Gas Turbine Market Report: 2024 Posts Highest Units, MWs in 22 Years

After experiencing a 12.6% increase in MW capacity and a 3% increase in total units sold in 2023, 2024 numbers shine even brighter: MW reported orders were up 32.4%, and unit orders were up 4.1%.

“Order activity is up significantly in 2024, primarily driven by large jumbo unit orders for the electric power utility segment, but aeroderivative orders remain strong as well,” said Tony Brough, President of Dora Partners & Company.

The industrial gas turbine market is being impacted by several factors, according to Brough, including the price of natural gas, LNG, and, of course, the rapid development of data centers and artificial intelligence (AI), which is driving up power demand.

2024 marked the highest unit number and MWs (nearly 500 units and almost 60 MW) reported globally since 2002, up from more than 40,000 MW in 2023.

Mark Axford, President of Axford Consulting, estimated an additional 30,000 MW of unreported orders, known as reservation agreements, bringing total orders booked for 2024 to more than 80,000 MW. He predicts gas turbine orders will increase by 7 – 10% in 2025.

Credit: Dora Partners & Company and McCoy Power Reports

The combined sales of GE Vernova and Baker Hughes, featuring gas turbines manufactured by GE Aerospace, place the two industry leaders at the front of the pack with approximately 85% market share for aeroderivative gas turbines.

“GE Vernova’s numbers were solid in 2024 as it regained the no. 1 spot for advanced-frame gas turbines—Mitsubishi was no. 1 in 2022 – 2023,” Axford said. In 2024, GE Vernova booked 22 GW of gas turbine orders and is upping its gas turbine factory capacity in Greenville, South Carolina, from 55 heavy-frame gas turbines to 70 - 80 per year in 2026.

Overall, advanced-frame (> 225 MW) gas turbine orders were approximately 80% of all orders (MWe). The top OEMs were GE Vernova (7F.05, 7H, 9F, and 9H), Mitsubishi (F, G, and J series), Siemens Energy (F and H series), Ansaldo Energia (94.3A), and Doosan (DJT 6; ~ 2.5%).

Packaged gas turbines have increased 12 - 18% over the past five years, while gas turbine components experienced up to 25% increases, according to Dora Partners & Company. Field service labor also increased by 10 - 20% in the past five years.

Brough reported the total value of packaged units—electric power utility (EPU) and oil and gas (O&G) model units—will reach $163 billion over the next 10 years. Aeroderivative engine sets will reach $26.5 billion, and GE Vernova/Baker Hughes aeroderivatives will hit $21 billion. Over the next decade, Siemens Energy, Mitsubishi Heavy Industries (MHI), and GE/Baker Hughes will dominate the 300+ MW market, accounting for more than 30% of the total value of engine-set units. The total aftermarket value will reach $302 billion in the next 10 years.

Market Drivers

Brough named five drivers for the industrial gas turbine market, including grid-scale battery storage, coal plant retirements, rapid data center and AI development, grid-scale renewable energy expansion, and natural gas pricing and LNG.

Grid-scale battery storage

Over 150 GWs of grid-scale battery storage have been installed globally, most in the last eight to nine years. In the next three years, 490 new U.S. plants are planned, adding more than 62 GWs of capacity. He said the market will be impacted by a decline in large power plants and jumbo frame turbines, with reliance shifting to smaller gas turbines and renewables to recharge, with an uptick in 40 – 100-MW gas turbines and recharge/hybrid systems.

Axford noted that solar and batteries are nearing economic feasibility without subsidies, given their short delivery times compared to gas turbine combined-cycle power, and that solar panel and battery prices are falling.

Coal plant retirements

Coal still accounts for 33% of all electricity produced worldwide. In fact, global capacity struck an all-time high of 2,175 GWs but is expected to plateau in 2027, according to the International Energy Agency.

Dora Partners & Company expects large power plants and jumbo-frame turbines—specifically F, G, H, and J technologies—to increase. Gas turbines in the 40 – 100 MW range will also increase. “Mobile power and peaking will see an increase in demand, and, to a lesser degree, < 20 MW demand will be slightly up,” Brough said.

Rapid data center and AI development

AI and data center buildouts are rocking the power industry and giving gas turbines “sold-out” status. U.S. utilities and developers “are racing to install baseload gas turbine combined-cycle power, but they can’t get it fast enough,” Axford said. Large gas turbine supply is essentially sold out for the next three to four years.

As Axford put it, gas turbines have gone wild. New orders are now shipping in 2027, 2028, and 2029, and gas turbine and engineering, procurement, and construction (EPC) prices are up sharply. According to Brough, pricing is expected to continue increasing by approximately 5 - 10% over the next 12 - 18 months, with lead times for new units up to 36 - 48 months.

Data centers will also continue to boom. The World Economic Outlook (WEO) reports that well over 11,000 data centers are serving digital commerce and AI computing, with each center averaging an electrical load of approximately 4 MWs—and that’s only expected to increase to meet demand. Nearly 1,400 more are planned in the United States alone. Virginia, Texas, and Georgia have the highest potential for data center buildouts, according to S&P Global Market Intelligence.

Brough said data center buildouts and AI will impact the market the same way coal plant retirements will, but with an increase in onsite power, too.

Grid-scale renewable energy expansion

According to Dora Partners & Company, solar PV’s global capacity is now over 1,800 GW, and the WEO forecasts that global capacity will [easily] more than double over the next five years.

Brough said this market driver will also increase mobile, onsite, and peaking power, but “large power plant and jumbo-frame turbines will decline with a slight dilution of F, G, H, and J technologies.”

Natural gas pricing and LNG

“In 2024, the United States was the no. 1 LNG exporter,” Axford said. By December 2028, the U.S. Energy Information Administration projects U.S. LNG exports will increase by 80%.

In terms of natural gas, the cost per MMBTU is expected to remain largely “affordable” in the United States, according to Brough, which supports the use of gas turbines. Plus, “government policy is expected to keep it that way over the next four years.”

He said large power plants/jumbo-frame turbines and gas turbines in the 40 – 100 MW range will increase.

Aeroderivatives Market Overview

2024 was a strong year for GE/Baker Hughes’ LM6000 and LM2500+G4.

“GE/Baker Hughes LM2500+ remains one of the most popular models in the world for the last 25 years,” Brough said. It has 1,458 units in fleet and accounted for 44% of the aeroderivative market (EPU and O&G models) over the past five years, growing at a compound annual growth rate (CAGR) of 4.1%. However, he said the Solar Titan 250 has displaced the LM2500 base engine business, and the introduction of the Solar Titan 350 poses a strong challenge to the 35+ MW LM2500+.

In 2024, GE/Baker Hughes LM6000 boasted 45 unit orders, but the LMS100 and LM9000 came up short with zero orders, though it is believed Baker Hughes is entertaining a lot of interest in the LM9000. The LM6000 has 1,235 units in fleet and improved its market share over the past five years to 16.4% with a CAGR of 1.8%.

Brough also noted a resurgence of the MHI FT8 in 2024, with 16 units ordered.

In 2023, GE/Baker Hughes’s five-year market share was 61%; in 2024, it increased to 63.7%. Siemens Energy and Rolls-Royce both held 8.1% and 4.5% in 2023 and 2024, respectively; MHI/PWPS held 3.6% in 2023 and 5.4% in 2024, and UEC (Russian Aero) held 9.5% and 9.3% in 2023 and 2024, respectively, according to Dora Partners & Company. The company predicts $3.6 billion per year will be spent on gas turbine maintenance, repair, and overhaul.

In North America, aeroderivative unit orders saw a 48% increase and a 236% increase in MW orders in 2023 versus 2024, and GE/Baker Hughes’s MW share was 79.6% in 2023. Globally, aeroderivative unit orders were down 14% in 2024, and MW orders were up 10%. GE/Baker Hughes’s global share was 73% in MWs in 2024.

North American Market in MWs. Credit: Dora Partners & Company

Competition for GE Vernova

Who is the competition for GE Vernova’s aeroderivative gas turbines? Axford said in 2000, the answer was Rolls-Royce and Pratt & Whitney. In 2024, the answer was solar panels and wind turbines. Now? The Wärtsilä RICE, Siemens SGT800, and Solar Titan 250 and 350 are taking market share from the LM2500 and LM6000. In 2024, Finland-made Wärtsilä won 800 MW of gensets in the United States (+280%) across approximately 85 sites (~ 6,000 MW installed) and already has 700 MW of orders booked for the first quarter in 2025.

“PROENERGY is winning a larger share of the aeroderivative genset business in North America,” Axford said. A total of 37 PROENERGY LM6000s have been sold globally to utilities and independent power producers since 2009, and 50 LM6000 peakers in Texas alone. One of PROENERGY’s advantages is that its LM6000 and PE6000 gensets are built in Missouri. It also offers field service, level 4 repair, operations and maintenance (O&M), and an EPC turnkey approach that includes selective catalytic reduction for 6000 gensets.

Axford reported that in 2024, PROENERGY received 22 unit turnkey orders from Arizona for its LM6000 gas turbine generator sets. In addition, Colorado Springs Utilities ordered eight PE6000 generator sets. PROENERGY Model PE6000 utilizes refurbished aircraft engines (CF6-80C2) originally in service for wide-body jets such as the Boeing 747 and 767. The PE6000 is rated at a 48-MWe output with water-spray injection. Numerous PE6000 engines have accumulated more than 8,000 hours of runtime in Houston, Mexico, and Germany.

Mobile Power

The demand for mobile power is expected to grow in the coming years to increase scalability, meet rising energy demands, and accommodate rapid start-up and deployment.

Dynamis’ DT35 mobile turbine boasts a fast setup and disassembly—“no crane, no forklift.” The model is for sale and lease. Dynamis also leases its 5.5-MW trailer-mounted Solar Taurus 60 and 16.5-MW trailer-mounted Solar Titan 130.

Relevant Power Solutions is building new mobile gas turbine gensets, including a 35-MWe M35 genset (GE LM2500+G4) and a 17-MWe dry low emissions M170 genset (Baker Hughes' NovaLT). Relevant has 12 M170s in production for 2025 – 2026 delivery. Axford reported that Relevant will commission five refurbished LM6000 gensets in June and November 2025, three in Texas and two in Arkansas. Relevant offers a full-load factory string test before shipment, economical turnkey installation, and contract O&M services.