Geothermal generators are power generators built on top of geysers and generate around 50-6000 MW of power. The power generated fluctuates depending on the purity of the geyser. Geothermal energy is the energy produced by making use of the heat trapped below the surface of the planet. This energy can be used for various purposes including the generation of electricity. This is directly related to the growth of the geothermal generator market. As the demand and supply of geothermal power increases, so will the need for geothermal generators also increase.
The rising shift in renewable energy sources will cause a boost in the geothermal generator markets
Limited availability of fossil fuel, high rise in green gas emissions, volatility of the fossil fuel market, etc. are some of the reasons why the world is shifting towards geothermal energy. This source of energy proves to be very cost-effective as well as environmentally friendly. Governments across the globe have started adopting policies that favor the use of geothermal energy as an alternative energy source. The governments are focusing on reducing pollution and to achieve this goal initiatives of building geothermal power plants are being taken. According to the U.S. Energy Information Administration, these power plants emit 99% less carbon dioxide than fossil fuel power plants. The demand for geothermal generators in these new power plants will boost the revenue of the geothermal generator markets. According to the report published by International Energy Agency, geothermal energy in Sustainable Development Scenario is said to reach 282 TWh in 2030. This number was 52 TWh in 2000 and 68 Twh in 2010. An increase of 314.70% has been estimated by 2030. This proves that the geothermal generator market has a very high potential for growth in the future due to the tremendous rise in the generation and consumption of geothermal energy.
Establishments of geothermal powerplants is a factor leading to the growth of geothermal generator markets
The Žiar nad Hronom district in central Slovakia has accommodated the first geothermal power plant in the country. The powerplant will be managed by Košice-based PW Energy company to provide a clean alternative source of energy. Michal Mašek, the project manager, states that this powerplant has the potential of about 20 Mwe. A binary cycle system will be implemented to generate geothermal energy in this power plant. This system enables the efficient generation of geothermal energy and this will boost the growth of geothermal generator markets as well. Another example would be, the pact signed between ONCG and Union Territory Administration Ladakh, Ladakh Autonomous Hill Development Council (LAHDC)-Leh for the establishment of India’s first-ever geothermal field development project in February 2021. Phase 1 of this project will bring about the generation of 1 MW of energy which will be supplied free of cost to the general public.
Asia Pacific region shows the highest growth potential in geothermal generator markets
Increasing demand for energy, major investments in renewable energy power plants, and favorable government policies are some factors leading to the growth of geothermal energy markets in this region. According to Asian Development Bank Indonesia has the largest geothermal energy resources in the world – an estimated potential of 29,000 MW and the country plans on increasing the production to 5,000 MW by 2025. Japan has also started making large investments in geothermal energy projects. For instance, Inpex which is an oil and driller company has announced that they have made investments in Indonesian geothermal energy projects. The National Energy Association released The China Five Year Plan (2016-2020) on Geothermal Energy on 23 January 2018 and was effective as of 1 January 2016. The objectives of this plan were to develop 1.1 billion square meters of geothermal heating (cooling) areas and to increase the total installed capacity to 500 MW.
Market Key developments
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Growth Rate | CAGR during the forecast period |
| Base Year | 2021 |
| Forecast Period | 2023–2028 |
| Forecast Unit (Value) | USD Billion |
| Segments Covered | powerplant type, fuel type, And Geography |
| Regions Covered | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| Companies Covered | Taiyo Electric Co. Ltd, Fuji Electric, Electra Therm Inc., Toshiba, Mitsubishi |
| Customization Scope | Free report customization with purchase |
The geothermal generator market has been analyzed through the following segments: