Oil Filled Transformer Market Analysis

Oil Filled Transformer Market Analysis

In terms of product, the oil filled transformer market value from distribution segment recorded over USD 17 billion in 2022. This type of transformer is a very important equipment that allows the delivery of electricity with a high degree of capillarity. It is used to distribute electrical energy in industries with lower voltages for domestic purposes. The ever-increasing demand for energy has pressurized transmission system operators across the globe to enhance their existing transformation capacities. The future application growth will be driven by a well-matured technology base for diversified applications. Global distribution transformer industry is likely to cross USD 52 Billion by 2030.
 

The two-winding segment held more than 55% of the oil filled transformer market share in 2022. Out of the various advantages of the two-winding transformer units, their automatic switch on or off feature helps in balancing the electricity load demand. These systems are reliable, and the service continuity is ensured when transformers are connected in parallel. The units have gained a substantial penetration across traditional electrical networks owing to rapid functional enhancements and growing technological maturity.
 

In terms of cooling, the ONWF segment accounted for around 32% share of the global oil filled transformer market in 2022. Along with oil cooling, water is pumped through copper tubes in this system, which aids in transformer cooling. It is normally employed in transformers that have capacities in the order of several MVA. The ongoing expansion of the cross-border networks coupled with the introduction of ultra-high power HVDC and HVAC transmission technology to facilitate long distance transmission will foster the product demand.
 

Increasing emphasis on the integration of wide-ranging frequency distribution links along with the growing measures for energy-efficiency will stimulate the product demand. Since oil filled transformers can handle larger loads, they are used in applications requiring higher voltages. The equipment employs dielectric oil to insulate and cool the windings.
 

Oil filled transformer market from the utility application segment is slated to register nearly 6.5% growth rate through 2032. Owing to the effectiveness of dielectric oil in cooling the transformer winding, relatively low temperature insulation materials can be employed in these materials. These benefits make oil immersed transformer fit for use for outdoor installations since oil spills represent a fire threat.
 

Europe oil filled transformer market size is expected to witness over 7% gains through 2032, due to the rising need to refurbish and modernize the region’s aging grid infrastructure. Leading companies are aiming to manufacture transformers which improve grid resiliency by offering flexibility for voltage regulation, fault management, and frequency. In this attempt, General Electric and Prolec GE announced a joint venture with Xignux private sector company to produce the world’s first flexible power transformer in October 2021. North America oil filled transformer industry is likely to cross USD 10.9 Billion by 2027.