Global Static VAR Compensator (SVC) Market Size Study & Forecast, by Product Type (Thyristor-Based SVC) and by Application (Electric Utility, Industrial, Renewable, Railway, and Oil & Gas) and Regional Forecasts 2025–2035

The Global Static VAR Compensator (SVC) Market is valued approximately at USD 1.66 billion in 2024 and is anticipated to grow at a steady CAGR of around 4.10% over the forecast period 2025–2035. A Static VAR Compensator (SVC) is an integral component of modern power transmission and distribution systems, designed to provide fast-acting reactive power compensation and voltage stabilization. By dynamically controlling the reactive power flow, SVCs enhance grid stability, improve power factor, and mitigate voltage fluctuations—thereby enabling utilities and industries to achieve optimal operational efficiency. The growing penetration of renewable energy sources, such as wind and solar, has led to increasing grid volatility, which in turn has magnified the demand for flexible and reliable compensation solutions like SVCs. Additionally, rapid industrialization, rising electricity consumption, and the global transition toward high-voltage smart grids are collectively driving the growth of this market. The evolution of digital substations and the growing integration of SVCs with FACTS (Flexible AC Transmission Systems) technology have further bolstered market expansion, allowing for real-time grid optimization and enhanced reliability.

As energy systems across the world move toward decentralization, the need for maintaining voltage stability and efficient reactive power management has become paramount. The accelerating demand for renewable energy integration, particularly from wind farms and solar parks, has intensified the reliance on advanced power quality solutions such as SVCs. According to the International Energy Agency (IEA), renewable power capacity is projected to increase by more than 2,400 GW between 2023 and 2030, creating massive opportunities for grid enhancement technologies. Moreover, expanding high-voltage transmission networks in emerging economies, rising electrification in rural areas, and government initiatives promoting grid modernization are expected to create a fertile environment for SVC deployment. Despite these prospects, the high initial installation cost and complex maintenance requirements could pose challenges to market growth. Nevertheless, the shift toward compact, digital, and modular SVC designs offers promising avenues for manufacturers to strengthen their market presence and profitability.

The detailed segments and sub-segments included in the report are:

By Product Type:
• Thyristor-Based SVC

By Application:
• Electric Utility
• Industrial
• Renewable
• Railway
• Oil & Gas

By Region:

North America
• U.S.
• Canada

Europe
• UK
• Germany
• France
• Spain
• Italy
• Rest of Europe

Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• Rest of Asia Pacific

Latin America
• Brazil
• Mexico

Middle East & Africa
• UAE
• Saudi Arabia
• South Africa
• Rest of Middle East & Africa

Electric Utility Segment is Expected to Dominate the Market

Among the various application segments, the electric utility sector is expected to maintain its dominance throughout the forecast period. This segment’s prominence is primarily driven by the increasing demand for stable and efficient power distribution across extensive transmission networks. Electric utilities worldwide are deploying SVC systems to manage reactive power flow, minimize transmission losses, and improve overall grid reliability. The adoption of SVCs has become indispensable in addressing voltage instability caused by fluctuating power loads, particularly in regions with aging grid infrastructure. The ongoing expansion of high-voltage direct current (HVDC) transmission projects and the growing adoption of renewable energy sources further intensify the requirement for reactive power management solutions, securing the electric utility segment’s position as a key revenue generator.

Thyristor-Based SVCs Lead in Revenue Contribution

In terms of product type, Thyristor-Based SVCs currently account for the largest revenue share in the global market. Their widespread adoption stems from their ability to deliver instantaneous response times, high reliability, and efficient voltage regulation under dynamic load conditions. These systems have become the backbone of modern grid stabilization strategies, offering flexible reactive power control in large-scale industrial and utility applications. As industries such as oil and gas, railways, and manufacturing continue to electrify operations, the need for precise and stable voltage control has made Thyristor-Based SVCs the preferred solution. Furthermore, continuous technological advancements in semiconductor components, including the development of high-voltage thyristors and digital control units, are expected to enhance performance efficiency and operational safety, further solidifying this segment’s leadership position in the market.

The key regions considered for the Global Static VAR Compensator (SVC) Market study include North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. North America dominated the market in 2025, supported by a robust grid modernization agenda, high penetration of renewable energy, and the presence of major utility providers investing in reactive power compensation technologies. Europe follows closely, propelled by strong regulatory mandates to reduce power losses and maintain energy efficiency across industrial and renewable sectors. The Asia Pacific region is poised to emerge as the fastest-growing market during the forecast period, driven by rapid industrial expansion, rising electricity consumption, and extensive investments in power infrastructure development in countries like China, India, and Japan. Additionally, government-led initiatives promoting electrification, coupled with increasing renewable power integration, are expected to amplify the deployment of SVC systems across the region.

Major market players included in this report are:
• ABB Ltd.
• General Electric Company
• Siemens Energy AG
• Mitsubishi Electric Corporation
• Hyundai Electric & Energy Systems Co., Ltd.
• Eaton Corporation Plc
• Toshiba Energy Systems & Solutions Corporation
• Raycap Corporation S.A.
• Rongxin Power Electronic Co., Ltd. (RXPE)
• NR Electric Co., Ltd.
• Schneider Electric SE
• American Superconductor Corporation
• Hitachi Energy Ltd.
• Power Electronics Group
• L&T Electrical & Automation

Global Static VAR Compensator (SVC) Market Report Scope:
• Historical Data – 2023, 2024
• Base Year for Estimation – 2024
• Forecast period – 2025–2035
• Report Coverage – Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
• Regional Scope – North America; Europe; Asia Pacific; Latin America; Middle East & Africa

The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values for the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within the countries involved in the study. The report also provides detailed information about crucial aspects, such as driving factors and challenges, which will define the future growth of the market. Additionally, it incorporates potential opportunities in micro-markets for stakeholders to invest, along with a detailed analysis of the competitive landscape and product offerings of key players. The detailed segments and sub-segments of the market are explained below:

Key Takeaways:
• Market Estimates & Forecast for 10 years from 2025 to 2035.
• Annualized revenues and regional-level analysis for each market segment.
• Detailed analysis of the geographical landscape with country-level analysis of major regions.
• Competitive landscape with information on major players in the market.
• Analysis of key business strategies and recommendations on future market approach.
• Analysis of the competitive structure of the market.
• Demand side and supply side analysis of the market.

Please note:The single user license is non-downloadable and non-printable. Global Site license allows these actions. Show more