Combined Heat and Power Market Analysis | 2023-2028

Market Highlights

The Combined Heat and Power Market was estimated to grow from US$ 27.9 billion in 2022 to reach US$ 38.91 billion by 2028 at a CAGR of 5.7% during the forecast period.

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What is combined heat and power generation?

The process of generating both, heat and electricity, at the same time is known as combined heat and power (CHP) generation. Different fuels, such as natural gas, biofuels, and oil, are used in the process. CHP is a system that recovers lost energy by using waste heat. It provides heat to the power plant or the buildings connected to the power plant via a steam pipe network.

Market Drivers

These factors are expected to boost the demand for the market in the coming year:

• Ongoing investments to reduce the reliance on conventional coal-fired power plants.
• Rising demand for clean energy.
• Increasing urbanization and industrialization.
• Growing adoption of biomass power.

Segments Analysis

This report studies the market covering a period of 12 years of trend and forecast. The report provides detailed insights into the market dynamics to enable informed business decision-making and growth strategy formulation based on the opportunities present in the market.

The market is segmented into the following categories-

By Fuel Type

• Natural
• Coal
• Biomass
• Others

By End-Use Type

• Residential
• Commercial
• Industrial

By Capacity Type

• 1kW-0.5MW
• 0.5MW-5MW
• Above 5MW

By Technology Type

• Combined Cycle
• Steam Turbine
• Gas Turbine
• Reciprocating Engine
• Others

By Region

• North America
• Europe
• Asia-Pacific
• Rest of the World

By Fuel Type

The market is segmented as natural gas, coal, biomass, and others. Natural gas is expected to account for the major share of the market due to its high efficiency, low price, increased production across the globe, and significantly low carbon emissions.

By End-Use Type

The market is segmented as residential, commercial, and industrial. The commercial segment is estimated to be the leading end-use type during the forecast period. Ongoing fund inflows by respective governments for the development of various commercial facilities, including offices, educational institutions, hospitals, and others, are expected to boost the growth of the commercial end-use segment. Furthermore, growing investments in green buildings, owing to strict building emission norms are likely to drive the growth in the commercial segment over the coming years.

By Capacity Type

The market is bifurcated into 1kW-0.5MW, 0.5MW-5MW, and above 5MW. The 1kW-0.5MW capacity range is expected to grow rapidly in the market due to the ongoing expansion of the residential and commercial sectors, as well as benefits such as high energy efficiency and low operational costs.

By Technology Type

The market is segmented as a combined cycle, steam turbine, gas turbine, reciprocating engine, and others. The steam turbine is estimated to witness significant growth in the market in the coming years.  Steam turbines are one of the most versatile and oldest technologies used in the generation of heat and electricity. The technology is expected to grow significantly in the coming years due to its high reliability, smooth operations, and extremely long operational life when compared to other alternatives.

Regional Analysis

North America is estimated to be the leading region in the market during the forecast period. Governments across the region are supporting the region's market growth by establishing strict carbon emission targets, as a result of which countries are reducing their reliance on coal-powered power plants and introducing cleaner fuels into their energy mix. Furthermore, rising demand for clean energy is expected to drive market growth in the coming years.

Key Players

The following are some of the key players in the market:

• 2G Energy AG
• Caterpillar Inc.
• General Electric
• Kawasaki Heavy Industries, Ltd.
• MAN Energy Solutions SE
• Siemens AG
• Veolia Environment S.A.
• VIESSMANN Manufacturing Company Inc.
• Wärtsila
• Yanmar Co., Ltd.

Research Methodology

This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools. More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data. We conducted more than 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

Report Features

This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market.

What Deliverables Will You Get in this Report?

Target Audience

The target audience of the combined heat and power market includes-

• Vendors
• Manufacturers
• Distributors
• Organizations
• Government Bodies.

Critical Questions Answered in the Report

This market research provides in-depth information on trends, dynamics, revenue opportunities, competitive landscape, and recent developments in the global market. The historic years considered for the study are 2017-2028, the base year is 2022, the estimated year is 2023, and the Assessment period is 2023-28.

The following are the critical questions answered in the report.

• What are the key trends in the global market?
• How the market (and its various sub-segments) has grown in the last five years and what would be the growth rate in the next five years?
• What is the impact of COVID-19 on the global market?
• What are the key strategies adopted by the major vendors to lead in the global market?
• What is the market share of the top vendors?

Customization Options

With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

Company Profiling

• Detailed profiling of additional market players (up to three players)
• SWOT analysis of key players (up to three players)

Competitive Benchmarking

• Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances

Custom Research: Stratview Research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com