by Decarbonization services play an important role in optimizing energy usage and reducing carbon emissions across industrial facilities, commercial buildings, and residential properties. Decarbonization services include carbon accounting and offsetting, energy audits, retrofits for energy efficiency, renewable energy integration, strategic decarbonization planning, and monitoring & verification of emission reductions. Adoption of decarbonization services helps organizations lower energy costs, futureproof operations, and meet sustainability goals. The Global Decarbonization Service Market is estimated to be valued at US$ 69.73 Bn in 2024 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030.
Key Takeaways
Key players operating in the Decarbonization Service market are Schneider Electric, ENGIE, Siemens, AECOM, EDF, Johnson Controls, DNV, Honeywell International Inc., Carbon Clean Solutions Limited, The ERM International Group Limited, CarbonCure Technologies Inc., Ørsted A/S, and ABB. With growing concerns around climate change, key players are developing comprehensive solutions and expertise to help transition to renewable energy systems and achieve carbon neutrality for customers across industries. The growing demand for decarbonization services is driven by stringent government regulations and rising adoption of renewable energy targets by organizations worldwide. Major players are also expanding globally through collaborations and acquisitions to tap new markets and consolidate their position in renewable energy and decarbonization space.
Market key trends
One of the major trends in the decarbonization service market is the increasing demand for carbon lifecycle management and offsetting services. Organizations are increasingly recognizing the need to account for and reduce carbon emissions across their entire value chain to meet net-zero commitments. Carbon lifecycle management helps track and analyze Scope 1, 2 and 3 emissions along with identifying hotspots. Carbon offsetting services allow balancing out unavoidable emissions through certified offset projects. This emerging trend is expected to drive growth in the decarbonization service market over the forecast period.
Analysis
Threat of new entrants: The market has high initial capital requirements and certified technical expertise, posing entry barriers. Bargaining power of buyers: Buyers have moderate bargaining power due to diverse product offering from vendors. Bargaining power of suppliers: Suppliers have moderate bargaining power given specialized skillsets and technologies required. Threat of new substitutes: Potential substitute technologies emerge slowly given regulatory approvals and infrastructure changes required. Competitive rivalry: Intense competition exists among key global players differentiating through innovation and services.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
