The annual market for asset performance management for distributed energy technologies will exceed $23 billion in 2027, according to a new report by Navigant Research.
The research firm expects a 19.7% increase in revenue generation from $4.6 billion in 2018 to 2027.
Driving the market is increased digitisation of utility operations as utilities seek capital optimisation of asset portfolios through real-time operation.
Energy companies are challenged by failures of distributed energy resources due to harsh conditions in regions they sited, resulting in outages, equipment failure and random surges in power demand.
Asset performance management technologies help utilities to reduce downtime and ensure that assets operate at the highest level of efficiency to avoid lost revenue.
Other key findings of the report include:
- APM for behind-the-meter renewables is still an emerging market because of the scale of investments required to perform end-to-end integrated APM
- Market participants need to apply a two-pronged strategy – APM hybridisation and aggregation – to succeed in this growing market opportunity.
Pritil Gunjan, a senior research analyst with Navigant Research, said: “The energy industry has traditionally relied on calendar management programmes for its valuable assets, but consequently these assets face a high risk of breakdowns and unavailability between service intervals.
“This traditional approach can negatively affect the life expectancy of assets while drastically reducing their ROI, as they are likely to miss faults that occur between these intervals.”
For more information about the report, click here…