Switchgear Monitoring System Market size is slated to proliferate over 2021-2027, as a result of the increasing power demand in developing economies, along with the strong focus of the DSOs (distribution system operators) on the safe and secure management of electric distribution networks. As per reliable statistics from the IEA, the level of electricity demand worldwide is expected to increase by 2.1% each year by 2040.
Switchgear is a range of circuit breakers, switches, and fuses used in the electric power system to regulate, control, and switch the circuit off and on, thus safeguarding and isolating the equipment from the power supply. In order to ensure efficient switchgear condition monitoring, manufacturers deploy various software and sensors to ensure real-time monitoring and controlling of the devices outside the arc flash boundary from a safe location.
Mounting developments of data centers worldwide, alongside the robust focus on electric asset reliability and availability to drive operational excellence at multiple levels, are the major trends expediting the switchgear monitoring system market dynamics. Rapid digitalization of society and the economy has led to a massive rise in the amount of data processed or stored, thus resulting in high energy consumptions across the data centers.
With regards to type, the gas insulated switchgear (GIS) segment is set to account for a major market share by 2027, owing to the extensive product usage in the power transmission & distribution systems globally. The segmental growth can also be credited to its enhanced features like durability and compactness.
On the basis of monitoring, the temperature segment will depict a commendable growth rate through 2027, on account of the rapid advances in technology to ensure continuous switchgear temperature monitoring. The technology options that are available for monitoring the switchgear assets include infrared temperature and fiber optic temperature sensors.
Regionally, the Asia Pacific switchgear monitoring system industry will emerge as a lucrative revenue pocket in the upcoming years, which is attributable to the increasing installation of high-load power transmission lines to tackle out-of-control power theft issues and the strong emphasis on making investments towards smart grid infrastructure in emerging countries such as China and India. For example, in 2019, China-based State Grid Corp. developed the world’s longest, ultra-high voltage power line from the far northwest to the densely populated east.
Prominent companies functioning in the switchgear monitoring system market include Koncar, Independent Power Engineering Consultant, SENSeOR, Trafag, Mitsubishi Electric Corporation, Fortive, Emerson Electric, Eaton, Siemens AG, ABB, General Electric, and Schneider Electric, among others. These industry participants are implementing strategies such as M&A and new product launches to expand their business presence across the globe.
For instance, Siemens Smart Infrastructure introduced its 8DJH 24 switchgear, an RMU (ring main unit) with no fluorinated gas content in April 2021, in a bid to reduce the carbon dioxide footprint of the grid operators. Meanwhile, in October 2020, ABB launched its sustainable and reliable gas-insulated switchgear, PrimeGear ZX0, the first of its kind, built on its innovative SF6-free switchgear technology, with an aim to contribute to the green and sustainable future, by allowing users to switch to a greener insulation gas alternative at any point.
The devasting social, economic, and health impacts of the coronavirus pandemic caused a massive decline in business across the industrial sectors. Following its outbreak, several countries reported a considerable reduction in power consumption in both industrial and commercial sectors. Numerous challenges faced by the electric system operators and utilities include irregular consumption patterns, thus creating challenges for switchgear monitoring system market share.
However, the industry has been witnessing a gradual recovery in power demand despite the prevailing coronavirus crisis. The electricity demand in India, for instance, increased 42.5% Y-o-Y to 115.5 billion units in April 2021, owing to the 55.4% growth in thermal power generation. These aforementioned factors, along with the gradual ease of the COVID-19 shutdown, will allow energy operators to indulge in the monitoring of switchgears over the coming years.