Soaring Demand Set to Propel Net-Zero Energy Buildings Market to $87.22 Billion by 2029

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What Is the Expected CAGR for the Net-Zero Energy Buildings Market Through 2025?
The market size for net-zero energy buildings has seen remarkable growth in recent years. It is projected to expand from $37.66 billion in 2024 to an impressive $44.47 billion in 2025, demonstrating a compound annual growth rate (CAGR) of 18.1%. A number of factors have influenced this growth during the historic period, including increased urbanization, a heightened focus on reducing greenhouse gas emissions and tackling climate change, burgeoning environmental consciousness, a rising uptake in the commercial sector, and a burgeoning demand for energy efficiency.

What's the Projected Size of the Global Net-Zero Energy Buildings Market by 2029?
Over the coming years, a rapid expansion is projected in the net-zero energy buildings market. The market value is set to surge to $87.22 billion by 2029, with a compound annual growth rate (CAGR) of 18.3%. Several factors contributing to this potential growth in the forecast time include a burgeoning focus on sustainable practices and environmental preservation, an upsurge in eco-friendly construction approaches, escalated government efforts towards limiting carbon emissions, a rise in temperature levels and increasing population. Notable future trends consist of innovative energy-saving building methodologies, advancements in renewable energy technology, inventive sustainable building practices, the emergence of green technologies, and the amalgamation of cutting-edge building design philosophies.

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Top Growth Drivers in the Net-Zero Energy Buildings Industry: What's Accelerating the Market?
The burgeoning demand for renewable energy resources is predicted to stimulate the expansion of the net-zero energy buildings market. Renewable sources like solar, wind, and hydropower are naturally replenishable over time. The escalating demand for these sources arises out of social contagion, decentralized energy production, corporate pledges, public health consciousness, and measures towards climate change alleviation. Net-zero energy structures curtail energy usage through effective design and construction and produce onsite renewable energy to meet their energy requirements. These structures serve as a standard for energy effectiveness and environmental preservation, thereby playing a crucial role in moving towards a sustainable future. For example, a report from the Department of Energy, a US-based government body, forecasts that in 2022, domestic solar energy generation will escalate by 75%, soaring from 163 billion kilowatt-hours in 2023 to 286 billion kWh by 2025. Therefore, the growth in the use of renewable energy resources fuels the net-zero energy buildings market.

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What Long-Term Trends Will Define the Future of the Net-Zero Energy Buildings Market?
Prominent players in the net-zero energy buildings market are concentrating on devising creative solutions, such as open AI-enabled suites designed for net-zero buildings, to boost energy efficiency, streamline building management, and lessen carbon emissions. Open AI-enabled suites aimed for net-zero buildings are integrated systems that use open AI technologies to improve and manage different facets of buildings with the goal to achieve net-zero energy use. These suites generally employ artificial intelligence and machine learning methods to boost energy performance, sustainability, and overall building performance. For example, Siemens AG, a German automation company, unveiled Building X, a unique open AI-enabled suite aimed to assist in creating net-zero buildings, in June 2022. This suite is a part of the Siemens Xcelerator initiative which targets to expedite digital transformation in various industries, including building management. It is constructed to be modular and scalable, allowing for the easy integration of different building systems, which aids in reducing complexity in building operations management and encourages the shift towards net-zero emissions.

What Are the Main Segments in the Net-Zero Energy Buildings Market?
The net-zero energy buildings market covered in this report is segmented -

1) By Equipment: Lighting, Walls And Roofs, Heating, Ventilation, And Air Conditioning (HVAC) Systems, Other Equipment
2) By Service: Software, Consulting And Designing
3) By Construction Phase: New Construction, Renovation Or Retrofit, Hybrid Approach
4) By Technology Integration: Passive Design Strategies, Energy-Efficient Systems, Renewable Energy Sources
5) By End-User: Residential, Non-Residential

Subsegments:
1) By Lighting: LED Lighting, Smart Lighting Systems, Daylighting Systems
2) By Walls And Roofs: Insulated Walls, Green Roofs, Solar Roof Panels
3) By Heating, Ventilation, And Air Conditioning (HVAC) Systems: Energy-Efficient HVAC Units, Heat Pumps, Ventilation Systems With Energy Recovery
4) By Other Equipment: Renewable Energy Systems, Energy Storage Systems, Smart Building Management Systems

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Which Top Companies are Driving Growth in the Net-Zero Energy Buildings Market?
Major companies operating in the net-zero energy buildings market are Hitachi Ltd., Siemens AG, General Electric Company, Panasonic Corporation, Schneider Electric SE, Mitsubishi Electric Corporation, Honeywell International Inc., Deutsche Bank AG, Daikin Industries Ltd., Johnson Controls Inc., Carrier Global Corporation, Trane Technologies PLC, Skanska AB, Mahindra Group, Kingspan Group PLC, Lendlease Corp, Rockwool Group, CannonDesign Inc., Integral Group Inc., GI Quo Vadis Inc.

Which Regions Will Dominate the Net-Zero Energy Buildings Market Through 2029?
North America was the largest region in the net-zero energy buildings market in 2024. Europe is expected to be the fastest-growing region in the forecast period. The regions covered in the net-zero energy buildings market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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