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Key Influencer in the Hydro Electricity Market 2025: Favorable Laws In Emerging Countries Fueling Growth In The Hydroelectricity Market Driver
Hydro Electricity Market Size
The hydroelectricity market is set to benefit from encouraging regulations in the developing world. Governments worldwide are implementing policies fostering the growth of this market. For example, the International Energy Agency (IEA), a governmental organization based in France, reported that the United States enacted the Inflation Reduction Act in August 2022. This act extended tax benefits for hydropower technologies, indicating the rising acknowledgement of renewable energy sources' importance. Consequently, these supportive laws are likely to stimulate hydropower demand, thereby propelling the growth of the hydroelectricity market.
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How will the growth rate of the hydro electricity market shape industry trends by 2034?
The size of the hydroelectricity market has consistently expanded over the past few years. The market is projected to rise from $319.18 billion in 2024 to $333.82 billion in 2025, showing a compound annual growth rate (CAGR) of 4.6%. The historical growth is credited to factors such as the rise of early industrialization and power production, the development of large dams, implementation of rural electrification schemes, global warfare and energy needs, along with deregulation and market reforms.
The hydro electricity market is set to experience consistent growth in the coming years, reaching $380.78 billion by 2029 with a compound annual growth rate (CAGR) of 3.3%. This growth projection for the period is linked to various factors such as renewable energy commitments, incorporation of storage solutions, utilization of hydropower in climate durability approaches, infrastructure investments, policy backing, and financial incentives. The forecast period will also see major trends such as the use of hydropower in climate change reduction tactics, collaboration with communities and stakeholders, foundational role of hydropower, upgrading and assimilation of power networks, and the expansion of hydroelectric power in developing nations.
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What trends are poised to drive the future success of the hydro electricity market?
Leading businesses in the hydroelectricity market are concentrating on the creation of inventive self-reliant hydropower cellular base stations. This development aims to increase connectivity in isolated regions, depend less on conventional energy sources, and create a renewable energy infrastructure in off-grid locations. A self-sustaining hydropower cellular base station is a telecommunications facility that harnesses its own power from a neighbouring hydroelectric source, such as a river or a stream, to function the cellular network gear. For instance, in May 2024, NTT Docomo Inc., a Japan-based cell operator firm, rolled out the first experimental demonstration of a self-sustaining hydropower cellular base station in Japan. This groundbreaking project plumbs the potentials of utilizing irrigation canal-based hydropower to power mobile communication networks sustainably, especially in rural regions where using conventional energy resources may not be pragmatic.
Which primary segments of the hydro electricity market are driving growth and industry transformations?
The hydro electricity market covered in this report is segmented -
1) By Product Type: Dike Type, Diversion Hydropower Station, Mixed Type, Tide, Pumped Storage
2) By Capacity: Large, Medium, Small
3) By Application: Residential, Commercial, Industrial
Subsegments:
1) By Dike Type: Dike Type Hydropower Plants, Earthen Dike Systems
2) By Diversion Hydropower Station: Run-of-River Hydropower Stations, Low-Head Diversion Systems
3) By Mixed Type: Combined Dike And Diversion Systems, Hybrid Hydropower Solutions
4) By Tide: Tidal Stream Energy Systems, Tidal Range Energy Systems
5) By Pumped Storage: Pumped Storage Hydropower Stations, Off-Peak Pumped Storage Systems
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Which geographical regions are pioneering growth in the hydro electricity market?
Asia-Pacific was the largest region in the hydroelectricity market in 2024. Western Europe was the second-largest region in the global hydroelectricity market share. The regions covered in the hydro electricity market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Who are the influential players reshaping the hydro electricity market landscape?
Major companies operating in the hydro electricity market include Andritz Hydro, BC Hydro, China Yangtze Power Co. Ltd., EDF (Électricité de France), Engie SA, General Electric Power, Iberdrola SA, Manitoba Hydro, National Hydroelectric Power Corporation (NHPC), RusHydro, Statkraft AS, Tata Power, Voith Hydro, Brookfield Renewable Partners, Innergex Renewable Energy, Sembcorp Industries, Duke Energy Corporation, Pacific Gas and Electric Company (PG&E), Hydro-Québec, Fortum Oyj, Itaipu Binacional, Ontario Power Generation, Pacific Hydro, Enel Green Power, Tokyo Electric Power Company (TEPCO), Sinohydro Group Ltd., Scottish Power, Kansai Electric Power
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What Is Covered In The Hydro Electricity Global Market Report?
•Market Size Forecast: Examine the hydro electricity market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the hydro electricity market for a structured understanding.
•Key Players Overview: Analyze major players in the hydro electricity market, including their market value, share, and competitive positioning.
•Growth Trends Exploration: Assess individual growth patterns and future opportunities in the hydro electricity market.
•Segment Contributions: Evaluate how different segments drive overall growth in the hydro electricity market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the hydro electricity market.
•Industry Challenges: Identify potential risks and obstacles affecting the hydro electricity market.
•Competitive Landscape: Review strategic developments in the hydro electricity market, including expansions, agreements, and new product launches.
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