Europe Thermal Power Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 5.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Europe Thermal Power Market Analysis
The Europe thermal power market is expected to register a CAGR of over 5% during the forecast period.
COVID-19 negatively impacted the market in 2020. Presently the market reached pre-pandemic levels.
- Over the medium term, increasing power demands and decommissioning coal power plants will likely increase demand for gas-powered power generation. It is expected to drive the Europe thermal power market during the forecast period.
- On the other hand, the increasing adaption of renewable energy sources like solar and wind energy is expected to hinder Europe's thermal power market growth.
- Nevertheless, clean coal technology and upcoming natural gas-fired power plants are expected to create significant opportunities in Europe's thermal power market in the future.
- Germany is expected to dominate the market during the forecasted period due to the increasing demand for energy and population.
Europe Thermal Power Market Trends
Natural Gas Based Thermal Power to Witness Significant Growth
- Natural gas is one of the cleanest fuels that can affordably supply electricity on a large scale. In the future decades, gas-fired power generation will likely displace coal capacity in the region. Furthermore, investments in renewables are predicted to skyrocket, and the flexibility provided by gas-fired power generation is expected to remain in high demand.
- Using natural gas thermal power plants as backup power for unreliable renewable sources such as wind and solar is one of the most significant factors driving their adoption. The ability of natural gas plants to initiate quickly makes them highly dependable, thus improving the reliability of the utility grid and promoting the market's expansion.
- In February 2022, the government of Ireland announced that they plan to build nine new gas-fired power plants by 2024 to meet rising electricity demand and avoid a power shortfall on the island. The proposed additional plants in Westmeath, Galway, and Dublin will be built due to a recent capacity auction undertaken jointly by the grid operator Eirgrid and its Northern Ireland equivalent, SONI.
- Moreover, Natural gas electricity generation is a significant part of the energy mix in Europe. In 2021 the total electricity generation through natural gas was recorded at 799.3 TWh, an increase of 4.7% compared to 2020. However, the natural gas supply was severely affected due to the Russia-Ukraine war. It is estimated to affect electricity generation through natural gas in Europe heavily.
- With advantages like low emissions compared to coal and fewer harms compared to nuclear, the market share of natural gas in power generation is likely to grow.
Germany to Dominate the Market
- Despite Germany's commitment to environmental goals, the country heavily relies on natural gas, particularly heating. However, the country also includes a significant capacity for natural gas-powered electricity production, which is anticipated to increase in the projected period. It is estimated that an additional 20-30 GW of gas-fired capacity will be necessary to satisfy domestic demand while meeting climate targets and transitioning away from coal and nuclear energy.
- As of 2022, there are approximately 27.2 GW of gas-powered projects in the pipeline, with an additional 2.4 GW expected to be installed between 2021 and 2022. Several plants, including VW's Wolfsburg CCGTs (400 MW), Uniper's Scholven unit (135 MW), and Steag's Herne 6 (625 MW), are scheduled to come online in 2023.
- Furthermore, according to BP's statistical review of world energy in 2021, the country's electricity generation through thermal energy sources increased by almost 9% between 2021 and 2020.
- Moreover, the irregular natural gas supply severely affected Germany due to the Russia-Ukraine war. The government reactivated the existing coal power plant facility in the country.
- For instance, in August 2022, the Heyden facility in Petershagen, near Hanover in northern Germany, was set to reopen on August 29 and remain operational until the end of April, according to operator Uniperannounced. Heyden, with a capacity of 875 MW, is one of Germany's most powerful coal-fired power stations.
- Therefore, due to the abovementioned facts, Germany is expected to dominate the thermal power segment during the forecasted period.
Europe Thermal Power Industry Overview
The Europe thermal power market is moderately fragmented. Some of the major players in the market (in no particular order) include Siemens AG, Enel S.p.A, Electricite de France SA, Engie SA, and Rosatom State Atomic Energy Corporation.
Europe Thermal Power Market Leaders
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Engie SA
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Enel S.p.A
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Rosatom State Atomic Energy Corporation
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Electricite de France SA
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Siemens AG
*Disclaimer: Major Players sorted in no particular order
Europe Thermal Power Market News
- January 2023: The Polish 75% state-owned energy firm, Polska Grupa Energetyczna (PGE), announced the selection of a contractor to build an 882 MW gas and steam plant in the southern city of Rybnik. The facility is planned to be operational by 2027.
- July 2022: Energa SA announced that it had placed an order with GE Gas Power for a GE 9HA.02 turnkey combined cycle power plant project for the Ostroleka C power station in northeast Poland. The Ostroleka C power station, with an installed capacity of 745 MW, will commence operations in 2025. It will be supplied with gas from the Poland-Lithuania Interconnector.
- April 2022: The government of the United Kingdom announced the formation of a new entity named Great British Nuclear to boost the UK's nuclear capability to produce up to 24 GW of electricity from nuclear power by 2050 - 25% of expected electricity demand. The nuclear focus might result in up to eight additional reactors being built in existing locations. The government hopes to license a new reactor yearly until 2030 to make them operational by 2050.
Europe Thermal Power Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of Study
1.2 Market Definiton
1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Installed Capacity and Forecast in GW, till 2028
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.2 Restraints
4.6 Supply Chain Analysis
4.7 Porter's Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Consumers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitute Products and Services
4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Source
5.1.1 Coal
5.1.2 Natural Gas
5.1.3 Oil
5.1.4 Nuclear
5.2 Geography (Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)})
5.2.1 United Kingdom
5.2.2 France
5.2.3 Germany
5.2.4 Russia
5.2.5 Rest of Europe
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Engie SA
6.3.2 Enel S.p.A
6.3.3 Rosatom State Atomic Energy Corporation
6.3.4 Electricite de France SA
6.3.5 Siemens AG
6.3.6 Iberdrola SA
6.3.7 Endesa SA
6.3.8 Uniper SE
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Europe Thermal Power Industry Segmentation
Thermal power generation utilizes steam from burning oil, liquid natural gas (LNG), coal, and other substances to rotate generators and create electricity.
Source and Geography segment the Europe thermal power market. The market is segmented by source: Coal, Natural Gas, Oil, and Nuclear. The report also covers the market size and forecasts across major regional countries. The report offers the installed capacity and forecast capacity in gigawatts (GW) for all the above segments.
| Source | |
| Coal | |
| Natural Gas | |
| Oil | |
| Nuclear |
| Geography (Regional Market Analysis {Market Size and Demand Forecast till 2028 (for regions only)}) | |
| United Kingdom | |
| France | |
| Germany | |
| Russia | |
| Rest of Europe |
Europe Thermal Power Market Research FAQs
What is the current Europe Thermal Power Market size?
The Europe Thermal Power Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Europe Thermal Power Market?
Engie SA , Enel S.p.A , Rosatom State Atomic Energy Corporation, Electricite de France SA and Siemens AG are the major companies operating in the Europe Thermal Power Market.
What years does this Europe Thermal Power Market cover?
The report covers the Europe Thermal Power Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Europe Thermal Power Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Thermal Power Industry Report
Statistics for the 2024 Europe Thermal Power market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Thermal Power analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
