An electrochemical device known as a solid oxide fuel cell converts fuel directly into energy. The SOFC comprises two electrodes, usually composed of porous, electrically conducting materials, and an electrolyte layer of dense, ion-conducting ceramic material.
The market for solid oxide fuel cell in 2021 was worth USD 869.71 million, and by 2030 it will reach USD 12.25 billion, at a 11.78% CAGR during the forecast period.
The superior advantages of these cells over other types influence the SOFC market’s growth. Compared to other fuel cells, SOFCs generate energy with an efficiency of over 60%, which is extremely high. The SOFCs also run at extremely high temperatures, between 800 and 1,000 °C. Thus, the efficiency of SOFCs can be increased to almost 80% by using the heat produced in the SOFC to make electricity. In various industrial uses, the high operating temperatures of SOFCs can be advantageous for the cogeneration of electricity.
Market Dynamics
Drivers
The primary factor fostering market development is the significant growth in the power and energy sectors worldwide. The growing demand for clean energy, particularly in developing countries, is boosting market expansion. Other growth-promoting factors include a variety of product innovations, such as the creation of noiseless and portable SOFCs for military use. Implementing supportive government policies and other factors, such as extensive research and development (R&D) efforts in fuel cell programs, will propel the market expansion.
Furthermore, the adoption of solid oxide fuel cells has grown due to the growing demand for higher energy efficiency in connection with electricity production. The solid oxide fuel cell market is expanding due to rising environmental concerns, the implementation of strict emission regulations globally, and increased government backing and initiatives.
Restraints
A major factor hampering the overall growth of the solid oxide fuel cell is the high cost of the fuel cell.
Opportunity
Fuel cells are increasingly being used in defense applications and data centers. The data centers are reducing the price by adopting the distributed power generation method, especially the fuel cells, including SOFC, that had previously shown tremendous growth. However, the demand for effective and silent power generation for military use is growing exponentially.
Market Segmentation
By Type
On the basis of type, the solid oxide fuel cell market is segmented into tubular and planer.
The planer segment was the biggest market in 2021, with a revenue share of nearly 60.5% because of its simple building procedure.
By Application
On the basis of application, the solid oxide fuel cell market is segmented into stationary, portable, and transport.
In 2022, the stationary segment was the largest market contributor, with 81% of the revenue share. It is the cleanest and most effective method of producing heat and energy. Three major factors, including net electrical efficiency, overall efficiency in the case of cogeneration, and robustness, are used to evaluate the working of this system.
France and the United Kingdom are two European nations making significant investments in the research and development of solid oxide fuel cells for transportation and power production.
By End-User
In terms of end-user, the market is segmented into residential, data centers, military & defense, and commercial & industrial.
The commercial and industrial segment led the entire market with 48% of the revenue share due to the increasing desire for SOFC for commercial and industrial use.
Regional Analysis
Asia Pacific was the biggest regional market, with a revenue share of nearly 49.48% in 2022. Japan will be the major hub for solid oxide fuel cells in the Asia Pacific region. Regulations are still being develop in nations like India, Singapore, and Malaysia to support the expansion of alternative energy marketplaces. The demand for solid oxide fuel cells is drive by government agencies and study organizations evaluating the operating time of solid oxide fuel cells in India, Thailand, and Singapore.
North America will experience the fastest growth rate during the forecast period. Due to strong government support and a strategic market focus, the solid oxide fuel cell (SOFC) market in the United States has expanded incredibly.
Coronavirus has thwarted the market for SOFC universally attributable to elements, for example, disturbance in the store network, which postponed a few undertakings. Further, request has been diminish for SOFC frameworks convey in private and business end-client fragments because of restricted new development exercises and the redirection of accessible assets by private and business end-clients to support the Coronavirus pandemic.
Key Players
- Solid Power
- Adelan
- Aisin Seiki
- Mitsubishi Power
- Bloom Energy
- Ceres Power
- Hitachi Zosen Corporation
- Upstart power
- Convion ltd
- Elcogen AS
- Miura
- Adaptive Energy
- Watt fuel cell corporation
- Special Power Source
- ZTEK Corporation
- Kyocera Corporation
- AVL
- h2e Power
- Sunfire
The market for solid oxide fuel cell in 2021 was worth USD 869.71 million, and by 2030 it will reach USD 12.25 billion, at a 11.78% CAGR during the forecast period. Developing low-carbon technologies and growing awareness of the dangers of toxic carbon pollution will drive the solid oxide fuel cell market’s expansion in the coming years. To meet the high demand for energy, numerous nations around the globe have proposed new objectives and goals. They are working to develop sustainable energy sources and promote the use of solid oxide fuel cells by businesses.
Great unofficial laws and their capacity to chop down emanation rates and utilize homegrown wellsprings of energy, for example, flammable gas are a portion of the key factors liable to support the market throughout the following eight years. Besides, the rising accentuation of the provincial legislatures of mature economies like the U.S. what’s more, Europe on lessening outflows and their tendency toward a mechanical shift to help or, somewhat, even supplant the maturing electric lattices is probably going to drive the market over the conjecture period.
The fixed application section drove the market and represented 81.59% income share in 2022. A fixed strong oxide power module framework is one of the cleanest and most proficient intensity and power age innovations.
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