Home > Pressrelease > Heat Recovery Steam Generator Market worth over $2 Bn by 2030
Heat Recovery Steam Generator Market worth over $2 Bn by 2030
- Published Date: September 28, 2022
Heat Recovery Steam Generator Market size is anticipated to cross USD 2 billion by 2030, according to a new research report by Global Market Insights Inc.
Heat recovery systems such as the combined cycle technology can help reduce emissions while offering the same or higher power output. These systems improve the thermal efficiency of a facility by recovering high-temperature exhaust gas. Consequently, many oil & gas companies are adopting these steam generation systems to optimize their operations. For instance, the Appomattox production platform of Shell in the Gulf of Mexico is one of the first offshore sites in the world to integrate a combined cycle power facility. Such large-scale adoptions of the technology will stimulate the industry dynamics.
Continuous advancements in horizontal drum technology to transform the industry outlook
The horizontal drum design segment is set to hold a significant share of the heat recovery steam generator market by 2030. Consistent technological advancements, in addition to continuous growth of combined cycle facilities, will augment the technology adoption. Furthermore, horizontal designs are easily compatible with gas turbines and require lower capital expenditure, which may further fuel the segment progress.
Wide-ranged applications to increase demand for >30 MW – 50 MW rated power systems
Heat recovery steam generator market from ≥ 30 - 50 MW rated power segment is expected to register a growth rate of over 5.5% through 2030. This growth is attributed to the rising adoption of this power system across a variety of industries. Power systems rated >30 MW – 50 MW are deployed in oil & gas, power generation station, and other industrial processes. Favorable regulatory norms from government authorities regarding the installation of efficient energy systems will significantly increase product demand, creating lucrative opportunities for heat recovery steam generator manufacturers.
High reliability of combined cycle operation to increase HRSG adoption
In terms of mode of operation, the combined cycle segment is poised to showcase substantial gains during the forecast period. Availability of high-grade heat, along with lower emissions and high reliability, are the key factors driving the technology installation. Additionally, rising inclination toward gas-powered systems, coupled with stricter emission regulations, will boost the industry expansion.
Browse key industry insights spread across 390 pages with 664 market data tables & 29 figures & charts from the report, “Heat Recovery Steam Generator Market Size By Design (Horizontal Drum, Vertical Drum), Rated Power (≤ 30 MW, ≥ 30 - 50 MW, ≥ 50 - 100 MW, ≥ 100 - 200 MW, ≥ 200 MW), By Mode of Operation (Cogeneration, Combined Cycle), By Application (Utilities, Commercial, Chemicals, Refineries, Pulp & Paper), Covid-19 Impact Analysis, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2022 – 2030”, in detail along with the table of contents:
Growing demand for heat generation to increase product installation across utilities
In terms of the applications, the heat recovery steam generator market from utilities application segment accounted for USD 550 million in 2021, due to the increasing demand for heat generation and electricity across emerging economies. According to the International Energy Agency (IEA), there was a 5% rise in the demand for electricity in 2021, most of which was observed across India and China. In addition, escalating concerns surrounding climate change have led companies to adopt sustainable solutions to limit carbon footprint, thereby propelling the demand for heat recovery steam generators in utility applications.
Stringent climate change policies to drive industry trends across Europe
Europe region is predicted to account for more than 28% share of the global heat recovery steam generator market by 2030, owing to stricter climate change policies across the region. Many European nations have implemented national initiatives aimed at limiting greenhouse gas emissions. The Fit for 55 package and the European Green Deal’s Climate Target Plan have recognized the critical role of cooling and heating in the transition toward clean energy. With such stringent climate policy, energy companies are being pushed to integrate environment-friendly products and services, which will foster regional industry development.
Key agreements among industry players to influence the competitive landscape
Key participants operating in the heat recovery steam generator market are John Wood Group PLC, Kawasaki Heavy Industries, Babcock & Wilcox Enterprises, Bharat Heavy Electricals Limited (BHEL), Cleaver-Brooks, Clayton Industries, Mitsubishi Heavy Industries, General Electric, Siemens Energy, Rentech Boilers, Thermax Limited, Kelvion Holding GmbH, and S.A. HAMON. These leaders are engaging in strategic agreements to expand their business footprint.
For instance, in March 2022, Mitsubishi Power, Mitsubishi Heavy Industries’ power division, received a contract for two 32 MW H-25 gas turbines as well as heat recovery steam generator for a natural gas-powered cogeneration facility being constructed in Tashkent, Republic of Uzbekistan. Japan International Cogeneration Agency has offered its support by providing a loan for this project. This venture will provide a stable power supply across Uzbekistan. This and other similar developments represent the favorable growth environment for the market players.