Power Plant Chemicals Market Size, Share Global Analysis Report, 2023 – 2030

Industry Insights

[206+ Pages Report] According to Facts and Factors, the global power plant chemicals market size was valued at USD 7.25 billion in 2022 and is likely to surpass USD 10.73 billion by the end of 2030. The power plant chemicals industry is expected to grow with a CAGR of 5.18% during the forecast period.

Market Overview

The power plant chemicals refer to the specialized chemical formulations that help in various processes within the power generation units. These chemicals are important to maintain the reliability, safety, and efficiency of the power plants. It works with all kinds of energy sources, including hydroelectric, natural, fossil fuel, and other renewable energy sources.

These chemicals help manufacturers overcome the issues associated with emission control, equipment maintenance, and water treatment processes. The selection of power plant chemicals is done on the basis of the requirements and challenges of each powerhouse unit. These chemicals minimize the environmental impact of power plants and help companies comply with regulatory standards.

Key Insights

• As per the analysis shared by our research analyst, the global power plant chemicals market size is estimated to grow annually at a CAGR of around X5.18% over the forecast period (2023-2030).
• In terms of revenue, the global power plant chemicals market size was valued at around USD 7.25 billion in 2022 and is projected to reach USD 10.73 billion by 2030.
• Expansion of power generation capacity is driving the growth of the global power plant chemicals market.
• Based on the type, the biocide segment is growing at a high rate and is projected to dominate the global market.
• Based on the industry vertical, the power generation segment is projected to swipe the largest market share.
• Based on the end user, the nuclear segment is the fastest-growing segment in the global market.
• Based on the application, the boiler water treatment segment is likely to dominate the global market.
• Based on the form, the liquid segment is expected to swipe the largest share of the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.           

Power Plant Chemicals Market Growth Drivers

• Expansion of power generation capacity is likely to drive the growth of the global market.

The growing population along with a high rate of industrialization is the primary factor driving the construction and expansion of power generation facilities all across the world. The government and big companies are constantly working on aligning with the growing energy needs of the people. Increasing investment in new power generation capacities that function on renewable energy sources is further expected to foster developments in the power plant chemicals market.

Many legacy power generation facilities are aging and, therefore, require upgrades and maintenance services. The power plant chemicals help extend the lifespan of the operational unit, and therefore, it is expected to boost sales in the coming years.

For instance, Shrieve Chemical company said to acquire Chem One in January 2023 successfully. Shrieve Chemical is a leading chemical company, and the latter one offers dry chemicals sourced for various industrial applications.

Restraints

• Environmental concerns and regulations are likely to hamper the growth of the global market.

The strict environmental regulations are likely to restrict the growth of the global power plant chemicals market. These power plants release chemical waste, which has a negative impact on the environment, and therefore, it is largely addressed by consumers and the government.

Also, many power generation units are aging fast, which is leading to the decommissioning of older plants. Therefore, such a landscape is likely to restrict the growth of the power plant chemicals industry.

Opportunities

• Growth of renewable energy is likely to foster growth opportunities in the global market.

The fast expansion of renewable energy sources like hydropower, solar, and wind is likely to create huge opportunities in the power plant chemicals industry. Also, the advancements in chemical formulations, automation technology, and monitoring systems are further expected to improve the efficiency and effectiveness of these chemicals and make them more powerful.

Challenges

• Emergence of alternatives and high-cost constraints are a big challenge in the global market.

The government and big companies are investing heavily to boost the research & development process and come up with alternative technology that is capable of substituting these traditional power plant chemicals. It is expected to be a big challenge in the global power plant chemicals market.

Moreover, there is a high demand to lower the operational cost of running these power plants. People are looking forward to other cost-effective solutions, which are also expected to lower the growth of the industry in the coming years.

For instance, the Union Cabinet of India sanctioned an investment of USD 315 million for SJVN’s 382 MV Sunni dam hydro project. The project is expected to accelerate the demand for water treatment chemicals in the market.

Segmentation Analysis

The global power plant chemicals market can be segmented into type, industry vertical, end user, application, form, and region.

By type, the market can be segmented into anti-sealant, heavy metal precipitation, flocculating agent, cleaning agent, carbonization, softener, biocide, and others. The biocide segment accounts for the largest share of the power plant chemicals industry.

Biocides refer to the chemicals that help in controlling the growth of microorganisms like fungi, algae, and bacteria in treatment systems or power plants. Biocide is widely used in cooling systems to maintain the longevity of condenser cooling towers, thereby avoiding fouling and improving efficiency.

By industry vertical, the market can be segmented into mining, pulp & paper, chemical & petrochemical, oil & gas, power generation, and others. Power generation is the fastest-growing segment of the power plant chemicals industry.

The high rate of urbanization and industrialization is posing a high requirement for high-capacity power generation facilities all across the globe. There are increasing initiatives by big companies and governments to upgrade the legacy power generation systems to align with the growing energy needs of the people. However, it leads to the increasing use of these chemicals in the sector.

Due to the high expansion rate of power generation capacity worldwide, there is a growing demand for power plant chemicals to maintain the reliability and efficiency of the equipment. These chemicals are essential to achieve the smooth operation of power plant systems.

By end user, the market can be segmented into wind, solar, hydro, biomass, nuclear, fossil fuel, and others. The nuclear segment is anticipated to witness a high growth rate in the coming years. Few nations are expanding their nuclear energy capacity towards the low emission energy source, thereby helping in reducing greenhouse gas emissions. Also, the advancements in nuclear technology, like the emergence of modular and smaller reactors, are further likely to foster developments in the segment.

By application, the market can be segmented into wastewater treatment, closed system, boiler condensate, boiler water treatment, cooling water treatment, and others. The boiler water treatment segment is expected to swipe the largest share of the global power plant chemicals market.

Boiler water treatment is widely used in power plants. Also, the power plant chemicals are used within the power plants to treat the boiler water, which further prevents corrosion and scaling in boilers and avoids equipment damage. Specific chemical formulations are used to address the unique challenges of high-pressure and high-temperature environments in boiler water treatment.

By form, the market can be segmented into granules, liquid, and powder. The liquid segment is likely to dominate the global power plant chemicals market. The power plant chemicals in the liquid form are pre-dissolved solutions and can be used directly without any further preparation. These chemicals are highly preferred for immediate usage in power plant applications like chemical dosing or water treatment.

Report Scope

Regional Analysis

• North America to dominate the global market during the forecast period.

North America accounts for the largest share of the global power plant chemicals market. The region is experiencing a high demand for various chemicals used in power generation units, nuclear facilities, fossil fuels, renewable energy installations, and several others.

The region is home to a wide range of energy sources, and each requires specific chemicals for equipment maintenance, water treatment, and emission control, which in turn is likely to propel the growth of the regional market. The United States and Canada are expected to dominate the global market and bring in the highest revenue in the forthcoming years. The presence of major chemical companies, both the regional and global conglomerates, is further expected to diversify the power generation needs in the region.

Asia Pacific is expected to grow significantly during the forecast period due to the rapid urbanization and industrialization in the region. The region utilizes diversified energy sources like natural gas facilities, coal-fired power plants, hydropower installations, and several others, which are expected to expand the regional market in the forthcoming years.

Also, developing economies like India and China are coming up as the largest markets for power plant chemicals owing to their developing infrastructure and higher energy demand. Also, environmental regulations are becoming more complex and stringent; therefore, power plant companies are increasingly putting their hands on cleaner energy technology, which helps reduce carbon emissions, thereby widening the scope of the market in the region.

Competitive Analysis

The key players in the global power plant chemicals market include:

• GAC Chemical 
• Vasu Chemicals 
• Sahara Oil & Gas Services 
• Himadri Chemicals & Industries 
• Nalco Water 
• Kemira 
• BASF 
• Solenis 
• ChemTreat 
• Kurita Water Industries 
• SUEZ 
• Veolia Water Technologies 
• GE Water & Process Technologies 
• Accepta

For instance, Solenis is said to have successfully acquired Diversey in March 2023. The latter is a cleaning solution company, and it was acquired at the cost of USD 4.6 billion.

The global power plant chemicals market is segmented as follows:

By Type Segment Analysis

• Anti-Sealant
• Heavy Metal Precipitation
• Flocculating Agent
• Cleaning Agent
• Carbonization
• Softener
• Biocide
• Others

By Industry Vertical Segment Analysis

• Mining
• Pulp & Paper
• Chemical & Petrochemical
• Oil & Gas
• Power Generation
• Others

By End User Segment Analysis

• Wind
• Solar
• Hydro
• Biomass
• Nuclear
• Fossil Fuel
• Others

By Application Segment Analysis

• Wastewater Treatment
• Closed System
• Boiler Condensate
• Boiler Water Treatment
• Cooling Water Treatment
• Others

By Form Segment Analysis

• Granules
• Liquid
• Powder

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • 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