The hvac market - Spain (2024)

1.2 The global market

The HVAC (***) market is booming, fuelled by factors such as increasing urbanization, growing demand for thermal comfort in residential, commercial and industrial buildings , and increasingly stringent energy efficiency regulations. The rise of cutting-edge technologies such as energy-efficient air-conditioning systems, heat pumps and intelligent ventilation systems is also helping to drive the market. However, it is the growing awareness of environmental issues by various states around the world that is driving this market, particularly in Europe with the adoption of measures aimed at achieving carbon neutrality by **** with the European Green Pact.

The global market:

With an estimated average annual growth rate of *.*% for the period ****-****, the global HVAC market was valued at $***.* billion in ****, and should reach a value of around $*** billion in **** .

Global HVAC market World, ****-****, $ Billions Source: ****

European market:

The European market is also following the same trend, with an estimated CAGR of *.**% over the period ****-****.

Growth forecasts for the European HVAC market Europe, ****-****, $ billion Source: ****

1.3 The domestic market

The market for heating, ventilation and air-conditioning (***) systems grew significantly between **** and ****, with total sales for the sector risingfrom *.*** billion in **** to *.*** billion in ****. This growth is reflected in particular by the increase in theheating and air-conditioning sub-sector 's share of the overall HVAC market, from **.**% in **** to **% in ****.

Evolution of HVAC market size Spain, ** -****, billions of euros Source: ****

By ****, the air-conditioning and heating sub-sectors (***) will account for the bulk of the industry's sales, with **% .

Breakdown of HVAC sales in Spain by sub-segment. Spain, ****, % Source: ****

The table below shows the growth rates of the HVAC market sub-segments between the years ****-**** and ****-****. It can be seen that all market sub-segments are growing over these two years, with the exception of ****-**** for UTAs and UVs. In ****, the residential ventilation and ACS markets will drive growth in the HVAC market.

Sector / Sub-sector Growth in value ****-**** Growth in value ****-**** HVAC sector + **,* % + **,* % Air conditioning, heat pumps and ACS systems + ** % + **,* % Residential ventilation + **,* % + **,* % AHUs and UV with heat recovery - *,* % + *,* % Air distribution and diffusion equipment + **,* % + *,* % Industrial and tertiary ventilation + **,* % + *,*%

Source: ****

1.4 Spain's changing energy mix

The Spanish government has set targets for changing the country's energy mix by ****. Compared to ****, fossil fuels are set to decrease by **% to **.*** million tonnes of oil equivalent. Nuclear power generation is set to fall by **% to *.* million tonnes of oil equivalent. Other forms of energy, which accounted for *,*** million tonnes of oil equivalent in ****, are scheduled to be phased out completely. By contrast, the share of renewable energies is set to almost double, from **,*** to **,*** million tonnes of oil equivalent, an increase of ***%.

Spanish primary energy mix Spain, ****-****, million tonnes of oil equivalent Source: ****

These changes to the energy mix also involve energy savings. In the residential sector, the aim is to reduce energy consumption by **%. In the tertiary sector, the target reduction is **%. The transport sector is where the greatest effort is required, with a reduction of **%. For industry, the target is to reduce energy consumption by **%. Lastly, the agricultural sector is expected to achieve energy savings of *%.

Energy savings forecast by sector in Spain Spain, ****, % of total energy consumption Source: ****

In the residential sector, these energy savings translate into a reduction of *.*** million tonnes of oil equivalent through improved energy efficiency in buildings, and a reduction of ...

1.5 A less favorable economic environment for 2024, despite government support

While **** was an important year for the HVAC sector, with the communication of the RepowerEU plan by the European Commission, which calls for the deployment of * million heat pumps by **** , and ** million by ****, the economic environment for HVAC is more mixed for ****.

aFEC urges caution when making forecasts for ****. Indeed, several factors, such as the possibility of a slowdown in the Spanish economy, the decline in global economic growth due to economic adjustments in China, the restrictive policy of the European Central Bankthe geopolitical instability and uncertainty linked to the conflicts in Ukraine and the Middle East call for a cautious approach to forecasts for ****. Lastly, the unfavorable ratio between electricity and gas prices is not also a factor boosting the HVAC sector.

And while Spain has set targets for housing renovation by ****, AFEC deplores the slow pace at which the Spanish housing stock is being renovated. The rate remains at around *.*% per year, whereas the association points out that a rate of between **% and **% is needed if Spain is to achieve its decarbonization targets.

Source: ****

As a reminder, Spain offers the following grants for housing renovation:

Source: ****

2.1 Growth driven by the residential sector and by heating and air-conditioning equipment

By ****, **% of HVAC sales were generated by the heating and air-conditioning sub-segment. Within this same market, residential demand is the sector's main demand, accounting for **.*% of sales.

Breakdown of HVAC market sales by sector Spain, ****, % of sales Source: ****

It can be seen, however, that all * business sectors are driving demand in this market, with positive, double-digit growth rates throughout the years ****-**** and ****-****.

Market types Growth ****-**** Growth ****-**** Domestic, residential + **,* % + **,* % Commercial market + **,* % + **,* % Tertiary, industrial market + ** % + **,* %

2.2 Focus on heat pumps

Heat pumps account for a significant share of the market. As part of a more efficient, energy-saving sustainable development approach, this technology represents a promising sub-segment of the HVAC market. By ****, systems enabling air conditioning, heating and water heating(***) will account for **.*% of sales. Air-to-air technologies accounted for **.*% of the market, and air-to-water technologies for **.%.

Breakdown of heat pump sub-segment Spain, ****, % Source: ****

Of the heat pumps installed in Spain up to ****, **.**% were intended for residential use. This means that heating and air-conditioning for private homes represent the sector's greatest demand.

Buildings equipped with heat pumps by sector, among buildings equipped España, ****, % (***) Source : IDAE Between geothermal and aerothermal heat pumps, in **** heat pumps were very unevenly distributed. Aerothermal heat pumps dominated the market, accounting for **.*% of all heat pump installations. Geothermal, on the other hand, accounted for only a small fraction of this total, with just *.*% of installations. Aerothermal or geothermal? Spain, ****, % Source: ****

2.3 A climate and real estate structure conducive to the installation of air-conditioning systems in Spain

Housing stock:

In ****, Spain's housing stock comprised **,***,*** homes and offices. Of these, buildings with more than ** apartments account for **.**% of the total Spanish housing stock. Buildings with * to * apartments account for **.**% of the total, and two-unit buildings for *.**%. Finally, office buildings are in the minority, with a share of *.**%.

Breakdown of housing types in Spain Spain, ****, in thousands Source: ****

In terms of housing type, multi-family dwellings make up **.**% of the Spanish housing stock, while single-family dwellings account for **.**%.

Distribution of buildings/houses Spain, ****, %, %, %, %, %, %, %, %, %, %, %, % Source: ****

Climate:

The map below shows Spain's climate zones. They have been defined by the CTE, the technical building code that governs Spanish insulation standards. The blue zones correspond to cold, mountain climates, while the zones tending towards red represent warmer climates. Heating demand is therefore determined by this climatic reality, and will be higher in areas requiring better insulation.

Source: ****

Nationwide:

By ****, **.*% of Spanish homes were equipped with a heating system.

Main dwellings equipped with a heating system in Spain Spain, ****, % of total Source: ****

The air-conditioning equipment rate is also interesting for the HVAC market. In ****, **.*% of Spaniards did not have an air-conditioning system.

Main dwellings equipped with air conditioning in Spain Spain, ****, % of total Source: ****

At ...

3.1 Value chain

According to the Bouygues Energie website, the HVAC value chain has four main components

Large companies oversee work for the public and corporate sectors. They can draw on their complementary activities and strong geographical coverage. Smaller companies focus on work and maintenance for private customers.

3.2 Market structure

While there are no official statistics on the number of HVAC equipment manufacturers or installers, the CNAE statistical code "**.* Instalaciones eléctricas, de fontanería y otras instalaciones" according to the nomenclature produced by theINE can tell us more about the sector. This CNAE code includes :

-Electrical, plumbing and HVAC installations.

Growth in the number of companies in CNAE code **.* Spain, ****-****, number Source: ****

Except for the year ****-****, there has been a steady increase in the number of companies in this CNAE code **.*. In fact, the growth in the number of companies was *.**% between **** and ****, -*.** between **** and ****, *.**% between **** and **** and *.**% between **** and ****.

Evolution of personnel employed within CNAE code **.* Spain, ****-****, in thousands of employees Source: This trend is the same for the number of employees: +*.**% between **** and ****, -*.**% between **** and ****, +*.**% between **** and **** and +*.**% between **** and ****.In addition, the electrical, plumbing and HVAC installations sector in Spain appears to be made up of a multitude of companies employing a large number of people, reflecting a sector dispersed into a multitude of players.

4.1 Offer typology

Within the HVAC market, we find the following broad categories of submarkets:

air-conditioning equipment: These are devices designed to cool and sometimes heat ambient air in buildings, vehicles and other indoor environments. They can use various principles to cool the air, such as refrigerant gas compression, water evaporation, or sometimes even thermal methods. Heat pumps (***): Heat pumps are devices that transfer heat from one place to another using a compressor and a refrigerant. They can be used to heat or cool a space, depending on the season. They are often used to heat homes in winter and for air conditioning in summer. DHW production: DHW stands for domestic hot water. DHW production concerns the production of hot water used for domestic or commercial purposes, such as for showers, sinks and baths. This can be achieved by electric water heaters, boilers, solar water heaters, heat exchangers or other devices. UTA + UV air distribution and diffusion with heat recovery : UTA stands for Unité de Traitement d'Air. It's a device that treats ambient air by filtering, heating or cooling it, and adjusting its humidity level to create a comfortable, healthy indoor environment. The addition of UV (***) can help eliminate bacteria and pathogens from the ...

4.2 Prices

in ****, according to Habitissimo, a professional estimate comparator, the average price of installing a ventilation system in Spain was ****€. Average floor and ceiling prices were ****€ and ****€.

Average installation costs for a ventilation system in Spain Spain, ****, € Source: ****

The table below shows the cost of installing different types of ventilation systems in Spain.

Type of installation Price Square meters Installing a natural ventilation system in a dwelling. **** € *** m* Install an anti-condensation forced ventilation system in a home. **** € *** m* install a mechanical ventilation system in offices. **** € *** m* Installation of a double-flow ventilation system with heat recovery in a sports hall. **** € *** m* Install a mechanical ventilation system in a bedroom. **** € ** m*

Source: ****

The following graph shows the average price of a heat pump in Spain:

Average price of a heat pump Spain, ****, euros Source: ****

4.3 Supply trends

The incorporation of home automation tools into HVAC systems is one of today's leading technological innovations. These tools enable better control of energy consumption, always with a view to achieving greater savings and energy efficiency.

Efitherma, for example, offers to incorporate this type of system into its heat pumps. Features of Efitherma's Termostato Inteligente TST include :

Touch panel : Incorporation of a touch interface for quick and easy control of the machine, offering an intuitive user experience. Complete heat pump control: The TST can control not only domestic hot water (***) and heating, but also the conversion units, enhancing energy efficiency and user comfort. Inverter technology: Incorporates inverter technology for more precise control and improved energy efficiency. Integration with SmartGate Cloud: Uses the SmartGate Cloud platform, offering uninterrupted access and guaranteeing smooth, reliable operation. This integration strengthens customer relationships and generates trust within the company. Real-time communication: Using the MQTT protocol for efficient real-time communication with other devices, such as smartphones and servers. Dedicated apps for iOS and Android: Provides dedicated apps for iOS and Android devices, enabling users to control their heating and heat pump system from anywhere. EFI SmartApp with advanced features: The EFI SmartApp offers advanced features such as customizable ...

5.1 Regulations

New for ****:

The Energy Efficiency Directive, revised and published in the Official Journal of the European Union in ****, establishes that member states must guarantee a collective reduction in final energy consumption of at least **.*% by ****. It explicitly mentions the need to replace old and inefficient water heaters to improve energy performance. In addition, a comprehensive assessment of heating and cooling is required in National Energy and Climate Plans, including the development of local plans in municipalities with more than **,*** inhabitants. The directive does not set a time limit for the ban on gas boilers, but promotes the gradual reduction in the use of fossil fuels to meet decarbonization targets. Countries have two years to incorporate this legislation into their legal systems.

As for the revision of theF-Gas regulations, several new features have been announced, such as the complete elimination of HFC consumption by **** and the progressive reduction of HFC production rights from ****. The use of fluorinated gases in certain types of heat pumps and air conditioners is banned from ****, with a total ban in **** for other types of system. In addition, from **** it will be illegal to maintain refrigeration equipment using fluorinated gases with a high global warming potential, unless they ...

6.1 Segmentation

The table below shows the ** companies with the highest sales in Spain in the HVAC sector:

• Véolia Groupe
• Carrier Global
• Remica, Sa
• Agefred Slu
• Nordes Ancin, S.a.
• Arce Clima Sistemas Y Aplicaciones Sl
• Socenergy Sl. (Obremo)
• Cofrico Sociedad Limitada
• Valtria
• MANTENIMIENTOS E INSTALACIONES ACLIMAR SL (Aclimar)