July 21, 2024

Power Quality Equipment Market Driven By Growing Demand For Reliable Power Supply

Power quality equipment such as uninterruptible power supply (UPS) systems, surge protection devices (SPDs), and filters help in protecting sensitive equipment from harmful voltage disturbances, power outages, and surges. UPS systems provide battery backup during power failures to ensure continuous power supply to critical equipment and machines. SPDs help protect equipment from overvoltages caused by lightning strikes and utility faults, while filters mitigate voltage fluctuations, harmonics and related power quality issues. With the increasing digitalization and deployment of sensitive industrial equipment, the demand for reliable power supply has heightened the need for effective power quality solutions.

The global Power Quality Equipment Market is estimated to be valued at Us$ 31.33 Bn in 2023 and is expected to exhibit a CAGR Of 10% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends driving growth in the power quality equipment market is the rising adoption of renewable energy sources. Integration of renewable energy like solar and wind into existing power grids has introduced additional variability and uncertainty that degrades power quality. This has bolstered demand for power conditioning and monitoring equipment like UPS systems and harmonic filters to ensure smooth grid interaction of renewable sources. Furthermore, growing focus on energy efficiency and power reliability across industrial, commercial and residential sectors has stimulated replacement of aging power infrastructure with advanced power quality solutions. Strict norms regarding emission reductions and reduced power outages have prompted utilities to invest more in smart grids integrated with intelligent monitoring and control systems for proactive power quality management.

 

Porter’s Analysis

Threat of new entrants: Low-to-moderate. The power quality equipment market requires large manufacturing facilities and R&D investments which increase barriers to entry.

Bargaining power of buyers: Moderate. Large utilities and industrial users can negotiate lower prices due to their purchasing power whereas small commercial buyers have less influence.

Bargaining power of suppliers: Moderate. The industry depends on a limited number of component suppliers but industry concentration is not very high.

Threat of new substitutes: Low. There are no cost-effective alternatives to power quality equipment for ensuring reliable power supply and integrity.

Competitive rivalry: High. The market is growing and competition is intense among major global players to gain market share through innovations.

Key Takeaways

The Global Power Quality Equipment Market Demand   is expected to witness high growth.

 

Regional analysis:

 

The Asia Pacific region holds the highest share in the power quality equipment market currently. Countries such as China, India, and Japan are witnessing rapid industrialization and infrastructural developments which is increasing demand for efficient power distribution and reliability. Additionally, supportive government policies and investments in smart grid technologies will augment regional growth.

Key players:

 

Key players operating in the power quality equipment market are PPG Industries (US), Sherwin-Williams Company (US), Kukdo Chemical Co., Ltd. (South Korea), Nukote Coatings Systems (US), and VIP GmbH (Germany). These players are focusing on new product launches and expansion in emerging markets to gain market share.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it