Variable Speed Generator Market: Current Analysis and Forecast (2021-2027)

Variable Speed Generator Market: Current Analysis and Forecast (2021-2027)

The Variable Speed Generator market is predicted to grow at a CAGR of ~8% between 2021 and 2027. It is mainly due to expanding government investments in its existing electricity transmission and distribution systems to cater to the rising electricity demand due to rapid urbanization and industrialization. Furthermore, a rise in average electricity consumption is anticipated to account for the steady growth of the market. In addition, increasing consumption of electricity and a growing emphasis on renewable electricity generation are the key factors driving the market's growth. In addition, major players in the market are continuously testing and launching VSG suitable for various applications including renewable energy power plants. For instance, a Full variable speed generator by ABB ltd. for wind turbines. In the full converter (FC) concept, using a standard high-speed drivetrain with PM generators enables the smallest generator size and a very high generator efficiency at all speeds.

ABB Ltd., Siemens AG, Yanmar Co. Ltd., GE Renewable Energy, Ausonia S.r.l., Caterpillar Inc., Wärtsilä Corporation, Innovus Power Inc., Cummins Inc., and Rolls-Royce (mtu) are some of the prominent players operating in the Variable Speed Generator market. Several M&As along with partnerships have been undertaken by these players to facilitate customers with hi-tech and innovative products/technologies.

Insights Presented in the Report

“Amongst Generator Type, PMSG Category to Witness Significant Growth”

Based on generator type, the market is bifurcated into SEIG, DFIG, WRIG, and PMSG. During the forecast period, Permanent Magnet Synchronous Generator (PMSG) to witness significant growth during the forecast period. PMSGs are increasingly used in various applications owing to their high efficiency and high torque-to-volume ratio.

In addition, DFIG is also expected to witness strong growth during 2021–2027F. DFIG is a generating principle widely used in wind turbines. DFIG system is a popular system in which the power electronic interface controls the rotor currents to achieve the variable speed necessary for maximum energy capture in variable winds.

“Amongst Technology, Power Electronics Higher Incremental Gain During the Forecast Period”

On the basis of technology, the market is categorized into power electronics and mechanical. Among the two, power electronics category to witness a significant increase in the overall share during the forecast period owing to the technological advancements in the sector. VSG using a power converter reduces fuel consumption by 20 to 50%. Accordingly, this increases system efficiency reduces GHG emissions and improves fuel combustion. Thus, creating demand for power electronics in VSG.

Furthermore, Variable speed generators are commonly found in wind turbine applications. These generators are ideal for alternative energy systems, such as wind turbines, where the power source is intermittent. The wind turbine or other energy source can be adjusted for maximum energy capture and is not limited by a limited generator speed range.

“Amongst Application, Renewable Power Generation Category to Witness Higher CAGR”

Based on application, the Variable Speed Generator Market has been bifurcated into renewable power generation, hydroelectric power generation, marine and shipbuilding, oil & gas and mining, commercial and residential, and others. Among these, renewable power generation category witnessed the highest demand for VSG and is expected to witness the fastest growth during the forecast period. The increasing awareness in emerging nations to support the development and deployment of renewable energy power sources are positively driving the market. The surging investment to develop the infrastructure and robust portfolio of research development is also accentuating the market. For instance: The U.S. Department of Energy's Wind Energy Technologies Office (WETO) funds research nationwide for the deployment of offshore wind technologies that can capture wind resources off the coasts of the United States and convert that wind into electricity.

“APAC to is expected to be the Fastest-Growing Region in Global Variable Speed Generator Market During 2021–2027F”

APAC region has been witnessing some of the largest T&D expansions due to rapidly increasing demand in countries such as India and China. In addition, an upsurge in renewable power generation projects is expected to positively influence the market demand for VSG. For instance, in 2021, China's total renewable energy capacity increased 10.2 percentage points as compared to 2015. The capacity exceeded 1,000 GW in 2021, according to the National Energy Administration, accounting for 43.5% of the country's total power generation capacity.

Similarly, in July 2021, the Ministry of New and Renewable Energy (MNRE) of India gave the go-ahead to NTPC Renewable Energy Ltd. to build a 4,750 MW renewable energy park at the Rann of Kutch in Khavada, Gujarat. This will be India's largest solar park, to be developed by the country's leading power producer. With the increased support of the government and improved economics, the sector has become attractive from an investor's perspective, which is further expected to drive the market in the region.

Reasons to buy this report:

• The study includes market sizing and forecasting analysis validated by authenticated key industry experts
• The report presents a quick review of overall industry performance at one glance
• The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolio, expansion strategies, and recent developments
• Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry
• The study comprehensively covers the market across different segments
• Deep dive regional level analysis of the industry

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