Distributed generation indicates small-scale energy generation units where electricity generation occurs with renewable resources such as wind, solar, and others to provide electricity in the power breakdown. The distributed generation market starts with producing primary elements of distributed power technologies, including engines, turbines, solar panels, combustion chambers, and catalyst layers, which are further distributed to several end users. The market is significantly fostered by the rising inclination towards renewable distributed power generation, specifically distributed solar PV installation, due to the diminishing renewable generation of power and system costs and the favorable government policies worldwide. Additionally, the increasing investments in the installation of smart grids in various countries, including the United States, India, and Japan, are expected to escalate the demand for distributed generation of energy. However, the huge initial costs incurred in the equipment are restricting the market growth. The Distributed Generation Market is anticipated to grow at the rate of 14.6% CAGR by 2026.

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Distributed Generation Market based on Technology
Combined Heat and Power (CHP)
Reciprocating Engines
Fuel Cells
Solar PV Cells
Gas & Steam Turbines
Wind Turbines
Distributed Generation Market based on Application
Residential
Commercial
Industrial
Distributed Generation Market based on Geography
North America
Europe
Asia Pacific
Rest of World
The distributed generation market by technology is segregated into Combined Heat and Power (CHP), Reciprocating Engines, Fuel Cells, Solar PV Cells, Gas & Steam Turbines, and Wind Turbines. Among which the solar PV cells segment is holding the maximum share of the market. In this technology, the PV modules made from semiconductor materials are exposed to solar beams, subsequently producing an electrical current. The biggest share of the segment is due to the cost reduction in the equipment and various government initiatives in installing solar PV cells. Moreover, the greenhouse gas emission regulations are projected to majorly boost the adoption of solar PV cell technology for energy generation over the forecasted period.

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