The global geothermal power market was valued at USD 5.1 billion in 2021, and is projected to reach USD 7 billion by 2027, growing at a noteworthy CAGR of 5.3% from 2021 to 2027.
Geothermal power is a stable and independent power generation system, which uses warm vitality of the earth's magma to produce power. Geothermal power plants utilize the steam that is produced from hot water found around a mile or more below the earth's surface to rotate turbines that start a generator, which further produces electricity.
The global geothermal power market growth is driven by implementation of stringent government regulations related to climate change in developing and developed economies. In addition, factors such as volatile fossil fuel prices, limited presence of fossil fuels, rise in greenhouse gas emission, high capacity of geothermal power, cost-effectiveness of geothermal energy, reduction in pollution by geothermal power plants, and increase in demand for energy are driving the growth of the global geothermal power market. However, huge investment required for geothermal power plants and negative impact of geothermal energy on the environment are major growth barrier for this market. Moreover, the growing market of wind & solar energy restrains the growth of this market. On the contrary, increase in government financing and continuous developing technologies in the renewable energy sector are expected to offer lucrative opportunity for marker expansion over the next five years.
The impact of government regulation on the global geothermal power market is positive. These regulations encourage the use of geothermal power for meeting the needs of electricity. National Renewable Energy Act 2015 was passed in India, which aims to promote the generation of energy by reducing emissions of greenhouse gases such as CO2. Law No. 4411960 was passed in Indonesia that covers mining rights, which mandate that oil and natural gas undertakings shall only be carried out by state enterprise under government registration. This is to ensure that development of every resources is carried out to full benefit of Indonesia as mentioned in Article 33 of the Constitution year of 1945.
Asia-Pacific region is expected to witness boom during the forecast period
The geothermal power market analysis is done region-wise across North America, Europe, Asia-Pacific, and LAMEA. Among these regions, the Asia-Pacific region is expected to witness boom during the forecast period, owing to factors such as electrification of low-income & rural communities. India is one of the key players in the renewable energy market. India reiterated its commitment toward clean energy and reduced carbon emissions. Moreover, India’s increased focus on renewable energy is outlined in the national budget that aims on increasing share of renewable energy in the total energy production. The target is to increase production to 175 GW by 2022, which is anticipated to boost the growth of the geothermal power in the Asia-Pacific region.
How Low Power Generation Cost of Geothermal is Driving the Market?
Low operating costs associated with geothermal electricity generation drove the market during the historic period. Operating and maintenance costs for a geothermal plant ranges from $0.01 to $0.03 per kilowatt-hour, whereas for fossil fuel power plants it ranges from $0.20 to $0.04 per kWh and for nuclear it ranges from $0.02 to $0.05 per kilowatt-hour. Low operating costs associated with geothermal power encouraged many companies to invest in this market, contributing to the market growth.
Which Technologies are in Demand for Geothermal Power Generation?
The geothermal power market is expected to benefit from the development of latest technologies such as enhanced geothermal system (EGS) and hybrid power plants. In EGS, heat is extracted by injecting water in to the subsurface through wells, under carefully controlled conditions. Injected water is passed through hot rocks and pumped back to the surface. Steam from the hot water is passed through turbine to generate electricity.
Should be Care for Environment for the Cost of Cheap Power?
Geothermal fluids contain a variable quantity of gases, largely nitrogen and carbon dioxide, with some hydrogen sulphide and smaller proportions of ammonia, mercury, radon and boron. The amounts depend on the geological conditions of different fields. Most of the chemicals are concentrated in the disposal water which is routinely re-injected into drill holes and thus not released into the environment. The concentration of the gases is usually not harmful and they can be vented to the atmosphere. Removal of hydrogen sulphide released from geothermal power plants is mandatory in the USA and Italy.
The comprehensive report offers market estimation and forecast for the period ranging 2021 – 2031 for leading national markets and rest of the world. Moreover, the report contains dedicated leading companies covering 10 leading producers in the field of Global Geothermal Power.
Key players operating in the global geothermal power industry are Enel Green Power S.p.A., Ormat Technologies Inc., Kenya Pertamina Geothermal Energy, Electricity Generating Company PLC, Calpine Corporation, Aboitiz Power Corporation, Energy Development Corporation, Fuji Electric Co. Ltd., Toshiba Energy Systems & Solutions Corporation, Mitsubishi Gas Chemical Company Inc., and others.
These players have acquired various strategies such as acquisitions, partnerships, collaboration, joint ventures, agreements, expansions, and new product launches to gain strong consumer base and increase their geothermal power market share globally. In an instance, Japanese utility Electric Power Development Co., Ltd. announced the beginning of commercial operations at a 46.2-MW geothermal power plant in Japan’s Akita region. J-Power, Mitsubishi Materials Corporation, and Mitsubishi Gas Chemical Company Inc. partnered to build Wasabizawa Geothermal Power Plant.
By Resource Type
By Power Station Type
The Geothermal Power market research report covers definition, classification, product classification, product application, development trend, product technology, competitive landscape, industrial chain structure, industry overview, national policy and planning analysis of the industry, the latest dynamic analysis, etc., and also includes major. The study includes drivers and restraints of the global market. It covers the impact of these drivers and restraints on the demand during the forecast period. The report also highlights opportunities in the market at the global level.
The report provides size (in terms of volume and value) of Geothermal Power market for the base year 2021 and the forecast between 2021 and 2027. Market numbers have been estimated based on form and application. Market size and forecast for each application segment have been provided for the global and regional market.
This report focuses on the global Geothermal Power market status, future forecast, growth opportunity, key market and key players. The study objectives are to present the Geothermal Power market development in United States, Europe and China.
It is pertinent to consider that in a volatile global economy, we haven’t just conducted Geothermal Power market forecasts in terms of CAGR, but also studied the market based on key parameters, including Year-on-Year (Y-o-Y) growth, to comprehend the certainty of the market and to find and present the lucrative opportunities in market.
In terms of production side, this report researches the Geothermal Power capacity, production, value, ex-factory price, growth rate, market share for major manufacturers, regions (or countries) and type.
In terms of consumption side, this report focuses on the consumption of Geothermal Power by regions (countries) and application.
Buyers of the report will have access to verified market figures, including global market size in terms of revenue and volume. As part of production analysis, the authors of the report have provided reliable estimations and calculations for global revenue and volume by Type segment of the global Geothermal Power market. These figures have been provided in terms of both revenue and volume for the period 2016 to 2027. Additionally, the report provides accurate figures for production by region in terms of revenue as well as volume for the same period. The report also includes production capacity statistics for the same period.
With regard to production bases and technologies, the research in this report covers the production time, base distribution, technical parameters, research and development trends, technology sources, and sources of raw materials of major Geothermal Power market companies.
Regarding the analysis of the industry chain, the research of this report covers the raw materials and equipment of Geothermal Power market upstream, downstream customers, marketing channels, industry development trends and investment strategy recommendations. The more specific analysis also includes the main application areas of market and consumption, major regions and Consumption, major Chinese producers, distributors, raw material suppliers, equipment providers and their contact information, industry chain relationship analysis.
The research in this report also includes product parameters, production process, cost structure, and data information classified by region, technology and application. Finally, the paper model new project SWOT analysis and investment feasibility study of the case model.
Overall, this is an in-depth research report specifically for the Geothermal Power industry. The research center uses an objective and fair way to conduct an in-depth analysis of the development trend of the industry, providing support and evidence for customer competition analysis, development planning, and investment decision-making. In the course of operation, the project has received support and assistance from technicians and marketing personnel in various links of the industry chain.
Geothermal Power market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies’ focus related to Geothermal Power market.
Prominent players in the market are predicted to face tough competition from the new entrants. However, some of the key players are targeting to acquire the startup companies in order to maintain their dominance in the global market. For a detailed analysis of key companies, their strengths, weaknesses, threats, and opportunities are measured in the report by using industry-standard tools such as the SWOT analysis. Regional coverage of key companies is covered in the report to measure their dominance. Key manufacturers of Geothermal Power market are focusing on introducing new products to meet the needs of the patrons. The feasibility of new products is also measured by using industry-standard tools.
Key companies are increasing their investments in research and development activities for the discovery of new products. There has also been a rise in the government funding for the introduction of new Geothermal Power market. These factors have benefited the growth of the global market for Geothermal Power. Going forward, key companies are predicted to benefit from the new product launches and the adoption of technological advancements. Technical advancements have benefited many industries and the global industry is not an exception.
New product launches and the expansion of already existing business are predicted to benefit the key players in maintaining their dominance in the global market for Geothermal Power. The global market is segmented on the basis of region, application, en-users and product type. Based on region, the market is divided into North America, Europe, Asia-Pacific, Latin America and Middle East and Africa (MEA).
In this study, the years considered to estimate the market size of Geothermal Power are as follows:
Reasons to Purchase this Report:
- Market segmentation analysis including qualitative and quantitative research incorporating the impact of economic and policy aspects
- Regional and country level analysis integrating the demand and supply forces that are influencing the growth of the market.
- Market value USD Million and volume Units Million data for each segment and sub-segment
- Competitive landscape involving the market share of major players, along with the new projects and strategies adopted by players in the past five years
- Comprehensive company profiles covering the product offerings, key financial information, recent developments, SWOT analysis, and strategies employed by the major market players
In-depth interviews and discussions were conducted with several key market participants and opinion leaders to compile the research report.
This research study involved the extensive usage of both primary and secondary data sources. The research process involved the study of various factors affecting the industry, including the government policy, market environment, competitive landscape, historical data, present trends in the market, technological innovation, upcoming technologies and the technical progress in related industry, and market risks, opportunities, market barriers and challenges. The following illustrative figure shows the market research methodology applied in this report.
Market Size Estimation
Top-down and bottom-up approaches are used to estimate and validate the global market size for company, regional division, product type and application (end users).
The market estimations in this report are based on the selling price (excluding any discounts provided by the manufacturer, distributor, wholesaler or traders). Market share analysis, assigned to each of the segments and regions are achieved through product utilization rate and average selling price.
Major manufacturers & their revenues, percentage splits, market shares, growth rates and breakdowns of the product markets are determined through secondary sources and verified through the primary sources.
All possible factors that influence the markets included in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data. The market size for top-level markets and sub-segments is normalized, and the effect of inflation, economic downturns, and regulatory & policy changes or others factors are accounted for in the market forecast. This data is combined and added with detailed inputs and analysis from Vision Research Reports and presented in this report.
Market Breakdown and Data Triangulation
After complete market engineering with calculations for market statistics; market size estimations; market forecasting; market breakdown; and data triangulation. Extensive primary research was conducted to gather information and verify and validate the critical numbers arrived at. In the complete market engineering process, both top-down and bottom-up approaches were extensively used, along with several data triangulation methods, to perform market estimation and market forecasting for the overall market segments and sub-segments listed in this report.
Secondary Sources occupies approximately 25% of data sources, such as press releases, annual reports, Non-Profit organizations, industry associations, governmental agencies and customs data, and so on. This research study includes secondary sources; directories; databases such as Bloomberg Business, Wind Info, Hoovers, Factiva (Dow Jones & Company), TRADING ECONOMICS, and avention; Investing News Network; statista; Federal Reserve Economic Data; annual reports; investor presentations; and SEC filings of companies.
In the primary research process, various sources from both the supply and demand sides were interviewed to obtain qualitative and quantitative information for this report. The primary sources from the supply side include product manufacturers (and their competitors), opinion leaders, industry experts, research institutions, distributors, dealer and traders, as well as the raw materials suppliers and producers, etc.
The primary sources from the demand side include industry experts such as business leaders, marketing and sales directors, technology and innovation directors, supply chain executive, end users (product buyers), and related key executives from various key companies and organizations operating in the global market.
The study objectives of this report are: