Southeast Asia Thermal Power Market Size
| Study Period | 2021 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2021 - 2022 |
| CAGR (2024 - 2029) | 2.74 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Southeast Asia Thermal Power Market Analysis
The Southeast Asia Thermal Power Market size is estimated at 208.76 gigawatt in 2024, and is expected to reach 238.96 gigawatt by 2029, growing at a CAGR of 2.74% during the forecast period (2024-2029).
The Southeast Asian thermal power market was adversely affected by the COVID-19 pandemic due to disruptions in the supply chain. However, the market rebounded in 2021, and it is expected to grow steadily during the forecast period.
The rising power demand and increasing investments in the power industry are expected to drive the Southeast Asian thermal power market's growth during the forecast period. For instance, the electricity demand in the region is expected to increase significantly over the next three decades and is expected to reach 2,690 terawatt-hours (TWh) by 2050. Indonesia, Vietnam, Thailand, and the Philippines are expected to register the highest electricity demand during the forecast period.
However, the rapid growth in the renewable energy sector is expected to restrain the growth of the Southeast Asian thermal power market. The energy demand in Southeast Asia is expected to grow by two-thirds between 2019 and 2040, thereby leading to massive investment in new energy generation and transmission, creating ample market opportunities for thermal power generation.
Indonesia is one of the largest economies in Southeast Asia and witnessed the highest power generation in 2021. The nation is expected to dominate the market with upcoming and planned thermal power projects.
Southeast Asia Thermal Power Market Trends
This section covers the major market trends shaping the Southeast Asia Thermal Power Market according to our research experts:
Coal-Based Thermal Power Plants to Dominate the Market
The rising power demand across different nations in Southeast Asia and the affordability of coal for power generation are resulting in the dominance of coal for power generation during the forecast period.
Indonesia is the leading market for the power sector. Despite its goals to increase the renewable share in electricity generation to 23% by 2025, the electricity generation from thermal energy, especially coal, is expected to increase due to ongoing and planned capacity expansion plans.
Countries like Vietnam, Thailand, and Indonesia are witnessing a continuous increase in electricity generation from coal. Indonesia produced 119.5TWh of electricity from coal in 2014, which rose to 190 TWh in 2021.
According to the IEA, coal's primary energy demand in Southeast Asia in the Stated Policies Scenario is expected to rise to 216 Mtoe in 2030 and 270 Mtoe in 2040.
The growth rate of coal-based thermal plants is decreasing due to environmental concerns and increasing interest in natural gas and renewable energy. However, the already operating plants and a few upcoming plants are expected to drive the coal thermal power market's growth.
Indonesia to Dominate the Market
Indonesia, the largest economy in Southeast Asia and an electricity sector, is highly dependent upon fossil fuels for electricity production, mainly lignite and bituminous coal. Although not the same as coal, natural gas is also expected to remain an integral part of the country's energy mix.
The country's electricity generation is heavily reliant on fossil fuels, mainly natural gas, followed by coal and oil. According to BP Statistical Review, in 2021, coal had a share of 61.4% in total electricity generation, followed by natural gas at 18.2%.
As of May 2021, the country has had an ongoing program since 2015 of adding around 35 GW of coal-fired power plants to its national grid. Added to 35 GW, there's a parallel program to add 7 GW of coal power projects to the grid. The high usage of coal for power generation has been mainly due to the country's high amount of coal reserves at 34.87 billion tons, the highest in Southeast Asia. In October 2021, Mitsubishi Power started commercial operations of a 500-megawatt natural gas turbine in Indonesia's Muara Karang Power Plant; thus, such projects are expected to drive the thermal power market.
Out of the various sources of generating conventional thermal power, most of the energy came from coal in 2021. Coal contributed approximately 66% to the traditional thermal power electricity generation, producing 190 terawatt-hours (TWh) of electricity in 2021.
With increasing power demand, power generation is also growing. Indonesia generated 310 TWh of electricity in 2021. The growing demand is in resulting in new projects, which are expected to drive the growth of the market studied during the forecast period.
Southeast Asia Thermal Power Industry Overview
The Southeast Asia thermal power market is moderately fragmented in nature. Some of the major players in the market (in no particular order) include the Electricity Generating Authority of Thailand, Indonesia Power PT, Electric Power Development Co. Ltd, Vietnam Electricity, and Malakoff Corporation Berhad, among others.
Southeast Asia Thermal Power Market Leaders
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Indonesia Power PT
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Electric Power Development Co., Ltd
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Electricity Generating Authority of Thailand
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Vietnam Electricity
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Malakoff Corporation Berhad
*Disclaimer: Major Players sorted in no particular order
Southeast Asia Thermal Power Market News
- In January 2022, Indonesia banned the export of coal due to concerns that low supplies at domestic power plants could lead to widespread blackouts. The Indonesian Government justified the ban as it could lead almost 20 power plants with a power capacity of 10,850 megawatts to run out of coal.
- In October 2022, the first of two 2.7-GW natural gas-fired combined cycle power plants located 130 kilometers southeast of Bangkok, Thailand, commenced operations. The Gulf SRC (GSRC) power plant is the first gas-fired independent power project built by the two companies under their joint venture, Independent Power Development Co. (IPD). Gulf Energy Development holds a 70.0% equity interest in IPD, while Mitsui holds 30%.
Southeast Asia Thermal Power Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Scope of Study
- 1.2 Market Definiton
- 1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
- 4.1 Introduction
- 4.2 Installed Capacity and Forecast in MW, till 2027
- 4.3 Recent Trends and Developments
- 4.4 Government Policies and Regulations
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4.5 Market Dynamics
- 4.5.1 Drivers
- 4.5.2 Restraints
- 4.6 Supply Chain Analysis
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4.7 Industry Attractiveness - Porter's Five Forces Analysis
- 4.7.1 Bargaining Power of Suppliers
- 4.7.2 Bargaining Power of Consumers
- 4.7.3 Threat of New Entrants
- 4.7.4 Threat of Substitute Products and Services
- 4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 By Source
- 5.1.1 Oil
- 5.1.2 Natural Gas
- 5.1.3 Coal
- 5.1.4 Other Sources (Bioenergy and Nuclear)
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5.2 By Cycle
- 5.2.1 Open Cycle
- 5.2.2 Closed Cycle
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5.3 By Geography
- 5.3.1 Indonesia
- 5.3.2 Thailand
- 5.3.3 Malaysia
- 5.3.4 Vietnam
- 5.3.5 Philippines
- 5.3.6 Rest of South East Asia
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Strategies Adopted by Leading Players
- 6.3 Company Profiles
- *List Not Exhaustive
- 6.4 Indonesia Power PT
- 6.5 Electric Power Development Co. Ltd
- 6.6 Malakoff Corporation Berhad
- 6.7 Electricity Generating Authority of Thailand
- 6.8 Siemens AG
- 6.9 Vietnam Electricity
- 6.10 General Electric Company
- 6.11 Vietnamese National Coal and Mineral Industries Holding Limited
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablitySoutheast Asia Thermal Power Industry Segmentation
Thermal power generation is the process of generating electricity using direct heat from burning fuel or steam created by burning oil, natural gas, coal, and others to rotate generators and create electricity.
The Southeast Asia thermal power market is segmented by source and cycle. By source, the market is segmented into oil, natural gas, nuclear, and coal. By cycle, the market is segmented into an open cycle and a closed cycle. The report also covers the market size and forecasts for the Southeast Asia thermal power market across major countries. For each segment, the market sizing and forecasts have been done based on capacity (MW).
| By Source | Oil |
| Natural Gas | |
| Coal | |
| Other Sources (Bioenergy and Nuclear) | |
| By Cycle | Open Cycle |
| Closed Cycle | |
| By Geography | Indonesia |
| Thailand | |
| Malaysia | |
| Vietnam | |
| Philippines | |
| Rest of South East Asia |
Southeast Asia Thermal Power Market Research FAQs
How big is the Southeast Asia Thermal Power Market?
The Southeast Asia Thermal Power Market size is expected to reach 208.76 gigawatt in 2024 and grow at a CAGR of 2.74% to reach 238.96 gigawatt by 2029.
What is the current Southeast Asia Thermal Power Market size?
In 2024, the Southeast Asia Thermal Power Market size is expected to reach 208.76 gigawatt.
Who are the key players in Southeast Asia Thermal Power Market?
Indonesia Power PT , Electric Power Development Co., Ltd , Electricity Generating Authority of Thailand , Vietnam Electricity and Malakoff Corporation Berhad are the major companies operating in the Southeast Asia Thermal Power Market.
What years does this Southeast Asia Thermal Power Market cover, and what was the market size in 2023?
In 2023, the Southeast Asia Thermal Power Market size was estimated at 203.19 gigawatt. The report covers the Southeast Asia Thermal Power Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Southeast Asia Thermal Power Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Southeast Asia Thermal Power Industry Report
Statistics for the 2024 Southeast Asia Thermal Power market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Southeast Asia Thermal Power analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
