North America Energy as a Service (EAAS) Market
North America Energy as a Service (EAAS) Market by Type (Energy Supply Services, Operational & Maintenance Services, Energy Efficiency & Optimization Services), End User (Industrial, Commercial) – Forecast to 2030
OVERVIEW
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
The North America energy as a service market is forecasted to reach USD 37.94 billion by 2030 from an estimated USD 21.34 billion in 2024, at a CAGR of 10.1% during the forecast period (2024-2030). Energy as a Service (EaaS) is the process in which customers pay for energy services by means of subscription or pay-per-use, rather than installing a large piece of energy infrastructure. This, in effect, provides businesses and consumers with access to energy solutions, such as renewable energy generation, energy efficiency upgrades, and energy management systems, without the burden of ownership and maintenance.
KEY TAKEAWAYS
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BY TYPEThe energy supply service segment accounted for the largest market share of 56.4% in the North America energy as a service market in 2024.
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BY END USERThe commercial segment is expected to grow at the highest CAGR of 10.7% during the forecast period in the North America energy as a service market.
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BY COUNTRYUS held the largest share of 91.1% in the global energy as a service market.
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COMPETITIVE LANDSCAPECompanies such as Siemens AG, ENGIE SA, Schneider Electric, and Johnson Controls International have formed strategic collaborations and project-based partnerships to deliver integrated EaaS solutions that combine renewable energy generation, storage, and digital energy management systems.
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COMPETITIVE LANDSCAPENextEra Energy Services, Wendel, Entegrity Energy Partners, LLC, Redaptive, and NORSECO have been identified among startups and SMEs, reflecting their emerging market presence and expanding capabilities.
Advancements in innovative grid technologies, energy storage, and real-time monitoring systems enable more efficient energy management. Energy as a service platforms leverage these technologies to provide enhanced services.
TRENDS & DISRUPTIONS IMPACTING CUSTOMERS' CUSTOMERS
The rapid adoption of digital technologies, such as IoT, AI, and machine learning, transforms energy management by enabling real-time monitoring, predictive maintenance, and optimization of energy usage. The shift toward sustainability and decarbonization also drives demand for renewable energy solutions, energy storage systems, and energy efficiency measures. Also, several disruptions are impacting customers’ businesses in the market. Due to rising threats to digital infrastructure, the increasing focus on cybersecurity also presents disruptions as companies need to safeguard their critical energy management systems. Energy as a service providers, such as Siemens, Schneider Electric, and Ameresco, have diversified their product and service offerings across the entire value chain to expand their revenue streams. They are diversifying their business from traditional operations toward digitization and have started adopting advanced technologies. The growing demand for energy-efficient solutions is prompting customers to adopt energy-saving measures, which are crucial in reducing power consumption in industries such as automotive, power generation, and healthcare.
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
MARKET DYNAMICS
Level
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New revenue generation streams for utilities
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Growing emphasis on net-zero emissions
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High service charges and maintenance costs
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Data security and privacy concerns
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Mounting demand for decentralized energy solutions
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Deeper operational and maintenance savings.
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Limited control over energy systems and operations
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Potential long-term cost
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
Driver: Growing emphasis on net-zero emissions
Utilities now provide solutions that incorporate energy procurement, efficiency, and load balancing to adapt. In addition, utilities offer long-term contracts, including Energy Service Performance Contracts (ESPCs), Utility Energy Saving Contracts (USPCs), and Power Purchase Agreements (PPAs). The former contracts work on a pay-for-service or performance-based model. They have their costs covered by the savings generated through energy efficiency. The above-mentioned contracts allow utilities to maintain a stable source of revenue over time. Utilities are changing from being a traditional energy supplier to service-oriented providers through Energy-as-a-Service (EaaS), using products such as solar panels, battery storage, and energy management systems. This transition boosts customer engagement, opens new revenue opportunities, and strengthens their position in the energy ecosystem. Through integrated solutions and their scale, expertise, and brand equity, utilities are meeting the rising demand for electrification and sustainability while maintaining their competitive edge in the global energy market.
Restraint: High service charges and maintenance costs
Despite the operational efficiency, energy savings, and access to advanced technologies offered by the EaaS model without initial expenditure, the frequent charges for such services can amount to a heavy toll during the lifetime of the agreement. Generally, service charges, maintenance fees, and performance guarantees form standard components of the costs, with parts likely to feature escalation clauses or inflation adjustments. For the customers-those who are primarily small and medium enterprises (SMEs)-it is very essential that they get detailed pricing structures, including hidden costs or penalties for early termination of services, if any, in order to maintain cost-effectiveness. Also, over time, reliance on EaaS providers may discourage a customer from switching to another solution or provider that would be less competitive on price. The constantly changing energy market, with periodic fluctuation of energy price and regulatory changes, adds complexity to long-term cost-effectiveness assessment
Opportunity: Mounting demand for decentralized energy solutions
EaaS is offering successful technology-enabled solutions that can balance demand and consumption and allow for greater penetration of renewables, both residential and commercial. It is well-positioned for investment. For instance, in 2023, Siemens secured a significant portion of the distributed energy market with the establishment of a US-focused joint venture that will build, own, and operate solar panels, battery plants, and microgrids to offer Energy-as-a-Service options to the commercial, industrial, and not-for-profit sectors. These local EaaS energy systems are provided at zero capital cost and achieve greater efficiency at far more intelligent control, mainly for areas where the existing antiquated grids struggle. EaaS plays a huge role in the future as well as the present time for relieving centralized assets from the pressure. Alignment of the grid balance at a local level, through technology-enabled demand response solutions, brings out far more flexibility to smooth out the load curve and integrate volatile, sustainable sources. International Energy Agency (IEA) says renewable energy consumption in the power, heat, and transport sectors increases nearly 60% over 2024-2030. The share of renewable energy in the electricity sector is expected to rise from 30% in 2023 to 46% in 2030. Solar and wind account for almost all this growth. This rapid expansion has a spillover effect, helping decarbonize other sectors in which power is used for industrial processes, heating buildings, and charging electric vehicles. Decentralized and renewable energy solutions will spur the growth of the EaaS market as they improve the resilience of the grid, efficiency, and renewable integration. The growth will further allow EaaS providers to provide flexible and cost-effective services that will fuel further market expansion and sustainability.
Challenge: Limited control over energy systems and operations
While outsourcing energy management to a third-party Energy-as-a-Service (EaaS) provider facilitates a limitation of control over energy systems and operations, it will not be advantageous for customers who prefer more personal control over managing energy use. The reliance on the third-party provider for critical energy services will create such dependency, hence undermining bargaining power and exposing them to higher prices over time. Such a blend of limited control and dependency can point out some drawbacks to the EaaS model for specific customers. Together, these will undermine the customer's confidence in EaaS solutions, hence retarding the market growth and adoption rates. To overcome this challenge, providers must address it with transparent pricing, flexible service models, and strong customer engagement.
NORTH AMERICA ENERGY AS A SERVICE MARKET: COMMERCIAL USE CASES ACROSS INDUSTRIES
| COMPANY | USE CASE DESCRIPTION | BENEFITS |
|---|---|---|
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The University of Northwestern Ohio (UNOH) partnered with Centrica Business Solutions to implement a USD 3.1 million energy efficiency project across its 28-building, 200-acre campus, aimed at reducing energy costs, improving operational efficiency, and enhancing comfort without upfront capital investment. The initiative included LED lighting upgrades, HVAC replacements and motor enhancements, and water system improvements, all funded through energy performance savings. | Achieved 1.9 million kWh in annual electricity savings| 1,393 tons of CO2 emission reductions| Significant water conservation| Improved indoor comfort, air quality, and long-term infrastructure reliability |
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A Fortune 100 company with ambitious energy efficiency goals faced challenges in securing capital for large-scale implementation, which forced it to adopt a fragmented, project-by-project approach that led to inefficiencies and inconsistent results. To address this, the company partnered with a national energy solutions provider and adopted the Energy-as-a-Service (EaaS) model, which integrated financing, technology, construction, monitoring, and reporting under a unified framework. This model shifted all implementation costs and asset ownership to a third party, enabling enterprise-wide energy optimization without upfront investment. | Achieved a scalable, consistent, and cost-efficient energy transformation| Triple the number of facilities upgraded annually, accelerating progress toward sustainability targets| Enhanced operational efficiency, data transparency, and performance tracking, while freeing internal teams to focus on core business objectives| Delivered measurable energy savings, reduced emissions, and established a sustainable foundation for long-term enterprise growth |
Logos and trademarks shown above are the property of their respective owners. Their use here is for informational and illustrative purposes only.
MARKET ECOSYSTEM
The energy as a service analysis shows the interconnections/adjacencies that affect the energy as a service market by showcasing MnM coverage of the market under study. The section highlights the key industries and applications impacting the market under study. The energy-as-a-service market ecosystem involves key players operating across various levels. Companies, such as First Solar, Vestas, Tesla, and SMA Solar Technology, serve as leading equipment suppliers, providing critical components for the market. Major service providers, such as Schneider Electric, Siemens, Ameresco, and Johnson Controls, offer energy as a service to industrial and commercial customers. Companies, such as Duke Energy, Southern Company, and Xcel Energy Inc., are the energy producers and support EaaS providers in integrating renewable energy and optimizing grid distribution. End users, including the University of Northwestern Ohio and BAE Systems, rely on service providers for energy management in their operations. This interconnected network drives innovation and growth within the North America energy as a service market.
Logos and trademarks shown above are the property of their respective owners. Their use here is for informational and illustrative purposes only.
MARKET SEGMENTS
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
Energy as a Service Market, By Type
The energy as a service market in North America, by type, is segmented into energy supply services, operational and maintenance services, and energy-efficiency and optimization services. Utilities and service providers are being forced to innovate flexible alternatives for energy supply that will ensure energy security and aid the decarbonization of energy systems. Other factors regulating the segment include renewable energy Power Purchase Agreements (PPAs) coming into the picture, several advances in energy storage technologies, and growing deployment of DERs, like rooftop solar installations and microgrids. As far as the emergence of the digital grid technologies, AI, and IoT are concerned, digital transformation is enabling a better dispatching and management of energy consumption in the power sector. With the introduction of facilitating government policies and incentives toward a shift to green energy, this is a good opportunity for market growth for energy supply services.
Energy as a Service Market, By End User
The commercial buildings have now become more vulnerable to the fluctuations in electricity and natural gas prices, which are difficult to predict, thereby placing businesses in a challenging situation regarding their budgets and squeezing their profits. The Energy-as-a-Service models come to the rescue in these situations by providing not only the regularity in pricing through the service but also long-term contracts and wise energy buying, which make it possible for the companies to have cost predictability, proper financial planning, and market volatility protection.
REGION
US to be the largest country in North America Energy as a Service market during forecast period
The US stands as the most extensive and developed market for Energy as a Service (EaaS) in North America, which can be attributed to its large-scale energy demand from commercial and industrial sectors, state-of-the-art energy infrastructure, and favorable policy environment. The fluctuations in electricity prices that are quite common in different regions, in addition to the problem of aging building and grid infrastructure, have hastened the transition to service-based energy models that are characterized by lower up-front capital requirements and guaranteed performance outcomes. The US has a wide variety of commercial buildings, data centers, hospitals, universities, and government properties which all contribute to its ideal position for entering into long-term EaaS contract.
NORTH AMERICA ENERGY AS A SERVICE MARKET: COMPANY EVALUATION MATRIX
ENGIE (Star) draws support through its powerful integrated energy solutions and its extensive portfolio of distributed renewable assets. GE Vernova (Emerging Leader) is also becoming a significant player in the EaaS ecosystem by taking advantage of its know-how in power generation technologies, grid solutions, energy storage, and digital optimization.
Source: Secondary Research, Interviews with Experts, MarketsandMarkets Analysis
KEY MARKET PLAYERS
- ENGIE (France)
- Enel X S.r.l (Italy)
- Schneider Electric (France)
- Ameresco (US)
- Siemens (France)
- Johnson Controls (Ireland)
- EDF Energy (US)
- Edison Internationalv (US)
- GE Vernova (US)
- Veolia (France)
- Honeywell International Inc. (US)
MARKET SCOPE
| REPORT METRIC | DETAILS |
|---|---|
| Market Size in 2025 (Value) | USD 23.47 BN |
| Market Forecast in 2030 (value) | USD 37.94 BN |
| Growth Rate | CAGR of 10.1% during 2025–2030 |
| Years Considered | 2020–2030 |
| Base Year | 2024 |
| Forecast Period | 2025–2030 |
| Units Considered | Value (USD billion/million) |
| Report Coverage | Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
| Segments Covered |
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| Countries Covered | US, Canada, Mexico |
WHAT IS IN IT FOR YOU: NORTH AMERICA ENERGY AS A SERVICE MARKET REPORT CONTENT GUIDE
DELIVERED CUSTOMIZATIONS
We have successfully delivered the following deep-dive customizations:
| CLIENT REQUEST | CUSTOMIZATION DELIVERED | VALUE ADDS |
|---|---|---|
| Company profiling | Competitive Landscape Customization | Startup and ESCO landscape mapping, Utility-affiliated EaaS providers, Strategic partnerships and M&A tracking |
RECENT DEVELOPMENTS
- May 2023 : Enel X S.r.l. and Ferrari announced the establishment of Italy's first Industrial Renewable Energy Community in Fiorano. This will be driven by a 1 MW photovoltaic system. The energy output would amount to 1,500 MWh annually. It will save the emission of about 650 kg of CO2 per year. It is local renewable energy optimization, thus scalable for future additions. This falls into Enel X's portfolio in its role in the energy transition in Italy, following other sustainable initiatives with Ferrari.
- July 2022 : Siemens joined the AWS Partner Network as a Technology Partner to provide customers with industrial cybersecurity, analytics, and storage solutions. Siemens Energy’s AI-driven Managed Detection & Response (MDR) solution is a first-of-a-kind security offering available in the AWS Marketplace, built for energy and utilities by an integrated energy technology company focused across the entire energy value chain.
- June 2022 : Schneider Electric teamed with Hitachi Energy. The firms will speed up the shift of energy by the middle and high portfolios that partner. Together with their offerings, they will move at a more aggressive pace for even more intelligent solutions for improving supply chain, with more efficient methods in managing sustainability and decarbonization for the various industries of renewables operations and data center operations.
- December 2021 : Schneider Electric purchased 85.85% of Qmerit in December 2021 and fully merged it with the Energy Management segment. Qmerit is helping people shift away from fossil fuel-based traditional systems toward more sustainable, resilient, electric technologies.
Table of Contents
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Methodology
This study consisted of four major phases in estimating the current size of the North America Energy as a Service (EAAS) Market. Extensive secondary research was done to extract information from the market, peer markets, and parent markets. The next stage was the validation of these data from secondary findings, assumptions, and market sizing with industry experts across the value chain through primary research. Both top-down and bottom-up approaches were incorporated in estimating the entire size of the market. Then, the market break-down and data triangulation were done for estimating the market size of the segments and sub-segments.
Secondary Research
The research study on North America Energy as a Service (EAAS) Market included maximum utilization-or-indirect utilization-of directories, databases, and secondary sources, including Hoovers, Bloomberg, Businessweek, UN Comtrade Database, Factiva, International Energy Agency, International Monetary Fund, United Nations Conference on Trade and Development, US Energy Information Administration, BP Statistical Review of World Energy, US Energy Information Administration, European Committee of Electrical Installation Equipment Manufacturers, US Environmental Protection Agency, among others, to identify and gather relevant information helpful for preparing the technical, market-oriented and commercial study. Other secondary sources included white papers, articles by renowned authors, annual reports, press releases & investor presentations of companies, recognized publications, manufacturer associations, trade directories, and databases.and supply chain to identify key players based on products; services; market classification and segmentation according to offerings of major players; industry trends related to product types, deployment mode, architecture, end user and regions; and key developments from both market- and technology-oriented perspectives.
Primary Research
Amidst primary sources mentioned are various industry experts from core and allied industries, service providers, IoT, cloud-based solution providers, and utility provider in all segments of these industries' value chain. Several primary sources on both the supply side and demand sides of this market had been interviewed to gather qualitative and quantitative information. In the canvassing of primaries, several departments within organizations namely sales, engineering, operations, and managers were covered in order to provide an all-sided viewpoint in our report The primary respondents' breakdown is provided.
In the complete market engineering process, the top-down and bottom-up approaches and several data triangulation methods were extensively used to perform the market size estimations and forecasts for all segments and subsegments listed in this report. Extensive qualitative and quantitative analyses were conducted to complete the market engineering process and list key information/insights throughout the report.
Market Size Estimation
Both the top-down and bottom-up approaches were used to estimate and validate the size of the North America Energy as a Service (EAAS) Market and its dependent submarkets. The key players in the market were identified through secondary research, and their market share in the respective regions was obtained through primary and secondary research. The research methodology includes the study of the annual and financial reports of top market players and interviews with industry experts, such as chief executive officers, vice presidents, directors, sales managers, and marketing executives, for key quantitative and qualitative insights related to the North America Energy as a Service (EAAS) Market.
Data Triangulation
After arriving at the overall market size from the estimation process explained above, the total market has been split into several segments and sub-segments. Data triangulation and market breakdown procedures have been used wherever applicable to complete the overall market engineering process and to arrive at the exact statistics for all segments and sub-segments. The data has been triangulated by studying various factors and trends from both the demand and supply sides. The market has been validated using both the top-down and bottom-up approaches. Then, it was verified through primary interviews. Hence, for every data segment, there are three sources—the top-down approach, the bottom-up approach, and expert interviews. When the values arrived at from the three points matched, the data was assumed to be correct.
Market Definition
Energy as a Service (EaaS) is the process in which customers pay for energy services by means of subscription or pay-per-use, rather than installing a large piece of energy infrastructure. This in effect provides businesses and consumers access to energy solutions like renewable energy generation, energy efficiency upgrades, and energy management systems without the burden of ownership and maintenance. There are three key trends that define the EaaS market, viz., growing adoption of renewable energy sources, growing smart grid technologies, and the rise in reliance on data-driven decision making for energy management.
The EaaS market is rapidly evolving, driven by government initiatives and private sector investments, with a focus on various technologies such as AI, IoT, and energy management. The market for energy as a service is defined as the sum of revenues generated by global companies through the services offered by them.
Stakeholders
- Analytics companies
- Combined Heat and Power (CHP) project developers
- Consulting companies in the power sector
- Distributed Energy Resources (DER) technology manufacturers
- End users with a heavy energy portfolio across industrial, commercial, military, and government sectors
- Energy management companies
- Energy service companies
- Financiers
- Microgrid developers
- Solar PV project developers and technology manufacturers
- Utilities
Report Objectives
- To define, characterize, segment, and forecast the North America Energy as a Service (EAAS) Market with respect to market size and volume, end-user, and region.
- To forecast the market size by value, for five regions- South America, North America, Europe, Asia Pacific, and Middle East & Africa, and their key countries.
- To strategically analyze each of the subsegments to understand individual growth trends, prospect, and contribution of segments to cumulative market size.
- To provide detailed information about the key drivers, restraints, opportunities, and challenges affecting the growth of the market
- To analyze the market opportunities for stakeholders and details of the competitive landscape for market leaders
- To analyze competitive developments, like sales contracts, agreements, investments, expansions, new product launches, mergers, partnerships, joint ventures, collaborations, and acquisitions in the North America Energy as a Service (EAAS) Market
- To benchmark market players using the company evaluation matrix, which analyzes market players on broad categories of business and product strategies adopted by them
- To compare key market players for the market share, product specifications, and applications.
- To strategically profile key players and comprehensively analyze their market ranking and core competencies.
Note: 1. Core competencies of companies are captured in terms of their key developments and product portfolios, as well as key strategies adopted to sustain their position in the North America Energy as a Service (EAAS) Market.
Available Customizations
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- Detailed analysis and profiling of additional market players (up to five)
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Growth opportunities and latent adjacency in North America Energy as a Service (EAAS) Market