Revenue for the Global Energy Service Company Market is Expected to Reach $14.7 Billion Annually by 2024, According to Navigant Research
A recent report from Navigant Research examines the market opportunity for energy service companies (ESCOs) and energy performance contracting (EPC), including market forecasts for the United States and Europe, segmented by customer type and technology, through 2024.SCO work in the United States already has a solid foundation in the public sector, backed by policy and economic drivers. However, in order to achieve more aggressive growth, the industry is expected to seek new opportunities in the private sector with business models that help address the hurdle of high upfront capital investments. Click to tweet: According to a recent report from Navigant Research, the global ESCO market is expected to reach $14.7 billion in annual revenue by 2024.
“ESCOs have been a major channel for energy efficiency upgrades in the United States for a long time now,” says Casey Talon, senior research analyst with Navigant Research. “These companies have, for the most part, stuck to a specific business case that has led to a sizable market in the public sector, but they now face the challenge of branching out into new customer bases to spur revenue growth.”According to the report, while most ESCOs have had limited success outside of the U.S. market, recent policy changes, economic conditions, and specific success stories are generating increasing interest abroad. Europe in particular seems to be approaching a tipping point, with market momentum expected to pick up in the mid- to long-term.
The report, Energy Service Company Market Overview, assesses the ESCO market for energy performance contracts (EPCs). These projects include retrofits for lighting, heating, ventilation, and air conditioning (HVAC) and mechanical systems, renewables, water conservation, commercial building automation systems (CBASs), and building energy management systems (BEMSs). The report details the current state of the ESCO market and provides insight into its future direction based on customer demand, government policies, and other market dynamics. Forecasts for the U.S. ESCO market, segmented by customer type and technology, extend through 2024. The report also provides a top-line forecast through 2024 for ESCO revenue in Europe, with a focus on Germany, France, and the United Kingdom.