Global Ocean Energy Market Size Insights Forecasts to 2033

• The Global Ocean Energy Market Size was Valued at USD 910.26 Million in 2023
• The Market Size is Growing at a CAGR of 21.81% from 2023 to 2033
• The Worldwide Ocean Energy Market Size is Expected to Reach USD 6548.92 Million by 2033
• Asia Pacific is Expected to Grow the fastest during the forecast period.

The Global Ocean Energy Market Size is Anticipated to Exceed USD 6548.92 Million by 2033, Growing at a CAGR of 21.81% from 2023 to 2033.

Market Overview

Ocean energy, otherwise called marine energy, is a renewable energy resource that branches from the ocean and does not create hazardous greenhouse gases in its production. It is tapped from various sources, including tides, tidal currents, waves, solar, salinity gradients, and thermal gradients. Oceans cover more than 70% of the earth's surface and hold about 97% of the Earth's water. They also offer huge potential as abundant renewable and reliable sources of energy. There is also marine energy from temperature differences in water, which can be tapped through ocean thermal energy conversion. In 2023, the EIA wave resource potential off U.S. coasts had an estimated theoretical energy potential of up to 2.64 trillion kilowatt-hours per year the equivalent of about 63 percent of total U.S. utility-scale electricity generation. The west coasts of the United States and Europe, and the coasts of Japan and New Zealand have potential sites for harnessing wave energy.

There are many various methods and technologies under development that capture and convert wave energy into electricity. Methods include placing devices on or just below the surface of the water and anchoring devices to the ocean floor. According to the International Renewable Agency, the Asia region generated around 261MW of ocean energy in both 2022 and 2023 years, and Europe generated approximately 242MW and 243MW in the years 2022 and 2023 respectively.

Report Coverage

This research report categorizes the market for ocean energy based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the ocean energy market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the ocean energy market.

Driving Factors

The wave, tidal, and ocean thermal energies argue well for the potential to deliver a significant and reliable source of renewable electricity generation. Interest in tapping these clean, renewable ocean energy sources is growing due to rising concern over climate change and the need to transition away from fossil fuels. Technological progress in materials science, power takeoff, and control mechanisms has led to enhanced device efficiency and cost reduction. This also improves their viability for large-scale diffusion. Meanwhile, government policies and incentives, feed-in tariffs, grants, and research funding have been instrumental in stirring investment and innovation into the ocean energy sector. Moreover, energy mix diversification aspirations and energy security enhancement have emerged as powerful drivers for numerous countries to push hard for the development of ocean energy projects to realize the potential of their offshore resources.

Restraining Factors

The huge capital costs for developing and deploying devices for the production of ocean energy; most of them require huge upfront capital in research, development, and large-scale infrastructure. The uncertainty pertaining to the long-term reliability and performance of ocean energies, many of which are at an infant stage and are still under the cycle of testing and optimization. It is such a complex and challenging ocean environment entailing corrosion, biofouling, and extreme weather conditions that it may hike the maintenance and operational costs for the respective ocean energy projects. Many complex environmental regulations will be negotiated for the deployment of ocean energy devices and approved by a variety of stakeholders.

Market Segmentation

The ocean energy market share is classified into type and application.

• The wave energy segment is estimated to hold the highest market revenue share through the projected period.

Based on the type, the ocean energy market is classified into tidal barrages, tidal stream, wave energy, and others. Among these, the wave energy segment is estimated to hold the highest market revenue share through the projected period. Wave energy's huge potential exists because vast resources of wave energy, capable of being transformed into electricity, exist in the world's oceans. Improving technological progress, on a step-by-step basis, related to wave energy conversion devices through better designs, materials, and power take off systems continuously increases the efficiency and cost-competitiveness of wave energy projects. While the geographical distribution of viable wave energy resources is wide and ranges along coastlines across the globe, thus providing opportunities for widespread deployment and local energy generation, government policies favourable to the industry and financial incentives raise investment and development in the wave energy sector in countries with robust wave energy resource conditions. Moreover, the predictability and reliability of wave energy in comparison with other renewable sources make it very suitable for grid integration and baseload power supply in suitable locations. 

• The power generation segment is anticipated to hold the largest market share through the forecast period.

Based on the application, the ocean energy market is divided into power generation, desalination, and water pumping. Among these, the power generation segment is anticipated to hold the largest market share through the forecast period. This is due to the growing interest in renewable and more sustainable production of electricity from ocean energy sources. Systems for wave, tidal, and ocean thermal energy conversion are among the ocean energies regarded as a plausible substitute for large-scale electricity generation, especially for coastal regions where appropriate ocean conditions prevail which makes these technologies interesting for grid integration and baseload power supply is their ability to provide predictable, reliable electricity, thus complementing other renewable energy sources like solar and wind. Another important fact is that the ocean energy power generation systems can be small pilot projects or even large commercial scale installations that bring flexibility in meeting diversified electricity demand requirements in different applications and geographies. With governments and industries continuing to push towards a transition into clean energy, power generation is likely to grow constantly during the forecast period and capture the major market share in the ocean energy industry.

Regional Segment Analysis of the Ocean Energy Market

• North America (U.S., Canada, Mexico) 
• Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
• Asia-Pacific (China, Japan, India, Rest of APAC)
• South America (Brazil and the Rest of South America) 
• The Middle East and Africa (UAE, South Africa, Rest of MEA)

Europe is anticipated to hold the largest share of the ocean energy market over the predicted timeframe.

Europe is anticipated to hold the largest share of the ocean energy market over the predicted timeframe. Europe had already positioned itself well in terms of investment and development in ocean energy technologies, with countries leading from the front, boasting long coastlines and favorable ocean conditions for such purposes leading players being the UK, France, and Portugal. Government policies at all levels in support of the industry such as renewable energy targets, feed-in tariffs, and funding of research have fostered a good environment for the growth of the ocean energy sector in Europe. Moreover, it is also accommodated by the maturity of the regional infrastructure, grid integration capabilities, and huge experience with offshore energy projects that have helped to deploy and commercialize ocean energy technologies. Additionally, the European Union's commitment to carbon neutrality by 2050, along with the ocean energy resources abundant in the region, has delivered strong impetus and driven greater attention and investment toward harnessing this renewable energy source, thereby cementing Europe's position as a global leader in the ocean energy market for the forecast period.

Asia Pacific is expected to grow at the fastest CAGR growth of the ocean energy market during the forecast period. The key driving factors are the rich ocean energy resources of the region, particularly in wave, tidal, and ocean thermal energy. Countries such as China, Japan, South Korea, and India have rather been active in their investments in ocean energy technologies, entailing research, development, and demonstration projects, which are backed by corresponding enabling government policies, incentives, and test and demonstration facilities. It is within the Asia-Pacific region, with its extensive coastlines and very good ocean conditions that ample opportunities are afforded for the exploitation of these renewable energy sources with large potential for diversification of the energy mix and breaking over-reliance on fossil fuel energies. With the economic growth and fast urbanization of the region, the need for reliable, clean, and sustainable energy solutions will only increase. Accelerated ocean energy technology adoption will further fuel growth in the Asia-Pacific region as the fastest-growing ocean energy market over the forecast period.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the ocean energy market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Applied Technologies Company, Ltd.
• Aqua-Magnetics, Inc.
• Atargis Energy Corporation
• Able Technologies, L.L.C.
• Alba tern Ltd
• Aquagen Technologies
• Aqua-Magnetics Inc.
• Biopower Systems Pty Ltd.
• Blue Energy Canada, Inc.
• Carnegie Clean Energy Limited
• Minesto AB
• Nova Innovation Ltd.
• Mocean Energy
• Ocean Power Technologies, Inc.
• OceanEnergy
• Andritz Hydro Hammerfest
• Ocean Renewable Power Company LLC
• Tenax Energy
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments

• In August 2024, focusing on advancing the sustainability, reliability, and cost-efficiency of ocean energy devices, the EU’s flagship Horizon Europe program is to issue a multi-million funding call.

• In August 2024, the U.S. Department of Energy’s (DOE’s) Water Power Technologies Office (WPTO) invested more than $41 million in the four university-led National Marine Energy Centers (NMECs).

• In May 2024, U.S.-based marine energy firm Ocean Power Technologies (OPT) has nearly hit 15 MWh of renewable energy production from its family of PowerBuoys (PBs) across the globe.

• In May 2024, EU funding and domestic revenue support are anticipated to facilitate the deployment of 137 MW of tidal and wave energy projects over the next five years, Ocean Energy Europe (OEE) has announced.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2023 to 2033. Spherical Insights has segmented the ocean energy market based on the below-mentioned segments: 

Global Ocean Energy Market, By Type

• Tidal Barrages
• Tidal Stream
• Wave Energy
• Others

Global Ocean Energy Market, By Application

• Power Generation
• Desalination
• Water Pumping

Global Ocean Energy Market, By Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa