According to market intelligence released by U.S based researcher, Research Nester, the renewable energy-as-a-service market (REaaS) in Middle East & Africa is estimated to grow to USD1,8 billion by the end of 2028. The market registered around USD 1 billion of revenue in 2019. The sector is projected to register a compound annual growth rate of 10.54% between 2021-2028.
The recently published report by Research Nester titled “Middle East & Africa Renewable Energy-as-a-Service (EaaS) Market” includes a comprehensive study of the key players operating in the market and also outlines the market dynamics that are expected to drive the growth of the market during the forecast period, i.e., 2021-2028.
The demand for energy amongst the end-users in Middle East & Africa is growing at a significant pace owing to rapid urbanization and emerging businesses in the region. According to the statistics by the World Bank, the urban population as a share of the total population in the Middle East & North America, increased from 58.596% in 2000 to 65.974% in 2020, whereas in South Africa, it increased from 56.891% to 67.354% between the same period.
With the growing concern for the environment and stringent emission reduction targets, there is a rising need to shift to renewable energy sources, so as to meet the targets of the sustainable development goals (SDGs) set by the United Nations. However, as the widespread deployment of low-carbon energy solutions is still limited in the region, the adoption of the renewable energy-as-a-service model proves to be a feasible solution, which is further anticipated to drive the growth of the Middle East & Africa renewable energy-as-a-service (EaaS) market.
Countries with a growing renewable energy-as-a-service market
Based on country, the market is segmented into Israel, Gulf Cooperation Council (GCC), Egypt, Kenya, Ethiopia, Democratic Republic of Congo (DRC), Morocco, Nigeria, South Africa, and the Rest of MEA. Amongst the market in these countries, the market in GCC is anticipated to hold the largest market share throughout the forecast period and further reach a revenue of USD 907.76 Million by the end of 2028, up from a revenue of USD 484.68 Million in 2019.
The market in GCC is also expected to grow with the highest CAGR of 11.59% during the forecast period. Further, the market in GCC is divided into Saudi Arabia, UAE, Bahrain, Kuwait, Qatar, and Oman. Amongst these countries, the market in Saudi Arabia is anticipated to garner the largest market share throughout the forecast period and further register the largest market revenue of USD 196.39 Million by the end of 2021.
The market in Saudi Arabia is also anticipated to grow with the highest CAGR of 12.32% during the forecast period. The growth of the market in the country can primarily be attributed to the fact that solar PV projects and wind farms are economically viable, which, as a result, is allowing investors to invest more in renewable energy sources.
