Flue Gas Desulfurization (FGD) Market: Current Analysis and Forecast (2022-2028)

Flue Gas Desulfurization (FGD) is a technology used to remove sulfur dioxide (SO2) from the exhaust flue gases emitted by power plants and other industrial processes. SO2 is a major air pollutant that can contribute to acid rain and other environmental problems. FGD systems typically use a variety of methods to remove SO2 from flue gases, including wet scrubbing, dry scrubbing, and other techniques. Wet scrubbing is the most common FGD method and involves passing the flue gas through a water-based solution that absorbs the SO2. The resulting sulfur-rich slurry is then treated or disposed of appropriately. Dry scrubbing methods use solid sorbents, such as lime or limestone, to absorb the SO2. These methods are typically used in smaller plants or where water is scarce. FGD systems can be retrofitted onto existing power plants or incorporated into new plant designs. They are an important tool for reducing air pollution and improving air quality, particularly in areas where air pollution is a significant health and environmental concern.

The Flue Gas Desulfurization (FGD) Market is expected to grow at a strong CAGR of 6% during the forecast period owing to the increasing demand for energy & power, growing industrialization and the increasing airborne diseases around the world. Moreover, FGD technology is important because sulfur dioxide is a major contributor to acid rain and can also cause respiratory problems in humans and animals. In addition to reducing sulfur dioxide emissions, FGD systems can also remove other pollutants from flue gases, such as particulate matter and nitrogen oxides. Also, the increasing investment, strict government regulation for carbon emission, along with the new product expansion and merger & acquisition among the players is expected to support the market growth. For instance, in July 2019 Doosan Heavy Industries & Construction announced to commission and delivery of two FGD systems in Vietnam for the power installation plant.

Based on type, the market is bifurcated into dry gas and wet gas system. The wet gas system is expected to register a significant market share in the market owing to its higher incorporation in power plants, industrial boilers and other sources. The wet FGD process typically involves three main stages: absorption, oxidation, and byproduct removal. During the absorption stage, the flue gas is mixed with a water-based slurry of limestone or lime, which absorbs the sulfur dioxide. In the oxidation stage, the calcium sulfite is oxidized to form calcium sulfate, which is then removed from the system. Finally, any byproducts produced during the process, such as gypsum, are removed and disposed of. Wet FGD is a widely used technology for controlling emissions of sulfur dioxide from power plants and other industrial facilities. It is highly effective, with removal efficiencies of up to 95% or more, and is also relatively low cost compared to other control technologies.

On the basis of end-users, the market is segmented into chemical & petrochemical, cement, power plant, metal processing & mining, and others. The power plant segment is expected to witness significant CAGR during the forecast period owing to the increasing demand for power and the associated emission of flue gas in power generation. In addition, Wet scrubbers are the most commonly used FGD technology in the power industry. They use a liquid (typically limestone slurry) to absorb the SO2 from the flue gas. The absorbed SO2 reacts with the liquid to form calcium sulfate (gypsum), which can be used in various industrial applications. Overall, FGD systems are an essential technology for the power industry to reduce its impact on the environment and public health. They help power plants comply with environmental regulations and reduce their emissions of harmful pollutants.

For a better understanding of the market adoption of the Flue Gas Desulfurization (FGD) industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, UK, Netherlands, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and Rest of Asia-Pacific), Rest of World. The Asia-Pacific region is a major market for FGD technologies, given the high levels of coal consumption and the consequent need to control SO2 emissions. The Asia-Pacific region is expected to see significant growth in FGD installations in the coming years, driven by stricter environmental regulations and increasing public awareness of the health impacts of air pollution. China and India are among the largest markets for FGD technologies in the region, given their large coal-fired power generation capacity. Other countries, such as Japan, South Korea, and Australia, are also investing in FGD technologies to reduce their emissions of SO2 and other pollutants. The region is also adopting stringent environmental regulations to reduce emissions from power plants, which is driving the demand for FGD systems. Also, the growing investment and increasing number of new project are expected to support the market growth in the region. For instance, in January 2023, Babcock & Wilcox received a contract from Phillips66 Limited to design a flue gas pre-treatment upstream technology to capture carbon dioxide in one of its facilities based in the United Kingdom.

Some of the major players operating in the market include: Babcock & Wilcox Company, General Electric, Chiyoda Corporation, Fujian Longking Co., Ltd., Andritz AG, John Wood Group PLC, Hamon Corporation, Mitsubishi Hitachi Power Systems, Wuhan Kaidi Electric Power Environmental Co., Ltd., and Alstom.