Thermal Power - Global Strategic Business Report

The global market for Thermal Power was estimated at US$1.4 Trillion in 2024 and is projected to reach US$1.6 Trillion by 2030, growing at a CAGR of 2.9% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Thermal Power market.

Global Thermal Power Market - Key Trends and Drivers Summarized

What Drives the Engine of Modern Industry? Unpacking the Dynamics of Thermal Power

Thermal power, the backbone of global electricity generation, relies on the conversion of heat energy into electrical energy. This process typically involves burning fossil fuels such as coal, natural gas, or oil, which heats water in a boiler, creating steam that drives a turbine connected to an electricity generator. Despite environmental concerns, thermal power remains a cornerstone of energy production due to its reliability and ability to meet large-scale base-load electricity demands. It plays a critical role in countries with significant industrial activities, where steady and uninterrupted power supply is crucial. Additionally, thermal plants can adjust their output more flexibly compared to some renewable sources, providing essential backup during periods when solar and wind resources are insufficient.

How Are Innovations Reshaping Thermal Power Generation?

As the global community becomes increasingly conscious of climate change, the thermal power sector is under immense pressure to evolve. Innovations focus on enhancing efficiency and reducing the environmental impact of existing thermal power plants. One of the significant advancements is the integration of Carbon Capture and Storage (CCS) technologies, which aim to capture up to 90% of carbon dioxide emissions produced from the use of fossil fuels in electricity generation. Such technologies, when used effectively, can mitigate the environmental drawbacks traditionally associated with thermal power. Furthermore, improvements in turbine efficiency have also allowed for lower fuel consumption and emissions. Modern combined cycle gas turbine systems, for instance, can achieve efficiency rates significantly higher than traditional single-cycle plants, showcasing how technological advancements are pivotal in ensuring the sustainability and viability of thermal power.

What Role Does Policy Play in the Future of Thermal Power?

Government policies and international agreements play instrumental roles in shaping the trajectory of the thermal power industry. Many countries, especially those signed onto the Paris Agreement, have set ambitious targets to reduce greenhouse gas emissions, directly influencing the operation and development of thermal power plants. Incentives for renewable energy and penalties for excessive carbon emissions compel thermal power producers to adopt cleaner and more efficient technologies. Additionally, regulations may dictate the gradual phasing out of older, less efficient, and more polluting plants, while encouraging investments in upgrading facilities or researching alternative thermal methods like biomass or waste-to-energy systems, which could serve as transitional technologies on the path towards a more sustainable energy mix.

Since We Can`t Eliminate Coal, Let`s Make It Cleaner

Clean coal technology represents a suite of methods aimed at reducing the environmental impact of coal energy generation. These techniques include chemically washing minerals and impurities from the coal before it enters the furnace, using advanced technologies to enhance combustion efficiency, and deploying sophisticated methods for capturing and storing carbon emissions before they are released into the atmosphere. Additionally, fluidized bed combustion, which allows for lower temperatures and reduces the formation of noxious gases, and gasification, which converts coal into a gas with pollutants removed, are also key components of clean coal initiatives. While the concept of 'clean coal' is contentious and often criticized as an oxymoron, these technologies provide a pragmatic solution for mitigating the worst environmental impacts of coal usage in energy production while alternatives are being developed and scaled.

What Drives the Growth in the Thermal Power Market?

The growth in the thermal power market is driven by several factors, including increasing global energy demand, particularly in emerging economies where industrial development is rapidly accelerating. While there is a strong global shift towards renewable energy, the reliability and ability to provide base-load power without dependence on weather conditions remain appealing attributes of thermal power, especially in regions with inadequate renewable infrastructure. Technological advancements that enhance the efficiency and environmental compliance of thermal power plants also contribute to the sector`s resilience, making it capable of meeting stricter environmental standards. Furthermore, the development of cleaner-burning fuel technologies and more advanced emissions control systems continues to sustain the integration of thermal power within a balanced energy strategy, bridging the gap between traditional energy sources and a renewable-powered future. These factors collectively fuel the ongoing relevance and gradual transformation of the thermal power industry in the global energy landscape.

SCOPE OF STUDY:

The report analyzes the Thermal Power market in terms of units by the following Segments, and Geographic Regions/Countries:

• Segments: Fuel Type (Coal, Gas, Other Fuel Types)
• Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Coal segment, which is expected to reach US$765.1 Billion by 2030 with a CAGR of a 2.2%. The Gas segment is also set to grow at 3.6% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $370.9 Billion in 2024, and China, forecasted to grow at an impressive 4.7% CAGR to reach $315.2 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Thermal Power Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Thermal Power Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Thermal Power Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Acciona S.A., Adani Power Ltd., Andhra Pradesh Power Generation Corporation Ltd. (APGENCO), Ansaldo Energia SpA, Beijing Jingneng Power Co., Ltd. and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 51 companies featured in this Thermal Power market report include:

• Acciona S.A.
• Adani Power Ltd.
• Andhra Pradesh Power Generation Corporation Ltd. (APGENCO)
• Ansaldo Energia SpA
• Beijing Jingneng Power Co., Ltd.
• Boralex, Inc.
• BrightSource Energy, Inc.
• CESC Ltd.
• Cethar Ltd.
• China Huadian Corporation

This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:

• Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
• Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes segmentation by product, technology, type, material, distribution channel, application, and end-use, with historical analysis since 2015.
• Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
• Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
• Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
• Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
• Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.