“The volt/VAr management market is projected to grow at a CAGR of 5.9%, from 2019 to 2024.”
The volt/VAr management market is projected to reach USD 568 million by 2024 from an estimated USD 427 million in 2019, at a CAGR of 5.9%. The need to reduce distribution losses & operational costs to optimize power factor, the increasing complexity of distributed energy generation, and the rising demand for electricity are driving the market across the world. High initial costs for the deployment of volt/VAr management is a restraint for the market.
“The distribution segment, by application, is expected to be the fastest growing market from 2019 to 2024.”
The distribution segment is expected to dominate the volt/VAr management market during the forecast period. The rise in the deployment of smart grids and a need to reduce power outages & faults in distribution feeders are the primary drivers of the distribution segment of the volt/VAr management market. North America is expected to be the largest and the fastest-growing distribution volt/VAr management market.
“The hardware segment, by component, is expected to be the largest market from 2019 to 2024.”
The hardware segment is expected to hold the largest market share during the forecast period. This segment is expected to grow at a steady pace due to the need for efficient power generation and flow operations by integrating volt/VAr optimization, substation automation, advanced distribution management, and fault detection.
“Electric utility is expected to be the largest end-user segment of the market from 2019 to 2024.”
Electric utility accounted to be the largest market for Volt/VAr management as the service helps utilities in providing the appropriate voltage to end-consumers at optimal power factor to minimize losses. The power demand is expected to increase significantly in economies such as China, India, and the US, which is expected to boost the demand for volt/VAr management during the forecast period.
“North America: The key market for volt/VAr management.”
North America is the largest market for volt/VAr management, followed by Europe. Reducing power losses would lead to an increase in investments in volt/VAr management. This will also boost the demand for volt/VAr management in North America. The US and Canada are expected to grow at a fast pace during the forecast period.
Breakdown of Primaries:
In-depth interviews have been conducted with various key industry participants, subject-matter experts, C-level executives of key market players, and industry consultants, among other experts, to obtain and verify critical qualitative and quantitative information, as well as to assess future market prospects.
The distribution of primary interviews is as follows:
- By Company Type: Tier 1- 35%, Tier 2- 28%, Tier 3- 37%
- By Designation: C-Level- 20%, D-Level- 25%, Others- 55%
- By Region: North America- 42%, Europe- 22%, Asia Pacific- 18%, Middle East & Africa- 15%, South America- 3%
Note: Others includes sales managers, marketing managers, product managers, and product engineers.
The tier of the companies is defined based on their total revenue as of 2018. Tier 1: USD 1 billion, Tier 2: From USD 1 billion to USD 500 million, and Tier 3:
The volt/VAr management market is dominated by a few major players that have an extensive regional presence. The leading players in the volt/VAr management market are ABB (Switzerland), Eaton (Ireland), GE (US), Schneider (France), Siemens (Germany), Landis+Gyr (Switzerland), DVI (US), Open Systems International (US), Utilidata (US), and Varentec (US).
For the purpose of this report, the market has been segmented on the basis of application, component, end-user, and region with a focus on industry analysis (industry trends), market share analysis of top players, and company profiles, which together comprise and evaluate the basic views on the competitive landscape, emerging and high-growth segments of the volt/VAr management market, high-growth regions, and market drivers, restraints, and opportunities.
- The report identifies and addresses key markets for volt/VAr management, which will help various stakeholders such as energy utility companies, government & research organizations, institutional investors, transmissions, distribution, and generation companies, vendors for volt/VAr hardware components, volt/VAr hardware manufacturing companies, and volt/VAr software development companies.
The report helps system providers understand the pulse of the market and provide insights into drivers, restraints, opportunities, and challenges. The report will help key players understand the strategies of their competitors better and help them in making better strategic decisions.