Clean Coal Technology Market

Market Overview

Clean Coal Technology Market Anticipated to Touch a CAGR of 7.3 % During the Forecast Period (2022-2027).

Coal is one of the most important fossil fuels and occurs in the form of sedimentary deposits. It is formed by the remains of plants and animals that have perished millions of years ago and takes millions of years to form, due to which it is classified as a non-renewable energy source. Since coal is rich in carbon, its combustion leads to the production of energy. Coal is primarily used for electricity and power generation and is categorized into four different types depending on the carbon, oxygen, and hydrogen content present in it. The higher the carbon content, the greater the energy contained by the coal.

Although the combustion of coal produces energy, it also leads to the production of greenhouse gases (GHGs) such as carbon dioxide (CO₂), sulfur dioxide (SO₂) and nitrogen oxides (NO_x). These gases increase the atmospheric temperature, thus causing global warming. Clean coal technologies are various advanced, transformative, and innovative processes that help in the efficient combustion of coal, thus reducing the emissions of these GHGs.

Currently, global warming has become a critical issue, the accelerated sea-level rise, loss of sea ice, and longer, more intense heat waves are some significant effects that have been witnessed in the past few years. Owing to these changing climatic conditions and increasing concerns of inhabitants to save the planet, there is a rise in demand for these technologies in the industrial sector, which is projected to propel clean coal technology market growth.

Market Dynamics

Product Life Cycle

Currently, the clean coal technology market is in a growing phase. The increase in concerns related to drastic climate changes has fuelled clean coal technology market growth across the globe. Clean coal technologies enable the efficient, affordable, reliable, and environmentally sound use of fossil fuels, owing to which several environmental agencies and government organizations are taking various initiatives to encourage private/public manufacturers to develop clean coal technologies that reduce emissions from the industrial sector.

The initiatives taken by governmental organizations, such as the provision of funds for research and development and investments, have created a lucrative growth opportunity for the players in the clean coal technology market. However, the high cost of installation for setting these processing units, is still a primary concern among the new entrants, owing to which, the maximum share in the clean coal technology market is held by the established and prominent players, thus making it a monopolistic market.

In the upcoming years, it is anticipated that the demand for these technologies will accelerate, and the size of the total clean coal technology market will increase rapidly. Increasing industrialization and urbanization, coupled with the increasing pollution rate, will be the chief factors promoting this transitional change in the market.

Regional Analysis

Dominance of Chinese Coal Market

China is the largest producer of coal in the world, however, the majority of the coal produced in the region is used for electricity generation. Around 77% of the electricity produced in the region is generated from coal-fired power plants. This number is expected to grow during the forecast years due to the rising number of coal-fired processing plants in the country, an increase in demand for power, and declining hydropower output in the region, which have significantly impacted the demand for coal in the country. Moreover, China is the largest emitter of greenhouse gases, accounting for around 27% of the global emissions. High consumption of coal and steep emission rates creates an opportunistic market for manufacturers in clean coal technology to expand their reach while reducing emission rates.

Top Ten Coal Producers (2018)

The growth of the Chinese coal market will act as a catalyst for the growth of the clean coal technology market in Asia-Pacific. This is due to rapid industrialization in the region, which acts as a supporting pillar to prominent players involved in the advancement of clean coal technology. Consequently, these players collaborate with other players in the market to deliver cutting edge technologies, which leads to the rapid growth of the clean coal technology market in the region.

Alternative Resources Dominant Restrain in the Western Markets

Owing to the stringent regulations set by various governmental organizations and environmental agencies such as the Environmental Protection Agency (EPA) and the U.S. Energy Information Administration (EIA) regarding the emission of greenhouse gases, North America and Europe have witnessed a decline in the consumption of fossil fuels in the past few years. This has led to a decrease in demand for coal consumption by the region as the individuals are shifting towards renewable sources for energy generation. This sudden shift in consumer preference is likely to hamper the clean coal technology market in the region, as this creates entry barriers for the new entrants in the market.

Power Production through Various Energy Sources, 2019

However, current technologies are not competent enough to meet the total energy demand in the region through these alternative resources, making a large part of the region still dependent on coal-fired plants. This creates an opportunity for key players in the market to provide the services to the existing powerhouses in the region to decrease emission rates and thus, following the guidelines of the aforementioned regulatory organizations. This propels clean coal technology market growth in the western region during the forthcoming years.

Recent Developments

• February 2020, the U.S. Department of Energy’s (DOE) Office of Fossil Energy (FE) announced federal funding up to USD 4 million in research and development (R&D) projects to improve the coal combustion residual management in the country
• December 2019, Pakistan signed an implementation agreement (IA) with Shanghai Electric Group Co., Ltd. under the Thar coal-based power generation project to install a coal-fired power plant with a power generation capacity of 1,320 MW. The cumulative project cost is estimated to be around 1,912.2 million
• August 2019, Clean Coal Technologies, Inc. received a grant of USD 50,000 from the University of Wyoming’s School of Energy Resources to utilize the Pristine-M technology in their commercial plant
• January 2019, Environmental Energy Services Corporation, acquired Delta Measurement & Combustion Controls LLC (DMCCO) and Combustion Technologies Corporation (CTC). This is likely to help the company in improving the performance of their boilers
• Sept 2018, the Chinese consortium, Dongfang Electric Corp. and Shanghai Electric Group Co., Ltd. won a contract for providing six ultra-supercritical, near-zero polluting coal-fired power generating units for the Hamrawein power plant in Egypt, the total generating capacity of the units will be 6.6 GW

Clean Coal Technology Market Segmentation

By Type

• Anthracite
• Bituminous
• Subbituminous
• Lignite

By Technology

• Carbon Capture, Utilization, & Storage (CCUS)
• Washing
• Flue Gas Desulfurization
• Low NOX Burners
• Pressurized Fluidized Bed Combustion (PFBC)
• Integrated Gasification Combined Cycle (IGCC)
• Supercritical and Ultra Supercritical Pulverized Coal
• Others

By Region

North America

• US.
• Canada
• Mexico

Europe

• Germany
• UK.
• Italy
• France
• Rest of Europe

Asia-Pacific

• China
• South Korea
• Taiwan
• India
• Singapore
• Japan
• Malaysia
• Indonesia
• Rest of Asia-Pacific

Latin America

• Brazil
• Argentina
• Rest of Latin America

Middle East

• Saudi Arabia
• Oman
• Qatar
• Bahrain
• UAE
• Turkey
• Rest of ME

Africa

• Nigeria
• Tanzania
• South Africa
• Ghana
• Rest of Africa