International. The global district cooling (DC) market was valued at $11.19 billion in 2015 and is expected to increase at a compound annual growth rate (CAGR) of 5.1 percent to reach $17.33 billion by 2024, according to a new report from Transparency Market Research.
According to the report, district cooling systems offer services such as space cooling and cooled water. Central plants fry the water and distribute it through pipes to various homes and commercial and industrial facilities within a specific area. A district cooling system consists of different components such as central coolers, distribution pipes, substations, heat exchangers, evaporators, pumps, meters, valves and more.
District cooling is more efficient and less polluting than individual air conditioners. Different fuel resources, such as natural gas, gasoline, coal and solar energy can be used in central plants. Therefore, the flexibility of fuel resources and economies of scale make district cooling systems efficient and affordable.
Commercial application dominated the global market for this class of equipment with more than 50 percent market share in 2015. The emphasis on energy savings coupled with the increasing demands of Breeam and LEED Certification is anticipated to drive the market due to the growth of the commercial sector across the globe.
The study indicates that the DC system employed in commercial and public buildings provides 50 percent better cooling than regular air-conditioned buildings. Absorption chillers and electric coolers are widely used in this system. The latter exhibit higher coefficients of performance (POPs) than commercial air conditioners and can meet approximately 35 percent of the cooling needs of commercial buildings.
