The market for Stationary Fuel Cells is expected to reach US$ 8.58 Bn in 2027.
The rising inclination of industries towards self-generating power sources to reduce the risk of power disruption is driving the market of stationary fuel cells worldwide. The declining cost of fuel cell technology, along with growing awareness among consumers for the use of clean energy, is also increasing market growth. In addition, low emissions and fewer efficiency losses during transportation are popularizing the use of stationary fuel cells in a number of applications.
On the other hand, conventional fuels, such as oil and gas, and oil blooms in the North American region, particularly in the U.S., will hamper the market's growth. Nevertheless, in spite of all these hindrances, the market is poised to grow beyond US$ 8.58 Bn by 2027 with a CAGR of 11.1% from 2019 to 2027.
Proton Exchange Membrane Fuel Cells (PEMFC) are widely used in material handling & forklift in warehouses. PEMFC has the advantage of a quick start and good durability since it operates at low temperatures. Furthermore, as tailpipe emission is absent in PEMFC, it is most suitable for residential use without the risk of any harm. Further, quick fueling and longer run time made it advantageous to use for heavy-duty cycles. This, in turn, has a high demand for PEMFC in the market. In 2018, PEMFC captured over 45% of the market share by revenue.
On the other hand, Solid Oxide Fuel Cell (SOFC) is the fastest growing technology owing to its high operating temperature and fuel flexibility it offers. Moreover, unlike MCFC, SOFCs are not vulnerable to carbon monoxide and carbon dioxide and can tolerate a high concentration of sulphur.
Significant countries contributing to the region's market share are Japan, South Korea, and China. In addition, the mix of developing and developed countries present in the region has benefitted the market. In 2018, Asia Pacific accounted for over 35% market share, owing to strong demand from these three countries. Further, regional governments are focusing on diversifying their current energy base and adding non-conventional sources like fuel cells. Governments' push has triggered private industry players' investment in fuel cell technology. This has inclined the industrial and commercial players to add fuel cells in their power supply systems to reduce the risk of the power block.
However, the U.S. is the 2nd largest region in terms of market size owing to its high demand for electricity from a large number of data centers, warehouses, product distribution centers, manufacturing & fabrication sites, hospital and naval bases, and the presence of major market players.
The overall stationary fuel cells market is fragmented, and market players are focusing on partnerships and improving their capital investment to bolster their market position. For instance, in December 2019, Rolls Royce, in partnership with Lab1886 of the Mercedes-Benz group, launched a pilot project to use vehicle fuel cells for stationary power generation. This will be used in safety-critical applications such as data centers. Along with this, Rolls Royce is researching the manufacturing of hydrogen and other synthetic fuels using renewable energy sources for use in a fuel cell.
The research report presents the analysis of each segment from 2017 to 2027, considering 2018 as the base year for the research. Compounded annual growth rate (CAGR) for each respective segment calculated for the forecast period from 2019 to 2027.
The current report also comprehends qualitative market valuation factors such as key market drivers, market trends, restraints, and opportunities to understand the global stationary fuel cells market better. The global report also represents the competitive landscape based on market initiatives and strategies, product portfolio, and business strengths.
The market for Stationary Fuel Cells is expected to reach US$ 8.58 Bn in 2027.
The Stationary Fuel Cells market is expected to see significant CAGR growth over the coming years, at 11.1%.
The report is forecasted from 2019-2027.
The base year of this report is 2018.
Altergy, Bloom Energy,Doosan Fuel Cell America Inc., FuelCell Energy Inc., Ballard Power Systems., POSCO Energy, Plug Power Inc., SOLIDpower, SFC Energy AG are some of the major players in the global market.