Global Digital Substation Market is expected to grow at a CAGR of 7.4% during the forecast period 2022-2030

Increasing adoption of wired to optical communication along with data acquisition, processing systems and substation control can be observed in the global grid infrastructural developments. High degree of standardization, reduction in the risk of cable engineering and electrical hazard, cost effective maintenance and reduction in power outages are some crucial benefits observed due to digitization of substations. Global digital substation market is expected to grow at a CAGR of 7.4% during the forecast period 2022-2030. Operational efficiency, risk mitigation and need for steady energy supply has increased the demand of advanced management tools in the energy sector. Operational efficiency of energy sector companies is determined by their capability to make a steady supply of energy in the cost-effective manner. In order to increase operational efficiency, companies in energy sector rely largely upon effective management of their available resource. Effective utilization of resource that involves the use of utility tools including devices and software’s that automatically regulate the available resource to meet the expected outcomes. 

Browse Full Report At https://www.atlanticmarketresearch.com/digital-substation-market

The advancements in electronics such as miniaturization of electronic components, sensor technology, drop in the prices of communication devices coupled with the advancements in the internet network and introduction of cloud computing led to seamless integration of digital substation into the electric network. The digital substation also has the ability to integrate distributed energy resources a single system and regulate the power efficiently. The grid operators with the growing emphasis on renewable power generation (Distributed energy sources) face the challenge of fluctuations in the electric network. The grid operators require higher levels of control, cost management, responsiveness and safety. The digital substation with the help of accurate real-time data helps to control stability and quickly respond to the changing grid conditions, providing more flexibility and responsiveness in transmission and distribution of electric power. 

Utility leads the industry segment in global digital substation market by capturing largest market share of over 29.7% in 2021. Utility market is anticipated to rise at a highest CAGR of 7.7% during the forecast period. Global utility market comprises the market of digital substation utility in the electric power industry that is engaged in the generation and distribution of electricity for the purpose of sales usually in a regulated market. Digital substation through real time collection of data provides more flexibility to the grid operators to efficiently manage the assets. Growing demand for efficient energy management coupled with the demand for continuous power supply act as major driver for the growth of Utility market. Energy stability and flexibility are essential for the entire power system due to this; demand response is used for distribution. 

Hardware leads the module segment of the global digital substation market by capturing largest market share of over 64% in 2021. Hardware market is anticipated to rise at a highest CAGR of 7.4% during the forecast period. The hardware modules used in digital substation are transmission and distribution of power includes transformers, bus bars, protection devices (such as circuit breaker, protective relays etc.) and various interfacing units. The hardware market is primarily driven by increasing installation of digital substations across the world. Digital substations are increasingly being installed globally owing to the benefits offered by them such as lower operating costs, increased safety, efficient power transmission and distribution etc. compared to traditional substations. 

Asia Pacific leads the global digital substation market by capturing largest market share of over 36.4% in 2021.  Asia Pacific digital substation market is anticipated to grow at highest CAGR of 7.7% during the forecast period of 2022 to 2030. Asia Pacific digital substation market is primarily driven by high investment in the renewable energy coupled with growing demand of electricity. As per The International Energy Agency (U.S.) the primary electricity demand of India, China and Asia is expected to double by 2040; reaching 14,833 terawatt hours (TWh) from 7259 TWh in 2016. Growing electricity demand is a result of growing industrialization, urbanization and improving living standards in the region. With the growth in electricity demand a substantial investment is expected in the energy sector which is likely to create lucrative opportunities for digital substation market. 

Several companies including General Electric (U.S.), Siemens AG (Germany), ABB (Switzerland), Schneider Electric (France) provide solutions in the digital substation market. Major companies are engaged in research and development activities to make their cost effective and for the consumers. Companies are trying to compete with each other by providing the same characteristics and similar price or by similar features at competitive prices. Companies are focusing on new product development, collaborative research and partnering with grid operating companies to explore the full potential of digital substation which is also increasing the competition. Owing to the above-mentioned reasons, the intensity of competitive rivalry is moderate in the digital substation market. However, during the forecast period, the growing installation base of the digital substation and increasing focus of the grid operators on substation automation, the competitive rivalry is expected to intensify even further. 

KEY MARKET MOVEMENTS 

• Global digital substation market is expected to grow at a CAGR of 7.4% during the forecast period 2022-2030.
• Utility leads the industry segment in global digital substation market by capturing largest market share of over 29.7% in 2021. Utility market is anticipated to rise at a highest CAGR of 7.7% during the forecast period.
• Hardware leads the module segment of the global digital substation market by capturing largest market share of over 64% in 2021. Hardware market is anticipated to rise at a highest CAGR of 7.4% during the forecast period.
• Asia Pacific leads the global digital substation market by capturing largest market share of over 36.4% in 2021.  Asia Pacific digital substation market is anticipated to grow at highest CAGR of 7.7% during the forecast period of 2022 to 2030.
• Several companies including General Electric (U.S.), Siemens AG (Germany), ABB (Switzerland), Schneider Electric (France) provide solutions in the digital substation market.
• Major companies are engaged in research and development activities to make their cost effective and for the consumers.
• During the forecast period, the growing installation base of the digital substation and increasing focus of the grid operators on substation automation, the competitive rivalry is expected to intensify even further.