Key market highlights, global and regional hot spots of the
industry, and areas of convergence in a new analysis
LONDON - 25 April, 2012 - Frost & Sullivan
has released its three big predictions for 2012 for the global
energy and environment market. Industrial convergence, smart
technology and distributed generation will be the key topics in
2012 and beyond.
Based on a survey of several thousand companies conducted
in December 2011, this research paper highlights areas of growth.
"Data and opinions of key stakeholders, combined with analysis and
commentary from Frost & Sullivan industry experts, have been
used to present key market highlights, hot growth topics, global
and regional hot spots, areas of market convergence, and bold
predictions for 2012," explains John Raspin, Director and Partner
at Frost & Sullivan.
The key themes outlined below feature heavily in Frost &
Sullivan's energy and environment research program for 2012. A key
driver for the research is the work Frost & Sullivan has been
conducting around Mega Trends which are driving new and emerging
market segments for key industry participants.
Convergence and Value Chain integration
Energy and environment players see the greatest convergence
today from within their own sector as well as the industrial
automation and ICT industries.
It is also highly significant the convergence between energy and
automotive markets and relates primarily to the emergence of
electric vehicles and e-mobility that is driving innovation in
batteries, energy storage, transmission and distribution
infrastructure, battery charging and integration of mobility into
the smart home.
Convergence opportunities exist also in the water sector driven
by innovation among treatment technology, process control and
automation & instrumentation sectors.
Value chains, less consolidated and stretching across hundreds
of components, have been and are still presenting many
opportunities in the renewable energy industry. Wind power is the
most highly attractive segment to European companies.
Solar PV still has a positive growth outlook but opportunities
for European players are slowly vanishing as the global market
becomes more dominated by Chinese players. Chemical and material
companies have begun to take significant steps further down the
value chain to acquire key technology and solution capabilities in
the fast growing and high potential energy and environment
markets.
Smart Technology
Smart technology is going to play a key role in the future
development of the energy and environment sector with efficiency
improvements at the centre of the market evolution. Smart grids,
buildings, homes, cities and water networks will all become a
reality this decade, thus creating far-reaching market growth
opportunities.

Distributed generation
There is and will be increasing focus on deployment of small
scale renewable energy close to the point of consumption.
This will create opportunities for suppliers or micro-generation
technologies as well as requiring new strategies and business
models from power generation companies and utilities.
Growth of distributed generation, legislation surrounding this
market as well as integration of distributed generation into the
grid are emerging trends especially in the developed markets.
Frost & Sullivan insight on the three big
predictions for 2012 and beyond is available on SlideShare - Click
Here.
To know more about Frost & Sullivan predictions and to find
out where the global hot spots are in the energy and environment
industry, please contact Chiara Carella, Corporate Communications,
at chiara.carella@frost.com