Press release
District Heating Market Manufacturers, Growth Opportunities During Forecast 2021-2031
Transparency Market Research delivers key insights on the global district heating market. In terms of revenue, the global district heating market is estimated to expand at a CAGR of 4.7% during the forecast period, owing to numerous factors, regarding which TMR offers thorough insights and forecast in its report on the global district heating market.
The global district heating market has been positively impacted by the increase in global heat demand and renewable energy-based district heating systems.
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District Heating Market: Key Players
Key players operating in the global district heating market are Fortum, Vattenfall AB, Engie, Danfoss, Clearway Energy Inc., Statkraft, SHINRYO CORPORATION, LOGSTOR A/S, Vital Energi Ltd., Kelag, Göteborg Energi, FVB Energy Inc., ALFA LAVAL, Ramboll Group A/S, Helen Ltd.
District Heating Market: Dynamics
District heating significantly increases the overall energy-efficiency of the system, as heat is coordinated with generation of electricity, refuse incineration, and industrial processes. District heating systems are an important part of heating sector decarburization, as these systems enable the integration of flexible and clean energy sources, which could be challenging at the individual building level in dense urban areas. Thus, governments of countries across the globe are promoting district heating projects. They are providing subsidies, tax benefits, and incentives to district heating service providers. Furthermore, end consumers are getting heat at lower rates than individual heating system rates.
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Incentive mechanisms and a strong regulatory framework are instrumental in boosting the adoption of district heating technologies. Policy-based certainty is not only essential for faster market penetration, but also for reinstating investor confidence in a country's heating sector. Overall, regulatory mechanisms and incentive schemes are expected to play a key role in fostering capacity additions in district heating and cooling sectors in the near future. Thus, governments of countries around the world are aiming to achieve net zero emissions by 2050.
District Heating Market: Prominent Regions
In terms of value, Asia Pacific dominated the global district heating market in 2020. The region is likely to remain highly lucrative during the forecast period, owing to the presence of high demand for space heating and water heating in countries such as China, Japan, and South Korea. Governments of countries in Asia Pacific are investing significantly in the development of district heating projects, which include district heating plant and transmission and distribution systems. This is projected to boost the demand for district heating in the near future. Furthermore, steady economic growth, rapid urbanization, and improvement in standard of living are key factors driving the demand for heat in Asia Pacific. This, in turn, is augmenting the district heating market in the region.
Europe was another lucrative region of the global district heating market in 2020. Supportive government policies toward business sustainability programs and increase in usage of renewable energy are some of the major factors boosting the demand for district heating in the region. Russia is the leading country of the district heating market in Europe. Russia is one of the leading countries in the world, in terms of the number of district heating systems installed. It has more than 18,000 district heating systems.
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North America also accounts for key share of the global district heating market. The U.S. was the leading country of the district heating market in North America in 2020. The usage of district heating system has been increasing for the past few years, and it is expected to rise in the near future owing to growth in awareness about lowering greenhouse gas and carbon emission. The market in the U.S. is expected to expand significantly due to increase in renewable energy activities in the country. The U.S. has the largest solar energy production capacity in the region.
Global District Heating Market: Segmentation
District Heating Market, by Source
Geothermal
Coal
Natural Gas
Solar Energy
Others (including Biomass, Electricity, Wind Energy, etc.)
District Heating Market, by Plant Type
Combined Heat & Power
Boiler
Others (including Heat Pumps, etc.)
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District Heating Market, by Component
Boiler
Insulated Pipeline
Pumps
Centrifugal Pump
Heat Pump
Heat Exchangers
Heat Meter
Others (includes Mechanical Capital Cost, Civil Capital Cost, Preliminary Capital Cost, etc.)
District Heating Market, by End-user
Residential
Commercial
Industrial
About Transparency Market Research
Transparency Market Research, a global market research company registered at Wilmington, Delaware, United States, provides custom research and consulting services. The firm scrutinizes factors shaping the dynamics of demand in various markets. The insights and perspectives on the markets evaluate opportunities in various segments. The opportunities in the segments based on source, application, demographics, sales channel, and end-use are analysed, which will determine growth in the markets over the next decade.
Our exclusive blend of quantitative forecasting and trends analysis provides forward-looking insights for thousands of decision-makers, made possible by experienced teams of Analysts, Researchers, and Consultants. The proprietary data sources and various tools & techniques we use always reflect the latest trends and information. With a broad research and analysis capability, Transparency Market Research employs rigorous primary and secondary research techniques in all of its business reports.
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Transparency Market Research Inc.
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