Jul 5 2010
In a new analysis report from Frost & Sullivan, Hydro, Wave, and Tidal Power--Market Penetration and Roadmapping, global wave resources have been estimated at 6,000 TWh/year and tidal power resources at 700 TWh/year.
This amounts to a global market potential of $1 trillion for the wave industry. The analysis states that ocean technology, which includes tidal and wave technology, is far more predictable and reliable when compared with other types of renewable powers, namely, solar and wind. With global yearly resources estimated between 2,000 and 4,000 TWh, ocean energy could be the key solution to the increasing energy demands of the world.
According to Chin Wai Loon, Technical Insights Research Associate, as wave and tidal energy technology develops, production costs are likely to come down, paving the way towards commercialization. This process is likely to take 5–10 years. High market potential and promising resources are the prime attractions of wave and tidal energy, which will eventually lead to large deployment. Thus, technology developers need to commence planning for the commercialization phase.
However, the technology development largely depends on financial funding that can be generated through private, public, and government entities. To this effect, £8 million have been provided to European Marine Energy Research Centre (EMEC) by the United Kingdom. In addition, a £22 million funding by the UK government has been established to meet installation costs, which are expected to be huge.
Lack of awareness, government regulations and policies are the prime factors that currently hinder the market momentum for wave and tidal power. The weather conditions in oceans, which are extremely harsh, warrant powerful technology, which can be achieved through accelerated research and development. Developing prototypes for trails and demonstrations will play a key role in attracting more funding from all government sectors. One such example is Pelamis Wave Power a company that has secured a funding of £4.8 million from the Marine Renewable Proving Fund (MRPF). Collaborations among technology developers, joint ventures between governments and companies, and successful awareness programs could accelerate the commercialization wave and tidal energy technology.
The report that comes with the Technical Insights subscription offers in-depth study of the restraints and drivers in the market, competitive environment, and industry structure. The report also details the trends in the sector and study of the technology after extensive interviews and evaluation.
Source: http://www.frost.com