Microgrid Market size to exceed $33bn by 2027
Published Date: June 10, 2021 Authors: Ankit Gupta, Riya Gupta
Microgrid Market size is projected to surpass USD 33 Billion by 2027, as reported in the latest study by Global Market Insights Inc.
Microgrid industry share is estimated to observe a substantial upsurge on account of grid modernization along with expansion of decentralized grid. Ongoing renewable energy integration coupled with rising carbon free electricity demand will further sway the industry dynamics. Regulatory norms as well as government mandates to deploy energy efficient smart electrical structure in line with increasing investments toward establishment of off-grid infrastructure will fuel the business scenario.
Ongoing construction activities to fulfill the ongoing commercialization and industrialization will drive the industry dynamics
The DC microgrid market in 2020 exceeded annual capacity of 780 MW. Ability of these systems to provide quick fault clearance facility along with the rising demand for high voltage direct current (HVDC) systems will propel the product deployment. Increasing DC loads across the grid favors the deployment of this technology. High system efficiency, lower cost and minimal requirement of power electronic converters will enhance the industry outlook. Favorable regulatory and customer outlook toward the extension of HVDC lines will fuel the demand for productive microgrid systems.
Browse key industry insights spread across 490 pages with 803 market data tables & 35 figures & charts from the report, “Microgrid Market Statistics By Connectivity (Grid Connected, Off Grid), Grid Type (AC Microgrid, DC Microgrid, Hybrid), Source (Diesel Generators, Natural Gas, Solar PV, CHP), Storage Device (Lithium-Ion, Lead Acid, Flow Batteries, Flywheel), Application (Healthcare, Educational Institutes, Military, Utility, Industrial/Commercial, Remote), Industry Analysis Report, Regional Outlook, Application Potential, Competitive Market Share & Forecast, 2021 – 2027” in detail along with the table of contents:
Expansion of mining sector along with integration of advanced and effective sustainable sources will sway the technology demand.
Microgrid market across the utility sector will witness growth on account of growing inclination toward sustainable power sources along with to achieve the carbon emission targets. For instance, in October 2019, Siemens entered into a partnership with JUWI for the development and expansion of microgrids across the mining sector. Both the companies are aiming toward continuous development of advanced & innovative microgrid control systems, enabling the continuous integration of power from renewable energy to off-grid power supply of a mine. In addition, ongoing strategic growth ventures by major players to install the renewable powered sources across the mining sector and enhance the technology by continuous R&D investment will augment the business scenario.
Ongoing technological advancement along with rising development toward storage technologies will foster the microgrid market trends
The lead-acid battery segment is anticipated to witness a moderate CAGR over the forecast time frame owing to the maturing technological implications and developing auxiliary storage technologies. The increasing demand for compact storage units coupled with high energy and power density offerings by its storage counterparts further restrains the product demand. A paradigm shift toward lithium-ion, redox, and efficient hybrid energy storage technologies for grid storage, emergency power, and remote energy management has created an intense competitive scenario across the industry.
Ongoing joint ventures along with strategic collaborations among the players will stimulate the industry dynamics
The U.S. microgrid market is anticipated to register over 25% CAGR through 2027. Rising demand for refurbishment and replacement of existing electrical networks along with growing requirement of grid modernization will foster the business landscape. Increasing investment toward construction of commercial establishments including hospitals, offices and military will drive the industry statistics.
The power sector has seen minimal or no delay in industry due to the impact of COVID-19 pandemic. However, the manufacturing and mining sector have seen some hinderance which has now overcome owing to various government and industry players.
Leading participants in the microgrid market includes Eaton, Siemens, GE, Schneider Electric, Caterpillar, HOMER Energy LLC, Honeywell International Inc., Toshiba Corporation, AMS, Tesla, S&C Electric Company, Hitachi ABB Power Grids, General Microgrids, Spirae, Heila Technologies, Lockheed Martin Corporation and Exelon Corporation