Combined Heat and Power( CHP) Installation Market
Natural gas and coal being two of the most easily available fuels at low costs are widely used in CHP systems. However, due to high environmental footprint and high handling costs, utilization of coal in CHP is anticipated to decrease in regions such as Europe and North America. Asia Pacific with some of the largest coal reserves is expected to witness installations of coal-fired CHP plants in the region in the near future. In 2014, in terms of fuel, natural gas accounted the largest share of the CHP installation market, followed by coal, others, and biomass. The others sub-segment of fuel segment includes wood, waste heat, and oil.
Technologies used in CHP systems generally include combined cycle, steam turbine, combustion / gas turbine, reciprocating engine, fuel cell, microturbine, and waste heat recovery. In 2014, combined cycle held the largest market share, followed by combustion / gas turbine and reciprocating engine. Fuel cells and microtubines,, included in the others segment, although available in small power capacity ranges, are anticipated to witness a surge in demand owing to the increasing need for micro CHP in residential and small commercial buildings.
On the basis of the technology employed in CHP systems, the global CHP installation market has been segmented into combined cycle, steam turbine, combustion / gas turbine, reciprocating engine, and others. The others segment includes waste heat recovery, microturbines, and fuel cells. These technologies are also known as prime movers and produce electrical and thermal energy by combusting fuels. This fuel combustion either creates mechanical energy directly or first produces steam, which is subsequently converted into mechanical energy, and is transferred to a generator to produce electricity. The primary advantages of CHP are that it can be coupled with existing technologies in different applications and can be widely used in commercial, residential, and industrial applications.
Considering the global adoption pattern of CHP systems, the CHP installation market has been segmented as follows:
CHP Installation Market: By CHP Type
• Large-scale CHP
• Micro & Small-scale CHP
CHP Installation Market: By CHP Application
• Residential
• Commercial
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