District Heating Market (By Heat Source: Coal, Natural Gas, Renewable, Oil & Petroleum Products, Others; By Plant Type: Boiler, Combined Heat and Power (CHP), Heat Exchangers, Heat Meter, Others; By Application: Residential, Commercial, Industrials) - Global Industry Analysis, Size, Share, Growth, Trends, Regional Outlook, and Forecast 2022 – 2030

The global district heating market size was valued at US$ 181.15 billion in 2021 and is expected to surpass around US$ 295.35 billion by 2030 and poised to grow at a compound annual growth rate (CAGR) of 5.9% from 2022 to 2030.

Growth Factors:

The district heating is a cost-effective method of transferring heat generated in a central place to multiple buildings such as companies, residences, and factories via a network of insulated pipes. The heat is employed in a variety of household and commercial applications including room and floor heating as well as water heating. The central solar heating, geothermal heating, and heat waste from nuclear power plants are the most common sources of heat. The district heating is particularly fuel efficient, and its flexibility allows for replacement of greener alternatives, both of which are anticipated to drive the growth of the district heating market during the forecast period.

The regulations aimed at reducing greenhouse gas emissions as well as increased awareness about the waste recycling will drive the greater demand for district heating in the market. The strict regulations aimed at improving building energy efficiency through the use of sustainable technologies will help the district heating market grow at a rapid pace. Due to its cost-effectiveness and environmental friendliness, the global district heating market has seen a substantial growth. The heat supply from district heating is produced in an environmentally sustainable manner, reducing greenhouse gas emissions and positively impacting the product demand globally. The government initiatives aimed at reducing carbon emissions as well as increased adoption of sustainable energy will help to boost the growth of the market.

Report Scope of the District Heating Market

The natural gas has steadily gained a healthy amount of market share in the global district heating industry as the trend toward power generation has switched away from fossil fuels, primarily due to environmental determinants. The natural gas' multiple advantages, including as lower costs and lower carbon emissions combined with outstanding efficiency, have aided the segment's expansion. The growing natural gas exploration activity in each region is also a factor in the growing popularity of these systems.

In recent years, non-conventional energy sources such as solar and wind have gained popularity. In various developed and developing countries, there has been a shift toward solar energy. However, since the district heat network serves a large number of people, and renewables are a newbie to the area, they have a limited market compared to natural gas. The natural gas-fired district heating has a higher established and installed capacity than renewable-fired district heating. However, due to the high cost of renewables, the money generated by using them surpasses that of natural gas. This trend is expected to continue, with the share of renewables increasing at a consistent rate.

Region Insights

Europe dominated the district heating market in 2020. The large power stations in Europe create waste heat. This heat is used to meet the region’s entire heating needs. Thus, this region is dominating with large market share.

Asia-Pacific, on the other hand, is expected to develop at the fastest rate during the forecast period. The expansion of the district heating market in the region is predicted to be fueled by population growth, rising disposable income, and more government efforts. Furthermore, the expansion of the district heating market is fueled by the surge in the number of households connected to district heating and a rising demand for thermal comfort.

Some of the prominent players in the District Heating Market include:

• Shinryo Corporation
• Ramboll
• Danfoss Group
• E. on Energy Services
• FVB Energy Inc.
• Dall Energy
• Statkraft
• Kelvion
• NRG Energy
• NextGen Heating

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at global, regional, and country level for the period of 2017 to 2030 and covers subsequent region in its scope:

By Heat Source

• Coal
• Natural Gas
• Renewables
• Oil & Petroleum Products
• Others

By Plant Type

• Boiler
• Combined Heat and Power (CHP)
• Heat Exchangers
• Heat Meter
• Others

By Application

• Residential
• Commercial
• Industrial

By Geography

North America

• U.S.
• Canada

Europe

• Germany
• France
• United Kingdom
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Southeast Asia
• Rest of Asia Pacific

Latin America

• Brazil
• Rest of Latin America

Middle East & Africa (MEA)

• GCC
• North Africa
• South Africa
• Rest of Middle East & Africa

Key Points Covered in District Heating Market Study:

• Growth of District Heating in 2022
• Market Estimates and Forecasts (2017-2030)
•  Brand Share and Market Share Analysis
•  Key Drivers and Restraints Shaping Market Growth
•  Segment-wise, Country-wise, and Region-wise Analysis
•  Competition Mapping and Benchmarking
•  Recommendation on Key Winning Strategies
•  COVID-19 Impact on Demand for District Heating and How to Navigate
•  Key Product Innovations and Regulatory Climate
•  District Heating Consumption Analysis
•  District Heating Production Analysis
•  District Heating and Management