Solar District Heating Market Growth & Key Business Strategies by Leading Industry Players by 2025 | Orsted, Ramboll, RWE, Shinryo, Statkraft, STEAG, Vattenfall
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Increasing adoption of sustainable energy systems along with stringent regulations introduced by governments towards emission control will positively influence solar district heating industry growth. The introduction of codes and green building standards are expected to stimulate the adoption of such heating infrastructures. On account of concerns over global warming and torrid climatic conditions, the need to set up solar districting heating systems may incite over time. According to a research report published by Global Market Insights, Inc., the solar district heating market share is expected to surpass USD 7 billion in terms of valuation by 2025.
Advancing technological development targeted on lessening thermal losses & enlightening energy efficiencies, product design & development along with usage of workable systems as a heating source may expand industry landscape. Increasing adoption of solar thermal energy across various districts & communities has provided favorable expansion prospects for industry players.
Numerous initiatives are being imposed by environmental agencies to curb carbon emissions. For instance, in 2019, the U.S. Environmental Protection Agency (EPA) introduced the ACE (Affordable Clean Energy) Rule toward the reduction in GHG emissions. Besides, the ACE Rule has replaced 2015’s Clean Power Plan and intends to direct states to operate set technologies toward controlling carbon emissions.
Some of the emerging players operating across the solar district heating market include Fortum, Savosolar, Goteberg Energi, Kelag, Logstor, Keppel DHCS, Ramboll, Korea District Heating, RWE, Orsted, Shinryo, Vattenfall, Statkraft, Cetetherm, Arcon-Sunmark, and STEAG.
Highlighted below are some of the key trends in the solar district heating market:
Mounting demand for sustainable heating infrastructure
Snowballing investments toward the establishment of housing & commercial facilities along with growing demand for efficient & sustainable heating infrastructure may augment the solar district heating industry growth. Government-backed awareness activities and efforts toward imposing stringent carbon emission standards along with adopting sustainable & efficient heating technologies will encourage installation of such systems.
High demand across APAC
The Asia Pacific solar district heating business will be majorly driven by speedy urbanization & development across emerging economies owing to increasing disposable incomes, demographic changes, and enhanced living standards. Apart from this, increasing investment in the industrial segment and construction along with rising primary energy consumption will lift product demand.
Gripping application in the residential sector
Stringent regulatory norms and orders toward reduction of emissions along with rising investments toward the construction of single-family houses and apartments will complement the solar district heating industry outlook. The demand for small-scale SDH systems combined with swift urban area development across emerging economies will anchor business expansion in this sector. According to a report, the share for housing solar district heating industry is anticipated to exceed USD 3 billion by 2025.
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