Energy-efficient Building Industry Outlook:

Energy-efficient buildings are buildings which reduce the cost of energy required to power up appliances and equipment. The construction of new buildings and renovation of old buildings which adhere to sustainable codes can lead the way in energy-efficient building. The global energy-efficient building market report by Market Research Future (MRFR) pinpoints pertinent trends and opportunities for the period of 2019 to 2025 (forecast period). The COVID-19 pandemic and its impact are analyzed in the report.

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Market Scope

The global energy-efficient building market is anticipated to register 9.68% CAGR during the forecast period.

The alarming levels of power consumption in buildings are primarily expected to drive the market growth. Buildings accounted for 60% of electricity consumption in Europe in 2016. Initiatives taken by nations to improve the energy-efficiency of buildings and conserve on power can bode well for the market. Establishment of energy standards and focus on contractors for developing energy-efficient buildings by deconstructing old ones and enforcing regulations on new ones can favor the market greatly.

Incentive programs rolled out by governments for real estate developers and sustainability goals which can be of benefit to commercial and residential building customers can favor the market. The new practices of using renewable resources and environmental assessment of surroundings for developing green buildings can drive the global energy-efficiency building market till 2025.

Segmentation

The global energy-efficient building industry has been segmented based on building type and components. 

Based on building type, the global energy-efficient buildings market has been segmented into residential, commercial, and industrial. The commercial segment is expected to register the highest growth rate in the global market during the forecast period, owing to the growth of the corporate sector across the world. Furthermore, the focus on sustainability by corporations owing to lucrative incentives can contribute to the global energy-efficient buildings market.

Based on component, the global energy-efficient building market has been segmented into energy management systems, controls, ventilation systems, and lighting technologies. The energy management segment is expected to register the highest growth during the forecast period owing to the rising demand for highly equipped systems from the end-users.

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Regional Analysis

Geographically, the global energy-efficient building industry has been segmented into five key regions - North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America. 

In 2018, Europe and North America held significant shares of the global market, owing to the high regulation pertaining to energy efficiency aiming sustainable development. Sustainable development in these two regions in terms of energy conservation is taken on top priority, which is propelling the demand for energy-efficient buildings. Moreover, the renovation of these buildings and integration of energy-efficient solutions by using technology can bode well for the market. This is exemplified by the shift from wood heating systems to electric stoves. Moreover, the exports of energy-efficiency products from Ireland are evidence of the large potential of the market.   

However, the market in APAC is expected to register the highest growth rate in the energy-efficient buildings market during the forecast period. This can be attributed to the high requirement for energy efficiency in developing countries of China, India, and ASEAN countries. Certification of buildings, energy auditing, and energy performance requirements are factors likely to be lucrative for the global energy-efficient building market. But lack of government support and low awareness of green buildings can impede the market growth.

Furthermore, high-scale construction activity in the MEA is also expected to support and contribute significantly to the growth of the regional energy-efficient building market.  The growth can also be attributed to the rising energy requirement. Moreover, the tax credits and green bonds offered to companies for encouraging sustainable building construction can bolster the market growth effectively.

Competitive Outlook

KMC Controls Inc., Serious Energy Inc., Knauf Insulation, Ameresco Inc., Johnson Controls, Architectural Energy Corporation, Cleantech Group are key players of the global energy-efficient building market.

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