According to a new report, published by KBV research, The Global Decarbonization Market size is expected to reach $3.91 Trillion by 2031, rising at a market growth of 11.2 % CAGR during the forecast period.
The On-premises segment is leading the Global Decarbonization Market by Deployment in 2023; thereby, achieving a market value of $2.3 trillion by 2031. Energy, manufacturing, and finance industries often operate under strict regulatory frameworks, making on-premises solutions ideal for meeting compliance requirements. These systems provide high levels of customization and integration with legacy technologies, enabling businesses to tailor their decarbonization strategies to specific operational needs. Additionally, concerns over data privacy and the need to ensure uninterrupted access to mission-critical systems further encourage the adoption of on-premises solutions.
The Electric Vehicles (EVs) segment is anticipating a CAGR of 11.9% during (2024 - 2031). Financial incentives, including subsidies, tax rebates, and reduced registration fees, encourage consumers to switch to EVs. Technological advancements in battery efficiency, cost reductions, and the expansion of charging infrastructure are also key factors propelling EV adoption. Furthermore, rising awareness about environmental sustainability, coupled with automakers’ commitments to electrification and the introduction of innovative EV models, is fueling growth in this segment.
The Sustainable Transportation Services segment is generating the maximum revenue in the Global Decarbonization Market by Service in 2023; thereby, achieving a market value of $2.25 trillion by 2031. This segment is driven by the global push to reduce greenhouse gas emissions from the transportation sector, which accounts for a significant portion of total emissions. Governments worldwide are implementing stringent regulations and offering subsidies to promote electric vehicles (EVs), hybrid vehicles, and fuel-efficient public transportation systems. Corporate logistics and supply chain stakeholders also prioritize fuel-efficient practices and transitioning to greener fleets, further driving this segment's growth.
The Energy & Utility segment is registering a CAGR of 10.2% during (2024 - 2031). The rapid transition to renewable sources of energy and the improvement of energy infrastructures to support decarbonization initiatives are the main drivers of the energy and utility sector. Government policies promoting clean energy adoption and financial incentives like subsidies and tax breaks are key drivers. The incorporation of smart grid technologies, energy storage systems, and decentralized energy solutions, including rooftop solar panels and microgrids, further facilitates the expansion of this sector. Rising consumer demand for sustainable energy further accelerates energy efficiency and renewable infrastructure investments.
Full Report: https://www.kbvresearch.com/decarbonization-market/
The North America region dominated the Global Decarbonization Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $1.32 Trillion by 2031. The Europe region is experiencing a CAGR of 10.8% during (2024 - 2031). Additionally, The Asia Pacific region would exhibit a CAGR of 11.7% during (2024 - 2031).
By Deployment
By Technology
By Service
By End-user
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