Smart Grid News and Analysis

IoT World Forum 2016
IoT World Forum 2016

Microgrids in Asia Pacific Will Reach Nearly $5.8 Billion in Annual Market Value by 2023

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Several of the most heavily populated countries in the Asia Pacific region, including China, India, Indonesia, and Malaysia, are experiencing unprecedented rates of rural electrification. Meeting the increased demand for both power and grid services across the region will require innovative approaches, including microgrids that are capable of operating in isolation from (or in the absence of) the wider power grid. Click to tweet: According to a new report from Navigant Research, the microgrid market in Asia Pacific will grow from $778 million in 2014 to nearly $5.8 billion in 2023.

“Developed countries in Asia Pacific are actively pursuing community-based and commercial/industrial microgrid projects,” says Peter Asmus, principal research analyst with Navigant Research. “It will take a few years to gather and analyze data on financing models and technology issues from the pilot projects and commercial installations underway today. But there is no question that microgrids will play a vital role in the ongoing economic transformation in the region.”

Each market in Asia Pacific is at a different level of resource development, and the appropriate models for microgrid development vary on a market-by-market basis, according to the report. Developing countries in the region, in particular, face urgent issues related to power supply, including weak central grids, shortages of generation capacity, inefficient distribution systems, and uneconomic state-owned power utilities. Microgrids can help solve each of these challenges.

The report, “Microgrids in Asia Pacific”, analyzes the Asia Pacific market for microgrids in four key segments (commercial/industrial, community/utility, campus/institutional, and remote) and nine key selected countries, including Australia, China, India, Japan, South Korea, Malaysia, Singapore, Indonesia, and the Philippines. The report provides an analysis of the market issues, including case studies, opportunities, and implementation challenges, associated with microgrids. Market forecasts for capacity and revenue, broken out by segment and country, extend through 2023. The report also examines the main technologies related to microgrids, identifies major microgrid developments, and profiles key market players. An Executive Summary of the report is available for free download on the Navigant Research website.

SOURCE: Navigant Research