Latin America Energy Management Systems Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 21.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Latin America Energy Management Systems Market Analysis
The Latin America energy management systems market registered a CAGR of 21.5% during the forecast period, 2022-2027 (hereafter, referred to as the forecast period). Electricity consumption has risen year after year due to rising urbanization and population, as well as rising human requirements. It becomes vital to implement efficient energy management systems to maximize energy efficiency while lowering expenses, increasing profitability, and adhering to environmental standards.
There has been a rise in energy-efficient systems and a reduction in carbon footprint due to developments in the newest technologies in EMS, such as tiny signal analysis. Furthermore, firms like IBM Corporation, Honeywell International Inc., and Schneider Electric have incorporated data analytics software into their current EMS modules to monitor data efficiently. These companies have also created and launched sector-specific EMS software platforms to help businesses regulate and supply adequate solutions, which is likely to boost the scalability of new products in the Latin American EMS industry.
The industry is being driven by the growing use of smart grids and smart meters. With rising energy consumption and outdated power infrastructure, governments worldwide are increasingly turning to smart grid technologies to modernize their energy infrastructures. The market for energy efficiency solutions is growing as many governments embark on modernization initiatives to modernize their power grids.
According to UN predictions, Latin America and the Caribbean would have over 750 million people by 2050, up by 16% from now. In January 2021, the IAEA and international experts held a workshop to illustrate how MAED and the Agency's other energy modeling tools may be used to analyze demand scenarios and plan appropriately to help foresee and prepare for the region's expanding energy need.
Because of the recent COVID-19 pandemic, the worldwide residential power sector experienced a considerable increase due to quarantines. In contrast, industrial energy consumption fell dramatically in the first quarter of 2020. According to the CEO of Wind Europe, the firm expects delays in new wind farm projects due to the COVID-19 pandemic, which may force developers to miss deployment dates in nations' auction systems and suffer financial penalties as a result.
Latin America Energy Management Systems Market Trends
This section covers the major market trends shaping the Latin America Energy Management Systems Market according to our research experts:
Brazil to Hold a Major Share in the EMS Market
The Brazilian government announced funding of around USD 200 million to develop smart grids. It also announced plans to deploy smart meters in the entire country by 2021. The aforementioned factors, coupled with Brazil's strong focus on renewable energy generation, are expected to drive the Brazilian smart gas meter market.
With the growing need for natural gas and the construction of pipelines in Brazil, the utility sector is now leveraging the benefits of the Internet of Things to bring about smart gas meters in various businesses. Smart gas metering systems have become the most desirable option, and they are now providing billing accuracy, real-time data monitoring, and improved customer service.
The smart gas meter market acts as a lucrative vertical for the overall smart metering industry in Brazil, and it was recently bestowed with unprecedented gains driven by robust product deployment across the biofuel and natural gas sectors in the region. Besides, the smart gas metering concept is now present in six Brazilian states, including São Paulo, Rio de Janeiro, Paraná, and the Amazonas, involving local providers and consequently boosting the market growth.
Enel accomplished a significant smart city track record in its areas of presence. Some smart city projects across the Latin American region have strived to make broadband accessible to the public, such as Brazil's Rede Cidade Digital, which comprises 300 municipalities.
Increasing Trends Toward Energy Efficiency in Latin America
Latin America is a huge potential market for smart energy globalization. According to the Smart Energy International Projections, by 2029, the area would have deployed over 85 million smart meters. Countries like Brazil, Argentina, Mexico, Colombia, Chile, and Peru are leading the way and will have deployed millions of smart meters by then. Importantly, it is a location where the smart grid's benefits can result in significant increases in energy supply efficiency and reliability, as well as a fair distribution of energy to all.
At the same time, there are unique obstacles that this region faces. Local energy brokering, distributed generation and storage, micro-grids, and electric vehicles also present significant opportunities for LATAM. Investments in technology that address the problems raised above can also serve as the foundation and enablers for a smart energy transition that incorporates these advances.
With increased urbanization and economic growth in the region, there is a greater need for energy services and infrastructure. As a result, towns in the region have the option to integrate renewable energy from the start of the urban planning process and in the extension of existing infrastructure, allowing them to make use of the large renewable resources accessible locally. For example, Santiago de Chile, with a population of around 6.8 million people, is one of the main cities in Latin America, pushing the region's energy revolution. The city has pushed hard for electric buses to be included in its public transportation system.
Latin America Energy Management Systems Industry Overview
The energy management systems market is competitive and consists of several major players. However, in terms of market share, few of the major players currently dominate the market. With a prominent share in the market, these market players are focusing on expanding their customer bases across foreign countries. These companies are leveraging strategic collaborative initiatives to increase their market shares and profitability. The key players are IBM Corporation and Rockwell Automation Inc. Recent developments in the market are -
- June 2021: Rockwell Automation integrated IoT technology with industry expertise to build an energy management platform solution that gives meaningful, actionable real-time data to manage a variety of the manufacturing processes' most important utilities. Air, water, gas, electricity, and steam are all examples of this.
- January 2021: Envision Digital International Pte Ltd, a global pioneer in decarbonization and Artificial Intelligence of Things (AIoT) technologies, and IBM announced a partnership to create sustainable energy management solutions. The partnership will assist businesses and governments throughout the world in achieving business objectives and meeting energy efficiency targets while advancing on their digital transformation journeys.
Latin America Energy Management Systems Market Leaders
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IBM Corporation
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Rockwell Automation Inc.
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Schneider Electric SE
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Siemens AG
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Honeywell International Inc.
*Disclaimer: Major Players sorted in no particular order
Latin America Energy Management Systems Market News
- In March 2021, Eaton, a power management business, released a set of hardware, software, and services that can turn buildings into energy hubs that get the most out of on-site renewable energy. Its strategy for energy transition and electric car charging is known as "Buildings as a Grid."
- In February 2021, Schneider Electric, a global leader in energy management and automation digital transformation, announced the launch of its Wholesale Building Management Distributor Program. Schneider Electric's dedication to providing distributors with the resources, incentives, and support they need to sell more products, develop their business, and improve income is exemplified by this newly structured partner program.
Latin America Energy Management Systems Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Value Chain/Supply Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Assessment of the COVID-19 Impact on the Industry
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Usage of Smart Grids and Smart Meters
5.1.2 Rising Investments in Energy Efficiency
5.2 Market Restraints
5.2.1 High Initial Installation Costs Coupled with Maintenance Costs
6. MARKET SEGMENTATION
6.1 Component
6.1.1 Hardware
6.1.2 Software
6.1.3 Services
6.2 Type
6.2.1 HEMS
6.2.2 BEMS
6.2.3 IEMS
6.3 End User
6.3.1 Manufacturing
6.3.2 Power and Energy
6.3.3 IT and Telecommunication
6.3.4 Healthcare
6.3.5 Other End Users
6.4 Geography
6.4.1 Brazil
6.4.2 Argentina
6.4.3 Rest of Latin America
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 IBM Corporation
7.1.2 Rockwell Automation Inc.
7.1.3 General Electric Co.
7.1.4 Schneider Electric SE
7.1.5 Cisco Systems Inc.
7.1.6 Tendril Networks Inc.
7.1.7 Eaton Corporation
7.1.8 EnerNOC Inc.
7.1.9 Elster Group GmbH
7.1.10 SAP SE
7.1.11 Siemens AG
7.1.12 Honeywell International Inc.
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Latin America Energy Management Systems Industry Segmentation
An energy management system (EMS) is a computer-aided tool used by the operators of electric utility grids for monitoring and optimizing the performance of generation and/or transmission systems. The study covers the adoption of EMS for end uses, including households, buildings, and industries. The EMS solutions comprise hardware, software, and services components that enable users to monitor energy usage and production, manually control, and/or automate the use of energy within their facility.
| Component | |
| Hardware | |
| Software | |
| Services |
| Type | |
| HEMS | |
| BEMS | |
| IEMS |
| End User | |
| Manufacturing | |
| Power and Energy | |
| IT and Telecommunication | |
| Healthcare | |
| Other End Users |
| Geography | |
| Brazil | |
| Argentina | |
| Rest of Latin America |
Latin America Energy Management Systems Market Research FAQs
What is the current Latin America Energy Management Systems Market size?
The Latin America Energy Management Systems Market is projected to register a CAGR of 21.5% during the forecast period (2024-2029)
Who are the key players in Latin America Energy Management Systems Market?
IBM Corporation, Rockwell Automation Inc., Schneider Electric SE, Siemens AG and Honeywell International Inc. are the major companies operating in the Latin America Energy Management Systems Market.
What years does this Latin America Energy Management Systems Market cover?
The report covers the Latin America Energy Management Systems Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Latin America Energy Management Systems Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Latin America Energy Management Systems Industry Report
Statistics for the 2024 Latin America Energy Management Systems market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Latin America Energy Management Systems analysis includes a market forecast outlook 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
