Power Transmission Tower Market- Growth, Trends, and Forecasts (2023 - 2028)

Power Transmission Tower Market- Growth, Trends, and Forecasts (2023 - 2028)

The Power Transmission Tower market is expected to grow with a CAGR of more than 6% during the forecast period. The COVID-19 pandemic has drastically affected the power transmission and distribution sector, with the crashed power demand and DISCOMs facing huge revenue losses in FY2020. But the post-COVID-19 era saw a rebound again with increased power demand and new power transmission projects.

• Over the long term, the power transmission tower market is expected to have an elevation in the near future due to the aging power infrastructure in many countries and less access to electricity in several regions like Western and Central Africa and some South American countries.
• On the other hand, smart technologies for grid transmission management create less need for infrastructure renovation for a long time, which makes a once-in-industry situation for transmission towers for a long time.
• Nevertheless, the growing trend of renewable power integration at the global level places a tremendous opportunity for the power transmission tower market due to the increased demand for new power infrastructure when renewable power integration happens at a large scale. For example, India's recent global power grid project, OSOWOG (One Sun, One World, One Grid), which aims to build an interconnected global solar power grid in cooperation with Britain, places an opportunity for the demand for transmission towers.
• Middle-East and African regions are expected to have a significant market share due to the need for high power transmission capacity, which is far less than the demand.

• Double-circuit towers are used for double-circuit transmission line networks, which are strongly preferred in the power industry due to their various technical advantages. A double circuit transfers twice the power and is far less expensive to establish. The biggest advantage of the transmission line is that if one circuit goes out of service at a high load, one can load the other up to an emergency rating, and the customers would not know the difference.
• In developing countries, there has been continuous growth in the power transmission network due to increasing power demand for economic growth and the growing population. For example, in India, the transmission network growth was envisaged in every five-year term, with the 2016-2021 figure as 4,56,716 Circuit Kilo Meters (CKM). The country has even more transmission line projects in the queue to go parallel with the enhancing power demand for various applications.
• For example, in May 2022, the Rural Electrification Corporation Transmission Projects Company Limited (RECTPCL) invited applications to establish the 765kV Banaskantha-Ahmedabad double-circuit line in India with 330MVAr, 765kV switchable line reactors on every circuit at the end of the Ahmedabad substation.
• In other countries, too, many double-circuit transmission line projects have been tabled in the recent picture. For instance, in February 2022, 1175km and 600kV HVDC (High Voltage Direct Current) overhead double-circuit transmission line project was planned in United States to deliver renewable power from a wind power plant in Wyoming to Colorado, Utah, and Nevada.
• Such large-scale power transmission projects will likely positively impact the double-circuit tower market in the coming years.

• The Middle East and African region have a number of under-developed countries where there is still a need for access to electricity. Thus, the respective governments and private players have planned many power generation and distribution projects with both conventional as well as renewable power plants.
• In Ghana, the rural areas where a huge population is still struggling with unreliable and intermittent power supply, frequent power outages have been the focus of the government for the power generation and distribution projects planned recently.
• For example, in February 2022, the VRA Wind Energy Project-II was planned in Greater Accra, Ghana. It involves the construction of a 76MW wind power plant and power transmission infrastructure by the developer Volta River Authority, the state-owned power distribution company of the country. The project will include around 80 meters high towers in the transmission infrastructure. The project is expected to get completed in the year 2023.
• Furthermore, in the Gulf region, Saudi Arabia and Oman have contemplated building a cross-border electricity grid interconnection in the near future. Such large-scale power trading projects will lead to huge power infrastructure expansion in the region.
• Owing to such developments, the power transmission tower market is likely to have a boost in the region.

The power transmission tower market is fragmented. Some of the key players (in no particular order) include Skipper Limited, Ramboll Group A/S, Nanjing Daji Iron Tower Manufacturing Co. Ltd, KEC International Ltd., and Tata Power Company Limited.

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