CCS in power generation: Key market research findings
- The Americas dominate the market geographically
- The pre-combustion segment accounts for a majority of the market’s revenue
- Key vendors – E-Alstom Grid, The Linde, Babcock & Wilcox Enterprises, Mitsubishi Heavy Industries, GDF Suez Energie Services, Fluor Corporation, Shell Cansolv – (Royal Dutch Shell), and Net Power
Technavio’s market research analysts predict the global CCS in power generation market to reach a capacity of 41.6 MTCO2/year by 2020. The growth of the carbon capture and storage (CCS) market can be attributed to the growing demand for the reuse of carbon dioxide. The diversification of carbon dioxide generation sources for carbon capture and storage plays a key role in encouraging power utility companies to integrate carbon capture and storage technologies into their projects. During 2015, the Americas was the sole player in the global CCS market by occupying around 100% of the overall market space. Stringent government regulations on carbon emissions coupled with government support and incentives are factors that will drive growth in CCS market in Americas during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the CCS segments based on the application.
“Recently, there has been a significant increase in the demand for enhanced oil recovery (EOR) techniques. One of the key applications of the captured carbon dioxide is for the injection in oil and gas reservoirs with decreasing natural pressures. The carbon dioxide captured is transported to the decided fields and injected into the formation. This aids the natural gas drive of the reservoir and improves the production rates,” says Vishu Rai, Lead Analyst, Energy, Technavio Research.
By 2020, the pre-combustion segment will account for almost 63% of the overall market shares to continue its dominance over the global CCS market. Pre-combustion technology is based capturing carbon dioxide before the fuel is combusted for the generation of electricity. The capture is based on a particular intermediate technology such as reforming or gasification. Advances in first-generation pre-combustion technologies, especially improvements to the physical and chemical absorbing solvents, are expected to boost growth in this segment of the market during the forecast period.
The key vendors in the market include E-Alstom Grid, The Linde, Babcock & Wilcox Enterprises, Mitsubishi Heavy Industries, GDF Suez Energie Services, Fluor Corporation, Shell Cansolv – (Royal Dutch Shell), and Net Power. The market is currently in its infant stages and even though it exhibits significant potential for growth, its present status is uncertain. Due to the presence of several vendors, the market appears fragmented, and although there is a great growth potential, vendor success depends on a certain course of business decisions and strategies.
A more detailed analysis is available in the Technavio report, Global CCS in Power Generation Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
Other related reports:
