The research pinpoints the Middle East as an area with a lot of growth potential with its strong hydrocarbon reserves providing it with opportunities for power generation through natural gas, and consequently for the HRSG market.

By 2020, the unit shipment volume in the region is expected to reach 70 units, says the report. Heavy investment plans and lucrative policies are anticipated to drive the market with Iran and Saudi Arabia expected to contribute the most to the growth of the HRSG market.

The report also says that growing demand for greater efficiency and the availability of large government incentives and rebates for improved energy efficiency and emissions reductions will sustain the HRSG market’s growth globally, especially in developing countries like India and China.

The report also notes that one of the major challenges facing the HRSG manufacturers is the lack of product differentiation. Many of the European and North American manufacturers face tough competition from their Asian counterparts on account of the latter’s low-priced products.