Global Combined Cycle Gas Turbine Market 2016-2020
About Combined Cycle Gas Turbine (CCGT)
Combined cycle gas turbine (CCGT) is a power generation technology that incorporates a gas turbine in conjunction with a steam turbine. A steam turbine is used to supplement the electricity generated from a gas turbine, which is driven by the steam generated from waste heat recovered from the gas turbine exhaust.
Technavio’s analysts forecast the global combined cycle gas turbine (CCGT) market to grow at a CAGR of 4.24% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the global combined cycle gas turbine (CCGT) market for 2016-2020. To calculate the market size, the report considers the installed capacity and price of CCGTs in various regions.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Combined Cycle Gas Turbine (CCGT) Market 2016-2020
Technavio recognizes the following companies as the key players in the global combined cycle gas turbine (CCGT) market: Ansaldo Energia, GE, Kawasaki Heavy Industries, Mitsubishi Hitachi Power Systems, Siemens, and Solar Turbines.
Commenting on the report, an analyst from Technavio’s team said: “One of the key trends for market growth will be stringent government regulations worldwide. Growing concerns about resource depletion, increase in harmful emissions, and stricter regulations for climate change mitigation have increased the focus on technologies that can produce power in a much cleaner and more efficient manner. In 2015, the EPA passed the Clean Power Plan to reduce CO₂ emissions from power plants by 30% from the 2005 levels by 2030. The states in the US have been given the flexibility to implement the plan by adopting a mix of options, such as offering credits or allowances, increasing renewable power generation, using carbon capture technologies, and attracting investments. Such initiatives are expected to increase the share of natural gas in the power mix from 27% in 2014 to 33% by 2020.”
According to the report, one of the major challenges to the growth of the global CCGT market is the high threat of substitution from low-carbon emission alternatives such as renewable and nuclear energy. With the increasing focus on carbon emissions, the world is shifting toward renewable energy to meet the growing energy demand. However, in the current scenario, renewable energy's high initial cost hinders its adoption on a significant scale. This challenge for renewable energy is proving to be a major driver for the global CCGT market that offers a lower cost of power installation than renewable and nuclear energy. The fact that gas turbines, mainly driven by natural gas, offer a cleaner power generation option than coal, currently the primary source of power generation, also supports market growth.
Further, the report states that one of the main challenges facing the growth of the global CCGT market is the over-reliance on gas turbines for power generation, which exposes consumers to disproportionate risks due to the volatility in natural gas prices. In order to safeguard power prices from price fluctuations, utilities always seek to maintain a balanced feedstock portfolio. However, in the present scenario, with a rapid shift toward gas turbines and natural gas-driven power plants in pursuit of cleaner modes of power generation, reliance on natural gas is continuously increasing. In the present, owing to low natural gas prices, the prospects of over-dependence on natural gas for power generation look less harmful.
Ansaldo Energia, GE, Kawasaki Heavy Industries, Mitsubishi Hitachi Power Systems, Siemens, and Solar Turbines.
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