Russian water and wastewater market forecast to double by 2017
The Russian water and wastewater market is in full recovery and is predicted to almost double by 2017.
That is the conclusion of a study which found the economic downturn had caused only a 'moderate' impact on the Russian water and wastewater market, which is now recovering well and reached $917.9M in 2010.
It also forecast an annual growth rate of 9.2% from 2010 to 2017, which would be supported by the need for legislative compliance, refurbishment and upgrade demands.
According to consultants Frost & Sullivan, who carried out the research, the market's recovery has also been supported by financial programming, increased private investments in municipal and industrial sectors and the ongoing upgrade of infrastructure.
Frost & Sullivan's research analyst, Paulina Szyplinska, said: "Water supply and wastewater treatment facilities are in most cases outdated and require immediate modernisation, replacement and introduction of modern treatment solutions. Approximately 75% of the infrastructure must be replaced in the next five to ten years."
Currently, sewage sludge incineration is not a commonly used method in Russia, although there are two sludge incineration plants in operation.
However, an increased focus on sludge treatment to sludge volumes, safe storage and incineration is expected in Russia to help large metropolises deal with disposal problems.
Ms Szyplinska concluded that market improvement is partly down to financial aid from international agencies, governmental support in the privatisation of water utilities.
These she said have created growing opportunities for foreign entrants, and made it easier for the Russian water and wastewater treatment sector to develop.
"Increasing interest in the operational and process efficiency of water services, and treatment solutions coupled with a resurgent, diverse and robust industrial sector is driving demand for advanced systems and high-end services.
"This presents a platform of interesting opportunities for market players who are looking at entering or consolidating their position in the Russian water sector", she added.
An on-demand web conference titled "Russian Water Market Outlook: $11bn Pure Water Programme to Fuel Growth" has been organised by Frost & Sullivan to provide water professionals analysis of the market forces, current and emerging trends and future opportunities.