The energy transition market will reach 3.7 trillion USD in 2028

The energy transition market will reach 3.7 trillion USD by 2028, supported by growing public and private investment, with an annual growth rate of 9.4% according to Allied Market Research.

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The global energy transition market is expanding rapidly, supported by massive investment from both the public and private sectors.
Growing recognition of the urgency of climate change is prompting governments to inject considerable funds into renewable energy infrastructure.
These funds are aimed at modernizing existing systems and promoting the adoption of cleaner energy sources, notably wind, solar and hydro.
Private companies, meanwhile, are increasing their commitment to green energy, helping to boost the market.
However, the sector faces challenges, not least the limited availability of critical materials, essential for new technologies.
Innovation in energy storage is therefore becoming a priority, with emerging solutions such as solid-state and flow batteries.
These technologies promise to improve energy density and safety, responding to growing market demands.

Renewable energies and fast-track adoption

Renewable energies dominate the energy transition market, with rising adoption supported by favorable government policies.
Solar and wind power, in particular, are playing a central role in reducing greenhouse gas emissions, in line with global climate targets.
Tax incentives and government subsidies are accelerating the integration of these technologies into national energy systems.
Renewable technologies are now seen as viable and competitive solutions, even when compared with fossil fuels.
Governments are putting in place rigorous regulatory frameworks to encourage their widespread adoption, making these technologies increasingly attractive to investors.

The residential sector in full mutation

The residential segment is booming, driven by a growing adoption of clean energy solutions.
Homeowners are increasingly investing in technologies such as solar panels and geothermal heating systems, supported by attractive tax incentives.
This trend reflects a growing desire to reduce dependence on fossil fuels and minimize carbon footprints.
Home modernization and the integration of clean energy technologies have become priorities for many households, reinforced by economic and environmental motivations.
The residential sector is thus set to become a key player in the energy transition, with significant implications for global demand for renewable energy.

Asia-Pacific: driving regional growth

Asia-Pacific is emerging as the main driver of global growth in the energy transition market. The region is investing heavily in renewable technologies to meet growing energy demand. Technological innovations and favorable market dynamics are accelerating the adoption of clean energies, making these solutions increasingly competitive. Leading companies in the sector, such as NextEra Energy, Inc, Iberdrola, S.A., and Tesla Inc, are adopting diversified strategies to gain a foothold in this rapidly expanding market. These companies are investing in new technologies, collaborating on international projects and strengthening their presence in emerging markets. These initiatives are crucial to maintaining their competitive edge against a backdrop of rapid transformation in the energy sector.

The French National Assembly approves a specific target of 200 TWh renewable electricity production by 2030 within a legislative text extensively debated about the future national energy mix.
In 2024, US CO₂ emissions remain stable at 5.1bn tonnes, as the Trump administration prepares hydrocarbon-friendly energy policies, raising questions about the future evolution of the American market.
The early publication of France's energy decree triggers strong parliamentary reactions, as the government aims to rapidly secure investments in nuclear and other energy sectors.
Seven weeks after the major Iberian power outage, Spain identifies technical network failures, while the European Investment Bank approves major funding to strengthen the interconnection with France.
The European Union has announced a detailed schedule aiming to definitively halt Russian gas imports by the end of 2027, anticipating internal legal and commercial challenges to overcome.
Madagascar plans the imminent opening of a 105 MW thermal power plant to swiftly stabilise its electricity grid, severely affected in major urban areas, while simultaneously developing renewable energy projects.
India's Central Electricity Regulatory Commission proposes a new financial instrument enabling industrial companies to meet renewable energy targets through virtual contracts, without physical electricity delivery, thus facilitating compliance management.
Minister Marc Ferracci confirms the imminent publication of the energy programming decree, without waiting for the conclusion of parliamentary debates, including a substantial increase in Energy Efficiency Certificates.
At a conference held on June 11, Brussels reaffirmed its goal to reduce energy costs for households and businesses by relying on targeted investments and greater consumer involvement.
The European Commission held a high-level dialogue to identify administrative obstacles delaying renewable energy and energy infrastructure projects across the European Union.
Despite increased generation capacity and lower tariffs, Liberia continues to rely on electricity imports to meet growing demand, particularly during the dry season.
South Korea's new president, Lee Jae-myung, is reviewing the national energy policy, aiming to rebalance nuclear regulations without immediately shutting down reactors currently in operation.
The French Energy Regulatory Commission released its 2024 annual report, highlighting sustained activity on grid infrastructure, pricing, and evolving European regulatory frameworks.
The United States is easing proposed penalties for foreign LNG tankers and vehicle carriers, sharply reducing initial costs for international operators while maintaining strategic support objectives for the American merchant marine.
While capital is flowing into clean technologies globally, Africa remains marginalised, receiving only a fraction of the expected flows, according to the International Energy Agency.
The Mexican government aims to mobilise up to $9bn in private investment by 2030, but the lack of a clear commercial framework raises doubts within the industry.
The U.S. Department of Transportation is withdrawing strict fuel economy standards adopted under Biden, citing overreach in legal authority regarding the integration of electric vehicles into regulatory calculations for automakers.
In 2024, renewable energies covered 33.9% of electricity consumption in metropolitan France, driven by increased hydropower output and solar capacity expansion.
The French Energy Regulatory Commission (CRE) has announced its strategic guidelines for 2030, focusing on the energy transition, European competitiveness and consumer needs.
Madrid paid an arbitration award to Blasket Renewable Investments after more than ten years of litigation related to the withdrawal of tax advantages for renewable energy investors.