Global Demand Response Capacity is Expected to Grow to 144 GW in 2025
The greatest region for demand response adoption is expected to be North America
A new report from Navigant Research analyzes the global demand response (DR) market in five major regions, with market forecasts for capacity, spending, and revenue, segmented by region and sector, through 2025.
Since 2010, DR has matured in the electricity market and has been afforded the opportunity to bid directly against generation, enabling further growth. In the coming decade, new business models and uses of technology and software, such as Bring Your Own Device and behavioral and analytical DR, will act as key enablers of future DR adoption. Click to tweet: According to a new report from @NavigantRSRCH, global DR capacity is expected to grow from nearly 39 GW in 2016 to 144 GW in 2025.
“DR is proliferating, but it is also falling under greater scrutiny,” says Brett Feldman, principal research analyst with Navigant Research. “As DR has become a larger part of the resource base, regulators and other market participants are calling for tighter requirements to ensure reliable operations and efficient markets.”
General economic market factors such as low natural gas prices and the retirement of coal and nuclear also affect DR’s growth path, according to the report. The greatest region of adoption is expected to be North America, but other regions will also begin to implement DR during the next decade, bringing annual DR revenue to $6.7 billion in 2025.
The report, Market Data: Demand Response, examines the global DR market in five major regions, with a focus on commercial and industrial (C&I) and residential DR. The study provides an analysis of the market issues, including drivers and barriers, associated with DR development. Global market forecasts for capacity, spending, and revenue, segmented by region and sector, extend through 2025. The report also examines the key global technologies and program design trends related to DR. An Executive Summary of the report is available for free download on the Navigant Research website.
Contact: Lindsay Funicello-Paul
* The information contained in this press release concerning the report, Market Data: Demand Response, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.