Global Leak Detection and Repair (LDAR) Market to Grow at a CAGR of 4.2% During 2022–2030

Introduction

Leak detection and repair (LDAR) is a method for reducing emissions of hazardous air pollutants (HAPs) and volatile organic compounds (VOCs) by identifying and fixing leaks in equipment like pumps, connectors, valves, agitators, and compressors. Workplaces in the oil, gas, and petroleum industries can be made safer with the help of LDAR systems by lowering the probability of explosions and fires.

Market Dynamics

Continued Rollout of Oil and Gas Pipeline Infrastructure Drives the Global Market

Oil and gas can be securely carried through urban areas using pipelines with few barriers. It is anticipated that the demand for lead detection and repair systems will rise as a result of the construction of numerous cross-country oil and gas pipelines for the expedited transport of hydrocarbons. Leaks may result from high pressure, high temperature, or corrosion conditions. The leading causes of pipeline/tanker vessel corrosion include hydrogen sulfide in crude oil and natural gas, oxygen, water, and carbon dioxide, and these gases' reactions. While temperature variations and precipitation are the leading causes of surface corrosion, natural gas and crude oil constituents also contribute to internal corrosion. Businesses are focusing on enhancing their maintenance and safety practices to reduce and remove the risk of emissions.

Growing Preference for Natural Gas-Fired Power Plants Creates Tremendous Opportunities

Natural gas is gradually taking over as one of the most preferred options because it is a cleaner fuel than other fuels used to produce electricity. Due to their higher efficiency and reduced carbon dioxide emissions, natural gas-based thermal power plants are expected to replace coal-based ones, increasing the demand for leak detection and repair systems. When used to generate electricity, natural gas emits about half as much carbon dioxide per unit of energy as coal does. Gas turbines provide severe risks and hazards due to probable methane leakage. As a result, an effective gas leak detection and monitoring system is needed to benefit from the environmentally friendly characteristics of natural gas-based energy generation.

Regional Analysis

North America is the most significant shareholder in the global leak detection and repair (LDAR) market and is expected to grow at a CAGR of 4.5% during the forecast period. The U.S. pipeline leak detection rule requires a leak detection system on pipelines carrying hazardous liquids. Another aspect of the U.S.'s industrial growth is the government's backing for the oil and gas sector. Leak detection and repair systems are critical in the United States because of the growing oil and gas industry. Another factor promoting the growth of the local industry is government backing for the oil and gas sectors.

Asia-Pacific is expected to grow at a CAGR of 4.3%, generating USD 1,816.08 million during the forecast period. The increased demand for oil and oil-related products in Asia is expected to increase the demand for LDAR among utility companies in the area. The increasing production of natural gas in countries like China is another factor driving the need for leak detection and repair systems. The Asia-Pacific region is already attracting investments from major corporations like Petronas and Oil and Natural Gas Corporation, which will drive market growth over the forecast period.

Key Highlights

• The global leak detection and repair (LDAR) market size was valued at USD 18.7 Billion in 2021. It is projected to reach USD 27.8 Billion by 2030, growing at a CAGR of 4.2% during the forecast period (2022-2030).

• Based on the product, the global leak detection and repair (LDAR) market is bifurcated into handheld gas detection, UAV-based detection, vehicle-based detection, and manned aircraft detection. The handheld gas detection segment is the highest contributor to the market and is expected to grow at a CAGR of 4.8% during the forecast period.
• Based on technology, the global leak detection and repair (LDAR) market is bifurcated into volatile organic compounds (VOC) analyzer, optical gas imaging (OGI), laser absorption spectroscopy, ambient/mobile leak monitoring, acoustic leak detection, and audio-visual-olfactory inspection. The volatile organic compounds (VOC) analyzer segment is the highest contributor to the market and is expected to grow at a CAGR of 4.9% during the forecast period.
• North America is the most significant shareholder in the global leak detection and repair (LDAR) market and is expected to grow at a CAGR of 4.5% during the forecast period.

Competitive Players

Competitive Players

The global leak detection and repair (LDAR) market’s major key players are Aeris Technologies, Inc., IBM Thomas J., Watson Research Center, Bridger Photonics, Inc., LI-COR, Inc., Duke University, Colorado State University, Palo Alto Research Center, Maxion Technologies Inc., Rebellion Photonics Inc., and Physical Sciences Inc.

Recent Developments

Market News

• In March 2022, Bridger Photonics’ (“Bridger’s”) aerial Gas Mapping LiDAR™ was approved for use as an advanced leak detection and repair monitoring technology by New Mexico’s Energy, Minerals and Natural Resourced Department (“EMNRD”) for its ALARM credit program. With EMNRD’s approval, oil and gas operators in New Mexico can now use the advanced methane detection technology to help meet the state’s new regulatory requirements regarding methane (natural gas) emissions.
• In July 2022, IBM Thomas J. announced that the memory leak detection policy in the WebSphere Application Server could be set up to identify, prevent, and take appropriate action on classloader memory leaks.

Segmentation

Global Leak Detection and Repair (LDAR) Market: Segmentation

By Product

• Handheld Gas Detection
• UAV-based Detection
• Vehicle-based Detection
• Manned Aircraft Detection

By Technology

• Volatile Organic Compounds (VOC) Analyzer
• Optical Gas Imaging (OGI)
• Laser Absorption Spectroscopy
• Ambient/Mobile Leak Monitoring
• Acoustic Leak Detection
• Audio-Visual-Olfactory Inspection

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA