Global spending on electric power generation infrastructure will reach $403.7bn in 2011, report says

The global spending on electric power generation infrastructure will reach $403.7bn in 2011, according to Visiongain's latest report: The Electric Power Generation Infrastructure Market 2011-2021. The report examines this critical sector comprehensively, with forecasts from 2011-2021 for the global electric power generation infrastructure market, sub-markets and 10 largest national markets.

The electric power generation market is fundamentally driven by the demand for electricity and thus has been hindered by falling energy consumption resulting from the 2008-2009 global recession. Demand for electricity has more or less remained consistent in OECD countries from 2010 to 2011 but is seeing strong growth, especially in emerging economies. The increasing use of electrical appliances around the world and the likely strong growth of electric vehicles will add to this burgeoning demand. Investment in the electric power generation infrastructure market is therefore expected, both to cover this growing demand and to replace older facilities heading for decommissioning.

The movement towards low-carbon technologies and sustainability will be a major driving force leading to investment in 'greener' electric power generation facilities. Developing renewable energy generation will also enhance national energy security, an increasingly important issue for nations with declining natural resources. However, countries lacking emissions targets are likely to opt for cheaper fuels or domestically available resources in order to increase their electric power output.

Conversely, high capital costs in a time of financial stringency, unclear legislation on greenhouse gas emissions and the renewed controversy surrounding nuclear power will, to a certain extent, restrain the market. Around 1.44 billion people globally are currently living without access to electricity. The strong correlation between electrification and economic prosperity will therefore drive developing nations into connecting off-grid populations in an effort to further improve economic growth. Over the next 10 years, especially in southern Asia and Africa, significant investment will be made with the intention of improving access to electricity.

If you would like more information about this report, please visit: http://www.visiongain.com/report/656/the-electric-power-generation-infrastructure-market-2011-2021.