Global OTEC Market: Introduction
- Ocean Thermal Energy Conversion (OTEC) power generation makes use of temperature differences between upper surface layer and deeper layers of the sea. OTEC operates with temperature differences of around 20°C or more.
- OTEC seems especially suitable and economically viable for remote islands in tropical seas where generation can be combined with other functions such as air-conditioning and fresh water production. Thus, companies are investing significantly in the technology.
Key Drivers and Restraints of Global OTEC Market
- OTEC could provide electricity for 24 hours a day throughout the entire year. This provides significant advantage over other renewable energy sources, as other energy sources such as solar and wind are dependent on natural factors such as sun, wind, and weather. This indicates a rise in the adoption of OTEC. The maximum available energy from OTEC is not limited by land, shorelines, water, environmental impact, and human impact.
- Governments of countries across the globe are enacting stringent regulations to reduce the emission of carbon and greenhouse gases. This is another key driver of the global OTEC market. Implementation of these regulations has compelled companies to seek more environmentally-friendly energy solutions. Thus, companies are now investing increasingly in the development of OTEC.
- High investment costs and availability of cheaper alternate power sources are major factors restraining the global OTEC market. Solar and wind energy requires lower initial investment compared to OTEC.
Global OTEC Market: Segmentation
- The global OTEC market can be segmented based on type and application
- Based on type, the global OTEC market can be divided into closed cycle, open cycle, and hybrid cycle. In terms of demand, the closed cycle segment is expected to expand at a faster pace in the near future.
- In terms of application, the global OTEC market can be segregated into land based and floating. The land based segment is anticipated to expand at a fast-paced CAGR during the forecast period owing to the lower cost compared to the floating application.
Global OTEC Market: Regional Outlook
- Based on region, the global OTEC market can be classified into North America, Asia Pacific, Europe, Latin America, and Middle East & Africa
- Rapid industrialization and modernization is estimated to boost the OTEC market in in Asia Pacific in the near future. China and Japan are the leading countries in terms of number OTEC projects in the world. This trend is projected to continue during the forecast period. Furthermore, increase in awareness about the environment is anticipated to boost the demand for OTEC in the region.
- The market in North America and Europe is projected to expand significantly during the forecast period. North America and Europe are the leading regions in terms of renewable projects in the world. Governments of countries in these regions are investing significantly in renewable energy projects. They have introduced stringent regulations on lowering carbon emissions and greenhouse gases in these regions. Thus, demand for OTEC is likely to increase considerable in North America and Europe in the near future.
- The market in Middle East & Africa and Latin America is estimated to expand at a sluggish pace due to lack of investment in OTEC in these regions
COVID-19 Impact on Global OTEC Market
- Rapid transmission of coronavirus is significantly impacting the global energy market. This can be ascribed to the sudden decline in demand for electricity due to lower demand among industrial and commercial sectors. Furthermore, economic activities across the world have been hampered. Surge in COVID-19 cases in Europe, North America, and other regions has significantly hampered investment and project timelines in terms of development of OTEC. Thus, the COVID-19 pandemic is expected to restrain the OTEC market over the next couple of years.
Key Players Operating in Global OTEC Market
- Ocean Thermal Energy Corporation
- Makai Ocean Engineering, Inc.
- Yokogawa India Ltd.
- Xenesys Inc.
- TransPacific Energy
- EuroSMC S.A.
- Okinawa Prefecture
Global OTEC Market: Research Scope
Global OTEC Market, by Type
- Closed Cycle
- Open Cycle
- Hybrid Cycle
Global OTEC Market, by Application
- Land Based
Global OTEC Market, by Region
- North America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.