North America Microgrid Market trends are speculated to be propelled by 2030 end. Increasing investment in sustainable energy technologies and deployment of distributed generating technologies would augment the market progression.
Additionally, mounting concerns around emissions and introduction to national emission targets across the region would further influence the industry scenario over 2022-2030. In 2021, the US President announced a new target for the nation to accomplish a 50% to 52% reduction from 2005 levels in net GHG pollution in 2030.
Overall, the North America microgrid market is bifurcated into connectivity, grid type, power source, storage devices, application, and regions.
In terms of grid type, the hybrid microgrids are foreseen to depict notable growth rate between 2022-2030. Factors like high efficiency, low operating cost, and reliability are favoring the segmental growth. Moreover, ease of compatibility with both AC and DC microgrid and surging demand for effective distributed generation technologies would impel the market demand.
Based on the power source, solar PV microgrid market across North America is projected to amass considerable returns through 2030. This could be credited to the rising solar PV microgrid deployment across remote and off grid areas, in line with shifting trends to reduce resiliency on diesel. Favorable regulatory policies such as tax rebates, subsidies, and investment tax credits have supported the product demand.
Considering the application spectrum, microgrids are estimated to observe crucial growth across military applications. Burgeoning demand for stable electricity supply and a rising need for cyber security would bolster the product adoption. In addition, rising need for power backups by integrating Solar PV with energy storage would expand the business prospects.
In contrary, hefty investments in development of off-grid electricity network would impel the product deployment across remote areas. The remote application segment captured a business share of more than 50% in 2021. Promising regulatory policies to deliver electricity at remote locations would further stimulate the industry outlook during 2022-2030.
Geographically, the United States microgrid market would expand exponentially through 2030 subject to the increasing focus toward public utility distribution microgrids and substantial growth of investor-owned utility projects. The regional power sector has been transitioning from a centralized system toward a distributed system, generating lucrative opportunities for the market players. Smart technologies have offered high reliability, flexibility, and choice along with their energy supply and cost management.
Industry behemoths such as Eaton, General Electric, ABB, Caterpillar, Honeywell International, Inc., Hitachi Energy Ltd, Siemens, and others, are focusing on inorganic growth ventures including acquisitions, partnerships, and product launches to score an edge in the marketplace.