Stationary Fuel Cell Market Expected to Reach $9.0 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Stationary Fuel Cell Market," The stationary fuel cell market size was valued at $2.6 billion in 2021, and stationary fuel cell industry is estimated to reach $9.0 billion by 2031, growing at a CAGR of 13.1% from 2022 to 2031.

The stationary fuel cell is a system generating power through an electrochemical reaction. It can be used as a source for primary applications, a backup source, or an electrical source in critical operations, and stationary fuel cells to reduce oil and other harmful emissions and support an eco-friendly environment. The stationary fuel cell market enables cleaner, adaptable, and innovative power solutions to the present scenario. These cells are very operative in terms of their utilization in electrical applications and power generation.

The electricity was generated using renewable resources and a combustion engine. However, these devices were unreliable because they were dependent on numerous natural and other circumstances. Furthermore, stationary fuel cell devices were designed to remove the risk of grid reliance and boost power availability. These systems provide reliable power backup and take up little space while delivering optimum efficiency. Furthermore, the use of stationary fuel cell systems for backup power, distributed power production, cogeneration, and power delivery at remote places has grown dramatically in recent years.

However, a considerable number of industrial and commercial sectors are implementing these power systems to provide continuous power availability for equipment that cannot function without electricity. In order to generate electrical power, stationary fuel cell devices have evolved as an effective and dependable alternative to combustion heat engines.

stationary fuel cell system are projected to be in high demand in the coming decades. The increased usage of high-temperature fuel cells and the increased acceptance of combustion engine alternatives will drive the adoption of stationary fuel cell system. Thus, these stationary fuel cell market trends are projected to enhance the market during the forecast period.

The stationary fuel cell market forecast is segmented on the basis of capacity, type, application, end-use industry, and region.

By type, the market is divided into less than 1 KW, 1 KW to 5 KW, 5 KW to 250 KW, 250 to 1 MW, and more than 1 MW. On the basis of type, the 5 KW to 250 KW segment accounted for the largest market share in 2021, owing to its wide range of end-use applications in the oil and gas, prime power, and combined heat and power industry.

On the basis of type, the stationary fuel cell market is divided into Proton Exchange Membrane Fuel Cell (PEMFC), Phosphoric Acid Fuel Cell (PAFC), Molten Carbonate Fuel Cell (MCFC), Solid Oxide Fuel Cell (SOFC), Direct Methanol Fuel Cell (DMFC), and other. Solid Oxide Fuel Cell (SOFC) type stationary fuel cell accounted for the largest market share in 2021, owing to their wide range of applications in the oil and gas industries to reduce hydrocarbon emission.

On the basis of application, the stationary fuel cell market is divided into combined heat and power, prime power, uninterrupted power supply, and others. By application, the prime power segment accounted for the largest revenue share in the stationary fuel cell market in 2021. The maximum power available for a variable electrical load for an endless number of hours is referred to as prime power. A fuel cell market trend for prime power that is predicted to have a favorable influence in the next years is the rising demand for the self-generation of energy. The rising requirement for reliable power sources in developed countries is driving the implementation of distributed energy generation.

On the basis of the end-use industry, the stationary fuel cell market is divided into transportation, defense, oil and gas, utilities, and others. By end-use industry, the transportation segment accounted for the largest share in 2021, owing to the use of hydrogen fuel cell-based engines to power transportation vehicles. In addition, the increase in investment toward the construction of hydrogen fueling station infrastructure has driven stationary fuel cell market growth.

Region-wise, Asia-Pacific accounted for the largest market share in the market and is projected to grow at a CAGR of 13.5% during the forecast period. An increase in the investment of the government and private industries towards the hydrogen infrastructure has benefited the global stationary fuel cell market opportunities.

Key Findings of the Study

• As per stationary fuel cell market analysis, on the basis of capacity, the 5KW to 250 KW segment emerged as the global leader by acquiring more than 40% of the stationary fuel cell market share in 2021, and is anticipated to continue this trend during the forecast period.
• On the basis of type, the proton exchange membrane fuel cell segment accounted for more than half of the global market share in FY2021.
• On the basis of application, the prime power segment accounted for nearly half of the global market share in FY2021.
• On the basis of end-use industry, the transportation segment accounted for more than one-third of the global market share in FY2021.
• On the basis of region, Asia-Pacific is the major consumer of stationary fuel cell among other regions.

Impact of covid- on the stationary fuel cell market

COVID-19 has influenced the stationary fuel cell sector and has had an impact on economic growth in several regions. Lockdowns and curfews have caused various manufacturing processes to be halted, forcing fuel prices to skyrocket. Additionally, rise in customer knowledge about the need to cut GHG emissions and improve air quality will boost market demand.

Competitive Landscape

Key players in the stationary fuel cell industry Ballard Power Systems, Posco Energy, Toshiba Fuel Cell Power System Corporation, Denso Corporation, Mitsubishi Hitachi power systems Ltd., FUJI Electric Co. Ltd., Fuelcell Energy Inc., Plug Power Inc., Horizon Fuel Cell Technologies Pte, and Aisin Seiki Co., Ltd. These players have adopted various strategies to gain a higher share or retain leading positions in the market.