Microgrid Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Services), Microgrid Type (AC Microgrids, DC Microgrids, Hybrid Microgrids and Other Microgrid Types), Power Source, Connectivity, Storage Device, Pattern, Power Rati

Microgrid Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Services), Microgrid Type (AC Microgrids, DC Microgrids, Hybrid Microgrids and Other Microgrid Types), Power Source, Connectivity, Storage Device, Pattern, Power Rating, End User and By Geography


According to Stratistics MRC, the Global Microgrid Market is accounted for $64.31 billion in 2024 and is expected to reach $201.82 billion by 2030 growing at a CAGR of 21.0% during the forecast period. A localized collection of electrical sources and loads that can function separately from the conventional, centralized grid is known as a microgrid. By combining cutting-edge energy storage technologies like batteries with renewable energy sources like solar and wind turbines, this creative system improves energy resilience and efficiency. Communities, companies, and institutions can rely on microgrids for a sustainable and dependable power source, particularly in isolated or disaster-prone areas. Moreover, microgrids are essential to the shift to a more resilient and sustainable energy future because they allow for real-time energy management and lessen dependency on fossil fuels.

According to the International Energy Agency (IEA), microgrids are pivotal in achieving energy security and sustainability, offering flexible and efficient solutions to integrate renewable energy sources and enhance grid resilience.

Market Dynamics:

Driver:

Growing need for energy dependability and resilience

The demand for resilient energy systems that can function without the main grid during outages is rising as extreme weather and natural disasters occur more frequently. Critical infrastructure, including hospitals, military bases, and emergency response centers, can have a continuous power supply owing to microgrids' ability to smoothly transition to island mode. Additionally, with this ability, downtime is decreased, and the negative effects of power outages on the economy and society are lessened.

Restraint:

Excessive initial capital expenses

The purchase of advanced control technologies, storage solutions, and renewable energy systems is among the substantial upfront costs associated with microgrid installation. Many prospective users may find these upfront costs prohibitive, particularly small enterprises and rural communities with tight budgets. The additional expenses for system design, integration, and installation frequently exacerbate the high capital investment. Furthermore, the large upfront cost may discourage adoption and impede market expansion, even with long-term savings and advantages.

Opportunity:

Developments in smart grid technologies

Microgrid functionalities and efficiency are improved by the ongoing development of smart grid technologies, such as sophisticated sensors, automation, and real-time data analytics. Proactive maintenance, optimized operation, and improved energy management are made possible by these developments. Moreover, the assimilation of artificial intelligence (AI) and Internet of Things (IoT) devices enhances microgrid performance and adaptability, thereby generating novel prospects for innovation and market expansion.

Threat:

Disruptions to the supply chain

Disruptions may occur in the global supply chain for essential microgrid parts like batteries, solar panels, and inverters. The cost and availability of these essential components can be impacted by events like global pandemics, trade restrictions, natural disasters, and geopolitical tensions. Additionally, supply chain disruptions can raise costs, lengthen project schedules, and impair microgrid performance and dependability overall.

Covid-19 Impact:

The microgrid market has seen opportunities as well as challenges due to the COVID-19 pandemic. While economic uncertainties limited funding and investments, supply chain disruptions and project delays impeded progress. Microgrids are becoming more popular as a means of ensuring energy security in times of emergency, though, as the crisis brought to light the vital need for robust and dependable energy systems. Microgrid investment has also increased as a result of government recovery programs that prioritize green infrastructure. Furthermore, these initiatives support the use of advanced grid technologies and renewable energy sources in the context of a sustainable economic recovery.

The Lithium-ion segment is expected to be the largest during the forecast period

In the microgrid market, the lithium-ion segment has the largest market share. Because of their high energy density, extended cycle life, and falling costs, lithium-ion batteries are the go-to option for energy storage in microgrid applications. These batteries deliver the dependable operation of microgrids through their efficient performance, quick charging times, and steady power supply capabilities. Moreover, advances in lithium-ion technology keep enhancing their dependability, affordability, and safety, which promotes their use in off-grid and grid-tied microgrid systems.

The Urban/Metropolitan segment is expected to have the highest CAGR during the forecast period

In the microgrid market, the urban/metropolitan segment has the highest CAGR. Microgrid solutions are being adopted more frequently in urban areas due to their dense population and high energy demands. These areas aim to reduce carbon emissions, improve energy resilience, and address issues related to grid instability. Additionally, urban microgrids can effectively manage energy, balance load, and reduce peak shaving by integrating renewable energy sources, energy storage systems, and cutting-edge grid technologies.

Region with largest share:

The microgrid market is dominated by North America. A number of factors, such as favorable government policies and incentives, a strong emphasis on the integration of renewable energy, and a high demand for energy resilience in the face of an increase in extreme weather events, are responsible for the region's dominance. Furthermore, North America enjoys the advantages of an established energy infrastructure, cutting-edge technological capabilities, and a stable investment climate, all of which support the extensive use of microgrid solutions in a variety of industries, including commercial, industrial, and utility-scale applications.

Region with highest CAGR:

The microgrid market's highest CAGR is seen in the Asia-Pacific region. A number of factors, such as rising energy demand, infrastructure investments in renewable energy, and government programs supporting energy access and sustainability, are driving this rapid growth. The Asia Pacific region's nations are rapidly industrializing and urbanizing, which is increasing demand for robust and dependable power supply solutions. Moreover, the region's microgrid market is growing owing to factors like key market players, supportive regulatory frameworks, and technological advancements.

Key players in the market

Some of the key players in Microgrid market include Hitachi Energy Ltd., Eaton Corp., Lockheed Martin Corporation, S&C Electric Company, Viridity Energy Inc., ABB Ltd., HOMER Energy LLC, General Electric, Siemens AG, Caterpillar, Honeywell International Inc., Microgrid Energy LLC, Toshiba Corporation, Schneider Electric, Power Analytics Corporation and ZBB Energy Corporation.

Key Developments:

In May 2024, Hitachi Energy and Aibel have signed separate framework agreements with German renewable energy company, RWE, for multiple high-voltage direct current (HVDC) systems to accelerate the integration of offshore wind power into the grid. The agreement follows the signing of a Capacity Reservation Agreement (CRA) last November that reserves the engineering and production capacity to develop three major HVDC projects.

In January 2024, Lockheed Martin, the global aerospace and deterrence company, and Indra, one of the leading global technology and consulting companies, have signed a new collaboration agreement to jointly explore areas of co-operation in the air, land, sea and cyberdefence sectors, as well as in simulation and sustainment.

In September 2023, Intelligent power management company Eaton announced an exclusive global alliance with Michigan-based technology developer Traxen to sell, distribute, service, and provide installation support for their cutting-edge iQ-Cruise® system. This collaboration aims to support the commercial transportation industry by improving fuel efficiency and environmental sustainability while helping fleet profitability.

Offerings Covered:
• Hardware
• Software
• Services

Microgrid Types Covered:
• AC Microgrids
• DC Microgrids
• Hybrid Microgrids
• Other Microgrid Types

Power Sources Covered:
• Natural Gas
• Solar PV
• Combined Heat and Power
• Diesel
• Fuel Cell
• Wind Power
• Hydropower
• Biogas
• Other Power Sources

Connectivities Covered:
• Grid Connected
• Off-grid

Storage Devices Covered:
• Lithium-ion
• Lead Acid
• Flow Battery
• Flywheel
• Other Storage Devices

Patterns Covered:
• Urban/Metropolitan
• Semiurban
• Rural/Island

Power Ratings Covered:
• Less than 1 MW
• 1 MW to 5 MW
• >5 MW to 10 MW
• >10 MW
• Other Power Ratings

End Users Covered:
• Commercial and Industrial Buildings
• Remote Areas
• Military Facilities
• Government Buildings
• Utilities
• Institutes and Campuses
• Healthcare Facilities
• Other End Users

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements


1 Executive Summary
2 Preface
2.1 Abstract
2.2 Stake Holders
2.3 Research Scope
2.4 Research Methodology
2.4.1 Data Mining
2.4.2 Data Analysis
2.4.3 Data Validation
2.4.4 Research Approach
2.5 Research Sources
2.5.1 Primary Research Sources
2.5.2 Secondary Research Sources
2.5.3 Assumptions
3 Market Trend Analysis
3.1 Introduction
3.2 Drivers
3.3 Restraints
3.4 Opportunities
3.5 Threats
3.6 End User Analysis
3.7 Emerging Markets
3.8 Impact of Covid-19
4 Porters Five Force Analysis
4.1 Bargaining power of suppliers
4.2 Bargaining power of buyers
4.3 Threat of substitutes
4.4 Threat of new entrants
4.5 Competitive rivalry
5 Global Microgrid Market, By Offering
5.1 Introduction
5.2 Hardware
5.2.1 Power Generators
5.2.2 Energy Storage Systems
5.2.3 Controllers
5.3 Software
5.4 Services
6 Global Microgrid Market, By Microgrid Type
6.1 Introduction
6.2 AC Microgrids
6.3 DC Microgrids
6.4 Hybrid Microgrids
6.5 Other Microgrid Types
7 Global Microgrid Market, By Power Source
7.1 Introduction
7.2 Natural Gas
7.3 Solar PV
7.4 Combined Heat and Power
7.5 Diesel
7.6 Fuel Cell
7.7 Wind Power
7.8 Hydropower
7.9 Biogas
7.10 Other Power Sources
8 Global Microgrid Market, By Connectivity
8.1 Introduction
8.2 Grid Connected
8.3 Off-grid
9 Global Microgrid Market, By Storage Device
9.1 Introduction
9.2 Lithium-ion
9.3 Lead Acid
9.4 Flow Battery
9.5 Flywheel
9.6 Other Storage Devices
10 Global Microgrid Market, By Pattern
10.1 Introduction
10.2 Urban/Metropolitan
10.3 Semiurban
10.4 Rural/Island
11 Global Microgrid Market, By Power Rating
11.1 Introduction
11.2 Less than 1 MW
11.3 1 MW to 5 MW
11.4 >5 MW to 10 MW
11.5 >10 MW
11.6 Other Power Ratings
12 Global Microgrid Market, By End User
12.1 Introduction
12.2 Commercial and Industrial Buildings
12.3 Remote Areas
12.4 Military Facilities
12.5 Government Buildings
12.6 Utilities
12.7 Institutes and Campuses
12.8 Healthcare Facilities
12.9 Other End Users
13 Global Microgrid Market, By Geography
13.1 Introduction
13.2 North America
13.2.1 US
13.2.2 Canada
13.2.3 Mexico
13.3 Europe
13.3.1 Germany
13.3.2 UK
13.3.3 Italy
13.3.4 France
13.3.5 Spain
13.3.6 Rest of Europe
13.4 Asia Pacific
13.4.1 Japan
13.4.2 China
13.4.3 India
13.4.4 Australia
13.4.5 New Zealand
13.4.6 South Korea
13.4.7 Rest of Asia Pacific
13.5 South America
13.5.1 Argentina
13.5.2 Brazil
13.5.3 Chile
13.5.4 Rest of South America
13.6 Middle East & Africa
13.6.1 Saudi Arabia
13.6.2 UAE
13.6.3 Qatar
13.6.4 South Africa
13.6.5 Rest of Middle East & Africa
14 Key Developments
14.1 Agreements, Partnerships, Collaborations and Joint Ventures
14.2 Acquisitions & Mergers
14.3 New Product Launch
14.4 Expansions
14.5 Other Key Strategies
15 Company Profiling
15.1 Hitachi Energy Ltd.
15.2 Eaton Corp.
15.3 Lockheed Martin Corporation
15.4 S&C Electric Company
15.5 Viridity Energy Inc.
15.6 ABB Ltd.
15.7 HOMER Energy LLC
15.8 General Electric
15.9 Siemens AG
15.10 Caterpillar
15.11 Honeywell International Inc.
15.12 Microgrid Energy LLC
15.13 Toshiba Corporation
15.14 Schneider Electric
15.15 Power Analytics Corporation
15.16 ZBB Energy Corporation
List of Tables
Table 1 Global Microgrid Market Outlook, By Region (2022-2030) ($MN)
Table 2 Global Microgrid Market Outlook, By Offering (2022-2030) ($MN)
Table 3 Global Microgrid Market Outlook, By Hardware (2022-2030) ($MN)
Table 4 Global Microgrid Market Outlook, By Power Generators (2022-2030) ($MN)
Table 5 Global Microgrid Market Outlook, By Energy Storage Systems (2022-2030) ($MN)
Table 6 Global Microgrid Market Outlook, By Controllers (2022-2030) ($MN)
Table 7 Global Microgrid Market Outlook, By Software (2022-2030) ($MN)
Table 8 Global Microgrid Market Outlook, By Services (2022-2030) ($MN)
Table 9 Global Microgrid Market Outlook, By Microgrid Type (2022-2030) ($MN)
Table 10 Global Microgrid Market Outlook, By AC Microgrids (2022-2030) ($MN)
Table 11 Global Microgrid Market Outlook, By DC Microgrids (2022-2030) ($MN)
Table 12 Global Microgrid Market Outlook, By Hybrid Microgrids (2022-2030) ($MN)
Table 13 Global Microgrid Market Outlook, By Other Microgrid Types (2022-2030) ($MN)
Table 14 Global Microgrid Market Outlook, By Power Source (2022-2030) ($MN)
Table 15 Global Microgrid Market Outlook, By Natural Gas (2022-2030) ($MN)
Table 16 Global Microgrid Market Outlook, By Solar PV (2022-2030) ($MN)
Table 17 Global Microgrid Market Outlook, By Combined Heat and Power (2022-2030) ($MN)
Table 18 Global Microgrid Market Outlook, By Diesel (2022-2030) ($MN)
Table 19 Global Microgrid Market Outlook, By Fuel Cell (2022-2030) ($MN)
Table 20 Global Microgrid Market Outlook, By Wind Power (2022-2030) ($MN)
Table 21 Global Microgrid Market Outlook, By Hydropower (2022-2030) ($MN)
Table 22 Global Microgrid Market Outlook, By Biogas (2022-2030) ($MN)
Table 23 Global Microgrid Market Outlook, By Other Power Sources (2022-2030) ($MN)
Table 24 Global Microgrid Market Outlook, By Connectivity (2022-2030) ($MN)
Table 25 Global Microgrid Market Outlook, By Grid Connected (2022-2030) ($MN)
Table 26 Global Microgrid Market Outlook, By Off-grid (2022-2030) ($MN)
Table 27 Global Microgrid Market Outlook, By Storage Device (2022-2030) ($MN)
Table 28 Global Microgrid Market Outlook, By Lithium-ion (2022-2030) ($MN)
Table 29 Global Microgrid Market Outlook, By Lead Acid (2022-2030) ($MN)
Table 30 Global Microgrid Market Outlook, By Flow Battery (2022-2030) ($MN)
Table 31 Global Microgrid Market Outlook, By Flywheel (2022-2030) ($MN)
Table 32 Global Microgrid Market Outlook, By Other Storage Devices (2022-2030) ($MN)
Table 33 Global Microgrid Market Outlook, By Pattern (2022-2030) ($MN)
Table 34 Global Microgrid Market Outlook, By Urban/Metropolitan (2022-2030) ($MN)
Table 35 Global Microgrid Market Outlook, By Semiurban (2022-2030) ($MN)
Table 36 Global Microgrid Market Outlook, By Rural/Island (2022-2030) ($MN)
Table 37 Global Microgrid Market Outlook, By Power Rating (2022-2030) ($MN)
Table 38 Global Microgrid Market Outlook, By Less than 1 MW (2022-2030) ($MN)
Table 39 Global Microgrid Market Outlook, By 1 MW to 5 MW (2022-2030) ($MN)
Table 40 Global Microgrid Market Outlook, By >5 MW to 10 MW (2022-2030) ($MN)
Table 41 Global Microgrid Market Outlook, By >10 MW (2022-2030) ($MN)
Table 42 Global Microgrid Market Outlook, By Other Power Ratings (2022-2030) ($MN)
Table 43 Global Microgrid Market Outlook, By End User (2022-2030) ($MN)
Table 44 Global Microgrid Market Outlook, By Commercial and Industrial Buildings (2022-2030) ($MN)
Table 45 Global Microgrid Market Outlook, By Remote Areas (2022-2030) ($MN)
Table 46 Global Microgrid Market Outlook, By Military Facilities (2022-2030) ($MN)
Table 47 Global Microgrid Market Outlook, By Government Buildings (2022-2030) ($MN)
Table 48 Global Microgrid Market Outlook, By Utilities (2022-2030) ($MN)
Table 49 Global Microgrid Market Outlook, By Institutes and Campuses (2022-2030) ($MN)
Table 50 Global Microgrid Market Outlook, By Healthcare Facilities (2022-2030) ($MN)
Table 51 Global Microgrid Market Outlook, By Other End Users (2022-2030) ($MN)
Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.
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