The global market for cogeneration equipment is projected to reach $15bn by the year 2018, driven largely by the growing environmental concerns and favorable energy policies that favor adoption of alternate technologies such as Cogeneration.
That’s according to a report by Global Industry Analysts, which also maintains that power shortage and outages are strengthening the business case for Cogeneration market, reports the San Francisco Chronicle.
The need to comply with emission reduction targets set as per the Kyoto Protocol is also driving Governments to encourage alternate technologies.
The report expects growth to be led mostly from developed regions, with the US and the EU early adopters. Liberalization of energy markets and growing demand for decentralized energy in developing countries also bodes well for the cogeneration market.
Volatile natural gas prices and the effects of recession have dogged the CHP industry, discouraging investment, but there has been some recovery and analysts project that by 2030, penetration of cogeneration technologies in India and China is expected to reach 25-30 per cent driven by adequate incentives and favorable policy initiatives.
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