Market for Air Monitoring and Sampling to Expand to $1.5 Billion by 2008

April 20, 2005

The market for continuous and intermittent air pollution monitoring and sampling systems and services will expand from $1.1 billion this year to over $1.5 billion in 2008. This high single-digit market growth is predicted by the McIlvaine Company in its continually updated online, Air Pollution Monitoring and Sampling: World Markets.

This market can be first segmented into ambient and stack measurement. Then for each there is a need for intermittent and continuous monitoring. There are instruments to measure each pollutant. Other instruments are needed to measure flow, temperature, and other factors.

There is a considerable investment in software. Data acquisition systems are configured in such a way as to automatically deliver reports to regulatory agencies.

One of the most important functions of the measurement systems is to provide information needed for operation of the process system which is causing the pollution.

The market for optimization systems is inseparable from pollution measurement. Pegasus, Neuco, and others are striving to reduce costs and optimize the pollution reduction systems with software programs. Emerson has a system to optimize and integrate the operation of a number of boilers in a fleet based on various parameters including sufur emissions and the price of allowances. These programs are only as successful as the instruments are accurate.

The optimization systems for a single boiler, all the boilers in one plant, or for a fleet of boilers are going to be increasingly utilized. A broader view of the monitoring and sampling market includes the complete optimization system as well as the individual continuous emissions monitors (CEMs).

New market opportunities are constantly evolving.

The NOx control market in China is in its infancy but growing rapidly. So, NOx and ammonia slip CEMs represent an opportunity.

The huge number coal-fired power plant desulfurization systems being ordered in China, will require lots of SO2 analyzers.

The passage of the Clean Air Interstate Rule in the U.S. ensures expanded SO2 and NOx process instrument sales.

The new mercury rule does not kick in until 2010, but there will likely be early mercury reduction incentives. In any case, utilities are going to have to install mercury CEMs sooner rather than later. There is the option to use sorbent traps, but this is labor intensive.

Asia will be building lots of waste incinerators in the next five years. This creates a substantial CEMs market.

The ambient monitoring system market continues to gain momentum in the developing countries.

There is a major revenue opportunity in the maintenance of CEM systems. This can be coupled with stack testing services.

Stack testing is a growth segment. The utility industry has been hit with fines for opacity exceedances. The inability to accurately measure particulate has caused several utilities to lose lawsuits. The resultant settlements have included equipment upgrades costing many millions of dollars. Lots of periodic stack testing would have been much cheaper.

A big growth will occur in the installation of particulate mass measurement devices. These will replace or compliment the present opacity monitors. They will provide accurate measurement of the yearly weight of small particles (less than 2.5 microns in diameter). They will be needed to comply with new rules which will be designed to ensure that each state not exceed certain ambient fine particle concentrations.

Source: McIlvaine Company