Gas Turbines For Power Industry Market size is set to grow by USD 2.55 billion from 2024-2028, Growth of distributed power generation base boost the market, Technavio

NEW YORK, July 18, 2024 /PRNewswire/ -- The global gas turbines for power industry market size is estimated to grow by USD 2.55 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of almost 2.31%  during the forecast period. Growth of distributed power generation base is driving market growth, with a trend towards technological innovations in gas turbines. However, volatility in natural gas price  poses a challenge. Key market players include Ansaldo Energia Spa, Bharat Heavy Electricals Ltd., Capstone Green Energy Corp., Caterpillar Inc., Centrax Ltd., Cryostar, Doosan Corp., General Electric Co., Harbin Electric Co. Ltd., IHI Corp., JSC The Ural Turbine Works, Kawasaki Heavy Industries Ltd., MAN Energy Solutions SE, MAPNA Group Co., Mitsubishi Heavy Industries Ltd., Motor Sich JSC, OPRA Turbines BV, Pumori Energy Ltd., Siemens AG, and Vericor Power Systems.

Get a detailed analysis on regions, market segments, customer landscape, and companies- View the snapshot of this report

Market Driver

The global gas turbines market for the power industry is driven by stringent carbon emission regulations and the need for lower power generating costs. Major manufacturers, such as General Electric Co. And Siemens AG, are investing heavily in the development of high-efficiency gas turbines to meet these demands. The 9HA/7HA-series CCGT developed by General Electric Power and Water division and Siemens' SGT5-8000H have more than 60% efficiency levels in a combined cycle configuration, making them H-class gas turbines. Manufacturers like GE aim for even higher efficiency levels, targeting 65% in the future. They are focusing on advanced coatings for turbine blades to increase metal reliability at high temperatures and improve efficiency. Fuel flexibility is another key focus area, as fuel compositions vary across regions. For instance, crude oil is prominent in the Middle East, while natural gas is popular in the US. Durability is crucial, as operational failures and consequent downtime for maintenance and service cause significant financial losses. Modern gas turbines offer increased durability, with a typical F-class turbine operating for 24,000 hours before a scheduled inspection, expected to increase to 25,000 hours with H-class turbines. Technological innovations in gas turbines will positively impact market growth during the forecast period. 

The Gas Turbines for Power Industry market is witnessing significant trends in durability and minimizing downtime. Advanced designs and control systems are key focus areas for manufacturers to meet increasing electricity demand and infrastructure development. Industrialization, smart building, and city projects drive the need for heavy-duty and light industrial gas turbines. Emission norms and natural gas prices impact the market, with geopolitical tension and shale gas influencing capacity and technology. Sectors like power utilities, manufacturing, aviation, and distributed power generation benefit from technological advancements. Mechanical energy from turbine blades generates electrical energy, with simple cycle and combined cycle turbines, CHP plants, and gas-based power becoming popular. The energy industry embraces CO2 reduction and power generation trends, including simple cycle and combined cycle turbines, and the shift from coal-based power to gas-based power continues. 

Discover 360° analysis of this market. For complete information, schedule your consultation - Book Here!

Market Challenges

• The global gas turbines market for the power industry is experiencing significant growth due to the increasing shift towards cleaner modes of power generation. However, the market's expansion is being hindered by the volatility of natural gas prices. Utilities aim to maintain a balanced feedstock portfolio to protect power prices from price fluctuations. However, the rising trend of natural gas-driven power plants increases the reliance on natural gas. With historically unstable natural gas prices, over-reliance on this fuel source could expose consumers to high prices. The U.S. Benchmark Henry Hub natural gas price averaged USD2.57 per million British thermal units (MMBtu) in 2023, while India's domestic natural gas price was USD 8.47 per million metric British thermal unit (mmBtu) in the same year. Natural gas price volatility, caused by production and consumption imbalances, may discourage the use of natural gas in gas-based power plants, negatively impacting the growth of the global gas turbines market for the power industry during the forecast period.
• In the power industry, gas turbines face challenges from various fronts. Climate change and lockdowns push for more renewable energy sources like wind and solar. Population growth and urbanization increase power demand, particularly in offshore locations. Oil and gas prices impact utility segment profitability. Combined cycle turbines, a popular choice, require reliable transmission and distribution systems to minimize losses. Coal plants face closure due to environmental concerns. Workforce and supply chain issues hinder power plant projects. Joint ventures between companies like Aksa Power and Siemens Energy innovate with combustor, gas compressor, turbine, and turbo fan technology. Cooling technologies, materials, and diagnostics ensure machinery reliability. Operating costs, fuel consumption, and efficiency levels are key concerns. NOx emissions require CCS and hydrogen-fueled gas solutions. Investment issues, international borders, and travel restrictions add complexity. Experts explore steam turbines, efficiency levels, and materials to optimize power generation equipment.

For more insights on driver and challenges - Request a sample report!

Segment Overview 

This gas turbines for power industry market report extensively covers market segmentation by  

1. Product 
• 1.1 Heavy-duty gas turbine
• 1.2 Aeroderivative gas turbine
2. Technology 
• 2.1 CCGT
• 2.2 OCGT
3. Geography 
• 3.1 APAC
• 3.2 North America
• 3.3 Europe
• 3.4 Middle East and Africa
• 3.5 South America

1.1 Heavy-duty gas turbine-  The power industry is witnessing a surge in demand for heavy-duty gas turbines due to their extensive use in large-scale power generation facilities. With increasing power consumption worldwide, the need for electric power is anticipated to grow significantly during the forecast period. According to Technavio, power generation activity is expected to increase globally, particularly in developing nations. Environmental concerns are driving the shift towards gas-based power generation, boosting the demand for gas turbines. High-baseload plants requiring turbines with over 300 MW capacity are expected to contribute significantly to the growth of the global gas turbines market for the power industry. Vendors like General Electric Co. Are securing long-term agreements with customers for the construction of new heavy-duty gas turbines to expand their market presence. For instance, in March 2022, General Electric received an order from Harbin Electric for three GE 9HA.01 gas turbines. This increase in orders for heavy-duty gas turbines can accelerate market growth during the forecast period.

For more information on market segmentation with geographical analysis including forecast (2024-2028) and historic data (2017-2021) - Download a Sample Report

Learn and explore more about Technavio's in-depth research reports

The global power electronics market is rapidly expanding, driven by increased adoption in automotive, consumer electronics, and renewable energy sectors. Key trends include the shift towards electric vehicles and renewable energy sources, spurring demand for efficient power conversion and control devices.

The global wind turbine monitoring systems market is growing as wind energy becomes a prominent source of renewable power. These systems ensure optimal turbine performance and reduce maintenance costs by providing real-time data on operational parameters and performance metrics.

The global clean energy technologies market is flourishing with advancements in solar, wind, and energy storage solutions. Government incentives and environmental concerns are accelerating adoption, fostering innovation in efficient energy generation, distribution, and storage technologies.

Research Analysis

The Gas Turbines for Power Industry Market is a significant segment of the energy industry, focusing on the generation of mechanical energy from gas turbines to produce electrical energy. Turbines, including simple cycle and combined cycle, convert the energy from gas combustion into mechanical motion, which drives a generator to produce electricity. Technological advancements in turbine blades, combustors, gas compressors, and turbo fans have led to increased efficiency and reduced emissions, making gas-based power a competitive alternative to coal-based power. Distributed power and CHP plants are also gaining popularity due to their ability to generate electricity and heat locally. However, investment issues, international borders, and travel restrictions can impact power plant projects. The workforce and supply chain are crucial components of the market, requiring expertise in machinery and power generation equipment. The market's growth is influenced by factors such as CO2 emissions, GHG regulations, and the demand for cleaner energy sources.

Market Research Overview

The Gas Turbines for Power Industry Market is witnessing significant growth due to the increasing demand for mechanical energy and electrical energy in the energy industry. Technological advancements in turbine blades, generators, and cooling technologies are driving the market. The shift towards distributed power and the reduction of CO2 emissions due to climate change and emission norms are also key factors. The market comprises simple cycle turbines and combined cycle turbines, used in gas-based and coal-based power plants, as well as CHP plants. The power generation sector, including oil and gas, utility, and industrial segments, is investing in joint ventures and power plant projects to meet rising electricity demand and infrastructural development. The market is facing challenges such as investment issues, international borders, and travel restrictions, as well as machinery and power generation equipment supply chain disruptions. Experts predict that the market will continue to grow due to population growth, urbanization, and the increasing use of offshore locations for power generation. The market also includes components such as combustors, gas compressors, turbo fans, and control systems, as well as materials and diagnostics for reliability, durability, and downtime reduction. The future of the market lies in the adoption of hydrogen-fueled gas, CCS, and efficiency level improvements, as well as the development of smart building and smart cities projects. Factors such as fuel consumption, operating costs, NOx emissions, and natural gas prices also impact the market. Geopolitical tensions, shale gas, and capacity expansion are also significant factors. The market includes heavy-duty, light industrial, aeroderivative, and cycle types.

Table of Contents:

1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation

• Product
• Heavy-duty Gas Turbine
• Aeroderivative Gas Turbine
• Technology
• CCGT
• OCGT
• Geography
• APAC
• North America
• Europe
• Middle East And Africa
• South America

7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix

About Technavio

Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.

With over 500 specialized analysts, Technavio's report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio's comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.

Contacts

Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: [email protected]
Website: www.technavio.com/

SOURCE Technavio

WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Digital Media
Outlets

270k+
Journalists
Opted In

GET STARTED