The market for distribution panels is set to experience commendable growth across 2021-2027 timeframe, with growing need for reliable and efficient power supply technologies. Ongoing investments in upgradation of the existing transmission and distribution infrastructure will augment the market growth.

Distribution panels can be bifurcated into low voltage and medium voltage panels on the basis of voltage. Low voltage distribution panels are expected to witness widespread adoption over the next few years due to growing focus over deployment of energy efficient electrical infrastructure and generate sustainable power output.

Based on the type of mounting, distribution panels can be classified into flush mounted and surface mounted panels. Surface mounting distribution panels are likely to witness a substantial demand in the forthcoming years, powered by the increasing concentration of residential establishments across urban regions.

In terms of the end-user, the distribution panel industry can be segmented into residential, industrial, commercial, and utility sectors. The commercial segment includes offices, college & university, and government & military establishments.

Offices will likely generate a significant demand for distribution panels in the future. Increasing urbanization and growth in urban population is leading to the commercial expansion and construction of new office buildings. The need for reliable and efficient power supply in offices will drive the segment growth.

In August 2020, for instance, Schneider Electric had rolled out the new Galaxy range of remote power panels (RPPs) 250A and 400A (208V) to expand distribution capacity of high-density power for data centers and colocation facilities.

The industrial segment can be further bifurcated into power generation, refinery, chemical, and cement industries. In 2020, the distribution channel market generated nearly USD 300 million in terms of annual revenue from the power generation sector and is likely to grow substantially through 2027.

Renewable energy production, especially solar and wind power generation, is gaining momentum worldwide, creating substantial growth opportunities for distribution panel manufacturers. In April 2021, for instance, Denmark based European Energy and Novo Holdings had announced a new partnership for the construction of new solar and wind farms in Denmark and Sweden. The partnership aims to accelerate the transition to green energy in the two countries.

The collaboration is part of the Danish Climate Act which aims to reduce greenhouse gas emissions in Denmark by up to 70% by the end of 2030. Distribution panel industry share from the refinery segment is set to surpass more than USD 120 million by the end of 2027 worldwide.

Considering the geographical outlook, the market for distribution panels in Latin America is likely to record notable gains over 2021-2027 driven by rapid urbanization in the region and the subsequent expansion of residential and commercial infrastructure.