Global Statistics Representing Blockchain In Energy Market Scenario
Blockchain technology is used to avoid failure in power grids. Companies are using blockchain technology in power grids to convert them into smart power grids. Moreover, blockchain technology is used in different parts of supply chain such as internal and external functions. The ability of blockchain to advance transparency and competency of a supply chain in energy sector is likely to have a positively influence the market in coming years. Furthermore, growth in security concerns across the globe, and increasing need to manage infrastructure and other business functions from high transaction speed and immutability is expected to drive blockchain in energy market in the review period, 2019-2026.
Global blockchain in energy market was valued at USD 279.89 million in 2018 and is expected to reach USD 25,909 million by 2026 growing at a CAGR of 76.12 % during the forecast period, 2019–2026.
The global blockchain in energy market is segmented by type, component, application, and end user.
On the basis of type, global blockchain in energy market is segmented into private and public. The private segment is expected to hold a major share in the market during the forecast period, due to its high level of security as compared to public blockchain.
On the basis of component, blockchain in energy market is segmented into platform and services. The services segment is expected to witness remarkable growth in the market. Several key players from different regions are adopting various growth strategies such as tie up with various blockchain startups to implement blockchain operations such as energy trading, grid management, and supply chain management, which is likely to further promote the growth of services segment.
On the basis of application, market is segmented into energy trading, grid management, payment schemes, supply chain management. The grid management application segment may experience considerable growth during the forecast period due to the increasing use of blockchain technology in different energy and power applications which involve grid management.
On the basis of end-user, market is segmented into power and oil and gas. The power segment holds major share of the blockchain in energy market. The blockchain technology plays a major role in managing distributed energy resources in power generation and provides key players with more cost-effective and efficient solutions to record and process transactional data. Moreover, power sector has the largest number of projects implementing blockchain technology in energy applications and R&D investments and government funding.
Geographically, global blockchain in energy market is segmented into North America, Europe, Asia Pacific, Latin America and the Middle East & Africa.
Europe dominated the global blockchain in energy market in 2018 and this trend is likely to remain the same during the forecast period owing to growing investments by government as well as private sector for increased adoption of blockchain technology. For instance, recently, the European Commission has launched EU Blockchain Observatory & Forum with the objective to understand key developments in blockchain technology and promote European players in energy and power sector to invest and develop in blockchain activities. For instance, Centrica, United Kingdom’s major supplier of residential energy has partnered with LO3 Energy to start a pilot peer-to-peer renewable energy trading program to moderate the impacts of renewable energy restriction.
North America is likely to witness considerable growth in the blockchain in energy market owing to presence of major market players in the region. Furthermore, the increased investments in energy and power projects in the region may further encourage the use of blockchain technology in the near future.
Asia Pacific is expecting noteworthy development in the blockchain in energy market. This is justified by the fact that Australia was one of the earliest adopters of blockchain technology in region. Moreover, Origin Energy, which is one of the top energy providers of Australia, has partnered with Power Ledger and plans to implement new energy trading platforms to keep up with the record of buying and selling energy. Adding to this, the Australian government is planning to make further investments in blockchain technology to avail its benefits in energy and power sector.
Middle East and Africa is expecting healthy growth in the market. Africa is gradually developing in the blockchain in energy market due to huge investments and funding from the African Development Bank (AfDB), Overseas Private Investment Corporation and World Bank in solar photovoltaic and wind energy applications.
Latin America is likely to witness steady growth in the market due to lack of technological advancements and relatively slow growth of energy and power sector in the region.
Some of key players in the global blockchain in energy market are Microsoft (US), Accenture (Ireland), IBM (US), Infosys (India), SAP (Germany), Accenture (Dublin), Electron (Ukraine), Btl Group Ltd. (Canada), and Kaleido (USA).
Global Blockchain In Energy Market Segmentation
By End User