Microturbines Market

Microturbines Market Size (2024 - 2029)

The Global Microturbines Market was worth USD 110 million in 2023 and is projected to reach a valuation of USD 190 million by 2029 and is predicted to register a CAGR of 10.57% during the forecast period 2024-2029.

Microturbines are designed in such a way that they combine the reliability of an aircraft's auxiliary power system with the manufacturing savings of a turbocharger. Microturbine systems are typically air-cooled, and some designs use air bearings. Therefore, these turbines eliminate the oil and water systems commonly employed in piston engines. Microturbines have a low-emission combustion system, whose emissions performance is comparable to that of larger gas turbines. Microturbines also have low maintenance potential with an uptime of around 99% and are highly reliable and durable to generate high-quality, continuous power. Microturbines can be defined as small-scale electrical generators that produce electrical energy by burning liquid and gaseous fuels. The combustion of these fuels in the turbine results in high-speed rotation of the turbine shaft, which then turns an electrical generator to produce electrical energy. Microturbines operate at high speeds and can only be employed for power generation or for combined heat and power applications similar to gas turbines.

Market Trends:

Microturbines are increasingly being employed as a source of distributed power generation these days, due to the rising call for clean energy, outdated grid infrastructure, and easy fuel availability. The focus on green energy production, heat production for industrial and commercial or residential activities, as well as the escalating call for cogeneration applications, is predicted to change the trends towards microturbines. With the growing environmental concerns related to worldwide warming, due to the burning of fossil fuels, the application of cogeneration is predicted to dominate the global microturbines market during the foreseen period.

Market Drivers

The global microturbines market is driven by extreme efficiency and optimal design. Additionally, these systems eliminate the use of oil and water systems that are common among piston engines. In addition, smaller microturbines also exhibit the efficiency and performance of large gas turbines, making their widespread penetration into various industries a reality. Also, the escalating advancements of microturbines are predicted to increase their availability in the near future and lead to a considerable reduction in maintenance costs. This is predicted to create significant expansion opportunities for various players in the worldwide micro turbines market. Besides, poor grid connectivity in developing and underdeveloped countries is supposed to increase the call for on-site power generation as a call for power increases in these countries. Additionally, factors such as reliability, call for custom power, and lower power generation costs are foreseen to increase the call for microturbines. They can be easily installed compared to complex conventional power plants and can produce energy cheaply from much cleaner energy sources.

Market Restraints:

Falling oil & gas prices are likely to hamper the expansion of the worldwide micro turbines market.

Market Opportunities:

Strong manufacturing activity in Asia-Pacific is putting enormous pressure on the infrastructure of several emerging countries. Of these, only a few like China have the infrastructure to cope with the calls of a large population and growing production activity. Many countries like India, Vietnam, and Indonesia are still plagued by widespread blackouts and unreliable power supplies. Also, a reliable power supply ensures continuous production, and the relatively low power generation costs represent a great expansion opportunity for many. Therefore, escalating manufacturing activity, unreliable power supply, and lucrative expansion opportunities are predicted to drive significant expansion for the microturbines market in the near future.

Market Challenges:

Low electrical efficiency is foreseen to present severe challenges to the Microturbines Market expansion.

Impact of COVID-19 on the Global Microturbines Market:

The coronavirus (Covid-19) was discovered in China's Hubei province in December 2019 and has since spread around the world, affecting practically every country. Because governments have imposed lockdowns in key countries around the world, the power generation sector has been severely impacted by the epidemic. Movement across countries has been restricted in the majority of countries. The supply chain was disrupted, and import and export activity was halted as a result. As companies around the world shuttered, demand for such turbines decreased.

The electricity sector has suffered a significant drop as a result of the global lockdown, which has stopped a number of power plant developments. As a result, demand for various parts and equipment, including microturbines, falls. Many projects need the importation of parts, equipment, or turbines from other countries, and because the international border has been blocked, the delivery of such materials has been halted, causing the projects to be delayed. The power sector has seen a drop in investment due to the outbreak of a pandemic.

Market Recent Developments:

• Capstone launches a new microturbine. The 200 kW C200S microturbine incorporates numerous system and design updates aimed at improving the quality, reliability, and overall performance of the product, the company said.
• UAV Turbines, Inc., declared the introduction of its lightweight military-grade microturbine generation platform for on-call electrical power ranging from 3kW to 40kW.

MICROTURBINES MARKET REPORT COVERAGE:

Market Segmentation:

Microturbines Market - By Power Rating:

• 12-50 kW
• 50-250 kW
• 250-500 kW

Microturbines Market - By Application:

• Combined heat and power
• Standby

The combined heat and power market is predicted to grow at the highest CAGR during the foreseen period. Microturbines that generate combined heat also provide heat to residential homes, which is commonly seen in colder climates such as Europe, North America, and parts of China.

Microturbines Market - By End User:

• Industrial
• Commercial
• Residential

The commercial fragment is predicted to be the quickest-developing segment of the micro-turbine industry, by the end users. This segment is driven by the expansion of urban areas and the development of shopping centers.

Market Regional Analysis:

The Microturbines Market includes are

• North America - U.S., Canada.

• Europe - The UK, France, Spain, Germany, Italy, Russia, Sweden, Denmark, Switzerland, Netherlands, Turkey, Czech Republic & Rest of Europe.

• Asia Pacific - India, China, Japan, South Korea, Australia & New Zealand, Thailand, Malaysia, Vietnam, Philippines, Indonesia, Singapore & Rest of APAC.

• Latin America - Brazil, Mexico, Argentina, Chile & Rest of LATAM.

• Middle East & Africa - KSA, UAE, Israel, the rest of GCC countries, South Africa, Ethiopia, Kenya, Egypt, Sudan, and the rest of MEA.

North America is the largest market for microturbines, followed by Europe and Asia-Pacific. The United States accounted for a majority stake in the North American region in 2019, while Canada is predicted to see expansion at the highest CAGR from 2024 - 2029. Aging power plants and frequent natural disasters have created enormous expansion opportunities. for the microturbine market in this region. The shale gas boom in North America and the decommissioning of nuclear power plants in Europe are driving calls for micro-turbines in these regions. The escalating use of microturbines with cogeneration systems that are much more efficient and the escalating incentives in North America and Europe for the use of these systems are predicted to translate into important new avenues for players in the CHP market. microturbines. Aging power infrastructure and poor grid connectivity in various regions are predicted to fuel call for on-site power generation technologies, such as microturbines. Maintaining outdated energy infrastructure, especially in developed regions like North America and Europe, is predicted to cause network downtime in the region. On-site power generation is estimated to be highly feasible for a reliable power supply in these areas.

Market Key Players:

The key players in the global microturbine market are

1. Capstone Turbine Corporation (U.S.)
2. FlexEnergy, Inc. (U.S.)
3. Ansaldo Energia S.p.A (Italy)
4. Brayton Energy LLC. (U.S.)
5. Eneftech Innovation SA (Switzerland)
6. Microturbine Technology BV (the Netherlands)
7. Wilson Solar power Corporation (U.S.)
8. ICR Turbine Engine Corporation (U.S.)
9. Calnetix Technologies LLC (U.S.)
10. Toyota Motor Corporation (Japan)
11. Bladon Jets (Isle of Man)