South America Gas Turbines Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Type (Gas Cycle, Combined Cycle, Cogeneration), By Power Rating (<100 MW, >100 MW - <300 MW, >300 MW), By Application (Power Generation, Oil & Gas, Others), By Technology (Heavy Duty, Light Industrial, Aero-derivative), And By Country - Forecasts From 2022 To 2027

  • Published : Nov 2022
  • Report Code : KSI061610130
  • Pages : 82

South American Gas Turbine Market will grow at a CAGR of 4.19% to reach a total market size of US$1089.477 million by 2027, from US$817.510 million in 2020.

Manufacturing plants are one of the main implementers of gas turbines that are used to produce power and turn mechanical drives. The aviation industry also finds its application that is vital to turn compressors. Due to increasing populations, research, and development on various fronts, there has been an uptick in manufacturing plant installation. Thus, the production capacity is projected to fuel the demand for gas turbines. Compared to other counterparts, the gas turbine operates for shorter periods and requires less water.

Increasing investments in research &. development.

Nevertheless, the current regulatory scenario is more conducive to accommodating alternative means of power generation. Further, increasing R&D and investments in environment-friendly means of power generation; the social imperative to provide power supply to the marginalized communities of the world, and the integration of pollution control technologies are further poised to boost the South American gas turbine market. For instance, the M501F4 gas turbine upgrades for the Cartagena power plant, along with an exclusive 15-year Long Term Service Agreement (LTSA), have been agreed upon by Mitsubishi Hitachi Power Systems (MHPS) and Termocandelaria S.C.A. E.S.P. (TPL), Colombia in January 2020, among others. This decision will put Termocandelaria's goals of producing electricity more affordably and reliably into action, resulting in lower carbon emissions.  As part of this service package, Mitsubishi Hitachi Power Systems will also upgrade the Westinghouse gas turbines to Advanced Class Gas Turbines. Another instance is that of the generation of electricity from Brazil’s pre-salt gas.

Rising number of energy projects in the region.

 In January 2020, Patria Investments, Mitsubishi Hitachi Power Systems Americas (MHPS), and Shell confirmed the signing of a contract with BNDES or National Bank for Economic and Social Development, to finance the gas-powered Marlim Azul Energia power plant, in Macaéof Rio de Janeiro State. This plant is one of Brazil’s first pre-salt gas-powered energy projects that is going to offer electricity at quite attractive prices for consumers. The agreement has been signed between the aforementioned entities to jointly develop the plant and trade the energy that would be generated. The plant is set to be operational in 2023.  The plant is the first one in Brazil to use an MHPS M501JAC gas turbine.  This JAC technology equipment has high operational flexibility, allowing the plant to supplement intermittent renewable generation.

Further, concerning Bolivia’s aspiration for energy generation, underscored by its 2025 plan, and to ensure that Bolivia emerges as the export hub of natural gas, Siemens was awarded the project to facilitate and oversee the upgradation of Bolivia’s three largest electric power plants. For Termoeléctrica de Warnes, additional SGT-800 gas turbines would be used, among others. In Termoeléctrica Entre Rios, six additional SGT-800 gas turbines are slated. Last but not least, for Termoeléctrica del Surfour, additional SGT-800 gas turbines have been designated.

Thus, during the last three years, there have been quite a few contract awards from state entities to private players in the gas turbine market that clearly state that South America is poised for energy independence and has substantially contributed to the South American gas turbine market. Further, more ambitions about energy generation from the governments of various South American nations are projected to boost the growth of the gas turbine market in this region.

Key Developments

  • In June 2021, Mitsubishi Power Americas, Inc., shipped an M501 JAC gas turbine to Marlim Azul Energia’s power plant in Rio de Janeiro. The operations of this power plant are set to begin in January 2023, and then it will become the most fuel-efficient power plant in South America. The gas turbine in the Marlim power plant is the world’s leading gas turbine with greater efficiency and lower carbon emission per unit when used claims the company.
  • Siemens Energy secured the largest LNG-to-power complex (GNA II) in Brazil’s Rio de Janeiro in November 2021. The company’s scope predicts the entire power island delivery which consists of three high-efficiency HL class gas turbines, one steam turbine, three heat recovery steam generators, and four electric generators. Furthermore, the two GNA power plants can provide electricity for the consumption of around 14 million households.

COVID-19 Impact on South America Gas Turbines Market

The pandemic had a significant impact on the South American Gas Turbine market owing to the factory shutdowns, travel restrictions, and lockdowns to contain the spread of the virus. The consequences of the pandemic hit the South American countries adversely and Brazil was the worst-hit country in the region. The oil and mining industries faced supply chain and logistic issues. As per the IEA Oil 2021 fuel report published in March 2021, Central and South America oil demand experienced a declining trend from 2019 to 2020. The total oil demand was reduced from 6.6 mb/d in 2019 to 5.9 mb/d in of 2020. The declining oil demand and the uncertainties caused by the pandemic in the end-user- oil and gas industry led to poor market growth for the South American gas turbine market.

South America Gas Turbines Market Scope:

 

Report Metric Details
 Market Size Value in 2020  US$817.510 million
 Market Size Value in 2027  US$1089.477 million
 Growth Rate  CAGR of 4.19% from 2020 to 2027
 Base Year  2020
 Forecast Period  2022–2027
 Forecast Unit (Value)  USD Million
 Segments Covered  Type, Power Rating, Application, Technology, And Country
 Regions Covered  Ubrazil, Argentina, Others
 Companies Covered General Electric, Siemens AG, Mitsubishi Heavy Industries Ltd, Man Energy Solutions, Solar Turbines Inc., Kawasaki Heavy Industries Ltd, ABB
 Customization Scope  Free report customization with purchase

 

Segmentation:

  • By Type
    • Gas Cycle
    • Combined Cycle
    • Cogeneration
  • By Power Rating
    • <100 MW
    • >100 MV- <300 MV
    • >300 MW
  • By Application
    • Power Generation
    • Oil & Gas
    • Others
  • By Technology
    • Heavy Duty
    • Light Industrial
    • Aero-derivative
  • By Country
    • Brazil
    • Argentina
    • Others

1. Introduction

1.1. Market Introduction 

1.2. COVID-19 Scenario

1.3. Market Definition

1.4. Market Segmentation

 

2. Research Methodology

2.1. Research Data

2.2. Assumptions

 

3. Executive Summary

3.1. Research Highlights

 

4. Market Dynamics

4.1. Market Drivers

4.2. Market Restraints

4.3. Porters Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

 

5. South America Gas Turbines Market Analysis, by Type

5.1. Introduction

5.2. Gas Cycle

5.3. Combined Cycle

5.4. Cogeneration

5.5. Others

 

6. South America Gas Turbines Market Analysis, by Power Rating

6.1. Introduction

6.2. <100 MW

6.3. >100 MV- <300 MV

6.4. >300 MV

 

7. South America Gas Turbines Market Analysis, by Application

7.1. Introduction

7.2. Power Generation

7.3. Oil & Gas

7.4. Others

 

8. South America Gas Turbines Market Analysis, by Technology

8.1. Introduction

8.2. Heavy Duty

8.3. Light Industrial

8.4. Aero-derivative

 

9. South America Gas Turbines Market Analysis, by Country

9.1. Introduction

9.2. Brazil Others

 

10. Competitive Environment and Analysis

10.1. Major Players and Strategy Analysis

10.2. Emerging Players and Market Lucrativeness

10.3. Mergers, Acquisitions, Agreements, and Collaborations

10.4. Vendor Competitiveness Matrix

 

11. Company Profiles

11.1. General Electric

11.2. Siemens AG

11.3. Mitsubishi Heavy Industries Ltd

11.4. Man Energy Solutions

11.5. Solar Turbines Inc.

11.6. Kawasaki Heavy Industries Ltd

11.7. ABB


General Electric

Siemens AG

Mitsubishi Heavy Industries Ltd

Man Energy Solutions

Solar Turbines Inc.

Kawasaki Heavy Industries Ltd

ABB


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