The global smart grid network market is estimated to grow at a CAGR of ~10% over the forecast period, i.e., 2022 – 2030. The growth of the market can be attributed to growing adoption of smart grids and smart meters globally, backed by the changing dynamics of global power sector. The increasing consumption of electricity, amongst various end-users, has led to the rise in demand for smart grids. Smart grid network provides the user with a two-way connection with the service, through internet and cloud-computing, which is estimated to act as the primary growth factor for the market. Smart grid network provides effective transmission, and fast restoration of electricity, reduced management costs, and transparent record of energy utilization. The growing investment in the smart grid infrastructure is estimated to fuel the market growth. According to the data provided by the International Energy Agency, USD 18 billion were invested in the smart grid infrastructure, while USD 21 billion was spent for installation of smart meters, in 2019. Moreover, adoption of smart grid network is estimated to cut down a significant amount of power theft in the residential and commercial sector. Furthermore, the global shift towards renewable sources of energy, and rising concerns for energy conservation, are estimated to boost the market growth.
The market is segmented by application into transmission, smart distribution board, advanced metering infrastructure, and others, out of which, the advanced metering infrastructure segment is anticipated to hold the notable share in the global smart grid network market over the forecast period on account of the use of advanced metering infrastructure to measure, collect, and analyze energy usage. It acts as the network between the measurement device and user, which can be used to track energy consumption and optimize utilization. This is estimated to boost the segment growth. CLICK TO DOWNLOAD SAMPLE REPORT
In 2018, the world’s total energy supply was 14282 Mtoe, wherein the highest share in terms of source was captured by oil, accounting for 31.6%, followed by coal (26.9%), natural gas (22.8%), biofuels and waste (9.3%), nuclear (4.9%), hydro (2.5%), and other (2.0%). Where there was an increase in energy demand in 2018, the year 2019 witnessed slow growth as the energy efficiency improved owing to decline in the demand for cooling and heating. However, in 2020, the electricity demand decreased by 2.5% in the first quarter of 2020 due to the outbreak of Coronavirus resulting in government-imposed shutdowns in order to limit the spread of the virus, which was further followed by shutdown of numerous business operations impacting their growth. This also resulted in decline of 5.8% in the worldwide CO2 emissions which was recorded to be five times larger than the one recorded during the global financial crisis in 2009. However, in 2021, the demand for oil, gas and coal is estimated to witness growth, which is further projected to create opportunities for market growth. Moreover, rising environment degradation and awareness related to climate change is motivating many key players to employ sustainable energy strategies and invest significantly in environment-friendly power generation technologies with an aim to promote sustainable development among various nations around the world. Such factors are anticipated to promote the growth of the market in upcoming years.
On the basis of geographical analysis, the global smart grid network market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and Middle East & Africa region. The market in Asia Pacific region is estimated to experience the highest CAGR during the forecast period on the back of evolving energy infrastructure, backed by the growing industrialization in developing countries. The growing demand for smart grids and smart electric meters to optimize energy utilization, along with the initiatives to promote the use of renewable is projected to promote market growth in the region.
The market in the North America region currently holds the largest market share and is anticipated to lead the market share throughout the forecast period owing to the escalating adoption of smart grids in the region and rising environmental awareness amongst the people. Moreover, increasing industrial development is raising the demand for power. This is another crucial factor expected to boost the market growth in the region.
The global smart grid network market is further classified on the basis of region as follows:
Our in-depth analysis of the global smart grid network market includes the following segments:
FREQUENTLY ASKED QUESTIONS
Increased adoption of smart grids and meters and need for energy utility optimization to drive the market growth.
The market is anticipated to attain a CAGR of ~10% over the forecast period, i.e., 2022 – 2030.
Lack of awareness and slow adoption process of smart grids are estimated to hamper the market growth.
Asia Pacific market is estimated to provide most growth opportunities during the forecast period on the back of growing smart grid infrastructure in the region.
The major players in the market are Schneider Electric, The General Electric Company, Siemens AG, Honeywell International Inc., Grid Point, Inc., and others.
The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
The market is segmented by application, service, end-user, and by region.
The industrial segment is anticipated to hold largest market size over the forecast period owing to the growing demand for energy in the industrial sector.
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