Renewable Based Shunt Reactor Market Size - By Phase (Single Phase, Three Phase), By Insulation (Oil Immersed, Air Core), By Product (Fixed Shunt Reactor, Variable Shunt Reactor), & Forecast, 2023 - 2032

Renewable Based Shunt Reactor Market Size

Renewable Based Shunt Reactor Market was valued at USD 600 million in 2022 and is poised to witness more than 10% CAGR from 2023 to 2032, propelled by the increasing integration of renewable energy sources into power grids. As renewable energy generation, such as wind and solar, continues to expand, there's a growing need to stabilize the grid against voltage fluctuations and power quality issues. Shunt reactors play a crucial role in maintaining grid stability by absorbing reactive power, compensating for the variable nature of renewable energy output.
 

Additionally, government initiatives and policies promoting clean energy adoption further drive the demand for renewable-based shunt reactors, encouraging investments in grid infrastructure to accommodate the rising share of renewable energy. The emphasis on enhancing grid reliability and efficiency, coupled with the environmental benefits associated with renewable energy integration, serves as a significant catalyst propelling the market growth.

COVID-19 Impact

The COVID-19 pandemic initially slowed the renewable based shunt reactor market due to supply chain disruptions and project delays. However, as recovery ensued, the market rebounded driven by increased renewable energy investments post-pandemic. The heightened focus on resilient grid infrastructure, coupled with government stimulus for clean energy projects, accelerated the demand for shunt reactors, especially with the continued expansion of renewable energy installations worldwide.
 

Renewable Based Shunt Reactor Market Trends

Recent trends in the renewable-based shunt reactor industry highlight a shift towards enhanced grid stability and efficiency in tandem with the exponential growth of renewable energy installations. There's a notable surge in demand for shunt reactors due to the intermittent nature of renewable sources like solar and wind, necessitating effective voltage regulation and power quality management. Innovations in shunt reactor technologies, focusing on improved efficiency and scalability, are gaining traction to accommodate varying power flows from renewables. Additionally, market players are increasingly emphasizing environmentally sustainable solutions, aligning with the overall green energy transition, which is shaping the trajectory of the renewable based shunt reactor industry.
 

Renewable Based Shunt Reactor Market Analysis

The three-phase shunt reactors market is projected to witness about 10.5% growth rate through  2032. With the increasing integration of renewable energy sources like wind and solar into power grids, the demand for stabilizing equipment such as shunt reactors has soared. These reactors play a crucial role in managing voltage fluctuations caused by intermittent renewable energy generation, thus ensuring grid stability. Moreover, as countries globally invest in grid modernization efforts to accommodate renewable energy, shunt reactors emerge as essential components for maintaining optimal voltage levels.
 

The oil-immersed shunt reactor surpassed USD 380 million in 2022 and is forecasted to reach USD 1 billion by 2032. The renewable based shunt reactor market has been experiencing a robust growth trajectory, gradually outpacing the dominance of oil-immersed shunt reactors. This transition is largely propelled by the global shift towards sustainable energy sources and the escalating demand for renewable power generation systems. Factors such as environmental concerns, government initiatives promoting clean energy, and technological advancements in renewable energy infrastructure have significantly boosted the adoption of renewable-based shunt reactors.
 

The variable shunt reactors market size crossed USD 250 million in 2022 and is anticipated to showcase more than 11% CAGR up to 2032. As renewable energy integration increases, the grid faces fluctuations due to the intermittency of sources like wind and solar. Variable shunt reactors play a pivotal role in stabilizing voltage levels and managing reactive power flow, ensuring grid stability amid these fluctuations. Their capability to swiftly respond to varying load conditions, coupled with advancements in technology enabling more efficient and adaptable designs, has spurred their adoption.
 

Asia Pacific renewable based shunt reactor market is poised to attain 10.5% CAGR from 2023 to 2032. Driven by the escalating adoption of renewable energy sources across the continent. Countries in Asia Pacific, such as China, India, Japan, and South Korea, are aggressively transitioning toward renewable energy to address environmental concerns and meet their escalating energy demands. This rapid integration of renewable sources like solar and wind power necessitates sophisticated grid infrastructure to manage intermittency issues and ensure stability. The pressing need for grid stability and the increasing emphasis on renewable energy adoption are significant drivers propelling the market growth.
 

Renewable Based Shunt Reactor Market Share

General Electric (GE) dominates the renewable based shunt reactor business with a major market share attributed to its innovative technologies and comprehensive solutions. GE's robust product portfolio, incorporating advanced variable shunt reactor designs tailored for renewable energy integration, has positioned the company as a frontrunner in the sector. Leveraging its expertise in grid solutions and renewable energy, GE offers tailored shunt reactor solutions that efficiently manage voltage fluctuations and reactive power flow, meeting the evolving demands of grid stability amidst the increasing adoption of renewable energy sources worldwide.
 

Some of the key market players operating across the renewable based shunt reactor industry are:

• GE
• Siemens Energy
• Toshiba Energy Systems & Solutions Corporation
• CG Power & Industrial Solutions Ltd.
• Hitachi Energy Ltd.
• HYOSUNG  HEAVY  INDUSTRIES
• TMC TRANSFORMERS MANUFACTURING COMPANY
• NISSIN ELECTRIC Co.,Ltd.
• Fuji Electric Co., Ltd.
• GBE S.p.A
• WEG
• SGB SMIT
• GETRA S.p.A.
• Shrihans Electricals Pvt. Ltd.
   

Renewable Based Shunt Reactor Industry News

• In November 2021, Siemens announced its achievement in obtaining a supply contract for seven reactors, partnering with Konstant Net, N1, and Nord Energi, key energy solution providers in Europe. This collaboration secured a successful bid to supply Energinet's 60 kV networks with Siemens-produced shunt reactors, addressing reactive power challenges within these grids. This supply deal is set to strengthen Siemens' product visibility in Europe, driving the company's expansion of market presence throughout the region.
   

This renewable based shunt reactor market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Million from 2019 to 2032, for the following segments:

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Market, By Phase

• Single phase
• Three phase

Market, By Insulation

• Oil immersed
• Air core

Market, By Product

• Fixed
• Variable

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
• Latin America
  • Brazil
  • Argentina