U.S. Microturbine CHP Market Share Grows to a Record 25%
VAN NUYS, Calif., Aug. 29, 2018 (GLOBE NEWSWIRE) -- Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST), the world’s leading clean technology manufacturer of microturbine energy systems, announced today that a recent ICF Inc. combined heat and power (CHP) study leveraging the U.S. Department of Energy CHP Installation Database (https://doe.icfwebservices.com/chpdb/) indicates that the microturbine market share of U.S. CHP installations in the 100 kW to 5 MW has reached a record 25%.
ICF estimates that between 2008 to 2013, microturbines had approximately a 17% market share and that more recently, from 2013 to 2017, the microturbine market share increased to a record 25% of installations larger than 100 kW and smaller than 5 MW in the United States. The majority of the microturbine market share improvement was the result of gains from traditional reciprocating engine competitors that have historically dominated the global CHP market.
“We continue to successfully diversify our market verticals by concentrating on CHP and CCHP as energy efficiency is a growth market for us globally,” said Darren Jamison, Capstone’s President and Chief Executive Officer.
In addition, ICF forecasts that U.S. CHP annual capacity installations will grow from approximately 600 MW in 2017 to as high as 1,400 MW in 2026 and that the growth in overall CHP markets will be driven by smaller commercial applications that typically are well suited for microturbine technology.
“There are a variety of drivers for the forecasted growth in the CHP market, including the need for resilient on-site power, advances in packaged CHP technologies, growth in utility CHP programs, and the ability of CHP to balance intermittent renewable generation in microgrids,” said Anne Hampson, a Principal at ICF.
As the use of decentralized energy systems continues to gain momentum, more U.S. businesses are looking to take control of their energy costs. The benefits of moving away from the local utility and generating power onsite are clear as Capstone end-use customers saved an estimated $194 million in annual energy costs and 314,000 tons of carbon in fiscal 2018. These carbon savings would compare to the annual equivalent carbon reduction from approximately 369,800 acres of forest or removing over 67,000 passenger vehicles from the road for a year.
“Capstone’s high efficiency combined heat and power end-use customers had the largest energy savings on a per project basis compared to the oil and gas end-users where their primary focus has historically been more about energy reliability and resiliency,” added Mr. Jamison.
“Capstone’s new Signature Series product line-up is making significant progress in the CHP market, which is specifically focused on growing the energy efficiency market vertical and continuing to diversify Capstone’s business,” said Jim Crouse, Capstone’s Executive Vice President of Sales and Marketing.
About Capstone Turbine Corporation
Capstone Turbine Corporation (www.capstoneturbine.com) (Nasdaq: CPST) is the world’s leading producer of low-emission microturbine systems and was the first to market commercially viable microturbine energy products. Capstone has shipped over 9,000 Capstone Microturbine systems to customers worldwide. These award-winning systems have logged millions of documented runtime operating hours. Capstone is a member of the U.S. Environmental Protection Agency’s Combined Heat and Power Partnership, which is committed to improving the efficiency of the nation’s energy infrastructure and reducing emissions of pollutants and greenhouse gases. A DQS-Certified ISO 9001:2015 and ISO 14001:2015 certified company, Capstone is headquartered in the Los Angeles area with sales and/or service centers in the United States, Latin America, Europe, Middle East and Asia.
ICF (NASDAQ:ICFI) is a global consulting services company with over 5,500 specialized experts, but they are not your typical consultants. At ICF, business analysts and policy specialists work together with digital strategists, data scientists and creatives. ICF combines unmatched industry expertise with cutting-edge engagement capabilities to help organizations solve their most complex challenges. Since 1969, public and private sector clients have worked with ICF to navigate change and shape the future. Learn more at icf.com.
This press release contains “forward-looking statements,” as that term is used in the federal securities laws. Forward-looking statements may be identified by words such as “expects,” “believe”, “objective,” “intend,” “targeted,” “plan” and similar phrases. These forward-looking statements are subject to numerous assumptions, risks and uncertainties described in Capstone's filings with the Securities and Exchange Commission that may cause Capstone’s actual results to be materially different from any future results expressed or implied in such statements. Capstone cautions readers not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Capstone undertakes no obligation, and specifically disclaims any obligation, to release any revisions to any forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.
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Released August 29, 2018