Multiple Trends Driving Growth for Solid Oxide Fuel Cells Worldwide
The stationary SOFC segment held the largest market share in 2017, accounting for nearly 83% of the market.
The global solid oxide fuel cell (SOFC) market will grow at a compound annual growth rate (CAGR) of over 22% from 2018-2022, according to a market research report from Technavio. Rising energy consumption is a major factor driving the market’s growth.
Rapid worldwide urbanization growth has led to a massive impact on power consumption, and demand for clean and efficient power sources is increasing. A major portion of the energy used in the residential and commercial sectors is for space heating and cooling. These needs can be met using cleaner power such as fuel cells. SOFCs operate at a high temperature of 1,472-1,832°F with 70% efficiency. SOFCs are also available in various stack sizes and are reportedly preferred for residential and commercial applications.
The adoption of distributed energy generation is being driven by the increasing need for uninterrupted and reliable power supplies in developed countries, while it is used in developing countries to increase the electrification rate. Consumers are seeking increases in reliability and resiliency due to instances of natural calamities disrupting the continuous flow of power.
The stationary SOFC segment held the largest market share in 2017, accounting for nearly 83% of the market. The market share for this application is expected to increase about 2% by 2022. The increased deployment of stationary fuel cells for prime power generation and high demand from the residential micro-CHP sector and large-scale power plants are key factors leading to its high dominance in the market.
The Americas was the leading region for the global SOFC market in 2017, accounting for a market share of nearly 46%. By 2022, the Asia-Pacific region is expected to register the highest growth rate of nearly 2%.
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