Power System Simulator Market Size & Share, by Deployment Mode (Cloud-Based, On-Premise); Offering; End user; Grid Type; Application; Module - Global Supply & Demand Analysis, Growth Forecasts, and Statistical Report 2026-2035

Power System Simulator Market - Regional Analysis

APAC Market Insights

The Asia Pacific in the power system simulator market is anticipated to garner the largest share of 38.5% by the end of 2035. The market’s upliftment in the region is primarily attributed to the heavy industrial modernization, strong renewable energy targets, and a huge demand growth for electricity. In addition, the presence of national net-zero commitments, such as India’s 2070 target and China’s 2060 objectives, has mandated unprecedented renewable integration into often-strained grids, smart power infrastructure, and rapid urbanization that demands reliability. According to an article published by the IEA Organization in September 2025, there has been a surge in the electricity demand in the overall region by over 7% as of 2024, which is almost double the international average, and is expected to further double by the end of 2050. Moreover, Southeast Asia specifically comprises approximately 20 terawatts of wind potential and untapped solar power, which is equivalent to almost 55 times the overall region’s present power capacity.

China in the power system simulator market is growing significantly due to the state-driven pace and sheer scale of its energy transition, which is encapsulated in the National Development and Reform Commission (NDRC)'s 14th Five-Year Plan for Modern Energy System. As per an article published by Climate Cooperation China in June 2022, the NDRC plan has set a 2025 target for the successful renewable electricity production of 33%, along with 18% for non-hydro renewable energy, in comparison to 28.8% of the renewable share and 11.4% for non-hydro in past years. In addition, the share of solar and wind electricity is further expected to increase by 1.4% by the end of 2030, making up almost 26% of the total power consumption. Therefore, this is rapid that the 13th FYP period, wherein the combined share of solar and wind, which grew from 5% to 10%, thus bolstering the power system simulator market’s demand.

India in the power system simulator market is also growing, owing to the acute grid modernization and explosive renewable energy ambitious needs. According to an article published by the Minister of Power in September 2023, the country’s government is set to gain 50% of the cumulative electric power installed electric power capacity from non-fossil fuel-driven energy resources by the end of 2030. Based on this target, transmission schemes are constituted for integrating 66.5 GW of renewable generation across different states, such as Tamil Nadu, Andhra Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Gujarat, and Rajasthan. Besides, almost 33.3 GW of renewable generation is projected to be integrated into the ISTS grid, primarily through margins at different existing construction. Moreover, the continuous power transmission parts import and export from the country is also fueling the power system simulator market.

Power Transmission Parts Import and Export from India (2023)

Source: OEC

Europe Market Insights

Europe in the power system simulator market is expected to emerge as the fastest-growing region during the forecast period. The market’s development is highly propelled by the complicated administrative landscape, which is gradually driving the sophisticated demand. In addition, the Europe Green Deal, along with the REPowerEU Plan, has mandated an increase and secure transition from fossil fuels. According to an article published by the Strategic Energy Europe in July 2025, the Europe Commission estimated that €584 billion is projected to be provided for grid investment by the end of 2030, while the Europe Court of Auditors projects that will be offered between €1.99 trillion and €2.29 trillion by the end of 2050. Besides, as per an article published by the UK Government in February 2024, the Net Zero Hydrogen Fund (NZHF), which is worth £240 million, is extremely suitable for deployment and development of the newest low-carbon hydrogen production to diminish lifetime expenses and de-risk investments.

Germany in the power system simulator market is gaining increased traction, owing to the unparalleled investment in hydrogen infrastructure and the presence of the massive energy transition industrial base. As per a report published by the U.S.-Germany Climate and Energy Partnership in June 2023, it is expected to increase the 2030 domestic electrolysis capacity target from 5 GW to almost 10 GW. This is possible by establishing diverse hydrogen supply, establishing sustainability standards, combating newest dependencies, and emerging as the technological partner for exporting nations. Besides, the 95 TWh to 130 TWh hydrogen demand has been targeted to be achieved by 2030, out of which 50% 70% are required to be met by imports from international nations, thereby denoting an optimistic outlook for the overall market’s growth as well as expansion in the country.

Spain in the power system simulator market is also developing due to the strong renewable energy rollout and corresponding grid modernization strategies. As per an article published by the ITA in July 2024, there has been a rise in temperatures, accounting for 3.5 degrees Celsius, as well as 2.7 degrees Celsius in minimum temperatures, particularly in the country’s main cities. Besides, the domestic Climate Change and Energy Transition Law has aimed for a 100% renewable electricity system, outlining the country’s long-lasting objective of gaining a decarbonized economy and climate neutrality by the end of 2050. In addition, 2030 targets comprise a 32% reduction in greenhouse gas emissions, leading to achieving 42% of renewable energy in finalized consumption, along with 74% of renewable electricity generation, thus proliferating the power system simulator market’s exposure.

North America Market Insights

North America in the power system simulator market is projected to witness considerable growth by the end of the stipulated period. The market’s growth in the region is highly driven by investment tailwinds, as well as the presence of the unparalleled regulatory system. For instance, according to an article published by the U.S. Department of Energy (DOE) in December 2024, the administrative body’s Office of Electricity (OE) declared the selection of 9 projects, which received USD 20 million through the Flexible Innovative Transformer Technologies (FITT) funding opportunity. The purpose is to make advancements in key components for assisting in modernizing the overall region’s grid. OE also notified that 8 projects of the Silicon Carbide (SiC) Packaging Prize Phase 1 to achieve USD 50,000 each. Besides, the overall USD 2.2 million funding is considered part of the America-Made Challenges Program, which fosters collaboration between the region’s innovators and entrepreneurs.

The U.S. in the power system simulator market is gaining increased exposure, owing to clean energy strategies, federal budget allocation, along with the presence of specific programs for driving the simulator demand. As per an article published by the World Resources Institute in March 2024, the U.S. Department of Energy (DOE) notified almost USD 6 billion of projects to effectively catalyze greenhouse gas reductions, particularly in energy-intensive heavy industries. In addition, the administrative body’s Office of Clean Energy Demonstrations (OCED) announced 33 commercial-scale projects across 20 states in the country, to significantly demonstrate the commercial and technical viability of decarbonization technologies. Therefore, with such investments and project availability, there is a huge growth opportunity as well as increased demand for the power system simulator market.

Canada in the power system simulator market is also growing due to the industrial decarbonization and electrification of resource industries, interprovincial transmission, national grid modernization, processing capacity, critical minerals strategy, hydrogen economy development, and the adoption of cybersecurity and CSA/NEE standards. As stated in the November 2024 Office of the Auditor General of Canada report, the federal budget generously allocated almost USD 3.8 billion for more than 8 years. The objective is to support the successful implementation of the Canada Critical Minerals Strategy. The strategy’s vision focuses on increasing the supply of sourced critical minerals and providing support in developing value chains of global and domestic critical minerals for a digitalized and green economy, thus bolstering the power system simulator market’s growth.