The global floating power plant market was surpassed at USD 9.43 billion in 2021 and is expected to hit around USD 17.6 billion by 2030, growing at a CAGR of 7.18% from 2022 to 2030.
Report Highlights
Favorable regulatory policies focusing on reducing the dependence on fossil fuels for electricity generation along with proliferating demand for stand-alone power generation systems across several end-use markets are anticipated to strengthen the market growth over the forecast period.
The market is primarily driven by the lack of power infrastructure on land in developing economies, such as China and India. Massive power demand from several industries, such as manufacturing and construction, healthcare, data centers, agriculture, and others, has led to increased demand for distributed power generation sources, such as floating power plants (FPPs). The plant provides grid stabilization for various kinds of renewable energy and is expected to strengthen the security of power systems in these countries.
Floating power plants offer several benefits including provision of secure power supply during natural disasters, such as floods or earthquakes, fast electricity supply to regions with limited power infrastructure, no requirement for a large site, and easy relocation due to high mobility. These advantages are expected to boost the FPP demand despite the high installation and maintenance costs of the plants.
Industry participants are practicing local manufacturing of floating power plant equipment to offer local employment, optimize logistics cost, and minimize emissions. Moreover, operators are prone to minimum project investment risk owing to the high mobility, versatility, and adaptability of the floating power plants. These trends are anticipated to positively influence industry growth over the forecast period.
Scope of The Report
Report Coverage | Details |
Market Size in 2021 | USD 9.43 billion |
Revenue Forecast by 2030 | USD 17.6 billion |
Growth rate from 2022 to 2030 | CAGR of 7.18% |
Base Year | 2021 |
Forecast Period | 2022 to 2030 |
Segmentation | Power source, power rating, region |
Companies Covered |
Wartsila; Siemens Gas and Power GmbH & Co.; Burmeister & Wain Scandinavian Contractor A/S; Kawasaki Heavy Industries, Ltd.; Mitsubishi Heavy Industries, Ltd.; General Electric; Caterpillar; MAN Energy Solutions; Ciel & Terre international; and Floating Power Plant A/S |
Power Source Insights
Non-renewable segment occupied the dominant market position in 2021 accounting for more than 51% of the overall share owing to the high-power density, high reliability, and low operating costs of gas turbines or IC Engine-based FPPs. Leading manufacturers are emphasizing on overcoming the limited power output capacity of floating gas turbines, thereby boosting the segment growth over the forecast period.
For instance, Siemens manufactured the SGT-8000H-class industrial gas turbines with a power output capacity of 140 MW for its FPP facilities. The company has extended its seafloat turbine range with large-scale gas turbines providing up to 1.2 GW power. Power plants located further offshore are supplied with natural gas from the ships rather than from the land. Additional platforms near docked ships are equipped with the technology that is needed to convert the liquid fuel into a gaseous one.
The renewable segment is projected to grow at the highest CAGR over the forecast period owing to the implementation of favorable environmental policies supporting the usage of clean fuels for power generation. Solar, wind, and wave energy are the three most commonly used renewable sources for power generation on FPPs. Moreover, the scarce availability of wind sites and large land area occupation of solar sites are expected to create a growing demand for renewable power plants.
Power Rating Insights
The high-power segment led the market in 2021 accounting for a share of over 67.8%. The segment will retain its dominant position throughout the forecast period owing to large scale power demand in South Asian economies, such as China, India, Singapore, and Malaysia. Continuous population growth and rapid development of infrastructure in end-use industries, such as healthcare, manufacturing, and construction, are also likely to boost FPP market growth over the forecast period.
However, the medium-power segment with a capacity between 22.21 MW to 100 MW is anticipated to register the fastest CAGR over the forecast period owing to the growing number of renewable energy-based FPP projects. For instance, in January 2020, the Electricity Generating Authority of Thailand along with B.Grimm Power announced an EPC contract to construct a hybrid hydro and solar energy FPP at the EGAT dam.
The project worth USD 27 million is expected to utilize 45 MW capacity crystalline solar panels to generate power during the day and remaining from the existing hydropower of Sirindhorn dam. Moreover, the installation of the HDPE plastic floating platform for the project proves to be eco-friendly and not dangerous to aquatic animals. Such initiatives will encourage the participation of several manufacturers, signing new projects for constructing FPPs in the medium power range.
Regional Insights
Asia Pacific is accounted for the largest revenue share of over 39.5% in 2021 and will remain dominant expanding at the fastest CAGR over the forecast period. This growth is attributed to the lack of power infrastructure and the high adoption rate of renewable energy sources for power generation in developing economies, such as China and India.
An increasing number of potential projects of renewable energy-based FPPs have resulted in attracting major market players to the region thereby fast-tracking the market growth over the next seven years. However, higher installation and maintenance costs of these plants at sea are anticipated to partially hinder the industry growth.
Europe was the second-largest regional market in 2021 owing to the presence of key players and market specialists across the region. Siemens Gas and Power GmbH & Co., Wartsila, Floating Power Plant A/S, Ideol, and MAN Diesel & Turbo SE are some of the leading industry players operating in the European region, propelling the deployment of large-scale FPP projects.
North America is also expected to have a prominent growth over the forecast period owing to the implementation of strict regulatory reforms focusing on cleaner power generation initiatives. The U.S. and Canada are the major revenue contributors as these countries are emphasizing on developing cleaner fuel LNG-based power ships, which, in turn, supports industry growth.
Key Players
Market Segmentation
Chapter 1. Introduction
1.1. Research Objective
1.2. Scope of the Study
1.3. Definition
Chapter 2. Research Methodology
2.1. Research Approach
2.2. Data Sources
2.3. Assumptions & Limitations
Chapter 3. Executive Summary
3.1. Market Snapshot
Chapter 4. Market Variables and Scope
4.1. Introduction
4.2. Market Classification and Scope
4.3. Industry Value Chain Analysis
4.3.1. Raw Material Procurement Analysis
4.3.2. Sales and Distribution Channel Analysis
4.3.3. Downstream Buyer Analysis
Chapter 5. COVID 19 Impact on Floating Power Plant Market
5.1. COVID-19 Landscape: Floating Power Plant Industry Impact
5.2. COVID 19 - Impact Assessment for the Industry
5.3. COVID 19 Impact: Global Major Government Policy
5.4. Market Trends and Opportunities in the COVID-19 Landscape
Chapter 6. Market Dynamics Analysis and Trends
6.1. Market Dynamics
6.1.1. Market Drivers
6.1.2. Market Restraints
6.1.3. Market Opportunities
6.2. Porter’s Five Forces Analysis
6.2.1. Bargaining power of suppliers
6.2.2. Bargaining power of buyers
6.2.3. Threat of substitute
6.2.4. Threat of new entrants
6.2.5. Degree of competition
Chapter 7. Competitive Landscape
7.1.1. Company Market Share/Positioning Analysis
7.1.2. Key Strategies Adopted by Players
7.1.3. Vendor Landscape
7.1.3.1. List of Suppliers
7.1.3.2. List of Buyers
Chapter 8. Global Floating Power Plant Market, By Power Source
8.1. Floating Power Plant Market, by Power Source, 2022-2030
8.1.1. Non-renewable
8.1.1.1. Market Revenue and Forecast (2017-2030)
8.1.2. Renewable
8.1.2.1. Market Revenue and Forecast (2017-2030)
Chapter 9. Global Floating Power Plant Market, By Power Rating
9.1. Floating Power Plant Market, by Power Rating , 2022-2030
9.1.1. Low-power FPP
9.1.1.1. Market Revenue and Forecast (2017-2030)
9.1.2. Medium-power FPP
9.1.2.1. Market Revenue and Forecast (2017-2030)
9.1.3. High-power FPP
9.1.3.1. Market Revenue and Forecast (2017-2030)
Chapter 10. Global Floating Power Plant Market, Regional Estimates and Trend Forecast
10.1. North America
10.1.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.1.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.1.3. U.S.
10.1.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.1.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.1.4. Rest of North America
10.1.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.1.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.2. Europe
10.2.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.2.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.2.3. UK
10.2.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.2.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.2.4. Germany
10.2.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.2.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.2.5. France
10.2.5.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.2.5.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.2.6. Rest of Europe
10.2.6.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.2.6.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.3. APAC
10.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.3.3. India
10.3.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.3.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.3.4. China
10.3.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.3.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.3.5. Japan
10.3.5.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.3.5.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.3.6. Rest of APAC
10.3.6.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.3.6.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.4. MEA
10.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.4.3. GCC
10.4.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.4.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.4.4. North Africa
10.4.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.4.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.4.5. South Africa
10.4.5.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.4.5.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.4.6. Rest of MEA
10.4.6.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.4.6.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.5. Latin America
10.5.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.5.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.5.3. Brazil
10.5.3.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.5.3.2. Market Revenue and Forecast, by Power Rating (2017-2030)
10.5.4. Rest of LATAM
10.5.4.1. Market Revenue and Forecast, by Power Source (2017-2030)
10.5.4.2. Market Revenue and Forecast, by Power Rating (2017-2030)
Chapter 11. Company Profiles
11.1. Wartsila
11.1.1. Company Overview
11.1.2. Product Offerings
11.1.3. Financial Performance
11.1.4. Recent Initiatives
11.2. Siemens Gas and Power GmbH & Co.
11.2.1. Company Overview
11.2.2. Product Offerings
11.2.3. Financial Performance
11.2.4. Recent Initiatives
11.3. Kawasaki Heavy Industries, Ltd.
11.3.1. Company Overview
11.3.2. Product Offerings
11.3.3. Financial Performance
11.3.4. Recent Initiatives
11.4. Floating Power Plant A/S
11.4.1. Company Overview
11.4.2. Product Offerings
11.4.3. Financial Performance
11.4.4. LTE Scientific
11.5. Ciel & Terre international
11.5.1. Company Overview
11.5.2. Product Offerings
11.5.3. Financial Performance
11.5.4. Recent Initiatives
Chapter 12. Research Methodology
12.1. Primary Research
12.2. Secondary Research
12.3. Assumptions
Chapter 13. Appendix
13.1. About Us
13.2. Glossary of Terms