Global Decentralized Water Treatment Market Grows at a Staggering CAGR of 12%

Introduction

Decentralized water and wastewater treatment systems provide the flexibility and efficiency to address global water issues. Decentralized treatment places water or wastewater treatment at the point of demand, supply, or, ideally, both. Decentralized water treatment systems are easily transportable to the required location. These programs can be operated as standalone facilities or with centralized sewage treatment programs. They offer various treatment options, ranging from simple passive treatment utilizing soil dispersion, also known as onsite systems or septic tanks, to more complex mechanized techniques, such as advanced treatment units that collect and treat waste from multiple buildings before discharging it into the soil or surface waters.

Market Dynamics

Increasing Population and Rapid Urbanization Drive the Global Market

Urbanization entails an increase in the urban population. Over fifty percent of the world's population lives in urban areas, which produce over eighty percent of the global gross domestic product (GDP). Due to the rapid growth of the economy, urbanization, and industrialization, the concern over water pollution has increased. The growth of urban populations has a significant impact on water quality. In addition, demand for decentralized water treatment systems is anticipated to increase as the number of industries that emit emissions grows. As urbanization and consumer awareness rise, demand for decentralized water treatment is expected to increase.

Increasing Adoption of Decentralized Water Treatment in Developing Economies Creates Tremendous Opportunities

Diverse issues plague developing nations, and wastewater management is gradually becoming a top concern. In developing economies, inadequate management, rapid urbanization, and the implementation of highly centralized advanced treatment technologies all contribute to the difficulty of wastewater management. A standard shift from centralized to decentralized water treatment systems is required due to anomalies in centralized wastewater management systems. Especially in regions with low population densities and dispersed households, the operation and construction of centralized wastewater treatment systems are costly. For the construction of centralized facilities and the management of these facilities, developing nations need more funding and technical expertise. Consequently, the decentralized system is a long-term solution for small communities and is more cost-effective and dependable.

Regional Analysis

The Middle East and Africa is the most significant global decentralized water treatment market shareholder and is estimated to exhibit a CAGR of 10.30% over the forecast period. The rising demand for energy-efficient and cost-effective decentralized water treatment is anticipated to stimulate the Middle East and African market for decentralized water treatment. In addition, growing global awareness of water pollution and rapid urbanization are expected to increase demand for decentralized water treatment in the region over the forecast period. Current water and wastewater treatment practices in Africa must be improved to ensure the availability of potable water and basic sanitation. In order to address this difficulty, collaborative efforts are required, such as using innovative technologies, harvesting energy, improving operation and maintenance, promoting public participation, establishing water quality standards, and enhancing governance and governance and management. Such initiatives are anticipated to stimulate regional market expansion during the forecast period.

Asia-Pacific is anticipated to exhibit a CAGR of 11.00% over the forecast period. Due to the increasing adoption of technologically advanced products by the region's populace, the market for decentralized water treatment is expected to expand exponentially in Asia-Pacific over the forecast period. Rapid urbanization due to rural-to-urban migration is improving living standards in a country like India, which presents numerous opportunities to expand the market for decentralized water treatment. In addition, Asia has a significant advantage in terms of the availability of raw materials. China, India, Japan, and other countries are home to most of the raw materials required to manufacture decentralized water treatment plants, such as polystyrene, aluminum, polypropylene, and steel, which reduces the cost of sourcing raw materials for vendors in these nations. Further, China, Vietnam, and other Asia-Pacific nations have cheaper labor and electricity costs than many other nations. These factors are driving the market for decentralized water treatment.

Key Highlights

• The global decentralized water treatment market was valued at USD 13.92 billion in 2022. It is estimated to reach USD 42 billion by 2031, growing at a CAGR of 12% during the forecast period (2023–2031).
• Based on application, the global decentralized water treatment market is bifurcated into water treatment, effluent treatment, and wastewater treatment. The wastewater treatment segment owns the highest market share and is predicted to exhibit a CAGR of 11.18% over the forecast period.
• Based on the system, the global decentralized water treatment market is bifurcated into point of entry (POE), point of use (POU), and small-scale systems. The point of use (POU) segment dominates the global market and is projected to exhibit a CAGR of 11.03% over the forecast period.
• Based on the end-user, the global decentralized water treatment market is bifurcated into municipal and industrial. The municipal segment owns the highest market share and is projected to exhibit a CAGR of 10.96% during the forecast period.
• Based on technology, the global decentralized water treatment market is divided into membrane technology, thermal technology, and others. The membrane technology segment accounts for the largest market share and is anticipated to exhibit a CAGR of 11.18% over the forecast period.
• Based on the water source, the global decentralized water treatment market is divided into surface water, brackish water, and seawater. The surface water segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 11.16% during the forecast period.
• Based on TDS levels, the global decentralized water treatment market is divided into high-TDS water and low-TD water. The high TDS water segment dominates the global market and is projected to exhibit a CAGR of 10.71% during the forecast period.
• The Middle East and Africa is the most significant global decentralized water treatment market shareholder and is estimated to exhibit a CAGR of 10.30% over the forecast period.

Competitive Players

1. Fluence
2.  De.Mem
3. Organica Water
4. Darley
5. Ayala Water & Ecology
6. BioKube
7. ECOfluid
8. DuPont
9. Epiphany
10. Epuramat
11. Hydroswiss
12. FilterBoxx
13. TMW
14. Bioxica
15. BioMicrobics
16. WaterHealth

Recent Developments

• In January 2023, Ekopak, an ESG-driven company that specializes in decentralized circular water solutions such as Water-as-a-Service (WaaS), chose NX Filtration, the leading supplier of breakthrough direct nanofiltration (dNF) membrane technology for pure and affordable water, to supply its dNF membranes for the expansion of a rainwater recovery project in Belgium.
• In November 2022, LIFEQUEST WORLD CORP (LQWC) focuses on decentralized, scalable, and innovative wastewater treatment and reuse solutions. With its wholly-owned subsidiary Biopipe India Private Limited, the company simultaneously targets the industrial (ETP) and sewage wastewater treatment (STP) markets.

Segmentation

1. By Applications
   1. Wastewater Treatment
   2. Effluent Treatment
   3. Water Treatment
2. By System
   1. Point of Use (POU)
   2. Point of Entry (POE)
   3. Small-Scale Systems
3. By End-User
   1. Municipal
   2. Industrial
4. By Technology
   1. Membrane Technology
   2. Thermal Technology
   3. Others
5. By Water Source
   1. Surface Water
   2. Brackish Water
   3. Sea Water
6. By TDS Level
   1. High TDS Water
   2. Low TDS Water
7. By Regions
   1. North America
   2. Europe
   3. Asia-Pacific
   4. Latin America
   5. The Middle East and Africa