Press Releases

The global microgrid market is anticipated to grow at a rapid pace i.e. 11.6% CAGR during the forecast period owing to rising global demand for clean energy generation and provides a self-sufficient source of power generation during crisis or grid disconnection. Microgrids can be utilised as a backup or supplemental power source for major grids in order to meet end customers' rising electricity demands. The increased need for proper electrification in the emerging economies, rising dissemination of distributed energy resources (DER’s) owing to robust commercial and industrial development, sectors like military & research needs a secure network along with 24*7 power supply which can be offered by microgrids owing to its functioning under Island mode and independent of external power and transmissions, thus foster the industry landscape. Also, cut in transmission losses, robust usage of software among several end-user verticals like commercial, government, industrial, and healthcare so as to manage and control distributed energy resources, integrates weather, and load forecasting will bolster the growth of the market.

The microgrid market refers to the industry involved in the development, deployment, and operation of microgrid systems. A microgrid is a localized electrical system that can operate independently or in conjunction with the main power grid. It consists of distributed energy resources (DERs), such as renewable energy sources, energy storage systems, and controllable loads, integrated with advanced control and management systems.

Here are key aspects of the microgrid market:

Components of a Microgrid: A microgrid typically includes various components, including power generation sources (solar, wind, hydro, diesel generators, etc.), energy storage systems (batteries, flywheels, etc.), power conversion systems, distribution infrastructure, control systems, and monitoring and management software.

Grid Independence and Resiliency: Microgrids offer the ability to operate independently from the main grid, or they can be connected and operated in a grid-connected mode. They provide localized power generation and distribution, which improves energy resiliency, reliability, and the ability to withstand and recover from grid disruptions or outages.

Renewable Energy Integration: Microgrids often incorporate renewable energy sources, such as solar and wind power, to reduce reliance on fossil fuels and decrease greenhouse gas emissions. The integration of renewable energy in microgrids helps achieve energy sustainability and contributes to the transition to a cleaner energy future.

Energy Management and Control Systems: Microgrids rely on advanced control and management systems to optimize energy generation, storage, and distribution. These systems use sophisticated algorithms and real-time data to balance supply and demand, manage energy flows, prioritize critical loads, and ensure system stability and efficiency.

Islanding and Grid Support: Microgrids can operate in islanding mode, where they disconnect from the main grid during grid failures or emergencies. They can provide power to critical facilities, such as hospitals, military bases, and remote communities, ensuring continuous operation. Additionally, microgrids can provide grid support services, such as frequency regulation, voltage control, and peak shaving, to improve the overall stability and reliability of the main grid.

Industrial and Commercial Applications: Microgrids find applications in various sectors, including commercial buildings, industrial complexes, campuses, military installations, remote and off-grid communities, and rural electrification projects. They offer benefits such as cost savings, energy independence, load management, and the integration of renewable energy sources.

Policy and Market Drivers: The growth of the microgrid market is driven by factors such as increasing energy demand, grid reliability concerns, the need for clean and resilient energy solutions, government policies promoting renewable energy and energy efficiency, and the declining costs of renewable energy technologies and energy storage.

In October 2021, Eaton, a power management company, and Enel X, the Enel Group's advanced energy services business line, announced that they will collaborate on a second microgrid project in Puerto Rico. The projects will lower demand for regional energy infrastructure, allow Eaton to use more renewable energy in production, and improve Eaton's energy resilience.

The COVID-19 outbreak has substantially impacted the growth of the global microgrid market due to the lack of skilled professional in operating the technology and temporary shutdown of manufacturing unite worldwide.

Browse 80 market data Tables and 50 Figures spread through 300 Pages and in-depth TOC on " Microgrid Market by Offering (Hardware, Software, and Services), by Type (AC Microgrids, DC Microgrids, and Hybrid), by Connectivity (Grid Connected and Off-Grid Connected), by Storage Device (Lithium-Ion, Lead Acid, Flow Batteries, and Flywheel), by Power (Combined Heat & Power (CHP), Solar Photovoltaic, Natural Gas, Fuel Cell, and Diesel), by End Use (Utilities, Commercial & Industrial, Institutes & Campuses, Military, Remote, Government, and Healthcare), and Region - Global Forecast to 2030"

By end use, the remote segment contributes to the largest share in the microgrid market.

The remote segment contributes to the largest share in the global microgrid market owing to increased demand for microgrids for rural electrification, support from government and surging microgrid projects in remote areas. Thus, the increased demand for microgrids in remote areas to transmit power and manage and control distributed energy resources will drive the growth of the segment.

Global Microgrid Market Segmentation Analysis

Segment	Categorization	Leading Category
Offering	Hardware, Software, and Services	Hardware (Largest)
Type	AC Microgrids, DC Microgrids, and Hybrid	AC Microgrids (High CAGR)
Connectivity	Grid Connected and Off-Grid Connected	Grid Connected (Largest)
Storage Device	Lithium-Ion, Lead Acid, Flow Batteries, and Flywheel	Lithium-Ion (High CAGR)
Power	Combined Heat & Power (CHP), Solar Photovoltaic, Natural Gas, Fuel Cell, and Diesel	Combined Heat & Power (CHP) (Largest) Fuel Cell (Fastest)
End Use	Utilities, Commercial & Industrial, Institutes & Campuses, Military, Remote, Government, and Healthcare	Remote (Largest) Commercial & Industrial (High CAGR)
Region	North America, Europe, Asia-Pacific, and Rest of the World	North America (Largest) Asia-Pacific (High CAGR)

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“Asia-Pacific is anticipated to have high CAGR in the Microgrid Market during 2023-2030.”

Asia-Pacific is estimated to have a high CAGR during 2023-2030 owing to increased favorable norms and incentives by several countries so as to increase the adoption of sustainable energy mix globally will propel the growth in the region. Moreover, the need for technology will be fueled by regional carbon emission objectives and an increase in the use of stand-alone power sources.

Some of the major players in the global microgrid market include ABB, Hitachi Energy Ltd., General Electric, Eaton, Siemens, Schneider Electric, Honeywell International Inc., HOMER Energy (Acquired by UL LLC), S&C Electric Company, and General Microgrids.

Scope of the Report

Report Metric	Details
Market Size Available for the Years in the Study	2018–2030
Historical Period	2018–2022
Base Year	2022
Forecast Period	2022–2030
Segments Covered in the Study	Offering, Type, Connectivity, Storage Device, Power, End Use, and Region
Geographies Covered in the Study	North America (U.S., Canada, Mexico), Europe (Germany, U.K., France, Italy, Spain, Russia), Asia-Pacific (China, Japan, India, South Korea), and Rest of the World (Brazil, Saudi Arabia, South Africa, U.A.E.)
Companies Covered in the Study	ABB, Hitachi Energy Ltd., General Electric, Eaton, Siemens, Schneider Electric, Honeywell International Inc., HOMER Energy (Acquired by UL LLC), S&C Electric Company, and General Microgrids

Global Microgrid Market Coverage

Offering Insight and Forecast 2018-2030

• Hardware
• Software
• Services

Type Insight and Forecast 2018-2030

• AC Microgrids
• DC Microgrids
• Hybrid

Connectivity Insight and Forecast 2018-2030

• Grid Connected
• Off-Grid Connected

Storage Device Insight and Forecast 2018-2030

• Lithium-Ion
• Lead Acid
• Flow Batteries
• Flywheel

Power Insight and Forecast 2018-2030

• Combined Heat & Power (CHP)
• Solar Photovoltaic
• Natural Gas
• Fuel Cell
• Diesel

End Use Insight and Forecast 2018-2030

• Utilities
• Commercial & Industrial
• Institutes & Campuses
• Military
• Remote
• Government
• Healthcare

Geographical Segmentation

Microgrid Market by Region

North America

• By Offering
• By Type
• By Connectivity
• By Storage Device
• By Power
• By End Use
• By Country – U.S., Canada, and Mexico

Europe

• By Offering
• By Type
• By Connectivity
• By Storage Device
• By Power
• By End Use
• By Country – Germany, U.K., France, Italy, Spain, Russia, and Rest of Europe

Asia-Pacific (APAC)

• By Offering
• By Type
• By Connectivity
• By Storage Device
• By Power
• By End Use
• By Country – China, Japan, India, South Korea, and Rest of Asia-Pacific

Rest of the World (RoW)

• By Offering
• By Type
• By Connectivity
• By Storage Device
• By Power
• By End Use
• By Country – Brazil, Saudi Arabia, South Africa, U.A.E., and Other Countries