Organic Rankine Cycle Market Trends

Growth Drivers

• Government Proactively Working for Reducing Greenhouse Gas Emission– The United States Environmental Protection Agency established federal greenhouse gas emissions rules for passenger automobiles and light trucks for Model Years (MY) 2023 through 2026 on December 20, 2021. Governments worldwide are actively working to reduce greenhouse gas emissions. Policies such as feed-in tariffs, tax incentives, grants, and others. ORC systems, which excel at utilizing low-grade heat source, aligns perfectly with these goals and receive support from government initiatives.
• Increasing Investment in Renewable Energy – Over the previous two decades, the amount of funding dedicated to clean energy has significantly increased. The entire new investment in global renewable energy in 2022 was around 495 billion US dollars. This was a 17% rise over the previous year. The growing investment in renewable energy is driving the diversification of energy sources. While wind and solar power dominate the renewable energy landscape, there is a need to explore and utilize others. This diversification further boosts the demand for ORC technology.
• The Life Cycle of ORC is Longer– ORC systems are designed to operate continuously for extended periods, typically with minimum maintenance requirements. The components used in PRC systems, such as turbines, heat exchangers, and pumps, are built to withstand the conditions of the working fluid and the specific heat source. This durability and reliability ensure the longevity of ORC systems thus contributing to the growth of the ORC market

Challenges

• Initial Implementation Cost is High- The upfront capital costs of ORC systems can be relatively high compared to conventional power generation technologies. The cost of equipment, installation, and customization for specific applications can pose a challenge, especially can pose a challenge or markets with limited financial resources. However, as the technology matures and economies of scale are realized, the costs are expected to decrease, improving the market competitiveness of ORC systems.
• Lack of Technical Expertise-
• Other Substitutes Available in the Market