The growing market for green technologies

The growing market for green technologies

If we are to believe Markets & Markets forecasts, “greentech” is not going to stop growing anytime soon. This market, which weighed 552 billion dollars in 2021, should reach 690 billion dollars in 2026, with an annual growth rate of 4.6%.

In addition to an undeniable interest in new technologies that pollute less and generate less greenhouse gases, accompanying the necessary transition to a low-carbon world, it is the new legislation – already approved or to come – that promises to act as a powerful lever for this market. Indeed, both companies and States have made ambitious commitments to reduce CO2 equivalent emissions, which will force them to invest in this transition, beyond the necessary sobriety efforts.

Markets & Markets indicates that, in this market, it is the renewable energy segment that largely dominates, which is hardly surprising given the investments required to install solar or wind farms, or to set up geothermal facilities. A segment which, by 2026, should reach 213 billion dollars in value, with an annual growth of around 4.7%. As the firm points out, this segment is boosted by the growing needs of companies for carbon offsetting.

Note that these renewable energy sources are not perfectly ecological solutions. Intermittent, they pose manufacturing problems – requiring the refining of ever more ores -, or the artificialization of the soil, and must be considered, according to scientific experts, as a replacement for fossil fuels and in parallel with an overall reduction of energy demand.

Finally, the firm indicates that the Asia-Pacific region should emerge as the zone representing the greatest potential in terms of green technologies. In any case until 2026. China and Japan will, unsurprisingly, be the biggest contributors to this growth. Three sectors undergoing rapid change towards sustainable solutions have been identified as being the most important vectors of growth: energy, water treatment and waste management.

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