New solutions which can help in reducing the consumption of energy are being developed increasingly. One of such developments is of district heating and cooling (DCH), which is essentially an outside source for delivering heat to or removing it from a building. DHC systems are being adopted extensively in developed nations, as they provide several advantages over systems for individual buildings, such as decreased emissions, greater reliability and safety, and higher fuel flexibility, primarily in utilizing alternative fuels such as biomass. These systems make use of pre-insulated pipes for maintaining the temperature of the fluid flowing through and in and out of them. Therefore, due to the rising adoption of district heating and cooling systems, the demand for pre-insulated pipes is also increasing.
According to a P&S Intelligence report, in 2018, the global pre-insulated pipes market reached a value of $5,568.5 million, and it is predicted to generate revenue of $9,597.9 million by 2024, advancing at a 9.7% CAGR during forecast period. Pre-insulated pipes, also known as bonding pipes or insulated pipes, are made up of three layers, namely outer jacket, carrier pipe, and insulation layer. These pipes can be installed below the ground or above the ground. As below-ground-installed pipes are less prone to damage by calamities, require less structural support, and are easy to install, their demand was higher in 2018.
North America made the most use of these pipes in the past, which is majorly ascribed to the rising adoption of DCH systems in the downtown districts of Canada and the U.S. and expansion of the domestic construction and chemical processing industries. In addition to North America, the demand for pre-insulated pipes is also expected to considerably increase in the European region in the near future. The primary reasons for this would be the rising adoption of green building standards and codes, increasing number of construction projects, and large-scale construction of nearly zero-energy buildings (NZEBs).
As mentioned above, one of the key reasons for the growing adoption of pre-insulated pipes is the fact that they aid in reducing the consumption of energy. Because of this, infrastructure such as NZEBs are bound to make use of these solutions for making sure their goal of energy efficiency is achieved. NZEBs are efficient buildings which only utilize the energy they produce, more or less. Furthermore, the energy requirements in these building are met by making use of renewable resources. Since NZEBs need to reduce energy losses as much as possible, pre-insulated pipes are used in these buildings for facilitating heating and cooling, by reducing heat loss and gain, respectively.
In present times, solutions such as NZEBs, for reducing the carbon footprint, are primarily being adopted in advanced countries in Europe or North America. Regions including Asia-Pacific, Latin America, and Middle East and Africa are still registering comparatively slower growth when it comes to the adoption of energy-efficient solutions. Due to this, however, companies in the pre-insulated pipes market can avail several benefits. It is predicted that in the coming years, developing countries will witness a rapid growth in the adoption of DCH systems and development of NZEBs, which will result in a rising demand for pre-insulated pipes.
Hence, the growing need for energy efficiency is leading to the increasing requirement for pre-insulated pipes.