Micro Turbines Market: Current Analysis and Forecast (2021-2027)

Micro Turbines Market: Current Analysis and Forecast (2021-2027)

Micro Turbines Market is anticipated display a CAGR of around 5% over the forecast period (2021-2027). The Micro Turbines market has captured significant market demand and is expected to grow at an influential rate in the forecasted period as well. It is mainly due to increasing digitization and a rise in the population. Moreover, the government is investing in expanding its existing electricity transmission and distribution systems to cater to the rising electricity demand due to rapid urbanization and industrialization. Furthermore, a rise in average electricity consumption is anticipated to account for steady growth in the Micro Turbines market. In addition, increasing consumption of electricity and a growing emphasis on renewable electricity generation are the key factors driving the market's growth. For instance, in 2020, annual renewable capacity additions increased 45% to almost 280 GW – the highest year-on year increase since 1999. Exceptionally high capacity additions become the “new normal” in 2021 and 2022, with renewables accounting for 90% of new power capacity expansion globally.

Capstone Green Energy Corporation, FlexEnergy Energy Systems Inc., Toshiba Corporation, Bladon Micro Turbine, Micro Turbine Technology BV (MTT), Calnetix Technologies LLC, Ansaldo Energia S.P.A., NewEnCo., Aurelia Turbines Oy, and Bowman Power Group Ltd. are some of the prominent players operating in the Micro Turbines market. Several M&As along with partnerships have been undertaken by these players to facilitate customers with hi-tech and innovative products/technologies.

Insights Presented in the Report

“Amongst Power Rating, 51–250 kW category to hold significant market share”

Based on power rating, the micro turbine market is bifurcated into three segments: up to 12–50 kW, 51–250 kW, and 251–500 kW. In 2020, the 51–250 kW category accounted for a considerable share of the market. This is mainly due to their higher adoption in across industrial and commercial applications. Moreover, due to growing population, increasing urbanization, and the rise in domestic manufacturing, demand for micro turbines has been on the rise. Additionally, the rising adoption of green buildings due to the increasing awareness pertaining to the health and environment hazards of carbon emission has resulted in fostering the growth of the market worldwide. Micro turbines are used in distributed generation applications due to their flexibility in connection methods, their ability to be stacked in parallel to serve larger loads, their ability to provide stable and reliable power, and their low emissions compared to other technologies.

“Amongst End-User, Commercial category to witness strong CAGR”

On the basis of end-user, the market is categorized into Industrial, Commercial, and Residential. During the forecast period, the commercial category to witness fastest growth owing to the expansion of urban areas and the development of commercial trade hubs coupled with growing focus on using green construction techniques to build energy efficient buildings and reducing construction costs. In addition, construction of green buildings is gaining momentum owing to benefits like less energy consumption and reduced operational and maintenance costs. Governments, especially in developed countries, are offering new policies and initiatives to promote green construction. Furthermore, with rapid rates of urbanization, commercial expansion, and industrial development, emerging countries are creating favorable opportunities for the green building industry. Thus, with rising number of green commercial and industrial buildings, the micro turbine market is also expected to witness significant growth.

“Amongst Application, Combined Heat and Power (CHP) Category to Witness Higher CAGR”

Based on application, the Micro Turbines market has been bifurcated into CHP and Standby Power. The CHP application category is expected to grow at the higher CAGR during the forecast period. This is mainly due to the high adoption and usage of micro turbines in wastewater treatment plants, breweries, rubber mills, paper mills, and others, which require heat to drive various internal processes. Furthermore, in CHP applications, the waste heat from the micro turbine is used to produce hot water, to heat building space, to drive absorption cooling or desiccant dehumidification equipment, and to supply other thermal energy needs in a building or industrial process. Capstone Green Energy Corporation is one of the major player in the market offering micro gas turbine CHP systems with multiple cost, environmental and operational advantages to a broad range of commercial and industrial organizations.

“North America Dominated the Global Micro Turbines Market in 2020”

North America constitutes the largest market for the industry due to higher consumption rates in U.S. construction, mining, wastewater treatment, and pharmaceutical industries. Shale gas developments in the region are also anticipated to significantly contribute to market growth in the near future. Additionally, planned capacity expansions in existing power plants coupled with aging power plants and frequent natural calamities have created enormous growth opportunities for the micro turbine market in this region. Furthermore, major players in the market such as Capstone Green Energy Corporation, FlexEnergy Energy Systems Inc., and Calnetix Technologies LLC have strong presence in North American market. Capstone Green Energy Corporation is one of the largest player in the region offering micro turbine technology solutions for use in stationary distributed power generation and distribution networks applications, including energy efficient CHP, integrated combined heat and power (ICHP), and combined cooling, heat and power (CCHP), as well as renewable energy, natural resources, and critical power supply applications. Thus, growing presence of major players in the region to drive the market growth.

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• The study includes market sizing and forecasting analysis validated by authenticated key industry experts
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• Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry
• The study comprehensively covers the market across different segments
• Deep dive regional level analysis of the industry