NEWS RELEASE                                   AUGUST 2011

Air Pollution Markets will Grow Faster than GDP

The markets for air pollution control equipment consumables and services will grow at an average of 6 percent per year over the next decade. This is the latest forecast in Air Pollution Management, a continually updated report by the McIlvaine Company.

Power plant flue gas desulfurization (FGD) is the largest single market.  The same types of scrubbers are used in other industries.  The 2011 market for scrubbers for power plants is $17 billion versus an aggregate of $15 billion for other industries.

Control Type

2011  Market

for Equipment and Consumables

($ Billions)

Associated Consulting, Service and Outsourcing

 ($ Billions)

Total 2011 Market

 ($ Billions)

CAGR  2011-2020

Ratio of Annual Revenues

2000-2010

1980-2000

Fabric Filters

       8.5

     6.0

     14.5

      7

      4

Electrostatic Precipitators

       7

     9

     16

      3

      1.7

Scrubbers/Adsorbers

Industrial

       8

     7

     15

      6

      3

FGD (Scrubbers ) Utility

     10

     7

     17

      7

    10

NOx Control

       7.5

     5

     12.5

      7

    10

Thermal/Catalytic

       2.5

     1.5

       4

      4

      2

Total

     43.5

   35.5

     79

  

  

The dynamic aspects of the markets are best viewed over the longer term.  The annual sales of power plant scrubbers in the 2000-2010 timeframe were ten times larger than the average in the 1980-2000 period. The sales of industrial scrubbers have increased only by a factor of three.  Many are surprised that the growth rate for power plant scrubbers over the next decade is only forecast at 7 percent per year.  But when one understands that the market has already grown tenfold over the decade, it is impressive that further growth is still predicted.

The market share for precipitators has diminished over the last two decades.  Fabric filters are being used in many applications which were formerly served by precipitators. However, the utility, pulp and paper and certain other industries are operating a very large number of precipitators. The flow through precipitators far exceeds the flow through fabric filters.  Thus the consulting, services and outsourcing market for precipitators is larger than for any of the other segments.

Selective catalytic reduction (SCR) systems are now being installed in power plants throughout the world.  There is a substantial capital cost and a big market for replacement catalyst. The need to clean and regenerate catalyst has created a whole industry of service providers.

The low ratio of present sales of thermal and catalytic oxidizers to sales prior to 2000 is due to the surge of investment in the pre-2000 period in the U.S. and Europe to reduce VOC emissions.  The market for reducing emissions at existing facilities far exceeded the market associated with new plants.  Asia is presently the biggest market for this equipment.  The North American and European markets are primarily replacement at existing plants and modest revenues from new facilities.

More information on Air Pollution Management is found at:  http://www.mcilvainecompany.com/brochures/air.html#5ab

You can also review details on the more specific reports:

World Fabric Filter and Element Market http://www.mcilvainecompany.com/brochures/air.html#n021

Scrubber/Adsorber/Biofilter World Markets  http://www.mcilvainecompany.com//brochures/air.html#n008        

NOx Control World Markets http://www.mcilvainecompany.com/brochures/air.html#n035

FGD World Markets
http://www.mcilvainecompany.com/brochures/air.html#N027

Thermal/Catalytic World Air Pollution Markets   http://www.mcilvainecompany.com/brochures/air.html#n007

Air Pollution Monitoring & Sampling World Markets http://www.mcilvainecompany.com/brochures/air.html#no31