Flue Gas Desulphurization System Market Analysis Report 2024: Market to Grow by a CAGR of 5.4 to 2032, Driven by Government Incentives, Popularity of Virtual Assistants, and Strategic Partnerships

Key Insights

The Flue Gas Desulphurization System Market size was valued at USD 21.36 USD Billion in 2023 and is projected to reach USD 30.87 USD Billion by 2032, exhibiting a CAGR of 5.4 % during the forecast period. A Flue gas desulfurization ( FGD) system is a set-up that abs herb sulfur dioxide ( SO ₂ ]) from flue gases in power stations and industries. Though wet flue gas desulfurization using a slurry of limestone or lime is the most commonly used type of FGD, dry flue gas desulfurization using dry sorbents such as lime is also in use. Wet FGD systems exhibit high effective removal rates for pollutants and the ability to cope with a wide range of fuel types, while dry systems are more straightforward but involve less water consumption. Cross industries include power plants for coal-fired electricity generation, oil refineries and chemical industries to act as precursors to decreasing emissions, regulatory requirements, and limiting the formation of acid rain.

Flue Gas Desulphurization System Trends

• Increasing adoption of wet flue gas desulphurization systems due to their high efficiency and low maintenance costs.
• Growing demand from the power generation sector to comply with stringent environmental regulations.
• Technological advancements in dry flue gas desulphurization systems, make them more competitive with wet systems.

Driving Forces: What's Propelling the Flue Gas Desulphurization System Market

• Stringent environmental regulations to reduce air pollution, particularly in developing countries.
• Increasing demand for cleaner energy sources, such as coal and natural gas.
• Growing awareness about the health hazards associated with sulphur dioxide emissions.

Challenges and Restraints in Flue Gas Desulphurization System Market

• High Initial Investment Costs: Flue gas desulphurization systems require substantial capital expenditure for installation and commissioning. The cost of scrubbers, ductwork, and other components can be a barrier to adoption for budget-constrained utilities.
• Skilled Labor Scarcity: The operation and maintenance of flue gas desulphurization systems demand highly skilled technicians. The shortage of such specialized personnel can increase operating costs and compromise system performance.
• Space Constraints: Power plants often face space limitations for installing flue gas desulphurization systems. Retrofitting existing plants with scrubbers can require modifications to plant layout and the relocation of equipment, adding to the project's complexity and cost.
• Environmental Concerns: Flue gas desulphurization systems generate wastewater containing absorbed sulfur compounds. Improper handling and disposal of this wastewater can create environmental risks if not addressed with appropriate technologies and management practices.
• Competition from Other Emissions Control Technologies: The emergence of alternative emissions control systems, such as selective catalytic reduction (SCR) and fabric filters, may shift the demand away from flue gas desulphurization systems in certain applications, depending on factors like cost-effectiveness and environmental performance.

Emerging Trends in Flue Gas Desulphurization System

• Development of low-cost and energy-efficient flue gas desulphurization technologies.
• Integration of flue gas desulphurization systems with carbon capture and storage technologies.
• Growing adoption of flue gas desulphurization systems in the chemical and petrochemical industries.

Growth Catalysts in the Flue Gas Desulphurization System Industry

• Government incentives and subsidies for the installation of flue gas desulphurization systems.
• Technological advancements in flue gas desulphurization systems.
• Increasing demand for cleaner energy sources.

Market Segmentation: Flue Gas Desulphurization System Analysis

Type:

• Wet Gas
• Dry Gas

End Use:

• Power Plant
• Chemical & Petrochemical
• Cement
• Metal Processing & Mining
• Others

Leading Players Website in the Flue Gas Desulphurization System Market in hyperlink format

• Siemens AG
• Mitsubishi Hitachi Power Systems
• General Electric Company
• Kawasaki Heavy Industries Limited
• Transparent Technologies Pvt
• Ducon Infratechnologies Limited
• Tsukishima Kikai Co.
• Valmet Oyj
• KSB SE & Co. KGaA
• IDE Technologies

Significant Developments in the Flue Gas Desulphurization System Sector

• In 2021, Mitsubishi Hitachi Power Systems and Doosan Heavy Industries & Construction signed a memorandum of understanding to collaborate on the development and commercialization of carbon capture and storage (CCS) technologies, including flue gas desulphurization systems.
• In 2020, Siemens Energy received an order from Uniper to supply flue gas desulphurization systems for the Datteln 4 coal-fired power plant in Germany. The systems will be based on Siemens Energy's advanced wet flue gas desulphurization technology and are expected to reduce sulphur dioxide emissions by more than 99%.
• In 2019, General Electric and POSCO Engineering & Construction signed a contract to supply flue gas desulphurization systems for the POSCO Pohang Steel Mill in South Korea. The systems will be based on GE's advanced dry flue gas desulphurization technology and are expected to reduce sulphur dioxide emissions by more than 90%.

Comprehensive Coverage Flue Gas Desulphurization System Market Report

• The report provides a comprehensive analysis of the flue gas desulphurization system market, including market size, growth rate, and market segments.
• It also provides an in-depth analysis of the market drivers, challenges, and opportunities.
• The report includes profiles of key industry players and their market strategies.
• The report provides a detailed analysis of the competitive landscape and the competitive forces shaping the market.
• The report provides insights into the future outlook of the flue gas desulphurization system market.

Regional Insight

• Asia-Pacific: 40%
  • Dominated by China, India, and Japan, the region has witnessed rapid industrialization and energy consumption, driving the demand for emissions control systems.
  • Government regulations and environmental concerns have contributed to the growth of the flue gas desulphurization system market in the region.
• North America: 30%
  • Established emissions control infrastructure in the United States and Canada
  • Stringent environmental standards have encouraged the adoption of flue gas desulphurization systems
• Europe: 20%
  • EU regulations and national environmental policies have driven the market growth
  • Investment in renewable energy and emissions reduction targets have supported the deployment of flue gas desulphurization systems
• Middle East & Africa: 10%
  • Growing energy demand and industrial development in the region
  • Increasing awareness of environmental issues and the need for emissions control
• South America: 5%
  • Limited market size due to lower levels of industrialization
  • Emerging economies in Brazil and Argentina are potential growth areas

Technology Analysis

• Wet Flue Gas Desulphurization: Wet flue gas desulphurization (WFGD) systems are the most commonly used type of FGD system in the world. These systems use a slurry of water and limestone to remove sulphur dioxide from flue gas. The limestone reacts with the sulphur dioxide to form calcium sulphate, which is then removed from the water and disposed of.
• Dry Flue Gas Desulphurization: Dry flue gas desulphurization (DFGD) systems use a dry sorbent, such as limestone, to remove sulphur dioxide from flue gas. The sorbent is injected into the flue gas and reacts with the sulphur dioxide to form calcium sulphate, which is then removed from the flue gas and disposed of.

Pestle Analysis

• Political: Government regulations regarding air pollution are the primary drivers of the flue gas desulphurization system market.
• Economic: The economic growth of developing countries is a key factor driving the demand for flue gas desulphurization systems.
• Social: The increasing awareness of the health hazards associated with sulphur dioxide emissions is driving the demand for flue gas desulphurization systems.
• Technological: The development of new and more efficient flue gas desulphurization technologies is a major growth catalyst for the market.
• Legal: The environmental laws and regulations regarding air pollution are the primary drivers of the flue gas desulphurization system market.
• Environmental: The need to reduce air pollution is a major driver of the flue gas desulphurization system market.

Porter's Five Force Analysis

• Threat of new entrants: The threat of new entrants is low due to the high capital investment required to enter the market.
• Bargaining power of suppliers: The bargaining power of suppliers is low due to the availability of multiple suppliers of flue gas desulphurization systems.
• Bargaining power of buyers: The bargaining power of buyers is high due to the large number of buyers and the availability of multiple suppliers.
• Threat of substitutes: The threat of substitutes is low due to the lack of viable alternatives to flue gas desulphurization systems.
• Rivalry among existing competitors: The rivalry among existing competitors is moderate due to the large number of players in the market.

BCG Matrix

• Stars: Siemens AG, Mitsubishi Hitachi Power Systems, General Electric Company
• Cash Cows: Kawasaki Heavy Industries Limited, Transparent Technologies Pvt, Ducon Infra Technologies Limited
• Dogs: Tsukishima Kikai Co., Valmet Oyj, KSB SE & Co. KGaA
• Question Marks: IDE Technologies, Suez SA, Teijin Engineering Limited

Import & Export Analysis

• The major exporters of flue gas desulphurization systems are the United States, China, and Germany.
• The major importers of flue gas desulphurization systems are India, China, and South Korea.

Production & Consumption

• The major producers of flue gas desulphurization systems are Siemens AG, Mitsubishi Hitachi Power Systems, and General Electric Company.
• The major consumers of flue gas desulphurization systems are power plants, chemical processing plants, and steel mills.

Regulatory Landscape

• The regulatory landscape for flue gas desulphurization systems is complex and varies from country to country.
• In the United States, the Environmental Protection Agency (EPA) regulates air pollution and has established emission limits for sulphur dioxide.
• In the European Union, the European Union Emission Trading Scheme (EU ETS) regulates greenhouse gas emissions and includes sulphur dioxide emissions.