Global gas turbine market ‘to decline annually by 7.7% up to 2022’

Analytics firm GlobalData expects the value of the market to fall by $6.84bn over the next four years

The global market for gas turbines is expected to decline by a compound annual growth rate (CAGR) of 7.7% over the next four years.

By 2022, analytics firm GlobalData suggests the slowdown in the market is mainly due to the growing influence of renewable energy technologies, as well as ongoing volatility in gas spot prices.

It estimates this could result in the value of the market falling by $6.84 billion (£5.2bn).

When compared to the total market value for the period between 2013 and 2017 of $52.39 billion (£39.8bn), the estimate for 2018 to 2022 of $37.97 billion (£28.9bn) would be a CAGR decline of 0.7%.

Despite this, GlobalData believes the growing influence of developing nations in the global energy market could see the Asia-Pacific region propelled upwards at a CAGR of 3.95%, overtaking Europe, the Middle East and Africa as a market leader.

Nirushan Rajasekaram, Power Analyst at GlobalData, said: “The need to meet the short term increasing demand for electricity faces significant technical, monetary and supply challenges that are influencing governments’ agendas to generate cheap electricity; utilising indigenous resources and existing power generation infrastructure.

“The existing infrastructures in most nations are heavily tilted towards coal and a potential shift towards abruptly increasing gas would require substantial investments.”

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