Floating Wind Turbine Market: Current Analysis and Forecast (2021-2027)
Wind turbines generate electricity from wind that passes through the turbine's blades. The wind's kinetic energy is then captured by the blades through rotation and is converted into mechanical power. Floating wind turbines are equipped with floating platforms to support the entire turbine structure & is effective anywhere in deep water where depth is more than 60 meter. The adoption of floating wind power is expected to rise owing to its operational advantages over the fixed structure installations of wind farms. Floating offshore wind projects have lower foundation requirements and deliver a higher energy yield. Floating wind farms are capable of functioning in harsh atmospheric conditions and can withstand the strongest wind flow. These installations also offer environmental benefits compared to fixed bottom structures due to their less invasive activity on the seabed during installation. The market growth is attributed to higher potential of power production as compared to fixed structures, technological advancements in floating turbines, and increasing investments & favorable policies for offshore wind power generation globally. However, some of the restraints in the market include High installation costs of Floating Wind Turbine system & lower level of right framework & technology readiness among many nations are some factors impeding the growth of this market all over the world.
Based on foundation type, the market is segmented into Spar-buoy, Semi-submersible and Others. The Spar-buoy segment grabbed XX% market share of the Global Floating Wind Turbine Market and gathered revenue of USD XX billion in 2020. The segment is expected to grow at a CAGR of XX% during the forecast period to reach a market valuation of USD XX billion by 2027 due to its simple design which can be easily fabricated. In addition, spar-buoy involves few number of welds and complicated components unlike semi-submersible-platform.
Based on depth, the market is segmented into Shallow Water (less than 60 m Depth) & Deep Water (higher than 60 m Depth). In 2020, the Deep Water (higher than 60 m Depth) segment dominated the Floating Wind Turbine Market and accounted for XX% market share. This segment will witness a considerable CAGR of XX% during the forecast period (2021-2027F) as installation of deep-water turbine offers large area with no constraint of water depth which aids in selecting the best site for power generation & also has more potential to generate higher energy yields for the offshore wind farm.
For a better understanding of the market adoption of Floating Wind Turbine, the market is analyzed based on its worldwide presence in the countries such as North America (United States, Canada, Rest of North America), Europe (Germany, France, Italy, Spain, United Kingdom, Norway and Rest of Europe), Asia-Pacific (China, Japan, India, Australia, South Korea and Rest of APAC), and Rest of World. Europe constitutes the largest market for the industry and generated revenue of USD XX billion in 2020 on account of the largest share of offshore wind power installed capacity as well as floating wind farms in 2020 & favorable government policies in countries, such as UK, Norway, France, Portugal, which are driving clean energy usage.
Some of the major players operating in the market include Nordex SE, Siemens Gamesa Renewable Energy SA, Vestas Wind Systems A/S, Goldwind, ABB Ltd, Ming Yang Smart Energy Group Co. etc. Several M&A's along with partnerships have been undertaken by these players to boost their presence in different regions.