Global Distributed Energy Resource Management System Market 2023-2030

Global Distributed Energy Resource Management System Market 2023-2030

Global Distributed Energy Resource Management System Market Size, Share & Trends Analysis Report by Software (Analytics, Management & Control, and Virtual Power Plants & Simulation), by Technology (Solar PV, Wind Power, Energy Storage, Biogas, and Others), and by End-User (Industrial, Commercial, Residential, Government, and Others), Forecast Period (2023-2030)

The global distributed energy resource management system market is anticipated to grow at a significant CAGR of 15.5% during the forecast period (2023-2030). The distributed energy resource management system is a platform which facilitates distribution system operators to manage their grids that are mainly based on distributed energy resources (DER). Growing urbanization and significant electrification in rural areas are increasing the electricity consumption that generated the demand for reliable and efficient power source which can be delivered through smart grids. Cohesive government policies, schemes, funding, and grants for the installation of advanced metering solutions across the globe is accelerating the demand for these systems.

For instance, in December 2017, the Indian government had made it mandatory to install smart meters for the consumers having electricity consumption of 500 units or more. The rise in number of smart city projects and increase in the number of sales of EVs (electric vehicles) across the globe is anticipated to create growth opportunities for the investment in smart grids which will further drive the market growth.

The COVID-19 pandemic has disrupted the market growth. The lower demand for energy consumption especially electricity in the industrial sector due to the economic crisis is expected to negatively affect the growth of the market. However, a V-shaped recovery is expected in the upcoming years all across the globe. As per International Energy Agency (IEA), a record-breaking auction has been witnessed in 2020, which will be fulfilled in the upcoming years. For instance, in the first half of 2020, 13 countries together announced new projects of 50 GW, which will be in operation between the period 2021-2024. The considerable increase in the renewable energy projects is likely to drive the demand for DERMS market.

Segmental Outlook

The global distributed energy resource management system market is segmented based on software, by technology, and by end-user. Based on software, the market is segmented into analytics, management & control, virtual power plants & simulation. Based on technology, the market is segmented into solar PV, wind power, energy storage, biogas, others (biomass and geothermal power). Based on end-user, the market is segmented into industrial, commercial, residential, government, and others (defense).

Solar PV held the Major Share in the Market based on End-User in 2020

The Solar PV held major market share in the global DERMS market based on end-user. Cohesive government policies to encourage support for consumption of solar energy is a key factor contributing to the demand for DERMS in solar PV. Additionally, to increase the development and growth of PV industries the policies involve technology transfer, production subsidies, research deployment for industries and fund of R&D. The continuous development in the solar PV industry is further anticipated to demand for DERMS during the forecast period.

Regional Outlooks

The global distributed energy resource management system market is further segmented based on geography, including North America (the US and Canada), Europe (Italy, Spain, Germany, France, and others), Asia-Pacific (India, China, Japan, South Korea, and others), and the Rest of the World (the Middle East & Africa and Latin America). North America is anticipated to exhibit considerable growth in the global distributed energy resource management system market. In North America, the US is considered to make major contribution to the North American distributed energy resource management system market during the forecast period. The growing adoption of smart grid technology in the region to modernize the existing aging grid infrastructure is a major factor creating demand for distributed energy resource management system for their management. Therefore, the increasing investment in the modernizing of aging grid infrastructure is likely to drive the growth of the regional market.

Global Distributed Energy Resource Management System Market Growth by Region 2023-2030

Source: OMR Global

The Asia-Pacific Region to Hold a Considerable Share in the Global Distributed Energy Resource Management System Market

Among all the regions, the Asia-Pacific region is anticipated to hold a considerable market share in the global distributed energy resource management system market. China, India, and Japan are the major countries of the region that are making considerable contribution to the renewable energy sector globally. China is one of the significant countries for solar PV installations and the production of solar PV panels. As per IEA, the country has the largest installed solar power capacity of more than 205 GW by 2019, contributing more than 35.0% of the global installations. The high adoption of smart grid technology in the emerging economies of the region including India and China is a key further creating demand for distributed energy resource management system across the region.

Market Players Outlook

The key players that are contributing significantly to the growth of the global distributed energy resource management system market include Engie, General Electric Co., Itron Inc., Luxoft Holding, Inc., Operation Technology, Inc. (ETAP). These companies are making continuous investments in R&D to make progress in producing technologically advanced DERMS. Mergers and acquisitions, new product launches, geographical expansion, partnerships, and collaborations are some of the key strategies adopted by the market players. For instance, in February 2023, National Information Solutions Cooperative (NISC) launched partner program for distributed energy resource management. The program aims to allow NISC to seamlessly integrate existing NISC solutions with the other major providers of distributed energy resource management systems.

The Report Covers

Market value data analysis of 2022 and forecast to 2030.

Annualized market revenues ($ million) for each market segment.

Country-wise analysis of major geographical regions.

Key companies operating in the global distributed energy resource management system market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.

Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.

Analysis of market-entry and market expansion strategies.

Competitive strategies by identifying ‘who-stands-where’ in the market.