The global combined heat and power installation market size is expected to reach USD 12.0 billion by 2027, according to a new report by Grand View Research, Inc., expanding at a CAGR of 3.1% over the period. Modification in preferences towards replacing conventional sources of energy systems on account of uninterrupted power supply and operational cost is expected to drive the market. Growing energy demand from industrial applications, such as paper, pulp, chemical, cement, pharmaceuticals, refining, and sugar is also expected to have a positive impact on market growth. Rising demand for lighting and space heating applications in retail malls, offices, hospitals, and universities has also encouraged CHP installation for commercial applications.Get deeper insights, latest developments & key market drivers in the Global Combined Heat & Power Installation
Generally, the thermal power plants use only half of the heat to generate power, and the rest heat is exhaust through the flue gas, cooling towers, and other means. Through CHP or cogeneration, the surplus heat can be captured and used to generate electricity, which may increase the power plant's productivity to 80%. Strict government regulation to control carbon dioxide (CO2) gases into the atmosphere is expected to drive demand for CHP installations over the projected period.
Market Highlights
• The large-scale type segment share was valued at over USD 7.5 billion in 2019
• Asia Pacific is projected to grow at a substantial rate throughout the forecast period. Japan is expected to account for the maximum share in the Asia Pacific region
• Natural gas fuel type segment dominates the industry, accounting for 65.0% of total market volume in 2019
• In North America, the market is likely to display a moderate growth rate during the projected period
Key Companies & Market Share Insights
The market for CHP installations is moderately consolidated. Companies are focusing on entering in strategic partnership for combined research and development efforts to launch better products in the market combined heat and power installations. Continuing technical developments coupled with growing investments across the R&D sector will certainly augment the market statistics combined heat and power installations. For instance, in April 2018, GE signed a supply agreement with GreenTech to source 21 Jenbacher gas engines for CHP generation in Russian agriculture, glass, food and beverage, and chemical processes industries.
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Key questions answered in this report
• How big is the market?
• What is the market growth?
• Which segment accounted for the largest market share?
• Who are the key players in market?
• What are the factors driving the market?