Governments are specifying the use of explosion proof equipment to protect the environment against industrial risks such as oil and gas exploration, according to a new market research report.
A publication from WiseGuyReports cites environmental concerns as a key driver of growth in the global market for explosion proof equipment between 2015 and 2020.
The analyst forecasts a compound annual growth rate of 8.23% during the half-decade, taking the worldwide market for ex equipment from $4.13 billion to $6.13 billion.
“Preservation of the environment is a high priority concern and the governments recognise this issue,” the report states. “This has resulted in the implementation of government regulations particularly in the oil and gas exploration industry.
“Although the major markets for explosion proof equipment are the mining and oil & gas industries, it has also found applications in fields like aerospace, construction, and other industries.”
Governments play an important role in shaping the future of the explosion proof equipment market, as they set the regulations by which it is certified for use.
This can be seen in the reactive tightening of regulations in response to major mining incidents and so on, where government and industry groups may look to ex equipment to ensure such incidents cannot happen again in the future.