Global Waste Heat Recovery Market 2024–2033

Reports Description

As per the current market research conducted by the CMI Team, the global Waste Heat Recovery Market is expected to record a CAGR of 8.6% from 2024 to 2033. In 2024, the market size is projected to reach a valuation of USD 63,653.2 Million. By 2033, the valuation is anticipated to reach USD 133,748.4 Million.

The waste heat recovery market encompasses technologies and systems designed to capture and utilize excess heat generated during various industrial processes and applications. By employing innovative solutions such as organic Rankine cycle (ORC), thermo-electric generators (TEGs), and heat exchangers, waste heat recovery systems convert waste heat into useful forms of energy, such as electricity, steam, or hot water.

This recovered energy can then be utilized for heating, cooling, or power generation, thereby improving overall energy efficiency, reducing greenhouse gas emissions, and lowering operational costs for industries across sectors such as manufacturing, oil & gas, automotive, and others.

Waste Heat Recovery Market – Significant Growth Factors

The Waste Heat Recovery Market presents significant growth opportunities due to several factors:

• Regulatory Pressure and Environmental Concerns: Stringent regulations aimed at reducing greenhouse gas emissions and promoting energy efficiency are driving industries to adopt waste heat recovery solutions to mitigate environmental impact and comply with regulatory standards.

• Rising Energy Costs: Escalating energy prices and volatility in fossil fuel markets are incentivizing industries to invest in waste heat recovery systems as a means to reduce energy consumption and lower operational costs.

• Technological Advancements: Continuous innovation in waste heat recovery technologies, such as organic Rankine cycle (ORC) systems and thermoelectric generators (TEGs), is expanding the capabilities and efficiency of waste heat recovery solutions, making them more attractive to industries seeking sustainable energy solutions.

• Industry Shift Towards Sustainability: Increasing awareness of sustainability and corporate responsibility is driving industries to integrate waste heat recovery into their operations as part of broader sustainability initiatives, enhancing their environmental performance and competitiveness.

• Expansion into Emerging Markets: Growing industrialization and urbanization in emerging economies present significant opportunities for waste heat recovery market expansion, as industries seek efficient and sustainable energy solutions to support their growth while minimizing environmental impact.

Waste Heat Recovery Market – Mergers and Acquisitions

The Waste Heat Recovery Market has seen several mergers and acquisitions in recent years, with companies seeking to expand their market presence and leverage synergies to improve their product offerings and profitability. Some notable examples of mergers and acquisitions in the Waste Heat Recovery Market include:

• In 2023, The Ministry of Power of the Government of India established the specialized Centre of Excellence, UTPRERAK, to accelerate industrial adoption of clean technologies and enhance the country’s participation in the global energy transition.

• In 2022, Transitional Energy and ElectraTherm formed a partnership to convert oil and gas waste heat into power. This collaboration follows a successful demonstration of producing geothermal energy from an oil field, showcasing the potential for innovative waste heat recovery solutions.

• In 2022, ORCAN ENERGY AG, a waste heat supplier, signed a long-term supply agreement with North American supplier ICE Thermal Harvesting (ICE). ORCAN provided 15 Organic Rankine cycle units to collect waste heat for use in ICE’s power systems.

These mergers and acquisitions have helped companies expand their product offerings, improve their market presence, and capitalize on growth opportunities in the Waste Heat Recovery Market. The trend is expected to continue as companies seek to gain a competitive edge in the market.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

Waste Heat Recovery Market – Significant Threats

The Waste Heat Recovery Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• High Initial Investment Costs: One of the significant threats to the waste heat recovery market is the high initial capital investment required for implementing waste heat recovery systems. Industries may perceive these costs as prohibitive, especially if they are facing budget constraints or competing investment priorities.

• Complexity of Integration: Integrating waste heat recovery systems into existing industrial processes can be complex and challenging. It may require modifications to existing infrastructure, downtime for installation, and coordination with other equipment, posing logistical and operational challenges for industries.

• Low Energy Prices: Fluctuations in energy prices, particularly low prices of traditional energy sources like fossil fuels, can undermine the economic viability of waste heat recovery projects. Industries may be less incentivized to invest in waste heat recovery systems when energy prices are low, as the potential cost savings may not justify the investment.

• Technological Limitations: Despite advancements in waste heat recovery technologies, there are still technical limitations and constraints that may hinder market growth. These limitations could include efficiency losses, reliability issues, and temperature constraints, which may limit the applicability of waste heat recovery systems in certain industrial processes.

• Lack of Awareness and Education: Many industries may lack awareness of the potential benefits of waste heat recovery or may not fully understand the technology and its capabilities. A lack of education and outreach efforts regarding waste heat recovery solutions could inhibit market adoption, as industries may overlook or underestimate the value proposition of these systems.

Category-Wise Insights:

By Source

• Exhaust Gases: Exhaust gases are byproducts of combustion processes in industrial operations and automotive engines. In the waste heat recovery market, technologies like heat exchangers and ORC systems are utilized to capture and utilize thermal energy from exhaust gases, improving energy efficiency and reducing emissions.

• Flue Gases: Flue gases are emitted from combustion processes in boilers, furnaces, and power plants. Waste heat recovery systems capture and utilize the heat from flue gases using technologies like heat exchangers and economizers, enhancing energy efficiency, and reducing environmental impact.

• Process Heat: Process heat refers to the heat generated during various industrial processes such as refining, manufacturing, and chemical production. Waste heat recovery systems extract and utilize this heat using technologies like heat exchangers, heat pumps, and ORC systems, improving energy efficiency and reducing operating costs.

• Engine Heat: Engine heat is the waste heat generated by internal combustion engines in vehicles, machinery, and equipment. Waste heat recovery systems, including TEGs and ORC systems, capture and convert engine heat into usable energy, improving fuel efficiency and reducing emissions in automotive and industrial applications.

• Others: Other sources of waste heat include heat generated by equipment, machinery, and industrial processes beyond exhaust, flue, and engine heat. Waste heat recovery technologies are applied to capture and utilize this heat, contributing to energy efficiency improvements and environmental sustainability across various industries and applications.

By Technology

• Steam Rankine Cycle: Utilizes steam turbines to recover waste heat and convert it into mechanical or electrical energy. Trend: Despite being a mature technology, advancements continue to improve efficiency and expand applicability, particularly in high-temperature industrial processes.

• Organic Rankine Cycle (ORC): Uses organic fluids with lower boiling points to generate electricity from waste heat at lower temperatures. Trend: Increasing adoption due to its suitability for low-temperature waste heat recovery applications and advancements in ORC system efficiency and reliability.

• Kalina Cycle: Utilizes a mixture of ammonia and water as the working fluid to recover waste heat and produce power. Trend: Emerging as a promising alternative to traditional Rankine cycles, offering higher efficiency and lower operating costs, especially in applications with varying waste heat temperatures.

• Thermo-electric Generators (TEG): Directly convert heat into electricity using the Seebeck effect, suitable for low-temperature waste heat recovery. Trend: Growing interest due to advancements in materials and designs, enabling improved efficiency and reliability, expanding the range of applications for TEG systems.

• Others: This category includes various waste heat recovery technologies such as absorption chillers, heat pumps, and combined heat and power (CHP) systems. Trend: Diverse technological advancements aimed at enhancing efficiency, reliability, and cost-effectiveness, catering to specific industry needs and waste heat characteristics.

By End Use Industry

• Manufacturing: In manufacturing, waste heat recovery involves capturing excess heat from various processes such as heating, cooling, and drying. Trends include the adoption of efficient heat exchangers and ORC systems to improve energy efficiency and reduce operational costs.

• Chemicals: In the chemicals industry, waste heat recovery focuses on capturing heat from chemical reactions and processes. Trends include the integration of waste heat recovery systems with chemical production processes to enhance energy efficiency and reduce greenhouse gas emissions.

• Petrochemicals: Waste heat recovery in the petrochemical industry involves capturing heat from refining and processing operations. Trends include the use of advanced heat exchangers and CHP systems to optimize energy recovery and improve overall process efficiency.

• Cement: In cement production, waste heat recovery involves capturing heat from kilns and other production processes. Trends include the adoption of innovative technologies such as WHR boilers and TEG systems to maximize energy recovery and reduce reliance on fossil fuels.

• Metal Processing: Waste heat recovery in metal processing involves capturing heat from furnaces, smelters, and other high-temperature processes. Trends include the implementation of advanced heat recovery systems and heat exchange technologies to improve energy efficiency and reduce environmental impact.

• Automotive: In the automotive industry, waste heat recovery focuses on capturing heat from engine exhaust and cooling systems. Trends include the development of innovative TEG and ORC systems to convert waste heat into usable power, improving vehicle efficiency and reducing emissions.

• Others: Waste heat recovery can also be applied in various other industries such as food processing, textiles, and power generation. Trends include the customization of waste heat recovery solutions to meet the specific needs and requirements of different industrial sectors, driving innovation and market growth across diverse applications.

Report Scope

Waste Heat Recovery Market – Regional Analysis

The Waste Heat Recovery Market is segmented into various regions, including North America, Europe, Asia-Pacific, and LAMEA. Here is a brief overview of each region:

• North America: In North America, waste heat recovery trends include a focus on energy-intensive industries such as manufacturing and oil refining. The region is witnessing increased adoption of advanced waste heat recovery technologies, driven by stringent environmental regulations and government incentives promoting energy efficiency. Additionally, there is growing interest in waste heat recovery applications in the automotive sector, particularly in the United States, as manufacturers seek to comply with emissions regulations and improve fuel efficiency.

• Europe: In Europe, waste heat recovery initiatives are driven by ambitious sustainability goals and regulations aimed at reducing carbon emissions. The region is a leader in adopting waste heat recovery technologies across various industries, including manufacturing, chemicals, and cement production. European countries incentivize energy efficiency measures, leading to widespread implementation of waste heat recovery systems and integration with district heating networks.

• Asia-Pacific: In the Asia-Pacific region, rapid industrialization and urbanization are driving the demand for energy and increasing the need for waste heat recovery solutions. Countries like China and India are investing in waste heat recovery projects to improve energy efficiency and reduce greenhouse gas emissions in industries such as steel, cement, and petrochemicals. Additionally, there is growing interest in waste heat recovery applications in the automotive sector as countries strive to meet stringent emissions standards.

• LAMEA (Latin America, Middle East, and Africa): In the LAMEA region, waste heat recovery trends are influenced by the presence of energy-intensive industries such as oil & gas, mining, and manufacturing. Governments in countries like Brazil, Saudi Arabia, and South Africa are promoting energy efficiency measures to reduce dependency on fossil fuels and mitigate environmental impact. Waste heat recovery systems are increasingly being integrated into industrial processes to improve resource utilization and enhance sustainability in the region’s rapidly growing economies.

Competitive Landscape – Waste Heat Recovery Market

The Waste Heat Recovery Market is highly competitive, with a large number of manufacturers and retailers operating globally. Some of the key players in the market include:

• Siemens AG
• General Electric Company
• ABB Ltd.
• Mitsubishi Heavy Industries Ltd.
• Thermax Limited
• Amec Foster Wheeler plc (Now part of Wood Group)
• Ormat Technologies Inc.
• Echogen Power Systems Inc.
• GEA Group AG
• Boustead International Heaters Ltd.
• Doosan Heavy Industries & Construction Co. Ltd.
• HRS Heat Exchangers Ltd.
• Marathon Engine Systems
• MTPV Power Corporation
• Kawasaki Heavy Industries Ltd.
• Others

These companies operate in the market through various strategies such as product innovation, mergers and acquisitions, and partnerships.

New players entering the waste heat recovery market are often characterized by their focus on innovation and development to differentiate themselves in a competitive landscape. These companies leverage advanced technologies such as organic Rankine cycle (ORC) systems, thermo-electric generators (TEGs), and heat exchangers to offer efficient and cost-effective waste heat recovery solutions.

Meanwhile, key players dominating the market, such as Siemens AG, General Electric Company, and ABB Ltd., maintain their stronghold through extensive R&D investments, strategic partnerships, and a diversified product portfolio catering to various industrial sectors. They leverage their brand reputation, established customer base, and global presence to sustain market dominance.

The Waste Heat Recovery Market is segmented as follows:

By Source

• Exhaust Gases
• Flue Gases
• Process Heat
• Engine Heat
• Others

By Technology

• Steam Rankine Cycle
• Organic Rankine Cycle
• Kalina Cycle
• Thermo-electric Generators (TEG)
• Others

By End-User Industry

• Manufacturing
• Chemicals
• Petrochemicals
• Cement
• Metal processing
• Automotive
• Others

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Taiwan
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America