In the US, smart infrastructure market intelligence firm, North East Group has in mid -December published a new report analyzing the adoption of smart grids in East Asia.
The report 'East Asia Smart Grid: Market Forecast 2015-2025' predicts the region including South Korea, Taiwan, Japan and Hong Kong, will invest US$54.5 billion through to 2025.
Ben Gardner, president of Northeast said, “Rollouts are now underway and the region will be one of the largest smart grid markets in the world over the next 5-10 years.”
US$23.4 billion will be streamed towards funding projects aiming distribution automation whilst US$21.7 billion will be invested towards smart metering projects, states the report.
The findings of the study stipulate that 13 of the East Asian region’s 14 utilities are implementing smart grid pilot projects. For example, Japan’s Tokyo Electric Power Company (TEPCO) and Chubu Electric Power are actively deploying smart grid infrastructure.
Northeast Group fears that in some countries, a preference for local companies could hamper the market opportunity for international vendors.
Smart grid funding
Meanwhile, in the United Arab Emirates, the Dubai Electricity and Water Authority (DEWA) has this week approved a total budget of AED23.655 billion (US$6.44 billion) for 2016.
According to a Utilities-me.com publication the new budget will ensure a "reliable supply of electricity and water to meet Dubai’s development plans in all its operations".
A total of AED8.72 billion (US$2.3bn) will be allocated to capital expenditure and projects, compared with AED8.028 billion (US$2.1bn) in 2015. The 2016 budget includes a number of key projects, including AED2.957 billion (US$805m)in generation, AED3.416 billion (US$929m) in power transmission, AED1.209 billion (US$329m) in power distribution, and AED1.042 billion (US$283m)in water and civil.
In addition, DEWA has also launched strategic projects worth over AED27 billion (US$7.3bn) that use the Independent Power Producer (IPP) model to leverage public private partnerships.
A large part of the budget will also go to clean energy related projects in support of the Dubai Clean Energy Strategy 2050 to provide 75 percent of Dubai’s total power output from clean energy,
Other projects include building nine new 132kV substations at a cost of AED775 million (US$210m)while AED1.544 billion (US$420m) has been allocated to the extension of 256km of 132kV cables.
A further AED245 million (US$66.7m) has been budgeted to build two water reservoirs at Al Nakhly, and AED50 million to build a water pumping station on the Dubai-Al Ain road.