Market Size of Modular Substation Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 6.50 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Modular Substation Market Analysis
The modular substation market is expected to register a CAGR of around 6.5% during the forecast period. The COVID-19 pandemic had a negative impact on the market as the subsequent lockdown damaged the discoms' finances. Due to its adverse impact, the electricity demand of commercial and industrial (C&I) customers also suffered in 2020. Thus, such a scenario created an unfavorable condition for the market to grow in 2020. Factors such as increasing power generation capacity plan across the world, rising demand for replacing or upgrading aging substation infrastructure, and growing power demand due to rapidly increasing industrial and infrastructural activities are anticipated to drive the market during the forecast period. Moreover, modular substations save space and lower installation time while enhancing safety and aesthetics, which are expected to bolster growth. However, with delays in implementing electrification projects globally and the high cost of modular substations, the market's growth is likely to be hampered.
- The utility segment of the market is expected to hold a significant share of the global modular substation market and is likely to be maintained as the largest segment during the forecast period.
- Further, with the rising electrification projects in Africa and Asia-Pacific countries, several initiatives signal that massive improvements are underway in the regions to improve the transmission and distribution network. For example, in September 2021, Adani Group, a diversified Indian multinational conglomerate, announced investing about USD 20 billion in renewable power generation and component manufacturing over the next ten years. It is expected to create ample opportunities for the modular substation market players.
- Asia-Pacific is expected to be the largest and fastest-growing market, owing to one-third of the world's population currently residing in India and China. The two countries account for a significant share of global electricity demand.
