Anonymous | Published: June 30, 2025

As the world faces rising climate enterprises, unpredictable energy prices, and adding demand for clean druthers, the Renewable Energy Market stands at the van of global metamorphosis. The shift from fossil energies to sustainable energy sources has moved from a niche action to a mainstream profitable and policy precedence.

In this blog, we explore crucial trends, request dynamics, competitive geography, and protrusions shaping the renewable energy sector in 2025 and further.

 

Market Overview

As per MRFR analysis, the Renewable Energy Market Size was estimated at 445.28 (USD Billion) in 2023. The Renewable Energy Market Industry is anticipated to grow from 483.61 (USD Billion) in 2024 to 1,200 (USD Billion) by 2035. The Renewable Energy Market CAGR (growth rate) is anticipated to be around 8.61% during the forecast period (2025-2035).

Major Segments:

Renewable Energy Market Energy Source Outlook

o        Solar

o        Wind

o        Hydropower

o        Geothermal

o        Biomass

Renewable Energy Market Technology Outlook

o        Photovoltaic

o        Concentrated Solar Power

o        Onshore Wind Turbines

o        Offshore Wind Turbines

o        Hydroelectric Power Plants

Renewable Energy Market Application Outlook

o        Electricity Generation

o        Heating

o        Transportation

o        Cooling

o        Industrial Processes

Renewable Energy Market End Use Outlook

o        Residential

o        Commercial

o        Industrial

o        Utilities

Renewable Energy Market Regional Outlook

o        North America

o        Europe

o        South America

o        Asia Pacific

o        Middle East and Africa

 

Key Trends Driving the Market

1. Grid Modernization & Decentralization

Smart grids, microgrids, and distributed energy resources (DERs) are enabling greater integration of renewables while improving grid reliability and efficiency.

2. Corporate Clean Energy Procurement

Large companies like Google, Amazon, and Apple are entering long-term Power Purchase Agreements (PPAs), directly boosting renewable capacity.

3. Storage Integration

Energy storage (particularly lithium-ion batteries) is becoming critical to balance intermittent supply from wind and solar. The global storage market is expected to reach $1200 billion by 2035.

4. Falling Costs

The cost of solar PV and wind has dropped by over 80% in the last decade. This continues to make renewables more competitive than fossil fuels in many regions.

5. Green Hydrogen Emergence

Green hydrogen, produced from renewables via electrolysis, is gaining traction as a decarbonization solution for hard-to-electrify sectors like shipping, aviation, and heavy industry.

Key Companies in the Renewable Energy Market Include:

o        Iberdrola

o        EDP Renewables

o        NextEra Energy

o        Pattern Energy

o        Siemens Gamesa Renewable Energy

o        Orsted

o        Tesla

o        Prologis

o        Sunrun

o        Canadian Solar

o        First Solar

o        Brookfield Renewable Partners

o        Engie

o        Vestas Wind Systems

o        Enel

 

 

Challenges Ahead

While the growth prospects are strong, the market still faces:

Grid bottlenecks

Land-use constraints

Permitting delays

Supply chain vulnerabilities

Intermittency and reliability concerns

Solving these will require collaboration between governments, industry players, and investors.

 

Future Outlook

The renewable energy sector is no longer a "future potential" -it's a present reality with accelerating momentum. By 2035, renewables are expected to account for over 80% of global electricity generation, transforming not just how we produce energy but how we live, work, and build economies.

Renewable Energy Market