Global Smart Transformer Market 2017-2021
About Smart Transformer
Smart transformers, also known as solid-state transformers, control the electric distribution grid. They provide optimized voltage by maintaining the contact with the smart grid to provide feedback about the transformer and power supply through remote administration. Large commercial facilities are increasingly using these transformers, as they cater to the energy needs of the facility efficiently and economically.
In addition, smart transformers act as voltage regulators by instantly responding to the fluctuations. This helps in reducing the consumption of energy without disturbing the optimized voltage and provides optimal power supply to the electrical equipment. Thus, these transformers are increasingly preferred in Point of Common Coupling (PCC) in grids, which helps in protecting the electrical equipment during power fluctuations. Many vendors such as Miracle Electronics offer smart transformers.
Technavio’s analysts forecast the global smart transformer market to grow at a CAGR of 15.25% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global smart transformer market for 2017-2021. To calculate the market size, the report considers the new installations/shipments/sales/volume/value and exclude retrofit/replacement/spares/aftermarket/services market.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Smart Transformer Market 2017-2021
Technavio recognizes the following companies as the key players in the global smart transformer market: ABB, GE, and Siemens
Other Prominent Vendors in the market are: BHEL, CG, Eaton, GRIDBRIDGE, GRIDCO SYSTEMS, Howard Industries, Miracle Electronics Devices, Mitsubishi Electric, Schneider Electric, SPX TRANSFORMER SOLUTIONS, and Varentec.
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is Evolution of smart grids. The rising investment in smart grids in APAC and GCC is currently on the rise because of the increasing demand for electricity in these regions. Though all smart grids do not need be equipped with smart transformers, it is expected that the upcoming smart grids may be equipped with smart transformers to enhance the efficiency. This is expected to fuel the demand for smart transformers.”
According to the report, one of the major drivers for this market is Renewable power generation capacity expansion. In 2014, China and the US each comprised about one-fifth of the global power generation capacity. China's capacity is expected to grow by single digits year-over-year till 2035. Most of the major expansion activities are taking place in renewable energy. Many countries are using renewable sources of energy, such as wind and solar energy, to meet stringent carbon emission goals and minimize the dependency on the depleting fossil resources.
Further, the report states that one of the major factors hindering the growth of this market is High investment needed from a financially weak distribution sector for upgrading networks. The cost of upgrading smart grid systems comprises additional costs, such as the cost of replacement of transmission lines, power delivering systems, substation digitization, distribution systems, and digital controls. Consequently, power utilities and independent power producers (IPPs) are undergoing huge initial capital investments. It is anticipated that the smart grid technology's deployment cost in the US may increase exponentially over the next 20 years. This escalation is expected to stem from aging power infrastructure and the increased need for renewable power grid integration.
ABB, GE, Siemens, BHEL, CG, Eaton, GRIDBRIDGE, GRIDCO SYSTEMS, Howard Industries, Miracle Electronics Devices, Mitsubishi Electric, Schneider Electric, SPX TRANSFORMER SOLUTIONS, and Varentec.
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