May 29, 2024
Microturbine Systems Market
Ict

Microturbine Systems Market Primed to Expand at a Rapid Pace due to Growing Demand for Decentralized Power Generation

Microturbines are small combustion turbines that can generate up to 300kW of electric power. They provide flexible, efficient and reliable power for various end-use applications including commercial, industrial, and residential usage. Their advantages include reduced emissions, high operational efficiency, low maintenance costs, and the ability to operate on various gaseous and liquid fuels. The Global microturbine systems market is driven by factors such as the rising demand for distributed power generation, lower operating and maintenance costs as compared to diesel gensets, decreasing costs of microturbines, and supportive government policies and regulations regarding clean energy adoption.

The global microturbine systems market is estimated to be valued at US$ 91.32 Bn in 2024 and is expected to exhibit a CAGR of 34% over the forecast period from 2024 to 2031.

Key Takeaways

Key players operating in the microturbine systems market are Bavarian Nordic, Argos Therapeutics, Antigenics, Affiris, Celldex Therapeutics, Biovest International, Cel-Sci, Celtic Pharma, Cytos Biotechnology, and Curevac. These players are focusing on new product launches and mergers & acquisitions to expand their global footprint.

The key opportunities in the Microturbine Systems Market Size include the growing demand from the commercial sector for backup power solutions, combined heat and power applications, and remote power supply in off-grid areas. Various governments across the globe are also offering subsidies and tax benefits for the installation of microturbine systems which is encouraging higher adoption.

The microturbine systems market is expanding globally due to the increasing focus on renewable and decentralized power generation. The demand is growing significantly in regions such as Asia Pacific and Middle East & Africa. Falling technology costs and supportive regulatory policies in developing nations will continue driving the large-scale adoption of microturbines globally over the forecast period.

Market Drivers

One of the major drivers propelling the microturbine systems market growth is the rising demand for distributed power generation. Microturbines help meet the baseload as well as peak power demands through distributed energy resources instead of relying solely on grid supplies. They are well-suited for applications requiring continuous power of less than 1 MW, such as industrial, commercial, and residential sectors. This drives their higher adoption as distributed generators.

PEST Analysis

Political: Regulations promoting clean and renewable energy sources have encouraged the development and adoption of Microturbine Systems Market. Governments provide subsidies and tax incentives for installations of distributed generation technologies.

Economic: Rising energy costs and need for reliable off-grid power solutions have increased the commercial viability of microturbine systems. Their ability to use different fuels efficiently and generate power locally helps reduce transmission and distribution costs.

Social: Growing social and environmental consciousness is positively impacting the microturbine market. Their low emissions and noise levels make commercial and industrial facilities deploy them near populated areas as well. They are also suitable for powering rural and off-grid communities with unreliable grid infrastructure.

Technological: Advancements in materials, design and manufacturing processes have enhanced the reliability, efficiency and operational lifespan of microturbines. The emergence of hybrid systems integrating renewable energy sources further improves their technical capabilities and makes them competitive against traditional power generation options.

Geographical concentration

North America accounts for the largest share of the global microturbine systems market in terms of value presently. Strong policy support through purchase incentives in the US and Canada along with grid parity of distributed generation technologies in parts of the region have boosted installations.

Fastest growing region

Asia Pacific is projected to rise the fastest in the microturbine systems market during the forecast period. Rapid industrialization and infrastructure development and large population without access to reliable electricity makes this a high potential area. Government missions to expand power access through off-grid and hybrid solutions especially in developing nations like India and China will drive the regional market.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it