Electric Power Distribution Automation Systems Market Analysis By Implementation (Substation Automation, Feeder Automation, Consumer Side Automation), By Application, By Region And Segment Forecasts, 2018 - 2025

Report Overview

The global electric power distribution automation systems market size was valued at USD 13.46 billion in 2015 and is expected to grow at a compound annual growth rate (CAGR) of 6.2% from 2018 to 2025. The growing electricity demand from commercial units such as hotels, hospitals, data centers, and offices is also anticipated to trigger the adoption of distributed automation solutions to avert power outages at these places.

China electric power distribution automation systems market by application, 2014 - 2025 ($Million)

The rapid advancement in process automation and large investment in energy verticals, such as oil & gas, are the key factors driving industry growth. The U.S. market is expected to witness a steady demand over the forecast period owing to the country’s plan to refurbish and improve its existing power infrastructure.

Implementation Insights

Substation automation accounted for a significant market share in 2015 and is projected to remain the highest growing segment. The energy and power utilities are extremely focused on minimizing distribution and transmission losses, which has resulted in the increasing deployment of substation automation, thus driving the market growth.

Upcoming technologies for decreasing power outages and increasing efficiency of the existing distribution system are continuously encouraging the requirement for automation of distribution feeders. Hence, private distribution utilities & service providers, governments, and equipment manufacturers are trying to incorporate their prevailing technologies and develop novel ones comprehensively through R&D so as to decline power failures and levy the effect of utilizing automated distribution feeder systems.

Application Insights

The industrial application segment accounted for the largest market share in 2015. This is accredited to the rising need for installing distribution automation systems in utilities across the globe to enhance grid efficiency. The rising demand for electric power distribution automation systems in industrial sectors such as utilities, marine, oil & gas, and mining & minerals is projected to spur the distribution automation systems market growth over the forecast period.

Electric power distribution automation systems by application, 2015 (%)

The need to replace old transmission and distribution power infrastructure is driving the demand for electricity utilities across the Asia Pacific region to strengthen their power infrastructure. Plans for setting up smart cities in countries such as China and India are projected to spur the demand for the incessant supply of electricity. Furthermore, the growing population, changing lifestyle, and increasing disposable income in developing countries have led to the purchase of more houses, thereby spurring electricity demand.

Regional Insights

North America held the largest market share in 2015 and accounted for over 30% of the revenue share. However, Asia Pacific is projected to be the fastest-growing market and is anticipated to grow at a CAGR of over 6.0% from 2016 to 2025. The rise in the number of manufacturing facilities, coupled with the surging expansion of the industrial sector in the Asia Pacific, is expected to fuel the electric power distribution automation systems demand.

Furthermore, the growing importance of automation across several end-use industries is anticipated to spur demand in the near future. Owing to the benefits offered by distribution automation products, Latin America and the Middle East & Africa are also expected to make huge investments in the market.

Key Companies & Market Share Insights

The market is characterized by intense competition with the presence of a few major global players holding a significant market share. Moreover, the industry is witnessing consolidation between the key purveyors. For instance, in 2015, GE acquired the power assets of Alstom to transform its industrial business. At present, the industry is dominated by a few global players, such as ABB Ltd., Eaton Corporation, General Electric, Itron, Inc., Schneider Electric, SEL, and Siemens AG.

Recent Developments

• In June 2023, Eaton collaborated with FMX. This collaboration was aimed to provide industrial and commercial customers with smart predictive electrical repair, enhanced productivity, compliance with updated standards, and intelligent equipment monitoring.

• In January 2023, Itron announced the expansion of Distributed Intelligence. The new DI network interface card (NIC) enhances grid analysis and decision-making by allowing the integration of distributed energy resources such as electric vehicles and solar low-voltage networks.

• In May 2023, SEl introduced the 3U form factor for the SEL-3350 computing platform. The latest 3U form factor provides 48 RJ45 EIA-232 ports, 24 digital I/O inputs, 8 outputs, and redundant hot-swappable power supplies.

Electric Power Distribution Automation Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth on global, regional, and country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the electric power distribution automation systems market on the basis of implementation, application, and region:

• Implementation Outlook (Revenue, USD Billion; 2014 - 2025)

  • Substation automation

  • Feeder automation

  • Consumer side automation  

• Application Outlook (Revenue, USD Billion; 2014 - 2025)

  • Industrial

  • Commercial

  • Residential

• Regional Outlook (Revenue, USD Billion; 2014 - 2025)

  • North America

    • The U.S.

    • Canada

  • Europe

    • The U.K.

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa (MEA)