The global market for distribution automation solutions is expected to grow by 11.69% between 2019 and 2023, this is according to research firm, Technavio.
The market is expected to generate up to $10.43 billion per annum, owing to an increase in utility investments in technologies such as data analytics.
35% of the market revenue is anticipated will come from the Asia Pacific region. Europe is expected to register significant growth due to the various government initiatives being taken up in the region.
An increase in the adoption of smart grid technologies to detect and react to the local changes in power consumption is driving the market.
Utilities are heavily investing in solutions such as smart meters, transformer and feeder monitoring systems, and smart power monitoring devices to automate their grid networks.
The aim is to detect and quickly respond to power outages as well as to meet changing consumer demands.
Moreover, the processes are improving the efficiency of grid networks whilst enabling the integration of distributed energy resources.
Globally, smart grid deployment increased drastically in 2018 and is expected to be deployed more rapidly to vertically integrated utilities during the forecast period. Thus, such initiatives and measures will improve the smart grid infrastructure, thereby increasing the adoption of automation solutions during the forecast period.
“Apart from the increasing role of data analytics, the shift from local control to model-based volt/VAR optimisation and the rising number of microgrid networks are some other major factors that will boost market growth during the forecast period,” said a senior analyst at Technavio.