Delaware, USA, 9 July 2018: The global District Cooling market is set to grow from its current market value of more than USD 100 billion to over USD 140 billion by 2024, as reported in a recent study by Global Market Insights (GMI), Inc.

Growing concerns pertaining to carbon emissions, along with rising demand for space cooling, will foster the District Cooling market, the study said. Increasing penetration of renewable energy technologies, coupled with growing adoption of sustainable cooling solutions, will stimulate the industry growth, the study further said. In 2016, Tabreed reported an elimination of 570,000 tons of CO₂ emissions from their 66 DC plants installed across the GCC countries, the study added.

According to GMI, changing climatic conditions on account of increasing surface temperature and global warming will boost the market share of District Cooling companies. In addition, rapid urban development and residential sector growth due to increase in consumer spending and rise in per capita income will encourage product adoption, the study said.

Japan’s District Cooling market is set to exceed 17 PJ by 2024, the study said. Rapid economic growth coupled with strict environmental norms toward emissions will encourage product adoption, the study further said. Growing concerns toward energy security, along with large-scale deployment of cooling systems across Tokyo, Sapporo, Osaka and Yokohama, will complement the business outlook, the study added. Rapid technological advancement in product design and development along with extensive R&D activities across the nation has also instituted a favourable business scenario for industry players, the study also said.

According to GMI, increasing adoption of energy-efficient and sustainable building standards along with ongoing development of environment-friendly building solutions will stimulate the commercial market worldwide. In addition, the flourishing service sector including office buildings, data centres, colleges and universities will further impact industry growth, the study said. For instance, in the fourth quarter of 2016, the overall investments toward commercial establishments were valued around USD 107.8 billion, the study further said.

Ongoing adoption of heat pumps owing to their compatibility with sustainable heating technologies will stimulate the District Cooling market worldwide. In addition, the technology is widely used for trigeneration, providing heat, cool and electricity across commercial and residential establishments. It uses the waste heat to generate energy, thereby reducing the emissions effectively when compared with other counterparts.

A stringent regulatory framework toward the adoption of sustainable cooling technologies, along with an accelerating service sector across the nation, will boost the Sweden market, the study said. Increasing investments toward development of innovative energy efficiency solutions, energy management systems and an efficient pipeline network will encourage the product demand, the study further said. According to GMI, ongoing deployment of clean energy technologies on account of government norms toward decarbonisation of buildings will further complement the business outlook.