logo

Microgrid as a Service Market Size (2024 - 2029)

The Microgrid as a Service market is poised for significant growth, driven by the increasing demand for reliable energy solutions across various sectors such as education, healthcare, and remote areas. These systems offer enhanced control over energy needs, contributing to greater resiliency and cleaner energy goals. The integration of advanced technologies like IoT and wireless communication is optimizing microgrid performance, reducing reliance on traditional distribution methods, and minimizing transmission losses. The expansion of utility grids and the deployment of renewable energy sources further support market growth. However, challenges such as a lack of training and awareness about microgrid benefits may hinder market expansion.

Home Market Analysis Technology, Media and Telecom Research Technology Scouting Research IoT Research IoT Applications Research Microgrid-as-a-Service Industry Market Size

Market Size of Microgrid as a Service Industry

Microgrid as a Service Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
CAGR 15.00 %
Fastest Growing Market Asia Pacific
Largest Market North America

Major Players

Microgrid as a Service Market Major Players

*Disclaimer: Major Players sorted in no particular order

Microgrid-as-a-Service Market Analysis

The Microgrid as a Service Market is expected to register a CAGR of 15% during the forecast period (2021 - 2026). The Rapidly increasing need for a reliable microgrid solution is expected to further augment the market growth. In the current market scenario educational universities, remote localities, and hospitals are also looking to leverage multiple benefits that are being offered by a microgrid infrastructure.

  • Microgrids primarily offer the customers with more control over their energy needs enabling them to enhance the resiliency and reliability, balance their energy use, achieve cleaner energy goals, and to explore other innovative products and services. When they are deployed by or in combination with electric companies, they can help the electric companies in enhancing the resilience of the entire energy grid while providing numerous public benefits that extend beyond the microgrid users to the grid and to all customers.
  • With the emergence of multiple wireless and IoT technologies, the performance of the microgrids can now be optimized with real-time data streaming, processing, storage, and monitoring infrastructure, which can further eliminate any human intervention. Manufacturers today are also leveraging the capabilities of microgrids, primarily to reduce the reliance on long-distance distribution lines, thereby reducing transmission losses.
  • The on-going expansion of the utility-based grid infrastructure along with an extensive deployment of renewable energy technologies that includes hydro, solar, and wind energy has enhanced the development of grid systems. The decreasing cost of energy storage, and a significant reduction in emissions are some of the major factors that are expected to boost the market share.
  • However, the lack of proper training programs and little awareness regarding the benefits of a microgrid-as-a-service solution is expected to act as a restraint towards market growth. These systems are very advanced, and their design and planning is also highly complex in nature. Thus, in order to understand the technicalities of a microgrid system, proper training is required.

Microgrid-as-a-Service Industry Segmentation

A microgrid primarily refers to a distributed energy resource and load that can be operated in a controlled and coordinated way. These grids can be connected to the main power grid and can be operated in an islanded mode or completely off-grid mode. Microgrids are generally supported by generators or by renewable solar and wind energy resources and are often used to provide the backup power or supplement the main power grid during the period of heavy demands.

Service Type
Engineering and Design Service
Software as a Service
Monitoring and Control Services
Operation and Maintenance Services
End-user Vertical
Government
Residential and Commercial
Industrial
Geography
North America
Europe
Asia Pacific
Rest of the World
Need A Different Region Or Segment?
Customize Now

Microgrid as a Service Market Size Summary

The Microgrid as a Service Market is poised for significant growth, driven by the increasing demand for reliable and resilient energy solutions. This market is gaining traction across various sectors, including educational institutions, remote areas, and healthcare facilities, which are seeking to capitalize on the benefits of microgrid infrastructure. Microgrids offer enhanced control over energy needs, improving resiliency and reliability while supporting cleaner energy goals. The integration of wireless and IoT technologies has further optimized microgrid performance through real-time data capabilities, reducing reliance on long-distance distribution lines and minimizing transmission losses. Despite these advancements, challenges such as a lack of awareness and training on microgrid systems may hinder market expansion.

The market is witnessing strategic partnerships and government initiatives that are expected to bolster growth. Notable collaborations, such as those between Carlyle Group and Schneider Electric, aim to develop innovative infrastructure projects, including large-scale renewable energy initiatives. The North American region is anticipated to hold a substantial market share, driven by high-quality power requirements and supportive government policies. The deployment of solar and storage-based microgrids is part of broader climate strategies, with significant investments from the US military and other sectors. The competitive landscape is characterized by major players like ABB Ltd., General Electric Company, and Siemens AG, who are focusing on product innovation and strategic mergers to enhance their market presence and service offerings.

Explore More

Microgrid as a Service Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

      1. 1.2.1 Increasing Demand From Hospitals, Defense, and Remote Areas

      2. 1.2.2 High Investments from Governments

    3. 1.3 Market Restraints

      1. 1.3.1 Complexities in Managing Large-sized Microgrids

    4. 1.4 Industry Value Chain Analysis

    5. 1.5 Porters 5 Force Analysis

      1. 1.5.1 Threat of New Entrants

      2. 1.5.2 Bargaining Power of Buyers/Consumers

      3. 1.5.3 Bargaining Power of Suppliers

      4. 1.5.4 Threat of Substitute Products

      5. 1.5.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Service Type

      1. 2.1.1 Engineering and Design Service

      2. 2.1.2 Software as a Service

      3. 2.1.3 Monitoring and Control Services

      4. 2.1.4 Operation and Maintenance Services

    2. 2.2 End-user Vertical

      1. 2.2.1 Government

      2. 2.2.2 Residential and Commercial

      3. 2.2.3 Industrial

    3. 2.3 Geography

      1. 2.3.1 North America

      2. 2.3.2 Europe

      3. 2.3.3 Asia Pacific

      4. 2.3.4 Rest of the World

Microgrid as a Service Market Size FAQs

The Microgrid as a Service Market is projected to register a CAGR of 15% during the forecast period (2024-2029)

ABB Ltd., General Electric Company, Siemens AG, Eaton Corporation Inc and Schneider Electric SE are the major companies operating in the Microgrid as a Service Market.

Microgrid-as-a-Service Market Report Snapshots

Microgrid as a Service Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)