Global floating power plant market was worth USD 1.0 billion in 2019. It is projected to grow at a compound annual rate (CAGR of 9.5%) between 2020 and 2027. The market is expected to grow due to the increasing demand for clean electricity from end-use segments and the dearth of infrastructure in many countries. Floating power stations (FPPs), which are a distributed source of power, offer high efficiency and stability. This peak power source can respond to high load fluctuations and is quick to start up. These plants can be towable and are suitable for periodic and seasonal operation. They provide grid stabilization for different types of HTML3_. These factors will have a positive impact on the industry landscape during the forecast period.
China's market is expected to experience significant growth due to the presence major FPP developers and the ever-increasing need for continuous power supply across all end-use markets. China is the world's largest producer of solar PV panels. The government has begun to deploy solar-powered FPPs to improve its energy structure and grid power service.
CECEP, a Chinese state corporation, and Ciel & Terre, a French company connected the floating 70 MWp photovoltaic plant in Anhui province to the national grid. This plant was constructed using LONGi Solar monocrystalline PV module and Ciel & Terre Hydrelio floats. Its purpose is to encourage the commercialization of floatovoltaic technologies.
The market is expected to grow due to increasing awareness about the benefits of FPPs such as the availability of fast electricity supply to areas with poor power infrastructure, the mobile asset that can be moved easily, the lack of the need for large sites, and the provision of power supply during natural catastrophes. FPP deployment is expected to increase in several regions due to strict government regulations regarding environment protection.
Floating power plants have a lower environmental impact than conventional land-based systems. They require very little land, and only a small amount of coastline or upriver land. The market is expected to grow due to the increasing use of renewable energy in FPPs as a source of power generation.
The non-renewable segment dominated the market in 2019, accounting for more that 50% of the total share. This was due to the high-power density and reliability of gas turbines, IC Engine-based FPPs, as well as the low operating costs. The segment's growth is expected to be boosted by leading manufacturers who are focusing on improving the power output of floating gas turbines.
Siemens, for example, produced the SGT8000H-class industrial gasturbines with a power output of 140 MW to support its FPP facilities. The company now offers seafloat turbines with large-scale gas turbines that can produce up to 1.2GW of power. The natural gas used to supply power plants further offshore comes from ships, not from land. Additional platforms are available near ships docked with technology to convert liquid fuel into gaseous.
Due to favorable environmental policies that support the use of clean fuels for power production, the renewable segment will grow at the highest rate of CAGR during the forecast period. The three most popular renewable sources of power generation for FPPs are solar, wind, or wave energy. A growing demand for renewable power plants is expected due to the scarcity of sites that can be used as wind farms and their large land areas.
In 2019, the market's top-selling segment was high-power, accounting for 66% of all sales. Due to the large-scale power demand in South Asian countries like China, India and Singapore, this segment will continue to hold its lead position for the forecast period. FPP market growth will be boosted by steady population growth and rapid infrastructure development in end-use sectors such as construction, healthcare, and manufacturing.
The medium-power segment, with a capacity of between 20.1 MW and 100 MW, is expected to see the fastest CAGR during the forecast period. This is due to the increasing number of FPP-based renewable energy projects. In January 2020, for example, the Electricity Generating Authority of Thailand and B.Grimm Power signed an EPC contract to build a hybrid hydro-solar energy FPP at the EGAT dam.
Project worth USD 27 millions will use 45 MW capacity, crystalline solar panels to produce power during the day. The remaining hydropower from Sirindhorn dam is also used. The floating HDPE platform made of plastic is eco-friendly and safe for aquatic animals. These initiatives will encourage participation from many manufacturers and lead to the signing of new projects to construct FPPs in the medium power spectrum.
Asia Pacific accounts for 38% of the global revenue share in 2019, and will continue to grow at the fastest CAGR during the forecast period. This is due to the low availability of power infrastructure in developing countries and the rapid adoption of renewable energy sources for power generation such as India and China.
A growing number of FPPs based on renewable energy have attracted major market players to the region, thereby accelerating the market's growth over the next seven year. The industry's growth will be impeded by the higher maintenance and installation costs associated with these plants at sea.
Europe was the second largest regional market in 2019, thanks to the presence key players and market experts across the region. Siemens Gas and Power GmbH & Co. Wartsila and Floating Power Plant A/S and Ideol are just a few of the major industry players in Europe, which has facilitated the deployment of large-scale FPP project.
North America will also see a significant growth in the future due to strict regulatory reforms that focus on cleaner power generation. Canada and the United States are major revenue contributors because these countries have been focusing on developing cleaner fuel LNG-based power vessels, which in turn supports industry growth.
To reduce emissions, minimize logistics costs and create local jobs, industry participants are now focusing on local production. FPPs are flexible, adaptable, mobile, and versatile, so operators are less likely to face investment risk. Market players engage in several growth initiatives such as strategic partnerships to raise capital and offer their expertise in various segments of FPP supply chain. This helps minimize overall project costs. The market leader in floating power plants is:
Wartsila
Siemens Gas and Power GmbH & Co.
Kawasaki Heavy Industries, Ltd.
Floating Power Plant A/S
Ciel & Terre international
Up Market Research published a new report titled “Floating Power Plant Market research report which is segmented by Power Source (Renewable, Non-renewable), by Power Rating (Medium-power, Low-power, High-power), By Players/Companies Ciel & Terre international, Kawasaki Heavy Industries Ltd, Siemens Gas and Power GmbH & Co, Floating Power Plant A/S, Wartsila”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.
Report Attributes | Report Details |
Report Title | Floating Power Plant Market Research Report |
By Power Source | Renewable, Non-renewable |
By Power Rating | Medium-power, Low-power, High-power |
By Companies | Ciel & Terre international, Kawasaki Heavy Industries Ltd, Siemens Gas and Power GmbH & Co, Floating Power Plant A/S, Wartsila |
Regions Covered | North America, Europe, APAC, Latin America, MEA |
Base Year | 2020 |
Historical Year | 2018 to 2019 (Data from 2010 can be provided as per availability) |
Forecast Year | 2028 |
Number of Pages | 249 |
Number of Tables & Figures | 175 |
Customization Available | Yes, the report can be customized as per your need. |
The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.
The market is segmented by Power Source (Renewable, Non-renewable), by Power Rating (Medium-power, Low-power, High-power).
Floating Power Plant Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.
Key Benefits for Industry Participants & Stakeholders:
Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.
We have studied the Floating Power Plant Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.
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