Energy Operations and Maintenance Market

COVID-19 Impact Analysis 

• The unfavorable global effects of COVID-19 are already evident, and had a big impact on the energy operations and maintenance market in 2020.
• The World Health Organization (WHO) has declared a public health emergency after the COVID-19 virus outbreak in December 2019. The disease has spread in over 100 nations and resulted in massive deaths globally. Exports & imports, global manufacturing, tourism, and financial sectors have all been heavily damaged.
• The downward pressure on the global economy, which had previously shown signs of improvement, has escalated once more. The outbreak of the virus has added danger factors to the international economy's already sluggish development. Many international groups have stated that the global economy is experiencing its most difficult moment since the financial crisis.
• Since the pandemic, the restriction of imports and exports has affected the energy operations and maintenance market to a great extent as consumers’ consumption and demand patterns are changing amidst the pandemic. 

Top Impacting Factors

With the increase in electricity prices, consumers are looking to procure resilient energy supply to ensure that they can operate without the grid. Also, with the rise in focus on various energy supply sources such as renewable, fossil fuels, nuclear, biomass, and biofuels, and energy as a service model mainly supports renewable energy as it lowers energy costs, reduces carbon footprint, ensures high energy efficiency, and is environment-friendly. It gives consumers the flexibility of choice on ownership, pricing, and financing. It also helps operators customize energy generation designs based on consumer requirement, which are modern and robust. It enables easy and rapid integration of distributed generation and energy storage assets.

Market Trends

• Growing Investment in Green Energy is a Key Driver
• The surge in environment protection regulations propel the power generation industry to shift to cleaner and environment-friendly energy resources. Several countries across the globe focus on the development of renewable energy power generation to reduce their dependence on conventional sources for power generation. In recent times, it has been observed that investments in wind, solar, and other renewable energy sources increase continuously.  Hence, such tremendous development in the energy capacity requires effective monitoring and maintenance at regular intervals. Thus, the growing investment in green energy is expected to drive the demand for operation and maintenance services.
• Supportive Government Policies Propel Growth of Market
• One of the major drivers for the growth of the green energy market is the crucial part played by the government initiatives and policies. In numerous countries such as Germany, UK, the U.S., Japan, and China, policies such as feed-in tariffs, tax credits, net metering, and capital subsidies are the key energy policies, geared specifically towards green energy. Such indicated incentives is expected to allow the green energy sector to grow significantly across the globe. Hence, the demand for operation and maintenance is expected to increase in the coming years.
• Increase in Energy Demand in Various End-use Industries Also Boosts Market Growth
• The commercial segment utilizing green energy includes establishments such as healthcare, educational institution, airports, data centers, leisure centers, warehouses, hotels, and others. More than half the energy used by commercial buildings goes toward heating and lighting. The commercial segment is expected to hold the largest market share in the coming years with the fastest growing market with energy service implementations being mandated across global regions. This is mainly because of significant structural impacts, namely, economic growth. Furthermore, commercial consumers will have access to their energy efficiency through energy as a service that will, in turn, help them improve their energy consumption. All these factors are expected to further help the market to grow.