Primarily used for remote power applications in the oil & gas industry and combined heat and power (CHP) or combined cooling, heating, and power (CCHP) applications in the commercial, industrial, and residential high-rise markets, microturbine installations are expected to surpass $1 billion annually by 2020.
This is the conclusion of a new report from Navigant Research, which notes that the expansion of shale O&G production across North America and other high potential regions like Latin America, Asia Pacific, and Africa increases the addressable market for the technology.
Indeed, although the global microturbine market has experienced steady historical revenue growth over the past five years, reduced oil and gas development activity in the past year has led to reduced sales for leading manufacturers.
However, the market is expected to bounce back as shale development continues apace, with North America and Asia Pacific regions anticipated to account for the majority of cumulative revenue generated from global microturbine installments between 2015 and 2024.
According to Navigant Research, more than 4.0 GW of microturbine capacity is projected to be installed globally on a cumulative basis through 2024.
Moreover, compatibility with a wide range of opportunity fuels makes microturbines an attractive solution in CHP configurations where grid electricity costs remain high.