Substation Monitoring Market

Global Substation Monitoring Market Size (2024 to 2029)

As per our analysis report, the global substation monitoring market is expected to reach USD 8.82 billion by 2029 from USD 6.15 billion in 2024, growing at a compound annual growth rate (CAGR) of 7.48% during the forecast timeline.

The electrical substations that deliver electricity to our homes and businesses are closely monitored through substation monitoring. Information about things like voltage, current, temperature, etc., is collected using specialized equipment and technology. Then, this data is analyzed to look for errors that might result in interruptions in electricity or other harm. Operators can ensure the smooth functioning of the power system by constantly monitoring substations to detect issues early and take steps to prevent them. Substation monitoring contributes to a more stable, effective, and secure power system.

 Market Drivers

The substation monitoring market demand is being driven by an increase in the demand for reliable power supply and stable power networks. These technologies help with detecting possible problems, avoiding power outages, and ensuring a constant supply of electricity.

Additionally, they help to maintain network reliability and connect renewable energy sources.

Another driver of the market is its cost-saving aspect. By minimizing maintenance and inspection expenses through proactive monitoring, substation monitoring systems contribute to cost savings. They can anticipate when maintenance is required, which enhances functionality and extends the lifespan of the equipment. Substation monitoring systems check that everything is functioning properly and can identify concerns before they become serious. By avoiding costly repairs or replacements, they can save money, which is leading to a boost in substation monitoring market growth.

Advancement in technology is another factor propelling the market shares. Communication technology, sensor technology, etc., are making substation monitoring more sophisticated and more affordable because of this, many customers are adopting such sophisticated monitoring tools to keep watch on their substations.

A more reliable and efficient power supply is being produced by the increased usage of advanced monitoring solutions by substations, which is contributing to increased substation monitoring market size.

A significant opportunity for the market is provided by renewable energy integration with current electrical systems. It's crucial to make sure that renewable energy sources, including solar and wind power, integrate effectively with the current electrical system as demand increases.

Substation monitoring systems can help with this by monitoring the integration of various renewable energy sources and ensuring that everything is operating as expected. Because reliable monitoring systems are needed to monitor the integration of renewable energy sources into the power grid, this presents opportunities for the expansion of substation monitoring market size.

Development of infrastructure and new markets are offering significant opportunities for the market. Due to the growth and ongoing modernization of these regions' power networks, there is ongoing substation monitoring market demand.

To ensure the electrical supply is reliable and effective, monitoring systems are becoming essential, due to which the market demand is increasing.

The market has the opportunity as businesses, especially the electricity sector, become increasingly digitalized. Automation, data analysis, and better connections are being used by utilities to make decisions. As a result, the demand for sophisticated monitoring systems that can deal with these changes grows. This contributes to an increase in the substation monitoring market size.

 Market Restraints

One of the major restraints of the market is the high cost of implementation. Due to the requirement to purchase hardware, sensors, communication systems, and software, implementing a substation monitoring system is very expensive.

This makes it challenging for utilities and other organizations with restricted resources to implement these systems, which is restraining the substation monitoring market growth globally.

Another restraint to the market is integrating these modern substation monitoring systems with the existing infrastructure. Old infrastructure in some power grids and substations makes it difficult for modern substation monitoring systems to function effectively. Making these outdated substations compatible with modern technology for monitoring can be challenging as well as costly, which restricts the substation monitoring market demand.

Impact COVID-19 on the substation monitoring market

COVID-19 significantly impacted on substation monitoring market. The need for substation monitoring systems has been impacted by the pandemic's restrictions and disruptions. Due to issues with supplies, a lack of workers, and budgetary challenges, many projects in various industries were delayed. The market expansion was also impacted by less money and lower investments in infrastructure projects. However, the pandemic made it clear how crucial it is to have remote monitoring and control of substations. As a result, the use of advanced technology and automated systems for substation monitoring became more important, which boosted the substation monitoring market demand during the pandemic.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Substation Monitoring Market Analysis By Component

The hardware segment is anticipated to dominate the substation monitoring market with the largest share during the forecast period. Physical components such as sensors, communication devices, data collection systems, control systems, etc, are included in this segment. These hardware tools are used in substations to measure and keep track of numerous electrical and environmental variables. Due to this substation monitoring, market growth is increasing. However, the software segment is expected to grow at a healthy CAGR in the upcoming years as it includes software for collecting, organizing, and analyzing data from substation monitoring systems.

Global Substation Monitoring Market Analysis By Communication Technology

Wireless communication technology is anticipated to dominate the substation monitoring market during the projected period. Wireless communication provides for remote monitoring and control and real-time data transmission and is perfect for conditions where physical wiring is difficult. It offers flexibility and convenience of installation and uses wireless protocols like Wi-Fi and Bluetooth, which is inducing an increase in substation monitoring market demand. Also, wired communication technology is expected to grow significantly during the forecast period. Owing to its use when high reliability, data integrity, and security are essential for substation monitoring systems.

Global Substation Monitoring Market Analysis By Sector

The distribution segment is anticipated to dominate the substation monitoring market during the projected period. As it is a system for transporting power to end consumers, including facilities for homes, businesses, and industrial use, distribution substation monitoring systems focus on factors including load balancing, power quality, problem finding, and maximizing energy distribution to end users. This is leading to the expansion of market size. Also, the transmission segment is deemed to have significant growth in the upcoming years. In this industry, monitoring systems ensure a stable electricity supply and effective long-distance power transfer.

Global Substation Monitoring Market Analysis By Industry

The transportation segment is anticipated to dominate the substation monitoring market, holding the largest market share during the forecast period. Railways, metros, airports, seaports, and highways are all part of the transportation sector. Here, monitoring systems are used to help with defect identification, continuous power supply, and efficient network functioning, leading to gaining a significant substation monitoring market share. However, the utility segment is expected to grow at the fastest CAGR in the upcoming years. In the utility industry, substation monitoring focuses on preserving an efficient and stable power infrastructure, leading to increasing demand.

Global Substation Monitoring Market Analysis By Region
Asia-Pacific region is leading the substation monitoring market by holding the largest market share, owing to rapid industrial, urban, and infrastructure development in this region. China, India, Japan, South Korea, and Australia are the leading countries in the market, with increasing demand for stable grids, effective power distribution, and upgrading outdated facilities. However, North America is expected to grow significantly during the projected period. The area's power sector is well-established, and it focuses on expanding energy efficiency, improving grid resilience, and providing a steady supply of power, leading to an increase in substation monitoring market demand.

KEY PLAYERS IN THE GLOBAL SUBSTATION MONITORING MARKET

Major Key Players in the Global Substation Monitoring Market are Siemens AG, Schneider Electric, ABB Ltd, Cisco Systems, Inc., General Electric, Eaton Corporation plc, Emerson Electric Company, Sentient Energy, Inc., Schweitzer Engineering Laboratories, Nova Tech Systems, Crompton Greaves, and others.

RECENT HAPPENINGS IN THE MARKET

• In August 2021, The development of a TXpert remote services portfolio for augmented reality-based consultancy, remote monitoring of transformer fleets, and troubleshooting was announced by Hitachi ABB Power Grids Ltd. (India). Large-scale data analysis and the creation of in-depth reports necessary for efficient maintenance are supported by Hitachi ABB Power Grids

DETAILED SEGMENTATION OF THE GLOBAL SUBSTATION MONITORING MARKET INCLUDED IN THIS REPORT

This research report on the global substation monitoring market has been segmented and sub-segmented based on component, communication technology, sector, industry, and region.

By Component

• Software
• Hardware

By Communication Technology

• Wireless
• Wired

By Sector

• Transmission
• Distribution

By Industry

• Utility
• Mining
• Steel
• Transportation
• Others