Gas Pipeline Infrastructure Market by Application (Compressor Station, and Metering Station), Operation (Gathering Pipeline, Transmission Pipeline, and Distribution Pipeline) and by Region - Global and Regional Industry Overview, Market Intelligence, Comprehensive Analysis, Historical Data, and Forecasts 2022 – 2030

Industry Perspective

The global Gas Pipeline Infrastructure Market size was worth around USD 2.57 trillion in 2021 and is predicted to grow around USD 3.6 trillion by 2030 with a compound annual growth rate of roughly 4.13% between 2022 and 2030. It is anticipated that increasing natural gas consumption across various industries, such as power generation, manufacturing, chemical, commercial and residential, will increase the use of gas pipeline infrastructure. A paradigm change in favor of sustainable energy sources is anticipated to assist the industry's expansion even more over the forecast period.

Market Overview

The rising demand for natural gas around the globe and growing gas pipeline infrastructure is anticipated to expand significantly during the forecast period. It is also projected that rising industrialization and urbanization would increase the demand for natural gas resulting in a need for gas pipeline infrastructure all over the world.

In addition, numerous countries are making significant investments in the construction of new gas pipelines in an effort to lessen their reliance on imported fossil fuels. In addition, given natural gas burns cleaner than coal and oil too, it is projected that growing environmental concerns about greenhouse gas emissions will increase demand for it during the forecast period, it is anticipated that each of these factors will contribute to the growth of the global gas pipeline infrastructure market.

Key Insights

• As per the analysis shared by our analyst team, the global gas pipeline infrastructure market is estimated to grow annually at a CAGR of around 4.13% over the forecast period (2022-2030).
• In terms of revenue, the global Gas Pipeline Infrastructure market size was valued at around USD 2.57 trillion in 2021 and is projected to reach USD 3.6 trillion, by 2030. Due to a variety of driving factors, the market is predicted to rise at a significant rate
• Based on application, the compressor station segment held the largest market share in the year 2021
• Based on operation, the transmission pipeline segment was dominating the market share in the year 2021
• On the basis of region, North America was the leading revenue generator in 2021

Growing Demand for Gas Pipeline Infrastructure Development with Respect to The Population Growth

The global market is expected to expand as a result of the increasing demand for hydrocarbons brought on by the world's growing population. The demand for gas pipeline infrastructure is expected to increase in the next years due to the globalization of industry and over the projected period, it is expected that demand for gas pipeline infrastructure would increase as governments around the world enforce tough rules to reduce Greenhouse Gas (GHG) emissions.

High Cost of Installation of Gas Pipelines is Restraining the Market Growth

Gas is expensive and limited as well, many pipeline operators are under financial strain. This limitation of gas availability results in insufficient pipeline capacity utilization, which is expected to have an impact on operating efficiencies. Gas pipeline construction initially comes at a considerable expense. The cost is further increased by the additional machinery that must be installed in addition to the pipeline’s danger associated with leaks is also anticipated to serve as a limitation for the gas pipeline infrastructure market globally.

Rising Government Involvement in Gas Pipeline Infrastructure Poses Opportunity for Market Players 

The need to replace the current pipeline network across multiple regions and rising government investments to improve accessibility is expected to change the industry environment. The European Union's pipeline system was used to trade 478.9 billion cubic meters of natural gas in 2018, according to the British Petroleum (BP) Statistical Review of World Energy. The demand for more gas pipeline infrastructure will increase as trade activity expands.

In 2019, the U.S. held the greatest market share due to increasing government spending on infrastructural improvements as well as expanding exploration and production activities. The Permian Basin's new project developments and significant shale gas production will enhance the region's overall development.

Segmentation Analysis

Based on application, the global market is segmented into compressor stations and metering stations. The compressor station segment dominates the market share owing to the rising trend of extending new gas sources and boosting pipeline capacity to access more volumes. In every 80 to 150 kilometers along the length of a transmission pipeline, compressor stations are built to enable pressure to be increased to keep the gas moving.

Based on operation, the global market is segmented into gathering pipeline, transmission pipeline, and distribution pipeline. In terms of revenue over the anticipated period, the transmission pipeline segment has dominated the market share. The segment is anticipated to experience rapid growth in nations like the United States, China, Russia, and other European countries, with a sizable amount of inter-regional trade through imports and exports. The segment growth, however, might be hampered by the slow rate of market liberalization. For instance, National Oil Companies (NOCs) have access to China's transmission pipelines without having any third-party line rights.

Recent Development

February 2021- RGC Resources Inc., a natural gas firm in Virginia, started a joint venture to install the Mountain Valley pipeline from West Virginia to Central Virginia for between USD 5.8 billion and USD 6.0 billion. By the middle of 2022, the pipeline is anticipated to be finished.

August 2021-The Dakota Access Pipeline (DAPL) Expansion project upgraded pump station efficiency and added horsepower to boost the DAPL system's capacity by 180,000 barrels per day (BPD). The DAPL system in the United States extends from North Dakota to Patoka, Iowa, Illinois, via South Dakota, and Illinois.

December 2019- The U.S. section of the Cochin Pipeline system and Kinder Morgan Canada Limited were acquired by Pembina Pipeline Corporation. The business hopes to expand its presence in the U.S. market by becoming a significant supplier of premium condensate in the Chicago area owing to the acquisition strategy, which will also allow it to build a cross-border pipeline.

Regional Landscape

North America is Dominating the Market Share Due to the Rising project in North America

North America had the largest market share, accounting for 50% share of the total market because of the availability of a fully integrated transmission and distribution system that can transport natural gas to any state in the region, leading pipeline companies have chosen to operate in North America. It is the primary hub for gas pipeline infrastructure in the region, accounting for more than 80% of the total pipeline length.

Canada is expected to have the highest revenue based over the forecast period, one of the main causes of the regional market expansion is the replacement and expansion of the current pipeline infrastructure.

• For instance, the Trans Mountain pipeline project, which would extend the pipeline by 600 miles and boost its capacity from 300,000 Barrels per day (BPD) to 890,000 (BPD) was approved by Canada's Federal Court of Appeal in February 2020.

Competitive Landscape

Some of the key gas pipeline infrastructure industry manufacturers include Enbridge Inc., EUROPIPE GmbH, Gazprom International Limited, Gazprom International Limited, CRC -Evans Pipeline International, General Electric, Snam SPA, SAIPEM SpA, Saipem S.p.A., TechnipFMC plc, MRC Global Inc., DCP Midstream, LLC. Engas UK Ltd, GAIL (India) Limited, NOV Inc., PT. Perusahaan Gas Negara Tbk, Welspun, amongst others.

The global gas pipeline infrastructure market is segmented as follows:

By Application

• Compressor Station
• Metering Stations

By Operation

• Gathering Pipeline
• Transmission Pipeline
• Distribution Pipeline

By Region

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
• Nordic countries
  • • Denmark
    • Finland
    • Iceland
    • Sweden
    • Norway
• Benelux Reunion
  • • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • New Zealand
  • Australia
  • South Korea
• Southeast Asia
  • • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America