Heat Recovery Steam Generator Market Regional Analysis:
North America Market Insights
North America industry is expected to hold largest revenue share of 35% by 2035. The market growth in the region is also expected on account of growing initiatives by the government for the installation of renewable energy equipment. Heat recovery steam turbines are being installed in large numbers by American utilities in combined cycle plants and cogeneration sites across North America.
Heat recovery steam generator sales in the United States will continue to rise due to a strong renewable energy infrastructure and consumer demand for affordable, energy-efficient green energy alternatives. The US Department of Energy (DOE), the US Department of Agriculture, and the US Department of Interior are among the other government organizations that offer grants and loans. A number of US states further provide financial incentives to encourage and subsidize the building of renewable energy infrastructure.
According to a report by the US Department of Agriculture, the ongoing projects in 35 states and Puerto Rico would receive more than USD 194 million in loans and grants under REAP. The REAP program assists rural small business owners and agricultural producers in increasing their energy efficiency and utilizing renewable energy sources such as geothermal, solar, wind, and small hydropower.
APAC Market Insights
APAC region in heat recovery steam generator market is set to exhibit substantial CAGR during the forecast period, owing to the growing adoption of combined cycle power stations in the region. Another factor that is contributing to the growth of the market in this region is a rising demand for investment in renewable energy sources.
According to a report, the region invested approximately USD 48.2 billion in renewable energy sources. Countries in the Asia Pacific, such as China, Japan, and India, are constantly focusing on generating clean sources of energy while making substantial investments to reduce emissions. Therefore, demand will be driven by increasing investments in clean energy sources and the adoption of combined cycle power plants during the forecast period.
China's power usage has increased due to the country's growing population, swift economic expansion, extensive manufacturing sector, and large-scale migration to cities with central air conditioning. The Chinese government has announced plans to source energy from renewable sources in recognition of the country's long-term reliance on fossil fuels and its expanding need for electricity generation.
These plans prioritize advancements in energy management, photovoltaics, and battery technology. For instance, to increase its renewable energy capacity to roughly 3.9 terawatts by 2030—more than three times its 2022 total—China plans to construct more than 200 of these bases. China still uses fossil fuels to produce over 70% of its electricity because the built capacity for renewable energy is not keeping up with demand.
