Distributed Natural Gas Generation Technologies Are Expected to Grow in Capacity by 20,000 MW through 2028
Related technologies have cleaner emissions profiles compared with diesel counterparts
A new report from Navigant Research examines the global market for distributed natural gas generation (DNGG) technologies, providing forecasts for capacity and revenue, segmented by technology and region, through 2028.
DNGG is expected to continue experiencing significant growth as its related technologies—gensets, stationary fuel cells (SFCs), and microturbines—enjoy low cost natural gas (NG) and continued infrastructure development. These technologies have cleaner emissions profiles compared with their diesel counterparts and are poised to experience market growth as the industry begins to place a greater emphasis on distributed energy resources (DER). Click to tweet: According to a new report from @NavigantRSRCH, NG gensets, SFCs, and microturbines are expected to experience capacity growth at a compound annual growth rate (CAGR) of 5.5% through 2028, resulting in global annual capacity of nearly 20,000 MW.
“As global NG supply continues to increase and prices hover around record lows in parts of the world, these NG-powered technologies are gaining market value and continue to become viable options for distributed power,” says Shayne Willette, research analyst with Navigant Research. “NG gensets have a significantly more established market, whereas SFCs and microturbines have come a long way over the past several decades, but will need continued innovation to decrease system costs.”
While diesel still reigns as the global leader in distributed power generation, stricter emissions regulations have paved the way for DNGG technologies to further integrate into the market. Developed nations have the strictest standards, but developing nations’ needs for reliable power where grids may be faulty coupled with growing electricity demand provide a market for DNGG technologies, according to the report.
The report, Distributed Natural Gas Generation Overview, projects global market capacity and revenue for DNGG technologies regionally and by application, which are segmented into residential, commercial, institutional, and industrial. The study provides an analysis of key market and technology developments for NG gensets (less than 6 MW), SFCs, and microturbines. Global market forecasts for capacity and revenue, segmented by technology and region, extend through 2028. An Executive Summary of the report is available for free download on the Navigant Research website.
*The information contained in this press release concerning the report, Distributed Natural Gas Generation Overview, is a summary and reflects Navigant Research’s current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Navigant Research nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.