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Organic Rankine Cycle Market

Organic Rankine Cycle Market

The market for Organic Rankine Cycle was estimated at $937 million in 2024; it is anticipated to increase to $1.53 billion by 2030, with projections indicating growth to around $2.30 billion by 2035.

Report ID:DS2410006
Author:Chandra Mohan - Sr. Industry Consultant
Published Date:January 2025
Datatree
Energy & Power
Energy Transition
Organic Rankine Cycle
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Report Summary
Table of Contents
Methodology
Market Data

Global Organic Rankine Cycle Market Outlook

Revenue, 2024

$937M

Forecast, 2034

$2.12B

CAGR, 2024 - 2034

8.5%
The Organic Rankine Cycle industry revenue is expected to be around $1016.5 million in 2025 and expected to showcase growth with 8.5% CAGR between 2025 and 2034. With a focus on sustainability and energy efficiency, ORC plays a crucial role in the shift towards renewable energy sources by effectively converting waste heat into usable electricity. This groundbreaking technology not enhances energy efficiency but also helps in lowering carbon emissions marking a significant departure, from traditional methods of power generation and showcasing its versatility.

The Organic Rankine Cycle stands out as an efficient heat recovery method that transforms excess heat into electrical power sustainably and effectively by utilizing various heat sources at low temperatures while keeping operating costs to a minimum.

Organic Rankine Cycle market outlook with forecast trends, drivers, opportunities, supply chain, and competition 2024-2034

Market Key Insights

  • The Organic Rankine Cycle market is projected to grow from $936.9 million in 2024 to $2.12 billion in 2034. This represents a CAGR of 8.5%, reflecting rising demand across Waste Heat Recovery, Decentralized Power Generation and Geothermal Energy Production.
  • The market leaders in this sector include Turboden S.p.A, Enogia SAS and General Electric which determine the competitive dynamics of the industry.
  • U.S. and Germany are the top markets within the Organic Rankine Cycle market and are expected to observe the growth CAGR of 6.2% to 8.9% between 2024 and 2030.
  • Emerging markets including India, Brazil and South Africa are expected to observe highest growth with CAGR ranging between 8.2% to 10.6%.
  • The Organic Rankine Cycle market will experience a $154.2 million increase in growth through 2030 because of Transition like Transition Towards Green Energy.
  • The Organic Rankine Cycle market is set to add $1.2 billion between 2024 and 2034, with manufacturer targeting Waste Heat Recovery & Solar Power Generation Application projected to gain a larger market share.
  • With Increasing environmental awareness, and Technological advancements in heat recovery systems, Organic Rankine Cycle market to expand 126% between 2024 and 2034.
organic rankine cycle market size with pie charts of major and emerging country share, CAGR, trends for 2025 and 2032

Opportunities in the Organic Rankine Cycle

Recovering industrial waste heat is a often overlooked practice that can benefit from utilizing Organic Rankine Cycle . Considering many industries produce heat or require additional heat sources integrating ORC technology in these sectors could unlock considerable business opportunities.

Growth Opportunities in North America and Europe

North America Outlook

In the Organic Rankine Cycle market in North America where leading industry playersre present and sustainable energy demand is rising due to strict energy efficiency regulations driving product needs regionally; however high competition and market saturation present notable obstacles to overcome potential opportunities in creating advanced yet cost effective cycles while continuing growth, in geothermal and waste heat recovery operations.

Europe Outlook

In Europe's ORC market is influenced by energy and environmental regulations in place there. The growth of the market in this region is mainly boosted by industries such as manufacturing and power generation that need heat recovery systems. While competition is not as high as, in North America the market encounters difficulties shifting towards energy sources. There are chances to be found in the European Unions dedication to achieving energy targets.

Market Dynamics and Supply Chain

01

Driver: Increasing Environmental Awareness, and Industrial Waste Heat Recovery Initiatives

The escalating concern over environmental impacts of conventional power generation has also led to a heightened need for clean and sustainable energy solutions. This is also where the Organic Rankine Cycle comes into play. ORC technology uses organic substances as the working fluid to convert waste heat into electrical energy, making it a green energy option. This environmentally-friendly characteristic of the ORC is also acting as a major driving factor propelling its market growth There has also been an increase in efforts to capture and utilize the excess heat produced in various industrial processes, which has also played a key role, in driving advancements in this area.
The rise of cutting edge heat recovery systems that improve effectiveness is also playing a key role in driving the growth of the ORC market forward. The ability to transform volumes of underutilized industrial waste heat into valuable electrical energy not only aids in achieving environmental objectives but also enhances economic viability. This technological advancement is also making a contribution, to the expansion of the ORC market.
02

Restraint: High Installation Costs

The high initial capital investment needed to set up Organic Rankine Cycle systems acts as a barrier in the market sector. The complexity of implementing this technology includes the use of components and intricate design requirements leading to increased installation expenses. This often hinders the use of ORCs especially in areas, with restricted financial means or industries facing budget limitations.
03

Opportunity: Solar Power Expansion with ORC

The need for energy options is currently very high and solar power plays a significant role in meeting this demand. Utilizing ORC technology to enhance the effectiveness of energy production and heat storage represents a new and promising frontier. Integration of ORC has the potential to boost the output of energy and its ability to function in areas with limited sunlight due to its use of low heat sources. This development presents an opportunity for growth, in the solar industry.
04

Challenge: Regulatory Hurdles

The Organic Rankine Cycle market also faces challenges, from regulatory requirements and policies as meeting various environmental regulations and safety standards may lead to project delays and financial burdens.

Supply Chain Landscape

1
Raw Material Suppliers

General Electric

Siemens

2
Component Manufacturing

Turboden

Ormat

3
Assembly & Production

Exergy

ElectraTherm

4
End User Industries

Power Generation

Industrial Production

*The illustration highlights the key stakeholders within the supply chain ecosystem.

Applications of Organic Rankine Cycle in Waste Heat Recovery, Decentralized Power Generation & Geothermal Energy Production

Waste Heat Recovery

The Organic Rankine Cycle is widely utilized in waste heat to generate electricity from industrial operations. Its key benefit is its effectiveness at temperatures that are typically disregarded as unusable offering an environmentally friendly alternative and potential cost reductions. Key players in this field include Turboden and ORC Systems who are leading the way, in utilizing this technology.

Decentralized Power Generation

ORC technology is used for power generation in remote locations without access to the grid as well as in various heat sources for a flexible and sustainable power solution within the local region. It finds particular usefulness in remote industrial region's and farms or off grid communities with OPRA Turbines and ElectraTherm being significant contributors, within this field.

Geothermal Energy Production

Geothermal power plants heavily rely on ORCs to generate electricity by harnessin the earths natural heat energy and converting to moderate temperature geothermal fluids into power supply seamlessly and sustainably. This method provides an consistent energy source that is self sufficient in nature. Prominent companies such as Toshiba and Exergy lead the way, in the ORCs industry.

Recent Developments

December 2024

Ormat Technologies Inc introduced a cutting edge low temp Organic Rankine Cycle setup to boost their output of energy sources.

September 2024

Turboden S. p. A has made progress, with their advanced turbine utilizing the Organic Rankine Cycle technology and achieving improved thermal efficiency.

July 2024

General Electric has launched a package based on the Organic Rankine Cycle, for power plants to enhance efficiency and reduce operational expenses.

Lately in the Organic Rankine Cycle there has been growth due to market changes pushing for more renewable energy and energy efficiency with a shift towards ORC technology becoming more prominent lately Additionally its important to note the growing use of ORC in waste heat recovery systems as a significant trend, in the industry.

Impact of Industry Transitions on the Organic Rankine Cycle Market

As a core segment of the Energy Transition industry, the Organic Rankine Cycle market develops in line with broader industry shifts. Over recent years, transitions such as Transition Towards Green Energy and Digitalization and Advanced Controls Impact have redefined priorities across the Energy Transition sector, influencing how the Organic Rankine Cycle market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.
01

Transition Towards Green Energy

The market for Organic Rankine Cycle is undergoing a transformation towards sustainable and eco friendly energy sources. Growing concerns and a greater understanding of climate change are prompting businesses to explore ORCs for generating renewable energy. This shift is reshaping the market dynamics significantly as there is an increasing need for ORC, in power generation, bioenergy and harnessinng waste heat resources. This industry transition is expected to add $154.2 million in the industry revenue between 2024 and 2030.
02

Digitalization and Advanced Controls Impact

One significant shift shaping the ORS market is the increasing influence of digitalization and high level control systems integration technology advancements are enabling ORC systems to merge with platforms and intricate control mechanisms to enhance operational efficiency These enhancements not only enhance performance but also extend the lifespan and reliability of these systems

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