Growing Asia-Pacific Thermal Power Industry

Wednesday 22 February 2012, Amsterdam

The report lists drivers and restraints on the market and analyzes steam turbine market sales volume, revenues and market share for the Asia-Pacific region. The report covers eight key countries in the Asia-Pacific region for the steam turbine market. Sales volume analysis, revenue forecast, average pricing, market share analysis and regulations are covered at the country level.

Growing Asia-Pacific Thermal Power Industry

Thermal energy is the most commonly used source of energy for electricity generation in the Asia-Pacific region, and so has a greater installed capacity when compared with any other source of energy. The installed capacity for thermal energy in the Asia-Pacific region as of 2000 was 669.0 GW. The installed capacity for 2011 is estimated at 1372.5 GW, representing a CAGR of 6.8% over the period 2000 - 2011. The installed capacity is expected to follow the same trend in the forecast period 2012 - 2020, with the total installed capacity expected to be around 1969.3 GW in 2020. A rising population and the rapid industrialization in the region has been increasing the demand for electricity every year, which has prompted governments and companies in the region to look for other ways to generate power. However, so far it has been difficult to shift towards alternative sources of energy for power generation, because they have either been uneconomical or incapable of generating sufficient power to meet demand.

See figure: Thermal Power Industry, Asia-Pacific, Cumulative Installed Capacity (MW), 2000, 2011 and 2020

Growing Steam Turbine Market

In the Asia-Pacific region, revenue from the steam turbines market began increasing in 2000, a trend which continued until 2007. In 2000, the revenue from this market was around $1.8 billion, which increased to $5.5 billion in 2007. The financial crisis led limited investments in 2008 and 2009. The financial crisis lowered investor confidence and significantly raised the cost of capital during the period.

With the revival of the economy in 2010, revenues shot up and were estimated at $9.1 billion in 2011. Due to the increasing demand for electricity and the dominance of thermal sources of energy in the electricity generation market, the steam turbine business in the region is expected to continue to grow during the forecast period 2012 - 2020.

Chinese Players Lead the Asia-Pacific Steam Turbine Market

The Shanghai Electric Group has been leading the Asia-Pacific steam turbine market for the last few years. In 2010, it had a share of around 39% of the regional market, leading all other manufacturers in the business. The second-largest company in the region was the Dongfang Electric Company, which, in 2010, had an 18% share of the Asia-Pacific steam turbine market. The other key players in the steam turbine market are Harbin Turbine, Bharat Heavy Electricals, Nanjing Turbine & Electric Machinery, Mitsubishi Heavy Industries and Kawasaki Heavy Industries.