Global Energy Trading and Risk Management (ETRM) Market 2023-2030

Global Energy Trading and Risk Management (ETRM) Market 2023-2030

Global Energy Trading and Risk Management (ETRM) Market Size, Share & Trends Analysis Report by Type (Software, Solutions, and Service), and by Application (Power, Natural Gas, Oil and Products, Others) Forecast Period (2023-2030)

The global ETRM market is expected to witness substantial growth, with a projected CAGR of 5.6% during the forecast period. The market is driven by factors such as increasing demand for efficient energy trading and the need for effective risk management. Also, the growing adoption of ETRM software to manage energy demand and supply among companies is anticipated to propel the growth of the market. For instance, in July 2019, global independent power producer InterGen announced the successful implementation of its new Energy Trading and Risk Management (ETRM) system, which provides the company with enhanced trading, monitoring, and reporting capabilities. The ETRM provides a full front-to-back office solution to allow the valuation and optimization of the InterGen portfolio while providing additional controls, regulatory reporting, and an improved user experience.

Segmental Outlook

The global ETRM market is segmented based on type, including software and solutions, and service. The market is further categorized based on applications, such as power, natural gas, oil, products, and others. Among types of segments, the software segment is anticipated to hold a prominent market share due to its crucial role in managing energy trading operations and risk assessment. Among application segments, the power sub-segment is anticipated to hold a prominent market share.

The Application Segment is Projected to Experience Substantial Growth of the Global Energy Trading and Risk Management market

Among application segments, the power sub-segment is anticipated to hold a prominent market share. The growth of the sub-segment is led by the growing demand of energy across the regions, that has created significant demand for tools and software's to manage demand, supply and stock of electricity. With ETRM, companies can keep track of their electricity inventory, where it comes from, and how much it costs. They can also predict future electricity prices. This helps them make smart decisions about buying and selling electricity, so they can provide reliable power while also making a profit.

Regional Outlook

The energy trading and risk management market is analyzed based on geography, including North America (the US and Canada), Europe (Italy, Spain, Germany, France, and others), Asia-Pacific (India, China, Japan, South Korea, and others), and the Rest of the World (the Middle East and Africa, and Latin America). The market can be analyzed for a particular region or country level as per the requirement. Among regions, the Asia-Pacific region is projected to experience prominent growth, driven by the increasing demand for energy and the adoption of advanced technologies in the energy sector.

Global Energy Trading and Risk Management (ETRM) Market Growth, by Region 2023-2030

Source: OMR Analysis

North America is Anticipated to Hold a Significant Share in the Global Energy Trading and Risk Management (ETRM) Market

North America is set to dominate the global energy trading and risk management (ETRM) market. The growth of the market is attributed to a robust energy market, stringent regulations, and technological advancements. Also, the growth in the region is driven by the rising number of start-ups and the growing funding of such start-ups and companies working to provide new and innovative solutions in the energy trading and risk management (ETRM) market. For instance, in May 2021, Molecule, a startup software company based in Texas, closed a $12 million Series A startup funding round. The software provides solutions for energy trading and risk management for business customers in the power, natural gas, chemicals, cryptocurrency, and other business segments. However, the company is mainly focused on customers in the electricity and related energy business segments, such as natural gas.

Market Players Outlook

The major companies serving the global energy trading and risk management (ETRM) market include Allegro Development Corp., Amphora Inc., Triple Point Technology Inc., Openlink LLC., Eka Software Solutions, SAP, Accenture, Sapient, Ventyx, and others. The market players are considerably contributing to the market growth by the adoption of various strategies, including mergers and acquisitions, partnerships, collaborations, funding, and new product launches, to stay competitive in the market. For instance, in June 2022, Valsoft Corp. Inc. (""Valsoft""), a Canadian-based company acquired Inatech, a rapidly expanding energy trading and risk management solutions company, previously owned by Glencore. Through this acquisition, Valsoft will be leveraging Inatech's market positioning, product strength, and expertise to build an energy software portfolio to deliver the best mission-critical solutions to companies in the fast-changing and disruptive energy market.

The Report Covers

Market value data analysis of 2022 and forecast to 2030.

Annualized market revenues ($ million) for each market segment.

Country-wise analysis of major geographical regions.

Key companies operating in the global energy trading and risk management (ETRM) market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.

Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.

Analysis of market-entry and market expansion strategies.

Competitive strategies by identifying ‘who-stands-where’ in the market.