Sustainability and energy management software enables organizations to effectively track, analyze, and optimize energy and sustainability related data. It helps monitor energy consumption in buildings and facilities, analyze renewable energy strategies, implement sustainability initiatives, and track carbon emissions. The software provides various capabilities including real-time meter data tracking, reporting & analytics, greenhouse gas accounting & reporting, program management, and more. It helps companies manage resources efficiently, reduce energy costs, strengthen sustainability strategy, and achieve regulatory compliance.
The global sustainability and energy management software market is estimated to be valued at US$ 175 billion in 2024 and is expected to exhibit a CAGR of 3.5% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Increasing Energy Costs: Rising energy costs have been a major concern for organizations across industries in recent years. Sustainability and energy management software help monitor, analyze and optimize energy consumption which can significantly lower energy bills for companies. This is expected to drive increased demand for such solutions over the forecast period.
Government Regulations: Stringent government regulations and policies regarding carbon emissions, environmental protection and energy efficiency are encouraging more companies to adopt sustainability initiatives. Sustainability and energy management software enable organizations to demonstrate compliance with regulatory mandates which is fueling market growth.
Segment Analysis
The sustainability and energy management software market is segmented by deployment into on-premise and cloud. The cloud sub segment is dominating the market as cloud based tools offer cost effectiveness and scalability. Organizations are rapidly adopting cloud based sustainability solutions due to advantages like easy deployment, remote access, low maintenance and subscription based pricing.
PEST Analysis
Political: Government regulations around the world are focusing more on reducing carbon footprint and becoming environmentally sustainable which is driving the adoption of energy management tools to track and reduce utility usage.
Economic: Rising energy costs and need for cost optimization is prompting industries to invest in energy efficiency projects and sustainability solutions to lower operational expenses.
Social: Growing environmental awareness among people and organizations is increasing the focus on going green and reducing the negative impact on climate change which is benefiting the demand for such software.
Technological: Advancements in IoT, AI and analytics is making energy management more intelligent by enabling real-time data monitoring, predictive analysis and automation of energy systems.
Key Takeaways
The Global Sustainability And Energy Management Software Market Size is estimated to be valued at US$ 175 billion in 2024 and is expected to exhibit a CAGR of 3.5% over the forecast period 2024 to 2031.
Regional analysis: The market in North America region currently dominates due to stringent regulations and energy reduction targets. However, Asia Pacific region is expected to offer lucrative opportunities owing to industrialization and infrastructure growth.
Key players related content: Key players operating in the sustainability and energy management software market are IBM Corp, SAP SE, Schneider Electric, Siemens AG, CA Technologies, Verisae etc. The industry players are focusing on expanding their product portfolios and capabilities through mergers and acquisitions. For example, in 2023 Schneider Electric acquired OSISoft to strengthen its real-time operations and energy management software.
For More details on the topic:
Check more trending articles related to this topic:
