Combined Heat and Power Installation Market 2016 Share and Forecast Combined Heat and Power (CHP) Installation Market | Page 2
policies by governments. Additionally, high initial cost incurred on the installation of
CHP systems also discourages their widespread deployment. Nevertheless, the
market is expected to find substantial opportunities in the residential and
commercial energy markets in the near future.
Demand for Large-scale CHPs to Increase in Emerging Economies
The global CHP installation market can be broadly bifurcated into micro- and small-
scale CHPs and large-scale CHPs. The latter of these segments has been witnessing
overwhelming demand over the last few years. By revenue, the large-scale CHPs
segment accounted for a share of 85.69% in the market in 2014. However, the
segment is likely to lose a significant portion of its market share in the forthcoming
years as the usage of small-scale CHPs increase globally. Growth exhibited by the
micro- and small-scale CHPs is expected to be the fastest during the forecast period.
Nevertheless, the increasing installation of CHP systems in developing nations such
as India and China will keep the demand for large-scale CHP systems high during
the forecast period.
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Easy Availability of Natural Gas Boosts CHP Installations in Europe
Regionally, Europe exhibits the most lucrative prospects for the global combined
heat and power installation market. The region held a share of 67.96% in the overall
market in 2014. The easy availability of natural gas in Europe makes installation of
CHPs relatively easier and more cost-effective. This has been spurring demand for
CHP installations in countries such as Belgium, Germany, Poland, Italy, and
Netherlands.
The leading vendors in the market are also exploring opportunities in Asia Pacific.
The high demand for small-scale CHPs in Japan, coupled with their increasing
installation across diverse industries, has been boosting demand for the CHP
installation in the region.
The competitive landscape of the global combined heat and power installation
market is highly fragmented. Some of the leading enterprises operating in the
market include 2G Energy AG, Siemens AG, Edina Ltd., Wärtsilä Corporation, ENER-G
Holdings Plc (ENER-G), Clarke Energy Ltd., and others.
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