Tidal Power Becomes a Key Player in Grid Stability

The Rise of Tidal Energy

As the world seeks cleaner energy alternatives, tidal power is gaining momentum, with companies across the globe investing in this dependable renewable source. Unlike wind and solar, tidal energy stands out for its consistency. Although the adoption of tidal technology has been slow, making some investors hesitant, recent breakthroughs have sparked renewed interest and a wave of new projects slated for 2026.

Understanding Tidal Energy

Tidal energy harnesses the natural movement of ocean tides to generate electricity. There are various forms of marine energy:

• Tidal power: Utilizes the rise and fall of tides to produce electricity.
• Wave power: Captures energy from the motion of surface waves.
• Current power: Taps into the kinetic force of ocean currents.
• Ocean thermal energy conversion: Exploits temperature differences between surface and deep waters.

The predictability of tides makes tidal energy a particularly attractive option for generating clean, reliable power.

Market Growth and Future Prospects

According to a December report by DataM Intelligence, the combined wave and tidal energy market is projected to reach $1.85 billion by 2032, up from $983.11 million in 2024, reflecting an annual growth rate of 8.23% from 2025 to 2032.

The expansion of tidal energy is expected to enhance grid stability in many regions, as the timing of tidal cycles can be forecast years ahead. This predictability aids utilities in planning and managing electricity supply. Additionally, as coastal countries focus on energy independence, tidal power offers a localized, renewable solution that reduces reliance on imported fuels and long-distance transmission.

In 2024, tidal energy systems accounted for about 58% of the global market, or roughly $570 million. This dominance is attributed to their reliability, higher capacity factors, and lower technological risk compared to wave energy. However, advancements in wave energy technology could lead to increased adoption after 2028, according to DataM Intelligence.

The company noted, “Tidal energy systems will continue to drive commercial growth through 2031, while wave energy will become increasingly important for long-term market expansion and technological diversity.”

European Leadership and Notable Projects

Europe currently leads the world in tidal energy capacity, with countries like the UK, France, Norway, and Portugal benefiting from supportive policies and strong offshore engineering capabilities. Scotland, in particular, has emerged as a center for tidal innovation, leveraging its experience in oil, gas, and offshore wind.

One landmark project, MeyGen in Scotland, reached a significant milestone in 2025 after more than six years in operation. Its four underwater turbines, each generating about 1.5 MW, now supply electricity to approximately 7,000 homes annually.

For years, there was skepticism about the long-term viability of tidal turbines in harsh marine environments. Andrea Copping, a marine renewable energy specialist, remarked that the MeyGen project has demonstrated the durability and effectiveness of these systems, overcoming doubts from investors and governments alike.

The MeyGen turbines are installed in the Inner Sound of the Pentland Firth, a channel known for its powerful tidal currents. The project plans to expand by adding 20 more turbines by 2030, following grid upgrades.

Ambitious Plans for the Future

Elsewhere in the UK, Julia Barfield, the architect behind the London Eye, is championing a $14.9 billion initiative to construct a massive tidal power facility along a 14-mile stretch off Somerset’s coast. Barfield envisions this project as a sustainable solution to the UK’s increasing energy needs. The consortium’s CEO emphasized that while funding interest exists, government backing is crucial for the project’s realization.

Looking Ahead

Tidal energy is gaining traction worldwide, especially across Europe. Continued investment and technological progress are expected to drive broader commercial adoption of both tidal and wave energy in the coming years, as new projects continue to demonstrate positive outcomes.

By Felicity Bradstock for Oilprice.com

More Top Reads From Oilprice.com

• AI Set to Drive 50% Rise in Copper Demand by 2040
• UK Power Grid Faces Major Test on 2030 Clean Energy Promise
• Venezuela Set to Export $2 Billion Worth of Crude Oil to U.S.

Oilprice Intelligence delivers expert insights before they hit the headlines. This trusted analysis, relied upon by seasoned traders and policymakers, is available free twice a week—keeping you ahead of market shifts.

Gain access to geopolitical insights, exclusive inventory data, and market trends that influence billions. Plus, receive $389 worth of premium energy intelligence at no cost when you subscribe. Join over 400,000 readers—sign up now for instant access.