Micro Combined Heat and Power Market Is Expected To Reach A Revenue Of USD 7.1 Bn By 2033, At 9.8 % CAGR | Dimension Market Research

Advancements and Projections in the Micro Combined Heat and Power Market: Insights, Trends, Opportunities, and Recent Developments

New York, June 12, 2024 (GLOBE NEWSWIRE) -- Market Overview

The Global Micro Combined Heat and Power Market size is expected to reach USD 3.1 billion by 2024 and is further anticipated to reach USD 7.1 billion by 2033 at a CAGR of 9.8 % according to Dimension Market Research.

Micro-combined heat and power are a technology that produces electricity & heat from a single energy source like natural gas, biomass, or propane. It boosts energy efficiency by utilizing wasted heat, contrasting with traditional power plants that discard such heat as a byproduct. These systems are developed for residential or small commercial use, providing on-site electricity & heat simultaneously.

Click to Request Sample Report and Drive Impactful Decisions: https://dimensionmarketresearch.com/report/micro-combined-heat-and-power-market/request-sample/

They are popular in homes, apartments, & small businesses, helping to reduce energy costs & environmental impact. The micro-CHP market is growing rapidly due to rising demand for cost-effective energy solutions & focus on reducing carbon emissions from power generation.

Important Insights

  • The global micro combined heat and power market is expected to grow by USD 3.7 billion by 2033 from 2025 with a CAGR of 9.8 %.
  • Engine-based is anticipated to dominate the micro combined heat and power market with the largest revenue share in 2024 as it uses internal combustion engines to produce electricity and heat simultaneously.
  • Less than 2 kW is likely to lead the micro combined heat and power market with the highest market share based on capacity in 2024. This dominance is due to rising installation goals and the superior operational efficiency of micro-CHP systems in residential settings compared to larger capacities.
  • Hydrogen is predicted to lead the micro combined heat and power market with the highest revenue share based on fuel in 2024, as they are clean and sustainable energy source and emits no greenhouse gases on burning.
  • Stirling Engine is expected to dominate the micro combined heat and power market with the largest revenue share based on the prime mover in 2024. It promotes energy efficiency and sustainability which boosts the market with the adoption of engine-based MCHP systems.
  • Residential application is anticipated to dominate the micro combined heat and power market with the largest revenue share in 2024. Micro CHP system offers notable advantages to residential consumers, including cost-effective, cozy, and healthy living spaces, potential energy conservation, and a dependable electricity source.
  • Asia-Pacific is predicted to dominate the micro combined heat and power market with the highest revenue share of 34.1% in 2024 as countries in this region are experiencing rapid growth due to rising manufacturing output and service sectors.


  • Coal, the primary source of electricity generation, emits greenhouse gases (GHGs) that harm the environment and health, leading to climate change and respiratory issues from pollution.
  • Implementing Micro CHP in power generation significantly lowers CO2 emissions compared to traditional methods, benefiting the environment and public health.

Competitive Landscape

  • The primary focus of major players in the global micro combined heat and power (mCHP) market is on innovation and introducing new products as their key strategy. This creates a highly competitive environment with numerous local, regional, and global vendors.
  • Some of the major key players in the global micro combined heat and power market are Cogen MicroSystems, Climate Energy LLC, Ceres Power Holding PLC, BDR Thermea Group, ClearEdge Power, Yanmar Co Ltd, and Vaillant Group. and many others.
  • Additionally, manufacturers and suppliers are working on logistical enhancements and strengthening distribution channels to drive business growth.

Some of the prominent market players:

  • Honda Power Equipment
  • Viessmann Group
  • BDR Thermea Group
  • Marathon Engine Systems
  • Yanmar Co., Ltd.
  • Ener-G Cogen International
  • General Electric
  • Ceres Power Holdings PLC
  • Baxi Group
  • Aisin Seiki Co., Ltd.
  • 2G Energy AG
  • Tecogen Inc.
  • Other Key Players

Transform your business approach with strategic insights from our report. Get in touch to request our brochure today! : https://dimensionmarketresearch.com/report/micro-combined-heat-and-power-market/download-reports-excerpt/

Micro Combined Heat and Power Market Scope

Report HighlightsDetails
Market Size (2024)USD 3.1 Bn
Forecast Value (2033)USD 7.1 Bn
CAGR (2024-2033)9.8%
Leading Region in terms of Revenue  ShareAsia Pacific
Percentage of Revenue Share by Leading Region34.1%
Historical Data2018 - 2023
Forecast Data2024 - 2033
Base Year2023
Estimate Year2024
Segments CoveredBy Type, By Capacity, By Fuel, By Prime Mover, By Application
Regional CoverageNorth America, Europe, Asia Pacific, Latin America, Middle East & Africa (MEA)


  • Growing demand for clean energy and increased awareness of carbon footprint drive the adoption of micro-CHP systems.
  • Clean energy benefits such as reduced air pollution and decreased reliance on imported fuels contribute to their popularity.
  • Focus on efficiency, energy conservation, and eco-friendliness further boosts the adoption of CHP technology across various sectors.
  • Ongoing technological advancements improve fuel combustion efficiency, driving the demand for micro-CHP systems.


  • Interconnections can be problematic due to the lack of standardized procedures, resulting in costly and complex integration processes with the power grid.
  • The high cost of maintenance and operation of CHP devices such as reciprocating internal combustion engines and Stirling engines hampers market growth.
  • Consumers in developing countries may face limitations in spending significant amounts on maintaining this equipment, impacting its adoption rates.

Growth Opportunities

  • Regulatory focus on reducing carbon emissions provides strong motivation to switch from boilers to micro-CHP solutions.
  • Micro-CHP systems use cleaner fuels and advanced technologies to optimize energy use, aligning with sustainability objectives set by regulations.
  • They can generate electricity and heat while utilizing waste heat that would otherwise be lost in traditional boilers which leads to reduced utility costs & significant energy savings.

Market Analysis

Engine-based systems are expected to lead the micro-combined heat and power market in terms of revenue share in 2024 as these systems use internal combustion engines to generate both electricity & heat at the same time. The global availability & established infrastructure of these systems make them a convenient choice for many business users.

They offer flexibility in fuel options, including natural gas, propane, diesel, & biofuels, allowing consumers to choose the most cost-effective & environmentally friendly fuel based on their needs & location.

Purchase the Competition Analysis Dashboard Today: https://dimensionmarketresearch.com/checkout/micro-combined-heat-and-power-market/

Micro Combined Heat and Power Market Segmentation

By Type

  • Engine-based
  • Fuel Cell-based

 By Capacity

  • Less than 2 kW
  • 2 kW to 10 kW
  • 10 kW to 50 kW

By Fuel

  • Hydrogen
  • Natural Gas
  • Renewable Resources
  • Others

By Prime Mover

  • Stirling Engine
  • Internal Combustion Engine
  • Fuel Cell

By Application

  • Residential
  • Commercial
  • Industrial
  • Others

Regional Analysis

Asia-Pacific is predicted to dominate the micro-combined heat and power market in 2024, capturing the largest revenue share of 34.1%. This dominance is attributed to the rapid growth in manufacturing and service sectors in this region, which also leads to increased carbon emissions, notably from countries like China and India.

Thus, there's a growing adoption of micro-CHP systems in this region as there's a greater focus on reducing carbon emissions and enhancing energy efficiency. Innovation and technological advancements in micro-CHP technologies have further improved their efficiency, reliability, and cost-effectiveness, driving their adoption rates in this region.

Click to Request Sample Report and Drive Impactful Decisions: https://dimensionmarketresearch.com/report/micro-combined-heat-and-power-market/request-sample/

By Region

North America

  • The U.S.
  • Canada


  • Germany
  • The U.K.
  • France
  • Italy
  • Russia
  • Spain
  • Benelux
  • Nordic
  • Rest of Europe


  • China
  • Japan
  • South Korea
  • India
  • ANZ
  • Rest of Asia-Pacific

Latin America

  • Brazil
  • Mexico
  • Argentina
  • Colombia
  • Rest of Latin America

Middle East & Africa

  • Saudi Arabia
  • UAE
  • South Africa
  • Israel
  • Egypt
  • Rest of MEA

Recent Developments in the micro combined heat and power market

  • June 2023:US Department of Energy granted funding to SFC Energy AG for the development of a novel micro-CHP system utilizing hydrogen fuel cells.
  • May 2023: Generac Power Systems completed the acquisition of Micro Gen Power Systems, a leading developer and manufacturer of micro-CHP systems.
  • April 2023: Capstone Turbine Corporation inaugurated a new manufacturing plant in North Carolina focused on producing micro-CHP systems for the North American market.
  • March 2023: Caterpillar Inc. introduced its latest micro-CHP system, the Micro Gen V200, capable of supplying electricity and heat to homes and businesses with a power output of 200 kW.

Browse More Related Reports

About Dimension Market Research (DMR):

Dimension Market Research (DMR) is a market research and consulting firm based in India & US, with its headquarters located in the USA (New York). The company believes in providing the best and most valuable data to its customers using the best resources analysts into work, to create unmatchable insights into the industries, and markets while offering in-depth results of over 30 industries, and all major regions across the world.

We also believe that our clients don’t always want what they see, so we provide customized reports as well, as per their specific requirements to create the best possible outcomes for them and enhance their business through our data and insights in every possible way.


Contact Data