Smart Transformers Market size was valued at USD 2,413.8 million in 2021 and is expected to grow at a CAGR of 11.3% from 2023-2029.The smart transformers are the devices which are placed between the power grid and the external system location as a buffer. These devices have advanced technologies which can be used to support the power grid. The smart transformers are mainly used for controlling the voltage fluctuations occur in the power grid. Digitalization of power grid, production of alternative current are the key advantages of the smart transformers. Increasing investments in developing the smart grids, adopting digitalization in the power sector, are the key driving factors in the growth of smart transformer market. In addition to that the primary power grid is connected to renewable solar energy in order to alter its operation fuels the growth of global smart transformer market. The increasing focus of public in generation of renewable power and integrity of energy mix drives the market growth in the forecasted years. The use of smart transformer reduces consumption thus saves energy, reduces the balancing cost, helps to level the peak demand of energy and provides accurate electric bills which provides more opportunities to modernize the grid. The application of transformers in the power grid will make the smart grid to work more efficiently and more reliably by regulating the voltage fluctuations at the end user thus making the power grid more efficient. Digitalization is also been incorporated in the equipment. Which help the system to improve efficiently like transformers, an integral part of smart grid which allows it to independently control the voltage fluctuations. whereas the installation cost of smart transformers is way too expensive which is expected to hinder the growth of smart transformer market. Geographically, Asia Pacific region held the major market share in 2022 and is expected to dominate the global smart transformers market in the forecasted years.
Smart Transformers Market Key Developments:
In April 2021, Siemens introduced a digital transformer ,equipped with digital intelligence and sensors the transmission of flow of information which enhances the flexibility and optimizes the operation of grid.
In November 2021, ABB launched the world’s 1st dry oil free type of digital transformer where the coil and the core are cooled by non- flammable insulation material and air which makes it more compatible for off-shore applications.
Fastest Growing Market
The smart transformer market is growing due to the increasing advancement in the power grids, digitalization of power grids, reduced power consumption, increased focus of the public on the environmental factor and changing to renewable energy generations are the key factors which drive the smart transformer market growth. The application of smart transformers in the power grid helps to consume less energy hence reduces the cost and is more flexible for usage. The installation cost is high and the training of the personnel in managing or operating the smart transformer is expected to hinder the market growth. Adoption of new technologies makes the smart transformer to enhance the energy security as the smart grids are integrated with remote monitoring. Hence, this will drive the global market growth at a significant rate.
The Smart Transformers Market size was valued at USD 2413 million in 2022.
The Smart Transformers Market is poised to grow at a significant CAGR of 11.3% from 2023 to 2029.
The leading players in the global Smart Transformers Market are ABB, GE, Siemens, Schneider Electric, Eaton, Wilson Transformer, Mitsubishi Electric, BHEL, CG Power, Gridco, Howard Industries, SPX Transformer, General Electric Company, Bharat Heavy Electricals Limited, Crompton greaves Ltd., Alstom, Ormazabal
Asia Pacific smart transformers market is expected to dominate the smart transformers market. And north America market is expected to have an significant growth in the forecasted period.