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Gas turbine market size expected to grow $22.5 billion

Christian Fernsby |
According to the new market research report by MarketsandMarkets is projected to grow from USD 18.9 Billion in 2021 to reach USD 22.5 Billion by 2026, at a CAGR of 3.6%.

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the "Gas Turbine Market by Technology (Open Cycle and Combined Cycle), Design Type (Heavy Duty and Aeroderivative), End User (Power Generation, Oil and Gas), Rated Capacity (1–40 MW, 40–120 MW, 120–300 MW, Above 300 MW), and Region - Global Forecast to 2026" says that increasing demand of natural gas-fired power plants, coupled with a growing impetus on reduction in emission of carbon dioxide, is driving the demand for gas turbines.

Moreover, the rising demand of electricity; and the development of efficient power generation technologies play a key role in further driving the growth of the gas turbine market.

The combined cycle segment is expected to exhibit the highest CAGR during 2021 to 2026, driven by more power and low emission. In a combined cycle, the air is compressed in the compressor and heated in a heating chamber. The amount of the gas remains the same as an external source heats the air. In these plants, the waste heat from the gas turbine is used to make steam for producing additional electricity using a steam turbine.

The increase in electricity demand, as well as stringent regulations related to carbon dioxide emissions are expected to drive the power generation market for the gas turbines market. In the critcal industrial sector requiring contrinuous power, gas turbines deliver a consistent power supply to the production floor. Gas turbines are preferred in small and medium industries, as their initial installation cost is less than that of steam and diesel power plants.

The aeroderivate segment of the gas turbine market, by design, is expected to grow at the highest CAGR between 2021 and 2026. These gas turbines are based on aviation gas turbines, are more compact, and suitable small power outputs.

Hence, they commonly find applications in small power generation plants, distributed generation, and in oil and gas applications. The increased demand for electricity is compelling economies to promote the deployment of distributed power generation plants for industrial as well as domestic applications, which may drive the growth of this segment.

Based on region, the gas turbine market has been segmented into Asia Pacific, North America, Europe, South America, and Middle East and Africa.

In 2020, the Asia Pacific market held the largest share of the global gas turbines market by region. Rapid economic growth, increasing population and the resultant increase in demand for power, industrialization, and strict norms for carbon dioxide emission are expected to drive the Asia Pacific gas turbine market.

Also, the gas turbines market is expected to grow in countries such as China and India due to infrastructural expansions, ongoing power generation projects, and technological innovations.


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