Global Waste Heat Recovery Market Set to Grow at 9.2% CAGR by 2034
The waste heat recovery market is projected to expand significantly, reaching a CAGR of 9.2% over the next decade, driven by rising energy prices and a focus on energy efficiency and resource conservation.
According to a recent report by Visiongain, the global waste heat recovery market, valued at US$77.1 billion in 2023, is expected to witness substantial growth, achieving a compound annual growth rate (CAGR) of 9.2% during the forecast period from 2024 to 2034. This growth is attributed to several key factors, including the volatility of fuel costs, the increasing prices of conventional energy sources, and a growing emphasis on energy efficiency and resource conservation across industries.
The fluctuating fuel prices and the unpredictable geopolitical landscape have prompted industries to explore alternative methods for energy generation and conservation, such as waste heat recovery systems. These systems offer a cost-effective solution by utilizing free or low-cost heat sources to supplement energy needs, thereby reducing reliance on expensive primary energy sources. As energy prices continue to rise, the economic viability of waste heat recovery becomes increasingly attractive to industries seeking to reduce operating expenses and improve competitiveness.
The report highlights the impact of the COVID-19 pandemic on the waste heat recovery market, noting disruptions in supply chains, delays in manufacturing and project implementations, and a cautious approach among businesses towards long-term sustainability projects. Despite these challenges, the expansion of industrial infrastructure and manufacturing facilities worldwide, coupled with a shift towards decentralized energy systems and microgrids, presents significant opportunities for waste heat recovery solutions.
Notable developments in the waste heat recovery market include ABB's acquisition of a majority stake in Finnish waste heat to power specialist Adven and John Wood Group's partnership with Ormat Technologies to develop geothermal power projects in East Africa. These collaborations underscore the market's potential for innovation and growth in the coming years.
Source: Visiongain via GlobeNewswire
