The report forecasts the global smart energy market to grow at a CAGR of 14.91% in terms of revenue during the period 2016-2020.
The report has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.
A trend contributing to market growth is the high rate in the deployment of smart grids. The deployment of smart grids is increasing rapidly worldwide with countries such as China, the US, India, Spain, Germany, and France enforcing ambitious smart grid plans. Smart grids include grid applications such as smart energy meters, SCADA systems, IT, and other communication networks. These devices enable utilities to have complete control and manage the digital assets that are present in the field.
According to the report, a key growth driver is the rise in investments in smart grid technologies. Rise in population and subsequent increase in power consumption have resulted in high demand for power across geographies. With increased power consumption, generation, and increased contribution of renewable sources of energy, different countries such as the US, China, India, and the UK have been upgrading their grids to incorporate multiple sources of energy to be smarter than their predecessors. Smart grids are expected to reduce the T&D losses and effectively balance the demand and supply of electricity. Consequently, investments in smart grid technologies have increased and propelled the growth of smart grid IT systems.
Further, the report states that one challenge that could restrict market growth is the high cost of upgrading smart grids.