Environmental Consulting - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

Environmental Consulting - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

The Environmental Consulting Market size is estimated at USD 43.86 billion in 2024, and is expected to reach USD 61.62 billion by 2029, growing at a CAGR of 6.01% during the forecast period (2024-2029).

Key Highlights

• The global environmental consulting market has grown significantly in recent years due to various factors, including increased global environmental concern and the need to comply with severe environmental standards. Environmental consulting companies offer various services, including environmental impact assessments, sustainability reporting, environmental management systems, and compliance auditing. These services assist firms in reducing their environmental effect and ensuring compliance with legislation.
• Growing awareness of the environmental impact of human activities has increased the demand for sustainable practices in various sectors. This has generated opportunities for environmental consulting firms to advise businesses on implementing sustainable practices.
• Environmental consulting services are required due to the rising pollution levels in the world. These services support government and commercial efforts to resolve environmental issues, adhere to rules, and lessen environmental effects. The pressing need to manage pollution and environmental harm drives the global environmental consulting market's rapid growth.
• The global environmental consulting market is driven by the shifting regulatory landscape and increased emphasis on firms' environmental friendliness. Globally, governments are enacting stricter environmental standards, and businesses are under more pressure to follow them and show their commitment to sustainability. Environmental consulting companies are essential in assisting businesses in navigating these rules and achieving their sustainability objectives.
• The sluggish adoption of sustainability across fast-growing economies presents a challenge for the global market for environmental consultancy. Like China and India, these economies are rapidly industrializing and degrading. However, the slow adoption rate of sustainability techniques in these nations presents a problem for environmental consulting companies looking to advance sustainability.
• The emergence of COVID-19 prompted the industrial sector to reconsider its old manufacturing methods, primarily driving digital transformation and smart manufacturing techniques throughout production lines. Manufacturers were also driven to develop and execute various novel and agile product and quality control approaches.
• Intense competition in the post-pandemic world is one of the most challenging problems in environmental consulting. Customers can choose an environmental consultant from a wide range of expertise by looking them up online. Lastly, to maintain their lead in the market, businesses must adopt a new competitive mindset and show off their unique qualities.

Environmental Consulting Market Trends

Public Sector End-user Industry is Expected to Hold Significant Market Share

• The public sector is a segment of the economy that includes all government-owned and operated entities. This encompasses everything from schools and hospitals to highways and bridges. The primary goal of the public sector is to provide services deemed necessary for societal well-being. These services are often given for free or at a reduced fee.
• Public sector environmental consulting is a type of management consulting that works with municipal, state, and federal governments and government agencies. Some large management consulting companies (BCG, McKinsey, Monitor, Booz&Co., and PA Consulting Group) do public sector engagements as part of their overall business.
• The public sector is critical to the efficient running of society. It delivers essential services that are required for the communities' well-being. Furthermore, the public sector is essential to promoting economic growth and stability.
• Governments typically employ consultants to provide temporary expert services in engineering, information technology, or strategy. Government officials state that consulting businesses provide specialized expertise and skills often unavailable to the public sector and are more effectively supplied through project-based contracts.
• Furthermore, governments in various public sectors worldwide are increasingly turning to consultants to help them meet their overall development goals. As a result of all these causes, the consulting business is expected to expand significantly in the coming years. For instance, in May 2022, Lufthansa partnered with BCG for strategy consulting services to assist their business recovery plan. The German government acquired a 20% interest in the firm, freeing up EUR 9 billion (USD 9.79 billion) to safeguard the troubled airline's immediate survival.
• An environmental consultant addresses issues, such as contamination of the land and water, waste management policies, environmental management systems, air assessment, environmental impact assessment, environmental audit, the management of legislative issues for clients, the development of conceptual models (identifying and considering potential contaminant sources), ongoing communication with clients, inspectors, and regulators identifying previous activities and any contamination when assessing property. The population and globalization have increased global waste volume. In recent years, according to a World Bank Group Report, the world has created 2.01 billion tonnes of municipal solid waste (MSW), with at least 33% of that-to put it mildly-not being managed ecologically sustainably.
• Worldwide, trash created per person per day averages 0.74 kilograms but varies greatly, ranging from 0.11 to 4.54 kilos. Despite having just 16% of the world's population, high-income nations create around 34% of the world's garbage or 683 million tonnes, and it is expected to grow to 3.40 billion tonnes by 2050. The United States and Denmark are two of the global highest per capita producers of municipal solid garbage. These nations' residents generate more than 800 kilograms of garbage annually on average.

North America is Expected to Hold the Significant Market Share

• Growing emphasis on environmentally friendly company practices, rising concerns about climate change, and regulatory requirements for environmental compliance are the key reasons propelling the environmental consulting market in the United States. The need for effective and efficient management of waste, pollution, and natural resources is also driving demand for environmental consulting services. In addition, expanding industrial sectors has given consulting companies a chance to offer environmental assessments and remedial services. The market for environmental consulting in the United States is increasing as a result of mergers and acquisitions within the sector.
• The necessity for enterprises to manage environmental hazards, as well as greater regulatory scrutiny and the importance of sustainability, are some of the factors driving the environmental consulting market in the United States. Increased regulatory scrutiny is a significant factor in the growth of the environmental consulting industry in the United States. The federal and state governments have implemented several environmental rules to safeguard the environment and public health.
• These regulations cover many areas, such as waste management, hazardous materials, and air and water quality. Organizations disregarding these standards risk severe penalties, such as fines and legal action. For assistance navigating the complicated regulatory landscape and ensuring compliance with environmental standards, many enterprises turn to environmental consulting firms.
• Numerous federal and provincial laws and regulations in Canada regulate sustainability and environmental preservation. These laws impose strict ecological requirements on businesses, such as controlling hazardous waste and reducing greenhouse gas emissions. Environmental consulting companies frequently need their skills to comply with these rules. The Canadian government recently unveiled its strategy for achieving net zero emissions by 2050. It will necessitate significant adjustments in how firms run their operations and boost demand for environmental consulting services.
• By 2030, the Canadian government wants to generate 90% of its electricity from renewable resources. Projects using renewable energy, such as wind and solar farms, have grown due to this. For these projects, environmental consulting companies are frequently hired to conduct environmental impact analyses and guarantee regulatory compliance.

Environmental Consulting Industry Overview

The environmental consulting market is highly fragmented, with the presence of major players like Jacobs Solutions Inc., AECOM, WSP Global Inc., Stantec Inc., and Ramboll Group AS. Players in the market are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain sustainable competitive advantage.

• September 2022 - Tetra Tech acquired RPS Group PLC. This acquisition aims to help the company to expand its global presence. The RPS Group significantly extends Tetra Tech's water practice in the United Kingdom and strengthens Tetra Tech's leadership position in renewable energy and environmental management. The merger expands the geographic footprint in the United Kingdom, the European Union, and Australia.
• August 2022 - Arup entered various contracts and agreements, expanding its existing operations and strengthening its market position. The company partnered with Matidor.com to enable civil engineers to model multiple urban planning scenarios and calculate and optimize energy efficiency in real-time to develop the best-performing model to achieve maximum environmental impact. In the same month, the company secured a contract from Velindre University NHS Trust to develop Velindre Cancer Centre in the United Kingdom.

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