Electronics
Microgrid Market Growth Attributed to Environment Preservation Steps via Renewables
Microgrids are interconnected loads that can either operate in a connected way linked to the main power grid or as a single entity called ‘islanded mode.’ Normal grids are always interconnected and during times of disruption cause issues to the entire community, they are connected to. If any grid fails, all the others are affected, and there is a need for complete repair. Micro-grids are different in this aspect as they can work independently whenever there is a power disruption, thus preventing inconvenience to the receivers.
Microgrids can be charged through renewable and non-renewable resources both. They can run on renewable energy resources (RES) acquired by solar panels, thus conserving the environment at the same time. Micro-grid allows the community to be completely energy independent, and not rely on traditional electricity sources which can fail at any given time.
According to the analyst at IndustryARC, the microgrid market is set to grow at a healthy CAGR of 12% during the forecast period of 2019 to 2025. As of 2018, the global microgrid market size is estimated to be nearly $20 billion. The report is titled “Microgrid Market: By Grid Type (Grid-Connected, Remote/ Island, Hybrid); By Component (Generation, Switch Gear, Controls, Cables, Software & Services); By Vertical (Government & Education, Residential & Commercial and others) & By Region - Forecast(2019 - 2025).”
Global Microgrid Market: Demand Analysis and Recent Developments
According to IndustryARC, the Americas will lead the global microgrid market. This should not come as a surprise as America’s energy requirement is immense. In 2017, total U.S. primary energy consumption was equal to about 97.7 quadrillions according to US Energy Information Administration. The key players in microgrid market according to our analyst are ABB Ltd, Eaton Corporation PLC, General Electric, Siemens AG, Exelon Corporation, Honeywell Corporation, Homer Energy, S&C Electric, Schneider Electric, and Power Analytics.
Micro-grids have become increasingly popular in recent times owing to their multi-functionality. There are several disruptive trends in the market, some of which are:
- Most of the companies are running 24/7 and need a good, reliable power source that can help them retain backup. Overdependence on a single grid can lead to complete power failure sometimes, which is why the presence of micro-grid is necessary. Companies rely on micro-grid as it is an independent power source which conserves the environment at the same time by providing renewable electricity.
- Micro-grids work incredibly well during disasters. In the USA, after 2012 Hurricane Sandy wiped away most of the energy resources, New York was able to sustain power through micro-grid. This led them to build a division of micro-grids which could help save the country during other natural or man-made disasters.
- Micro-grids are also handy in military installations. Shipyards regularly struggle with power disruptions which result in complete blackouts. Micro-grids are the solution for this inconvenience as they can retain power and energy for longer periods of time.
