Cogeneration, also referred to as combined heat and power systems (CHP) market , is a group of technologies used primarily for the simultaneous generation of useful heat and electricity. Due to the CHP systems’ increased energy efficiency, lower operating costs, low CO2 emissions, and other benefits, this combined generation of useful heat and electricity is significantly more efficient than separate generation of useful heat and electricity. Increasing data centre capacity as companies run more processes, handle complex analytics, have more customer data to store, and use rich media. The handling of such massive amounts of data necessitates a steady stream of dependable electricity, making cogeneration systems of utmost significance.
Cogeneration systems have an efficiency level that can reach up to 80%, compared to separate electricity and heat generation, which has a combined efficiency of only 40–50%. As using such plants as a source of data centre power results in energy efficiency and significant cost reduction benefits, CHP systems for data centres are gaining traction in the market. Fuel cells, however, are a different commercially available technology for powering data centres. Despite using less fuel to produce the same amount of power, CHP systems are still more advantageous than fuel cells because they can supply chilled water. CHP systems for data centres have many advantages, including reduced reliance on external power sources, increased energy efficiency, low site carbon emissions, and
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Global CHP System market for Data Centre: MarketDynamics
Regions with high electricity cost are readily adopting CHP systems primarily to save on their energy cost to provide base load power and using such systems to provide absorption cooling for the facility. Moreover, government initiatives to install CHP systems in data center facilities due to low CO2 emissions is also expected to increase its adoption rate thereby increasing the adoption of CHP system in data centers.
Low economic life of data center IT equipment results in consumer reluctance towards adoption of CHP systems for data centers since these systems have equipment life of around 10-15 years in comparison to economic life of IT equipment which is only 2-3 years.
Global CHP System market for Data Centre: Segmentation
The global CHP system market for data center can be segmented on the basis of data center types, facility size, installation type and region. By Data center types the market can be segmented into Telecoms, ISP’s (internet Service Provider), CoLos (Co-located server hosting facilities), server farms, corporate data centers, university/ national laboratory and others. Based on facility the market can be segmented into less than 200 sq.ft, 200-700 sq.ft, 700-1,200 sq.ft, 1,200-6,000 sq.ft and more than 6,000 sq.ft. Based on installation type global cogeneration systems market for data center can be segmented into newly installed systems and retrofit systems. By region global CHP system market for data centers can be segmented into seven key regions namely North America, Latin America, Eastern Europe, Western Europe, Asia-Pacific Excluding Japan (APEJ), Middle East and Africa and Japan.
Global CHP System market for Data Centre: Key Players
Some of the major players identified across CHP system market for data center includes ENER-G, Korea Electric Power Corporation, National Grid plc, Exelon Corporation, NextEra Energy, Inc., Chubu Electric Power Company, American Electric Power Company, Inc. and others.
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Key Segments Profiled in the Combined Heat and Power (CHP) Systems Industry Survey
Combined Heat and Power (CHP) Systems Market by Data Center Type:
- Telecoms
- ISP’s (internet Service Provider)
- CoLos (Co-located server hosting facilities)
- Server Farms
- Corporate Data Centers
- University/National Laboratory
- Others
Combined Heat and Power (CHP) Systems Market by Facility:
- Less than 200 sq.ft
- 200-700 sq.ft
- 700-1,200 sq.ft
- 1,200-6,000 sq.ft
- More than 6,000 sq.ft.
Combined Heat and Power (CHP) Systems Market by Installation Type:
- Newly Installed Systems
- Retrofit Systems
Combined Heat and Power (CHP) Systems Market by Region:
- North America
- Latin America
- Europe
- Asia Pacific
- Middle East & Africa
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