Steam Turbine Service Market registered a profitable valuation of USD 19.7 billion in 2024 and is projected to register USD 44.6 billion by 2037, expanding at a CAGR of 6.5% during the forecast period, i.e., 2025-2037. In 2025, the industry size of steam turbine service is assessed at USD 20.9 billion. The market’s growth is attributed to surging demands for electricity globally and continued reliance on steam turbines in power generation and industrial applications. Aging power generation infrastructure drives demand for maintenance and upgrades benefitting the adoption of steam turbine services. Emerging economies that are reliant on coal and nuclear power as primary energy sources are positioned to provide greater opportunities in the market.
The International Energy Agency (IEA) estimates global energy demands to grow annually at an average of 3.4% from 2024 to 2026. The electricity demands are poised to be driven by electrification projects in residential and transport sectors, and rapid expansion of data centers. For instance, around 42% of all electricity generation in the U.S. in 2022 was from steam turbines. The heightened use drives demand for steam turbine MRO services. Additionally, the rapid expansion of the industrial sector for various applications such as chemical production and refinery operations increases the use of steam turbines. The increased application creates a burgeoning demand to retrofit steam turbines for efficiency improvements creating multiple opportunities in the global steam turbine service sector.
The global shift towards clean energy production is poised to boost the revenue growth of the steam turbine service sector. Globally, the push to reduce carbon emissions has intensified with net-zero goals. To align with global decarbonization goals, industries are driving demand for steam turbine services to meet regulatory standards. Industries are investing to retrofit existing infrastructure boosting the sector’s growth. For instance, in June 2024, GE Power announced an order for renovation & modernization of steam turbines in Gujarat, India. Additionally, advancements in digitalization can boost the predictive maintenance of steam turbines, increasing demands for services. The steam turbine services sector is poised to leverage the favorable trends and maintain its robust growth curve by the end of the forecast period.
Growth Drivers
Challenges
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
6.5% |
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Base Year Market Size (2024) |
USD 19.7 billion |
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Forecast Year Market Size (2037) |
USD 44.6 billion |
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Regional Scope |
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Service (Maintenance, Repair, and Overhaul)
Maintenance segment is predicted to hold steam turbine service market share of more than 37.5% by 2037. The segment’s growth is attributed to rising demands for services to ensure the longevity of steam turbines in power plants. For instance, in February 2024, Doosan Škoda Power signed a contract to supply a steam turbine for a waste-to-energy power plant in the U.S. Regular maintenance of steam turbines minimizes the risk of unexpected failures and helps operators reduce costly downtimes. With advancements in predictive maintenance, service providers can use remote monitoring to detect potential issues before they escalate, boosting the efficacy of maintenance work.
The repair segment of the global steam turbine services sector is poised to register profitable market growth during the forecast period. The segment’s growth is owed to rising demands for steam turbine repair services as operators focus on cost-efficiency by choosing repair over replacement. Additionally, the segment is poised to find opportunities in aging power infrastructure globally, requiring repair services. Businesses are leveraging opportunities in the segment by expanding their services portfolio for steam turbines. For instance, in October 2024, Power Services Group (PSG) announced the expansion of the Gainesville, Georgia Campus to include a steam turbine repair center of excellence.
Design (Reaction, Impulse)
By design, the reaction segment of the steam turbine service market is poised to increase its revenue share by the end of the forecast period. The segment’s growth is attributed to smooth energy transfers and high efficiency at variable loads benefiting the adoption of reaction turbines. Additionally, reaction turbines are in demand from large-scale power plants, where stable energy output is essential. Regions with fluctuating energy demands drive demand for reaction turbines owing to their lower operating costs. For instance, in October 2020, GE announced the supply of reaction steam turbines for a new waste-to-energy plant in Australia.
Our in-depth analysis of the global market includes the following segments:
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Service |
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Design |
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Capacity |
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End use |
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Service Provider |
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APAC Market Forecast
Asia Pacific steam turbine service market is predicted to hold revenue share of more than 75.2% by 2037. The region’s growth is driven by rapid industrialization increasing energy demand and growing reliance on thermal power generation in the region. China, India, Japan, and South Korea lead the revenue share in the APAC market. For instance, in July 2024, Korea Southern Power Co. started operations at the Shinsejong combined-cycle power plant in Sejong Multifunctional Administrative City, South Korea.
China leads the revenue share in the APAC steam turbine service sector. The steam turbine service demand in the country is driven by a vast network of coal-fired power plants in the country and rising demands for electricity. For instance, IEA’s energy report of 2024 indicated China has burned one of four tons of coal used globally to produce electricity. Additionally, favorable regulatory support such as the dual carbon goals of China that aims for peak carbon emissions by 2030 and achieve carbon neutrality by 2060 is poised to create a profitable domestic market for power operators to invest in turbine efficiency upgrades and retrofit emission controls. For instance, in July 2024, the Guangdong Huizhou combined plant entered commercial operation with GE Vernova hydrogen-ready combined-cycle units and Harbin Electric’s steam turbines.
India is poised to increase its revenue share in the global steam turbine service market during the forecast period. The market’s growth is attributed to heavy reliance on thermal power and rapid industrial growth. The country is poised to experience rising energy demands to cater to a growing urban population and improve power connectivity in rural regions. Additionally, sectors such as cement, steel, and chemicals are adopting steam turbines in combined heat and power (CHP) applications, creating a steady demand for specialized repair and maintenance services. For instance, in December 2022, NTPC Limited and GE Power signed a memorandum of understanding (MoU) to reduce carbon intensity from NTPC’s coal fired units.
North America Market Analysis
The North America steam turbine service market is poised to increase its revenue share during the forecast period. The region’s growth is attributed to rising investments in upgrading aging power infrastructure. The revenue share in the region is led by the U.S. and Canada. As the region transitions towards cleaner energy sources with net zero emission goals, operators are investing in retrofitting upgrades on fossil-fuel-based turbines to comply with environmental regulations. Additionally, rising demands to manufacture and upgrade equipment for nuclear power plants are poised to assist the market’s growth. For instance, in May 2024, GE Vernova announced the sale of a percentage of its steam power business to EDF which will include related maintenance and upgrade activities for existing power plants.
The U.S. registered the largest revenue share in the steam turbine service sector of North America. The market’s profitable growth curve is owed to rising demands to upgrade thermal power plants and maintenance demands in nuclear power plants. Additionally, the industrial sector of the country heavily relies on steam turbines in petrochemicals, steel, paper, etc. With advancements in predictive maintenance tools and technological advancements in steam turbine maintenance in the country, the market is positioned to continue its growth curve by the end of the forecast period. For instance, in June 2024, research highlighted the use of engineered compression to mitigate corrosion in steam turbine engines.
Canada is positioned to increase its revenue share in the steam turbine service market. The market’s growth is attributed to rising demands for repair and maintenance services in natural gas plants and heavy industries. With a rising focus on curbing carbon emissions, the operators are investing in turbine retrofitting benefiting the market’s growth. In August 2020, Siemens Energy and Kineticor announced a new 900-megawatt (MW) combined cycle power plant to supply 8% of Alberta’s energy supply.
The global steam turbine service market is projected to register a favorable growth curve during the forecast period. Steam turbine service providers are investing in predictive maintenance solutions to reduce downtime and improve the scope of their services.
Here are some key players in the market:
Author Credits: Dhruv Bhatia
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