Global District Heating Market 2021 (Includes Business Impact of COVID-19)

                                          
Report updated on 11th September, 2021: Global District Heating Market 2021 (Includes Business Impact of COVID-19)
Global District Heating Market Analysis Trends, Applications, Analysis, Growth, and Forecast to 2030 is a recent report generated by Trusted Business Insights. The global district heating market report has been segmented on the basis of heat source, plant type, application, and region.
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The global District Heating market size was valued at USD $189.91 billion in 2020 and is projected to reach USD $252.34 billion by 2030, and is anticipated to expand at a CAGR of 4.35% over the forecast period from 2020 to 2030.


Global District Heating Market: Overview


District heating is also known as heat network or teleheating, which is used to generate heat in a centralized location and distribute it amongst multiple different buildings. District heating distribution infrastructure comprises a network of insulated pipe and provides heating for residential or commercial requirements.


Global District Heating Market: Dynamics


Increasing demand for energy-efficient and cost-effective heating systems in developed and developing countries is one of the major factor expected to drive growth of the target market. Moreover, increasing regulations for reducing greenhouse gas emissions is anticipated to fuel growth of the target market. Furthermore, rising demand for uninterrupted power, technological advancement in terms of connectivity, IoT integration, and digitalization, along with government initiatives and investment in renewable heat sources for high efficiency and better capacity utilization are some of the major factors driving growth of the global district heating market. In addition, rapid industrialization and urbanization, coupled with rising energy demand are some other factors expected to boost growth of the global market over the forecast period.

The increasing use of biomass district heating is one of the key trend gaining traction in the market. In addition, recent trend observed in the market is that wooden pellets are using to minimize the environmental impact and improve energy efficiency.


Global District Heating Market: Segment Analysis


Among heat source segments, the renewable heat source segment is expected to account major revenue share in the global market, and is expected to maintain its dominance over the forecast period.

Among plant type segments, the combined heat and power (CHP) segment is anticipated to register significant growth rate in the target market.

Among application segment, the residential segment is expected to account for significant revenue share in the global market.


District Heating Market: Regional Analysis


The district heating market in Asia Pacific is estimated to account for highest growth in terms of revenue in the global market, and expected to maintain its dominance over the forecast period. This dominance can be attributed to increasing demand for thermal comfort and rise in the district heating connected end-users in the region. In addition, favorable government incentives regarding energy-efficient products and ongoing suitable infrastructure development across the region, is projected to support the industry growth in Asia Pacific.

The market in Europe is expected to grow at a significant rate over the forecast period, owing to technological advancements, rising demand for energy-efficient solution, along with initiatives regarding reduction of greenhouse gas emissions.

In August 2015, the Government of France introduced the Energy Transition for Green Growth Act to reduce GHG emissions by 40% by 2030 from 1990 levels and 30% reduction in final energy consumption by 2030 as compared to 2012 levels.

For instance, October 2016, the UK government introduced the Heat Networks Investment Program (HNIP) to provide fiscal support to over 200 heating networks across Wales and England with a funding of over US$ 362.3 Mn by 2021.


Below are the active patents related to District Heating Market.


Patent Number: CN105485667A

Pulverized coal reheating boiler

Abstract

The invention relates to the technical field of high-temperature and ultra-high-pressure boilers, and specifically discloses a pulverized coal reheating boiler which reduces the emissions of nitrogen oxides while meeting high-temperature and ultra-high-pressure requirements, thus achieving environmental protection standards. The pulverized coal reheating boiler comprises a hearth, wherein a combustor is arranged on the hearth; and the hearth is sequentially communicated with an uptake flue, a horizontal flue and an exit flue. The pulverized coal reheating boiler is characterized in that the combustor comprises ignition layers, secondary air inlets, primary air inlets, COFA air nozzles and SOFA air nozzles which are sequentially arranged from bottom up; a movable blade is arranged in each COFA air nozzle; and an air outlet direction of each SOFA air nozzle forms a certain angle with the tangent line of a tangent circle of a main combustor.

Application filed Date: 2015-06-18

Application granted Date: 2019-01-01

Current Assignee:  Wuxi Huaguang Environmental Protection Energy Group Co., Ltd

Patent Number: US9175864B2

Energy-saving central heating and hot water supply system

Abstract

An energy-saving heating and hot water supply system includes a main heat exchanger, a circulation pump, a hot water supply heat exchanger and a hot water distributor. The main heat exchanger produces heating water through a heat exchange. The circulation pump circulates the heating water produced in the main heat exchanger so that the heating water is supplied to and collected from each household or floor. The hot water supply heat exchanger produces hot water through a heat exchange between water for hot water supply and the heating water supplied from the main heat exchanger and circulates the produced hot water in a floor coil through the hot water distributor or directly circulates the produced hot water in the floor coil. The hot water distributor receives the heating water and circulates the received heating water in the floor coil provided for each household or floor.

Application filed Date: 2011-12-05

Application granted Date:  2015-11-03

Current Assignee: Gu-Sung Engineering & Construction Co Ltd

Global District Heating Market Segmentation:

Segmentation by Heat Source:

  
Coal
  
Natural Gas
  
Oil & Petroleum Products
  
Renewable

Segmentation by Plant Type:

  
Boiler
  
Combined Heat and Power (CHP)

Segmentation by Application:

  
Residential
  
Non-residential


Key Market Players included in the report:


  
ABB (Switzerland)
  
ALFA LAVAL
  
COWI (Denmark)
  
Dall Energy (Denmark)
  
Danfoss (Denmark)
  
Engie (France)
  
Enwave Energy Corporation
  
Fortum (US)
  
FVB Energy Inc. (United States)
  
GE (United States)
  
GRUNDFOS (Denmark)
  
Helen (Finland)
  
Kelag (Austria)
  
Kelvion (Germany)
  
Keppel Corporation Limited
  
LOGSTOR (Denmark)
  
NextGen Heating (United Kingdom)
  
NRG Energy (US)
  
Orsted
  
Ramboll (Denmark)
  
Shinryo Corporation (Japan)
  
Statkraft (Norway)
  
STEAG GMBH.
  
Uniper (Germany)
  
Vattenfall (Sweden)
  
Vital Energi (UK)


Below are the key development related to District Heating Market in 2020 and 2021.


July 2021: QIC And Ullico Complete Acquisition Of CenTrio, Leading U.S. District Energy Platform. QIC and Ullico have completed their previously announced acquisition of CenTrio (formerly known as Enwave Energy US), the largest pure-play district energy platform in the U.S., which is poised for accelerating growth. CenTrio delivers reliable, cost-effective, and sustainable energy to customers across the U.S., providing critical heating, cooling, and electricity solutions to more than 400 buildings in urban centers, universities, and hospitals. CenTrio is a market leader in district energy with operations in New Orleans, Houston, Chicago, Los Angeles, Seattle, Portland, Syracuse, and Denver. CenTrios sustainable district energy operations include North Americas largest ice thermal storage facility, which is located in Chicago, and the largest sewer heat recovery system in the U.S., currently under construction in Denver. Source

June 2021: With acquisition of local heating product and service company for the greenhouse horticulture sector, Yeager Energy strengthens its geothermal development portfolio in the Netherlands. Dutch geothermal energy company Yeager Energy announced having acquired local company ‘Warmtebedrijf Westland’, a company focused on the provision of sustainable heat, such as geothermal to customers in the Netherlands. The acquisition of ‘Warmtebedrijf Westland’ means a further step in realising Yeager Energy’s strategy of developing and operating a portfolio of geothermal energy projects, so the company release. As part of that, the company also emphasizes the development and operation of (smart) district heating networks to benefit the greenhouse horticulture sector, the industry as well as the built environment (residential users). Source

March 2021: Partners Group acquires District Heating Platform in Northern Europe. Partners Group, the leading global private markets firm, has acquired one of the largest district heating platforms (the "District Heating Platform" or "the Company") in the Baltics, from Finnish energy company Fortum Corporation ("Fortum"). The Company, which operates across Estonia, Latvia and Lithuania, has 74 generation assets, which generate heat capacity of 881 MW and power capacity of 130 MW across 387 km of district heating networks. The District Heating Platforms fuel is largely derived from renewable or recycled sources, mainly biomass. Growing demand for district heating is being driven by several transformative trends in the region, including fast-growing economies and urbanising populations, as well as rising support for sustainable energy initiatives. The Companys sustainable heating services reduce reliance on conventional power sources, which will have broad positive stakeholder impact over the long term. Source

March 2021: Funds advised by KLAR Partners Limited ("KLAR Partners" or "KLAR") have completed the previously communicated acquisition of Sandbäckens, a provider of technical installation and servicing of sprinkler, heating and sanitation solutions for buildings. The company is KLAR Partners first acquisition in Sweden. Source

February 2021: QIC acquires interest in leading US district energy provider Enwave Energy. Australian investment manager, QIC, and consortium partner Ullico, have won a bid to acquire a 100% interest in the US business of Enwave Energy, North Americas largest single-district energy platform. Enwave Energys market-leading US business ("Enwave Energy US") provides district energy solutions by transferring thermal energy in the form of cold water, hot water or steam from a central energy plant through urban areas or campuses to cool and heat buildings. Source

February 2021: IFM Investors and Ontario Teachers’ Pension Plan Board jointly acquire Canadian district energy operations owned by Enwave Energy Corporation. IFM Investors and Ontario Teachers Pension Plan Board ("Ontario Teachers") are pleased to announce that they have entered into a definitive agreement with Brookfield Infrastructure (NYSE: BIP; TSX: BIP.UN) to jointly acquire a 100% interest in the Canadian district energy operations owned by Enwave Energy Corporation (“Enwave”) for C$2.8 billion on an enterprise value basis. IFM Investors and Ontario Teachers’ will retain the Enwave brand as part of this transaction and each will own 50% of the company. Enwave is a fully integrated district energy business that provides innovative, sustainable district cooling and heating solutions to over 320 customers across a range of sectors in Canada. Spanning Toronto, London, Windsor and Charlottetown, Enwave’s distribution network is well diversified across services and customers. Source

January 2020: Vicinity Energy Launches Largest District Energy Provider in North America. The district energy business supports building owners, developers on a range of energy solutions. Antin Infrastructure Partners, a global infrastructure fund, recently announced the creation of a new brand, Vicinity Energy, following its purchase of Veolia North America’s district energy assets in the United States. The newly launched Vicinity Energy is comprised of central energy plants and associated distribution networks that supply steam or hot water, chilled water and electricity, across 13 networks in 10 major cities. It is the largest district energy provider in North America. Source